Notice2024-24958
Frozen Warmwater Shrimp From Ecuador: Final Negative Determination of Sales at Less Than Fair Value
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
October 28, 2024
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) determines that imports of frozen warmwater shrimp (shrimp) from Ecuador are not being, or not likely to be, sold in the United States at less than fair value (LTFV) for the period of investigation (POI) October 1, 2022, through September 30, 2023.
Full Text
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<title>Federal Register, Volume 89 Issue 208 (Monday, October 28, 2024)</title>
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[Federal Register Volume 89, Number 208 (Monday, October 28, 2024)]
[Notices]
[Pages 85508-85510]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-24958]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-331-805]
Frozen Warmwater Shrimp From Ecuador: Final Negative
Determination of Sales at Less Than Fair Value
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) determines that
imports of frozen warmwater shrimp (shrimp) from Ecuador are not being,
or not likely to be, sold in the United
[[Page 85509]]
States at less than fair value (LTFV) for the period of investigation
(POI) October 1, 2022, through September 30, 2023.
DATES: Applicable October 28, 2024.
FOR FURTHER INFORMATION CONTACT: Kyle Clahane or Matthew Palmer, AD/CVD
Operations, Office III, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-5449 or (202) 482-1678,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On May 30, 2024, Commerce published in the Federal Register its
preliminary affirmative determination in the LTFV investigation of
shrimp from Ecuador.\1\ We invited interested parties to comment on the
Preliminary Determination.\2\ On July 22, 2024, Commerce tolled certain
deadlines in this administrative proceeding by seven days.\3\ The
deadline for the final determination of this investigation is now
October 21, 2024.
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\1\ See Frozen Warmwater Shrimp from Ecuador: Preliminary
Affirmative Determination of Sales at Less Than Fair Value,
Postponement of Final Determination, and Extension of Provisional
Measures, 89 FR 46857 (May 30, 2024) (Preliminary Determination),
and accompanying Preliminary Decision Memorandum.
\2\ Id. 89 FR at 46859.
\3\ See Memorandum, ``Tolling of Deadlines for Antidumping and
Countervailing Duty Proceedings,'' dated July 22, 2024.
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A summary of the events that occurred since Commerce published the
Preliminary Determination, as well as a full discussion of the issues
raised by parties for this final determination, may be found in the
Issues and Decision Memorandum.\4\ The Issues and Decision Memorandum
is a public document and is on file electronically via Enforcement and
Compliance's Antidumping and Countervailing Duty Centralized Electronic
Service System (ACCESS). ACCESS is available to registered users at
<a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete version of the Issues
and Decision Memorandum can be accessed directly at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
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\4\ See Memorandum, ``Issues and Decision Memorandum for the
Final Affirmative Determination of Sales at Less Than Fair Value in
the Investigation of Certain Frozen Warmwater Shrimp from Ecuador,''
dated concurrently with, and hereby adopted by, this notice (Issues
and Decision Memorandum).
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Scope of the Investigation
The product covered by this investigation is shrimp from Ecuador.
For a complete description of the scope of this investigation, see
Appendix I.
Scope Comments
We received no comments from interested parties on the scope of the
investigation as it appeared in the Preliminary Determination.
Therefore, we made no changes to the scope of the investigation.
Verification
Commerce was unable to conduct on-site verifications of the
information relied on in making its final determination in this
investigation. However, in August 2024, we took additional steps in
lieu of on-site verifications to verify the information relied upon in
making this final determination, in accordance with section 782(i) of
the Tariff Act of 1930, as amended (the Act), by conducting virtual
verifications of Industrial Pesquera Santa Priscila S.A. (Santa
Priscila) and Sociedad Nacional de Gal[aacute]pagos C.A. (SONGA).\5\
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\5\ See Memoranda, ``Verification of the Cost Response of
Sociedad Nacional de Galapagos C.A. in the Less-Than-Fair-Value
Investigation of Frozen Warmwater Shrimp from Ecuador,'' dated
September 20, 2024 (SONGA's Cost Verification Report); ``Sales
Verification of Sociedad Nacional de Gal[aacute]pagos C.A,'' dated
August 27, 2024 (SONGA's Sales Verification Report) (collectively,
SONGA's Verification Reports); ``Verification of the Cost Response
of Industrial Pesquera Santa Priscila in the Antidumping Duty
Investigation of Frozen warm Water Shrimp from Ecuador,'' dated
September 18, 2024 (Santa Priscila's Cost Verification Report); and
``Sales Verification of Industrial Santa Priscila,'' dated September
19, 2024 (Santa Priscila's Sales Verification Report) (collectively,
Santa Priscila's Verification Reports).
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Analysis of Comments Received
All issues raised in the case and rebuttal briefs submitted by
interested parties in this investigation are addressed in the Issues
and Decision Memorandum. A list of the issues addressed in the Issues
and Decision Memorandum is attached to this notice as Appendix II.
Changes Since the Preliminary Determination
We made certain changes regarding Santa Priscila and SONGA's
reported sales and cost data since the Preliminary Determination. For a
discussion of these changes, see the Issues and Decision Memorandum.
Final Determination
Commerce determines that the following estimated weighted-average
dumping margins exist:
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Weighted-average dumping
Exporter/Producer margin (percent)
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Sociedad Nacional de Gal[aacute]pagos C.A./ 0.00.
Marina del Rey.
Industrial Pesquera Santa Priscila S.A./ 0.48 (de minimis).
Tropical Packing Ecuador Tropack S.A.
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Consistent with section 735(c) of the Act, Commerce has not
calculated an estimated weighted-average dumping margin for all other
producers and exporters because it has not made an affirmative final
determination of sales at LTFV.
Disclosure
Commerce intends to disclose the calculations performed in
connection with this final determination to interested parties within
five days of any public announcement or, if there is no public
announcement, within five days of the date of publication of this
notice in the Federal Register, in accordance with 19 CFR 351.224(b).
Suspension of Liquidation
Because Commerce has made a negative final determination of sales
at LTFV with regard to subject merchandise, Commerce will not direct
U.S. Customs and Border Protection to suspend liquidation or to require
a cash deposit of estimated antidumping duties for entries of shrimp
from Ecuador.
U.S. International Trade Commission Notification
In accordance with section 735(d) of the Act, we will notify the
U.S. International Trade Commission of this final negative
determination of sales at LTFV. As our final determination is negative,
this proceeding is terminated in accordance with section 735(c)(2) of
the Act.
Administrative Protective Order
This notice serves as the only reminder to parties subject to an
administrative protective order (APO) of
[[Page 85510]]
their responsibility concerning the disposition of proprietary
information disclosed under APO in accordance with 19 CFR
351.305(a)(3). Timely written notification of the return or destruction
of APO materials or conversion to judicial protective order is hereby
requested. Failure to comply with the regulations and terms of an APO
is a sanctionable violation.
Notification to Interested Parties
This final determination and notice are issued and published in
accordance with sections 735(d) and 777(i) of the Act and 19 CFR
351.210(c).
Dated: October 21, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the
non-exclusive functions and duties of the Assistant Secretary for
Enforcement and Compliance.
Appendix I
Scope of the Investigation
The scope of this investigation includes certain frozen
warmwater shrimp and prawns whether wild-caught (ocean harvested) or
farm-raised (produced by aquaculture), head-on or head-off, shell-on
or peeled, tail-on or tail-off, deveined or not deveined, cooked or
raw, or otherwise processed in frozen form. ``Tails'' in this
context means the tail fan, which includes the telson and the
uropods.
The frozen warmwater shrimp and prawn products included in the
scope, regardless of definitions in the Harmonized Tariff Schedule
of the United States (HTSUS), are products which are processed from
warmwater shrimp and prawns through freezing and which are sold in
any count size.
The products described above may be processed from any species
of warmwater shrimp and prawns. Warmwater shrimp and prawns are
generally classified in, but are not limited to, the Penaeidae
family. Some examples of the farmed and wild-caught warmwater
species include, but are not limited to, whiteleg shrimp (Penaeus
vannemei), banana prawn (Penaeus merguiensis), fleshy prawn (Penaeus
chinensis), giant river prawn (Macrobrachium rosenbergii), giant
tiger prawn (Penaeus monodon), redspotted shrimp (Penaeus
brasiliensis), southern brown shrimp (Penaeus subtilis), southern
pink shrimp (Penaeus notialis), southern rough shrimp (Trachypenaeus
curvirostris), southern white shrimp (Penaeus schmitti), blue shrimp
(Penaeus stylirostris), western white shrimp (Penaeus occidentalis),
and Indian white prawn (Penaeus indicus).
Frozen shrimp and prawns that are packed with marinade, spices
or sauce are included in the scope. In addition, food preparations,
which are not ``prepared meals,'' that contain more than 20 percent
by weight of shrimp or prawn are also included in the scope.
Excluded from the scope are: (1) breaded shrimp and prawns
(HTSUS subheading 1605.21.1020); (2) shrimp and prawns generally
classified in the Pandalidae family and commonly referred to as
coldwater shrimp, in any state of processing; (3) fresh shrimp and
prawns whether shell-on or peeled (HTSUS subheadings 0306.36.0020
and 0306.36.0040); (4) shrimp and prawns in prepared meals (HTSUS
subheadings 1605.21.0500 and 1605.29.0500); (5) dried shrimp and
prawns; (6) canned warmwater shrimp and prawns (HTSUS subheading
1605.29.1040); and (7) certain battered shrimp. Battered shrimp is a
shrimp-based product: (1) that is produced from fresh (or thawed-
from-frozen) and peeled shrimp; (2) to which a ``dusting'' layer of
rice or wheat flour of at least 95 percent purity has been applied;
(3) with the entire surface of the shrimp flesh thoroughly and
evenly coated with the flour; (4) with the non-shrimp content of the
end product constituting between four and ten percent of the
product's total weight after being dusted, but prior to being
frozen; and (5) that is subjected to individually quick frozen (IQF)
freezing immediately after application of the dusting layer. When
dusted in accordance with the definition of dusting above, the
battered shrimp product is also coated with a wet viscous layer
containing egg and/or milk, and par-fried.
The products covered by the scope are currently classified under
the following HTSUS subheadings: 0306.17.0004, 0306.17.0005,
0306.17.0007, 0306.17.0008, 0306.17.0010, 0306.17.0011,
0306.17.0013, 0306.17.0014, 0306.17.0016, 0306.17.0017,
0306.17.0019, 0306.17.0020, 0306.17.0022, 0306.17.0023,
0306.17.0025, 0306.17.0026, 0306.17.0028, 0306.17.0029,
0306.17.0041, 0306.17.0042, 1605.21.1030, and 1605.29.1010. These
HTSUS subheadings are provided for convenience and for customs
purposes only and are not dispositive, but rather the written
description of the scope is dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Changes Since the Preliminary Determination
IV. Discussion of the Issues
Comment 1: Whether Commerce Should Revise SONGA's Cost
Adjustment for Its Purchases of Raw Shrimp From Affiliated Suppliers
Comment 2: Whether Commerce Should Recalculate SONGA's Reported
Financial Expenses
Comment 3: Whether Revisions are Warranted to SONGA's Reported
Indirect Selling Expenses
Comment 4: Whether Commerce Should Continue To Offset G&A
Expenses by the Amount of Scrap Sales Revenue
Comment 5: Whether Commerce Should Revise SONGA's Per-Unit Costs
for the Additional Wrapping and Finger-Laying Processes
Comment 6: Whether Commerce Should Compare U.S. Sales of Broken
Shrimp to Constructed Value
Comment 7: Treatment of Clerical Errors in SONGA's Preliminary
Margin Calculation
Comment 8: Inclusion of SONGA's Revised Sales and Cost Databases
Comment 9: Treatment of SONGA's Reported U.S. Customs Duty and
Brokerage and Handling Expenses
Comment 10: Treatment of Export Subsidies for Santa Priscila and
SONGA
Comment 11: Whether Commerce Should Apply Adverse Facts
Available (AFA) to Santa Priscila for its Misrepresentation of its
Payment Dates and its Failure To Report All Expenses
Comment 12: Whether Commerce Should Apply AFA to Santa
Priscila's Credit Expenses, Other Discounts and Bank Charges.
Comment 13: Whether Commerce Should Apply the Market Price
Adjustment to all Santa Priscila Raw Shrimp Purchases
Comment 14: Whether Commerce Should Reject Santa Priscila's
Claimed Scrap Offset
Comment 15: Treatment of Santa Priscila's Return Expenses
Comment 16: Whether Commerce Should Incorporate Santa Priscila's
Cost Verification Minor Corrections
Comment 17: Treatment of Clerical Errors in Santa Priscila's
Preliminary Margin Calculation
V. Recommendation
[FR Doc. 2024-24958 Filed 10-25-24; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on October 28, 2024.
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