Ceiling Fans From the People's Republic of China: Notice of Court Decision; Exclusion From the Application of the Antidumping Duty Order, in Part; Termination of Administrative Reviews; and Amended Final Determination and Order

DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-807]

Ceiling Fans From the People's Republic of China: Notice of Court

Decision; Exclusion From the Application of the Antidumping Duty Order,

in Part; Termination of Administrative Reviews; and Amended Final

Determination and Order

AGENCY: Import Administration, International Trade Administration,

Department of Commerce.

ACTION: Notice of amendment to amended final determination of sales at

less-than-fair-value, exclusion from the application of the amended

antidumping duty order, and termination of administrative reviews in

accordance with decision upon remand.

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SUMMARY: On January 5, 1994, the United States Court of International

Trade (``CIT'') affirmed the Department's May 14, 1993, remand

determination without comment. See CEC Electrical Manufacturing (Int'l)

Company Ltd. v. United States, Slip Op. 94-2 (CIT January 5, 1994). The

remand resulted in a finding of a de minimis margin for CEC Electrical

Manufacturing (International) Company, Ltd./CEC Industries (Shenzhen)

Ltd./CEC (USA) Texas Group, Inc. (``CEC'') and, consequently, a

negative determination of sales at less than fair value for the

investigation of CEC. Therefore, CEC is excluded from the application

of the antidumping duty order on ceiling fans from the People's

Republic of China (``PRC''). Because CEC is excluded from the

application of the antidumping duty order, we are also terminating both

ongoing administrative reviews with respect to CEC. In addition, the

exclusion of CEC results in a change in the all others rate.

EFFECTIVE DATE: January 15, 1994.

FOR FURTHER INFORMATION CONTACT: Jeffery B. Denning or Stephen Alley,

Office of Antidumping Investigations, Import Administration,

International Trade Administration, U.S. Department of Commerce, 14th

Street and Constitution Avenue NW., Washington, DC 20230; telephone:

(202) 482-4194 or (202) 482-5288, respectively.

SUPPLEMENTARY INFORMATION:

Background:

On June 5, 1991, the Department published its Preliminary

Determinations of Sales at Less Than Fair Value: Oscillating Fans and

Ceiling Fans From the People's Republic of China (56 FR 25664). In that

determination, the Department found CECs weighted-average dumping

margin for the ceiling fans class or kind of merchandise to be 0.37

percent, de minimis. (CEC was not identified as a producer or exporter

of products within the oscillating fans class or kind of merchandise.)

However, in the final determination the Department found CEC's

weighted-average dumping margin for the ceiling fans to be 2.70

percent. See Final Determinations of Sales at Less Than Fair Value:

Oscillating Fans and Ceiling Fans From the People's Republic of China,

56 FR 55271 (October 25, 1991). Consequently, we instructed the U.S.

Customs Service to begin suspension of liquidation of all entries of

ceiling fans manufactured by CEC entered into U.S. Customs territory on

or after October 25, 1991, the date of publication of the final

determination. On December 9, 1991, the Department published an

amendment to its final determinations, and antidumping duty orders in

this proceeding. See Antidumping Duty Orders and Amendments to Final

Determinations of Sales at Less Than Fair Value: Oscillating Fans and

Ceiling Fans From the People's Republic of China, 56 FR 64240 (December

9, 1991) (``Fans LTFV Final and Order'').

CEC instituted an action at the CIT challenging the Department's

final less-than-fair-value determination.1 See CEC Electrical

Manufacturing (Int'l) Company Ltd. v. United States, Court No. 92-01-

0014 (``CEC Electrical''). On December 7, 1992, the Department filed a

motion before the CIT for voluntary remand in CEC Electrical, and on

December 8, 1992, the CIT granted the Department's request. Pursuant to

the court's order granting voluntary remand, on May 14, 1993, the

Department presented to the court the Final Results of Redetermination

Pursuant To Grant Of Voluntary Remand: CEC Electrical Manufacturing

Company Ltd. v. United States (``Voluntary Remand'').

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\1\A second respondent involved in the original investigation,

Holmes/Esteem, instituted a separate challenge before the CIT

challenging the Department's final determination. Holmes Products

Corp. & Esteem Industries, Ltd. v. United States, Court No. 91-12-

00906. That action has been resolved. See Oscillating Fans from the

People's Republic of China: Notice of Court Decision, Retroactive

Revocation of Antidumping Duty Order, and Termination of

Administrative Review, 58 FR 30026 (May 25, 1993). As a result of

the Department's May 25, 1993, action, the scope of these

proceedings has been reduced to a single class or kind of

merchandise: ceiling fans.

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In that remand redetermination, the Department considered four

issues raised by CEC. These were:

1. Double-counting of certain inputs in the downrod assembly;

2. Double-counting of the raw material input in the paddle brackets;

3. Misreported price of a specific input for one fan model; and

4. The Department's use of surrogate equivalents for certain inputs.

Regarding issues one and two, the Department determined that

double-counting had occurred in both instances in the Fans LTFV Final

and Order. For the remand redetermination we eliminated all such

double-counting. Regarding issue three, we corrected the misreported

price. Finally, issue four involves CEC's challenge of certain

applications of surrogate data in valuing factors of production. CEC

claimed that the Department is required to adjust surrogate data for

such factors as: the number of fan blades; the size of the fan; and

variations in packing materials. In the remand redetermination we

rejected CEC's arguments. The basis for our rejection is that section

773(c)(1) of the Act provides for valuation of factors of production on

the ``best available information'' from an appropriate surrogate

country, not on the basis of perfectly conforming information.

Therefore, we maintained that we were not required to make the

adjustments CEC requested. The Department's redetermination on remand

was affirmed by the CIT on January 5, 1994. See CEC Electrical

Manufacturing (Int'l) Company Ltd. v. United States, Slip Op. 94-2 (CIT

January 5, 1994).

As a result of these three modifications to our antidumping duty

calculations, the final weighted-average dumping margin for CEC is 0.37

percent, and is, therefore, de minimis, pursuant to section 353.6(a) of

the Department's regulations. Consequently, our final less-than-fair-

value determination for CEC is negative.

Exclusion From the Application of the Antidumping Duty Order, in Part

Pursuant to section 735(c)(2) of the Act and 19 CFR 353.21(c), we

are excluding CEC from the application of the antidumping duty order on

imports of ceiling fans. However, if the Department has reasonable

cause to believe or suspect at any time during the existence of the

antidumping duty order that CEC has sold or is likely to sell the

subject merchandise to the United States at less than its foreign

market value, the Department may institute an administrative review of

CEC under section 751(b) of the Tariff Act of 1930, as amended.

Because CEC obtained an injunction during the court proceeding, the

effective date of the exclusion is retroactive to October 25, 1991, the

publication date of the Final Determinations of Sales at Less Than Fair

Value: Oscillating Fans and Ceiling Fans From the People's Republic of

China, and the date we began suspension of liquidation for entries of

CEC ceiling fans from the PRC.

Termination of Administrative Reviews

Since publication of the Fans LTFV Final and Order, the Department

has initiated, pursuant to section 751 of the Act, first and second

administrative reviews of the antidumping duty order. Those reviews are

investigating imports of subject merchandise during the respective

review periods by CEC (as well as other producers). (See our published

notices of initiation of administrative reviews, 58 FR 11026 (February

23, 1993) and 59 FR 2593 (January 18, 1994), respectively.) Because we

are retroactively excluding CEC from the application of this

antidumping duty order, we are also hereby terminating both

administrative reviews with regard to imports by CEC.

Termination of Suspension of Liquidation

Pursuant to section 516(e)(2) of the Act, the Department will

instruct the U.S. Customs Service to terminate the suspension of

liquidation of ceiling fans from the PRC, entered or withdrawn for

consumption on or after October 25, 1991, by CEC and to proceed with

liquidation of the subject merchandise, which entered the United States

on or after that date without regard to antidumping duties.

Additionally, the Department will instruct U.S. Customs Service to

release any bond or other security with respect to entries of subject

merchandise, pursuant to section 735(c)(3)(B) of the Act.

Change in All Others Rate

The exclusion of CEC changes the all others antidumping rate from

2.05 to 1.65 percent, which is the rate of the only remaining company

from the investigation (Wing Tat Electric Manufacturing Co., Ltd./China

Miles Co., Ltd.) with a margin above de minimis. The Department will

instruct the U.S. Customs Service to begin collecting antidumping duty

deposits equal to 1.65 percent of the entered value of the subject

merchandise from all other producers/exporters, effective January 15,

1994.

Dated: February 23, 1994.

Joseph A. Spetrini,

Acting Assistant Secretary for Import Administration.

[FR Doc. 94-4773 Filed 3-1-94; 8:45 am]

BILLING CODE 3510-DS-P