Polyvinyl Alcohol From Japan: Notice of Initiation and Preliminary Results of Changed Circumstances Antidumping Duty Review, and Intent To Revoke Order in Part

DEPARTMENT OF COMMERCE

International Trade Administration

[A-588-836]

Polyvinyl Alcohol From Japan: Notice of Initiation and

Preliminary Results of Changed Circumstances Antidumping Duty Review,

and Intent To Revoke Order in Part

AGENCY: Import Administration, International Trade Administration,

Department of Commerce.

ACTION: Notice of initiation and preliminary results of changed

circumstances antidumping duty review, and intent to revoke order in

part.

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SUMMARY: In response to a request made on March 12, 1998, by Colorcon,

Inc., the Department of Commerce is initiating a changed circumstances

antidumping duty review and issuing a preliminary intent to revoke in

part the antidumping duty order on polyvinyl alcohol from Japan, the

scope of which currently includes polyvinyl alcohol for use as a

pharmaceutical excipient or for use in the manufacture of film coating

systems which are components of a drug or dietary supplement. Air

Products and Chemicals, Inc., the petitioner in this case, has

expressed no further interest in the relief provided by the antidumping

duty order with respect to polyvinyl alcohol imported from Japan for

use as a pharmaceutical excipient or for use in the manufacture of film

coating systems which are components of a drug or dietary supplement.

Accordingly we intend to partially revoke this order.

EFFECTIVE DATE: April 30, 1998.

The Applicable Statute

Unless otherwise indicated, all citations to the Tariff Act of

1930, as amended (``the Act''), are references to the provisions

effective January 1, 1995, the effective date of the amendments made to

the Act by the Uruguay Round Agreements Act (``URAA''). In addition,

unless otherwise indicated, all citations to the Department of

Commerce's (``the Department's'') regulations are to the regulations at

19 CFR Part 351 (62 FR 27296, May 19, 1997).

FOR FURTHER INFORMATION CONTACT: Brian Ledgerwood or Sunkyu Kim, Import

Administration, International Trade Administration, U.S. Department of

Commerce, 14th Street and Constitution Avenue NW., Washington, DC

20230; telephone (202) 482-3836 or (202) 482-2613, respectively.

SUPPLEMENTARY INFORMATION:

Background

On May 14, 1996, the Department published in the Federal Register

(61 FR 24286) an antidumping duty order on polyvinyl alcohol (``PVA'')

from Japan. On March 12, 1998, Colorcon, Inc. (``Colorcon'') requested

that the Department conduct a changed circumstances review and revoke,

in part, the antidumping duty order with respect to PVA from Japan

which is used as a pharmaceutical excipient or for use in the

manufacture of film coating systems which are components of a drug or

dietary supplement. Colorcon included in its request a statement from

the petitioner dated October 30, 1997, expressing (i) no objection to a

changed circumstances review, and (ii) no further interest in

maintaining the antidumping duty order with respect to PVA imported

from Japan for use in the manner described above.

Scope of Review

The product covered by this review is PVA. PVA is a dry, white to

cream-colored, water-soluble synthetic polymer. Excluded from this

review are PVAs covalently bonded with acetoacetylate, carboxylic acid,

or sulfonic acid uniformly present on all polymer chains in a

concentration equal to or greater than two mole percent, and PVAs

covalently bonded with silane uniformly present on all polymer chains

in a concentration equal to or greater than one-tenth of one mole

percent. PVA in fiber form is not included in the scope of this review.

The merchandise under review is currently classifiable under

subheading 3905.30.00 of the Harmonized Tariff Schedule of the United

States (``HTSUS''). Although the HTSUS subheading is provided for

convenience and customs purposes, our written description of the scope

is dispositive.

Initiation and Preliminary Results of Changed Circumstances Review,

and Intent To Revoke Order in Part

Pursuant to section 751(d) of the Act, the Department may partially

revoke an antidumping duty order based on a review under section 751(b)

of the Act (i.e., a changed circumstances review). Section 751(b)(1) of

the Act requires a changed circumstances administrative review to be

conducted upon receipt of a request containing information concerning

changed circumstances sufficient to warrant a review.

Section 351.222(g) of the Department's regulations provides that

the Department will conduct a changed circumstances review under 19 CFR

351.216, and may revoke an order in whole or in part if it determines

that the producers accounting for substantially all of the production

of the domestic like product to which the order pertains have expressed

a lack of interest in the order, in whole or in part. In addition, in

the event that the Department concludes that expedited action is

warranted, section 351.221(c)(3)(ii) of the regulations permits the

Department to combine the notices of initiation and preliminary

results. Therefore, in accordance with sections 751(b) of the Act and

19 CFR 351.216, 351.221, and

[[Page 23723]]

351.222, based on an affirmative statement of no interest by the

petitioner in continuing the order with respect to PVA imported from

Japan for use as a pharmaceutical excipient or for use in the

manufacture of film coating systems which are components of a drug or

dietary supplement, we are initiating this changed circumstances

administrative review. Based on the fact that no other interested

parties have objected to the position taken by the petitioner, we have

determined that expedited action is warranted, and we are combining

these notices of initiation and preliminary results. We have

preliminarily determined that there are changed circumstances

sufficient to warrant partial revocation of the antidumping duty order

on PVA from Japan. Therefore, we are hereby notifying the public of our

intent to revoke, in part, the antidumping duty order as it relates to

imports of PVA for use as a pharmaceutical excipient or for use in the

manufacture of film coating systems which are components of a drug or

dietary supplement.

If final revocation, in part, occurs, we intend to instruct the

Customs Service to end, effective on the date of publication in the

Federal Register of the final notice of partial revocation, the

suspension of liquidation and to refund any estimated antidumping

duties collected for all unliquidated entries of the above described

PVA not subject to final results of an administrative review. We will

also instruct the Customs Service to pay interest on such refunds in

accordance with section 778 of the Act. The current requirement for a

cash deposit of estimated antidumping duties will continue until

publication of the final results of this changed circumstances review.

Public Comment

Interested parties may submit case briefs and/or written comments

no later than 30 days after the date of publication of these results.

Rebuttal briefs and rebuttals to written comments, limited to issues

raised in such briefs or comments, may be filed no later than 37 days

after the date of publication of these results. The Department will

issue the final results of this changed circumstances review, which

will include the results of its analysis raised in any such written

comments, no later than 270 days after the date on which this review

was initiated, or within 45 days if all parties agree to our

preliminary results.

This initiation of review and notice are in accordance with section

751(b) of the Act (19 U.S.C. 1675(b)), and 19 CFR 351.216, 351.221, and

351.222.

Dated: April 22, 1998.

Robert S. LaRussa,

Assistant Secretary for Import Administration.

[FR Doc. 98-11529 Filed 4-29-98; 8:45 am]

BILLING CODE 3510-DS-P