Final Results of Expedited Sunset Reviews: Antifriction Bearings From France
Federal RegisterNov 4, 1999
Ask Donna
What actually matters in this document.
Text
DEPARTMENT OF COMMERCE
International Trade Administration
[A-427-801]
Final Results of Expedited Sunset Reviews: Antifriction Bearings
From France
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of Final Results of Expedited Sunset Reviews:
Antifriction Bearings from France.
-----------------------------------------------------------------------
SUMMARY: On April 1, 1999, the U.S. Department of Commerce (``the
Department'') initiated sunset reviews of the antidumping duty orders
on ball bearings, cylindrical roller bearings, and spherical plain
bearings (collectively, ``antifriction bearings'') from France pursuant
to section 751(c) of the Tariff Act of 1930, as amended (``the Act'').
On the basis of a notice of intent to participate and an adequate
response filed on behalf of a domestic interested party and inadequate
responses from respondent interested parties in each of these reviews,
the Department conducted expedited sunset reviews. As a result of these
reviews, the Department finds that revocation of the antidumping duty
orders would likely lead to continuation or recurrence of dumping at
the levels indicated in the Final Result of Review section of this
notice.
FOR FURTHER INFORMATION CONTACT: Martha V. Douthit or Melissa G.
Skinner, Office of Policy for Import Administration, International
Trade Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW, Washington, DC 20230; telephone (202) 482-5050
or (202) 482-1560, respectively.
EFFECTIVE DATE: November 4, 1999.
Statute and Regulations
These reviews were conducted pursuant to sections 751(c) and 752 of
the Act. The Department's procedures for the conduct of sunset reviews
are set forth in Procedures for Conducting Five-year (``Sunset'')
Reviews of Antidumping and Countervailing Duty Orders, 63 FR 13516
(March 20, 1998) (``Sunset Regulations''), and 19 CFR Part 351 (1998)
in general. Guidance on methodological or analytical issues relevant to
the Department's conduct of sunset reviews is set forth in the
Department's Policy Bulletin 98:3--Policies Regarding the Conduct of
Five-year (``Sunset'') Reviews of Antidumping and Countervailing Duty
Orders; Policy Bulletin, 63 FR 18871 (April 16, 1998) (``Sunset Policy
Bulletin'').
Scope
The products covered by these orders are antifriction bearings
(``AFBs'') from France, which include ball bearings (``BBs''),
cylindrical roller bearings (``CRBs''), and spherical plain bearings
(``SPBs'') and parts thereof from France. For a detailed description of
the products covered by these orders,
[[Page 60322]]
including a compilation of all pertinent scope determinations, refer to
the notice of final results of expedited sunset reviews on AFBs from
Japan, publishing concurrently with this notice.
History of the Orders
On May 3, 1989, the Department issued a final determination of
sales at less than fair value on imports of AFB's from France (54 FR
19092). On May 15, 1989, the Department published in the Federal
Register (54 FR 20902) the antidumping duty orders on the subject
merchandise.
As part of these antidumping duty orders, the Department
established a estimated weighted-average dumping margin for three
respondents, Compagnie d'Applications Mecaniques S.A. (SKF), Societe
Nouvelle de Roulements (SNR), and Roulements S.A. (INA), and an ``all
others'' rate.1 There have been several administrative
reviews of these orders.2 In the 1995-1996, 1997-1998
administrative reviews, the Department found that antidumping duties
were being absorbed.3
---------------------------------------------------------------------------
\1\ In the Antidumping Duty Orders of AFBs from France, dumping
margins for French producers and exporters of BBs, CRBs, and SPBs
ranged from 11.03 percent to 66.42 percent.
\2\ 1. Antifriction Bearings (Other Than Tapered Roller
Bearings) and Parts Thereof from France; Final Results of
Antidumping Duty Administrative Review, 56 FR 31748 (July 11, 1991).
2. Antifriction Bearings (Other Than Tapered Roller Bearings) and
Parts Thereof from France; et al.; Final Results of Antidumping Duty
Administrative Review, 57 FR 28360 (June 24, 1992). 3. Final Results
of Antidumping Duty Administrative Reviews and Revocation in Part of
an Antidumping Duty Order, 58 FR 39729 (July 26, 1993). 4. Final
Results of Antidumping Duty Administrative Reviews, Partial
Termination of Administrative Reviews, and Revocation in Part of
Antidumping Duty Order, 60 FR 10900 (February 28, 1995). 5.
Antifriction Bearings (Other Than Tapered Roller Bearings) and Parts
Thereof from France, Germany, Italy, Japan, Singapore, Sweden, and
the United Kingdom; Final Results of Antidumping Duty Administrative
Reviews and Partial Termination of Administrative Reviews, 61 FR
66472 (December 17, 1996), as corrected, Antifriction Bearings
(Other Than Tapered Roller Bearings) and Parts Thereof from France,
Germany, Italy, Japan, Singapore, Sweden, and the United Kingdom;
Final Results of Antidumping Duty Administrative Reviews and Partial
Termination of Administrative Reviews, 62 FR 149 (January 2, 1997).
6. Antifriction Bearings (Other Than Tapered Roller Bearings) and
Parts Thereof from France, Germany, Italy, Japan, Singapore, and the
United Kingdom; Final Results of Antidumping Duty Administrative
Reviews, 62 FR 2081 (January 15, 1997). 7. Antifriction Bearings
(Other Than Tapered Roller Bearings) and Parts Thereof from France,
Germany, Italy, Japan, Romania, Singapore, Sweden and the United
Kingdom; Final Results of Antidumping Duty Administrative Reviews,
62 FR 54043 (October 17, 1997). 8. Antifriction Bearings (Other Than
Tapered Roller Bearings) and Parts Thereof from France, Germany,
Italy, Japan, Romania, Singapore, Sweden and the United Kingdom;
Final Results of Antidumping Duty Administrative Reviews, 63 FR
33320 (June 18, 1998). 9. Antifriction Bearings (Other Than Tapered
Roller Bearings) and Parts Thereof from France, Germany, Italy,
Japan, Romania, Sweden and the United Kingdom; Final Results of
Antidumping Duty Administrative Reviews, 64 FR 35590 (July 1, 1999)
\3\ See Antifriction Bearings (Other Than Tapered Roller
Bearings) and Parts Thereof From France, Germany, Italy, Japan,
Romania, Singapore; Sweden and the United Kingdom; Final Results of
Antidumping Duty Administrative Reviews, 62 FR 54043 (October 17,
1997), Antifriction Bearings (Other Than Tapered Roller Bearings)
and Parts Thereof From France, Germany, Italy, Japan, Romania,
Singapore; Sweden and the United Kingdom; Amended Final Results of
Antidumping Duty Administrative Reviews, 62 FR 61963 (November 20,
1997), Antifriction Bearings (Other Than Tapered Roller Bearings)
and Parts Thereof From France, Germany, Italy, Japan, Romania,
Sweden, and the United Kingdom; Final Results of Antidumping Duty
Administrative Reviews, 64 FR 35590 (July 1, 1999).
---------------------------------------------------------------------------
The antidumping duty orders remain in effect for all French
producers and exporters of AFBs from France.
Background
On April 1, 1999, the Department initiated sunset reviews of the
antidumping duty orders on AFBs from France pursuant to section 751(c)
of the Act. By April 16, 1999, within the deadline specified in section
351.218(d)(1)(i) of the Sunset Regulation, we received notices of
intent to participate from the following parties: Link-Belt Bearing
Division (``Link-Belt''); The Torrington Company (``Torrington'') and
MPB Corporation (``MPB''); Roller Bearing Company of America, Inc.
(``RBC''); New Hampshire Ball Bearings, Inc. (``NHBB'') 4;
and NSK Corporation (``NSK''). Each of these parties claimed status as
domestic interested parties on the basis that they are a domestic
producer, manufacturer, or wholesaler of one or more of the products
subject to these orders.5
---------------------------------------------------------------------------
\4\ NHBB states that it is affliated with the following
respondent producers, exporters, and importers: Minebea Co., Ltd.,
NMB Singapore Ltd., Pelmec Industries (Pte.) Ltd., and NMB
Corporation.
\5\ Torrington, RBC, and NHBB filed with respect to BBs, CRBs,
and SPBs. Link-Belt filed with respect to BBs and CRBs. MPB filed
with respect to BBs and CRBs. NSK filed with respect to BBs only.
---------------------------------------------------------------------------
Within the deadline specified in the Sunset Regulations under
section 351.218(d)(3)(i), on May 3, 1999, the Department received
complete substantive responses from each of these domestic interested
parties, with the exception of Link-Belt. In addition, SKF France and
Sarma (collectively ``SKF'') notified the Department that they would
not file a substantive response in the sunset reviews of the AFB
orders. We received rebuttal comments from Torrington, MPB, and NSK on
May 12, 1999, within the deadline.
On May 21, 1999, we informed the International Trade Commission
(``Commission'') that, on the basis of inadequate responses from
respondent interested parties, we were conducting expedited sunset
reviews of these orders consistent with 19 CFR 351.218(e)(1)(ii)(C)(2).
(See Letter to Lynn Featherstone, Director, Office of Investigations
from Jeffrey A. May, Director, Office of Policy.)
In accordance with section 751(c)(5)(C)(v) of the Act, the
Department may treat a review as extraordinarily complicated if it is a
review of a transition order (i.e., an order in effect on January 1,
1995). Therefore, on August 5, 1999, the Department determined that the
sunset reviews of the antidumping duty orders on AFBs from France are
extraordinarily complicated and extended the time limit for completion
of the final results of these reviews until not later than October 28,
1999, in accordance with section 751(c)(5)(B) of the Act.6
---------------------------------------------------------------------------
\6\ See Tapered Roller Bearings, 4 Inches and Under From Japan,
et. al.: Extension of Time Limit for Final Results of Five-Year
Reviews, 64 FR 42672 (August 5, 1999).
---------------------------------------------------------------------------
Determination
In accordance with section 751(c)(1) of the Act, the Department
conducted these reviews to determine whether revocation of the
antidumping duty orders would be likely to lead to continuation or
recurrence of dumping. Section 752(c) of the Act provides that, in
making this determination, the Department shall consider the weighted-
average dumping margins determined in the investigation and subsequent
reviews and import volume of the subject merchandise for the period
before the issuance of the antidumping duty order and the period after
the issuance of the antidumping duty order. Pursuant to section
752(c)(3) of the Act, the Department shall provide to the Commission
the magnitude of the margin likely to prevail if the order is revoked.
The Department's determinations concerning adequacy, continuation
or recurrence of dumping, and magnitude of the margin are discussed
below. In addition, the parties' comments with respect to adequacy, the
continuation or recurrence of dumping, and the magnitude of the margin
are addressed in the respective sections below.
Adequacy
As noted above, we notified the Commission that we intended to
conduct expedited reviews of these orders. On June 10, 1999, we
received comments on behalf of MPB and Torrington, supporting our
determination to conduct expedited
[[Page 60323]]
reviews.7 On June 10, 1999, NHBB and NSK Corporation also
submitted comments on whether expedited sunsets review were warranted.
In their submissions, NHBB and NSK assert that most of the domestic
interested parties that submitted substantive responses favor
revocation of the various orders on antifriction bearings. These
parties also offered new argument regarding the likely effect of
revocation of the orders.
---------------------------------------------------------------------------
\7\ These companies filed one submission providing comments on
all ongoing sunset reviews covering bearings.
---------------------------------------------------------------------------
The magnitude of domestic support for continuation or revocation of
an order, however, is not a consideration in the Department's
determination of adequacy of participation nor, for that matter, the
Department's determination of likelihood. The Department made clear in
its regulations that a complete substantive response from one domestic
interested party would be considered adequate for purpose of continuing
a sunset review (see section 351.218(e)(1)). Nowhere in the statute or
legislative history is there reference to consideration of domestic
industry support during the course of a sunset review (other than the
statutory provision that, if there is no domestic industry interest in
continuation of the order, the Department will revoke the order
automatically). In fact, the Senate Report (at 46) makes clear that the
purpose of adequacy determinations in sunset reviews is for the
Department to determine whether to issue a determination based on the
facts available without further fact-gathering. Further, the statute,
at section 751(c)(1), specifies that the Department is to determine
whether revocation of an order would be likely to lead to continuation
or recurrence of dumping. Section 752(c) specifies that the Department
is to consider the weighted-average dumping margins determined in the
investigation and subsequent reviews, as well as the volume of imports
of the subject merchandise for the period before and the period after
the issuance of the order.
Continuation or Recurrence of Dumping
Drawing on the guidance provided in the legislative history
accompanying the Uruguay Round Agreements Act (``URAA''), specifically
the Statement of Administrative Action (``the SAA''), H.R. Doc. No.
103-316, vol. 1 (1994), the House Report, H.R. Rep. No. 103-826, pt.1
(1994), and the Senate Report, S. Rep. No. 103-412 (1994), the
Department issued its Sunset Policy Bulletin providing guidance on
methodological and analytical issues, including the basis for
likelihood determinations. In its Sunset Policy Bulletin, the
Department indicates that determinations of likelihood will be made on
an order-wide basis (see section II.A.2). In addition, the Department
indicated that normally it will determine that revocation of an
antidumping duty order is likely to lead to continuation or recurrence
of dumping where (a) dumping continued at any level above de minimis
after the issuance of the order, (b) imports of the subject merchandise
ceased after the issuance of the order, or (c) dumping was eliminated
after the issuance of the order and import volumes for the subject
merchandise declined significantly (see section II.A.3).
In addition to considering the guidance on likelihood cited above,
section 751(c)(4)(B) of the Act provides that the Department shall
determine that revocation of an order is likely to lead to continuation
or recurrence of dumping where a respondent interested party waives its
participation in the sunset review. In the instant review, the
Department did not receive a response from any respondent interested
party. Pursuant to section 351.218(d)(2)(iii) of the Sunset
Regulations, this constitutes a waiver of participation.
In their substantive responses, Torrington, MPB, and RBC argue that
revocation of the antidumping duty orders on the subject merchandise
would be likely to lead to continuation of dumping. All three point out
that, because dumping continued at levels above de minimis after the
issuance of the orders, therefore, a consideration of import volumes is
not necessary.
Nonetheless, using pre-and post-order import statistics for
complete unmounted BBs, which Torrington and MPB assert is the only
product category for which full time series data are available on a
consistent basis, Torrington and MPB argue that post-order volumes are
significantly lower than pre-order volumes. Torrington and MPB also
assert that the same decline is evident from slightly aggregated value
data covering CRBs. Based on the continued existence of dumping margins
and the declining trend in imports after the imposition of the orders,
Torrington and MPB assert that no ``good cause'' exists to consider
other factors. However, in this regard, Torrington and MPB observe
that, in each administrative review, the Department has found French
producers selling below the cost of production.
NHBB argues that, given the ``internationalization of operations''
and the large percentage of foreign ownership of U.S. based companies,
dumping would not be likely if the orders were revoked because any such
dumping would undercut the U.S. domestic price structure, thus causing
injury to the very industry of which foreign owners are a part. In
addition, NHBB argues that the downward trend in the margins coupled
with the change in the Department's margin-calculation methodology,
brought about by the URAA, results in margins that are de minimis. NHBB
asserts that dumping margins have declined significantly and trade data
generally show that import volumes have not declined since the time of
the investigations. For these reasons, NHBB claims that the decline in
dumping margins and imports show that French producers do not need to
dump to maintain U.S. market share. Therefore, it concludes, revocation
of the orders will not likely lead to dumping.
NSK also argues that dumping margins have declined significantly
and that imports have declined since the issuance of the antidumping
duty orders. NSK explains that the fact that dumping margins have
declined and imports remain at or around 20 percent of market share
demonstrates that foreign companies do not have to dump if the orders
were revoked. NSK adds that other factors for the Department's
consideration in support of revocation of these orders include the lack
of industry support and a change in the U.S. bearings industry.
In their rebuttal comments, Torrington and MPB assert that the
Department should take into account the submitter's affiliation in its
consideration of comments of various parties filing as domestic
producers. Further, citing to Ball Bearings and Parts Thereof From
Thailand; Final Results of Changed Circumstances Countervailing Duty
Review and Revocation of Countervailing Duty Order, 61 FR 20799, 20800
(May 8, 1996), they argue that the Department has recognized that
domestic producers who are affiliated with subject foreign producers
and exporters do not have a common ``stake'' with the petitioner in the
maintenance of the order. Additionally, Torrington and MPB argue that
other parties' comments addressing issues other than margins and import
volumes should not be considered unless such parties establish ``good
cause'' to consider such additional factors, which in these reviews,
they have not done.
As discussed in section II.A.3 of the Sunset Policy Bulletin, the
SAA at 890, and the House Report at 63-64, existence of dumping margins
after the order is highly probative of the
[[Page 60324]]
likelihood of continuation or recurrence of dumping. If companies
continue to dump with the discipline of an order in place, the
Department may reasonably infer that dumping would continue if the
discipline of the order were removed. Further, as noted above, in
determining whether revocation of an order is likely to lead to
continuation or recurrence of dumping, the Department considers the
margins determined in the investigation and subsequent administrative
reviews and the volume of imports.
In the instant proceedings, dumping margins above de minimis
continue to exist with respect to each of the orders. Therefore, given
that dumping has continued over the life of the order and respondent
interested parties waived their participation, we determine that
dumping is likely to continue if the orders were revoked. Because we
based this determination on the fact that dumping continued at levels
above de minimis, we have not addressed the comments submitted by
Torrington and MPB with respect to ``good cause'' and sales below the
cost of production nor have we addressed the arguments of other
interested parties regarding the condition of the U.S. market.
Magnitude of the Margin
In the Sunset Policy Bulletin, the Department stated that,
consistent with the SAA and House Report, the Department normally will
provide to the Commission a margin from the investigation because that
is the only calculated rate that reflects the behavior or exporters
without the discipline of an order in place. Further, for companies not
specifically investigated or for companies that did not begin shipping
until after the order was issued, we normally will provide a margin
based on the ``all others'' rate from the investigation. (See section
II.B.1 of the Sunset Policy Bulletin.) Exceptions to this policy
include the use of a more recently calculated margin, where
appropriate, and consideration of duty-absorption determinations. (See
sections II.B.2 and 3 of the Sunset Policy Bulletin.)
In their substantive responses, Torrington and MPB argue that the
margins that are likely to prevail should the orders be revoked are the
dumping margins found for each company in the original investigations
(as opposed to margins calculated in succeeding annual administrative
reviews), including margins based on best information available, except
where the most current margin, increased by the Department's duty-
absorption determination, exceeds the original investigation margin.
With respect to BBs, RBC argues that the margins from the original
investigation are the margins likely to prevail were the order to be
revoked.
NHBB argues that the dumping margins likely to prevail if the
orders were revoked would be de minimis. NHBB goes on to argue that it
would be illogical for companies with significant U.S. bearings
investments to undercut that investment by dumping. In addition, NHBB
argues that the Department should not report margins from the original
investigations. In support of this argument, NHBB notes that the SAA
provides that, in certain instances, it is more appropriate to rely on
a more recently calculated margin. NHBB asserts that one such instance
is where, as in the bearings cases, dumping margins have declined over
the life of the order and imports have remained steady or increased.
Additionally, NHBB argues that, because the structure of the U.S.
domestic industry that exists today bears little resemblance to the
industry when the antidumping duty orders were imposed in 1989, the
rates from the original investigation are inappropriate as indicators
of the rates that would be found upon revocation. Finally, NHBB argues
that, in light of changes in the methodology used to calculate
antidumping duty margins introduced by the Uruguay Round, use of
margins calculated by the Department prior to the URAA would be unfair
and contrary to the WTO Agreement on Implementation of Article VI of
the General Agreement on Tariffs and Trade 1994.
Similarly, NSK Corporation argues that the margins likely to
prevail would be de minimis. As support, NSK Corporation argues that,
were the orders not in existence, the Department would apply the
average-to-average methodology used in an investigation as opposed to
the transaction-to-average methodology common to administrative reviews
to measure the extent of any dumping. In such a case, NSK Corporation
believes that any margin found would be below the two percent de
minimis level applicable in investigations. NSK Corporation argues
further that, the Department's unorthodox approach during the original
investigation, plus the liberal use of best information available,
skewed the results of the original investigation seriously rendering
those results inappropriate indicators of the magnitude of the margin
likely to prevail were the orders to be revoked.
In their rebuttal comments, Torrington and MPB argue that other
parties' comments ignore the Department's stated policies regarding the
selection of margins likely to prevail and ignore the Department's
duty-absorption findings. Citing to the Sunset Policy Bulletin,
Torrington and MPB argue that the Department's policies are clear ``
normal reliance on the margins from the investigation as the only
margins that reflect the behavior of exporters without the discipline
of the order and rejection of margins from administrative reviews in
which the Department found duty absorption. Torrington and MPB argue
that the two-percent de minimis standard is not applicable to sunset
reviews. Further, they contend that there is no authority which would
authorize or justify the rejection of the investigation rate on the
basis of the particular methodology used at the time of the
investigation. Additionally, they argue that, with respect to claims
that more recent margins should be used based on declining margins
accompanied by steady or increasing imports, Torrington and MPB argue
that it is the responsibility of such claimants to provide information
regarding companies' relative market share. Since no such information
was provided they contend, the Department should not accept these
assertions since imports of certain BBs have actually declined since
the imposition of the order.
In its rebuttal comments, NSK Corporation repeats its point that
dumping margins have declined significantly over time with respect to
imports of BBs while, at the same time, importations have remained
steady or around 20 percent of the U.S. market, showing that foreign
exporters do not have to dump to maintain market share.8
---------------------------------------------------------------------------
\8\ As support, NSK Corporation cites to The Economic Effects of
Antidumping and Countervailing Duty Orders and Suspension
Agreements, USITC Pub. 2900, Inv. No. 332-334, at 14-26--14-31 (June
1995).
---------------------------------------------------------------------------
We agree with Torrington, MPB, and RBC that, normally, we will
provide a margin from the original investigation because that is the
rate that reflects the behavior of exporters absent the discipline of
the order. With respect to NSK's argument concerning the magnitude of
the margin likely to prevail, we disagree. As discussed above, we do
find that there is a likelihood of continuation or recurrence of
dumping. Furthermore, we find the level of dumping likely to prevail is
best reflected by the dumping margins we calculated in the original
investigation. Specifically, the Department finds that there is no
basis to reject margins calculated in an investigation because of
[[Page 60325]]
subsequent changes in methodology since changes do not invalidate
margins calculated under the prior methodology. Therefore, the dumping
margins from the original investigation are the only rates which
reflect the behavior of exporters without the discipline of the order,
regardless of the methodology used to calculate that margin or the use
of best information available (see section 752(c)(3) of the Act). As
noted above, exceptions to this policy include the use of a more
recently calculated margin, where appropriate, and consideration of
duty-absorption determinations.
With respect to NHBB's argument concerning the dumping margin
likely to prevail, the Department disagrees. First, NHBB claims that
dumping margins have declined over the life of the order and imports
have remained steady or increased. However, NHBB provides no evidence
to support these claims. Nothing submitted in the course of sunset
proceedings indicates that imports have remained steady or increased.
In fact, evidence submitted by Torrington and MPB indicate that 1998
import volumes of the subject merchandise are more than 8.1 percent
below pre-order volumes (see Torrington and MPB's Substantive Response
at 10). Regardless of the level of imports, dumping margins at levels
above de minimis continue, as do imports of the subject merchandise.
In the Sunset Policy Bulletin, consistent with the SAA at 889-90
and the House Report at 63, we indicated that in cases where declining
(or no) dumping margins are accompanied by steady or increasing
imports, it may be more appropriate to use a more recently calculated
rate. Such a rate would reflect the fact that companies do not have to
dump to maintain market share in the United States and, therefore, that
dumping is less likely to continue or recur if the order were revoked.
Alternatively, if a company chooses to increase dumping in order to
increase or maintain market share, the Department may provide the
Commission with a more recently calculated margin for that company.
The Sunset Policy Bulletin provides that we will entertain
considerations of such fact patterns in response to argument from an
interested party. Further, we noted that, in determining whether a more
recently calculated margin is probative of an exporter behavior absent
the discipline of an order, we normally will consider a company's
relative market-share data with such information to be provided by the
parties. It is clear, therefore, that in determining whether a more
recently calculated margin is probative of the behavior of exporters
were the order revoked, the Department considers company-specific
exports and company-specific margins. Additionally, although we
expressed a clear preference for market-share information, in past
sunset reviews where market-share information was not available, we
relied on changes in import volumes between the periods before and
after the issuance of the order. (See, e.g., Final Results of Expedited
Sunset Review: Stainless Steel Plate from Sweden, 63 FR 67658 (December
8, 1998), and Final Results of Expedited Sunset Reviews: Certain Iron
Construction Castings From Brazil, Canada, and the People's Republic of
China, 64 FR 30310 (June 7, 1999).
Generic arguments that margins decreased over the life of the
orders while, at the same time, exporters' share of the U.S. market
remained constant do not address the question of whether any particular
company decreased its margin of dumping while at the same time
maintaining or increasing market share. In fact, such generic arguments
may disguise company-specific behavior demonstrating increased dumping
coupled with increased market share. In the instant proceedings, we did
not receive any company-specific arguments.
Additionally, the SAA at 885 and the House Report at 60, provide
that duty absorption is a strong indicator that the current dumping
margins calculated in reviews may not be indicative of the margins that
would exist in the absence of an order. Since, once an order is
revoked, the importer could achieve the same pre-revocation return on
its sales by lowering its prices in the United States in the amount of
the duty that was previously being absorbed. Therefore, in the Sunset
Policy Bulletin we indicated that, in the case of duty absorption, we
normally will determine that a company's current dumping margin is not
indicative of the margin likely to prevail were the order to be
revoked. Further, we indicated that normally we will provide to the
Commission the higher of (1) the margin that we would otherwise have
reported to the Commission or (2) the most recent margin for that
company, adjusted to account for our findings on duty-absorption. For
purposes of considering duty absorption for these sunset reviews, we
relied on the level of duty absorption found in the administrative
review initiated in 1998. See 64 FR 35590 (July 1, 1999).
In their comments, Torrington and MPB argue that the Sunset Policy
Bulletin requires that the Department report to the Commission the
higher of the margin from the original investigation or the margin from
a more recent administrative review adjusted to reflect duty absorption
findings. Although we found that duties were being absorbed during the
1998 administrative review (64 FR 35590) for BBs and CRBs from France
by SKF and SNR, our calculations found the adjusted margins to be less
than the rates from the original investigation.
As noted above, there is no evidence on the record to indicate that
the margin of dumping for any particular producer/exporter decreased at
the same time that it was increasing or maintaining U.S. market share
nor is there evidence on the record to indicate corresponding increases
in dumping margins and exports. Therefore, we are relying on the
margins from the original investigations as probative of the behavior
of producers/exporters without the discipline of the orders.
Based on the above analysis, we will report to the Commission the
margins indicated in the Final Results of the Review section of this
notice.
Final Results of Review
As a result of these reviews, the Department finds that revocation
of the antidumping duty orders would be likely to lead to continuation
or recurrence of dumping at the margins listed below:
------------------------------------------------------------------------
Margin
Manufacturers/ Exporters (percent)
------------------------------------------------------------------------
Ball Bearings:
INA.................................................... 66.18
SKF (including all relevant affiliates)................ 66.42
SNR.................................................... 56.50
All others............................................. 65.13
Cylindrical Roller Bearings:
INA.................................................... 11.03
SNR.................................................... 18.37
All others............................................. 17.31
Spherical Plain Bearings
SKF.................................................... 39.00
All others............................................. 39.00
------------------------------------------------------------------------
This notice serves as the only reminder to parties subject to
administrative protective order (``APO'') of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with section 19 CFR 351.305 of the Department's
regulation. Timely notification of return/destruction of APO materials
or conversion to judicial protective order is hereby requested. Failure
to comply with the regulations and the terms of an APO is sanctionable
violation.
These five-year (``sunset'') reviews and notice are published in
accordance
[[Page 60326]]
with sections 751(c) and 777(i)(1) of the Act.
Dated: October 28, 1999.
Richard W. Moreland,
Acting Assistant Secretary for Import Administration.
[FR Doc. 99-28779 Filed 11-3-99; 8:45 am]
BILLING CODE 3510-DS-P
This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.