Aluminum Extrusions From Malaysia: Final Affirmative Determination of Sales at Less Than Fair Value

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Federal RegisterOct 3, 2024
89 Fed. Reg. 80458 (Oct. 3, 2024)
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    Department of Commerce International Trade Administration
  • [A-557-826]
  • AGENCY:

    Enforcement and Compliance, International Trade Administration, Department of Commerce.

    SUMMARY:

    The U.S. Department of Commerce (Commerce) determines that imports of aluminum extrusions from Malaysia are being, or are 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.

    DATES:

    Applicable October 3, 2024.

    FOR FURTHER INFORMATION CONTACT:

    Benjamin Blythe or Paola Aleman Ordaz, AD/CVD Operations, Office IV, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-3457 or (202) 482-4031, respectively.

    SUPPLEMENTARY INFORMATION:

    Background

    On May 7, 2024, Commerce published in the Federal Register its preliminary affirmative determination in the LTFV investigation of aluminum extrusions from Malaysia. We invited interested parties to comment on the Preliminary Determination. On July 22, 2024, Commerce tolled certain deadlines in this administrative proceeding by seven days. The deadline for the final determination in this investigation is now September 26, 2024.

    See Aluminum Extrusions from Malaysia: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Postponement of Final Determination, and Extension of Provisional Measures, 89 FR 38057 (May 7, 2024) ( Preliminary Determination), and accompanying Preliminary Decision Memorandum (PDM).

    See Memorandum, “Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings,” dated July 22, 2024.

    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. 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 https://access.trade.gov. In addition, a complete version of the Issues and Decision Memorandum can be accessed directly at https://access.trade.gov/public/FRNoticesListLayout.aspx.

    See Memorandum, “Decision Memorandum for the Final Affirmative Determination of Sales at Less Than Fair Value in the Investigation of Aluminum Extrusions from Malaysia,” dated concurrently with, and hereby adopted by, this notice (Issues and Decision Memorandum).

    Scope of the Investigation

    The product covered by this investigation is aluminum extrusions from Malaysia. For a complete description of the scope of this investigation, see Appendix I.

    Scope Comments

    During the course of this investigation, Commerce received scope comments from interested parties. Commerce issued Preliminary Scope Decision Memoranda to address these comments and set aside a period of time for parties to address scope issues in scope-specific case and rebuttal briefs. Between May 22, 2024, and June 24, 2024, Commerce received post-preliminary determination scope comments from interested parties regarding numerous products and scope-related issues. Between July 20, 2024, and August 19, 2024, Commerce received scope case and rebuttal briefs from numerous interested parties. We made changes to the scope of the investigation from the scope published in the Preliminary Determination, as noted in Appendix I.

    See Memoranda, “Preliminary Scope Decision Memorandum,” dated March 4, 2024, and “Preliminary Scope Decision Memorandum II,” dated May 1, 2024 (collectively Preliminary Scope Decision Memoranda).

    See Memorandum, “Final Scope Decision Memorandum,” dated concurrently with this notice.

    Verification

    Commerce conducted verifications of the sales and cost information submitted by Genesis Aluminium Industries Sdn. Bhd. (Genesis)/Zenshin Industries Sdn. Bhd. (Zenshin) and P.A. Extrusion (M) Sdn. Bhd. (PAE), consistent with section 782(i) of the Tariff Act of 1930, as amended (the Act). Commerce used standard procedures to conduct the verifications, including examining relevant sales and accounting records and original source documents provided by Genesis/Zenshin and PAE.

    See Memoranda, “Verification of the Sales Responses of Genesis Aluminium Industries Sdn. Bhd. and Zenshin Industries Sdn. Bhd. in the Less-Than-Fair-Value Investigation of Aluminum Extrusions from Malaysia,” dated August 12, 2024; and “Verification of the Cost Response of Genesis Aluminum Industries SDN BHD in the Less-Than-Fair-Value Investigation of Aluminum Extrusions from Malaysia,” dated August 13, 2024.

    See Memoranda, “Verification of the Sales Response of P.A. Extrusion (M) Sdn. Bhd. in the Less-Than-Fair-Value Investigation of Aluminum Extrusions from Malaysia,” dated August 12, 2024; and “Verification of the Cost Response of P.A. Resources Berhad. in the Less Than Fair Value Investigation of Aluminum Extrusions from Malaysia,” dated August 12, 2024.

    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

    Based on a review of the record and comments received from interested parties regarding our Preliminary Determination, we made certain changes to our calculations of Genesis/Zenshin and PAE's estimated weighted-average dumping margins. For a discussion of these changes, see the Issues and Decision Memorandum.

    Use of Adverse Facts Available

    As discussed in the Preliminary Determination, pursuant sections 776(a) and (b) of the Act, Commerce determined an estimated weighted-average dumping margin based on adverse facts available (AFA) to EL Aluminium Billet (M) Sdn Bhd, Kosan Aluminum Extrusion SDN. BHD, and the Winstar Group. No party commented on our application of AFA. Accordingly for this final determination, we continue to find that the application of AFA pursuant to sections 776(a) and (b) of the Act is warranted to determine the estimated weighted-average dumping margins for EL Aluminium Billet (M) Sdn Bhd, Kosan Aluminum Extrusion SDN. BHD, and the Winstar Group.

    All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated weighted-average dumping margin for all other producers and exporters not individually investigated shall be equal to the weighted average of the estimated weighted-average dumping margins established for individually investigated exporters and producers, excluding rates that are zero, de minimis, or determined entirely under section 776 of the Act, i.e., facts otherwise available.

    However, pursuant to section 735(c)(5)(B) of the Act, if the estimated weighted-average dumping margins established for all exporters and producers individually investigated are zero, de minimis, or determined entirely under section 776 of the Act ( i.e., based entirely on facts otherwise available or adverse facts available), Commerce may use any reasonable method to establish the estimated weighted-average dumping margin for all other producers and exporters.

    The SAA clarifies that if the estimated weighted-average dumping margins established for all exporters and producers individually investigated are zero, de minimis, or determined entirely under section 776 of the Act, then the expected method for establishing the estimated all-others rate for exporters and producers not individually investigated is to weight average the zero and de minimis estimated weighted-average dumping margins and the estimated weighted-average dumping margins based on facts available, provided that volume data is available, unless doing so is not feasible, or the results would not be reasonably reflective of potential dumping margins for non-investigated exporters or producers.

    See Statement of Administrative Action Accompanying the Uruguay Round Agreements Act, H.R. Doc. 103-316, Vol. 1 (1994) (SAA) at 873.

    In the final determination, Commerce calculated estimated weighted-average dumping margins for Genesis/Zenshin and PAE that are equal to zero and based the dumping margins for the companies that failed to respond to Commerce's quantity and value (Q&V) questionnaire on AFA. Further, because the information necessary to calculate a weighted average was not available, calculating the all-others rate pursuant to the expected method was not feasible. Accordingly, as another reasonable method we calculated an all-others rate equal to a simple average of the two mandatory respondents' zero percent estimated weighted-average dumping margins and the three estimated weighted-average dumping margins that Commerce based on AFA and assigned to the companies that failed to respond to Commerce's Q&V questionnaire.

    See Issues and Decision Memorandum at Comment 2.

    Final Determination

    Commerce determines that the following estimated weighted-average dumping margins exist:

    In the Preliminary Determination, Commerce determined that Genesis and Zenshin should be collapsed and treated as a single entity. No party commented on this decision. For this final determination, Commerce has continued to treat Genesis and Zenshin as a single entity. Although Commerce selected P.A. Resources Berhad (PARB) as a mandatory respondent, PARB reported that it is a holding company that is not involved in the production or exportation of the merchandise under investigation but that its subsidiary, P.A. Extrusion (M) Sdn. Bhd., produced the merchandise under investigation and sold that merchandise to the United States during the POI. Consequently, Commerce determined an estimated weighted-average dumping margin for P.A. Extrusion (M) Sdn. Bhd., the only producer and exporter of the merchandise under consideration owned by PARB. See Preliminary Determination PDM at 4

    Exporter/producer Weighted-average dumping margin (percent)
    Genesis Aluminium Industries Sdn. Bhd.; Zenshin Industries Sdn. Bhd 0.00
    P.A. Extrusion (M) Sdn. Bhd 0.00
    EL Aluminium Billet (M) Sdn Bhd * 27.51
    Kosan Aluminum Extrusion SDN. BHD * 27.51
    Winstar Group * 27.51
    All Others 16.51
    * Rate based on AFA.