Korea and Mexico Fridge-Freezers: AD/CV Initiation Phase Deadlines

The ITA will determine whether imports of bottom mount refrigerators from Korea and Mexico are being, or are likely to be, sold in the U.S. at less than fair value; and whether Korean producers/exporters of bottom mount refrigerators receive countervailable subsidies.

(See ITT’s Online Archives or 04/21/11 news, 11042124, for BP summary of the ITA's fact sheet on the initiation of these AD/CV investigations.)

Korea AD/CV - Samsung, LG Selected as Mandatory Respondents, Comments due May 2

Although the ITA normally relies on import data from CBP to select respondents in countervailing duty investigations, the Harmonized Tariff Schedule categories under which bottom mount refrigerators may be entered are basket categories which include many other types of refrigerators and freezers. Therefore, the ITA must rely on an alternate methodology for respondent selection.

Pursuant to the petition, the ITA is selecting Samsung Electronics Co., Ltd. and LG Electronics, Inc. as mandatory respondents in the AD and CV investigations for Korea. Comments on respondent selection are due by May 2, 2011.

Mexico AD - ITA to Request Q&V Data for Respondent Selection

For the Mexico AD investigation, the ITA will request quantity and value information from the exporters and producers named in the petition. In the event the ITA decides to limit the number of mandatory respondents, the data received will be used as the basis to select the mandatory respondents.

Comments on Scope of AD/CV Investigations due May 9

Comments on the scope of the AD and CV duty investigations are due by May 9, 2011. (See scope below.)

Comments on Product Characteristics for AD Questionnaires due May 9

The ITA is requesting comments from interested parties regarding the appropriate physical characteristics of bottom mount refrigerators to be reported in response to the AD questionnaires. This information will be used to identify the key physical characteristics of the subject merchandise in order to more accurately report the relevant costs of production, as well as to develop appropriate product comparison criteria.

Comments on product characteristics to be reported in response to AD questionnaires must be submitted by May 9, 2011. (Rebuttal comments are due by May 16, 2011.)

Comments on Targeted Dumping due July 22

Any interested party that wishes to make a targeted dumping allegation in the AD investigations may submit allegations by July 22, 2011 (i.e., no later than 45 days before the scheduled date of the ITA’s preliminary determination).

(Note that in December 2008, the ITA issued an interim final rule for the purposes of withdrawing the regulations governing targeted dumping analysis in AD duty investigations. See ITT's Online Archives or 12/15/08 and 01/15/09 news, 08121525 and 09011535, for BP summaries of the interim final rule and extension of the comment period.)

Scope of the AD/CV Investigations

The products covered by the investigations are all bottom mount combination refrigerator-freezers and certain assemblies thereof from Korea and Mexico.

For purposes of the investigations, the term “bottom mount combination refrigerator-freezers” denotes freestanding or built-in cabinets that have an integral source of refrigeration using compression technology, with all of the following characteristics:

• The cabinet contains at least two interior storage compartments accessible through one or more separate external doors or drawers or a combination thereof;
• The upper-most interior storage compartment(s) that is accessible through an external door or drawer is either a refrigerator compartment or convertible compartment, but is not a freezer compartment¹; and
• There is at least one freezer or convertible compartment that is mounted below the uppermost interior storage compartment(s).

For purposes of the investigations, a refrigerator compartment is capable of storing food at temperatures above 32 degrees F (0 degrees C), a freezer compartment is capable of storing food at temperatures at or below 32 degrees F (0 degrees C), and a convertible compartment is capable of operating as either a refrigerator compartment or a freezer compartment, as defined above.

Also covered are certain assemblies used in bottom mount combination refrigerator-freezers, namely: (1) any assembled cabinets designed for use in bottom mount combination refrigerator-freezers that incorporate, at a minimum: (a) an external metal shell, (b) a back panel, (c) a deck, (d) an interior plastic liner, (e) wiring, and (f) insulation; (2) any assembled external doors designed for use in bottom mount combination refrigerator-freezers that incorporate, at a minimum: (a) an external metal shell, (b) an interior plastic liner, and (c) insulation; and (3) any assembled external drawers designed for use in bottom mount combination refrigerator-freezers that incorporate, at a minimum: (a) an external metal shell, (b) an interior plastic liner, and (c) insulation.

The products subject to the investigations are currently classifiable under subheadings 8418.10.0010, 8418.10.0020, 8418.10.0030, and 8418.10.0040 of the Harmonized Tariff Schedule. Products subject to these investigations may also enter under HTS subheadings 8418.21.0010, 8418.21.0020, 8418.21.0030, 8418.21.0090, and 8418.99.4000, 8418.99.8050, and 8418.99.8060.

The ITA notes that although the HTS subheadings are provided for convenience and customs purposes, the written description of the merchandise subject to this scope is dispositive.

¹The existence of an interior sub-compartment for ice-making in the upper-most storage compartment does not render the upper-most storage compartment a freezer compartment.

(See ITT’s Online Archives or 04/06/11 news, 11040624, for BP summary of the International Trade Commission's announcement of its institution of the companion injury investigation and its scheduling of the preliminary phase.)

(FR Pub 04/26/11, ITA Case Nos. A-580-865, A-201-839, and C-580-866)

The AD initiation notice is available here.

The CV initiation notice is available here.