Commerce Announces Preliminary Results in Antidumping Changed Circumstances Review for Six Companies in Frozen Warmwater Shrimp Case, Requests Public Comment

July 9, 2009

On Tuesday, July 2, 2009, the U.S. Department of Commerce (DOC) issued a preliminary determination in its antidumping (AD) changed circumstances review of frozen warmwater shrimp from Vietnam (A-552-802).   The DOC initiated the review March 18, 2009 to determine whether the six companies are the successors-in-interest to their original six companies. As part of the original AD order, all six companies were assessed a separate AD duty cash deposit rate of 4.57.

In its preliminary results, the DOC found that 5 of the companies: Bac Lieu Fisheries Joint Stock Company (Bac Lieu JSC); Cadovimex Seafood Import-Export and Processing Joint Stock Company (Cadovimex Vietnam); Soc Trang Seafood Joint Stock Company (STAPIMEX JSC); Thuan Phuoc Seafoods and Trading Corporation (Thuan Phuoc JSC); and UTXI Aquatic Products Processing Corporation (UTXI Corp.) are the successors-in-interest the five companies and, as such, should be assessed an AD rate of 4.57%. However, the DOC did determine that CATFISH is not the successor-in-interest to CATACO and should be assessed the Vietnam-wide AD rate.

In their submissions, all companies provided information regarding the events leading to each company’s transition from the original companies. Two companies, STAPIMEX JSC and Thuan Phuoc JSC provided documentation relating to their change from state-owned enterprises to join stock companies. All companies provided documentation relating to their ownership structures and management, production facilities, supplier relationships, and customer bases, among other things.

In making successor-in-interest determination, the Department examines several factors including but not limited to changes in the following: (1) Management; (2) production facilities; (3) supplier relationships; and (4) customer base. While no single factor or combination of factors will necessarily provide a dispositive indication of a successor-in-interest relationship, generally the Department will consider the new company to be the successor to the previous company if the new company's resulting operation is not materially dissimilar to that of its predecessor. If the record evidence demonstrates that, with respect to the production and sale of the subject merchandise, the new company operates as the same business entity as the predecessor company, the Department may assign the new company the cash-deposit rate of its predecessor.

To comment on the DOC’s preliminary determinations, interested parties should submit case briefs no later than 14 days after the date of publication of the DOC’s results, in accordance with 19 CFR 351.309(c)(1)(ii).