CBP Initial Determination Malaysia Transshipping February 2022 | Página 7

In terms of raw material acquisitions , Colorquartz did not answer most of the questions contained in the CF28 . Specifically , the following requested information was not provided with respect to the production of the entries at issue : ( a ) complete production records , including raw material purchase orders , commercial invoices , transportation documents and proof of payment ; ( b ) container load plans from each raw material manufacturer , including the dated receipt and signature of receipt for raw materials ; ( c ) foreign customs documentation for all raw materials , if they are imported ; ( d ) complete factory production records , including stamped timecards and work orders , as well as packaging costs and information ; ( e ) a demonstration as to how the manufacturer ties the raw materials to the finished products , for example , a purchase order or invoice number which appears on production documents ; ( f ) the name of the factory owner and all corporate officers ; and ( g ) whether the foreign producer / exporter has a relationship with Colorquartz , and if so , whether this affects the price paid or payable . 40 Absent such information , CBP is unable to determine where the QSP was produced and who produced it .

Colorquartz provided an “ ingredient and supplier list ” for raw materials used in the production of QSP and a “ production formula ,” “ material application record ,” “ material component part ” record , slab production sheets , and quality inspection documents for each QSP order under both entry numbers . 41 There are several issues with these documents . First , the “ ingredient and supplier lists ” indicate that Ever Stone purchases raw materials from Malaysian suppliers , but as indicated above , there was no documentation ( e . g ., raw material transport documents or purchase receipts ) to substantiate this claim . There is also no way to tie the amounts of the raw materials listed in “ ingredient and supplier lists ” to the actual production of QSP for either entry number . number

For example , the material application records indicate that Ever Stone required [ ]

specification number specification

kilograms ( kgs ) of quartz sand ([ ]) and [ ] kgs of quartz sand ([

]) number number number

to fulfill the [ ] and [ ] piece orders covered by entry numbers [ ] 0236 and number
[ ] 6825 , respectively ; however , there are no records demonstrating whether Ever Stone ever acquired this raw material or that it actually produced QSP . Moreover , the total weight of

number

the materials consumed to make QSP , [ ] kg , does not equal the net weight of the

number shipment of the QSP , [ ].

Next , the “ production formula ,” “ material application record ,” and “ material component part ” record each contain the same information , and none of these documents contains dates or signatures . It appears that these documents were likely generated for the purpose of responding to CBP ’ s CF28s , and not at the time of production . As such , there is no indication that these documents represent records generated in the ordinary course of business . The same pattern holds true for the slab production sheets . Both documents are almost identical and contain no dates or signatures . Therefore , it is again likely that these documents were not generated in the normal course of business , and it is not possible to tie these documents to any of the other ones provided . 42 TRLED thus does not have information needed to confirm where the QSP was produced and whether Ever Stone produced it .

40

See Colorquartz ’ s CF28 Requests .

41

See Colorquartz ’ s CF28 Responses .

42

Id .
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