Barcode : 4326250-02 A-533-889 REV - Admin Review 12 / 13 / 19 - 5 / 31 / 21
receives ‘ incentives ’ for exports that make it considered ‘ heavily subsidized ,’” and that almost 20 percent of its sales were export sales . 43
We disagree with the petitioner ’ s assertion that Asian Granito ’ s sales of tiles disqualify its profit and selling expense information from consideration as a POR alternative for CV information , and note that the preponderance of its revenue is derived from domestic sales . Furthermore , we agree with PESL that the subsidization cited by the petitioner is a mischaracterization . The relevant language concerns subsidy programs which Asian Granito states were identified by the Gulf Cooperation Council as part of its own AD investigation . 44 Additionally , there is no indication that Asian Granito received either referenced subsidy program . However , the company states that it recognizes duty drawback and export benefits on an accrual basis in its standalone and consolidated financial statements . 45 Thus , this indicates that Asian Granito benefits from a countervailable subsidy program . Therefore , for these final results , we find Asian Granito ’ s profit and selling expense information is not suitable for use as a reasonable alternative , per our practice to dismiss sources which reflect such subsidization . 46
With respect to Shiva Granito , the petitioner states that its resin and quartz powder products and production operations are not comparable to QSP or its manufacturing process . 47 However , we note that the petitioner provides no explanation of how the production of resin and quartz powder differ and to what degree from the production of QSP . The petitioner also argues that there is no way to differentiate Shiva Granito ’ s QSP operations from its comparable and other merchandise operations and that a “ significant portion ” of its sales are export sales . 48 Regarding the latter point , we note that export sales accounted for only approximately five percent of Shiva Granito ’ s revenue . As with Asian Granito , we do not find that Shiva Granito ’ s involvement in the production of products in addition to QSP as disqualifying for consideration as a source of CV information . For these final results , we continue to find that Shiva Granito ’ s financial statements are a suitable source of CV information as they are contemporaneous with the POR , reflect the experience of profitable Indian producers of QSP ( as part of a mix of products ), show that the preponderance of sales revenue was derived from the domestic market , and do not reflect substantial countervailable subsidization .
The petitioner argues that the best source of CV information is Antique Group ’ s profit and selling expense ratios relied upon in the underlying AD investigation — specifically , that this information is definitively reflective of QSP production by an Indian producer in India . 49 The petitioner acknowledges that this information is not contemporaneous with the POR but that this concern is allayed by the fact that market conditions have not changed substantially . The
43
See Petitioner ’ s Case Brief at 10 ( citing PESL CV Submission at Exhibit CV-4 ( c ) ( page 34 )).
44
See PESL ’ s CV Submission at Exhibit 4 ( c ) ( page 34 ).
45
Id . at Exhibit 4 ( c ) ( pages 114 and 174 , respectively ).
46
See , e . g ., Utility Scale Wind Towers from Indonesia : Final Determination of Sales at Less Than Fair Value and Final Negative Determination of Critical Circumstances , 85 FR 40231 ( July 6 , 2020 ), and accompanying IDM at Comment 7 .
47
See Petitioner ’ s Case Brief at 9 ( citing PESL ’ s CV Submission at Exhibits CV-2 ( a ) ( page 1 ) and CV-2 ( c ); and Petitioner ’ s Letter “ Rebuttal on Constructed Value Profit and Selling Expense and Information ,” dated January 31 , 2022 , at Exhibit 1 ).
48
Id . at 9-10 ( citing PESL ’ s CV Submission at Exhibit CV-2 ( c )).
49
Id . at 3-7 ( citing Final Determination IDM at Comment 5 ; and Petitioner CV Submission at Exhibit 1 ).
9 Filed By : David Lindgren , Filed Date : 1 / 3 / 23 1:27 PM , Submission Status : Approved