Notice2021-16724

Certain Carbon and Alloy Steel Cut-to-Length Plate From the Republic of Korea: Preliminary Results of Countervailing Duty Administrative Review, and Intent To Rescind Review, in Part; 2019

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Published
August 5, 2021

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The Department of Commerce (Commerce) preliminarily determines that POSCO and certain other producers/exporters of certain carbon and alloy steel cut-to-length plate (CTL plate) from the Republic of Korea (Korea) received de minimis net countervailable subsidies during the January 1, 2019, through December 31, 2019, period of review (POR). Interested parties are invited to comment on these preliminary results.

Full Text

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<title>Federal Register, Volume 86 Issue 148 (Thursday, August 5, 2021)</title>
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[Federal Register Volume 86, Number 148 (Thursday, August 5, 2021)]
[Notices]
[Pages 42788-42790]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-16724]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-888]


Certain Carbon and Alloy Steel Cut-to-Length Plate From the 
Republic of Korea: Preliminary Results of Countervailing Duty 
Administrative Review, and Intent To Rescind Review, in Part; 2019

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that POSCO and certain other producers/exporters of certain carbon and 
alloy steel cut-to-length plate (CTL plate) from the Republic of Korea 
(Korea) received de minimis net countervailable subsidies during the 
January 1, 2019, through December 31, 2019, period of review (POR). 
Interested parties are invited to comment on these preliminary results.

DATES: Applicable August 5, 2021.

FOR FURTHER INFORMATION CONTACT: George Ayache or Faris Montgomery, AD/
CVD Operations, Office VIII, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-2623 and (202) 
482-1537, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On July 10, 2020, Commerce published a notice of initiation of an 
administrative review of the countervailing duty (CVD) order on CTL 
plate from Korea.\1\ On July 21, 2020, Commerce tolled all preliminary 
and final results deadlines in administrative reviews by 60 days.\2\ On 
March 8, 2021, Commerce extended the deadline for the preliminary 
results of this review to no later than July 30, 2021.\3\
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 85 FR 41540 (July 10, 2020).
    \2\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews,'' dated July 21, 2020.
    \3\ See Memorandum, ``Extension of Deadline for Preliminary 
Results of Countervailing Duty Administrative Review; 2019,'' dated 
March 8, 2021.
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    For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\4\ 
A list of topics discussed in the Preliminary Decision Memorandum is 
included at Appendix I. The Preliminary 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 <a href="http://access.trade.gov">http://access.trade.gov</a>. In addition, a complete version of the Preliminary 
Decision Memorandum can be accessed directly at <a href="http://enforcement.trade.gov/frn/">http://enforcement.trade.gov/frn/</a>.
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    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Countervailing Duty Administrative Review; 2019: 
Certain Carbon and Alloy Steel Cut-to-Length Plate from the Republic 
of Korea,'' dated concurrently with, and hereby adopted by, this 
notice (Preliminary Decision Memorandum).
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Scope of the Order

    The merchandise covered by the order is CTL plate. For a complete 
description of the scope of the order, see the Preliminary Decision 
Memorandum.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(l)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found countervailable, we preliminarily 
determine that there is a subsidy, i.e., a government-provided 
financial contribution that gives rise to a benefit to the recipient, 
and that the subsidy is specific.\5\ For a full description of the 
methodology underlying our conclusions, see the Preliminary Decision 
Memorandum.
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    \5\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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Intent To Rescind Administrative Review, in Part

    On August 6, 2020, Hyundai Steel Company timely submitted a no 
shipment certification.\6\ Because there is no evidence on the record 
to indicate that Hyundai Steel Company had entries, exports, or sales 
of subject merchandise to the United States during the POR, and U.S. 
Customs and Border Protection (CBP) did not provide Commerce with any 
contradictory information, we intend to rescind the review with respect 
to Hyundai Steel Company in accordance with 19 CFR 351.213(d)(3).
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    \6\ See Hyundai Steel Company's Letter, ``Notice of No Sales,'' 
dated August 6, 2020.
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Companies Not Selected for Individual Review

    The statute and Commerce's regulations do not directly address the 
CVD rates to be applied to companies not selected for individual 
examination where Commerce limits its examination in an administrative 
review pursuant to

[[Page 42789]]

section 777A(e)(2) of the Act. However, Commerce normally determines 
the rates for non-selected companies in reviews in a manner that is 
consistent with section 705(c)(5) of the Act, which provides 
instructions for calculating the all-others rate in an investigation. 
Section 777A(e)(2) of the Act also provides that ``the individual 
countervailable subsidy rates determined under subparagraph (A) shall 
be used to determine the all-others rate under section 705(c)(5) {of 
the Act{time} .'' Section 705(c)(5)(A) of the Act states that, in 
general, for companies not investigated, we will determine an all-
others rate by weight-averaging the countervailable subsidy rates 
established for each of the companies individually investigated, 
excluding any zero and de minimis rates, and any rates based solely on 
the facts available. Additionally, section 705(c)(5)(A)(ii) provides 
that when the countervailable subsidy rates established for all 
exporters and producers individually investigated are zero or de 
minimis rates, or based solely on facts available, Commerce may use any 
reasonable method to establish a rate for those companies not 
individually investigated, including averaging the weighted average 
countervailable subsidy rates determined for the exporters and 
producers individually investigated. For the preliminary results of 
this review, we calculated a de minimis net countervailable subsidy 
rate for POSCO, the sole mandatory respondent. As a result, for the 
reasons discussed in the Preliminary Decision Memorandum, we have 
preliminarily determined that it is reasonable to assign to the 
companies not selected for individual examination in this review, the 
de minimis net countervailable subsidy rate calculated for POSCO in 
this review. For a list of the 40 companies for which a review was 
requested, and which were not selected as mandatory respondents, see 
Appendix II to this notice.

Preliminary Results of Review

    In accordance with 19 CFR 351.221(b)(4)(i), Commerce preliminarily 
determines that, during the POR, the net countervailable subsidy rates 
for the producers/exporters under review are as follows:

------------------------------------------------------------------------
                                                              Net
                                                        countervailable
                                                         subsidy rate
                       Company                            (percent ad
                                                         valorem) (de
                                                           minimis)
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POSCO \7\...........................................                0.23
Non-Examined Companies Under Review \8\.............                0.23
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Disclosure and Public Comment
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    \7\ As discussed in the Preliminary Decision Memorandum, 
Commerce has found the following companies to be cross-owned with 
POSCO: Pohang Scrap Recycling Distribution Center Co. Ltd.; POSCO 
Chemical; POSCO International; POSCO M-Tech; POSCO Nippon Steel RHF 
Joint Venture Co., Ltd.; and POSCO Terminal. The subsidy rate 
applies to all cross-owned companies.
    \8\ See Appendix II.
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    We intend to disclose to parties to this proceeding the 
calculations performed in reaching the preliminary results within five 
days of the date of publication of these preliminary results.\9\ 
Interested parties will be notified of the timeline for the submission 
of case briefs at a later date.\10\ Rebuttal briefs, limited to issues 
raised in the case briefs, may be submitted not later than seven days 
after the time limit for filing case briefs.\11\ Pursuant to 19 CFR 
351.309(d)(2), rebuttal briefs must be limited to issues raised in the 
case briefs. Parties who submit arguments are requested to submit with 
the argument: (1) A statement of the issue; (2) a brief summary of the 
argument; and (3) a table of authorities.\12\
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    \9\ See 19 CFR 351.224(b).
    \10\ See 19 CFR 351.309(c)(1)(ii); see also 19 CFR 351.303 (for 
general filing requirements).
    \11\ See 19 CFR 351.309(d)(1); see also Temporary Rule Modifying 
AD/CVD Service Requirements Due to COVID-19, 85 FR 17006, 17007 
(March 26, 2020).
    \12\ See 19 CFR 351.309(c)(2) and 351.309(d)(2).
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    Interested parties who wish to request a hearing must submit a 
written request to the Assistant Secretary for Enforcement and 
Compliance, U.S. Department of Commerce, using Enforcement and 
Compliance's ACCESS system within 30 days of publication of this 
notice.\13\ Requests should contain: (1) The party's name, address, and 
telephone number; (2) the number of participants; and (3) a list of 
issues to be discussed. Issues raised in the hearing will be limited to 
those raised in the respective case and rebuttal briefs. If a request 
for a hearing is made, Commerce intends to hold the hearing at a time 
and date to be determined. Parties should confirm the date and time of 
the hearing two days before the scheduled date.
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    \13\ See 19 CFR 351.310(c).
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    Parties are reminded that all briefs and hearing requests must be 
filed electronically using ACCESS and received successfully in their 
entirety by 5:00 p.m. Eastern Time on the due date. Note that Commerce 
has temporarily modified certain of its requirements for serving 
documents containing business proprietary information, until further 
notice.\14\
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    \14\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July 
10, 2020).
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    Unless the deadline is extended pursuant to section 751(a)(3)(A) of 
the Act and 19 CFR 351.213(h)(2), Commerce intends to issue the final 
results of this administrative review, including the results of our 
analysis of the issues raised by the parties in any briefs, no later 
than 120 days after the date of publication of these preliminary 
results.

Assessment Rate

    Consistent with section 751(a)(2)(C) of the Act, upon issuance of 
the final results, Commerce shall determine, and CBP shall assess, 
countervailing duties on all appropriate entries covered by this 
review.
    Commerce intends to issue assessment instructions to CBP no earlier 
than 35 days after the date of publication of the final results of this 
review in the Federal Register. If a timely summons is filed at the 
U.S. Court of International Trade, the assessment instructions will 
direct CBP not to liquidate relevant entries until the time for parties 
to file a request for a statutory injunction has expired (i.e., within 
90 days of publication).

Cash Deposit Rate

    Pursuant to section 751(a)(2)(C) of the Act, Commerce intends, upon 
publication of the final results, to instruct CBP to collect cash 
deposits of estimated countervailing duties in the amounts indicated 
above with regard to shipments of subject merchandise entered, or 
withdrawn from warehouse, for consumption on or after the date of 
publication of the final results of this review, except, where the rate 
calculated in the final results is zero or de minimis, no cash deposit 
will be required. For all non-reviewed firms, we will instruct CBP to 
continue to collect cash deposits of estimated countervailing duties at 
the most recent company-specific or all-others rate (4.31 percent) 
applicable to the company, as appropriate.\15\ These cash deposit 
instructions, when imposed, shall remain in effect until further 
notice.
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    \15\ See Certain Carbon and Alloy Steel Cut-to-Length Plate from 
the Republic of Korea: Countervailing Duty Order, 82 FR 24103 (May 
25, 2017).

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[[Page 42790]]

Notification to Interested Parties

    These preliminary results of review are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 
351.213 and 351.221(b)(4).

    Dated: July 30, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Period of Review
V. Diversification of Korea's Economy
VI. Intent To Rescind, in Part, the Administrative Review
VII. Rate for Non-Examined Companies
VIII. Subsidies Valuation Information
IX. Benchmarks and Interest Rates
X. Analysis of Programs
XI. Recommendation

Appendix II

Non-Examined Companies Under Review

1. BDP International
2. Blue Track Equipment
3. Boxco
4. Bukook Steel Co., Ltd.
5. Buma CE Co., Ltd.
6. China Chengdu International Techno-Economic Cooperation Co., Ltd.
7. Daehan I.M. Co., Ltd.
8. Daehan Tex Co., Ltd.
9. Daelim Industrial Co., Ltd.
10. Daesam Industrial Co., Ltd.
11. Daesin Lighting Co., Ltd.
12. Daewoo International Corp.
13. Dong Yang Steel Pipe
14. Dongbu Steel Co., Ltd.
15. Dongkuk Industries Co., Ltd.
16. Dongkuk Steel Mill Co., Ltd.
17. EAE Automotive Equipment
18. EEW KHPC Co., Ltd.
19. Eplus Expo Inc.
20. GS Global Corp
21. Haem Co., Ltd.
22. Han Young Industries
23. Hyosung Corp.
24. Jinmyung Frictech Co., Ltd.
25. Khana Marine Ltd.
26. Kindus Inc.
27. Korean Iron and Steel Co., Ltd.
28. Kyoungil Precision Co., Ltd.
29. Menics
30. Qian'an Rentai Metal Products Co., Ltd.
31. Samsun C&T Corp.
32. Shinko
33. Shipping Imperial Co., Ltd.
34. Sinchang Eng Co., Ltd.
35. SK Networks Co., Ltd.
36. SNP Ltd.
37. Steel N People Ltd.
38. Summit Industry
39. Sungjin Co., Ltd.
40. Young Sun Steel

[FR Doc. 2021-16724 Filed 8-4-21; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on August 5, 2021.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.