Notice2021-21851
Certain Cold-Rolled Steel Flat Products From the Republic of Korea: Preliminary Results of Countervailing Duty Administrative Review, 2019
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Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
October 6, 2021
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The Department of Commerce (Commerce) preliminarily determines that certain producers/exporters of certain cold-rolled steel flat products (cold-rolled steel) from the Republic of Korea (Korea) received countervailable subsidies during the period of review (POR) January 1, 2019 through December 31, 2019, while other producers/ exporters (i.e., Hyundai Steel Co., Ltd., also referred to as Hyundai Steel Company (Hyundai Steel) and POSCO) received de minimis net countervailable subsidies during the POR. Interested parties are invited to comment on these preliminary results.
Full Text
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<title>Federal Register, Volume 86 Issue 191 (Wednesday, October 6, 2021)</title>
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[Federal Register Volume 86, Number 191 (Wednesday, October 6, 2021)]
[Notices]
[Pages 55572-55574]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-21851]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-580-882]
Certain Cold-Rolled Steel Flat Products From the Republic of
Korea: Preliminary Results of Countervailing Duty Administrative
Review, 2019
AGENCY: Enforcement and Compliance, International Trade Administration,
U.S. Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines
that certain producers/exporters of certain cold-rolled steel flat
products (cold-rolled steel) from the Republic of Korea (Korea)
received countervailable subsidies during the period of review (POR)
January 1, 2019 through December 31, 2019, while other producers/
exporters (i.e., Hyundai Steel Co., Ltd., also referred to as Hyundai
Steel Company (Hyundai Steel) and POSCO) received de minimis net
countervailable subsidies during the POR. Interested parties are
invited to comment on these preliminary results.
DATES: Applicable October 6, 2021.
FOR FURTHER INFORMATION CONTACT: Moses Song or Natasia Harrison, AD/CVD
Operations, Office VI, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-7885 and (202) 482-1240,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On October 30, 2020, Commerce published a notice of initiation of
an administrative review of the countervailing duty (CVD) order on
cold-rolled steel from Korea.\1\ On December 17, 2020, Commerce
selected Hyundai Steel and POSCO as mandatory respondents in this
administrative review.\2\ On May 18, 2021, Commerce extended the
deadline for the preliminary results of this review.\3\
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\1\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 85 FR 68840, 68846-68847 (October 30, 2020).
\2\ See Memorandum, ``Countervailing Duty Administrative Review
of Certain Cold-Rolled Steel Flat Products from the Republic of
Korea: Selection of Respondents for Individual Examination,'' dated
December 17, 2020. The petitioners requested a review of ``Hyundai
Steel Co., Ltd.,'' while Hyundai Steel requested a review of
``Hyundai Steel Company.'' We selected Hyundai Steel Co., Ltd., also
referred to as Hyundai Steel Company as a mandatory respondent,
based on the entry volume of exports of subject merchandise during
the POR. We combined the entry quantities of Hyundai Steel Co.,
Ltd., based on the company specific case number which appears in the
CBP data.
\3\ See Memorandum, ``Certain Cold-Rolled Steel Flat Products
from the Republic of Korea: Extension of Deadline for the
Preliminary Results of the 2019 Countervailing Duty Administrative
Review,'' dated May 18, 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 to this notice. The Preliminary
[[Page 55573]]
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 Cold-Rolled Steel Flat Products 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 certain cold-rolled steel.
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 financial contribution from
an authority 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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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 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 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 for companies not investigated, in general, we will determine an
all-others rate by weight-averaging the countervailable subsidy rates
established for each of the companies individually investigated,
excluding zero and de minimis rates or any rates based solely on the
facts available.
Accordingly, to determine the rate for companies not selected for
individual examination, Commerce's practice is to weight average the
net subsidy rates for the selected mandatory companies, excluding rates
that are zero, de minimis, or based entirely on facts available.\6\ In
this review, we preliminarily calculated de minimis subsidy rates for
each of the mandatory respondents (i.e., Hyundai Steel and POSCO)
during the POR. In CVD proceedings where the number of respondents
being individually examined has been limited, Commerce has determined
that a ``reasonable method'' to use to determine the rate applicable to
companies that were not individually examined when all the rates of
selected mandatory respondents are zero or de minimis, is to assign to
the non-selected respondents the average of the most recently
determined rates for the mandatory respondents (i.e., Hyundai Steel and
POSCO) that are not zero, de minimis, or based entirely on facts
available.\7\ However, if a non-selected respondent has its own
calculated rate that is contemporaneous with or more recent than these
previous rates, Commerce has found it appropriate to apply that
calculated rate to that non-selected respondent, even when that rate is
zero or de minimis.\8\
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\6\ See, e.g., Certain Pasta from Italy: Final Results of the
13th (2008) Countervailing Duty Administrative Review, 75 FR 37386,
37387 (June 29, 2010).
\7\ See, e.g., Circular Welded Carbon Steel Pipes and Tubes from
Turkey: Final Results of Countervailing Duty Administrative Review;
Calendar Year 2012 and Rescission of Countervailing Duty
Administrative Review, in Part, 79 FR 51140, 51141 (August 27,
2014); and Cut-to-Length Carbon-Quality Steel Plate from the
Republic of Korea: Final Results of Countervailing Duty
Administrative Review; 2012, 79 FR 46770 (August 11, 2014), and
accompanying IDM at ``Non-Selected Rate''; and Steel Concrete
Reinforcing Bar from the Republic of Turkey: Preliminary Results of
Countervailing Duty Administrative Review and Intent To Rescind the
Review in Part; 2017, 85 FR 3030 (January 17, 2020), and
accompanying PDM at ``Non-Selected Rate,'' unchanged in Steel
Concrete Reinforcing Bar from the Republic of Turkey: Final Results
and Partial Rescission of Countervailing Duty Administrative Review;
2017, 85 FR 42353 (July 14, 2020), and accompanying IDM at ``Non-
Selected Rate.''
\8\ Id.
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In recent administrative reviews of this order, we calculated net
subsidy rates of 0.51 percent ad valorem for Hyundai Steel and 0.59
percent ad valorem for POSCO.\9\ Therefore, for these preliminary
results, and consistent with Commerce's practice described above, we
are assigning the rate of 0.55 percent ad valorem, i.e., the simple
average rate of Hyundai Steel's 0.51 percent and POSCO's 0.59 percent
above-ad valorem, to non-selected companies for which an individual
rate was not calculated.\10\ In addition, in the most recently
completed administrative review (i.e., CRS Third Admin Review Final
Results), we calculated a rate of 9.18 percent ad valorem for Dongbu
Steel Co., Ltd./Dongbu Incheon Steel Co., Ltd.\11\ Accordingly, for
these preliminary results, consistent with Commerce's practice
described above, we are assigning the rate of 9.18 percent ad valorem
to Dongbu Steel Co., Ltd./Dongbu Incheon Steel Co., Ltd., i.e., the
sole company for which an individual rate was calculated in a prior
review but which was not selected for review in the instant review,
based on the company's rate calculated in the prior review (i.e., CRS
Third Admin Review Final Results).
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\9\ See Cold-Rolled Steel Flat Products from the Republic of
Korea: Preliminary Results of Countervailing Duty Administrative
Review; 2018, 86 FR 7063 (January 26, 2021); and Certain Cold-Rolled
Steel Flat Products from the Republic of Korea: Final Results of
Countervailing Duty Administrative Review; 2018, 86 FR 40465 (July
28, 2021) (CRS Third Admin Review Final Results); see also Certain
Cold-Rolled Steel Flat Products from the Republic of Korea:
Preliminary Results of Countervailing Duty Administrative Review;
2017, 84 FR 60377 (November 8, 2019); and Certain Cold-Rolled Steel
Flat Products from the Republic of Korea: Final Results of
Countervailing Duty Administrative Review; 2017, 85 FR 38361 (June
26, 2020) (CRS Second Admin Review Final Results) (collectively, CRS
Second Admin Review).
\10\ The rate of 0.55 percent ad valorem is the average of
Hyundai Steel's and POSCO's most recently determined individual
rates that are not zero, de minimis, or based entirely on facts
available. See CRS Third Admin Review Final Results, 86 FR at 40466;
and CRS Second Admin Review Final Results, 85 FR at 38361.
\11\ See CRS Third Admin Review Final Results, 86 FR at 40466.
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Preliminary Results of the Review
As a result of this review, we preliminarily determine the net
countervailable subsidy rates to be:
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Subsidy rate
Producer/exporter ad valorem
(percent)
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Hyundai Steel Co., Ltd.................................. * 0.46
POSCO \12\.............................................. * 0.32
Non-Selected Companies Under Review \13\................ 0.55
Dongbu Steel Co., Ltd./Dongbu Incheon Steel Co., Ltd. 9.18
\14\...................................................
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* (de minimis)
Assessment Rates
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\12\ 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 M-Tech; POSCO Nippon Steel RHF Joint Venture Co.,
Ltd.; and POSCO Terminal. The subsidy rate applies to all cross-
owned companies.
\13\ See Appendix II.
\14\ As described above, while Dongbu Steel Co., Ltd. and Dongbu
Incheon Steel Co., Ltd. are non-selected respondents, because each
received a calculated rate in a prior review (i.e., CRS Third Admin
Review Final Results), Commerce has found it appropriate to apply
that calculated rate to that to Dongbu Steel Co., Ltd. and Dongbu
Incheon Steel Co., Ltd. in this review.
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Pursuant to section 751(a)(2)(C) of the Act, upon issuance of the
final results,
[[Page 55574]]
Commerce shall determine, and U.S. Customs and Border Protection (CBP)
shall assess, countervailing duties on all appropriate entries covered
by this review. If the assessment rate calculated in the final results
in zero or de minimis, we will instruct CBP to liquidate all
appropriate entries without regard to countervailing duties. 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 Requirements
Pursuant to section 751(a)(2)(C) of the Act, Commerce intends to
instruct CBP to collect cash deposits of estimated countervailing
duties in the amounts shown for each of the respective companies listed
above, except, where the rate calculated in the final results is de
minimis, no cash deposit will be required on shipments of the subject
merchandise entered or withdrawn from warehouse, for consumption on or
after the date of publication of the final results of this review. For
all non-reviewed firms, CBP will continue to collect cash deposits at
the most recent company-specific or all-others rate applicable to the
company, as appropriate. These cash deposit requirements, when imposed,
shall remain in effect until further notice.
Disclosure and Public Comment
We will disclose to the parties in this proceeding the calculations
performed in reaching the preliminary results within five days of the
date of publication of these preliminary results.\15\ Case briefs, or
other written comments, may be submitted to the Assistant Secretary for
Enforcement and Compliance at a date to be determined. Rebuttal
comments (rebuttal briefs), limited to issues raised in case briefs,
may be filed within seven days \16\ after the time limit for filing
case briefs. 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 each argument: (1) A statement
of the issue; (2) a brief summary of the argument; and (3) a table of
authorities.\17\ All briefs must be filed electronically using ACCESS.
Note that Commerce has temporarily modified certain of its requirements
for serving documents containing business proprietary information until
further notice.\18\
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\15\ See 19 CFR 351.224(b).
\16\ See Temporary Rule Modifying AD/CVD Service Requirements
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July
10, 2020) (Temporary Rule).
\17\ See 19 CFR 351.309(c)(2) and 351.309(d)(2).
\18\ See Temporary Rule.
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing must submit a written request to the Assistant
Secretary for Enforcement and Compliance, filed electronically via
ACCESS by 5 p.m. Eastern Time within 30 days after the date of
publication of this notice.\19\ Hearing requests should contain: (1)
The party's name, address, and telephone number; (2) the number of
participants; and (3) a list of the issues to be discussed. Issues
addressed at the hearing will be limited to those raised in the briefs.
If a request for a hearing is made, parties will be notified of the
date and time for the hearing to be determined.\20\
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\19\ See 19 CFR 351.310(c).
\20\ See 19 CFR 351.310(d).
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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 their comments, no later than 120 days after the date of
publication of this notice, pursuant to section 751(a)(3)(A) of the Act
and 19 CFR 351.213(h)(1), unless this deadline is extended.
Notification to Interested Parties
These preliminary results are issued and published pursuant to
sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.213 and 19
CFR 351.221(b)(4).
Dated: September 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. Period of Review
IV. Scope of the Order
V. Rate for Non-Examined Companies
VI. Subsidies Valuation Information
VII. Analysis of Programs
VIII. Recommendation
Appendix II--List of Non-Selected Companies
1. AJU Steel Co., Ltd.
2. Amerisource Korea
3. Atlas Shipping Cp. Ltd.
4. BC Trade
5. Busung Steel Co., Ltd.
6. Cenit Co., Ltd.
7. Daewoo Logistics Corp.
8. Dai Yang Metal Co., Ltd.
9. DK GNS Co., Ltd
10. Dongbu Incheon Steel Co., Ltd.\21\
11. Dongbu Steel Co., Ltd.\22\
12. KG Dongbu Steel Co., Ltd. (formerly Dongbu Steel Co., Ltd.)
13. Dongbu USA
14. Dong Jin Machinery
15. Dongkuk Industries Co., Ltd.
16. Dongkuk Steel Mill Co., Ltd.
17. Eunsan Shipping and Air Cargo Co., Ltd.
18. Euro Line Global Co., Ltd.
19. GS Global Corp.
20. Hanawell Co., Ltd.
21. Hankum Co., Ltd.
22. Hyosung TNC Corp.
23. Hyuk San Profile Co., Ltd.
24. Hyundai Group
25. Iljin NTS Co., Ltd.
26. Iljin Steel Corp.
27. Jeen Pung Industrial Co., Ltd.
28. JT Solution
29. Kolon Global Corporation
30. Nauri Logistics Co., Ltd.
31. Okaya (Korea) Co., Ltd.
32. PL Special Steel Co., Ltd.
33. POSCO C&C Co., Ltd.
34. POSCO Daewoo Corp.
35. POSCO International Corp.
36. Samsung C&T Corp.
37. Samsung STS Co., Ltd.
38. SeAH Steel Corp.
39. SM Automotive Ltd.
40. SK Networks Co., Ltd.
41. Taihan Electric Wire Co., Ltd.
42. TGS Pipe Co., Ltd.
43. TI Automotive Ltd.
44. Xeno Energy
45. Young Steel Co., Ltd.
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\21\ As described above, while Dongbu Steel Co., Ltd. and Dongbu
Incheon Steel Co., Ltd. are non-selected respondents, because each
received a calculated rate in a prior review (i.e., CRS Third Admin
Review Final Results), Commerce has found it appropriate to apply
that calculated rate to that to Dongbu Steel Co., Ltd. and Dongbu
Incheon Steel Co., Ltd.
\22\ See footnote 21.
[FR Doc. 2021-21851 Filed 10-5-21; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on October 6, 2021.
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