Notice2022-14962
Non-Oriented Electrical Steel From the Republic of Korea, Certain Corrosion-Resistant Steel Products From the Republic of Korea, Certain Cold-Rolled Steel Flat Products From the Republic of Korea, Certain Hot-Rolled Steel Flat Products From the Republic of Korea, Certain Carbon and Alloy Steel Cut-to-Length Plate From the Republic of Korea, and Carbon and Alloy Steel Wire Rod From the Republic of Korea: Notice of Initiation and Preliminary Results of Antidumping Duty Changed Circumstances Review
Primary source
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
July 13, 2022
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
In response to a request for a changed circumstances review (CCR), the U.S. Department of Commerce (Commerce) is initiating a CCR of the antidumping duty (AD) orders on non-oriented electrical steel, certain corrosion-resistant steel products, certain cold-rolled steel flat products, certain hot-rolled steel flat products, certain carbon and alloy steel cut-to-length plate, and carbon and alloy steel wire rod from the Republic of Korea (Korea). Additionally, Commerce preliminarily determines that POSCO, following a corporate organizational change in March 2022 (hereinafter, POSCO(II)), is the successor-in-interest to the pre-reorganization POSCO entity (hereinafter, POSCO(I)). As such, POSCO(II) is entitled to POSCO(I)'s AD cash deposit rates with respect to entries of subject merchandise in each of the above-referenced proceedings. Interested parties are invited to comment on these preliminary results.
Full Text
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<title>Federal Register, Volume 87 Issue 133 (Wednesday, July 13, 2022)</title>
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[Federal Register Volume 87, Number 133 (Wednesday, July 13, 2022)]
[Notices]
[Pages 41661-41663]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-14962]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-580-872, A-580-878, A-580-881, A-580-883, A-580-887, A-580-891]
Non-Oriented Electrical Steel From the Republic of Korea, Certain
Corrosion-Resistant Steel Products From the Republic of Korea, Certain
Cold-Rolled Steel Flat Products From the Republic of Korea, Certain
Hot-Rolled Steel Flat Products From the Republic of Korea, Certain
Carbon and Alloy Steel Cut-to-Length Plate From the Republic of Korea,
and Carbon and Alloy Steel Wire Rod From the Republic of Korea: Notice
of Initiation and Preliminary Results of Antidumping Duty Changed
Circumstances Review
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: In response to a request for a changed circumstances review
(CCR), the U.S. Department of Commerce (Commerce) is initiating a CCR
of the antidumping duty (AD) orders on non-oriented electrical steel,
certain corrosion-resistant steel products, certain cold-rolled steel
flat products, certain hot-rolled steel flat products, certain carbon
and alloy steel cut-to-length plate, and carbon and alloy steel wire
rod from the Republic of Korea (Korea). Additionally, Commerce
preliminarily determines that POSCO, following a corporate
organizational change in March 2022 (hereinafter, POSCO(II)), is the
successor-in-interest to the pre-reorganization POSCO entity
(hereinafter, POSCO(I)). As such, POSCO(II) is entitled to POSCO(I)'s
AD cash deposit rates with respect to entries of subject merchandise in
each of the above-referenced proceedings. Interested parties are
invited to comment on these preliminary results.
DATES: Applicable July 13, 2022.
FOR FURTHER INFORMATION CONTACT: Christopher Maciuba, AD/CVD
Operations, Office V, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-0413.
SUPPLEMENTARY INFORMATION:
Background
On May 23 and 24, 2022, POSCO(II) notified Commerce of a corporate
reorganization and requested that, if necessary, Commerce initiate CCRs
under the relevant AD proceedings to determine that it is the
successor-in-interest to POSCO(I) for purposes of determining AD cash
deposits.\1\ In this request, POSCO(II) stated that, on December 10,
2021, the board of directors of POSCO(I) initially approved a corporate
reorganization whereby POSCO(I) would be registered as POSCO Holdings,
and POSCO(I)'s production and sales operations for its steel business
would be organized under a new business unit, POSCO(II), which would be
a subsidiary of POSCO
[[Page 41662]]
Holdings.\2\ Subsequently, POSCO Holdings and POSCO(II) were registered
on March 2, 2022.\3\
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\1\ See POSCO's Letters, ``Notification of Corporate
Reorganization and Request for Changed Circumstances Review, If
Deemed Necessary: Vertical Spinoff of POSCO,'' dated May 23, 2022;
and ``Notification of Corporate Reorganization and Request for
Changed Circumstances Review, If Deemed Necessary: Vertical Spinoff
of POSCO,'' dated May 24, 2022 (collectively, POSCO CCR Request);
see also POSCO's Letter, ``Clarification of Notification of
Corporate Reorganization and Request for Changed Circumstances
Review, If Deemed Necessary,'' dated May 25, 2022.
\2\ See POSCO CCR Request at 3 and Attachment 1.
\3\ Id. at 3 and Attachments 8 and 9.
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POSCO(II) states that, as a result of the reorganization, the
operations, assets, and liabilities associated with POSCO(I)'s steel
business are now organized under POSCO(II). Further, POSCO Holdings
became the parent company to POSCO(II) and retains all of the other
subsidiaries of POSCO(I) unrelated to the production and sale of steel
products.\4\ With the reorganization, on March 2, 2022, POSCO(II)
became a private company wholly owned by POSCO Holdings, and POSCO
Holdings is the publicly owned stock company (i.e., the function that
POSCO(I) had previously served).
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\4\ Id. at 4 and Attachments 10, 11, and 12.
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Scope of the Orders
The merchandise covered by the orders is non-oriented electrical
steel, certain corrosion-resistant steel products, certain cold-rolled
steel flat products, certain hot-rolled steel flat products, certain
carbon and alloy steel cut-to-length plate, and carbon and alloy steel
wire rod from Korea. For a complete description of the scope of each of
the respective orders, see the Preliminary Decision Memorandum.\5\
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\5\ See Memorandum, ``Decision Memorandum for the Initiation and
Preliminary Results of the Changed Circumstances Review of the
Antidumping Duty Orders on Non-Oriented Electrical Steel from the
Republic of Korea, Certain Corrosion-Resistant Steel Products from
the Republic of Korea, Certain Cold-Rolled Steel Flat Products from
the Republic of Korea, Certain Hot-Rolled Steel Flat Products from
the Republic of Korea, Certain Carbon and Alloy Steel Cut-to-Length
Plate from the Republic of Korea, and Carbon and Alloy Steel Wire
Rod from the Republic of Korea,'' dated July 7, 2022.
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Initiation of Changed Circumstances Review
Pursuant to section 751(b)(1) of the Tariff Act of 1930, as amended
(the Act), and 19 CFR 351.216 and 351.221(c)(3), Commerce will conduct
a CCR of an order upon receipt of information concerning, or a request
from an interested party for a review of, an order which shows changed
circumstances sufficient to warrant a review of the order. Commerce
finds that the information submitted by POSCO(II) demonstrates changed
circumstances sufficient to warrant such a review. Therefore, in
accordance with section 751(b)(1) of the Act and 19 CFR 351.216(d),
Commerce is initiating CCRs based on the information contained in
POSCO(II)'s request that Commerce determine POSCO(II) is the successor-
in-interest to POSCO(I) for purposes of the orders.\6\
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\6\ See Non-Oriented Electrical Steel from the People's Republic
of China, Germany, Japan, the Republic of Korea, Sweden, and Taiwan:
Antidumping Duty Orders, 79 FR 71741 (December 3, 2014); Certain
Corrosion-Resistant Steel Products from India, Italy, the People's
Republic of China, the Republic of Korea, and Taiwan: Amended Final
Affirmative Antidumping Determination for India and Taiwan, and
Antidumping Duty Orders, 81 FR 48390 (July 25, 2016); Certain Cold-
Rolled Steel Flat Products from Brazil, India, the Republic of
Korea, and the United Kingdom: Amended Final Affirmative Antidumping
Determinations for Brazil and the United Kingdom and Antidumping
Duty Orders, 81 FR 58475 (August 25, 2016); Certain Hot-Rolled Steel
Flat Products from Australia, Brazil, Japan, the Republic of Korea,
the Netherlands, the Republic of Turkey, and the United Kingdom:
Amended Final Affirmative Antidumping Determinations for Australia,
the Republic of Korea, and the Republic of Turkey and Antidumping
Duty Orders, 81 FR 67962 (October 3, 2016); Certain Carbon and Alloy
Steel Cut-To-Length Plate from Austria, Belgium, France, the Federal
Republic of Germany, Italy, Japan, the Republic of Korea, and
Taiwan: Amended Final Affirmative Antidumping Determinations for
France, the Federal Republic of Germany, the Republic of Korea and
Taiwan, and Antidumping Duty Orders, 82 FR 24096 (May 25, 2017);
Carbon and Alloy Steel Wire Rod from Italy, the Republic of Korea,
Spain, the Republic of Turkey, and the United Kingdom: Antidumping
Duty Orders and Amended Final Affirmative Antidumping Duty
Determinations for Spain and the Republic of Turkey, 83 FR 23417
(May 21, 2018).
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Further, 19 CFR 351.221(c)(3)(ii) permits Commerce to combine the
notice of initiation of a CCR and the notice of preliminary results of
a CCR if Commerce concludes that expedited action is warranted. In this
instance, because the record contains information necessary to make a
preliminary finding, we find that expedited action is warranted and
have combined the notice of initiation and the notice of preliminary
results.
Methodology
In determining whether one company is the successor to another,
Commerce generally considers a company to be the successor-in-interest
for AD cash deposit purposes if the operations of the successor are not
materially dissimilar from those of its predecessor.\7\ In making this
determination, Commerce examines a number of factors including, but not
limited to, changes in: (1) Management; (2) production facilities; (3)
suppliers; and (4) customer base.\8\ While no one or several of these
factors will necessarily provide a dispositive indication of
succession, if the 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 prior company, Commerce
will assign the new company the cash deposit rate of its
predecessor.\9\
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\7\ See Initiation and Preliminary Results of Antidumping Duty
Changed Circumstances Review: Multilayered Wood Flooring from the
People's Republic of China, 79 FR 48117 (August 15, 2014), unchanged
in Multilayered Wood Flooring from the People's Republic of China:
Final Results of Changed Circumstances Review, 79 FR 58740
(September 30, 2014).
\8\ Id.
\9\ See, e.g., Certain Preserved Mushrooms from India:
Initiation and Preliminary Results of Changed-Circumstances Review,
67 FR 78416 (December 24, 2002), unchanged in Certain Preserved
Mushrooms from India: Final Results of Changed-Circumstances Review,
68 FR 6884 (February 11, 2003); and Fresh and Chilled Atlantic
Salmon from Norway: Final Results of Changed Circumstances
Antidumping Administrative Review, 64 FR 9979, 9980 (March 1, 1999).
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Commerce's analysis of the information submitted by POSCO(II) is
detailed in the Preliminary Decision Memorandum. A list of the topics
discussed in the Preliminary Decision Memorandum is included as an
appendix to this notice. The Preliminary Decision Memorandum is a
public document and is made available to the public via Enforcement and
Compliance's Antidumping and Countervailing Duty Centralized Electronic
Service System (ACCESS). ACCESS is available to registered users at
<a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete version of the
Preliminary Decision Memorandum is available at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
Preliminary Results of the Changed Circumstances Reviews
In its CCR Request, POSCO(II) provided evidence demonstrating that
its operations are not materially dissimilar from those of POSCO(I).
Specifically, POSCO(II) is managed and operated by many of the same
managers as POSCO(II), either directly as board members or members of
POSCO(II)'s management team, or indirectly as members of POSCO
Holdings' management team. Further, POSCO(II) has not added, or
discontinued use of, steel production facilities as a result of the
change in ownership and management structure. Finally, there have been
no significant changes to the company's suppliers and customer base.
Based on the foregoing, which is explained in greater detail in the
Preliminary Decision Memorandum, we preliminarily determine that
POSCO(II) is the successor-in-interest to POSCO(I) and, as such, that
POSCO(II) is entitled to POSCO(I)'s AD cash deposit rate with respect
to entries of subject merchandise.
Public Comment
In accordance with 19 CFR 351.309(c)(1)(ii), interested parties may
submit case briefs not later than 14 days
[[Page 41663]]
after the date of publication of this notice.\10\ Rebuttal briefs,
limited to issues raised in case briefs, may be filed not later than
seven days after the due date for case briefs, in accordance with 19
CFR 351.309(d).\11\ Parties who submit case briefs or rebuttal briefs
in this CCR are requested to submit with each argument: (1) a statement
of the issues; (2) a brief summary of the arguments; and (3) a table of
authorities.\12\
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\10\ Commerce is exercising its discretion under 19 CFR
351.309(c)(1)(ii) to alter the time limit for the filing of case
briefs.
\11\ See 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).
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Pursuant to 19 CFR 351.310(c), any interested party may request a
hearing within 14 days of publication of this notice.\13\ Hearing
requests should contain the following information: (1) the party's
name, address, and telephone number; (2) the number of participants;
and (3) a list of the issues to be discussed. Oral presentations at the
hearing will be limited to issues raised in the 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 the time
of the hearing two days before the scheduled date.
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\13\ Commerce is exercising its discretion under 19 CFR
351.310(c) to alter the time limit for requesting a hearing.
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All submissions must be filed electronically using ACCESS and must
also be served on interested parties. An electronically-filed document
must be received successfully in its entirely by ACCESS by 5:00 p.m.
Eastern Time (ET) on the due date.\14\ Note that Commerce has
temporarily modified certain requirements for serving documents
containing business proprietary information, until further notice.\15\
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\14\ See 19 CFR 351.303(b).
\15\ 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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Final Results
Consistent with 19 CFR 351.216(e), we intend to issue the final
results of these CCRs no later than 270 days after the date on which
this review was initiated, or within 45 days of publication of these
preliminary results, if all parties agree to the preliminary findings.
Notification to Interested Parties
We are issuing and publishing this initiation and preliminary
results notice in accordance with section 751(b)(1) and 777(i)(1) of
the Act, and 19 CFR 351.216(b) and 351.221(c)(3).
Dated: July 7, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
Appendix
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scopes of the Orders
IV. Current Cash Deposit Rates
V. Initiation and Preliminary Results of the Changed Circumstances
Review
VI. Successor-in-Interest Determination
VII. Recommendation
[FR Doc. 2022-14962 Filed 7-12-22; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on July 13, 2022.
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