Notice2023-09854

Certain Hot-Rolled Steel Flat Products From the Republic of Korea: Final Results of Countervailing Duty Administrative Review; 2020

Primary source

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Published
May 9, 2023

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that producers/exporters of certain hot-rolled steel flat products (hot- rolled steel) from the Republic of Korea (Korea) received net countervailable subsidies at de minimis rates during the period of review (POR) January 1, 2020, through December 31, 2020.

Full Text

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<title>Federal Register, Volume 88 Issue 89 (Tuesday, May 9, 2023)</title>
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[Federal Register Volume 88, Number 89 (Tuesday, May 9, 2023)]
[Notices]
[Pages 29889-29890]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-09854]



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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-884]


Certain Hot-Rolled Steel Flat Products From the Republic of 
Korea: Final Results of Countervailing Duty Administrative Review; 2020

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
producers/exporters of certain hot-rolled steel flat products (hot-
rolled steel) from the Republic of Korea (Korea) received net 
countervailable subsidies at de minimis rates during the period of 
review (POR) January 1, 2020, through December 31, 2020.

DATES: Applicable May 9, 2023.

FOR FURTHER INFORMATION CONTACT: Kelsie Hohenberger or Nathan James, 
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) 482-2517 or (202) 
482-5305, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    Commerce published the Preliminary Results of this review on 
November 4, 2022.\1\ On February 13, 2023, Commerce extended the 
deadline for the final results of this administrative review until May 
3, 2023.\2\ For a complete description of the events that occurred 
since the Preliminary Results, see the Issues and Decision 
Memorandum.\3\
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    \1\ See Certain Hot-Rolled Steel Flat Products from the Republic 
of Korea: Preliminary Results and Partial Rescission of 
Countervailing Duty Administrative Review, 2020, 87 FR 66648 
(November 4, 2022) (Preliminary Results), and accompanying 
Preliminary Decision Memorandum.
    \2\ See Memorandum, ``Extension of Deadline for Final Results of 
Countervailing Duty Administrative Review,'' dated February 13, 
2023.
    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results of the 2020 Administrative Review of the 
Countervailing Duty Order on Certain Hot-Rolled Steel Flat Products 
from the Republic of Korea,'' dated concurrently with, and hereby 
adopted by, this notice (Issues and Decision Memorandum).
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Scope of the Order \4\
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    \4\ See Certain Hot-Rolled Steel Flat Products from Brazil and 
the Republic of Korea: Amended Final Affirmative Countervailing Duty 
Determinations and Countervailing Duty Orders, 81 FR 67960 (October 
3, 2016) (Order).
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    The merchandise covered by this Order is hot-rolled steel. For a 
complete description of the scope of this Order, see the Issues and 
Decision Memorandum.

Analysis of Comments Received

    We addressed all issues raised in interested parties' case briefs 
in the Issues and Decision Memorandum accompanying this notice. A list 
of the issues raised by parties, to which Commerce responded in the 
Issues and Decision Memorandum, is provided as an appendix to this 
notice. The Issues and 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="https://access.trade.gov">https://access.trade.gov</a>. In 
addition, a complete version of the Issues and Decision Memorandum can 
be accessed directly at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), in October 2022, Commerce conducted an on-site verification 
of the subsidy information reported by Hyundai Steel.\5\ We used 
standard on-site verification procedures, including an examination of 
relevant accounting records and original source documents provided by 
the respondent.
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    \5\ See Memorandum, ``Verification of the Questionnaire 
Responses of Hyundai Steel Company,'' dated December 1, 2022.
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Changes Since the Preliminary Results

    After evaluating the comments received from interested parties and 
record information, we have made certain changes to our analysis, but 
have made no changes to the net subsidy rates calculated for Hyundai 
Steel Company (Hyundai Steel) and POSCO. For a discussion of these 
comments, see the Issues and Decision Memorandum.

Methodology

    Commerce conducted this review in accordance with section 
751(a)(1)(A) of the Act. For each of the subsidy programs found 
countervailable, we find 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.\6\ For a description of 
the methodology underlying Commerce's conclusions, see the Issues and 
Decision Memorandum.
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    \6\ 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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Final Results of Review

    We determine that, for the period January 1, 2020, through December 
31, 2020, the following net countervailable subsidy rates exist:
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    \7\ This company was also referenced as ``Hyundai Steel Co., 
Ltd'' in the initiation notice. See Initiation of Antidumping and 
Countervailing Duty Administrative Reviews, 86 FR 67685 (November 
29, 2021). As discussed in the Issues and Decision Memorandum, 
Commerce has found the following company to be cross-owned with 
Hyundai Steel: Hyundai Green Power Co.
    \8\ 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.; POSCO Steel Processing and Service; and POSCO Terminal. The 
POSCO subsidy rate applies to all cross-owned companies. We note 
that POSCO has an affiliated trading company through which it 
exported certain subject merchandise, i.e., POSCO International 
Corporation (POSCO International). POSCO International was not 
selected as a mandatory respondent, but was examined in the context 
of POSCO. Therefore, there is not an individually-established rate 
for POSCO International; POSCO International's subsidies are 
accounted for in terms of POSCO's total subsidy rate. Entries of 
subject merchandise exported by POSCO International will receive the 
rate of the producer listed on the entry form with U.S. Customs and 
Border Protection (CBP). Thus, the subsidy rate applied to POSCO 
(and POSCO's cross-owned affiliates) is also applied to POSCO 
International for entries of subject merchandise produced by POSCO.

------------------------------------------------------------------------
                                                          Subsidy rate
                       Company                            (percent  ad
                                                            valorem)
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Hyundai Steel Company \7\............................  0.32 (de minimis)
POSCO \8\............................................  0.33 (de minimis)
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Disclosure

    Commerce intends to disclose the calculations performed for these 
final results of review within five days of the date of publication of 
this notice in the Federal Register, in accordance with 19 CFR 
351.224(b).

Assessment Rate

    In accordance with 19 CFR 351.212(b)(2), Commerce intends to issue 
assessment instructions directing CBP to liquidate entries of subject 
merchandise entered, or withdrawn from warehouse, for consumption on or 
after January 1, 2020, through December 31, 2020, for the above-listed 
companies 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).

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Cash Deposit Requirements

    For the companies listed above for which the subsidy rates are de 
minimis, no cash deposit will be required of these companies 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, we will 
instruct CBP to continue to collect cash deposits of estimated 
countervailing duties at the most recent company-specific rate 
applicable to the company or the all-others rate, as appropriate. These 
cash deposits, when imposed, shall remain in effect until further 
notice.

Administrative Protective Order

    This notice also serves as a final reminder to parties subject to 
an administrative protective order (APO) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely 
written notification of the return/destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and terms of an APO is a sanctionable 
violation.

Notice to Interested Parties

    These final results are issued and published in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.221(b)(5).

    Dated: May 3, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Period of Review
V. Subsidies Valuation Information
VI. Analysis of Programs
VII. Discussion of the Issues
    Comment 1: Whether Electricity Is Subsidized by the Government 
of Korea (GOK)
    Comment 2: Whether the GOK's Port Usage Rights Program Provides 
a Countervailable Benefit
    Comment 3: Whether the Korea Emissions Trading System (K-ETS) 
Program Is Countervailable
    Comment 4: Whether Commerce Should Modify its Benefit 
Calculation Relating to the Provision of K-ETS Permits
    Comment 5: Whether Hyundai Steel Company (Hyundai Steel) and 
Hyundai Green Power Co. (HGP) Are Cross-Owned
    Comment 6: Whether Commerce Was Required by Law to Conduct 
Verification of the GOK and POSCO
    Comment 7: Whether Local Tax Exemptions under Restriction of 
Special Location Taxation Act (RSLTA) Article 57-2 Are 
Countervailable
    Comment 8: Whether Certain of POSCO Chemical Co., Ltd.'s (POSCO 
Chemical) Local Tax Exemptions under RSLTA Article 78 Are Tied to 
Non-Subject Merchandise
    Comment 9: Whether Certain Quota Tariff Import Duty Exemptions 
under Article 71 of the Customs Act Are Tied to Non-Subject 
Merchandise
VIII. Recommendation

[FR Doc. 2023-09854 Filed 5-8-23; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on May 9, 2023.

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