Notice2024-02019

Certain Corrosion-Resistant Steel Products From the Republic of Korea: Final Results and Partial Rescission of Countervailing Duty Administrative Review; 2021

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
February 1, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that countervailable subsidies are being provided to producers and exporters of certain corrosion-resistant steel products from the Republic of Korea. The period of review (POR) is January 1, 2021, through December 31, 2021.

Full Text

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<title>Federal Register, Volume 89 Issue 22 (Thursday, February 1, 2024)</title>
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[Federal Register Volume 89, Number 22 (Thursday, February 1, 2024)]
[Notices]
[Pages 6501-6503]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-02019]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-879]


Certain Corrosion-Resistant Steel Products From the Republic of 
Korea: Final Results and Partial Rescission of Countervailing Duty 
Administrative Review; 2021

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
countervailable subsidies are being provided to producers and exporters 
of certain corrosion-resistant steel products from the Republic of 
Korea. The period of review (POR) is January 1, 2021, through December 
31, 2021.

DATES: Applicable February 1, 2024.

FOR FURTHER INFORMATION CONTACT: Robert Palmer, 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) 482-9068.

SUPPLEMENTARY INFORMATION: 

Background

    Commerce published the preliminary results of this administrative 
review on July 31, 2023.\1\ For a description of the events that 
occurred since the Preliminary Results, see the Issues and Decision 
Memorandum.\2\
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    \1\ See Certain Corrosion-Resistant Steel Products from the 
Republic of Korea: Preliminary Results and Partial Rescission of 
Countervailing Duty Administrative Review; 2021, 88 FR 49440 (July 
31, 2023) (Preliminary Results), and accompanying Preliminary 
Decision Memorandum.
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results and Partial Rescission of the 2021 Administrative 
Review of the Countervailing Duty Order on Certain Corrosion-
Resistant Steel 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 \3\
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    \3\ See 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) (Order).
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    The products covered by this Order are certain corrosion-resistant 
steel products. For a complete description of the scope of this Order, 
see the Issues and Decision Memorandum.

Analysis of Comments Received

    All issues raised in interested parties' case briefs are addressed 
in the Issues and Decision Memorandum accompanying this notice. A list 
of the issues raised by parties, and to which Commerce responded in the 
Issues and Decision Memorandum, is provided in the 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>.

Changes Since the Preliminary Results

    Based on a review of the record and comments received from 
interested parties regarding our Preliminary Results, and for the 
reasons explained in the Issues and Decision Memorandum, we made 
certain revisions to the subsidy calculations for KG Dongbu Steel Co., 
Ltd. (KG Dongbu). As a result of the changes to KG Dongbu's final 
subsidy rate, the final subsidy rate for the three non-selected 
companies under review also changed.\4\
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    \4\ For details on the changes made since the Preliminary 
Results, see the Issues and Decision Memorandum.
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Methodology

    Commerce conducted this review in accordance with section 
751(a)(1)(A) of the Tariff Act of 1930, as amended (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.\5\ For a description of the methodology underlying all of 
Commerce's

[[Page 6502]]

conclusions, see the Issues and 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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Partial Rescission of Review

    Commerce's practice is to rescind an administrative review of a 
countervailing duty order, pursuant to 19 CFR 351.213(d)(3), when there 
are no reviewable entries of subject merchandise during the POR for 
which liquidation is suspended.\6\ Normally, upon completion of an 
administrative review, the suspended entries are liquidated at the 
countervailing duty assessment rate calculated for the review 
period.\7\ Therefore, for an administrative review of a company to be 
conducted, there must be a reviewable, suspended entry that Commerce 
can instruct U.S. Customs and Border Protection (CBP) to liquidate at 
the countervailing duty assessment rate calculated for the review 
period.
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    \6\ See, e.g., Lightweight Thermal Paper from the People's 
Republic of China: Notice of Rescission of Countervailing Duty 
Administrative Review; 2015, 82 FR 14349 (March 20, 2017); and 
Circular Welded Carbon Quality Steel Pipe from the People's Republic 
of China: Rescission of Countervailing Duty Administrative Review; 
2017, 84 FR 14650 (April 11, 2019).
    \7\ See 19 CFR 351.212(b)(2).
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    In the Preliminary Results, we found the following four companies 
subject to this review did not have reviewable entries during the POR 
for which liquidation is suspended: (1) SeAH Steel Corporation; (2) 
POSCO International; (3) POSCO Steeleon; and (4) Hyundai Steel Co., 
Ltd. Accordingly, pursuant to 19 CFR 351.213(d)(3), we stated our 
intention to rescind the review with respect to these companies in the 
final results.\8\ Because there is no evidence on the record that these 
four companies had entries, exports, or sales of subject merchandise 
during the POR, and no party filed comments with respect to our 
preliminary determination regarding these companies, we are rescinding 
this review with respect to these four companies consistent with 19 CFR 
351.213(d)(3).
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    \8\ See Preliminary Results, 88 FR at 49440.
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Companies Not Selected for Individual Review

    There are three companies for which a review was requested, but 
which were not selected as mandatory respondents or found to be cross-
owned with a mandatory respondent. These companies are: (1) POSCO; (2) 
POSCO Coated & Color Steel Co., Ltd.; and (3) SeAH Coated Metal. For 
these three companies, because the rates calculated for mandatory 
respondents KG Dongbu and Hyundai Steel Company were above de minimis 
and not based entirely on facts available, we applied a final subsidy 
rate based on a weighted average of the rates calculated for the two 
mandatory respondents using the publicly ranged sales data they 
submitted on the record. This methodology for establishing the subsidy 
rate for the non-selected companies is consistent with our practice and 
with section 705(c)(5)(A) of the Act.

Final Results of Review

    We determine that, for the period January 1, 2021, through December 
31, 2021, the following total net countervailable subsidy rates exist:

------------------------------------------------------------------------
                                                  Subsidy rate (percent
               Producer/exporter                       ad valorem)
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KG Dongbu Steel Co., Ltd.......................                     6.48
Hyundai Steel Company..........................                     0.82
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       Review-Specific Rate Applicable to Non-Selected Companies:
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POSCO..........................................                     1.60
POSCO Coated & Color Steel Co., Ltd............                     1.60
SeAH Coated Metal..............................                     1.60
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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

    Pursuant to section 751(a)(2)(C) of the Act and 19 CFR 
351.212(b)(2), Commerce has determined, and CBP shall assess, 
countervailing duties on all appropriate entries of subject merchandise 
in accordance with the final results of this review, for the above-
listed companies at the applicable ad valorem assessment rates listed. 
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 Rates

    In accordance with section 751(a)(1) 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 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 administrative 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 or 
all-others rate applicable to the company, as appropriate. These cash 
deposits, effective upon the publication of the final results of this 
review, 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.

Notification 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).


[[Page 6503]]


    Dated: January 25, 2024.
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. Subsidies Valuation Information
V. Analysis of Programs
VI. Discussion of the Issues
    Comment 1: Whether Electricity Is Subsidized by the Government 
of Korea (GOK)
    Comment 2: Whether the Korea Emissions Trading System (K-ETS) Is 
Countervailable
    Comment 3: Whether Hyundai Steel Company (Hyundai Steel) and 
Hyundai Green Power (HGP) Are Cross-Owned
    Comment 4: Whether KG Dongbu Steel Co., Ltd. (KG Dongbu) Is 
Equityworthy and the 2015-2018 Debt-to-Equity Swaps Should Be 
Countervailed
    Comment 5: Whether Subsidies Prior to Dongbu Steel Co., Ltd.'s 
(Dongbu Steel) Change in Ownership (CIO) Pass Through to KG Dongbu
    Comment 6: Whether Commerce Incorrectly Calculated the 
Uncreditworthy Benchmark Rate and Unequityworthy Discount Rate
    Comment 7: Whether Commerce Used the Correct Uncreditworthy Rate 
in the Benefit Calculation for the Long-Term Loan and Bond 
Restructured in 2019
    Comment 8: Whether Commerce Incorrectly Included Long-Term Bonds 
Received From a Private Bank in its Calculation of Benefit for 
Restructured Loans
VIII. Recommendation

[FR Doc. 2024-02019 Filed 1-31-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on February 1, 2024.

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