Notice2024-17174
Brass Rod From Israel: Final Affirmative Countervailing Duty Determination
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
August 5, 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 brass rod from Israel. The period of investigation (POI) is January 1, 2022, through December 31, 2022.
Full Text
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<title>Federal Register, Volume 89 Issue 150 (Monday, August 5, 2024)</title>
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[Federal Register Volume 89, Number 150 (Monday, August 5, 2024)]
[Notices]
[Pages 63410-63412]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-17174]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-508-815]
Brass Rod From Israel: Final Affirmative Countervailing Duty
Determination
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 brass rod from Israel. The period of investigation (POI) is January
1, 2022, through December 31, 2022.
DATES: Applicable August 5, 2024.
FOR FURTHER INFORMATION CONTACT: Zachary Shaykin, AD/CVD Operations,
Office IV, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-2638.
SUPPLEMENTARY INFORMATION:
Background
On September 29, 2023, Commerce published its Preliminary
Determination.\1\ In the Preliminary Determination, and in accordance
with section 705(a)(1) of the Tariff Act of 1930, as amended (the Act),
and 19 CFR 351.210(b)(4), Commerce aligned the final countervailing
duty (CVD) determination with the final antidumping duty
determination.\2\ On October 12, 2023, Commerce tolled all deadlines
for this investigation for a period of 90 days due to the outbreak of
war in Israel and the consequent impacts on all parts of the
country.\3\ On May 10, 2024, Commerce released its Post-Preliminary
Decision.\4\ On July 22, 2024, Commerce tolled certain deadlines in
this proceeding by seven days.\5\ The deadline for the final
determination is now July 29, 2024.
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\1\ See Brass Rod from Israel: Preliminary Affirmative
Countervailing Duty Determination, and Alignment of Final
Determination With Final Antidumping Duty Determination, 88 FR 67236
(September 29, 2023) (Preliminary Determination).
\2\ Id., 88 FR at 67236.
\3 \ See Memorandum, ``Tolling of Deadlines in Countervailing
Duty Investigation of Brass Rod from Israel,'' dated October 12,
2023.
\4\ See Memorandum, ``Post Preliminary Analysis,'' dated May 10,
2024.
\5\ See Memorandum, ``Tolling of Deadlines for Antidumping and
Countervailing Duty Proceedings,'' dated July 22, 2024., ``Tolling
of Deadlines for Antidumping and Countervailing Duty Proceedings,''
dated July 22, 2024.
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For a complete description of the events that followed the
Preliminary Determination, see the Issues and Decision Memorandum.\6\
The Issues and 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="http://access.trade.gov">http://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>.
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\6\ See Memorandum, ``Decision Memorandum for the Final
Affirmative Determination of the Countervailing Duty Investigation
of Brass Rod from Israel,'' dated concurrently with, and hereby
adopted by, this notice (Issues and Decision Memorandum).
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Scope of the Investigation
The product covered by this investigation is brass rod from Israel.
For a complete description of this investigation, see Appendix I.
Scope Comments
During this investigation, Commerce received scope comments from
parties. Commerce issued a Preliminary Scope Decision Memorandum to
address these comments and set aside a period for parties to address
scope issues in scope-specific case and rebuttal briefs.\7\ We did not
receive timely comments from any interested parties on the Preliminary
Scope Decision Memorandum. Thus, we did not make any changes to the
scope of the investigation from the scope published in the Preliminary
Determination and included in Appendix I.\8\
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\7\ See Memorandum, ``Preliminary Scope Decision Memorandum,''
dated September 25, 2023 (Preliminary Scope Decision Memorandum).
\8\ See Brass Rod from India: Final Affirmative Countervailing
Duty Determination, 88 FR 87407 (December 18, 2023); see also
Preliminary Determination.
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Verification
As provided in section 782(i)(1) of the Act, in May 2024, we
verified the information submitted by Finkelstein and the Government of
Israel (GOI) for use in our final determination. We used standard
verification procedures, including an examination of relevant sales and
accounting records, and original source documents provided by
Finkelstein and the GOI.\9\
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\9\ See Memorandum, ``Verification of the Questionnaire
Responses of the Government of Israel,'' dated June 10, 2024; see
also Memorandum, ``Verification of the Questionnaire Responses of
Finkelstein Metals Ltd.,'' dated June 17, 2024.
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Analysis of Subsidy Programs and Comments Received
All issues raised in the case and rebuttal briefs submitted by
interested parties in this investigation are addressed in the Issues
and Decision Memorandum. For a list of the issues raised by interested
parties and addressed in the Issues and Decision Memorandum, see
Appendix II to this notice.
Methodology
Commerce conducted this investigation in accordance with section
701 of the Act. For each of the subsidy programs found countervailable,
Commerce determines that there is a subsidy, i.e., a financial
contribution by an ``authority'' that gives rise to a benefit to the
recipient, and that the subsidy is specific.\10\ For a full description
of the methodology underlying our final determination, see the Issues
and Decision Memorandum.
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\10\ 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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Changes Since the Preliminary Determination
We made certain changes to the countervailable subsidy rate
calculations for Finkelstein.\11\ For a discussion of these changes,
see the Issues and Decision Memorandum.
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\11\ See Memorandum, ``Final Determination Calculations for
Finkelstein Metals Ltd.,'' dated concurrently with this notice.
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All-Others Rate
In accordance with section 705(c)(1)(B)(i) of the Act, we
calculated an individual estimated countervailable subsidy rate for the
mandatory respondent, Finkelstein. Section 705(c)(5)(A)(i) of the Act
states that, for companies not individually investigated, Commerce will
determine an all-others rate equal to the weighted-average
countervailable subsidy rates established for exporters and/or
producers individually investigated, excluding any zero and de minimis
countervailable subsidy rates, and any rates determined entirely under
section 776 of the Act.
We continue to calculate an individual estimated countervailable
subsidy rate that is not zero, de minimis, or based entirely on facts
otherwise
[[Page 63411]]
available. Therefore, we have applied the all-others rate as equal to
the rate for Finkelstein, i.e., 1.89 percent ad valorem, as this is the
only rate that is not zero, de minimis, or based entirely on the facts
otherwise available.
Final Determination
Commerce determines that the following estimated countervailable
subsidy rates exist:
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Subsidy rate
Company (percent ad
valorem)
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Finkelstein Metals Ltd.................................. 1.89
All Others.............................................. 1.89
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Disclosure
Commerce intends to disclose to interested parties the calculations
and analysis performed in this final determination within five days of
any public announcement or, if there is no public announcement, within
five days of the date of the publication of this notice in proceeding
in accordance with 19 CFR 351.224(b).
Continuation of Suspension of Liquidation
As a result of our Preliminary Determination, and pursuant to
sections 703(d)(1)(B) and (d)(2) of the Act, Commerce instructed U.S.
Customs and Border Protection (CBP) to collect cash deposits and
suspend liquidation of entries of subject merchandise as described in
the scope of the investigation section entered, or withdrawn from
warehouse, for consumption on September 29, 2023, the date of
publication of the Preliminary Determination in the Federal Register .
In accordance with section 703(d) of the Act, we issued instructions to
CBP to discontinue the suspension of liquidation of subject merchandise
entered, or withdrawn from warehouse, on or after January 27, 2024, but
to continue the suspension of liquidation of all entries from September
29, 2023, through January 26, 2024 for Finkelstein and all producers/
exporters not individually examined.
Pursuant to section 706(a)of the Act, in the event of an
affirmative injury determination by the U.S. International Trade
Commission (ITC), we will issue a countervailing duty order, reinstate
the suspension of liquidation, and require a cash deposit of estimated
countervailing duties for such entries of subject merchandise in the
amounts indicated above. Effective on the date of publication in the
Federal Register of the ITC's final determination, Commerce will
instruct CBP to require a cash deposit equal to the estimated net
countervailable subsidy rate or the estimated all others rate as
follows: (1) the cash deposit rate for the companies listed above will
be equal to the company-specific estimated net countervailable subsidy
rate determined in this final determination; (2) if the exporter is not
a respondent identified above but the producer is, then the cash
deposit rate will be equal to the company-specific net countervailable
subsidy rate established for that producer of the subject merchandise;
and (3) the cash deposit rate for all other producers and exporters
will be equal to the all-others estimated net countervailable subsidy
rate.
Pursuant to section 705(c)(2) of the Act, if the ITC determines
that material injury, or threat of material injury, does not exist,
this proceeding will be terminated, and all estimated duties deposited
or securities posted as a result of the suspension of liquidation will
be refunded or canceled.
U.S. International Trade Commission Notification
In accordance with section 705(d) of the Act, Commerce will notify
the ITC of its final affirmative determination that countervailable
subsidies are being provided to producers and exporters of brass rod
from Israel. Because the final determination in this proceeding is
affirmative, in accordance with section 705(b) of the Act, the ITC will
make its final determination as to whether the domestic industry in the
United States is materially injured, or threatened with material
injury, by reason of imports of brass rod from Israel no later than 45
days after our final determination. If the ITC determines that material
injury or threat of material injury does not exist, this proceeding
will be terminated and all cash deposits will be refunded. If the ITC
determines that such injury does exist, Commerce will issue a
countervailing duty order directing CBP to assess, upon further
instruction by Commerce, countervailing duties on all imports of the
subject merchandise that are entered, or withdrawn from warehouse, for
consumption on or after the effective date of the suspension of
liquidation, as discussed above in the ``Continuation of Suspension of
Liquidation'' section. In addition, we are making available to the ITC
all non-privileged and non-proprietary information in our files. We
will allow the ITC access to all privileged and business proprietary
information in our files, provided the ITC confirms that it will not
disclose such information, either publicly or under administrative
protective order (APO), without the written consent of the Assistant
Secretary for Enforcement and Compliance.
Administrative Protective Orders
This notice will serve as the only reminder to parties subject to
an APO of their responsibility concerning the 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 violation which is subject to sanction.
Notification to Interested Parties
This determination and this notice are issued and published
pursuant to sections 705(d) and 777(i) of the Act, and 19 CFR
351.210(c).
Dated: July 29, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the
non-exclusive functions and duties of the Assistant Secretary for
Enforcement and Compliance.
Appendix I
Scope of the Investigation
The products covered by this investigation are brass rod and bar
(brass rod), which is defined as leaded, low-lead, and no-lead solid
brass made from alloys such as, but not limited to the following
alloys classified under the Unified Numbering System (UNS) as
C27450, C27451, C27460, C34500, C35000, C35300, C35330, C36000,
C36300, C37000, C37700, C48500, C67300, C67600, and C69300, and
their international equivalents.
The brass rod subject to this investigation has an actual cross-
section or outside diameter greater than 0.25 inches but less than
or equal to 12 inches. Brass rod cross-sections may be round,
hexagonal, square, or octagonal shapes as well as special profiles
(e.g., angles, shapes), including hollow profiles.
Standard leaded brass rod covered by the scope contains, by
weight, 57.0--65.0 percent copper; 0.5--3.0 percent lead; no more
than 1.3 percent iron; and at least 15 percent zinc. No-lead or low-
lead brass rod covered by the scope contains by weight 59.0--76.0
percent copper; 0--1.5 percent lead; no more than 0.35 percent iron;
and at least 15 percent zinc. Brass rod may also include other
chemical elements (e.g., nickel, phosphorous, silicon, tin, etc.).
Brass rod may be in straight lengths or coils. Brass rod covered
by this investigation may be finished or unfinished, and may or may
not be heated, extruded, pickled, or cold-drawn. Brass rod may be
produced in accordance with ASTM B16, ASTM B124, ASTM B981, ASTM
B371, ASTM B453, ASTM B21, ASTM B138, and ASTM B927, but such
conformity to an ASTM standard is not required for the merchandise
to be included within the scope.
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Excluded from the scope of this investigation is brass ingot,
which is a casting of unwrought metal unsuitable for conversion into
brass rod without remelting, that contains, by weight, at least 57.0
percent copper and 15.0 percent zinc.
The merchandise covered by this investigation is currently
classifiable under subheadings 7407.21.9000, 7407.21.7000, and
7407.21.1500 of the Harmonized Tariff Schedule of the United States
(HTSUS). Products subject to the scope may also enter under HTSUS
subheadings 7403.21.0000, 7407.21.3000, and 7407.21.5000. The HTSUS
subheadings and UNS alloy designations are provided for convenience
and customs purposes. The written description of the scope of the
investigation is dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Subsidies Valuation
IV. Diversification of Israel's Economy
V. Changes Since the Preliminary Determination
VI. Analysis of Programs
VII. Discussion of the Issues
Comment 1: Whether Commerce Should Change the Benchmark Under
the Land for Less-than-Adequate-Remuneration Program
Comment 2: Whether the Provision of Natural Gas for LTAR Program
Provides an Indirect Financial Contribution
Comment 3: Whether Commerce Should Revise its Calculation of
Benefits under the Provision of Brass Rod for More-Than-Adequate-
Remuneration Program
VIII. Recommendation
[FR Doc. 2024-17174 Filed 8-2-24; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on August 5, 2024.
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