Notice2024-20365

Ferrosilicon From the Republic of Kazakhstan: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination With Final Antidumping Duty Determination

Primary source

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Published
September 10, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of ferrosilicon from the Republic of Kazakhstan (Kazakhstan). The period of investigation is January 1, 2023, through December 31, 2023. Interested parties are invited to comment on this preliminary determination.

Full Text

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<title>Federal Register, Volume 89 Issue 175 (Tuesday, September 10, 2024)</title>
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[Federal Register Volume 89, Number 175 (Tuesday, September 10, 2024)]
[Notices]
[Pages 73369-73371]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-20365]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-834-813]


Ferrosilicon From the Republic of Kazakhstan: Preliminary 
Affirmative Countervailing Duty Determination and Alignment of Final 
Determination With Final Antidumping Duty Determination

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of ferrosilicon from the Republic of Kazakhstan 
(Kazakhstan). The period of investigation is January 1, 2023, through 
December 31, 2023. Interested parties are invited to comment on this 
preliminary determination.

DATES: Applicable September 10, 2024.

FOR FURTHER INFORMATION CONTACT: Peter Shaw, AD/CVD Operations, Office 
VII, Enforcement and Compliance, International Trade Administration, 
U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, 
DC 20230; telephone: (202) 482-0697.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on April 24, 
2024.\1\ On May 30, 2024, Commerce postponed the preliminary 
determination of this investigation.\2\ On July 22, 2024, Commerce 
tolled certain deadlines in this investigation by seven days.\3\ The 
deadline for this preliminary determination is now September 3, 
2024.\4\
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    \1\ See Ferrosilicon from Brazil, Kazakhstan, Malaysia, and the 
Russian Federation: Initiation of Countervailing Duty 
Investigations, 89 FR 31133 (April 24, 2024) (Initiation Notice).
    \2\ See Ferrosilicon from Brazil, Kazakhstan, and Malaysia: 
Postponement of Preliminary Determinations in the Countervailing 
Duty Investigations, 89 FR 46860 (May 30, 2024).
    \3\ See Memorandum, ``Tolling Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated July 22, 2024.
    \4\ Because seven days from August 26, 2024 (i.e., September 2, 
2024) falls on a federal holiday, the actual deadline for the 
preliminary determination is September 3, 2024.
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    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\5\ A list of topics discussed in the Preliminary Decision 
Memorandum is included as Appendix II to this notice. The Preliminary 
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 Preliminary 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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    \5\ See Memorandum, ``Decision Memorandum for the Preliminary 
Affirmative Determination in the Countervailing Duty Investigation 
of Ferrosilicon from the Republic of Kazakhstan,'' dated 
concurrently with, and hereby adopted by, this notice (Preliminary 
Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation is ferrosilicon from 
Kazakhstan. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\6\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage, (i.e., scope).\7\ As noted in the 
Preliminary Decision Memorandum, Commerce corrected a minor clerical 
error in the language of the scope.\8\
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    \6\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \7\ See Initiation Notice.
    \8\ See Preliminary Decision Memorandum.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found 
countervailable, Commerce preliminarily 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.\9\ For a full description of the methodology underlying the 
preliminary determination, see the Preliminary Decision Memorandum.
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    \9\ 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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Alignment

    As noted in the Preliminary Decision Memorandum, in accordance with 
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is 
aligning the final countervailing duty (CVD) determination in this 
investigation with the final determination in the companion antidumping 
duty (AD) investigation of ferrosilicon from Kazakhstan based on a 
request made by the petitioners.\10\ Consequently, the final CVD 
determination will be issued on the same date as the final AD 
determination, which is currently scheduled to be issued no later than 
January 14, 2025, unless postponed.
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    \10\ See Petitioners' Letter, ``Petitioner's Request for 
Alignment of Final Determinations with Deadline in Concurrent AD 
Investigations,'' dated August 15, 2024.
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that in the 
preliminary

[[Page 73370]]

determination, Commerce shall determine an estimated all-others rate 
for companies not individually examined. This rate shall be an amount 
equal to the weighted average of the estimated subsidy rates 
established for those companies individually examined, excluding any 
zero and de minimis rates and any rates based entirely under section 
776 of the Act.
    In this investigation, Commerce preliminarily calculated total net 
subsidy rates for TELF AG (TELF) and YDD Corporation LLP (YDD) that are 
not zero, de minimis, or based entirely on the facts otherwise 
available. Because we have calculated rates for both mandatory 
respondents that are not zero, de minimis, or based entirely on the 
facts otherwise available, we have preliminarily assigned an all-others 
rate based on the weighted average of the estimated subsidy rates 
calculated for the mandatory respondents.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
countervailable subsidy rates exist:

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
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TELF AG.................................................            2.37
TNC Kazchrome JSC \11\..................................            2.37
YDD Corporation LLP \12\................................           14.74
All Others..............................................           10.13
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Suspension of Liquidation

    In accordance with section 703(d)(1)(B) and (d)(2) of the Act, 
Commerce will direct U.S. Customs and Border Protection (CBP) to 
suspend liquidation of entries of subject merchandise as described in 
the scope of the investigation section entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of this 
notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d), 
Commerce will instruct CBP to require a cash deposit equal to the rates 
indicated above.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
within five days of its public announcement, or if there is no public 
announcement, within five days of the date of this notice in accordance 
with 19 CFR 351.224(b).
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    \11\ This rate applies to TNC Kazchrome JSC and its cross-owned 
companies: Eurasian Energy Corporation JSC; and Shubarkol Komir JSC.
    \12\ As discussed in the Preliminary Decision Memorandum, 
Commerce has found the following companies to be cross-owned with 
YDD: ASIA FerroAlloys LLP; and KazSilicon Metallurgical Combine LLP.
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    Consistent with 19 CFR 351.224(e), Commerce will analyze and, if 
appropriate, correct any timely allegations of significant ministerial 
errors by amending the preliminary determination. However, consistent 
with 19 CFR 351.224(d), Commerce will not consider incomplete 
allegations that do not address the significance standard under 19 CFR 
351.224(g) following the preliminary determination. Instead, Commerce 
will address such allegations in the final determination together with 
issues raised in the case briefs or other written comments.

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after the date on which the last verification report is issued in 
this investigation. Rebuttal briefs, limited to issues raised in case 
briefs, may be submitted no later than seven days after the deadline 
date for case briefs after the deadline date for case briefs.\13\ 
Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who submit case 
briefs or rebuttal briefs in this investigation are encouraged to 
submit with each argument: (1) a statement of the issue; (2) a brief 
summary of the argument; and (3) a table of authorities.
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    \13\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements); Administrative Protective Order, Service, and 
Other Procedures in Antidumping and Countervailing Duty Proceedings, 
88 FR 67069, 67077 (September 29, 2023) (APO and Service Final 
Rule).
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    As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior 
proceedings we have encouraged interested parties to provide an 
executive summary of their brief that should be limited to five pages 
total, including footnotes. In this investigation, we instead request 
that interested parties provide at the beginning of their briefs a 
public, executive summary for each issue raised in their briefs.\14\ 
Further, we request that interested parties limit their public 
executive summary of each issue to no more than 450 words, not 
including citations. We intend to use the public executive summaries as 
the basis of the comment summaries included in the issues and decision 
memorandum that will accompany the final determination in this 
investigation. We request that interested parties include footnotes for 
relevant citations in the executive summary of each issue. Note that 
Commerce has amended certain of its requirements pertaining to the 
service of documents in 19 CFR 351.303(f).\15\
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    \14\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \15\ See APO and Service Final Rule.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. 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 by telephone the date, time, and 
location of the hearing two days before the scheduled date.

International Trade Commission Notification

    In accordance with section 703(f) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its determination. If the 
final determination is affirmative, the ITC will make its final 
determination before the later of 120 days after the date of this 
preliminary determination or 45 days after the final determination 
whether imports of ferrosilicon from Kazakhstan are materially 
injuring, or threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act and 19 CFR 351.205(c).

    Dated: September 3, 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 scope of this investigation covers all forms and sizes of 
ferrosilicon, regardless of grade, including ferrosilicon 
briquettes. Ferrosilicon is a ferroalloy containing by weight four 
percent or more iron, more than eight percent but not more than 96 
percent silicon, three percent or less phosphorus, 30

[[Page 73371]]

percent or less manganese, less than three percent magnesium, and 10 
percent or less of any other element. The merchandise covered also 
includes product described as slag, if the product meets these 
specifications.
    Subject merchandise includes material matching the above 
description that has been finished, packaged, or otherwise processed 
in a third country, including by performing any grinding or any 
other finishing, packaging, or processing that would not otherwise 
remove the merchandise from the scope of the investigation if 
performed in the country of manufacture of the ferrosilicon.
    Ferrosilicon is currently classifiable under subheadings 
7202.21.1000, 7202.21.5000, 7202.21.7500, 7202.21.9000, 
7202.29.0010, and 7202.29.0050 of the Harmonized Tariff Schedule of 
the United States (HTSUS). While the HTSUS numbers are provided for 
convenience and customs purposes, the written description of the 
scope remains dispositive.

Appendix II--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Injury Test
IV. Subsidies Valuation
V. Change in Ownership
VI. Benchmarks
VII. Analysis of Programs
VIII. Recommendation

[FR Doc. 2024-20365 Filed 9-9-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on September 10, 2024.

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