71 FR 32522, June 6, 2006
DEPARTMENT OF COMMERCE
International Trade Administration
(C-351-818)
Cut-to-Length Carbon Steel Plate from Brazil: Final Results of
Expedited Five-year (``Sunset'') Review of the Countervailing Duty
Order
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
SUMMARY: On November 1, 2005, the Department of Commerce (``the
Department'') published in the Federal Register the notice of
initiation of the second five-year sunset review of the countervailing
duty order on certain cut-to-length carbon steel plate (``CTL Plate'')
from Brazil, pursuant to section 751(c) of the Tariff Act of 1930, as
amended (``the Act''). See Initiation of Five-year (``Sunset'')
Reviews, 70 FR 65884 (November 1, 2005)(``Second Sunset Review''). On
the basis of a notice of intent to participate and an adequate
substantive response filed on behalf of domestic interested parties,
and an inadequate response from respondent interested parties (in this
case, no response), the Department has conducted an expedited sunset
review of this order pursuant to section 751(c)(3)(B) of the Act and
section 351.218(e)(1)(ii)(B) of the Department's regulations. As a
result of this sunset review, the Department finds that revocation of
the countervailing duty order is likely to lead to continuation or
recurrence of a countervailable subsidy at the level indicated in the
``Final Results of Review'' section of this notice.
EFFECTIVE DATE: June 6, 2006.
FOR FURTHER INFORMATION CONTACT: Martha Douthit or Dana Mermelstein,
AD/CVD Operations, Office 6, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Ave., NW., Washington, DC 20230; telephone: (202) 482-2371
or (202) 482-3964, respectively.
SUPPLEMENTARY INFORMATION:
Background
The countervailing duty order which covers CTL Plate from Brazil
was published in the Federal Register on August 17, 1993. See
Countervailing Duty Order and Amendment to Final Affirmative
Countervailing Duty Determination: Certain Steel Products From Brazil,
58 FR 43751 (August 17, 1993). On November 1, 2005, the Department
initiated the second sunset review of the countervailing duty order on
CTL Plate from Brazil, pursuant to section 751(c) of the Act. See
Second Sunset Review. The Department received notices of intent to
participate from IPSCO, Inc., Mittal Steel USA ISG, Inc., Nucor
Corporation, Oregon Steel Mills, Inc., and United Steel, Paper and
Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service
Workers International Union, AFL-CIO-CLC (``USW'') (collectively,
``domestic interested parties''), within the deadline specified in 19
CFR 351.218(d)(1)(i).\1\ Domestic interested parties claimed interested
party status under sections 771(9)(C) and (D) of the Act, as U.S.
producers and a certified union engaged in the manufacture, production,
or wholesale of CTL Plate in the United States.
---------------------------------------------------------------------------
\1\ Domestic interested parties note that Mittal, IPSCO, and
Oregon Steel Mills, were the petitioners or successors to
petitioners in the original investigation and that they have
participated in the first sunset review.
---------------------------------------------------------------------------
On November 30, 2005, the Department received a substantive
response from domestic interested parties within deadline specified in
19 CFR 351.218(d)(3)(i).\2\ The Department did not receive any
responses from any respondent interested party to this proceeding. In
accordance with 19 CFR 351.218(e)(1)(ii)(C)(1), the Department notified
the International Trade Commission (``ITC'') that respondent interested
parties provided an inadequate response to the Notice of Initiation of
Five-year (``Sunset'') Reviews.\3\ The Department, therefore, has
conducted an expedited sunset review of the countervailing duty order,
pursuant to 19 CFR 351.218(e)(1)(ii)(B) and 351.218(e)(1)(ii)(C)(2).
---------------------------------------------------------------------------
\2\ On December 1, 2005, the Department received a letter from
domestic interested parties regarding an amendment to their November
30, 2005 substantive response to the Department's initiation of the
sunset review on CTL Plate from Brazil. In the letter, domestic
interested parties included United Steel, Paper and Forestry,
Rubber, Manufacturing, Energy, Allied Industrial and Service Workers
International Union, AFL-CIO-CLC (``USW'') to the November 30, 2005
substantive response.
\3\ See December 21, 2005 letter to Robert Carpenter, Director
of Investigations, ITC, from Barbara E. Tillman, Director, Office 6,
AD/CVD Operations, Import Administration.
---------------------------------------------------------------------------
In accordance with section 751(c)(5)(C)(v) of the Act, the
Department may treat a review as extraordinarily complicated if it is a
review of a transition order (i.e., an order in effect on January 1,
1995, the effective date of the Uruguay Round Agreements Act), as is
the case in this proceeding. As such, the Department determined that
the sunset review of the countervailing duty order on CTL Plate from
Brazil, is extraordinarily complicated and requires additional time for
the completion of final results of review. In accordance with section
751(c)(5)(B) of the Act, the Department extended the time limit for
completion of the final results of CTL Plate from Brazil until no later
than May 30, 2006. See Cut-to-Length Carbon Steel Plate from Brazil and
Spain; Extension of Time Limits for Final Results of Expedited Five-
year (``Sunset'') Reviews
[[Page 32523]]
of Countervailing Duty Orders; 71 FR 7018 (February 10, 2006).
Since the publication of its results in the first sunset review
(see Cut-to-Length Carbon Steel Plate from Brazil; Final Results of
Expedited Sunset Review of Countervailing Duty Order, 65 FR 18065
(April 6, 2000) (``First Sunset Review'')), there have been no
administrative reviews of this order.
Scope of the Order
The products covered by this countervailing duty order include hot-
rolled carbon steel universal mill plates (i.e., flat-rolled products
rolled on four faces or in a closed box pass, of a width exceeding 150
millimeters but not exceeding 1,250 millimeters and of a thickness of
not less than 4 millimeters, not in coils and without patterns in
relief), of rectangular shape, neither clad, plated, nor coated with
metal, whether or not painted, varnished, or coated with plastics or
other nonmetallic substances; and certain hot-rolled carbon steel flat-
rolled products in straight lengths, of rectangular shape, hot rolled,
neither clad, plated, nor coated with metal, whether or not painted,
varnished, or coated with plastics or other nonmetallic substances,
4.75 millimeters or more in thickness and of a width which exceeds 150
millimeters and measures at least twice the thickness, as currently
classifiable in the Harmonized Tariff Schedule of the United States
(``HTSUS'') under item numbers 7208.40.3030, 7208.40.3060,
7208.51.0030, 7208.51.0045, 7208.51.0060, 7208.52.0000, 7208.90.0000,
7210.70.3000, 7210.90.9000, 7211.13.0000, 7211.14.0030, 7211.14.0045,
7211.90.0000, 7212.40.1000, 7212.40.5000, and 7212.50.0000. Included
within the scope are flat-rolled products of non-rectangular cross-
section where such cross-section is achieved subsequent to the rolling
process (i.e., products which have been ``worked after rolling''); for
example, products which have been beveled or rounded at the edges.
Excluded is grade X-70 plate. These HTSUS item numbers are provided for
convenience and customs purposes. The Department's written description
remains dispositive.
Since the completion of the first sunset review, the Department has
determined that continuous cast steel slab is outside the scope of this
order. See Notice of Scope Rulings and Anti-circumvention Inquiries, 68
FR 36770 (June 19, 2003).
Analysis of Comments Received
All issues raised in substantive responses by parties to this
sunset review are addressed in the Issues and Decision Memorandum for
Final Results of Expedited Five-year (``Sunset'') Review of the
Countervailing Duty Order on Certain Cut-to-Length Steel Plate from
Brazil, (``Decision Memo'') from Stephen J. Claeys, Deputy Assistant
Secretary for Import Administration, to David M. Spooner, Assistant
Secretary for Import Administration, dated May 30, 2006, which is
hereby adopted by this notice. The issues discussed in the Decision
Memo include the likelihood of continuation or recurrence of a
countervailable subsidy and the net countervailable subsidy rate likely
to prevail if the order were the order revoked.
Parties can find a complete discussion of all issues raised in this
sunset review and the corresponding recommendation in this public
memorandum which is on file in B-099, the Central Records Unit, of the
main Commerce building. In addition, a complete version of the Decision
Memo can be accessed directly on the Department's Web page at https://enforcement.trade.gov/frn.
The paper copy and electronic version of the
Decision Memo are identical in content.
Final Results of Review
The Department determines that revocation of the countervailing
duty order on CTL Plate from Brazil would be likely to lead to
continuation or recurrence of countervailable subsidies at the
following net countervailing duty rates:
------------------------------------------------------------------------
Net Subsidy Rate
Manufacturer/Exporter (percent)
------------------------------------------------------------------------
Usinas Siderurgicas de Minas Gerais S.A. 5.44
(``USIMINAS'').....................................
Companhia Siderurgica Paulista (``COSIPA'')......... 48.64
All others.......................................... 23.10
------------------------------------------------------------------------
This notice also serves as the only reminder to parties subject to
administrative protective orders (APO) of their responsibility
concerning the return or destruction of proprietary information
disclosed under APO in accordance with section 351.305 of the
Department's regulations. Timely notification of the return or
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.
We are issuing and publishing this determination and notice in
accordance with sections 751(c), 752, and 777(i) of the Act.
Dated: May 30, 2006.
David M. Spooner,
Assistant Secretary for Import Administration.
[FR Doc. E6-8756 Filed 6-5-06; 8:45 am]
BILLING CODE 3510-DS-S