[Federal Register: March 27, 2001 (Volume 66, Number 59)]
[Notices]
[Page 16656-16657]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr27mr01-36]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-580-818]
Certain Cold-Rolled and Corrosion-Resistant Carbon Steel Flat
Products From Korea: Amended Final Affirmative Countervailing Duty
Determinations in Accordance with Decision Upon Remand
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of amendment to final affirmative countervailing duty
determinations in accordance with decision upon remand.
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SUMMARY: On April 5, 2000, the Court of International Trade (CIT)
remanded this case to recalculate duties owed in conformity with the
Court of Appeals for the Federal Circuit's (CAFC's) decision in AK
Steel Corp., v. United States, 193 F.3d 1367 (Fed. Cir. 1999) (AK
Steel). In accordance with that remand order, on June 19, 2000, the
Department issued its Final Results of Redetermination on Remand
Pursuant to LaClede Steel Co., et al. v. United States, Slip Op. 00-36
(CIT April 5, 2000) (Second Remand). In the Second Remand, the
Department recalculated the program rates, the company-specific total
ad valorem and the country-wide rate.
EFFECTIVE DATE: March 27, 2001.
FOR FURTHER INFORMATION CONTACT: Tipten Troidl or Richard Herring, AD/
CVD Enforcement Office VI, Group II, Import Administration, U.S.
Department of Commerce, Room 4012, 14th Street and Constitution Avenue,
NW, Washington, DC 20230; telephone (202) 482-2786.
SUPPLEMENTARY INFORMATION: In British Steel P.L.C. v. United States,
941 F. Supp. 119 (CIT 1996) (British Steel IV), the CIT upheld the
Department's final determination in the Final Affirmative
Countervailing Duty Determinations and Final Negative Critical
Circumstances Determinations: Certain Steel Products from Korea, 58 FR
37338 (July 9, 1993) (Steel Products from Korea). Respondents
challenged the CIT's ruling, and on October 1, 1999, the CAFC issued
its decision in AK Steel, affirming-in-part and reversing-in-part the
decision of the CIT in British Steel IV. In AK Steel, the CAFC affirmed
that the Korean government exercised de jure control of the financial
system to benefit the steel industry through 1984. AK Steel, 193 F.3d
at 1371. However, the CAFC determined that the Department's conclusion
that there is a causal nexus between the Korean government's control of
the financial system and the domestic loans received by the steel
industry from private sources after 1985 was unsupported by substantial
evidence. Id. at 1376. The CAFC reversed the portion of the CIT's
judgment in British Steel IV concerning the imposition of
countervailing duties based on domestic credit provided to the Korean
steel industry by private Korean lenders. Id. In addition, the CAFC
determined that loans from foreign lenders are not countervailable
subsidies under the terms of the then existent statute. Id. at 1378. On
April 5, 2000, the CIT remanded this case to the Department to
recalculate duties owed in conformity with the CAFC's decision. In
accordance with that order, on June 19, 2000, the Department issued the
Second Remand, where the Department recalculated the program rates, the
company-specific total ad valorem, and the country-wide rate.
Remand Results
In accordance with the Court's instructions, we recalculated
respondents' net subsidy rates using a methodology which ensures that
countervailing duties are not based on domestic credit provided to the
Korean steel industry by private Korean lenders after 1984 and are not
based on preferential access to foreign credit. In addition, we
recalculated the country-wide rate by taking the weighted-average of
all of the companies' company-specific program rates. We then
determined whether each company's individual company-specific rate was
significantly different from the country-wide rate. In the event a
company's rate was significantly different, we assigned it an
individually-calculated rate. Otherwise, we assigned the company the
country-wide rate. Listed below are the rates for corrosion-resistant
products in the first table and cold-rolled products in the second
table.
The final countervailing duty rates for the 1991 period of
investigation are as follows:
------------------------------------------------------------------------
Manufacturer/Exporter of corrosion-
resistant Ad Valorem rate
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Pohang Iron & Steel Co., Ltd. (POSCO)...... 1.15
Dongbu Steel Co., Ltd. (Dongbu)............ 1.15
Union Steel Manufacturing (Union).......... De minimis
Country-Wide Rate.......................... 1.15
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[[Page 16657]]
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Manufacturer/Exporter of cold-rolled Ad Valorem rate
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Pohang Iron & Steel Co., Ltd. (POSCO)...... 1.45
Dongbu Steel Co., Ltd. (Dongbu)............ 1.45
Union Steel Manufacturing (Union).......... De minimis
Country-Wide Rate.......................... 1.45
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The Department has been enjoined from issuing any liquidation
instructions to the U.S. Customs Service (Customs) until the conclusion
of litigation of this case. Litigation has been completed, and
therefore the Department will issue liquidation instructions directly
to Customs. The Department will instruct Customs to assess
countervailing duties on all appropriate entries from December 7, 1992,
the date of the publication of the Preliminary Affirmative
Countervailing Duty Determination and Alignment of Final Countervailing
Duty Determination with Final Antidumping Duty Determinations: Certain
Steel Products from Korea (57 FR 57761), when we first suspended
liquidation, through December 31, 1999; the period which would have
been covered by the latest administrative review. We are issuing
liquidation instructions through December 31, 1999, because, although
there have been no administrative reviews covering the period through
December 31, 1999, the Department has been enjoined from issuing
liquidation instructions pending the resolution of this litigation.
With the Court's affirmation of the results of the Department's Second
Remand, we are now able to issue liquidation instructions for this time
period.
Union Steel Manufacturing (Union) is excluded from both the cold-
rolled and the corrosion-resistant orders because it received a de
minimis ad valorem rate in each investigation. Therefore, we will
instruct Customs to liquidate entries from Union without regard to
countervailing duties. In addition, the order on cold-rolled carbon
steel flat products was revoked effective January 1, 2000, pursuant to
section 751(c) of the Tariff Act, as amended. See Notice of Final
Results of Sunset Review and Revocation of Countervailing Duty Order:
Cold-Rolled Carbon Steel Products from Korea, 65 FR 78469 (December 15,
2000). Therefore, we instructed Customs to terminate suspension of
liquidation for all entries of subject merchandise without regard to
CVD duties after January 1, 2000, and there are no cash deposit
requirements in effect for cold-rolled steel products. However, the
order on corrosion-resistant carbon steel flat products remains in
effect. Since there have not been any intervening administrative
reviews with respect to the order on corrosion-resistant carbon steel
flat products, the above rates will affect the cash deposit
requirements currently in effect. The cash deposit requirement for
corrosion-resistant carbon steel flat products will be 1.15 percent.
This amendment to the final results of countervailing duty
determinations notice is in accordance with section 705(d) of the
Tariff Act of 1930, as amended, (19 USC 1671d(d)) and section
351.210(c) of the Department's regulations. Effective January 20, 2001,
Bernard T. Carreau is fulfilling the duties of the Assistant Secretary
for Import Administration.
Dated: March 20, 2001.
Bernard T. Carreau,
Deputy Assistant Secretary, Import Administration.
[FR Doc. 01-7552 Filed 3-26-01; 8:45 am]
BILLING CODE 3510-DS-P