71 FR 32519, June 6, 2006
DEPARTMENT OF COMMERCE
International Trade Administration
[C-580-818]
Certain Corrosion-Resistant Carbon Steel Flat Products From
Korea: 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 corrosion-resistant carbon steel flat products
(CORE) from the Republic of Korea (``Korea''), 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 19 CFR 351.218(e)(1)(ii)(B). 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.
DATES: Effective Date: June 6, 2006.
FOR FURTHER INFORMATION CONTACT: Stephanie Moore or Brandon Farlander,
AD/CVD Operations, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Ave., NW., Washington, DC 20230; telephone: (202) 482-3692
or (202) 482-5439, respectively.
SUPPLEMENTARY INFORMATION:
Background
The countervailing duty order which covers CORE from Korea, was
published in the Federal Register on August 17, 1993. See
Countervailing Duty Orders and Amendments to Final Affirmative
Countervailing Duty Determinations: Certain Steel Products from Korea,
58 FR 43752 (August 17, 1993). On November 1, 2005, the Department
initiated the second sunset review of the
[[Page 32520]]
countervailing duty order on CORE from Korea, pursuant to section
751(c) of the Act. See Second Sunset Review. The Department received
notices of intent to participate from Nucor Corporation (``Nucor''),
Mittal Steel USA ISG Inc. (``Mittal Steel USA'') and Ispat-Inland
(``Ispat''); United States Steel Corporation (``U.S. Steel'');
(collectively, ``domestic interested parties''); and on behalf of
United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied
Industrial and Service Workers International Union, AFL-CIO-CLC
(``USW''), within the deadline specified in 19 CFR 351.218(d)(1)(i).
Domestic interested parties and the USW 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
CORE in the United States.
On December 1, 2005, the Department received a substantive response
from domestic interested parties within the deadline specified in
section 19 CFR 351.218(d)(3)(i). 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)(2), 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'') Review.\1\ The Department, therefore, is
conducting 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).
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\1\ See December 21, 2005 letter to ITC, Robert Carpenter,
Director of Investigations, from Barbara E. Tillman, Director,
Office 6, AD/CVD Operations, Import Administration.
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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 CORE from Korea
is extraordinarily complicated and required additional time for the
completion of the 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 CORE from Korea until no later than
May 30, 2006. See Certain Corrosion-Resistant Carbon Steel Flat
Products from Australia, Canada, France, Germany, Japan, and South
Korea: Extension of Time Limits for Final Results of Expedited Sunset
Reviews, 71 FR 10006 (February 28, 2006).
Scope of the Order
The merchandise covered by this order includes flat-rolled carbon
steel products, of rectangular shape, either clad, plated, or coated
with corrosion-resistant metals such as zinc, aluminum, or zinc-,
aluminum-, nickel- or iron-based alloys, whether or not corrugated or
painted, varnished or coated with plastics or other nonmetallic
substances in addition to the metallic coating, in coils (whether or
not in successively superimposed layers) and of a width of 0.5 inch or
greater, or in straight lengths which, if of a thickness less than 4.75
millimeters, are of a width of 0.5 inch or greater and which measures
at least 10 times the thickness or if of a thickness of 4.75
millimeters or more are 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 7210.31.0000, 7210.39.0000, 7210.41.0000, 7210.49.0030,
7210.49.0090, 7210.60.0000, 7210.70.6030, 7210.70.6060, 7210.70.6090,
7210.90.1000, 7210.90.6000, 7210.90.9000, 7212.21.0000, 7212.29.0000,
7212.30.1030, 7212.30.1090, 7212.30.3000, 7212.30.5000, 7212.40.1000,
7212.40.5000, 7212.50.0000, 7212.60.0000, 7215.90.1000, 7215.90.5000,
7217.12.1000, 7217.13.1000, 7217.19.1000, 7217.19.5000, 7217.22.5000,
7217.23.5000, 7217.29.1000, 7217.29.5000, 7217.32.5000, 7217.33.5000,
7217.39.1000, and 7217.39.5000. Included in this order 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 from this order are flat-
rolled steel products either plated or coated with tin, lead, chromium,
chromium oxides, both tin and lead (``terne plate''), or both chromium
and chromium oxides (``tin-free steel''), whether or not painted,
varnished or coated with plastics or other nonmetallic substances in
addition to the metallic coating. Excluded from this order are clad
products in straight lengths of 0.1875 inch or more in composite
thickness and of a width which exceeds 150 millimeters and measures at
least twice the thickness. Also excluded from this order are certain
clad stainless flat-rolled products, which are three-layered corrosion-
resistant carbon steel flat-rolled products less than 4.75 millimeters
in composite thickness that consist of a carbon steel flat-rolled
product clad on both sides with stainless steel in a 20%-60%-20% ratio.
Although the HTSUS subheadings are provided for convenience and customs
purposes, the written description of the merchandise covered by this
order is dispositive.
Analysis of Comments Received
All issues raised in substantive responses by parties in 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 Corrosion-Resistant Carbon Steel
Flat Products from Korea (``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 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 CORE from Korea is likely to lead to continuation or
recurrence of countervailable subsidies at the following countervailing
duty rate:
[[Page 32521]]
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Net subsidy
Manufacturer/exporter margin
(percent)
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All Producers/Exporters from Korea \2\.................... 1.15
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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 351.303 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.
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\2\ Union Steel was excluded from the order on the basis of a de
minimis net subsidy rate. See Certain Cold-Rolled and Corrosion-
Resistant Carbon Steel Flat Products From Korea: Amended Final
Affirmative Countervailing Duty Determinations in Accordance with
Decision Upon Remand, 66 FR 16656 (March 27, 2001).
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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. E6-8754 Filed 6-5-06; 8:45 am]
BILLING CODE 3510-DS-P