81 FR 35299 - Countervailing Duty Investigation of Certain Corrosion-Resistant Steel Products From Taiwan: Final Negative Countervailing Duty Determination

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 81, Issue 106 (June 2, 2016)

Page Range35299-35301
FR Document2016-12977

The Department of Commerce (the Department) determines that countervailable subsidies are not being provided to producers and exporters of certain corrosion-resistant steel products (corrosion- resistant steel) from Taiwan.

Federal Register, Volume 81 Issue 106 (Thursday, June 2, 2016)
[Federal Register Volume 81, Number 106 (Thursday, June 2, 2016)]
[Notices]
[Pages 35299-35301]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-12977]



[[Page 35299]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[C-583-857]


Countervailing Duty Investigation of Certain Corrosion-Resistant 
Steel Products From Taiwan: Final Negative Countervailing Duty 
Determination

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

SUMMARY: The Department of Commerce (the Department) determines that 
countervailable subsidies are not being provided to producers and 
exporters of certain corrosion-resistant steel products (corrosion-
resistant steel) from Taiwan.

DATES: Effective Date: June 2, 2016.

FOR FURTHER INFORMATION CONTACT: Joy Zhang or Cindy Robinson, Office 
III, AD/CVD Operations, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
1168 and (202) 482-3797, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    The Petitioners in this investigation are the United States Steel 
Corporation, Nucor Corporation, Steel Dynamics Inc., California Steel 
Industries, ArcelorMittal USA LLC, and AK Steel Corporation. This 
investigation covers 26 alleged government subsidy programs. The 
mandatory respondents in this investigation are (1) Prosperity Tieh 
Enterprise Co., Ltd. (PT), and its crossed-own affiliates: Hong-Ye 
Steel Co., Ltd. (HY), Prosperity Did Enterprise Co., Ltd. (PD), and 
Chan Lin Enterprise Co., Ltd. (CL) (collectively the Prosperity 
Companies) and (2) Yieh Phui Enterprise Co., Ltd. (Yieh Phui), and its 
crossed-own affiliates: Yieh Corporation Limited (YCL); Shin Yang Steel 
Co., Ltd. (Shin Yang); and Synn Industrial Co., Ltd (Synn) 
(collectively the Yieh Phui Companies).
    On November 6, 2015, the Department published its Preliminary 
Determination.\1\ For a description of the events that have occurred 
since the Preliminary Determination, see the Issues and Decision 
Memorandum. The Issues and 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 http://access.trade.gov and 
to all parties in the Central Records Unit, Room B8024 of the main 
Department of Commerce building. In addition, a complete version of the 
Issues and Decision Memorandum can be accessed directly at http://enforcement.trade.gov. The signed and electronic versions of the Issues 
and Decision Memorandum are identical in content.
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    \1\ See Countervailing Duty Investigation of Certain Corrosion-
Resistant Steel Products from Taiwan: Preliminary Negative 
Countervailing Duty Determination, 80 FR 68852 (November 6, 2015) 
(Preliminary Determination).
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Period of Investigation

    The period of investigation for which we are measuring subsidies is 
January 1, 2014, through December 31, 2014.

Scope Comments

    In accordance with the Preliminary Scope Determination,\2\ the 
Department set aside a period of time for parties to address scope 
issues in case briefs or other written comments on scope issues.
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    \2\ See Memorandum to Gary Taverman, Associate Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Certain Corrosion-Resistant Steel Products From the People's 
Republic of China, India, Italy, the Republic of Korea, and Taiwan: 
Scope Comments Decision Memorandum for the Preliminary 
Determinations,'' dated December 21, 2015 (Preliminary Scope 
Decision Memorandum). See also Memorandum to the File, ``Certain 
Corrosion-Resistant Steel Products From the People's Republic of 
China, India, Italy, the Republic of Korea, and Taiwan: Correction 
to Preliminary Determination Scope Memorandum,'' dated January 29, 
2016.
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    For a summary of the product coverage comments and rebuttal 
responses submitted on the record of this final determination, and 
accompanying discussion and analysis of all comments timely received, 
see the Final Scope Decision Memorandum.\3\
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    \3\ See Memorandum to Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Scope Comments Decision Memorandum for the Final Determinations,'' 
dated concurrently with this notice.
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Scope of the Investigation

    The products covered by this investigation are corrosion-resistant 
steel products from Taiwan. For a complete description of the scope of 
the investigation, see Appendix II.

Analysis of Subsidy Programs and Comments Received

    The subsidy programs under investigation and the issues raised in 
the case and rebuttal briefs submitted by parties in this investigation 
are addressed in the Issues and Decision Memorandum, dated concurrently 
with this notice.\4\ A list of subsidy programs and the issues that 
parties raised, and to which we responded in the Decision Memorandum, 
is attached to this notice as Appendix I.
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    \4\ See Issue and Decision Memorandum.
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    We determine the total estimated net countervailable subsidy rates 
to be:

----------------------------------------------------------------------------------------------------------------
                     Producer/Exporter                                           Subsidy rate
----------------------------------------------------------------------------------------------------------------
Prosperity Tieh Enterprise Co., Ltd. (PT); Hong-Ye Steel     0.00 percent ad valorem.
 Co., Ltd. (HY); Prosperity Did Enterprise Co., Ltd. (PD);
 and Chan Lin Enterprise Co., Ltd. (CL) (collectively
 Prosperity Companies).
Yieh Phui Enterprise Co., Ltd. (Yieh Phui); Yieh             0.00 percent ad valorem.
 Corporation Limited (YCL); Shin Yang Steel Co., Ltd. (Shin
 Yang); and Synn Industrial Co., Ltd (Synn) (collectively
 Yieh Phui Companies).
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    Because the total estimated net countervailable subsidy rates are 
zero, we determine that countervailable subsidies are not being 
provided to producers or exporters of corrosion-resistant steel from 
Taiwan. We have not calculated an all-others rate pursuant to sections 
705(c)(1)(B) and (c)(5) of the Tariff Act of 1930, as amended (the Act) 
because we have not reached an affirmative final determination. Because 
our final determination is negative, this proceeding is terminated in 
accordance with section 705(c)(2) of the Act.
    In the Preliminary Determination, the total net countervailable 
subsidy rates for the individually examined respondents were zero and, 
therefore, we did not suspend liquidation of entries of corrosion-
resistant steel from Taiwan.\5\ Because the estimated subsidy rates for 
both examined companies are zero in this final determination, we are 
not directing U.S. Customs and Border Protection to suspend liquidation 
of entries of corrosion-resistant steel from Taiwan.
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    \5\ See Preliminary Determination, 80 FR 68852.

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[[Page 35300]]

United States International Trade Commission (USITC) Notification

    In accordance with section 705(d) of the Act, we will notify the 
USITC of our final determination. Because our final determination is 
negative, this investigation is terminated.

Return or Destruction of Proprietary Information

    This notice serves as the only reminder to parties subject to an 
administrative protective order (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 that is subject 
to sanction.
    This determination is issued and published pursuant to sections 
705(d) and 777(i) of the Act.

    Dated: May 24, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I

I. Summary
II. Background
    A. Case History
    B. Period of Investigation
III. Scope Comments
IV. Scope of the Investigation
V. Final Determination of Critical Circumstances
VI. Subsidies Valuation
    A. Allocation Period
    B. Attribution of Subsidies
    C. Denominators
VII. Benchmarks and Interest Rates
VIII. Analysis of Programs
    A. Programs Determined To Be Not Countervailable
    1. Provision of Cold-Rolled Steel and Hot-Rolled Steel for Less 
Than Adequate Remuneration (LTAR)
    2. Tariff Exemption for Imported Equipment Program
    3. Income Tax Credit for Upgraded Equipment
    B. Programs Determined Not To Confer a Benefit During the POI
    1. Loan Financing by the National Development Fund (NDF)
    2. Provision of Land for LTAR for Eligible Firms Located in the 
Pingtung Industrial Park--a New Subsidy Allegation
    C. Programs Determined To Be Not Used
IX. Analysis of Comments
Comment 1: Whether CSC Is a Government Authority Capable of 
Providing a Financial Contribution
Comment 2: Whether the Department Should Use A ``Tier Two'' 
Benchmark To Measure the Benefit for Cold-Rolled Steel and Hot-
Rolled Steel
Comment 3: Whether the Department Should Further Investigate and 
Collect the Information Requested by AK Steel
X. Conclusion

Appendix II--Scope of the Investigation

    The products covered by this investigation are certain flat-
rolled steel products, 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, laminated, or coated with plastics or other 
non-metallic substances in addition to the metallic coating. The 
products covered include coils that have a width of 12.7 mm or 
greater, regardless of form of coil (e.g., in successively 
superimposed layers, spirally oscillating, etc.). The products 
covered also include products not in coils (e.g., in straight 
lengths) of a thickness less than 4.75 mm and a width that is 12.7 
mm or greater and that measures at least 10 times the thickness. The 
products covered also include products not in coils (e.g., in 
straight lengths) of a thickness of 4.75 mm or more and a width 
exceeding 150 mm and measuring at least twice the thickness. The 
products described above may be rectangular, square, circular, or 
other shape and include products of either rectangular or non-
rectangular cross-section where such cross-section is achieved 
subsequent to the rolling process, i.e., products which have been 
``worked after rolling'' (e.g., products which have been beveled or 
rounded at the edges). For purposes of the width and thickness 
requirements referenced above:
    (1) Where the nominal and actual measurements vary, a product is 
within the scope if application of either the nominal or actual 
measurement would place it within the scope based on the definitions 
set forth above, and
    (2) where the width and thickness vary for a specific product 
(e.g., the thickness of certain products with non-rectangular cross-
section, the width of certain products with non-rectangular shape, 
etc.), the measurement at its greatest width or thickness applies.
    Steel products included in the scope of this investigation are 
products in which: (1) Iron predominates, by weight, over each of 
the other contained elements; (2) the carbon content is 2 percent or 
less, by weight; and (3) none of the elements listed below exceeds 
the quantity, by weight, respectively indicated:

 2.50 percent of manganese, or
 3.30 percent of silicon, or
 1.50 percent of copper, or
 1.50 percent of aluminum, or
 1.25 percent of chromium, or
 0.30 percent of cobalt, or
 0.40 percent of lead, or
 2.00 percent of nickel, or
 0.30 percent of tungsten (also called wolfram), or
 0.80 percent of molybdenum, or
 0.10 percent of niobium (also called columbium), or
 0.30 percent of vanadium, or
 0.30 percent of zirconium

    Unless specifically excluded, products are included in this 
scope regardless of levels of boron and titanium.
    For example, specifically included in this scope are vacuum 
degassed, fully stabilized (commonly referred to as interstitial-
free (``IF'')) steels and high strength low alloy (``HSLA'') steels. 
IF steels are recognized as low carbon steels with micro-alloying 
levels of elements such as titanium and/or niobium added to 
stabilize carbon and nitrogen elements. HSLA steels are recognized 
as steels with micro-alloying levels of elements such as chromium, 
copper, niobium, titanium, vanadium, and molybdenum.
    Furthermore, this scope also includes Advanced High Strength 
Steels (``AHSS'') and Ultra High Strength Steels (``UHSS''), both of 
which are considered high tensile strength and high elongation 
steels.
    Subject merchandise also includes corrosion-resistant steel that 
has been further processed in a third country, including but not 
limited to annealing, tempering, painting, varnishing, trimming, 
cutting, punching and/or slitting or any other processing that would 
not otherwise remove the merchandise from the scope of the 
investigation if performed in the country of manufacture of the in-
scope corrosion resistant steel.
    All products that meet the written physical description, and in 
which the chemistry quantities do not exceed any one of the noted 
element levels listed above, are within the scope of this 
investigation unless specifically excluded. The following products 
are outside of and/or specifically excluded from the scope of this 
investigation:
     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 
non-metallic substances in addition to the metallic coating;
     Clad products in straight lengths of 4.7625 mm or more 
in composite thickness and of a width which exceeds 150 mm and 
measures at least twice the thickness; and
     Certain clad stainless flat-rolled products, which are 
three-layered corrosion-resistant flat-rolled steel products less 
than 4.75 mm in composite thickness that consist of a flat-rolled 
steel product clad on both sides with stainless steel in a 20%-60%-
20% ratio.
    The products subject to the investigation are currently 
classified in the Harmonized Tariff Schedule of the United States 
(``HTSUS'') under item numbers: 7210.30.0030, 7210.30.0060, 
7210.41.0000, 7210.49.0030, 7210.49.0091, 7210.49.0095, 
7210.61.0000, 7210.69.0000, 7210.70.6030, 7210.70.6060, 
7210.70.6090, 7210.90.6000, 7210.90.9000, 7212.20.0000, 
7212.30.1030, 7212.30.1090, 7212.30.3000, 7212.30.5000, 
7212.40.1000, 7212.40.5000, 7212.50.0000, and 7212.60.0000.
    The products subject to the investigation may also enter under 
the following HTSUS item numbers: 7210.90.1000, 7215.90.1000, 
7215.90.3000, 7215.90.5000, 7217.20.1500, 7217.30.1530, 
7217.30.1560, 7217.90.1000, 7217.90.5030, 7217.90.5060, 
7217.90.5090, 7225.91.0000, 7225.92.0000, 7225.99.0090,

[[Page 35301]]

7226.99.0110, 7226.99.0130, 7226.99.0180, 7228.60.6000, 
7228.60.8000, and 7229.90.1000.
    The HTSUS subheadings above are provided for convenience and 
customs purposes only. The written description of the scope of the 
investigation is dispositive.

[FR Doc. 2016-12977 Filed 6-1-16; 8:45 am]
 BILLING CODE 3510-DS-P


Current View
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ContactJoy Zhang or Cindy Robinson, Office III, AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482- 1168 and (202) 482-3797, respectively.
FR Citation81 FR 35299 

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