81_FR_35414 81 FR 35308 - Countervailing Duty Investigation of Certain Corrosion-Resistant Steel Products From the People's Republic of China: Final Affirmative Determination, and Final Affirmative Critical Circumstances Determination, in Part

81 FR 35308 - Countervailing Duty Investigation of Certain Corrosion-Resistant Steel Products From the People's Republic of China: Final Affirmative Determination, and Final Affirmative Critical Circumstances Determination, in Part

DEPARTMENT OF COMMERCE
International Trade Administration

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

Page Range35308-35310
FR Document2016-12962

The Department of Commerce (the Department) determines that countervailable subsidies are being provided to producers and exporters of certain corrosion-resistant steel products (corrosion-resistant steel) from the People's Republic of China (the PRC) as provided in section 705 of the Tariff Act of 1930, as amended (the Act). For information on the estimated subsidy rates, see the ``Final Determination'' section of this notice. The period of investigation is January 1, 2014, through December 31, 2014.

Federal Register, Volume 81 Issue 106 (Thursday, June 2, 2016)
[Federal Register Volume 81, Number 106 (Thursday, June 2, 2016)]
[Notices]
[Pages 35308-35310]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-12962]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-027]


Countervailing Duty Investigation of Certain Corrosion-Resistant 
Steel Products From the People's Republic of China: Final Affirmative 
Determination, and Final Affirmative Critical Circumstances 
Determination, in Part

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

SUMMARY: The Department of Commerce (the Department) determines that 
countervailable subsidies are being provided to producers and exporters 
of certain corrosion-resistant steel products (corrosion-resistant 
steel) from the People's Republic of China (the PRC) as provided in 
section 705 of the Tariff Act of 1930, as amended (the Act). For 
information on the estimated subsidy rates, see the ``Final 
Determination'' section of this notice. The period of investigation is 
January 1, 2014, through December 31, 2014.

DATES: Effective Date: June 2, 2016.

FOR FURTHER INFORMATION CONTACT: Emily Halle or David Lindgren, AD/CVD 
Operations, Office VII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone (202) 482-0176 
or (202) 482-3870, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the Preliminary Determination on November 
6, 2015.\1\ A summary of the events that occurred since the Department 
published the Preliminary Determination, as well as a full discussion 
of the issues raised by parties for this final determination, may be 
found in the Final Decision Memorandum.\2\ The Final 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 is available to all 
parties in the Central Records Unit, Room B8024 of the main Department 
of Commerce building. In addition, a complete version of the Final 
Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/. The signed Final Decision Memorandum and 
the electronic version are identical in content.
---------------------------------------------------------------------------

    \1\ See Countervailing Duty Investigation of Certain Corrosion-
Resistant Steel Products from the People's Republic of China: 
Preliminary Affirmative Determination, 80 FR 68843 (November 6, 
2015) (Preliminary Determination).
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Determination in the Countervailing Duty Investigation of 
Certain Corrosion-Resistant Steel Products from the People's 
Republic of China,'' (Final Decision Memorandum), dated concurrently 
with this determination and hereby adopted by this notice.
---------------------------------------------------------------------------

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,\3\ the 
Department set aside a period of time for parties to address scope 
issues in case briefs or other written comments on scope issues.
---------------------------------------------------------------------------

    \3\ 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,'' January 29, 2016.
---------------------------------------------------------------------------

    For a summary of the product coverage comments and rebuttal 
responses submitted to the record of this final determination, and 
accompanying discussion and analysis of all comments timely received, 
see the Final Scope Decision Memorandum.\4\ The Final Scope Decision 
Memorandum is incorporated by, and hereby adopted by, this notice.
---------------------------------------------------------------------------

    \4\ 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.
---------------------------------------------------------------------------

Scope of the Investigation

    The product covered by this investigation is corrosion-resistant 
steel from the PRC. For a complete description of the scope of this 
investigation, see the ``Scope of the Investigation,'' in Appendix II 
of this notice.

Analysis of Subsidy Programs and Comments Received

    The subsidy programs under investigation and the issues raised in 
the case and rebuttal briefs by parties in this investigation are 
discussed in the Final Decision Memorandum. A list of the issues that 
parties raised, and to which we responded in the Final Decision 
Memorandum, is attached to this notice at Appendix I.

Use of Adverse Facts Available

    The Department, in making these findings, relied, in part, on facts 
available and, because one or more respondents failed to cooperate by 
not acting to the best of their ability, we made adverse inferences.\5\ 
For the final determination, we are basing the countervailing duty 
(CVD) rates for Angang Group Hong Kong Company Ltd. (Angang), Baoshan 
Iron & Steel Co., Ltd. (Baoshan), Duferco S.A. (Duferco), Changshu 
Everbright Material Technology (Everbright), and Handan Iron & Steel 
Group (Handan) on facts otherwise available, pursuant to sections 
776(a)(2)(A) and (C) of the

[[Page 35309]]

Tariff Act of 1930, as amended (the Act). Further, because Angang, 
Baoshan, Duferco, Everbright and Handan did not cooperate to the best 
of their ability in this investigation, we also determine that an 
adverse inference is warranted, pursuant to section 776(b) of the Act. 
For further information, see the section ``Use of Facts Otherwise 
Available and Adverse Inferences,'' in the Final Decision Memorandum.
---------------------------------------------------------------------------

    \5\ See sections 776(a) and (b) of the Act.
---------------------------------------------------------------------------

Changes Since the Preliminary Determination

    Based on our review and analysis of the comments received from 
parties, and minor corrections presented at verification, we made 
certain changes to the respondents' subsidy rate calculations since the 
Preliminary Determination. For a discussion of these changes, see the 
Final Decision Memorandum and the Final Analysis Memorandum.\6\
---------------------------------------------------------------------------

    \6\ See Final Decision Memorandum; see also Memorandum, ``Final 
Determination Analysis for Yieh Phui (China) Technomaterial Co., 
Ltd.,'' dated concurrently with this determination and hereby 
adopted by this notice.
---------------------------------------------------------------------------

Final Affirmative Determination of Critical Circumstances, in Part

    Prior to the Preliminary Determination, the Department found that 
critical circumstances exist with respect to imports of corrosion-
resistant steel from the PRC for Angang, Baoshan, Duferco, Everbright 
and Handan.\7\ Upon further analysis of the data and comments submitted 
by interested parties following the Preliminary Determination, we are 
not modifying our findings for the Final Determination.\8\ 
Specifically, in accordance with section 705(a)(2) of the Act, we find 
that critical circumstances exist with respect to imports from Angang, 
Baoshan, Duferco, Everbright and Handan, but do not exist for Yieh Phui 
(China) Technomaterial Co., Ltd. (YPC) and all other producers or 
exporters.
---------------------------------------------------------------------------

    \7\ See Antidumping and Countervailing Duty Investigations of 
Corrosion-Resistant Steel Products From India, Italy, the People's 
Republic of China, the Republic of Korea, and Taiwan: Preliminary 
Determinations of Critical Circumstances, 80 FR 68504 (November 5, 
2015).
    \8\ For a full description of the methodology and results of our 
analysis, see the Final Decision Memorandum.
---------------------------------------------------------------------------

Final Determination

    In accordance with section 705(c)(1)(B)(i)(I) of the Act, we 
established rates for YPC (the only individually investigated exporter/
producer of the subject merchandise that participated in this 
investigation), and for Angang, Baoshan, Duferco, Everbright and Handan 
(which were assigned a rate based on adverse facts available (AFA)).
    In accordance with sections 705(c)(1)(B)(i)(I) and 705(c)(5)(A)(i) 
of the Act, for companies not individually investigated, we apply an 
``all-others'' rate, which is normally calculated by weight averaging 
the subsidy rates of the individual companies selected for individual 
examination with those companies' export sales of the subject 
merchandise to the United States, excluding any zero and de minimis 
rates calculated for the exporters and producers individually 
investigated, and any rates determined entirely under section 776 of 
the Act. Consistent with section 705(c)(5)(A)(i) of the Act, we 
therefore have excluded the AFA rate assigned to Angang, Baoshan, 
Duferco, Everbright, and Handan from the all-others rate.
    Because the only individually calculated rate that is not zero, de 
minimis, or based on facts otherwise available is the rate calculated 
for YPC, in accordance with section 705(c)(5)(A)(i) of the Act, the 
rate calculated for YPC is assigned as the ``all-others'' rate. The 
estimated countervailable subsidy rates are summarized in the table 
below.

------------------------------------------------------------------------
                                                                Subsidy
                           Company                               rate
                                                               (percent)
------------------------------------------------------------------------
Yieh Phui (China) Technomaterial Co., Ltd...................       39.05
Angang Group Hong Kong Company Ltd..........................      241.07
Baoshan Iron & Steel Co., Ltd...............................      241.07
Duferco S.A., Hebei Iron & Steel Group, and Tangshan Iron         241.07
 and Steel Group Co., Ltd...................................
Changshu Everbright Material Technology.....................      241.07
Handan Iron & Steel Group...................................      241.07
All-Others..................................................       39.05
------------------------------------------------------------------------

Continuation of Suspension of Liquidation

    As a result of our Preliminary Determination, and pursuant to 
sections 703(d)(1)(B) and (2) of the Act, we instructed U.S. Customs 
and Border Protection (CBP) to suspend liquidation of all entries of 
merchandise under consideration from the PRC that were entered or 
withdrawn from warehouse, for consumption, on or after August 8, 2015 
(for those entities for which we found critical circumstances exist) or 
on or after November 6, 2015, the date of publication of the 
Preliminary Determination in the Federal Register (for all entities for 
which we did not find critical circumstances exist). In accordance with 
section 703(d) of the Act, we issued instructions to CBP to discontinue 
the suspension of liquidation for CVD purposes for subject merchandise 
entered, or withdrawn from warehouse, on or after March 4, 2016, but to 
continue the suspension of liquidation of all entries from August 8, 
2015, or November 6, 2015, as the case may be, through March 3, 2016.
    If the U.S. International Trade Commission (the ITC) issues a final 
affirmative injury determination, we will issue a CVD order and will 
reinstate the suspension of liquidation under section 706(a) of the Act 
and will require a cash deposit of estimated CVDs for such entries of 
subject merchandise in the amounts indicated above. If the ITC 
determines that material injury, or threat of material injury, does not 
exist, this proceeding will be terminated and all estimated duties 
deposited or securities posted as a result of the suspension of 
liquidation will be refunded or canceled.

ITC Notification

    In accordance with section 705(d) of the Act, we will notify the 
ITC of our determination. In addition, we are making available to the 
ITC all non-privileged and non-proprietary information related to this 
investigation. We will allow the ITC access to all privileged and 
business proprietary information in our files, provided the ITC 
confirms that it will not disclose such information, either publicly or 
under an administrative protective order (APO), without the written 
consent of the Assistant Secretary for Enforcement and Compliance.

Notification Regarding Administrative Protective Orders

    In the event the ITC issues a final negative injury determination, 
this notice serves as the only reminder to parties subject to an 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 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 subject to sanction.
    This determination is issued and published pursuant to sections 
705(d) and 777(i) of the Act.


[[Page 35310]]


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

Appendix I

List of Topics Discussed in the Final Decision Memorandum

I. Summary
II. Background
III. Final Determination of Critical Circumstances, in Part
IV. Scope of the Investigation
V. Application of the Countervailing Duty Law to Imports From the 
PRC
VI. Subsidies Valuation Information
VII. Benchmarks and Discount Rates
VIII. Use of Facts Otherwise Available and Adverse Inferences
IX. Analysis of Programs
X. Analysis of Comments
    Comment 1: Whether Respondent's Producers of Inputs Are 
``Authorities''
    Comment 2: Whether Inputs for LTAR Are Specific
    Comment 3: Whether To Use a Tier One Benchmark To Determine the 
Adequacy of Remuneration for Inputs for LTAR
    Comment 4: Whether the Provision of Electricity for LTAR Is 
Countervailable
    Comment 5: Whether the GOC Provided Policy Loans to YPC During 
the POI
    Comment 6: Whether the Export Buyer's Credit Program Was Used by 
Respondent
    Comment 7: Correcting VAT in the Hot-Rolled Steel and Primary 
Aluminum Benchmarks
    Comment 8: Whether To Apply AFA to YCL's Sales From Other PRC 
Producers of Corrosion-Resistant Steel
XI. Recommendation

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, 
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. 2016-12962 Filed 6-1-16; 8:45 am]
 BILLING CODE 3510-DS-P



                                                    35308                          Federal Register / Vol. 81, No. 106 / Thursday, June 2, 2016 / Notices

                                                    deposit for entries of subject                          the People’s Republic of China (the                    set aside a period of time for parties to
                                                    merchandise by Qingdao Barry. If the                    PRC) as provided in section 705 of the                 address scope issues in case briefs or
                                                    Department proceeds to a final                          Tariff Act of 1930, as amended (the Act).              other written comments on scope issues.
                                                    rescission of this new shipper review,                  For information on the estimated                          For a summary of the product
                                                    the cash deposit rate will continue to be               subsidy rates, see the ‘‘Final                         coverage comments and rebuttal
                                                    the PRC-wide rate for Qingdao Barry                     Determination’’ section of this notice.                responses submitted to the record of this
                                                    because the Department will not have                    The period of investigation is January 1,              final determination, and accompanying
                                                    determined an individual margin of                      2014, through December 31, 2014.                       discussion and analysis of all comments
                                                    dumping for Qingdao Barry. If the                       DATES: Effective Date: June 2, 2016.                   timely received, see the Final Scope
                                                    Department issues final results for this                FOR FURTHER INFORMATION CONTACT:                       Decision Memorandum.4 The Final
                                                    new shipper review, the Department                      Emily Halle or David Lindgren, AD/CVD                  Scope Decision Memorandum is
                                                    will instruct CBP to collect cash                       Operations, Office VII, Enforcement and                incorporated by, and hereby adopted by,
                                                    deposits, effective upon the publication                Compliance, International Trade                        this notice.
                                                    of the final results, at the rates                      Administration, U.S. Department of                     Scope of the Investigation
                                                    established therein.                                    Commerce, 14th Street and Constitution
                                                                                                            Avenue NW., Washington, DC 20230;                         The product covered by this
                                                    Notification to Importers                                                                                      investigation is corrosion-resistant steel
                                                                                                            telephone (202) 482–0176 or (202) 482–
                                                      This notice also serves as a                          3870, respectively.                                    from the PRC. For a complete
                                                    preliminary reminder to importers of                    SUPPLEMENTARY INFORMATION:
                                                                                                                                                                   description of the scope of this
                                                    their responsibility under 19 CFR                                                                              investigation, see the ‘‘Scope of the
                                                    351.402(f)(2) to file a certificate                     Background                                             Investigation,’’ in Appendix II of this
                                                    regarding the reimbursement of                             The Department published the                        notice.
                                                    antidumping duties prior to liquidation                 Preliminary Determination on                           Analysis of Subsidy Programs and
                                                    of the relevant entries during this                     November 6, 2015.1 A summary of the                    Comments Received
                                                    review period. Failure to comply with                   events that occurred since the
                                                    this requirement could result in the                    Department published the Preliminary                     The subsidy programs under
                                                    Department’s presumption that                           Determination, as well as a full                       investigation and the issues raised in
                                                    reimbursement of antidumping duties                     discussion of the issues raised by parties             the case and rebuttal briefs by parties in
                                                    occurred and the subsequent assessment                  for this final determination, may be                   this investigation are discussed in the
                                                    of double antidumping duties.                           found in the Final Decision                            Final Decision Memorandum. A list of
                                                      We are issuing and publishing these                   Memorandum.2 The Final Decision                        the issues that parties raised, and to
                                                    results in accordance with sections                     Memorandum is a public document and                    which we responded in the Final
                                                    751(a)(2)(B) and 777(i)(1) of the Act.                  is on file electronically via Enforcement              Decision Memorandum, is attached to
                                                      Dated: May 24, 2016.                                  and Compliance’s Antidumping and                       this notice at Appendix I.
                                                    Paul Piquado,                                           Countervailing Duty Centralized                        Use of Adverse Facts Available
                                                    Assistant Secretary for Enforcement and                 Electronic Service System (ACCESS).
                                                                                                            ACCESS is available to registered users                   The Department, in making these
                                                    Compliance.
                                                                                                            at http://access.trade.gov, and is                     findings, relied, in part, on facts
                                                    Appendix I—List of Topics Discussed in                  available to all parties in the Central                available and, because one or more
                                                    the Preliminary Decision Memorandum                     Records Unit, Room B8024 of the main                   respondents failed to cooperate by not
                                                                                                            Department of Commerce building. In                    acting to the best of their ability, we
                                                    1. Scope
                                                    2. Bona Fide Sales Analysis                             addition, a complete version of the Final              made adverse inferences.5 For the final
                                                                                                            Decision Memorandum can be accessed                    determination, we are basing the
                                                    [FR Doc. 2016–12951 Filed 6–1–16; 8:45 am]                                                                     countervailing duty (CVD) rates for
                                                                                                            directly at http://enforcement.trade.gov/
                                                    BILLING CODE 3510–DS–P
                                                                                                            frn/. The signed Final Decision                        Angang Group Hong Kong Company
                                                                                                            Memorandum and the electronic                          Ltd. (Angang), Baoshan Iron & Steel Co.,
                                                                                                            version are identical in content.                      Ltd. (Baoshan), Duferco S.A. (Duferco),
                                                    DEPARTMENT OF COMMERCE                                                                                         Changshu Everbright Material
                                                                                                            Period of Investigation                                Technology (Everbright), and Handan
                                                    International Trade Administration
                                                                                                              The period of investigation for which                Iron & Steel Group (Handan) on facts
                                                    [C–570–027]                                             we are measuring subsidies is January 1,               otherwise available, pursuant to
                                                                                                            2014, through December 31, 2014.                       sections 776(a)(2)(A) and (C) of the
                                                    Countervailing Duty Investigation of
                                                    Certain Corrosion-Resistant Steel                       Scope Comments                                         Countervailing Duty Operations, ‘‘Certain
                                                    Products From the People’s Republic                       In accordance with the Preliminary                   Corrosion-Resistant Steel Products From the
                                                    of China: Final Affirmative                                                                                    People’s Republic of China, India, Italy, the
                                                                                                            Scope Determination,3 the Department                   Republic of Korea, and Taiwan: Scope Comments
                                                    Determination, and Final Affirmative                                                                           Decision Memorandum for the Preliminary
                                                    Critical Circumstances Determination,                     1 See Countervailing Duty Investigation of Certain   Determinations,’’ dated December 21, 2015
                                                    in Part                                                 Corrosion-Resistant Steel Products from the            (Preliminary Scope Decision Memorandum). See
                                                                                                            People’s Republic of China: Preliminary Affirmative    also Memorandum to the File, ‘‘Certain Corrosion-
                                                    AGENCY:  Enforcement and Compliance,                    Determination, 80 FR 68843 (November 6, 2015)          Resistant Steel Products From the People’s Republic
asabaliauskas on DSK3SPTVN1PROD with NOTICES




                                                    International Trade Administration,                     (Preliminary Determination).                           of China, India, Italy, the Republic of Korea, and
                                                                                                              2 See Memorandum, ‘‘Issues and Decision              Taiwan: Correction to Preliminary Determination
                                                    Department of Commerce.                                                                                        Scope Memorandum,’’ January 29, 2016.
                                                                                                            Memorandum for the Final Determination in the
                                                    SUMMARY: The Department of Commerce                     Countervailing Duty Investigation of Certain             4 See Memorandum to Christian Marsh, Deputy

                                                    (the Department) determines that                        Corrosion-Resistant Steel Products from the            Assistant Secretary for Antidumping and
                                                    countervailable subsidies are being                     People’s Republic of China,’’ (Final Decision          Countervailing Duty Operations, ‘‘Scope Comments
                                                                                                            Memorandum), dated concurrently with this              Decision Memorandum for the Final
                                                    provided to producers and exporters of                  determination and hereby adopted by this notice.       Determinations,’’ dated concurrently with this
                                                    certain corrosion-resistant steel                         3 See Memorandum to Gary Taverman, Associate         notice.
                                                    products (corrosion-resistant steel) from               Deputy Assistant Secretary for Antidumping and           5 See sections 776(a) and (b) of the Act.




                                               VerDate Sep<11>2014   18:30 Jun 01, 2016   Jkt 238001   PO 00000   Frm 00016   Fmt 4703   Sfmt 4703   E:\FR\FM\02JNN1.SGM   02JNN1


                                                                                   Federal Register / Vol. 81, No. 106 / Thursday, June 2, 2016 / Notices                                                     35309

                                                    Tariff Act of 1930, as amended (the Act).               Everbright and Handan (which were                               Act, we issued instructions to CBP to
                                                    Further, because Angang, Baoshan,                       assigned a rate based on adverse facts                          discontinue the suspension of
                                                    Duferco, Everbright and Handan did not                  available (AFA)).                                               liquidation for CVD purposes for subject
                                                    cooperate to the best of their ability in                  In accordance with sections                                  merchandise entered, or withdrawn
                                                    this investigation, we also determine                   705(c)(1)(B)(i)(I) and 705(c)(5)(A)(i) of                       from warehouse, on or after March 4,
                                                    that an adverse inference is warranted,                 the Act, for companies not individually                         2016, but to continue the suspension of
                                                    pursuant to section 776(b) of the Act.                  investigated, we apply an ‘‘all-others’’                        liquidation of all entries from August 8,
                                                    For further information, see the section                rate, which is normally calculated by                           2015, or November 6, 2015, as the case
                                                    ‘‘Use of Facts Otherwise Available and                  weight averaging the subsidy rates of the                       may be, through March 3, 2016.
                                                    Adverse Inferences,’’ in the Final                      individual companies selected for
                                                    Decision Memorandum.                                    individual examination with those                                  If the U.S. International Trade
                                                                                                            companies’ export sales of the subject                          Commission (the ITC) issues a final
                                                    Changes Since the Preliminary                           merchandise to the United States,                               affirmative injury determination, we
                                                    Determination                                           excluding any zero and de minimis rates                         will issue a CVD order and will reinstate
                                                      Based on our review and analysis of                   calculated for the exporters and                                the suspension of liquidation under
                                                    the comments received from parties,                     producers individually investigated,                            section 706(a) of the Act and will
                                                    and minor corrections presented at                      and any rates determined entirely under                         require a cash deposit of estimated
                                                    verification, we made certain changes to                section 776 of the Act. Consistent with                         CVDs for such entries of subject
                                                    the respondents’ subsidy rate                           section 705(c)(5)(A)(i) of the Act, we                          merchandise in the amounts indicated
                                                    calculations since the Preliminary                      therefore have excluded the AFA rate                            above. If the ITC determines that
                                                    Determination. For a discussion of these                assigned to Angang, Baoshan, Duferco,                           material injury, or threat of material
                                                    changes, see the Final Decision                         Everbright, and Handan from the all-                            injury, does not exist, this proceeding
                                                    Memorandum and the Final Analysis                       others rate.                                                    will be terminated and all estimated
                                                    Memorandum.6                                               Because the only individually                                duties deposited or securities posted as
                                                                                                            calculated rate that is not zero, de                            a result of the suspension of liquidation
                                                    Final Affirmative Determination of                      minimis, or based on facts otherwise
                                                    Critical Circumstances, in Part                                                                                         will be refunded or canceled.
                                                                                                            available is the rate calculated for YPC,
                                                      Prior to the Preliminary                              in accordance with section                                      ITC Notification
                                                    Determination, the Department found                     705(c)(5)(A)(i) of the Act, the rate
                                                    that critical circumstances exist with                  calculated for YPC is assigned as the                           In accordance with section 705(d) of
                                                    respect to imports of corrosion-resistant               ‘‘all-others’’ rate. The estimated                            the Act, we will notify the ITC of our
                                                    steel from the PRC for Angang, Baoshan,                 countervailable subsidy rates are                             determination. In addition, we are
                                                    Duferco, Everbright and Handan.7 Upon                   summarized in the table below.                                making available to the ITC all non-
                                                    further analysis of the data and                                                                                      privileged and non-proprietary
                                                    comments submitted by interested                                                                            Subsidy   information related to this investigation.
                                                    parties following the Preliminary                                       Company                              rate     We will allow the ITC access to all
                                                                                                                                                               (percent)
                                                    Determination, we are not modifying                                                                                   privileged and business proprietary
                                                    our findings for the Final                              Yieh Phui (China)                                             information in our files, provided the
                                                    Determination.8 Specifically, in                          Technomaterial Co., Ltd .........                     39.05 ITC confirms that it will not disclose
                                                    accordance with section 705(a)(2) of the                Angang Group Hong Kong Com-                                   such information, either publicly or
                                                    Act, we find that critical circumstances                  pany Ltd ..................................         241.07 under an administrative protective order
                                                    exist with respect to imports from                      Baoshan Iron & Steel Co., Ltd ...                     241.07
                                                                                                            Duferco S.A., Hebei Iron & Steel
                                                                                                                                                                          (APO), without the written consent of
                                                    Angang, Baoshan, Duferco, Everbright                                                                                  the Assistant Secretary for Enforcement
                                                                                                              Group, and Tangshan Iron
                                                    and Handan, but do not exist for Yieh
                                                                                                              and Steel Group Co., Ltd ........                   241.07 and Compliance.
                                                    Phui (China) Technomaterial Co., Ltd.                   Changshu Everbright Material
                                                    (YPC) and all other producers or                          Technology ..............................           241.07    Notification Regarding Administrative
                                                    exporters.                                              Handan Iron & Steel Group ........                    241.07    Protective Orders
                                                                                                            All-Others ....................................        39.05
                                                    Final Determination                                                                                                        In the event the ITC issues a final
                                                      In accordance with section                            Continuation of Suspension of                                   negative injury determination, this
                                                    705(c)(1)(B)(i)(I) of the Act, we                       Liquidation                                                     notice serves as the only reminder to
                                                    established rates for YPC (the only                                                                                     parties subject to an APO of their
                                                                                                               As a result of our Preliminary                               responsibility concerning the
                                                    individually investigated exporter/
                                                                                                            Determination, and pursuant to sections
                                                    producer of the subject merchandise                                                                                     destruction of proprietary information
                                                                                                            703(d)(1)(B) and (2) of the Act, we
                                                    that participated in this investigation),                                                                               disclosed under APO in accordance
                                                                                                            instructed U.S. Customs and Border
                                                    and for Angang, Baoshan, Duferco,                                                                                       with 19 CFR 351.305(a)(3). Timely
                                                                                                            Protection (CBP) to suspend liquidation
                                                                                                            of all entries of merchandise under                             written notification of the return or
                                                      6 See Final Decision Memorandum; see also
                                                                                                            consideration from the PRC that were                            destruction of APO materials, or
                                                    Memorandum, ‘‘Final Determination Analysis for
                                                    Yieh Phui (China) Technomaterial Co., Ltd.,’’ dated     entered or withdrawn from warehouse,                            conversion to judicial protective order,
                                                    concurrently with this determination and hereby         for consumption, on or after August 8,                          is hereby requested. Failure to comply
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                                                    adopted by this notice.
                                                                                                            2015 (for those entities for which we                           with the regulations and terms of an
                                                      7 See Antidumping and Countervailing Duty
                                                                                                            found critical circumstances exist) or on                       APO is a violation subject to sanction.
                                                    Investigations of Corrosion-Resistant Steel Products
                                                    From India, Italy, the People’s Republic of China,      or after November 6, 2015, the date of                             This determination is issued and
                                                    the Republic of Korea, and Taiwan: Preliminary          publication of the Preliminary                                  published pursuant to sections 705(d)
                                                    Determinations of Critical Circumstances, 80 FR         Determination in the Federal Register
                                                    68504 (November 5, 2015).                                                                                               and 777(i) of the Act.
                                                      8 For a full description of the methodology and
                                                                                                            (for all entities for which we did not
                                                    results of our analysis, see the Final Decision         find critical circumstances exist). In
                                                    Memorandum.                                             accordance with section 703(d) of the


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                                                    35310                          Federal Register / Vol. 81, No. 106 / Thursday, June 2, 2016 / Notices

                                                      Dated: May 24, 2016.                                  purposes of the width and thickness                       • Flat-rolled steel products either plated or
                                                    Paul Piquado,                                           requirements referenced above:                         coated with tin, lead, chromium, chromium
                                                                                                               (1) Where the nominal and actual                    oxides, both tin and lead (‘‘terne plate’’), or
                                                    Assistant Secretary for Enforcement and
                                                                                                            measurements vary, a product is within the             both chromium and chromium oxides (‘‘tin
                                                    Compliance.
                                                                                                            scope if application of either the nominal or          free steel’’), whether or not painted,
                                                    Appendix I                                              actual measurement would place it within               varnished or coated with plastics or other
                                                                                                            the scope based on the definitions set forth           non-metallic substances in addition to the
                                                    List of Topics Discussed in the Final                   above, and                                             metallic coating;
                                                    Decision Memorandum                                        (2) where the width and thickness vary for             • Clad products in straight lengths of
                                                    I. Summary                                              a specific product (e.g., the thickness of             4.7625 mm or more in composite thickness
                                                    II. Background                                          certain products with non-rectangular cross-           and of a width which exceeds 150 mm and
                                                    III. Final Determination of Critical                    section, the width of certain products with            measures at least twice the thickness; and
                                                          Circumstances, in Part                            non-rectangular shape, etc.), the                         • Certain clad stainless flat-rolled
                                                    IV. Scope of the Investigation                          measurement at its greatest width or                   products, which are three-layered corrosion-
                                                    V. Application of the Countervailing Duty               thickness applies.                                     resistant flat-rolled steel products less than
                                                          Law to Imports From the PRC                          Steel products included in the scope of this        4.75 mm in composite thickness that consist
                                                    VI. Subsidies Valuation Information                     investigation are products in which: (1) Iron          of a flat-rolled steel product clad on both
                                                    VII. Benchmarks and Discount Rates                      predominates, by weight, over each of the              sides with stainless steel in a 20%-60%-20%
                                                    VIII. Use of Facts Otherwise Available and              other contained elements; (2) the carbon               ratio.
                                                          Adverse Inferences                                content is 2 percent or less, by weight; and              The products subject to the investigation
                                                    IX. Analysis of Programs                                (3) none of the elements listed below exceeds          are currently classified in the Harmonized
                                                    X. Analysis of Comments                                 the quantity, by weight, respectively                  Tariff Schedule of the United States
                                                       Comment 1: Whether Respondent’s                      indicated:                                             (‘‘HTSUS’’) under item numbers:
                                                          Producers of Inputs Are ‘‘Authorities’’           • 2.50 percent of manganese, or                        7210.30.0030, 7210.30.0060, 7210.41.0000,
                                                       Comment 2: Whether Inputs for LTAR Are               • 3.30 percent of silicon, or                          7210.49.0030, 7210.49.0091, 7210.49.0095,
                                                          Specific                                          • 1.50 percent of copper, or                           7210.61.0000, 7210.69.0000, 7210.70.6030,
                                                       Comment 3: Whether To Use a Tier One                 • 1.50 percent of aluminum, or                         7210.70.6060, 7210.70.6090, 7210.90.6000,
                                                          Benchmark To Determine the Adequacy               • 1.25 percent of chromium, or                         7210.90.9000, 7212.20.0000, 7212.30.1030,
                                                          of Remuneration for Inputs for LTAR               • 0.30 percent of cobalt, or                           7212.30.1090, 7212.30.3000, 7212.30.5000,
                                                       Comment 4: Whether the Provision of                  • 0.40 percent of lead, or                             7212.40.1000, 7212.40.5000, 7212.50.0000,
                                                          Electricity for LTAR Is Countervailable           • 2.00 percent of nickel, or                           and 7212.60.0000.
                                                       Comment 5: Whether the GOC Provided                  • 0.30 percent of tungsten (also called                   The products subject to the investigation
                                                          Policy Loans to YPC During the POI                   wolfram), or                                        may also enter under the following HTSUS
                                                       Comment 6: Whether the Export Buyer’s                • 0.80 percent of molybdenum, or                       item numbers: 7210.90.1000, 7215.90.1000,
                                                          Credit Program Was Used by Respondent             • 0.10 percent of niobium (also called                 7215.90.3000, 7215.90.5000, 7217.20.1500,
                                                       Comment 7: Correcting VAT in the Hot-                   columbium), or                                      7217.30.1530, 7217.30.1560, 7217.90.1000,
                                                          Rolled Steel and Primary Aluminum                 • 0.30 percent of vanadium, or                         7217.90.5030, 7217.90.5060, 7217.90.5090,
                                                          Benchmarks                                        • 0.30 percent of zirconium                            7225.91.0000, 7225.92.0000, 7225.99.0090,
                                                       Comment 8: Whether To Apply AFA to                      Unless specifically excluded, products are          7226.99.0110, 7226.99.0130, 7226.99.0180,
                                                          YCL’s Sales From Other PRC Producers              included in this scope regardless of levels of         7228.60.6000, 7228.60.8000, and
                                                          of Corrosion-Resistant Steel                      boron and titanium.                                    7229.90.1000.
                                                    XI. Recommendation                                         For example, specifically included in this             The HTSUS subheadings above are
                                                                                                            scope are vacuum degassed, fully stabilized            provided for convenience and customs
                                                    Appendix II                                             (commonly referred to as interstitial-free             purposes only. The written description of the
                                                                                                            (‘‘IF’’)) steels and high strength low alloy           scope of the investigation is dispositive.
                                                    Scope of the Investigation
                                                                                                            (‘‘HSLA’’) steels. IF steels are recognized as         [FR Doc. 2016–12962 Filed 6–1–16; 8:45 am]
                                                       The products covered by this investigation           low carbon steels with micro-alloying levels
                                                    are certain flat-rolled steel products, either                                                                 BILLING CODE 3510–DS–P
                                                                                                            of elements such as titanium and/or niobium
                                                    clad, plated, or coated with corrosion-                 added to stabilize carbon and nitrogen
                                                    resistant metals such as zinc, aluminum, or             elements. HSLA steels are recognized as
                                                    zinc-, aluminum-, nickel- or iron-based                 steels with micro-alloying levels of elements          DEPARTMENT OF COMMERCE
                                                    alloys, whether or not corrugated or painted,           such as chromium, copper, niobium,
                                                    varnished, laminated, or coated with plastics           titanium, vanadium, and molybdenum.                    International Trade Administration
                                                    or other non-metallic substances in addition               Furthermore, this scope also includes
                                                                                                                                                                   [C–580–879]
                                                    to the metallic coating. The products covered           Advanced High Strength Steels (‘‘AHSS’’)
                                                    include coils that have a width of 12.7 mm              and Ultra High Strength Steels (‘‘UHSS’’),
                                                    or greater, regardless of form of coil (e.g., in        both of which are considered high tensile
                                                                                                                                                                   Countervailing Duty Investigation of
                                                    successively superimposed layers, spirally              strength and high elongation steels.                   Certain Corrosion-Resistant Steel
                                                    oscillating, etc.). The products covered also              Subject merchandise also includes                   Products From the Republic of Korea:
                                                    include products not in coils (e.g., in straight        corrosion-resistant steel that has been further        Final Affirmative Determination, and
                                                    lengths) of a thickness less than 4.75 mm and           processed in a third country, including but            Final Affirmative Critical
                                                    a width that is 12.7 mm or greater and that             not limited to annealing, tempering, painting,         Circumstances Determination, in Part
                                                    measures at least 10 times the thickness. The           varnishing, trimming, cutting, punching and/
                                                    products covered also include products not              or slitting or any other processing that would         AGENCY:  Enforcement and Compliance,
                                                    in coils (e.g., in straight lengths) of a               not otherwise remove the merchandise from              International Trade Administration,
                                                    thickness of 4.75 mm or more and a width                the scope of the investigation if performed in         Department of Commerce.
                                                    exceeding 150 mm and measuring at least                 the country of manufacture of the in-scope             SUMMARY: The Department of Commerce
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                                                    twice the thickness. The products described             corrosion resistant steel.                             (the Department) determines that
                                                    above may be rectangular, square, circular, or             All products that meet the written physical         countervailable subsidies are being
                                                    other shape and include products of either              description, and in which the chemistry
                                                                                                                                                                   provided to producers and exporters of
                                                    rectangular or non-rectangular cross-section            quantities do not exceed any one of the noted
                                                    where such cross-section is achieved                    element levels listed above, are within the            certain corrosion-resistant steel
                                                    subsequent to the rolling process, i.e.,                scope of this investigation unless specifically        products (corrosion-resistant steel) from
                                                    products which have been ‘‘worked after                 excluded. The following products are outside           the Republic of Korea (Korea) as
                                                    rolling’’ (e.g., products which have been               of and/or specifically excluded from the               provided in section 705 of the Tariff Act
                                                    beveled or rounded at the edges). For                   scope of this investigation:                           of 1930, as amended (the Act). For


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Document Created: 2016-06-02 01:23:08
Document Modified: 2016-06-02 01:23:08
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
ContactEmily Halle or David Lindgren, AD/CVD Operations, Office VII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230; telephone (202) 482-0176 or (202) 482-3870, respectively.
FR Citation81 FR 35308 

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