81_FR_53575 81 FR 53419 - Certain Hot-Rolled Steel Flat Products From the Republic of Korea: Final Determination of Sales at Less Than Fair Value

81 FR 53419 - Certain Hot-Rolled Steel Flat Products From the Republic of Korea: Final Determination of Sales at Less Than Fair Value

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 81, Issue 156 (August 12, 2016)

Page Range53419-53421
FR Document2016-19380

The Department of Commerce (Department) determines that certain hot-rolled steel flat products (hot-rolled steel) from the Republic of Korea (Korea) are being, or are likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is July 1, 2014, through June 30, 2015. The final estimated weighted-average dumping margins are listed below in the ``Final Determination'' section of this notice.

Federal Register, Volume 81 Issue 156 (Friday, August 12, 2016)
[Federal Register Volume 81, Number 156 (Friday, August 12, 2016)]
[Notices]
[Pages 53419-53421]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-19380]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-883]


Certain Hot-Rolled Steel Flat Products From the Republic of 
Korea: Final Determination of Sales at Less Than Fair Value

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

SUMMARY: The Department of Commerce (Department) determines that 
certain hot-rolled steel flat products (hot-rolled steel) from the 
Republic of Korea (Korea) are being, or are likely to be, sold in the 
United States at less than fair value (LTFV). The period of 
investigation (POI) is July 1, 2014, through June 30, 2015. The final 
estimated weighted-average dumping margins are listed below in the 
``Final Determination'' section of this notice.

DATES: Effective August 12, 2016.

FOR FURTHER INFORMATION CONTACT: Javier Barrientos or Matthew Renkey, 
AD/CVD Operations, Office V, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
2243 or (202) 482-2312, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the preliminary determination on March 22, 
2016.\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 Issues and Decision Memorandum.\2\
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    \1\ See Certain Hot-Rolled Steel Flat Products from the Republic 
of Korea: Affirmative Preliminary Determination of Sales at Less 
than Fair Value and Postponement of Final Determination, 81 FR 15228 
(March 22, 2016) (Preliminary Determination), and accompanying 
Preliminary Decision Memorandum.
    \2\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Ronald K. Lorentzen, Acting Assistant Secretary for Enforcement and 
Compliance, ``Issues and Decision Memorandum for the Final 
Affirmative Determination in the Antidumping Duty Investigation of 
Certain Hot-Rolled Steel Flat Products from the Republic of Korea,'' 
(Final Issues and Decision Memorandum), dated concurrently with this 
determination and hereby adopted by this notice.
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    Also, as explained in the memorandum from the Acting Assistant 
Secretary for Enforcement and Compliance, the Department exercised its 
authority to toll all administrative deadlines due to the closure of 
the Federal Government.\3\ As a consequence, all deadlines in this 
segment of the proceeding have been extended by four business days.
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    \3\ See Memorandum to the File from Ron Lorentzen, Acting A/S 
for Enforcement & Compliance, ``Tolling of Administrative Deadlines 
As a Result of the Government Closure During Snowstorm Jonas,'' 
dated January 27, 2016.
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Scope of the Investigation

    The products covered by this investigation are certain hot-rolled 
steel flat products from Korea. For a complete description of the scope 
of this investigation, see the ``Scope of the Investigation,'' in 
Appendix II of this notice.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties in 
this investigation are addressed in the Final Issues and Decision 
Memorandum, which is hereby adopted by this notice.\4\ A list of the 
issues raised is attached to this notice as Appendix I. The Final 
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 https://access.trade.gov and 
it is available to all parties in the Central Records Unit, room B-8024 
of the main Department of Commerce building. In addition, a complete 
version of the Final Issues and Decision Memorandum can be accessed 
directly at http://enforcement.trade.gov/frn/index.html. The signed and 
electronic versions of the Final Issues and Decision Memorandum are 
identical in content.
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    \4\ See Final Issues and Decision Memorandum.
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Verification

    As provided in section 782(i) of the Act, in January, April, and 
June 2016, the Department verified the sales, cost, and further 
manufacturing data reported by the mandatory respondents Hyundai Steel 
Company and POSCO,\5\ pursuant to section 782(i) of the Act. We used 
standard verification procedures, including an examination of relevant 
accounting and production records, and original source documents 
provided by respondents.
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    \5\ We are continuing to collapse the mandatory respondent POSCO 
and Daewoo International Corporation (DWI), and henceforward refer 
to the collapsed entity as ``POSCO.'' See Preliminary Determination, 
81 FR at 15229.
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Use of Adverse Facts Available

    In making this final determination, the Department relied, in part, 
on facts available for both POSCO and Hyundai Steel Company. 
Furthermore, because Hyundai Steel Company did not act to the best of 
its ability in responding to certain of the Department's requests for 
information, we drew an adverse inference where appropriate in 
selecting from among the facts otherwise available.\6\ For further 
information, see the accompanying Final Issues and Decision Memorandum.
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    \6\ See sections 776(a) and (b) of the Act.
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Changes to the Margin Calculations Since the Preliminary Determination

    Based on our analysis of the comments received and our findings at 
verification, we made certain changes to the margin calculations for 
Hyundai Steel Company and POSCO. For a discussion of these changes, see 
the Final Issues and Decision Memorandum. We have also revised the all-
others rate in accordance with the methodology described below.

All-Others Rate

    Consistent with sections 735(c)(1)(B)(i)(II) and 735(c)(5) of the 
Act, the Department also calculated an estimated all-others rate. 
Section 735(c)(5)(A) of the Act provides that the estimated all-others 
rate shall be an amount equal to the weighted average of the estimated 
weighted-average dumping margins established for exporters and 
producers individually investigated, excluding any zero and de minimis 
margins, and any margins determined entirely under section 776 of the 
Act. Where the rates for investigated companies are zero or de minimis, 
or based entirely on facts otherwise available, section 735(c)(5)(B) of 
the Act instructs the Department to establish an ``all others'' rate 
using ``any reasonable method.''

[[Page 53420]]

    In this investigation, we calculated weighted-average dumping 
margins for Hyundai Steel Company and POSCO that are above de minimis 
and which are not based on total facts available. Accordingly, for the 
final determination, consistent with the Act and the Department's 
practice, the Department calculated the margin for the all-others rate 
using the ranged total sales values reported by POSCO and Hyundai Steel 
from the public versions of their submissions.\7\
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    \7\ See Memorandum to the File, ``Investigation of Certain Hot-
Rolled Steel Flat Products from the Republic of Korea, All-Others 
Rate Calculation,'' dated August 4, 2016. We note that it is the 
Department's practice to calculate (A) a weighted-average of the 
dumping margins calculated for the mandatory respondents; (B) a 
simple average of the dumping margins calculated for the mandatory 
respondents; and (C) a weighted-average of the dumping margins 
calculated for the mandatory respondents using each company's 
publicly-ranged values for the merchandise under consideration. We 
would compare (B) and (C) to (A) and select the rate closest to (A) 
as the most appropriate rate for all other companies. See Ball 
Bearings and Parts Thereof From France, Germany, Italy, Japan, and 
the United Kingdom: Final Results of Antidumping Duty Administrative 
Reviews, Final Results of Changed-Circumstances Review, and 
Revocation of an Order in Part, 75 FR 53661, 53663 (September 1, 
2010).
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Final Determination Margins

    The Department determines that the following estimated weighted-
average dumping margins exist:

------------------------------------------------------------------------
                                     Weighted-average
       Exporter/Manufacturer         dumping margins   Cash deposit rate
                                        (percent)           (percent)
------------------------------------------------------------------------
Hyundai Steel Company.............               9.49               9.49
POSCO.............................               3.89               0.00
All Others........................               5.55               5.55
------------------------------------------------------------------------

Disclosure

    We intend to disclose to parties in this proceeding the 
calculations performed for this final determination within five days of 
the date of public announcement of our final determination, in 
accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    Pursuant to section 735(c)(1)(B) of the Act, the Department will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all entries of hot-rolled steel from Korea, 
which were entered, or withdrawn from warehouse, for consumption on or 
after March 22, 2016 (the date of publication of the affirmative 
Preliminary Determination).
    Where the product under investigation is also subject to a 
concurrent countervailing duty investigation, we instruct CBP to 
require a cash deposit less the amount of the countervailing duty 
determined to constitute any export subsidies. Because of the 
affirmative final determination in the countervailing duty 
investigation, suspension of liquidation will be ordered in that 
investigation, and so long as suspension of liquidation continues under 
this antidumping duty investigation, the cash deposit rates for this 
antidumping duty investigation will be the rates identified in the cash 
deposit rate column in the rate chart, above. In the event that a 
countervailing duty order is issued and suspension of liquidation 
continues in the companion countervailing duty investigation on hot-
rolled steel from the Korea, the Department will continue to instruct 
CBP to require cash deposits adjusted by the amount of export 
subsidies, as appropriate. These adjustments are reflected in the final 
column of the rate chart, above.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
U.S. International Trade Commission (ITC) of the final affirmative 
determination of sales at LTFV. Because the final determination in this 
proceeding is affirmative, in accordance with section 735(b)(2) of the 
Act, the ITC will make its final determination as to whether the 
domestic industry in the United States is materially injured, or 
threatened with material injury, by reason of imports of hot-rolled 
steel from Korea no later than 45 days after our final determination. 
If the ITC determines that material injury or threat of material injury 
does not exist, the proceeding will be terminated and all cash deposits 
will be refunded. If the ITC determines that such injury does exist, 
the Department will issue an antidumping duty order directing CBP to 
assess, upon further instruction by the Department, antidumping duties 
on all imports of the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the effective date of the 
suspension of liquidation.

Notification Regarding Administrative Protective Orders (APOs)

    This notice serves as a reminder to parties subject to APO of their 
responsibility concerning the disposition of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3). 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 the terms of an APO is a violation 
subject to sanction.
    This determination and notice are issued and published pursuant to 
sections 735(d) and 777(i)(1) of the Act.

    Dated: August 4, 2016.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix I--List of Topics Discussed in the Final Issues and Decision 
Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Scope of the Investigation
VI. Changes Since the Preliminary Determination
VII. Discussion of the Issues
    Company-Specific Comments
    POSCO
    1. Correction of Errors in the Margin Calculation
    2. The Correct Code for Prime Merchandise to Use in the Margin 
Calculation
    3. CEP Offset
    4. Treatment of Side-Trimming Costs Accepted as a Minor 
Correction
    5. Foreign Brokerage and Handling Expense for Channel 5 Sales
    6. Revision of Further Manufacturing Costs for Non-Prime Channel 
5 Sales
    7. Date of Sale
    Hyundai Steel
    8. Reporting of Inland Freight, International Freight, Marine 
Insurance and Other Services Provided by Affiliated Companies
    9. CEP Offset
    10. Date of Sale
    11. Differential Pricing
    12. Hyundai Steel Calculation Issues
    13. Certain Home Market Customers
    14. Hyundai Steel America Channel 5 Issues
    15. Affiliated Home Market Resales

[[Page 53421]]

VIII. Recommendation

Appendix II--Scope of the Investigation

    The products covered by this investigation are certain hot-
rolled, flat-rolled steel products, with or without patterns in 
relief, and whether or not annealed, painted, varnished, or coated 
with plastics or other non-metallic substances. The products covered 
do not include those that are clad, plated, or coated with metal. 
The products covered include coils that have a width or other 
lateral measurement (width) of 12.7 mm or greater, regardless of 
thickness, and 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 of 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 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 achieve 
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 unless the resulting measurement makes the product 
covered by the existing antidumping \8\ or countervailing duty \9\ 
orders on Certain Cut-To-Length Carbon-Quality Steel Plate Products 
From the Republic of Korea (A-580-836; C-580-837), and
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    \8\ Notice of Amendment of Final Determinations of Sales at Less 
Than Fair Value and Antidumping Duty Orders: Certain Cut-To-Length 
Carbon-Quality Steel Plate Products From France, India, Indonesia, 
Italy, Japan and the Republic of Korea, 65 FR 6585 (February 10, 
2000).
    \9\ Notice of Amended Final Determinations: Certain Cut-to-
Length Carbon-Quality Steel Plate From India and the Republic of 
Korea; and Notice of Countervailing Duty Orders: Certain Cut-To-
Length Carbon-Quality Steel Plate From France, India, Indonesia, 
Italy, and the Republic of Korea, 65 FR 6587 (February 10, 2000).
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    (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, or
     0.80 percent of molybdenum, or
     0.10 percent of niobium, 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, high strength low alloy (HSLA) steels, the 
substrate for motor lamination steels, Advanced High Strength Steels 
(AHSS), and Ultra High Strength Steels (UHSS). 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. The substrate for motor 
lamination steels contains micro-alloying levels of elements such as 
silicon and aluminum. AHSS and UHSS are considered high tensile 
strength and high elongation steels, although AHSS and UHSS are 
covered whether or not they are high tensile strength or high 
elongation steels.
    Subject merchandise includes hot-rolled steel that has been 
further processed in a third country, including but not limited to 
pickling, oiling, levelling, annealing, tempering, temper rolling, 
skin passing, 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 hot-rolled 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:
     Universal mill plates (i.e., hot-rolled, flat-rolled 
products not in coils that have been rolled on four faces or in a 
closed box pass, of a width exceeding 150 mm but not exceeding 1250 
mm, of a thickness not less than 4.0 mm, and without patterns in 
relief);
     Products that have been cold-rolled (cold-reduced) 
after hot-rolling; \10\
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    \10\ For purposes of this scope exclusion, rolling operations 
such as a skin pass, levelling, temper rolling or other minor 
rolling operations after the hot-rolling process for purposes of 
surface finish, flatness, shape control, or gauge control do not 
constitute cold-rolling sufficient to meet this exclusion.
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     Ball bearing steels; \11\
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    \11\ Ball bearing steels are defined as steels which contain, in 
addition to iron, each of the following elements by weight in the 
amount specified: (i) Not less than 0.95 nor more than 1.13 percent 
of carbon; (ii) not less than 0.22 nor more than 0.48 percent of 
manganese; (iii) none, or not more than 0.03 percent of sulfur; (iv) 
none, or not more than 0.03 percent of phosphorus; (v) not less than 
0.18 nor more than 0.37 percent of silicon; (vi) not less than 1.25 
nor more than 1.65 percent of chromium; (vii) none, or not more than 
0.28 percent of nickel; (viii) none, or not more than 0.38 percent 
of copper; and (ix) none, or not more than 0.09 percent of 
molybdenum.
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     Tool steels; \12\ and
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    \12\ Tool steels are defined as steels which contain the 
following combinations of elements in the quantity by weight 
respectively indicated: (i) More than 1.2 percent carbon and more 
than 10.5 percent chromium; or (ii) not less than 0.3 percent carbon 
and 1.25 percent or more but less than 10.5 percent chromium; or 
(iii) not less than 0.85 percent carbon and 1 percent to 1.8 
percent, inclusive, manganese; or (iv) 0.9 percent to 1.2 percent, 
inclusive, chromium and 0.9 percent to 1.4 percent, inclusive, 
molybdenum; or (v) not less than 0.5 percent carbon and not less 
than 3.5 percent molybdenum; or (vi) not less than 0.5 percent 
carbon and not less than 5.5 percent tungsten.
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     Silico-manganese steels; \13\
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    \13\ Silico-manganese steel is defined as steels containing by 
weight: (i) Not more than 0.7 percent of carbon; (ii) 0.5 percent or 
more but not more than 1.9 percent of manganese, and (iii) 0.6 
percent or more but not more than 2.3 percent of silicon.
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    The products subject to this investigation are currently 
classified in the Harmonized Tariff Schedule of the United States 
(HTSUS) under item numbers: 7208.10.1500, 7208.10.3000, 
7208.10.6000, 7208.25.3000, 7208.25.6000, 7208.26.0030, 
7208.26.0060, 7208.27.0030, 7208.27.0060, 7208.36.0030, 
7208.36.0060, 7208.37.0030, 7208.37.0060, 7208.38.0015, 
7208.38.0030, 7208.38.0090, 7208.39.0015, 7208.39.0030, 
7208.39.0090, 7208.40.6030, 7208.40.6060, 7208.53.0000, 
7208.54.0000, 7208.90.0000, 7210.70.3000, 7211.14.0030, 
7211.14.0090, 7211.19.1500, 7211.19.2000, 7211.19.3000, 
7211.19.4500, 7211.19.6000, 7211.19.7530, 7211.19.7560, 
7211.19.7590, 7225.11.0000, 7225.19.0000, 7225.30.3050, 
7225.30.7000, 7225.40.7000, 7225.99.0090, 7226.11.1000, 
7226.11.9030, 7226.11.9060, 7226.19.1000, 7226.19.9000, 
7226.91.5000, 7226.91.7000, and 7226.91.8000. The products subject 
to the investigation may also enter under the following HTSUS 
numbers: 7210.90.9000, 7211.90.0000, 7212.40.1000, 7212.40.5000, 
7212.50.0000, 7214.91.0015, 7214.91.0060, 7214.91.0090, 
7214.99.0060, 7214.99.0075, 7214.99.0090, 7215.90.5000, 
7226.99.0180, and 7228.60.6000.
    The HTSUS subheadings above are provided for convenience and 
U.S. Customs purposes only. The written description of the scope of 
the investigation is dispositive.

[FR Doc. 2016-19380 Filed 8-11-16; 8:45 am]
 BILLING CODE 3510-DS-P



                                                                                Federal Register / Vol. 81, No. 156 / Friday, August 12, 2016 / Notices                                                   53419

                                                    Comment 16: Whether Subsidies Provided                published the Preliminary                              Verification
                                                      to UMSA Should Be Attributed to                     Determination, as well as a full
                                                      Usiminas                                                                                                     As provided in section 782(i) of the
                                                                                                          discussion of the issues raised by parties             Act, in January, April, and June 2016,
                                                    Comment 17: Whether the Economic
                                                      Subvention to National Innovation
                                                                                                          for this final determination, may be                   the Department verified the sales, cost,
                                                      Program Is Not Countervailable                      found in the Final Issues and Decision                 and further manufacturing data reported
                                                    Comment 18: Whether FINEP’s Economic                  Memorandum.2                                           by the mandatory respondents Hyundai
                                                      Subvention Program Has Not Conferred                   Also, as explained in the                           Steel Company and POSCO,5 pursuant
                                                      a Measurable Benefit                                memorandum from the Acting Assistant                   to section 782(i) of the Act. We used
                                                    Comment 19: Whether the Bahia State                   Secretary for Enforcement and                          standard verification procedures,
                                                      Industrial Development and Economic
                                                                                                          Compliance, the Department exercised                   including an examination of relevant
                                                      Integration Program (Desenvolve) Is De
                                                      Jure Specific                                       its authority to toll all administrative               accounting and production records, and
                                                    Comment 20: Whether the GOB’s                         deadlines due to the closure of the                    original source documents provided by
                                                      References to Web sites Constitute a Full           Federal Government.3 As a                              respondents.
                                                      Response                                            consequence, all deadlines in this
                                                                                                                                                                 Use of Adverse Facts Available
                                                  X. Recommendation                                       segment of the proceeding have been
                                                  [FR Doc. 2016–19376 Filed 8–11–16; 8:45 am]             extended by four business days.                           In making this final determination,
                                                  BILLING CODE 3510–DS–P
                                                                                                                                                                 the Department relied, in part, on facts
                                                                                                          Scope of the Investigation                             available for both POSCO and Hyundai
                                                                                                             The products covered by this                        Steel Company. Furthermore, because
                                                  DEPARTMENT OF COMMERCE                                  investigation are certain hot-rolled steel             Hyundai Steel Company did not act to
                                                                                                          flat products from Korea. For a complete               the best of its ability in responding to
                                                  International Trade Administration                      description of the scope of this                       certain of the Department’s requests for
                                                                                                          investigation, see the ‘‘Scope of the                  information, we drew an adverse
                                                  [A–580–883]
                                                                                                          Investigation,’’ in Appendix II of this                inference where appropriate in selecting
                                                  Certain Hot-Rolled Steel Flat Products                  notice.                                                from among the facts otherwise
                                                  From the Republic of Korea: Final                                                                              available.6 For further information, see
                                                                                                          Analysis of Comments Received                          the accompanying Final Issues and
                                                  Determination of Sales at Less Than
                                                  Fair Value                                                 All issues raised in the case and                   Decision Memorandum.
                                                                                                          rebuttal briefs by parties in this                     Changes to the Margin Calculations
                                                  AGENCY:   Enforcement and Compliance,
                                                                                                          investigation are addressed in the Final               Since the Preliminary Determination
                                                  International Trade Administration,
                                                                                                          Issues and Decision Memorandum,                           Based on our analysis of the
                                                  Department of Commerce.
                                                                                                          which is hereby adopted by this notice.4               comments received and our findings at
                                                  SUMMARY: The Department of Commerce
                                                                                                          A list of the issues raised is attached to             verification, we made certain changes to
                                                  (Department) determines that certain                    this notice as Appendix I. The Final
                                                  hot-rolled steel flat products (hot-rolled                                                                     the margin calculations for Hyundai
                                                                                                          Issues and Decision Memorandum is a                    Steel Company and POSCO. For a
                                                  steel) from the Republic of Korea                       public document and is on file
                                                  (Korea) are being, or are likely to be,                                                                        discussion of these changes, see the
                                                                                                          electronically via Enforcement and                     Final Issues and Decision
                                                  sold in the United States at less than fair             Compliance’s Antidumping and
                                                  value (LTFV). The period of                                                                                    Memorandum. We have also revised the
                                                                                                          Countervailing Duty Centralized                        all-others rate in accordance with the
                                                  investigation (POI) is July 1, 2014,                    Electronic Service System (ACCESS).
                                                  through June 30, 2015. The final                                                                               methodology described below.
                                                                                                          ACCESS is available to registered users
                                                  estimated weighted-average dumping                      at https://access.trade.gov and it is                  All-Others Rate
                                                  margins are listed below in the ‘‘Final                 available to all parties in the Central                  Consistent with sections
                                                  Determination’’ section of this notice.                 Records Unit, room B–8024 of the main                  735(c)(1)(B)(i)(II) and 735(c)(5) of the
                                                  DATES: Effective August 12, 2016.                       Department of Commerce building. In                    Act, the Department also calculated an
                                                  FOR FURTHER INFORMATION CONTACT:                        addition, a complete version of the Final              estimated all-others rate. Section
                                                  Javier Barrientos or Matthew Renkey,                    Issues and Decision Memorandum can                     735(c)(5)(A) of the Act provides that the
                                                  AD/CVD Operations, Office V,                            be accessed directly at http://                        estimated all-others rate shall be an
                                                  Enforcement and Compliance,                             enforcement.trade.gov/frn/index.html.                  amount equal to the weighted average of
                                                  International Trade Administration,                     The signed and electronic versions of                  the estimated weighted-average
                                                  U.S. Department of Commerce, 14th                       the Final Issues and Decision                          dumping margins established for
                                                  Street and Constitution Avenue, NW.,                    Memorandum are identical in content.                   exporters and producers individually
                                                  Washington, DC 20230; telephone: (202)                                                                         investigated, excluding any zero and de
                                                  482–2243 or (202) 482–2312,                               2 See Memorandum from Christian Marsh, Deputy        minimis margins, and any margins
                                                  respectively.                                           Assistant Secretary for Antidumping and                determined entirely under section 776
                                                                                                          Countervailing Duty Operations, to Ronald K.           of the Act. Where the rates for
                                                  SUPPLEMENTARY INFORMATION:                              Lorentzen, Acting Assistant Secretary for
                                                                                                          Enforcement and Compliance, ‘‘Issues and Decision      investigated companies are zero or de
                                                  Background                                                                                                     minimis, or based entirely on facts
                                                                                                          Memorandum for the Final Affirmative
                                                    The Department published the                          Determination in the Antidumping Duty                  otherwise available, section 735(c)(5)(B)
                                                  preliminary determination on March 22,                  Investigation of Certain Hot-Rolled Steel Flat         of the Act instructs the Department to
                                                                                                          Products from the Republic of Korea,’’ (Final Issues
                                                  2016.1 A summary of the events that                                                                            establish an ‘‘all others’’ rate using ‘‘any
mstockstill on DSK3G9T082PROD with NOTICES




                                                                                                          and Decision Memorandum), dated concurrently
                                                  occurred since the Department                           with this determination and hereby adopted by this     reasonable method.’’
                                                                                                          notice.
                                                    1 See Certain Hot-Rolled Steel Flat Products from       3 See Memorandum to the File from Ron                  5 We are continuing to collapse the mandatory

                                                  the Republic of Korea: Affirmative Preliminary          Lorentzen, Acting A/S for Enforcement &                respondent POSCO and Daewoo International
                                                  Determination of Sales at Less than Fair Value and      Compliance, ‘‘Tolling of Administrative Deadlines      Corporation (DWI), and henceforward refer to the
                                                  Postponement of Final Determination, 81 FR 15228        As a Result of the Government Closure During           collapsed entity as ‘‘POSCO.’’ See Preliminary
                                                  (March 22, 2016) (Preliminary Determination), and       Snowstorm Jonas,’’ dated January 27, 2016.             Determination, 81 FR at 15229.
                                                  accompanying Preliminary Decision Memorandum.             4 See Final Issues and Decision Memorandum.            6 See sections 776(a) and (b) of the Act.




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                                                  53420                                     Federal Register / Vol. 81, No. 156 / Friday, August 12, 2016 / Notices

                                                    In this investigation, we calculated                                      consistent with the Act and the                                             from the public versions of their
                                                  weighted-average dumping margins for                                        Department’s practice, the Department                                       submissions.7
                                                  Hyundai Steel Company and POSCO                                             calculated the margin for the all-others                                    Final Determination Margins
                                                  that are above de minimis and which are                                     rate using the ranged total sales values
                                                  not based on total facts available.                                         reported by POSCO and Hyundai Steel                                           The Department determines that the
                                                  Accordingly, for the final determination,                                                                                                               following estimated weighted-average
                                                                                                                                                                                                          dumping margins exist:

                                                                                                                                                                                                                     Weighted-average   Cash deposit rate
                                                                                                                Exporter/Manufacturer                                                                                dumping margins       (percent)
                                                                                                                                                                                                                         (percent)

                                                  Hyundai Steel Company ..............................................................................................................................                           9.49                 9.49
                                                  POSCO ........................................................................................................................................................                 3.89                 0.00
                                                  All Others .....................................................................................................................................................               5.55                 5.55



                                                  Disclosure                                                                  the amount of export subsidies, as                                          requested. Failure to comply with the
                                                    We intend to disclose to parties in                                       appropriate. These adjustments are                                          regulations and the terms of an APO is
                                                  this proceeding the calculations                                            reflected in the final column of the rate                                   a violation subject to sanction.
                                                                                                                              chart, above.                                                                  This determination and notice are
                                                  performed for this final determination
                                                                                                                                                                                                          issued and published pursuant to
                                                  within five days of the date of public                                      International Trade Commission
                                                                                                                                                                                                          sections 735(d) and 777(i)(1) of the Act.
                                                  announcement of our final                                                   Notification
                                                  determination, in accordance with 19                                                                                                                      Dated: August 4, 2016.
                                                                                                                                 In accordance with section 735(d) of
                                                  CFR 351.224(b).                                                                                                                                         Ronald K. Lorentzen,
                                                                                                                              the Act, we will notify the U.S.
                                                                                                                              International Trade Commission (ITC) of                                     Acting Assistant Secretary for Enforcement
                                                  Continuation of Suspension of                                                                                                                           and Compliance.
                                                  Liquidation                                                                 the final affirmative determination of
                                                                                                                              sales at LTFV. Because the final                                            Appendix I—List of Topics Discussed in
                                                     Pursuant to section 735(c)(1)(B) of the
                                                                                                                              determination in this proceeding is                                         the Final Issues and Decision
                                                  Act, the Department will instruct U.S.
                                                                                                                              affirmative, in accordance with section                                     Memorandum
                                                  Customs and Border Protection (CBP) to                                      735(b)(2) of the Act, the ITC will make
                                                  continue to suspend liquidation of all                                                                                                                  I. Summary
                                                                                                                              its final determination as to whether the                                   II. Background
                                                  entries of hot-rolled steel from Korea,                                     domestic industry in the United States
                                                  which were entered, or withdrawn from                                                                                                                   III. Period of Investigation
                                                                                                                              is materially injured, or threatened with                                   IV. Scope Comments
                                                  warehouse, for consumption on or after                                      material injury, by reason of imports of                                    V. Scope of the Investigation
                                                  March 22, 2016 (the date of publication                                     hot-rolled steel from Korea no later than                                   VI. Changes Since the Preliminary
                                                  of the affirmative Preliminary                                              45 days after our final determination. If                                         Determination
                                                  Determination).                                                             the ITC determines that material injury                                     VII. Discussion of the Issues
                                                     Where the product under                                                  or threat of material injury does not                                          Company-Specific Comments
                                                  investigation is also subject to a                                                                                                                         POSCO
                                                                                                                              exist, the proceeding will be terminated                                       1. Correction of Errors in the Margin
                                                  concurrent countervailing duty                                              and all cash deposits will be refunded.                                           Calculation
                                                  investigation, we instruct CBP to require                                   If the ITC determines that such injury                                         2. The Correct Code for Prime Merchandise
                                                  a cash deposit less the amount of the                                       does exist, the Department will issue an                                          to Use in the Margin Calculation
                                                  countervailing duty determined to                                           antidumping duty order directing CBP                                           3. CEP Offset
                                                  constitute any export subsidies. Because                                    to assess, upon further instruction by                                         4. Treatment of Side-Trimming Costs
                                                  of the affirmative final determination in                                   the Department, antidumping duties on                                             Accepted as a Minor Correction
                                                  the countervailing duty investigation,                                                                                                                     5. Foreign Brokerage and Handling
                                                                                                                              all imports of the subject merchandise
                                                  suspension of liquidation will be                                                                                                                             Expense for Channel 5 Sales
                                                                                                                              entered, or withdrawn from warehouse,                                          6. Revision of Further Manufacturing Costs
                                                  ordered in that investigation, and so                                       for consumption on or after the effective                                         for Non-Prime Channel 5 Sales
                                                  long as suspension of liquidation                                           date of the suspension of liquidation.                                         7. Date of Sale
                                                  continues under this antidumping duty                                                                                                                      Hyundai Steel
                                                  investigation, the cash deposit rates for                                   Notification Regarding Administrative
                                                                                                                                                                                                             8. Reporting of Inland Freight,
                                                  this antidumping duty investigation will                                    Protective Orders (APOs)                                                          International Freight, Marine Insurance
                                                  be the rates identified in the cash                                           This notice serves as a reminder to                                             and Other Services Provided by
                                                  deposit rate column in the rate chart,                                      parties subject to APO of their                                                   Affiliated Companies
                                                  above. In the event that a countervailing                                   responsibility concerning the                                                  9. CEP Offset
                                                  duty order is issued and suspension of                                      disposition of proprietary information                                         10. Date of Sale
                                                                                                                                                                                                             11. Differential Pricing
                                                  liquidation continues in the companion                                      disclosed under APO in accordance                                              12. Hyundai Steel Calculation Issues
                                                  countervailing duty investigation on                                        with 19 CFR 351.305(a)(3). Timely                                              13. Certain Home Market Customers
                                                  hot-rolled steel from the Korea, the                                        notification of the return or destruction                                      14. Hyundai Steel America Channel 5
                                                  Department will continue to instruct                                        of APO materials, or conversion to                                                Issues
mstockstill on DSK3G9T082PROD with NOTICES




                                                  CBP to require cash deposits adjusted by                                    judicial protective order, is hereby                                           15. Affiliated Home Market Resales

                                                    7 See Memorandum to the File, ‘‘Investigation of                          dumping margins calculated for the mandatory                                other companies. See Ball Bearings and Parts
                                                  Certain Hot-Rolled Steel Flat Products from the                             respondents; and (C) a weighted-average of the                              Thereof From France, Germany, Italy, Japan, and
                                                  Republic of Korea, All-Others Rate Calculation,’’                           dumping margins calculated for the mandatory                                the United Kingdom: Final Results of Antidumping
                                                  dated August 4, 2016. We note that it is the                                respondents using each company’s publicly-ranged                            Duty Administrative Reviews, Final Results of
                                                  Department’s practice to calculate (A) a weighted-                          values for the merchandise under consideration. We                          Changed-Circumstances Review, and Revocation of
                                                  average of the dumping margins calculated for the                           would compare (B) and (C) to (A) and select the rate                        an Order in Part, 75 FR 53661, 53663 (September
                                                  mandatory respondents; (B) a simple average of the                          closest to (A) as the most appropriate rate for all                         1, 2010).



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                                                                                Federal Register / Vol. 81, No. 156 / Friday, August 12, 2016 / Notices                                                      53421

                                                  VIII. Recommendation                                       • 0.40 percent of lead, or                             • Tool steels; 12 and
                                                                                                             • 2.00 percent of nickel, or                           • Silico-manganese steels; 13
                                                  Appendix II—Scope of the Investigation                     • 0.30 percent of tungsten, or                         The products subject to this investigation
                                                     The products covered by this investigation              • 0.80 percent of molybdenum, or                     are currently classified in the Harmonized
                                                  are certain hot-rolled, flat-rolled steel                  • 0.10 percent of niobium, or                        Tariff Schedule of the United States (HTSUS)
                                                  products, with or without patterns in relief,              • 0.30 percent of vanadium, or                       under item numbers: 7208.10.1500,
                                                  and whether or not annealed, painted,                      • 0.30 percent of zirconium.                         7208.10.3000, 7208.10.6000, 7208.25.3000,
                                                  varnished, or coated with plastics or other                Unless specifically excluded, products are           7208.25.6000, 7208.26.0030, 7208.26.0060,
                                                  non-metallic substances. The products                   included in this scope regardless of levels of          7208.27.0030, 7208.27.0060, 7208.36.0030,
                                                  covered do not include those that are clad,             boron and titanium.                                     7208.36.0060, 7208.37.0030, 7208.37.0060,
                                                  plated, or coated with metal. The products                 For example, specifically included in this           7208.38.0015, 7208.38.0030, 7208.38.0090,
                                                  covered include coils that have a width or              scope are vacuum degassed, fully stabilized             7208.39.0015, 7208.39.0030, 7208.39.0090,
                                                  other lateral measurement (width) of 12.7               (commonly referred to as interstitial-free (IF))        7208.40.6030, 7208.40.6060, 7208.53.0000,
                                                  mm or greater, regardless of thickness, and             steels, high strength low alloy (HSLA) steels,          7208.54.0000, 7208.90.0000, 7210.70.3000,
                                                  regardless of form of coil (e.g., in                    the substrate for motor lamination steels,              7211.14.0030, 7211.14.0090, 7211.19.1500,
                                                  successively superimposed layers, spirally              Advanced High Strength Steels (AHSS), and               7211.19.2000, 7211.19.3000, 7211.19.4500,
                                                  oscillating, etc.). The products covered also           Ultra High Strength Steels (UHSS). IF steels            7211.19.6000, 7211.19.7530, 7211.19.7560,
                                                  include products not in coils (e.g., in straight        are recognized as low carbon steels with                7211.19.7590, 7225.11.0000, 7225.19.0000,
                                                  lengths) of a thickness of less than 4.75 mm            micro-alloying levels of elements such as               7225.30.3050, 7225.30.7000, 7225.40.7000,
                                                  and a width that is 12.7 mm or greater and              titanium and/or niobium added to stabilize              7225.99.0090, 7226.11.1000, 7226.11.9030,
                                                  that measures at least 10 times the thickness.          carbon and nitrogen elements. HSLA steels               7226.11.9060, 7226.19.1000, 7226.19.9000,
                                                  The products described above may be                     are recognized as steels with micro-alloying            7226.91.5000, 7226.91.7000, and
                                                  rectangular, square, circular, or other shape           levels of elements such as chromium, copper,            7226.91.8000. The products subject to the
                                                  and include products of either rectangular or           niobium, titanium, vanadium, and                        investigation may also enter under the
                                                  non-rectangular cross-section where such                molybdenum. The substrate for motor                     following HTSUS numbers: 7210.90.9000,
                                                  cross-section is achieve subsequent to the              lamination steels contains micro-alloying               7211.90.0000, 7212.40.1000, 7212.40.5000,
                                                  rolling process, i.e., products which have              levels of elements such as silicon and                  7212.50.0000, 7214.91.0015, 7214.91.0060,
                                                  been ‘‘worked after rolling’’ (e.g., products           aluminum. AHSS and UHSS are considered                  7214.91.0090, 7214.99.0060, 7214.99.0075,
                                                  which have been beveled or rounded at the               high tensile strength and high elongation               7214.99.0090, 7215.90.5000, 7226.99.0180,
                                                  edges). For purposes of the width and                   steels, although AHSS and UHSS are covered              and 7228.60.6000.
                                                  thickness requirements referenced above:                whether or not they are high tensile strength             The HTSUS subheadings above are
                                                     (1) Where the nominal and actual                     or high elongation steels.                              provided for convenience and U.S. Customs
                                                  measurements vary, a product is within the                 Subject merchandise includes hot-rolled              purposes only. The written description of the
                                                  scope if application of either the nominal or           steel that has been further processed in a              scope of the investigation is dispositive.
                                                  actual measurement would place it within                third country, including but not limited to
                                                                                                          pickling, oiling, levelling, annealing,                 [FR Doc. 2016–19380 Filed 8–11–16; 8:45 am]
                                                  the scope based on the definitions set forth
                                                  above unless the resulting measurement                  tempering, temper rolling, skin passing,                BILLING CODE 3510–DS–P
                                                  makes the product covered by the existing               painting, varnishing, trimming, cutting,
                                                  antidumping 8 or countervailing duty 9 orders           punching, and/or slitting, or any other
                                                  on Certain Cut-To-Length Carbon-Quality                 processing that would not otherwise remove              DEPARTMENT OF COMMERCE
                                                  Steel Plate Products From the Republic of               the merchandise from the scope of the
                                                                                                          investigation if performed in the country of            [International Trade Administration
                                                  Korea (A–580–836; C–580–837), and
                                                                                                          manufacture of the hot-rolled steel.                    [A–421–813]
                                                     (2) where the width and thickness vary for
                                                  a specific product (e.g., the thickness of                 All products that meet the written physical
                                                  certain products with non-rectangular cross-            description, and in which the chemistry                 Certain Hot-Rolled Steel Flat Products
                                                  section, the width of certain products with             quantities do not exceed any one of the noted           From the Netherlands: Final
                                                  non-rectangular shape, etc.), the                       element levels listed above, are within the             Determination of Sales at Less Than
                                                  measurement at its greatest width or                    scope of this investigation unless specifically         Fair Value and Negative Final
                                                  thickness applies.                                      excluded. The following products are outside            Determination of Critical
                                                     Steel products included in the scope of this         of and/or specifically excluded from the
                                                                                                                                                                  Circumstances
                                                  investigation are products in which: (1) Iron           scope of this investigation:
                                                  predominates, by weight, over each of the                  • Universal mill plates (i.e., hot-rolled,           AGENCY:  Enforcement and Compliance,
                                                  other contained elements; (2) the carbon                flat-rolled products not in coils that have             International Trade Administration,
                                                                                                          been rolled on four faces or in a closed box
                                                  content is 2 percent or less, by weight; and                                                                    Department of Commerce.
                                                                                                          pass, of a width exceeding 150 mm but not
                                                  (3) none of the elements listed below exceeds
                                                                                                          exceeding 1250 mm, of a thickness not less
                                                  the quantity, by weight, respectively                                                                           none, or not more than 0.28 percent of nickel; (viii)
                                                                                                          than 4.0 mm, and without patterns in relief);
                                                  indicated:                                                                                                      none, or not more than 0.38 percent of copper; and
                                                                                                             • Products that have been cold-rolled
                                                     • 2.50 percent of manganese, or                                                                              (ix) none, or not more than 0.09 percent of
                                                                                                          (cold-reduced) after hot-rolling; 10
                                                     • 3.30 percent of silicon, or                                                                                molybdenum.
                                                                                                             • Ball bearing steels; 11
                                                     • 1.50 percent of copper, or                                                                                    12 Tool steels are defined as steels which contain

                                                     • 1.50 percent of aluminum, or                          10 For purposes of this scope exclusion, rolling
                                                                                                                                                                  the following combinations of elements in the
                                                                                                                                                                  quantity by weight respectively indicated: (i) More
                                                     • 1.25 percent of chromium, or
                                                                                                          operations such as a skin pass, levelling, temper       than 1.2 percent carbon and more than 10.5 percent
                                                     • 0.30 percent of cobalt, or                         rolling or other minor rolling operations after the     chromium; or (ii) not less than 0.3 percent carbon
                                                                                                          hot-rolling process for purposes of surface finish,     and 1.25 percent or more but less than 10.5 percent
                                                     8 Notice of Amendment of Final Determinations        flatness, shape control, or gauge control do not        chromium; or (iii) not less than 0.85 percent carbon
                                                  of Sales at Less Than Fair Value and Antidumping        constitute cold-rolling sufficient to meet this         and 1 percent to 1.8 percent, inclusive, manganese;
                                                  Duty Orders: Certain Cut-To-Length Carbon-Quality       exclusion.                                              or (iv) 0.9 percent to 1.2 percent, inclusive,
                                                  Steel Plate Products From France, India, Indonesia,        11 Ball bearing steels are defined as steels which   chromium and 0.9 percent to 1.4 percent, inclusive,
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                                                  Italy, Japan and the Republic of Korea, 65 FR 6585      contain, in addition to iron, each of the following     molybdenum; or (v) not less than 0.5 percent carbon
                                                  (February 10, 2000).                                    elements by weight in the amount specified: (i) Not     and not less than 3.5 percent molybdenum; or (vi)
                                                     9 Notice of Amended Final Determinations:            less than 0.95 nor more than 1.13 percent of carbon;    not less than 0.5 percent carbon and not less than
                                                  Certain Cut-to-Length Carbon-Quality Steel Plate        (ii) not less than 0.22 nor more than 0.48 percent      5.5 percent tungsten.
                                                  From India and the Republic of Korea; and Notice        of manganese; (iii) none, or not more than 0.03            13 Silico-manganese steel is defined as steels

                                                  of Countervailing Duty Orders: Certain Cut-To-          percent of sulfur; (iv) none, or not more than 0.03     containing by weight: (i) Not more than 0.7 percent
                                                  Length Carbon-Quality Steel Plate From France,          percent of phosphorus; (v) not less than 0.18 nor       of carbon; (ii) 0.5 percent or more but not more than
                                                  India, Indonesia, Italy, and the Republic of Korea,     more than 0.37 percent of silicon; (vi) not less than   1.9 percent of manganese, and (iii) 0.6 percent or
                                                  65 FR 6587 (February 10, 2000).                         1.25 nor more than 1.65 percent of chromium; (vii)      more but not more than 2.3 percent of silicon.



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Document Created: 2018-02-09 11:33:37
Document Modified: 2018-02-09 11:33:37
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
DatesEffective August 12, 2016.
ContactJavier Barrientos or Matthew Renkey, AD/CVD Operations, Office V, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482- 2243 or (202) 482-2312, respectively.
FR Citation81 FR 53419 

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