81_FR_53580 81 FR 53424 - Certain Hot-Rolled Steel Flat Products From Brazil: Final Determination of Sales at Less Than Fair Value and Final Affirmative Determination of Critical Circumstances, in Part

81 FR 53424 - Certain Hot-Rolled Steel Flat Products From Brazil: Final Determination of Sales at Less Than Fair Value and Final Affirmative Determination of Critical Circumstances, in Part

DEPARTMENT OF COMMERCE
International Trade Administration

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

Page Range53424-53428
FR Document2016-19381

The Department of Commerce (the Department) determines that certain hot-rolled steel flat products (hot-rolled steel) from Brazil 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 dumping margins of sales at LTFV 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 53424-53428]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-19381]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-351-845]


Certain Hot-Rolled Steel Flat Products From Brazil: Final 
Determination of Sales at Less Than Fair Value and Final Affirmative 
Determination of Critical Circumstances, in Part

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

SUMMARY: The Department of Commerce (the Department) determines that 
certain hot-rolled steel flat products (hot-rolled steel) from Brazil 
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 dumping margins of sales at LTFV are 
listed below in the ``Final Determination'' section of this notice.

DATES: Effective August 12, 2016.

FOR FURTHER INFORMATION CONTACT: Peter Zukowski, AD/CVD Operations, 
Office I, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW., Washington, DC 20230; telephone: (202) 482-0189.

[[Page 53425]]


SUPPLEMENTARY INFORMATION:

Background

    On March 22, 2016, the Department published the Preliminary 
Determination of this antidumping duty (AD) investigation.\1\ The 
following events occurred since the Preliminary Determination was 
issued. In March 2016, the Department received supplemental cost 
responses and revised sales and cost files from Companhia Siderurgica 
Nacional (CSN), a mandatory respondent in this investigation. In June 
2016, SSAB Enterprises, LLC, and Steel Dynamics, Inc.,\2\ and CSN 
submitted case briefs \3\ and rebuttal briefs.\4\
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    \1\ See Certain Hot-Rolled Steel Flat Products From Brazil: 
Affirmative Preliminary Determination of Sales at Less Than Fair 
Value, Postponement of Final Determination and Extension of 
Provisional Measures, 81 FR 15235 (March 22, 2016) (Preliminary 
Determination).
    \2\ The petitioners in this case are AK Steel Corporation (AK 
Steel), ArcelorMittal USA LLC, Nucor Corporation, SSAB Enterprises, 
LLC, Steel Dynamics, Inc., and United States Steel Corporation 
(collectively, the petitioners). SSAB Enterprises, LLC and Steel 
Dynamics, Inc., submitted case and rebuttal briefs on behalf of all 
of the petitioners.
    \3\ See Letter from SSAB Enterprises, LLC, and Steel Dynamics, 
Inc., ``Certain Hot-Rolled Steel Flat Products From Brazil: 
Petitioners' Case Brief'' (June 17, 2016); Letter from CSN, 
``Certain Cold-Rolled Steel Flat Products from Brazil and Certain 
Hot-Rolled Steel Flat Products from Brazil: CSN's Case Brief'' (June 
17, 2016).
    \4\ See Letter from SSAB Enterprises, LLC, and Steel Dynamics, 
Inc., ``Certain Hot-Rolled Steel Flat Products From Brazil: 
Petitioners' Rebuttal Brief'' (June 22, 2016); Letter from CSN, 
``Certain Hot-Rolled Steel Flat Products from Brazil: CSN's Rebuttal 
Brief'' (June 22, 2016).
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Scope of the Investigation

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

Scope Comments

    In accordance with the Preliminary Scope Determination,\5\ the 
Department set aside a period of time for parties to address scope 
issues in case briefs or other written comments on scope issues. No 
interested parties submitted scope comments in case or rebuttal briefs; 
therefore, the scope of this investigation remains unchanged for this 
final determination.
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    \5\ See Memorandum to Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Certain Hot-Rolled Steel Products From Australia, Brazil, Japan, 
the Netherlands, the Republic of Korea, Turkey, and the United 
Kingdom: Scope Comments Decision Memorandum for the Preliminary 
Determinations'' dated March 14, 2016 (Preliminary Scope Decision 
Memorandum).
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties in 
this investigation are addressed in the Issues and Decision Memorandum, 
which is hereby adopted by this notice.\6\ A list of the issues raised 
is attached to this notice as Appendix II. The Issues and Decision 
Memorandum is a public document and is on file electronically via 
Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (ACCESS). ACCESS is available to 
registered users at 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 Issues and 
Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/index.html. The signed and electronic 
versions of the Issues and Decision Memorandum are identical in 
content.
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    \6\ See Memorandum to Ronald K. Lorentzen, Acting Assistant 
Secretary for Enforcement and Compliance, from Christian Marsh, 
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations ``Issues and Decision Memorandum for the Final 
Determination of the Antidumping Duty Investigation of Certain Hot-
Rolled Steel Flat Products from Brazil'' (August 4, 2016) (Issues 
and Decision Memorandum).
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Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), in April and May 2016, the Department verified the sales and 
cost data reported by CSN, 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 the respondent.\7\
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    \7\ See Memoranda to the File: ``Certain Hot-Rolled Steel Flat 
Products from Brazil: Sales Verification Report for Companhia 
Siderugica Nacional,'' dated May 20, 2016; ``Certain Hot-Rolled 
Steel Flat Products from Brazil: Sales Verification Report for 
Companhia Siderugica Nacional LLC USA,'' dated June 2, 2016; 
``Verification of the Further Manufacturing Response of Companhia 
Siderugica Nacional S.A. in the Antidumping Duty Investigation of 
Hot-Rolled Steel Flat Products from Brazil,'' dated June 3, 2016; 
and, ``Verification of the Cost of Production Response of Companhia 
Siderugica Nacional S.A. in the Antidumping Duty Investigation of 
Certain Hot-Rolled Steel Flat Products from Brazil,'' dated June 8, 
2016.
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Use of Adverse Facts Available

    The Department found in the Preliminary Determination that Usiminas 
Siderurgicas de Minas Gerais S.A. (Usiminas) withheld requested 
information, significantly impeded the proceeding, and did not 
cooperate to the best of its ability in responding to the Department's 
requests for information.\8\ Therefore, in accordance with sections 
776(a)(2)(A) and (C) of the Act, 776(b) of the Act, and 19 CFR 
351.308(a), the Department preliminarily determined the weighted-
average dumping margin for Usiminas based on facts otherwise available 
with an adverse inference and preliminarily selected 34.28 percent as 
the adverse facts-available dumping margin for Usiminas, which is the 
highest margin alleged in the petition.\9\ This rate was assigned to 
Usiminas because Usiminas failed to respond to sections B, C, and D of 
the Department's questionnaire in this investigation.\10\
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    \8\ See Preliminary Determination.
    \9\ Id. See also Memorandum to the File entitled, ``Certain Hot-
Rolled Steel Flat Products from Brazil: Corroboration of a Rate 
Based on Adverse Facts Available,'' dated March 14, 2016.
    \10\ Id.
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    The Department received no comments regarding its preliminary 
application of the adverse facts-available dumping margin to Usiminas. 
For the final determination, the Department has not altered its 
analysis or its decision to apply the adverse facts-available dumping 
margin to Usiminas.

Changes Since the Preliminary Determination

    Based on CSN's supplemental cost responses and revised sales and 
cost files, our findings at verification and our analysis of the 
comments received, we made certain changes to the margin calculations 
for CSN. For a discussion of these changes, see the ``Margin 
Calculations'' and ``Comparisons to Fair Value'' sections of the Issues 
and Decision Memorandum. We have also revised the all-others rate.

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. For purposes of this final determination, we are assigning 
33.14 percent as the ``all-others'' rate, which is based on the 
estimated dumping margin calculated for CSN, the only mandatory 
respondent for which we calculated a dumping margin.\11\
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    \11\ See Memorandum to the File, ``Antidumping Duty 
Investigation of Certain Hot-Rolled Steel Flat Products from Brazil: 
Calculation of All-Others Rate'' (All-Others Rate Memorandum), dated 
August 4, 2016.

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[[Page 53426]]

Final Determination

    The Department determines that the final weighted-average dumping 
margins are as follows:

------------------------------------------------------------------------
                                             Weighted-
            Exporter/Producer             average margin   Cash deposit
                                             (percent)    rate (percent)
------------------------------------------------------------------------
Companhia Siderurgica Nacional..........           33.14           29.07
Usiminas Siderurgicas de Minas Gerais              34.28           30.51
 S.A. (Usiminas)........................
All-Others..............................           33.14           29.07
------------------------------------------------------------------------

Disclosure

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

Final Affirmative Determination of Critical Circumstances, in Part

    On December 9, 2015, the Department found that critical 
circumstances existed for merchandise exported by CSN and Usiminas, but 
not for ``all others.'' \12\ Based on the final sales data submitted by 
CSN and further analysis following the Preliminary Determination of 
Critical Circumstances, we are modifying our findings for the final 
determination, in part. For the final determination with respect to 
CSN, our analysis of the reported monthly shipment data demonstrates 
that shipments of hot-rolled steel by CSN during the comparison period 
increased by less than 15 percent over shipments during the base 
period, and thus, we find that critical circumstances do not exist for 
CSN. As discussed in the ``Use of Adverse Facts Available'' section 
above, Usiminas did not cooperate with this investigation. Thus, we 
based our critical circumstances determination with respect to Usiminas 
on AFA and find that critical circumstances exist with respect to it. 
For all others, we determined that the imports during the comparison 
period increased less than 15 percent over imports during the base 
period and, accordingly, that critical circumstances do not exist with 
respect to all other producers and exporters of hot-rolled steel from 
Brazil. For a complete discussion of this issue, see the ``Final 
Determination of Critical Circumstances'' section of the Issues and 
Decision Memorandum.
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    \12\ See ``Antidumping Duty Investigations of Certain Hot-Rolled 
Steel Flat Products From Australia, Brazil, Japan, and the 
Netherlands and Countervailing Duty Investigation of Certain Hot-
Rolled Steel Flat Products From Brazil: Preliminary Determinations 
of Critical Circumstances'', 80 FR 76444 (December 9, 2015) 
(Preliminary Determination of Critical Circumstances).
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Continuation of Suspension of Liquidation

    In accordance with 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 appropriate entries of hot-rolled steel from 
Brazil, as described in Appendix I of this notice, which were entered, 
or withdrawn from warehouse, for consumption on or after March 22, 
2016, the date of publication of the Preliminary Determination of this 
investigation in the Federal Register. Because of our affirmative 
determination of critical circumstances for Usiminas, in accordance 
with section 735(a)(3) and (c)(4)(C) of the Act, suspension of 
liquidation of hot-rolled steel from Brazil, shall continue to apply, 
for Usiminas, to unliquidated entries of merchandise entered, or 
withdrawn from warehouse, for consumption on or after the date which is 
90 days before the publication of the Preliminary Determination. 
Because we find in this final determination that critical circumstances 
do not exist for CSN and for exporters not individually examined and 
subject to the all-others rate, consistent with section 735(c)(3) of 
the Act, we will instruct CBP to terminate the suspension of 
liquidation of entries, and to liquidate without regard to antidumping 
duties, entries of hot-rolled steel exported by CSN and all other 
companies, and entered, or withdrawn from warehouse for consumption on 
or after December 23, 2015, and before March 22, 2016.
    Further, the Department will instruct CBP to require a cash deposit 
equal to the estimated amount by which the normal value exceeds the 
U.S. price as shown above, adjusted where appropriate for export 
subsidies found in the final determination of the companion 
countervailing duty investigation. Consistent with our longstanding 
practice, where the product under investigation is also subject to a 
concurrent countervailing duty investigation, we instruct CBP to 
require a cash deposit equal to the amount by which the NV exceeds the 
U.S. price, less the amount of the countervailing duty determined to 
constitute any export subsidies.\13\ Therefore, in the event that a 
countervailing duty order is issued and suspension of liquidation is 
resumed in the companion countervailing duty investigation on hot-
rolled steel flat products from Brazil the Department will 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.\14\ Until such suspension of liquidation is resumed 
in the companion countervailing duty 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 weighted-average 
margin column in the rate chart, above.
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    \13\ See, e.g., Welded Line Pipe From the Republic of Turkey: 
Final Determination of Sales at Less Than Fair Value, 80 FR 61362 
(October 13, 2015) and Notice of Final Determination of Sales at 
Less Than Fair Value and Negative Critical Circumstances 
Determination: Bottom Mount Combination Refrigerator-Freezers From 
the Republic of Korea, 77 FR 17413 (March 26, 2012).
    \14\ See Countervailing Duty Investigation of Certain Hot-Rolled 
Steel Flat Products from Brazil: Final Affirmative Determination, 
and Final Determination of Critical Circumstances, in Part, dated 
August 4, 2016; see also the All-Others Rate Memorandum dated 
concurrently with this notice.
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International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
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

[[Page 53427]]

material injury, by reason of imports of hot-rolled steel from Brazil 
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

    This notice serves as a reminder to parties subject to an 
Administrative Protective Order (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 this 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--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 \15\ or countervailing duty \16\ 
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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    \15\ 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).
    \16\ 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; \17\
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    \17\ 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; \18\
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    \18\ 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; \19\ and
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    \19\ 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; \20\
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    \20\ 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,

[[Page 53428]]

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.

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

I. Summary
II. Background
III. Scope of the Investigation
IV. Final Determination of Critical Circumstances
V. Margin Calculations
VI. Comparisons to Fair Value
VII. Discussion of Issues
    Comment 1: Duty Drawback
    Comment 2: Inventory Carrying Costs
    Comment 3: Credit Revenue
    Comment 4: Model Match
    Comment 5: Calculation of CSN LLC's G&A Expense Ratio
    Comment 6: Whether To Use a Consolidated or Non-Consolidated 
Financial Expense Ratio
    Comment 7: The Market Value for Affiliated Energy Inputs
    Comment 8: Whether To Include Certain Expenses Recorded Directly 
to Cost of Goods Sold (COGS)
VIII. Recommendation

[FR Doc. 2016-19381 Filed 8-11-16; 8:45 am]
 BILLING CODE 3510-DS-P



                                                  53424                          Federal Register / Vol. 81, No. 156 / Friday, August 12, 2016 / Notices

                                                  (commonly referred to as interstitial-free (IF))          • Tool steels; 14 and                                 Appendix II
                                                  steels, high strength low alloy (HSLA) steels,            • Silico-manganese steels; 15
                                                  the substrate for motor lamination steels,                The products subject to this investigation            List of Topics Discussed in the Issues and
                                                  Advanced High Strength Steels (AHSS), and               are currently classified in the Harmonized              Decision Memorandum
                                                  Ultra High Strength Steels (UHSS). IF steels            Tariff Schedule of the United States (HTSUS)            I. Summary
                                                  are recognized as low carbon steels with                under item numbers: 7208.10.1500,                       II. Background
                                                  micro-alloying levels of elements such as               7208.10.3000, 7208.10.6000, 7208.25.3000,               III. Critical Circumstances
                                                  titanium and/or niobium added to stabilize              7208.25.6000, 7208.26.0030, 7208.26.0060,               IV. Scope of the Investigation
                                                  carbon and nitrogen elements. HSLA steels               7208.27.0030, 7208.27.0060, 7208.36.0030,               V. Margin Calculations
                                                  are recognized as steels with micro-alloying            7208.36.0060, 7208.37.0030, 7208.37.0060,               VI. Comparisons to Fair Value
                                                  levels of elements such as chromium, copper,            7208.38.0015, 7208.38.0030, 7208.38.0090,               VII. Discussion of the Issues
                                                  niobium, titanium, vanadium, and                        7208.39.0015, 7208.39.0030, 7208.39.0090,                  Comment 1: Purchases of Raw Material
                                                  molybdenum. The substrate for motor                     7208.40.6030, 7208.40.6060, 7208.53.0000,                     Inputs
                                                  lamination steels contains micro-alloying               7208.54.0000, 7208.90.0000, 7210.70.3000,                  Comment 2: G&A Expenses Ratio
                                                  levels of elements such as silicon and                  7211.14.0030, 7211.14.0090, 7211.19.1500,                  Comment 3: TSIJ’s B-Slab Adjustment to
                                                  aluminum. AHSS and UHSS are considered                  7211.19.2000, 7211.19.3000, 7211.19.4500,                     Cost of Manufacturing
                                                  high tensile strength and high elongation               7211.19.6000, 7211.19.7530, 7211.19.7560,               VIII. Recommendation
                                                  steels, although AHSS and UHSS are covered              7211.19.7590, 7225.11.0000, 7225.19.0000,
                                                  whether or not they are high tensile strength           7225.30.3050, 7225.30.7000, 7225.40.7000,               [FR Doc. 2016–19371 Filed 8–11–16; 8:45 am]
                                                  or high elongation steels.                              7225.99.0090, 7226.11.1000, 7226.11.9030,               BILLING CODE 3510–DS–P
                                                     Subject merchandise includes hot-rolled              7226.11.9060, 7226.19.1000, 7226.19.9000,
                                                  steel that has been further processed in a              7226.91.5000, 7226.91.7000, and
                                                  third country, including but not limited to             7226.91.8000. The products subject to the               DEPARTMENT OF COMMERCE
                                                  pickling, oiling, levelling, annealing,                 investigation may also enter under the
                                                  tempering, temper rolling, skin passing,                following HTSUS numbers: 7210.90.9000,                  International Trade Administration
                                                  painting, varnishing, trimming, cutting,                7211.90.0000, 7212.40.1000, 7212.40.5000,
                                                  punching, and/or slitting, or any other                 7212.50.0000, 7214.91.0015, 7214.91.0060,
                                                  processing that would not otherwise remove              7214.91.0090, 7214.99.0060, 7214.99.0075,               [A–351–845]
                                                  the merchandise from the scope of the                   7214.99.0090, 7215.90.5000, 7226.99.0180,
                                                  investigation if performed in the country of            and 7228.60.6000.                                       Certain Hot-Rolled Steel Flat Products
                                                  manufacture of the hot-rolled steel.                      The HTSUS subheadings above are                       From Brazil: Final Determination of
                                                     All products that meet the written physical          provided for convenience and U.S. Customs               Sales at Less Than Fair Value and
                                                  description, and in which the chemistry                 purposes only. The written description of the           Final Affirmative Determination of
                                                  quantities do not exceed any one of the noted           scope of the investigation is dispositive.              Critical Circumstances, in Part
                                                  element levels listed above, are within the
                                                  scope of this investigation unless specifically         of manganese; (iii) none, or not more than 0.03         AGENCY:   Enforcement and Compliance,
                                                  excluded. The following products are outside            percent of sulfur; (iv) none, or not more than 0.03     International Trade Administration,
                                                  of and/or specifically excluded from the                percent of phosphorus; (v) not less than 0.18 nor       Department of Commerce.
                                                  scope of this investigation:                            more than 0.37 percent of silicon; (vi) not less than
                                                                                                          1.25 nor more than 1.65 percent of chromium; (vii)      SUMMARY: The Department of Commerce
                                                     • Universal mill plates (i.e., hot-rolled,
                                                  flat-rolled products not in coils that have
                                                                                                          none, or not more than 0.28 percent of nickel; (viii)   (the Department) determines that certain
                                                                                                          none, or not more than 0.38 percent of copper; and      hot-rolled steel flat products (hot-rolled
                                                  been rolled on four faces or in a closed box            (ix) none, or not more than 0.09 percent of
                                                  pass, of a width exceeding 150 mm but not               molybdenum.                                             steel) from Brazil are being, or are likely
                                                  exceeding 1250 mm, of a thickness not less                 14 Tool steels are defined as steels which contain   to be, sold in the United States at less
                                                  than 4.0 mm, and without patterns in relief);           the following combinations of elements in the           than fair value (LTFV). The period of
                                                     • Products that have been cold-rolled                quantity by weight respectively indicated: (i) More     investigation (POI) is July 1, 2014,
                                                  (cold-reduced) after hot-rolling; 12                    than 1.2 percent carbon and more than 10.5 percent
                                                                                                          chromium; or (ii) not less than 0.3 percent carbon      through June 30, 2015. The final
                                                     • Ball bearing steels; 13                                                                                    dumping margins of sales at LTFV are
                                                                                                          and 1.25 percent or more but less than 10.5 percent
                                                                                                          chromium; or (iii) not less than 0.85 percent carbon    listed below in the ‘‘Final
                                                     12 For purposes of this scope exclusion, rolling
                                                                                                          and 1 percent to 1.8 percent, inclusive, manganese;
                                                  operations such as a skin pass, levelling, temper       or (iv) 0.9 percent to 1.2 percent, inclusive,
                                                                                                                                                                  Determination’’ section of this notice.
                                                  rolling or other minor rolling operations after the     chromium and 0.9 percent to 1.4 percent, inclusive,     DATES: Effective August 12, 2016.
                                                  hot-rolling process for purposes of surface finish,     molybdenum; or (v) not less than 0.5 percent carbon
                                                  flatness, shape control, or gauge control do not        and not less than 3.5 percent molybdenum; or (vi)
                                                                                                                                                                  FOR FURTHER INFORMATION CONTACT:
                                                  constitute cold-rolling sufficient to meet this         not less than 0.5 percent carbon and not less than      Peter Zukowski, AD/CVD Operations,
                                                  exclusion.                                              5.5 percent tungsten.                                   Office I, Enforcement and Compliance,
                                                     13 Ball bearing steels are defined as steels which      15 Silico-manganese steel is defined as steels
                                                                                                                                                                  International Trade Administration,
                                                  contain, in addition to iron, each of the following     containing by weight: (i) Not more than 0.7 percent
                                                  elements by weight in the amount specified: (i) Not     of carbon; (ii) 0.5 percent or more but not more than
                                                                                                                                                                  U.S. Department of Commerce, 1401
                                                  less than 0.95 nor more than 1.13 percent of carbon;    1.9 percent of manganese, and (iii) 0.6 percent or      Constitution Avenue NW., Washington,
                                                  (ii) not less than 0.22 nor more than 0.48 percent      more but not more than 2.3 percent of silicon.          DC 20230; telephone: (202) 482–0189.
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                                                                                 Federal Register / Vol. 81, No. 156 / Friday, August 12, 2016 / Notices                                                    53425

                                                  SUPPLEMENTARY INFORMATION:                              Analysis of Comments Received                          Department’s requests for information.8
                                                                                                                                                                 Therefore, in accordance with sections
                                                  Background                                                All issues raised in the case and
                                                                                                                                                                 776(a)(2)(A) and (C) of the Act, 776(b) of
                                                    On March 22, 2016, the Department                     rebuttal briefs by parties in this
                                                                                                                                                                 the Act, and 19 CFR 351.308(a), the
                                                  published the Preliminary                               investigation are addressed in the Issues
                                                                                                                                                                 Department preliminarily determined
                                                  Determination of this antidumping duty                  and Decision Memorandum, which is
                                                                                                                                                                 the weighted-average dumping margin
                                                  (AD) investigation.1 The following                      hereby adopted by this notice.6 A list of
                                                                                                                                                                 for Usiminas based on facts otherwise
                                                  events occurred since the Preliminary                   the issues raised is attached to this
                                                                                                                                                                 available with an adverse inference and
                                                  Determination was issued. In March                      notice as Appendix II. The Issues and
                                                                                                                                                                 preliminarily selected 34.28 percent as
                                                  2016, the Department received                           Decision Memorandum is a public
                                                                                                                                                                 the adverse facts-available dumping
                                                  supplemental cost responses and                         document and is on file electronically
                                                                                                                                                                 margin for Usiminas, which is the
                                                  revised sales and cost files from                       via Enforcement and Compliance’s
                                                                                                                                                                 highest margin alleged in the petition.9
                                                  Companhia Siderurgica Nacional (CSN),                   Antidumping and Countervailing Duty
                                                                                                                                                                 This rate was assigned to Usiminas
                                                  a mandatory respondent in this                          Centralized Electronic Service System
                                                                                                                                                                 because Usiminas failed to respond to
                                                  investigation. In June 2016, SSAB                       (ACCESS). ACCESS is available to
                                                                                                                                                                 sections B, C, and D of the Department’s
                                                  Enterprises, LLC, and Steel Dynamics,                   registered users at https://
                                                                                                                                                                 questionnaire in this investigation.10
                                                  Inc.,2 and CSN submitted case briefs 3                  access.trade.gov and it is available to all
                                                                                                                                                                   The Department received no
                                                  and rebuttal briefs.4                                   parties in the Central Records Unit,
                                                                                                                                                                 comments regarding its preliminary
                                                                                                          room B–8024 of the main Department of
                                                  Scope of the Investigation                                                                                     application of the adverse facts-
                                                                                                          Commerce building. In addition, a
                                                                                                                                                                 available dumping margin to Usiminas.
                                                     The products covered by this                         complete version of the Issues and
                                                                                                                                                                 For the final determination, the
                                                  investigation are certain hot-rolled steel              Decision Memorandum can be accessed
                                                                                                                                                                 Department has not altered its analysis
                                                  flat products from Brazil. For a complete               directly at http://enforcement.trade.gov/
                                                                                                                                                                 or its decision to apply the adverse
                                                  description of the scope of this                        frn/index.html. The signed and
                                                                                                                                                                 facts-available dumping margin to
                                                  investigation, see the ‘‘Scope of the                   electronic versions of the Issues and
                                                                                                                                                                 Usiminas.
                                                  Investigation,’’ in Appendix I of this                  Decision Memorandum are identical in
                                                  notice.                                                 content.                                               Changes Since the Preliminary
                                                                                                                                                                 Determination
                                                  Scope Comments                                          Verification
                                                                                                                                                                    Based on CSN’s supplemental cost
                                                    In accordance with the Preliminary                      As provided in section 782(i) of the                 responses and revised sales and cost
                                                  Scope Determination,5 the Department                    Tariff Act of 1930, as amended (the Act),              files, our findings at verification and our
                                                  set aside a period of time for parties to               in April and May 2016, the Department                  analysis of the comments received, we
                                                  address scope issues in case briefs or                  verified the sales and cost data reported              made certain changes to the margin
                                                  other written comments on scope issues.                 by CSN, pursuant to section 782(i) of the              calculations for CSN. For a discussion of
                                                  No interested parties submitted scope                   Act. We used standard verification                     these changes, see the ‘‘Margin
                                                  comments in case or rebuttal briefs;                    procedures, including an examination of                Calculations’’ and ‘‘Comparisons to Fair
                                                  therefore, the scope of this investigation              relevant accounting and production                     Value’’ sections of the Issues and
                                                  remains unchanged for this final                        records, and original source documents                 Decision Memorandum. We have also
                                                  determination.                                          provided by the respondent.7                           revised the all-others rate.
                                                     1 See Certain Hot-Rolled Steel Flat Products From
                                                                                                          Use of Adverse Facts Available                         All-Others Rate
                                                  Brazil: Affirmative Preliminary Determination of          The Department found in the
                                                  Sales at Less Than Fair Value, Postponement of
                                                                                                                                                                   Section 735(c)(5)(A) of the Act
                                                  Final Determination and Extension of Provisional
                                                                                                          Preliminary Determination that                         provides that the estimated all-others
                                                  Measures, 81 FR 15235 (March 22, 2016)                  Usiminas Siderurgicas de Minas Gerais                  rate shall be an amount equal to the
                                                  (Preliminary Determination).                            S.A. (Usiminas) withheld requested                     weighted average of the estimated
                                                     2 The petitioners in this case are AK Steel
                                                                                                          information, significantly impeded the                 weighted-average dumping margins
                                                  Corporation (AK Steel), ArcelorMittal USA LLC,          proceeding, and did not cooperate to the
                                                  Nucor Corporation, SSAB Enterprises, LLC, Steel                                                                established for exporters and producers
                                                  Dynamics, Inc., and United States Steel Corporation     best of its ability in responding to the               individually investigated, excluding any
                                                  (collectively, the petitioners). SSAB Enterprises,                                                             zero and de minimis margins, and any
                                                  LLC and Steel Dynamics, Inc., submitted case and           6 See Memorandum to Ronald K. Lorentzen,
                                                                                                                                                                 margins determined entirely under
                                                  rebuttal briefs on behalf of all of the petitioners.    Acting Assistant Secretary for Enforcement and
                                                     3 See Letter from SSAB Enterprises, LLC, and                                                                section 776 of the Act. For purposes of
                                                                                                          Compliance, from Christian Marsh, Deputy
                                                  Steel Dynamics, Inc., ‘‘Certain Hot-Rolled Steel Flat   Assistant Secretary for Antidumping and                this final determination, we are
                                                  Products From Brazil: Petitioners’ Case Brief’’ (June   Countervailing Duty Operations ‘‘Issues and            assigning 33.14 percent as the ‘‘all-
                                                  17, 2016); Letter from CSN, ‘‘Certain Cold-Rolled       Decision Memorandum for the Final Determination        others’’ rate, which is based on the
                                                  Steel Flat Products from Brazil and Certain Hot-        of the Antidumping Duty Investigation of Certain
                                                  Rolled Steel Flat Products from Brazil: CSN’s Case
                                                                                                                                                                 estimated dumping margin calculated
                                                                                                          Hot-Rolled Steel Flat Products from Brazil’’ (August
                                                  Brief’’ (June 17, 2016).                                4, 2016) (Issues and Decision Memorandum).             for CSN, the only mandatory respondent
                                                     4 See Letter from SSAB Enterprises, LLC, and            7 See Memoranda to the File: ‘‘Certain Hot-Rolled   for which we calculated a dumping
                                                  Steel Dynamics, Inc., ‘‘Certain Hot-Rolled Steel Flat   Steel Flat Products from Brazil: Sales Verification    margin.11
                                                  Products From Brazil: Petitioners’ Rebuttal Brief’’     Report for Companhia Siderugica Nacional,’’ dated
                                                  (June 22, 2016); Letter from CSN, ‘‘Certain Hot-        May 20, 2016; ‘‘Certain Hot-Rolled Steel Flat            8 See   Preliminary Determination.
                                                  Rolled Steel Flat Products from Brazil: CSN’s           Products from Brazil: Sales Verification Report for
                                                                                                                                                                   9 Id. See also Memorandum to the File entitled,
                                                  Rebuttal Brief’’ (June 22, 2016).                       Companhia Siderugica Nacional LLC USA,’’ dated
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                                                     5 See Memorandum to Christian Marsh, Deputy          June 2, 2016; ‘‘Verification of the Further            ‘‘Certain Hot-Rolled Steel Flat Products from Brazil:
                                                  Assistant Secretary for Antidumping and                 Manufacturing Response of Companhia Siderugica         Corroboration of a Rate Based on Adverse Facts
                                                  Countervailing Duty Operations, ‘‘Certain Hot-          Nacional S.A. in the Antidumping Duty                  Available,’’ dated March 14, 2016.
                                                                                                                                                                    10 Id.
                                                  Rolled Steel Products From Australia, Brazil, Japan,    Investigation of Hot-Rolled Steel Flat Products from
                                                  the Netherlands, the Republic of Korea, Turkey, and     Brazil,’’ dated June 3, 2016; and, ‘‘Verification of      11 See Memorandum to the File, ‘‘Antidumping

                                                  the United Kingdom: Scope Comments Decision             the Cost of Production Response of Companhia           Duty Investigation of Certain Hot-Rolled Steel Flat
                                                  Memorandum for the Preliminary Determinations’’         Siderugica Nacional S.A. in the Antidumping Duty       Products from Brazil: Calculation of All-Others
                                                  dated March 14, 2016 (Preliminary Scope Decision        Investigation of Certain Hot-Rolled Steel Flat         Rate’’ (All-Others Rate Memorandum), dated
                                                  Memorandum).                                            Products from Brazil,’’ dated June 8, 2016.            August 4, 2016.



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                                                  53426                                     Federal Register / Vol. 81, No. 156 / Friday, August 12, 2016 / Notices

                                                  Final Determination
                                                     The Department determines that the
                                                  final weighted-average dumping
                                                  margins are as follows:

                                                                                                                                                                                                                                 Weighted-     Cash deposit
                                                                                                                                                                                                                                  average
                                                                                                                         Exporter/Producer                                                                                                         rate
                                                                                                                                                                                                                                   margin       (percent)
                                                                                                                                                                                                                                 (percent)

                                                  Companhia Siderurgica Nacional ............................................................................................................................                          33.14             29.07
                                                  Usiminas Siderurgicas de Minas Gerais S.A. (Usiminas) .......................................................................................                                        34.28             30.51
                                                  All-Others .................................................................................................................................................................         33.14             29.07



                                                  Disclosure                                                                  Circumstances’’ section of the Issues                                        subject to a concurrent countervailing
                                                                                                                              and Decision Memorandum.                                                     duty investigation, we instruct CBP to
                                                     We intend to disclose the calculations                                                                                                                require a cash deposit equal to the
                                                  performed to interested parties within                                      Continuation of Suspension of
                                                                                                                                                                                                           amount by which the NV exceeds the
                                                  five days of the public announcement of                                     Liquidation
                                                                                                                                                                                                           U.S. price, less the amount of the
                                                  this final determination in accordance                                         In accordance with section                                                countervailing duty determined to
                                                  with 19 CFR 351.224(b).                                                     735(c)(1)(B) of the Act, the Department                                      constitute any export subsidies.13
                                                                                                                              will instruct U.S. Customs and Border                                        Therefore, in the event that a
                                                  Final Affirmative Determination of                                          Protection (CBP) to continue to suspend                                      countervailing duty order is issued and
                                                  Critical Circumstances, in Part                                             liquidation of all appropriate entries of                                    suspension of liquidation is resumed in
                                                     On December 9, 2015, the Department                                      hot-rolled steel from Brazil, as described                                   the companion countervailing duty
                                                  found that critical circumstances existed                                   in Appendix I of this notice, which were                                     investigation on hot-rolled steel flat
                                                                                                                              entered, or withdrawn from warehouse,                                        products from Brazil the Department
                                                  for merchandise exported by CSN and
                                                                                                                              for consumption on or after March 22,                                        will instruct CBP to require cash
                                                  Usiminas, but not for ‘‘all others.’’ 12
                                                                                                                              2016, the date of publication of the                                         deposits adjusted by the amount of
                                                  Based on the final sales data submitted
                                                                                                                              Preliminary Determination of this                                            export subsidies, as appropriate. These
                                                  by CSN and further analysis following                                       investigation in the Federal Register.                                       adjustments are reflected in the final
                                                  the Preliminary Determination of                                            Because of our affirmative                                                   column of the rate chart, above.14 Until
                                                  Critical Circumstances, we are                                              determination of critical circumstances                                      such suspension of liquidation is
                                                  modifying our findings for the final                                        for Usiminas, in accordance with                                             resumed in the companion
                                                  determination, in part. For the final                                       section 735(a)(3) and (c)(4)(C) of the Act,                                  countervailing duty investigation, and
                                                  determination with respect to CSN, our                                      suspension of liquidation of hot-rolled                                      so long as suspension of liquidation
                                                  analysis of the reported monthly                                            steel from Brazil, shall continue to                                         continues under this antidumping duty
                                                  shipment data demonstrates that                                             apply, for Usiminas, to unliquidated                                         investigation, the cash deposit rates for
                                                  shipments of hot-rolled steel by CSN                                        entries of merchandise entered, or                                           this antidumping duty investigation will
                                                  during the comparison period increased                                      withdrawn from warehouse, for                                                be the rates identified in the weighted-
                                                  by less than 15 percent over shipments                                      consumption on or after the date which                                       average margin column in the rate chart,
                                                  during the base period, and thus, we                                        is 90 days before the publication of the                                     above.
                                                  find that critical circumstances do not                                     Preliminary Determination. Because we
                                                  exist for CSN. As discussed in the ‘‘Use                                                                                                                 International Trade Commission
                                                                                                                              find in this final determination that
                                                                                                                                                                                                           Notification
                                                  of Adverse Facts Available’’ section                                        critical circumstances do not exist for
                                                  above, Usiminas did not cooperate with                                      CSN and for exporters not individually                                          In accordance with section 735(d) of
                                                  this investigation. Thus, we based our                                      examined and subject to the all-others                                       the Act, we will notify the International
                                                  critical circumstances determination                                        rate, consistent with section 735(c)(3) of                                   Trade Commission (ITC) of the final
                                                  with respect to Usiminas on AFA and                                         the Act, we will instruct CBP to                                             affirmative determination of sales at
                                                  find that critical circumstances exist                                      terminate the suspension of liquidation                                      LTFV. Because the final determination
                                                  with respect to it. For all others, we                                      of entries, and to liquidate without                                         in this proceeding is affirmative, in
                                                  determined that the imports during the                                      regard to antidumping duties, entries of                                     accordance with section 735(b)(2) of the
                                                  comparison period increased less than                                       hot-rolled steel exported by CSN and all                                     Act, the ITC will make its final
                                                  15 percent over imports during the base                                     other companies, and entered, or                                             determination as to whether the
                                                  period and, accordingly, that critical                                      withdrawn from warehouse for                                                 domestic industry in the United States
                                                                                                                              consumption on or after December 23,                                         is materially injured, or threatened with
                                                  circumstances do not exist with respect
                                                  to all other producers and exporters of                                     2015, and before March 22, 2016.                                               13 See, e.g., Welded Line Pipe From the Republic
                                                  hot-rolled steel from Brazil. For a                                            Further, the Department will instruct
                                                                                                                                                                                                           of Turkey: Final Determination of Sales at Less
                                                  complete discussion of this issue, see                                      CBP to require a cash deposit equal to                                       Than Fair Value, 80 FR 61362 (October 13, 2015)
                                                  the ‘‘Final Determination of Critical                                       the estimated amount by which the                                            and Notice of Final Determination of Sales at Less
                                                                                                                              normal value exceeds the U.S. price as                                       Than Fair Value and Negative Critical
mstockstill on DSK3G9T082PROD with NOTICES




                                                                                                                                                                                                           Circumstances Determination: Bottom Mount
                                                    12 See ‘‘Antidumping Duty Investigations of                               shown above, adjusted where                                                  Combination Refrigerator-Freezers From the
                                                  Certain Hot-Rolled Steel Flat Products From                                 appropriate for export subsidies found                                       Republic of Korea, 77 FR 17413 (March 26, 2012).
                                                  Australia, Brazil, Japan, and the Netherlands and                           in the final determination of the                                              14 See Countervailing Duty Investigation of

                                                  Countervailing Duty Investigation of Certain Hot-                           companion countervailing duty                                                Certain Hot-Rolled Steel Flat Products from Brazil:
                                                  Rolled Steel Flat Products From Brazil: Preliminary                                                                                                      Final Affirmative Determination, and Final
                                                  Determinations of Critical Circumstances’’, 80 FR
                                                                                                                              investigation. Consistent with our                                           Determination of Critical Circumstances, in Part,
                                                  76444 (December 9, 2015) (Preliminary                                       longstanding practice, where the                                             dated August 4, 2016; see also the All-Others Rate
                                                  Determination of Critical Circumstances).                                   product under investigation is also                                          Memorandum dated concurrently with this notice.



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                                                                                Federal Register / Vol. 81, No. 156 / Friday, August 12, 2016 / Notices                                                    53427

                                                  material injury, by reason of imports of                scope if application of either the nominal or            Subject merchandise includes hot-rolled
                                                  hot-rolled steel from Brazil no later than              actual measurement would place it within              steel that has been further processed in a
                                                  45 days after our final determination. If               the scope based on the definitions set forth          third country, including but not limited to
                                                                                                          above unless the resulting measurement                pickling, oiling, levelling, annealing,
                                                  the ITC determines that material injury
                                                                                                          makes the product covered by the existing             tempering, temper rolling, skin passing,
                                                  or threat of material injury does not                   antidumping 15 or countervailing duty 16              painting, varnishing, trimming, cutting,
                                                  exist, the proceeding will be terminated                orders on Certain Cut-To-Length Carbon-               punching, and/or slitting, or any other
                                                  and all cash deposits will be refunded.                 Quality Steel Plate Products From the                 processing that would not otherwise remove
                                                  If the ITC determines that such injury                  Republic of Korea (A–580–836; C–580–837),             the merchandise from the scope of the
                                                  does exist, the Department will issue an                and                                                   investigation if performed in the country of
                                                  antidumping duty order directing CBP                       (2) where the width and thickness vary for         manufacture of the hot-rolled steel.
                                                  to assess, upon further instruction by                  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
                                                  the Department, antidumping duties on
                                                                                                          section, the width of certain products with           quantities do not exceed any one of the noted
                                                  all imports of the subject merchandise                  non-rectangular shape, etc.), the                     element levels listed above, are within the
                                                  entered, or withdrawn from warehouse,                   measurement at its greatest width or                  scope of this investigation unless specifically
                                                  for consumption on or after the effective               thickness applies.                                    excluded. The following products are outside
                                                  date of the suspension of liquidation.                     Steel products included in the scope of this       of and/or specifically excluded from the
                                                                                                          investigation are products in which: (1) Iron         scope of this investigation:
                                                  Notification Regarding Administrative                   predominates, by weight, over each of the                • Universal mill plates (i.e., hot-rolled,
                                                  Protective Orders                                       other contained elements; (2) the carbon              flat-rolled products not in coils that have
                                                     This notice serves as a reminder to                  content is 2 percent or less, by weight; and          been rolled on four faces or in a closed box
                                                  parties subject to an Administrative                    (3) none of the elements listed below exceeds         pass, of a width exceeding 150 mm but not
                                                                                                          the quantity, by weight, respectively                 exceeding 1250 mm, of a thickness not less
                                                  Protective Order (APO) of their                                                                               than 4.0 mm, and without patterns in relief);
                                                                                                          indicated:
                                                  responsibility concerning the                              • 2.50 percent of manganese, or                       • Products that have been cold-rolled
                                                  disposition of proprietary information                     • 3.30 percent of silicon, or                      (cold-reduced) after hot-rolling; 17
                                                  disclosed under APO in accordance                          • 1.50 percent of copper, or                          • Ball bearing steels; 18
                                                  with 19 CFR 351.305(a)(3). Timely                          • 1.50 percent of aluminum, or                        • Tool steels; 19 and
                                                  notification of the return or destruction                  • 1.25 percent of chromium, or                        • Silico-manganese steels; 20
                                                  of APO materials, or conversion to                         • 0.30 percent of cobalt, or                          The products subject to this investigation
                                                  judicial protective order, is hereby                       • 0.40 percent of lead, or                         are currently classified in the Harmonized
                                                  requested. Failure to comply with the                      • 2.00 percent of nickel, or                       Tariff Schedule of the United States (HTSUS)
                                                                                                             • 0.30 percent of tungsten, or                     under item numbers: 7208.10.1500,
                                                  regulations and the terms of an APO is
                                                                                                             • 0.80 percent of molybdenum, or                   7208.10.3000, 7208.10.6000, 7208.25.3000,
                                                  a violation subject to sanction.                           • 0.10 percent of niobium, or                      7208.25.6000, 7208.26.0030, 7208.26.0060,
                                                     This determination and this notice are                  • 0.30 percent of vanadium, or                     7208.27.0030, 7208.27.0060, 7208.36.0030,
                                                  issued and published pursuant to                           • 0.30 percent of zirconium.                       7208.36.0060, 7208.37.0030, 7208.37.0060,
                                                  sections 735(d) and 777(i)(1) of the Act.                  Unless specifically excluded, products are         7208.38.0015, 7208.38.0030, 7208.38.0090,
                                                    Dated: August 4, 2016.                                included in this scope regardless of levels of
                                                                                                          boron and titanium.                                      17 For purposes of this scope exclusion, rolling
                                                  Ronald K. Lorentzen,                                                                                          operations such as a skin pass, levelling, temper
                                                                                                             For example, specifically included in this
                                                  Acting Assistant Secretary for Enforcement              scope are vacuum degassed, fully stabilized           rolling or other minor rolling operations after the
                                                  and Compliance.                                                                                               hot-rolling process for purposes of surface finish,
                                                                                                          (commonly referred to as interstitial-free (IF))
                                                                                                                                                                flatness, shape control, or gauge control do not
                                                  Appendix I—Scope of the Investigation                   steels, high strength low alloy (HSLA) steels,        constitute cold-rolling sufficient to meet this
                                                                                                          the substrate for motor lamination steels,            exclusion.
                                                    The products covered by this investigation            Advanced High Strength Steels (AHSS), and                18 Ball bearing steels are defined as steels which
                                                  are certain hot-rolled, flat-rolled steel               Ultra High Strength Steels (UHSS). IF steels          contain, in addition to iron, each of the following
                                                  products, with or without patterns in relief,           are recognized as low carbon steels with              elements by weight in the amount specified: (i) Not
                                                  and whether or not annealed, painted,                   micro-alloying levels of elements such as             less than 0.95 nor more than 1.13 percent of carbon;
                                                  varnished, or coated with plastics or other             titanium and/or niobium added to stabilize            (ii) not less than 0.22 nor more than 0.48 percent
                                                  non-metallic substances. The products                   carbon and nitrogen elements. HSLA steels             of manganese; (iii) none, or not more than 0.03
                                                  covered do not include those that are clad,                                                                   percent of sulfur; (iv) none, or not more than 0.03
                                                                                                          are recognized as steels with micro-alloying
                                                                                                                                                                percent of phosphorus; (v) not less than 0.18 nor
                                                  plated, or coated with metal. The products              levels of elements such as chromium, copper,          more than 0.37 percent of silicon; (vi) not less than
                                                  covered include coils that have a width or              niobium, titanium, vanadium, and                      1.25 nor more than 1.65 percent of chromium; (vii)
                                                  other lateral measurement (‘‘width’’) of 12.7           molybdenum. The substrate for motor                   none, or not more than 0.28 percent of nickel; (viii)
                                                  mm or greater, regardless of thickness, and             lamination steels contains micro-alloying             none, or not more than 0.38 percent of copper; and
                                                  regardless of form of coil (e.g., in                    levels of elements such as silicon and                (ix) none, or not more than 0.09 percent of
                                                  successively superimposed layers, spirally              aluminum. AHSS and UHSS are considered                molybdenum.
                                                                                                                                                                   19 Tool steels are defined as steels which contain
                                                  oscillating, etc.). The products covered also           high tensile strength and high elongation
                                                  include products not in coils (e.g., in straight        steels, although AHSS and UHSS are covered            the following combinations of elements in the
                                                  lengths) of a thickness of less than 4.75 mm                                                                  quantity by weight respectively indicated: (i) More
                                                                                                          whether or not they are high tensile strength
                                                                                                                                                                than 1.2 percent carbon and more than 10.5 percent
                                                  and a width that is 12.7 mm or greater and              or high elongation steels.                            chromium; or (ii) not less than 0.3 percent carbon
                                                  that measures at least 10 times the thickness.                                                                and 1.25 percent or more but less than 10.5 percent
                                                  The products described above may be                        15 Notice of Amendment of Final Determinations     chromium; or (iii) not less than 0.85 percent carbon
                                                  rectangular, square, circular, or other shape           of Sales at Less Than Fair Value and Antidumping      and 1 percent to 1.8 percent, inclusive, manganese;
                                                  and include products of either rectangular or           Duty Orders: Certain Cut-To-Length Carbon-Quality     or (iv) 0.9 percent to 1.2 percent, inclusive,
                                                  non-rectangular cross-section where such                Steel Plate Products From France, India, Indonesia,   chromium and 0.9 percent to 1.4 percent, inclusive,
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                                                  cross-section is achieve subsequent to the              Italy, Japan and the Republic of Korea, 65 FR 6585    molybdenum; or (v) not less than 0.5 percent carbon
                                                  rolling process, i.e., products which have              (February 10, 2000).                                  and not less than 3.5 percent molybdenum; or (vi)
                                                                                                             16 Notice of Amended Final Determinations:         not less than 0.5 percent carbon and not less than
                                                  been ‘‘worked after rolling’’ (e.g., products                                                                 5.5 percent tungsten.
                                                                                                          Certain Cut-to-Length Carbon-Quality Steel Plate
                                                  which have been beveled or rounded at the               From India and the Republic of Korea; and Notice         20 Silico-manganese steel is defined as steels
                                                  edges). For purposes of the width and                   of Countervailing Duty Orders: Certain Cut-To-        containing by weight: (i) Not more than 0.7 percent
                                                  thickness requirements referenced above:                Length Carbon-Quality Steel Plate From France,        of carbon; (ii) 0.5 percent or more but not more than
                                                    (1) Where the nominal and actual                      India, Indonesia, Italy, and the Republic of Korea,   1.9 percent of manganese, and (iii) 0.6 percent or
                                                  measurements vary, a product is within the              65 FR 6587 (February 10, 2000).                       more but not more than 2.3 percent of silicon.



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                                                  53428                         Federal Register / Vol. 81, No. 156 / Friday, August 12, 2016 / Notices

                                                  7208.39.0015, 7208.39.0030, 7208.39.0090,               States at less than fair value (LTFV). The             appeared in the Initiation Notice.5 No
                                                  7208.40.6030, 7208.40.6060, 7208.53.0000,               period of investigation (POI) is July 1,               interested parties submitted scope
                                                  7208.54.0000, 7208.90.0000, 7210.70.3000,               2014, through June 30, 2015. The final                 comments in case or rebuttal briefs;
                                                  7211.14.0030, 7211.14.0090, 7211.19.1500,                                                                      therefore, the scope of this investigation
                                                                                                          dumping margins of sales at LTFV are
                                                  7211.19.2000, 7211.19.3000, 7211.19.4500,
                                                  7211.19.6000, 7211.19.7530, 7211.19.7560,               listed below in the ‘‘Final                            remains unchanged for this final
                                                  7211.19.7590, 7225.11.0000, 7225.19.0000,               Determination’’ section of this notice.                determination.
                                                  7225.30.3050, 7225.30.7000, 7225.40.7000,               DATES: Effective August 12, 2016.                      Analysis of Comments Received
                                                  7225.99.0090, 7226.11.1000, 7226.11.9030,
                                                                                                          FOR FURTHER INFORMATION CONTACT: Toni                     All issues raised in the case and
                                                  7226.11.9060, 7226.19.1000, 7226.19.9000,
                                                  7226.91.5000, 7226.91.7000, and                         Page or Alexander Cipolla, AD/CVD                      rebuttal briefs by parties in this
                                                  7226.91.8000. The products subject to the               Operations, Office VII, Enforcement and                investigation are addressed in the Final
                                                  investigation may also enter under the                  Compliance, International Trade                        Issues and Decision Memorandum,
                                                  following HTSUS numbers: 7210.90.9000,                  Administration, U.S. Department of                     which is hereby adopted by this notice.6
                                                  7211.90.0000, 7212.40.1000, 7212.40.5000,               Commerce, 14th Street and Constitution                 A list of the issues raised is attached to
                                                  7212.50.0000, 7214.91.0015, 7214.91.0060,               Avenue NW., Washington, DC 20230;                      this notice as Appendix II. The Final
                                                  7214.91.0090, 7214.99.0060, 7214.99.0075,               telephone: (202) 482–1398 or (202) 482–
                                                  7214.99.0090, 7215.90.5000, 7226.99.0180,
                                                                                                                                                                 Issues and Decision Memorandum is a
                                                                                                          4956, respectively.                                    public document and is on file
                                                  and 7228.60.6000.
                                                    The HTSUS subheadings above are                       SUPPLEMENTARY INFORMATION:                             electronically via Enforcement and
                                                  provided for convenience and U.S. Customs                                                                      Compliance’s Antidumping and
                                                  purposes only. The written description of the
                                                                                                          Background                                             Countervailing Duty Centralized
                                                  scope of the investigation is dispositive.                On March 22, 2016, the Department                    Electronic Service System (ACCESS).
                                                  Appendix II—List of Topics Discussed                    published the Preliminary                              ACCESS is available to registered users
                                                  in the Issues and Decision                              Determination of this antidumping duty                 at https://access.trade.gov and it is
                                                  Memorandum                                              (AD) investigation.1 The following                     available to all parties in the Central
                                                                                                          events occurred since the Preliminary                  Records Unit, Room B–8024 of the main
                                                  I. Summary                                              Determination was issued.                              Department of Commerce building. In
                                                  II. Background                                                                                                 addition, a complete version of the Final
                                                  III. Scope of the Investigation
                                                                                                            The Department received case and
                                                                                                          rebuttal briefs from Petitioners, Erdemir,             Issues and Decision Memorandum can
                                                  IV. Final Determination of Critical
                                                        Circumstances                                     and Colakoglu between June 7 and June                  be accessed directly at http://
                                                  V. Margin Calculations                                  20, 2016.2 A hearing was held on June                  enforcement.trade.gov/frn/index.html.
                                                  VI. Comparisons to Fair Value                           23, 2016.3                                             The signed and electronic versions of
                                                  VII. Discussion of Issues                                                                                      the Final Issues and Decision
                                                     Comment 1: Duty Drawback                             Scope of the Investigation                             Memorandum are identical in content.
                                                     Comment 2: Inventory Carrying Costs                    The products covered by this
                                                     Comment 3: Credit Revenue                                                                                   Verification
                                                                                                          investigation are hot-rolled steel flat
                                                     Comment 4: Model Match
                                                                                                          products from Turkey. For a full                         As provided in section 782(i) of the
                                                     Comment 5: Calculation of CSN LLC’s G&A                                                                     Tariff Act of 1930, as amended (the Act),
                                                        Expense Ratio                                     description of the scope of this
                                                                                                          investigation, see the ‘‘Scope of the                  in March, April, and May 2016, the
                                                     Comment 6: Whether To Use a                                                                                 Department verified the sales and cost
                                                        Consolidated or Non-Consolidated                  Investigation,’’ in Appendix I of this
                                                        Financial Expense Ratio                           notice.                                                data reported by the mandatory
                                                     Comment 7: The Market Value for                                                                             respondents Colakoglu Metalurji A.S.
                                                        Affiliated Energy Inputs                          Scope Comments                                         (Colakoglu), Colakoglu Dis Ticaret A.S.
                                                     Comment 8: Whether To Include Certain                  In the Preliminary Scope Decision                    (COTAS), and Medtrade Incorporated
                                                        Expenses Recorded Directly to Cost of             Memorandum,4 the Department set                        (Medtrade) (collectively, Colakoglu) and
                                                        Goods Sold (COGS)
                                                                                                          aside a period of time for parties to                  Eregli Demir ve Celik Fabrikalari T.A.S.
                                                  VIII. Recommendation                                                                                           (Erdemir) and Iskenderun Demir Ve
                                                                                                          address scope issues in case briefs or
                                                  [FR Doc. 2016–19381 Filed 8–11–16; 8:45 am]             other written comments on scope issues.                Celik (Iskenderun) (collectively,
                                                  BILLING CODE 3510–DS–P                                                                                         Erdemir). We used standard verification
                                                                                                            In the Preliminary Determination, we
                                                                                                                                                                 procedures, including an examination of
                                                                                                          did not modify the scope language as it
                                                  DEPARTMENT OF COMMERCE                                     1 See Certain Hot-Rolled Steel Flat Products From
                                                                                                                                                                    5 See Preliminary Determination and

                                                                                                                                                                 accompanying Memorandum from Christian Marsh,
                                                                                                          the Republic of Turkey: Affirmative Preliminary        Deputy Assistant Secretary for Antidumping and
                                                  International Trade Administration                      Determination of Sales at Less Than Fair Value and     Countervailing Duty Operations, to Paul Piquado,
                                                  [A–489–826]                                             Postponement of Final Determination, 81 FR 15231       Assistant Secretary for Enforcement and
                                                                                                          (March 22, 2016) (Preliminary Determination) and       Compliance, entitled ‘‘Decision Memorandum for
                                                                                                          accompanying Preliminary Decision Memorandum.          the Preliminary Determination in the Less-Than-
                                                  Certain Hot-Rolled Steel Flat Products                     2 See the ‘‘Table of Authorities’’ in the Final
                                                                                                                                                                 Fair-Value Investigation of Certain Hot-Rolled Steel
                                                  From the Republic of Turkey: Final                      Issues and Decision Memorandum for a complete          Flat Products from the Republic of Turkey’’ at page
                                                  Determination of Sales at Less Than                     list of case and rebuttal briefs filed.                5. See also Certain Hot-Rolled Steel Flat Products
                                                  Fair Value                                                 3 See ‘‘Transcript of Hearing in the Antidumping    From Australia, Brazil, Japan, the Republic of
                                                                                                          Duty Investigation of Certain Hot-Rolled Steel Flat    Korea, the Netherlands, The Republic of Turkey,
                                                  AGENCY:   Enforcement and Compliance,                   Products from the Republic of Turkey’’ (June 30,       and the United Kingdom: Initiation of Less-Than-
                                                  International Trade Administration,                     2016).                                                 Fair-Value Investigations, 80 FR 54261, 54262
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                                                                                                             4 See Memorandum to Christian Marsh, Deputy         (September 9, 2015) (Initiation Notice).
                                                  Department of Commerce.
                                                                                                          Assistant Secretary for Antidumping and                   6 See Memorandum to Ronald K. Lorentzen,
                                                  SUMMARY: The Department of Commerce                     Countervailing Duty Operations, ‘‘Certain Hot-         Acting Assistant Secretary for Enforcement and
                                                  (the Department) determines that                        Rolled Steel Products From Australia, Brazil, Japan,   Compliance, entitled ‘‘Issues and Decision
                                                  imports of certain hot-rolled steel flat                the Netherlands, the Republic of Korea, Turkey, and    Memorandum for the Final Determination in the
                                                                                                          the United Kingdom: Scope Comments Decision            Antidumping Duty Investigation of Certain Hot-
                                                  products (hot-rolled steel) from the                    Memorandum for the Preliminary Determinations,’’       Rolled Steel Flat Products from the Republic of
                                                  Republic of Turkey (Turkey) are being,                  dated March 14, 2016 (Preliminary Scope Decision       Turkey,’’ dated August 4, 2016 (Final Issues and
                                                  or are likely to be, sold in the United                 Memorandum).                                           Decision Memorandum).



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Document Created: 2018-02-09 11:33:28
Document Modified: 2018-02-09 11:33:28
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.
ContactPeter Zukowski, AD/CVD Operations, Office I, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-0189.
FR Citation81 FR 53424 

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