82 FR 37847 - Silicon Metal From the Republic of Kazakhstan: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination With Final Antidumping Duty Determination

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 82, Issue 155 (August 14, 2017)

Page Range37847-37849
FR Document2017-17112

The Department of Commerce (the Department) preliminarily determines that countervailable subsidies are being provided to producers and exporters of silicon metal from the Republic of Kazakhstan (Kazakhstan). The period of investigation is January 1, 2016, through December 31, 2016.

Federal Register, Volume 82 Issue 155 (Monday, August 14, 2017)
[Federal Register Volume 82, Number 155 (Monday, August 14, 2017)]
[Notices]
[Pages 37847-37849]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-17112]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-834-808]


Silicon Metal From the Republic of Kazakhstan: Preliminary 
Affirmative Countervailing Duty Determination and Alignment of Final 
Determination With Final Antidumping Duty Determination

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

SUMMARY: The Department of Commerce (the Department) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of silicon metal from the Republic of 
Kazakhstan (Kazakhstan). The period of investigation is January 1, 
2016, through December 31, 2016.

DATES: Effective August 14, 2017.

FOR FURTHER INFORMATION CONTACT: Terre Keaton Stefanova or Rebecca 
Janz, AD/CVD Operations, Office II, Enforcement and Compliance, 
International Trade Administration, U.S. Department of Commerce, 1401 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
1280 or (202) 482-2972, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). The Department 
published the notice of initiation of this investigation on April 4, 
2017.\1\ On May 16, 2017, the Department postponed the preliminary 
determination of this investigation and the revised deadline is now 
August 7, 2017.\2\ For a complete description of the events that 
followed the initiation of this investigation, see the Preliminary 
Decision Memorandum.\3\ Tau-Ken Temir LLP (Tau-Ken Temir), a producer 
and exporter of silicon metal from Kazakhstan, is the sole mandatory 
respondent for which we have determined there were exports during the 
period of investigation to the United States. A list of topics 
discussed in the Preliminary Decision Memorandum is included as 
Appendix II to this notice. The Preliminary Decision Memorandum is a 
public document and is on file electronically via Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (ACCESS). ACCESS is available to registered users at 
http://access.trade.gov, and is available to all parties in the Central 
Records Unit, room B8024 of the main Department of Commerce building. 
In addition, a complete version of the Preliminary Decision Memorandum 
can be accessed directly at http://enforcement.trade.gov/frn/. The 
signed and electronic versions of the Preliminary Decision Memorandum 
are identical in content.
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    \1\ See Silicon Metal from Australia, Brazil, and Kazakhstan: 
Initiation of Countervailing Duty Investigations, 82 FR 16356 (April 
4, 2017) (Initiation Notice).
    \2\ See Silicon Metal From Australia, Brazil, and Kazakhstan: 
Postponement of Preliminary Determinations of Countervailing Duty 
Investigations, 82 FR 22490 (May 16, 2017).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination of the Countervailing Duty Investigation of Silicon 
Metal from the Republic of Kazakhstan,'' dated concurrently with, 
and hereby adopted by, this notice (Preliminary Decision 
Memorandum).
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Scope of the Investigation

    The product covered by this investigation is silicon metal from 
Kazakhstan. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    In accordance with the preamble to the Department's regulations,\4\ 
the Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope).\5\ Certain interested 
parties commented on the scope of the investigation as it appeared in 
the Initiation Notice. For a summary of the product coverage comments 
and rebuttal responses submitted to the record for this preliminary 
determination, and accompanying discussion and analysis of all comments 
timely received, see the Preliminary Scope Decision Memorandum.\6\ The 
Department preliminarily is not modifying the scope language as it 
appeared in the Initiation Notice. See Appendix I.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice.
    \6\ See Memorandum, ``Silicon Metal from Australia, Brazil, 
Kazakhstan, and Norway: Scope Comments Decision Memorandum for the 
Preliminary Determinations,'' dated June 27, 2017 (Preliminary Scope 
Decision Memorandum).
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Methodology

    The Department is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found 
countervailable, the Department preliminarily determines that there is 
a subsidy, i.e., a financial contribution by an ``authority'' that 
gives rise to a benefit to the recipient, and that the subsidy is 
specific.\7\
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    \7\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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    In its questionnaire responses, Tau-Ken Temir refused to provide 
the Department with requested information or analyze whether its cross-
owned companies received countervailable subsidies.\8\ Furthermore, the 
Government of Kazakhstan's (GOK)'s initial questionnaire response was 
wholly deficient with respect to an allegation that electricity was 
sold to Tau-Ken Temir for less than adequate remuneration, and its 
supplemental response regarding this allegation was untimely filed.\9\ 
Thus, the Department has relied on facts available as part of its 
analysis. Additionally, because we find that Tau-Ken Temir and the GOK 
did not act to the best of their abilities to respond to the 
Department's requests for information and, therefore, impeded this 
investigation, we drew an adverse inference where appropriate in 
selecting from among the facts otherwise available.\10\ For further 
information, see ``Use of Facts Otherwise Available and Adverse 
Inferences'' in the Preliminary Decision Memorandum.
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    \8\ See Tau-Ken Temir's Supplemental Affiliation Response, dated 
May 15, 2017 (Tau-Ken Temir May 15, 2017 SAFFR).
    \9\ See GOK's June 1, 2017 Initial Questionnaire Response (GOK 
June 1, 2017 IQR).
    \10\ See sections 776(a) and (b) of the Act.
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Alignment

    On March 28, 2017, the Department initiated this countervailing 
duty (CVD) investigation of silicon metal from Kazakhstan.\11\ On the 
same day, the Department also initiated antidumping duty (AD) 
investigations of silicon metal from Australia, Brazil, and Norway.\12\ 
This CVD investigation and the AD investigations of Australia, Brazil, 
and Norway cover the same class or kind of merchandise.
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    \11\ See Initiation Notice, 82 FR 16356.
    \12\ See Silicon Metal from Australia, Brazil, and Norway: 
Initiation of Less-Than-Fair-Value Investigations, 82 FR 16352 
(April 4, 2017).
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    As noted in the Preliminary Decision Memorandum, in accordance with 
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), the Department 
is aligning the final CVD determination in this investigation with the 
final determinations in the companion AD investigations of silicon 
metal from Australia, Brazil, and Norway based on

[[Page 37848]]

a request made by the petitioner.\13\ Consequently, the final CVD 
determination will be issued on the same date as the final AD 
determinations for Australia, Brazil, and Norway, which are currently 
scheduled to be issued no later than December 18, 2017, unless 
postponed.
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    \13\ See Letter from the petitioner, ``Silicon Metal from 
Australia, Brazil, and Kazakhstan; Countervailing Duty 
Investigations; Request for Alignment of Final Determinations,'' 
dated July 10, 2017.
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that in the 
preliminary determination, the Department shall determine an estimated 
all-others rate for companies not individually examined. This rate 
shall be an amount equal to the weighted average of the estimated 
subsidy rates established for those companies individually examined, 
excluding any zero or de minimis rates and any rates based entirely 
under section 776 of the Act. Pursuant to section 705(c)(5)(A)(ii) of 
the Act, if the individual estimated countervailable subsidy rates 
established for all exporters and producers individually examined are 
zero, de minimis, or determined based entirely on facts otherwise 
available, the Department may use any reasonable method to establish 
the estimated subsidy rate for all-other producers or exporters.
    In this investigation, the Department preliminarily assigned a rate 
based entirely on facts available to Tau-Ken Temir. Accordingly, we are 
using ``any reasonable method'' to establish the all-others rate. We 
find that it is reasonable to rely on the rate established for Tau-Ken 
Temir as the all-others rate, particularly because there is no other 
information on the record that can be used to determine an all-others 
rate.\14\
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    \14\ See, e.g., Grain-Oriented Electrical Steel from the 
People's Republic of China: Final Affirmative Countervailing Duty 
Determination, 79 FR 59221 (October 1, 2014), and accompanying 
Issues and Decision Memorandum at Comment 1; Circular Welded Carbon-
Quality Steel Pipe from India: Final Affirmative Countervailing Duty 
Determination, 77 FR 64468, 64470 (October 22, 2012); and Certain 
Potassium Phosphate Salts from the People's Republic of China: Final 
Affirmative Countervailing Duty Determination and Termination of 
Critical Circumstances Inquiry, 75 FR 30375 (June 1, 2010).
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Preliminary Determination

    The Department preliminarily determines that the following 
estimated countervailable subsidy rates exist:

------------------------------------------------------------------------
                                                                Subsidy
                           Company                               rate
                                                               (percent)
------------------------------------------------------------------------
Tau-Ken Temir LLP \15\......................................      120.00
All-Others..................................................      120.00
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Suspension of Liquidation
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    \15\ As discussed in the Preliminary Decision Memorandum, the 
Department has found the following companies to be cross-owned with 
Tau-Ken Temir LLP: JSC NMC Tau-Ken Samruk and LLP Silicon Mining.
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    In accordance with section 703(d)(1)(B) and (d)(2) of the Act, the 
Department will direct U.S. Customs and Border Protection (CBP) to 
suspend liquidation of entries of subject merchandise as described in 
the scope of the investigation section entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of this 
notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d), 
the Department will instruct CBP to require a cash deposit equal to the 
rates indicated above.

Disclosure

    Normally, the Department discloses to interested parties the 
calculations performed in connection with a preliminary determination 
within five days of the public announcement of, where there is no 
public announcement, within five days of the date of publication of the 
notice of preliminary determination in the Federal Register, in 
accordance with 19 CFR 351.224(b). However, because the Department 
preliminarily applied facts available with an adverse inference to the 
individually examined company Tau-Ken Temir in this investigation in 
accordance with section 776 of the Act, and the applied facts available 
rate is based solely on the corporate income tax rate in Kazakhstan, 
there are no calculations to disclose.

Verification

    Because both Tau-Ken Temir and the GOK did not provide information 
requested by the Department, and the Department preliminarily 
determines that Tau-Ken Temir and the GOK have been uncooperative, we 
do not intend to conduct verification.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than 30 
days after the date of publication of the preliminary determination. 
Rebuttal briefs, limited to issues raised in case briefs, may be 
submitted no later than five days after the deadline date for case 
briefs.\16\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who 
submit case briefs or rebuttal briefs in this investigation are 
encouraged to submit with each argument: (1) A statement of the issue; 
(2) a brief summary of the argument; and (3) a table of authorities.
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    \16\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce within 30 days 
after the date of publication of this notice. Requests should contain 
the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, the 
Department intends to hold the hearing at the U.S. Department of 
Commerce, 1401 Constitution Avenue NW., Washington, DC 20230, at a time 
and date to be determined. Parties should confirm by telephone the 
date, time, and location of the hearing two days before the scheduled 
date.

International Trade Commission Notification

    In accordance with section 703(f) of the Act, the Department will 
notify the International Trade Commission (ITC) of its determination. 
If the final determination is affirmative, the ITC will make its final 
injury determination before the later of 120 days after the date of 
this preliminary determination or 45 days after the final 
determination.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act and 19 CFR 351.205(c).

    Dated: August 7, 2017.
Carole Showers,
Executive Director, Office of Policy performing the duties of Deputy 
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The scope of this investigation covers all forms and sizes of 
silicon metal, including silicon metal powder. Silicon metal 
contains at least 85.00 percent but less than 99.99 percent silicon, 
and less than 4.00 percent iron, by actual weight. Semiconductor 
grade silicon (merchandise containing at least 99.99 percent silicon 
by actual weight and classifiable under Harmonized Tariff Schedule 
of the United States (HTSUS)

[[Page 37849]]

subheading 2804.61.0000) is excluded from the scope of this 
investigation.
    Silicon metal is currently classifiable under subheadings 
2804.69.1000 and 2804.69.5000 of the HTSUS. While HTSUS numbers are 
provided for convenience and customs purposes, the written 
description of the scope remains dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Respondent Selection
VI. Injury Test
VII. Use of Facts Otherwise Available and Adverse Inferences
VIII. Calculation of the All-Others Rate
IX. Conclusion

[FR Doc. 2017-17112 Filed 8-11-17; 8:45 am]
BILLING CODE 3510-DS-P


Current View
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
DatesEffective August 14, 2017.
ContactTerre Keaton Stefanova or Rebecca Janz, AD/CVD Operations, Office II, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482- 1280 or (202) 482-2972, respectively.
FR Citation82 FR 37847 

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