83 FR 48277 - Certain Cold-Rolled Steel Flat Products From the Republic of Korea: Notice of Court Decision Not in Harmony With Amended Final Determination of the Countervailing Duty Investigation

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 185 (September 24, 2018)

On September 10, 2018, the United States Court of International Trade (CIT or Court) sustained the final remand results pertaining to the countervailing duty (CVD) investigation on certain cold-rolled steel flat products from the Republic of Korea covering the period January 1, 2014, through December 31, 2014. The Department of Commerce (Commerce) is notifying the public that the final judgement in this case is not in harmony with the Amended Final Determination of the CVD investigation and that Commerce is amending the Amended Final Determination with respect to the CVD rate assigned to POSCO.

[Federal Register Volume 83, Number 185 (Monday, September 24, 2018)]
[Notices]
[Pages 48277-48278]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-20724]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-882]


Certain Cold-Rolled Steel Flat Products From the Republic of 
Korea: Notice of Court Decision Not in Harmony With Amended Final 
Determination of the Countervailing Duty Investigation

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

SUMMARY: On September 10, 2018, the United States Court of 
International Trade (CIT or Court) sustained the final remand results 
pertaining to the countervailing duty (CVD) investigation on certain 
cold-rolled steel flat products from the Republic of Korea covering the 
period January 1, 2014, through December 31, 2014. The Department of 
Commerce (Commerce) is notifying the public that the final judgement in 
this case is not in harmony with the Amended Final Determination of the 
CVD investigation and that Commerce is amending the Amended Final 
Determination with respect to the CVD rate assigned to POSCO.

DATES: Applicable September 20, 2018.

FOR FURTHER INFORMATION CONTACT: Yasmin Bordas at (202) 482-3813, AD/
CVD Operations, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230.

SUPPLEMENTARY INFORMATION:

Background

    On July 29, 2016, Commerce published its Final Determination.\1\ 
Upon consideration of ministerial error allegations, Commerce issued an 
Amended Final Determination and calculated a subsidy rate of 59.72 
percent for POSCO.\2\
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    \1\ See Final Determination, 81 FR 49943.
    \2\ See Countervailing Duty Investigation of Certain Cold-Rolled 
Steel Flat Products from the Republic of Korea: Final Affirmative 
Determination, 81 FR 49943 (July 29, 2016) (Final Results) and 
accompanying Memorandum, entitled ``Issues and Decision Memorandum 
for the Final Determination in the Countervailing Duty Investigation 
of Certain Cold-Rolled Steel Flat Products from the Republic of 
Korea'' (Issues and Decision Memorandum); see also ``Countervailing 
Duty Investigation of Certain Cold-Rolled Steel flat Products from 
the Republic of Korea: Final Determination Calculation Memorandum 
for POSCO, dated July 20, 2016 (POSCO Final Analysis Memorandum). On 
September 20, 2016, the Commerce published its amended final results 
upon consideration of various ministerial error allegations. See 
Certain Cold-Rolled Steel Flat Products from Brazil, India, and the 
Republic of Korea: Amended Final Affirmative Countervailing Duty 
Determination and Countervailing Duty Order (the Republic of Korea) 
and Countervailing Duty Orders (Brazil and India), 81 FR 64436 
(September 20, 2016) (Amended Final Results); see also ``Response to 
Ministerial Error Comments Filed by Hyundai Steel Co. Ltd. and 
POSCO,'' dated August 24, 2016 (Ministerial Error Memo); and 
``Countervailing Duty Investigation of Certain Cold-Rolled Steel 
Flat Products from the Republic of Korea: Amended Final 
Determination Calculation Memorandum for POSCO,'' dated August 24, 
2016 (POSCO Amended Final Analysis Memorandum).
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    On March, 8, 2018, the CIT remanded various aspects of the Amended 
Final Determination to Commerce.\3\ In its Remand Order, the Court held 
that ``substantial evidence supports Commerce's decision to apply facts 
available.'' \4\ The Court held that the record demonstrated that POSCO 
``withheld information, failed to timely provide information, and 
impeded the proceeding,'' and that POSCO's ``failure to supply the 
requested information'' reflected a failure to act to the best of its 
ability.\5\
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    \3\ See POSCO et al., and AK Steel Corporation, et al., v. 
United States and Steel Dynamic Inc., et al., Consol. Court No. 16-
00225, Slip Op. 18-18 (CIT 2018) (Remand Order).
    \4\ See Remand Order at 26.
    \5\ Id. at 26-27.
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    However, the Court also held that Commerce had not conducted an 
``evaluation of the specific situation,'' under the relatively new 
statutory language of section 776(d)(2) of the Tariff Act of 1930, as 
amended (the Act) and had not explained ``why this case justified its 
selection of the highest rates.'' \6\ In addition, the Court concluded 
that the 1.64 percent rate from Refrigerators from Korea was ``derived 
from estimates Commerce made on the basis of an adverse inference,'' 
and, therefore, was not corroborated, under section 776(c) of the 
Act.\7\ The Court, therefore, instructed Commerce to reconsider its 
selection of this rate.\8\ On the other hand, the Court found that 
Commerce's corroboration and selection of the 1.05 percent rate from 
Washers from Korea was supported by substantial evidence.\9\
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    \6\ Id. at 49.
    \7\ Id. at 57-58. See also Bottom Mount Combination 
Refrigerator-Freezers from the Republic of Korea: Final Affirmative 
Countervailing Duty Determination, 77 FR 17410 (March 26, 2012) 
(Refrigerators from Korea Final Determination) and accompanying 
Issues and Decision Memorandum (Refrigerators from Korea Issues and 
Decision Memorandum).
    \8\ Id. at 58.
    \9\ Id. See also Large Residential Washers from the Republic of 
Korea: Final Affirmative Countervailing Duty Determination, 77 FR 
75975 (December 26, 2012) (Washers from Korea Final Results), and 
accompanying Issues and Decision Memorandum (Washers from Korea 
Issues and Decision Memorandum).
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    Pursuant to the Remand Order, Commerce issued its Final 
Redetermination, which addressed the Court's holdings and revised the 
CVD rate for POSCO to 42.61 percent.\10\ On September 10, 2018, the CIT 
sustained in whole Commerce's Final Redetermination.\11\
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    \10\ See Memorandum POSCO et al., and AK Steel Corporation, et 
al., v. United States and Steel Dynamic Inc., et al.; Consol. Court 
No. 16-00225, Slip Op. 18-18 (CIT March 8, 2018); Final Results of 
Redetermination Pursuant to Court Remand, dated June 6, 2018, at 26.
    \11\ See POSCO et al., and AK Steel Corporation, et al., v. 
United States and Steel Dynamic Inc., et al.; Consol. Court No. 16-
00225, Slip Op. 18-1115 (CIT September 10, 2018).
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Timken Notice

    In its decision in Timken,\12\ as clarified by Diamond 
Sawblades,\13\ the Court of Appeals for the Federal Circuit held that, 
pursuant to section 516A(e) of the Act, Commerce must publish a notice 
of court decision that is not ``in harmony'' with Commerce's 
determination and must suspend liquidation of entries pending a 
``conclusive'' court decision. The CIT's September 10, 2018 final 
judgement, ordering Commerce to proceed with replacing POSCO's 1.64 
percent subsidy rate for programs that were calculated on the basis of 
adverse facts available with the 1.05 percent rate from Washers from 
Korea constitutes a final decision of that court that is not in harmony 
with the Final Amended Determination. This notice is published in 
fulfillment of the publication requirements of Timken.
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    \12\ See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 
1990) (Timken).
    \13\ See Diamond Sawblades Mfrs. Coalition v. United States, 626 
F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades).
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    This notice is issued and published in accordance with sections 
516A(e)(1), 705(c)(1)(B), and 777(i)(1) of the Act.


[[Page 48278]]


    Dated: September 19, 2018.
James Maeder,
Associate Deputy Assistant Secretary for Antidumping and Countervailing 
Duty Operations performing the duties of Deputy Assistant Secretary for 
Antidumping and Countervailing Duty Operations.
[FR Doc. 2018-20724 Filed 9-21-18; 8:45 am]
BILLING CODE 3510-DS-P