Stainless Steel Sheet and Strip in Coils From Taiwan; Final Results and Partial Rescission of Antidumping Duty Administrative Review, 75504-75507 [E6-21440]

Download as PDF 75504 Federal Register / Vol. 71, No. 241 / Friday, December 15, 2006 / Notices 28, 2006. See Notice of Extension of Time Limit for Preliminary Results of Antidumping Duty Administrative Review: Stainless Steel Bar from Spain, 71 FR 69550 (December 1, 2006) (Extension Notice). Subsequent to the publication of the Extension Notice in the Federal Register we identified an inadvertent error. The Extension Notice states incorrectly that we are extending the time period for issuing the preliminary results of this review to February 13, 2006. The Extension Notice is hereby corrected to read that we are extending the time period for issuing the preliminary results of this review to February 13, 2007. This correction is issued and published in accordance with section 777(i) of the Tariff Act of 1930, as amended. Dated: December 11, 2006. Stephen J. Claeys, Deputy Assistant Secretary for Import Administration. [FR Doc. E6–21438 Filed 12–14–06; 8:45 am] BILLING CODE 3510–DS–P International Trade Administration A–583–831 Stainless Steel Sheet and Strip in Coils From Taiwan; Final Results and Partial Rescission of Antidumping Duty Administrative Review AGENCY: Import Administration, International Trade Administration, Department of Commerce. SUMMARY: On August 9, 2006, the Department of Commerce (the Department) published in the Federal Register the preliminary results and partial rescission of the administrative review of the antidumping duty order on stainless steel sheet and strip in coils from Taiwan. This review covers 15 manufacturers/exporters. The period of review (POR) is July 1, 2004, through June 30, 2005. We provided interested parties with an opportunity to comment on the preliminary results of review. After analyzing the comments received, we corrected one programming error in the margin calculation for one respondent, Chia Far Industrial Factory Co., Ltd. (Chia Far). Therefore, the final results of review differ from the preliminary results of review. The final weighted– average dumping margins for the reviewed firms are listed below in the section entitled ‘‘Final Results of Review.’’ mstockstill on PROD1PC61 with NOTICES VerDate Aug<31>2005 15:47 Dec 14, 2006 Jkt 211001 December 15, 2006. FOR FURTHER INFORMATION CONTACT: Melissa Blackledge or Howard Smith, AD/CVD Operations, Office 4, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th and Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482–3518 or (202) 482– 5193, respectively. SUPPLEMENTARY INFORMATION: Background The following events occurred after the Department published the preliminary results of the instant administrative review in the Federal Register. See Stainless Steel Sheet and Strip in Coils from Taiwan: Preliminary Results and Rescission in Part of Antidumping Duty Administrative Review, 71 FR 45521 (August 9, 2006) (Preliminary Results). In response to the Department’s invitation to comment on the Preliminary Results, the petitioners1 and Chia Far filed case briefs on September 8, 2006. Chia Far and petitioners filed rebuttal briefs on September 15, 2006. Period of Review The POR is July 1, 2004, through June 30, 2005. DEPARTMENT OF COMMERCE AGENCY: EFFECTIVE DATE: Scope of the Order The products covered by the order are certain stainless steel sheet and strip in coils. Stainless steel is an alloy steel containing, by weight, 1.2 percent or less of carbon and 10.5 percent or more of chromium, with or without other elements. The subject sheet and strip is a flat–rolled product in coils that is greater than 9.5 mm in width and less than 4.75 mm in thickness, and that is annealed or otherwise heat treated and pickled or otherwise descaled. The subject sheet and strip may also be further processed (e.g., cold–rolled, polished, aluminized, coated, etc.) provided that it maintains the specific dimensions of sheet and strip following such processing. The merchandise subject to the order is classified in the Harmonized Tariff Schedule of the United States (HTS) at subheadings: 7219.13.0031, 7219.13.0051, 7219.13.0071, 7219.1300.812, 7219.14.0030, 1 The petitioners are Allegheny Ludlum Corporation, United Auto Workers Local 3303 (formerly Butler Armco Independent Union), North American Stainless (except as to Ta Chen and its affiliates), United Steelworkers of America, AFLCIO/CLC, and Zanesville Armco Independent Organization (collectively, ‘‘petitioners’’). 2 Due to changes to the HTS numbers in 2001, 7219.13.0030, 7219.13.0050, 7219.13.0070, and 7219.13.0080 are now 7219.13.0031, 7219.13.0051, 7219.13.0071, and 7219.13.0081, respectively. PO 00000 Frm 00030 Fmt 4703 Sfmt 4703 7219.14.0065, 7219.14.0090, 7219.32.0005, 7219.32.0020, 7219.32.0025, 7219.32.0035, 7219.32.0036, 7219.32.0038, 7219.32.0042, 7219.32.0044, 7219.33.0005, 7219.33.0020, 7219.33.0025, 7219.33.0035, 7219.33.0036, 7219.33.0038, 7219.33.0042, 7219.33.0044, 7219.34.0005, 7219.34.0020, 7219.34.0025, 7219.34.0030, 7219.34.0035, 7219.35.0005, 7219.35.0015, 7219.35.0030, 7219.35.0035, 7219.90.0010, 7219.90.0020, 7219.90.0025, 7219.90.0060, 7219.90.0080, 7220.12.1000, 7220.12.5000, 7220.20.1010, 7220.20.1015, 7220.20.1060, 7220.20.1080, 7220.20.6005, 7220.20.6010, 7220.20.6015, 7220.20.6060, 7220.20.6080, 7220.20.7005, 7220.20.7010, 7220.20.7015, 7220.20.7060, 7220.20.7080, 7220.20.8000, 7220.20.9030, 7220.20.9060, 7220.90.0010, 7220.90.0015, 7220.90.0060, and 7220.90.0080. Although the HTS subheadings are provided for convenience and customs purposes, the Department’s written description of the merchandise under the order is dispositive. Excluded from the scope of the order are the following: (1) sheet and strip that is not annealed or otherwise heat treated and pickled or otherwise descaled, (2) sheet and strip that is cut to length, (3) plate (i.e., flat–rolled stainless steel products of a thickness of 4.75 mm or more), (4) flat wire (i.e., cold–rolled sections, with a prepared edge, rectangular in shape, of a width of not more than 9.5 mm), and (5) razor blade steel. Razor blade steel is a flat–rolled product of stainless steel, not further worked than cold–rolled (cold– reduced), in coils, of a width of not more than 23 mm and a thickness of 0.266 mm or less, containing, by weight, 12.5 to 14.5 percent chromium, and certified at the time of entry to be used in the manufacture of razor blades. See Chapter 72 of the HTS, ‘‘Additional U.S. Note’’ 1(d). In response to comments by interested parties, the Department has determined that certain specialty stainless steel products are also excluded from the scope of the order. These excluded products are described below. Flapper valve steel is defined as stainless steel strip in coils containing, by weight, between 0.37 and 0.43 percent carbon, between 1.15 and 1.35 percent molybdenum, and between 0.20 and 0.80 percent manganese. This steel also contains, by weight, phosphorus of 0.025 percent or less, silicon of between E:\FR\FM\15DEN1.SGM 15DEN1 mstockstill on PROD1PC61 with NOTICES Federal Register / Vol. 71, No. 241 / Friday, December 15, 2006 / Notices 0.20 and 0.50 percent, and sulfur of 0.020 percent or less. The product is manufactured by means of vacuum arc remelting, with inclusion controls for sulphide of no more than 0.04 percent and for oxide of no more than 0.05 percent. Flapper valve steel has a tensile strength of between 210 and 300 ksi, yield strength of between 170 and 270 ksi, plus or minus 8 ksi, and a hardness (Hv) of between 460 and 590. Flapper valve steel is most commonly used to produce specialty flapper valves in compressors. Also excluded is a product referred to as suspension foil, a specialty steel product used in the manufacture of suspension assemblies for computer disk drives. Suspension foil is described as 302/304 grade or 202 grade stainless steel of a thickness between 14 and 127 microns, with a thickness tolerance of plus–or-minus 2.01 microns, and surface glossiness of 200 to 700 percent Gs. Suspension foil must be supplied in coil widths of not more than 407 mm, and with a mass of 225 kg or less. Roll marks may only be visible on one side, with no scratches of measurable depth. The material must exhibit residual stresses of 2 mm maximum deflection, and flatness of 1.6 mm over 685 mm length. Certain stainless steel foil for automotive catalytic converters is also excluded from the scope of the order. This stainless steel strip in coils is a specialty foil with a thickness of between 20 and 110 microns used to produce a metallic substrate with a honeycomb structure for use in automotive catalytic converters. The steel contains, by weight, carbon of no more than 0.030 percent, silicon of no more than 1.0 percent, manganese of no more than 1.0 percent, chromium of between 19 and 22 percent, aluminum of no less than 5.0 percent, phosphorus of no more than 0.045 percent, sulfur of no more than 0.03 percent, lanthanum of less than 0.002 or greater than 0.05 percent, and total rare earth elements of more than 0.06 percent, with the balance iron. Permanent magnet iron–chromiumcobalt alloy stainless strip is also excluded from the scope of the order. This ductile stainless steel strip contains, by weight, 26 to 30 percent chromium, and 7 to 10 percent cobalt, with the remainder of iron, in widths 228.6 mm or less, and a thickness between 0.127 and 1.270 mm. It exhibits magnetic remanence between 9,000 and 12,000 gauss, and a coercivity of between 50 and 300 oersteds. This product is most commonly used in electronic sensors and is currently VerDate Aug<31>2005 15:47 Dec 14, 2006 Jkt 211001 available under proprietary trade names such as ‘‘Arnokrome III.’’3 Certain electrical resistance alloy steel is also excluded from the scope of the order. This product is defined as a non– magnetic stainless steel manufactured to American Society of Testing and Materials (ASTM) specification B344 and containing, by weight, 36 percent nickel, 18 percent chromium, and 46 percent iron, and is most notable for its resistance to high temperature corrosion. It has a melting point of 1390 degrees Celsius and displays a creep rupture limit of 4 kilograms per square millimeter at 1000 degrees Celsius. This steel is most commonly used in the production of heating ribbons for circuit breakers and industrial furnaces, and in rheostats for railway locomotives. The product is currently available under proprietary trade names such as ‘‘Gilphy 36.’’4 Certain martensitic precipitation– hardenable stainless steel is also excluded from the scope of the order. This high–strength, ductile stainless steel product is designated under the Unified Numbering System (UNS) as S45500–grade steel, and contains, by weight, 11 to 13 percent chromium, and 7 to 10 percent nickel. Carbon, manganese, silicon and molybdenum each comprise, by weight, 0.05 percent or less, with phosphorus and sulfur each comprising, by weight, 0.03 percent or less. This steel has copper, niobium, and titanium added to achieve aging, and will exhibit yield strengths as high as 1700 Mpa and ultimate tensile strengths as high as 1750 Mpa after aging, with elongation percentages of 3 percent or less in 50 mm. It is generally provided in thicknesses between 0.635 and 0.787 mm, and in widths of 25.4 mm. This product is most commonly used in the manufacture of television tubes and is currently available under proprietary trade names such as ‘‘Durphynox 17.’’5 Finally, three specialty stainless steels typically used in certain industrial blades and surgical and medical instruments are also excluded from the scope of the order. These include stainless steel strip in coils used in the production of textile cutting tools (e.g., carpet knives).6 This steel is similar to AISI grade 420 but containing, by weight, 0.5 to 0.7 percent of molybdenum. The steel also contains, by weight, carbon of between 1.0 and 3 ‘‘Arnokrome III’’ is a trademark of the Arnold Engineering Company. 4 ‘‘Gilphy 36’’ is a trademark of Imphy, S.A. 5 ‘‘Durphynox 17’’ is a trademark of Imphy, S.A. 6 This list of uses is illustrative and provided for descriptive purposes only. PO 00000 Frm 00031 Fmt 4703 Sfmt 4703 75505 1.1 percent, sulfur of 0.020 percent or less, and includes between 0.20 and 0.30 percent copper and between 0.20 and 0.50 percent cobalt. This steel is sold under proprietary names such as ‘‘GIN4 Mo.’’ The second excluded stainless steel strip in coils is similar to AISI 420–J2 and contains, by weight, carbon of between 0.62 and 0.70 percent, silicon of between 0.20 and 0.50 percent, manganese of between 0.45 and 0.80 percent, phosphorus of no more than 0.025 percent and sulfur of no more than 0.020 percent. This steel has a carbide density on average of 100 carbide particles per 100 square microns. An example of this product is ‘‘GIN5’’ steel. The third specialty steel has a chemical composition similar to AISI 420 F, with carbon of between 0.37 and 0.43 percent, molybdenum of between 1.15 and 1.35 percent, but lower manganese of between 0.20 and 0.80 percent, phosphorus of no more than 0.025 percent, silicon of between 0.20 and 0.50 percent, and sulfur of no more than 0.020 percent. This product is supplied with a hardness of more than Hv 500 guaranteed after customer processing, and is supplied as, for example, ‘‘GIN6.’’7 Partial Rescission of Review In the Preliminary Results notice, we stated that we were preliminarily rescinding the instant review with respect to Ta Chen Stainless Pipe Co., Ltd. (Ta Chen), Yieh United Steel Corp. (YUSCO), Yieh Mau Corp. (Yieh Mau), Chain Chon Industrial Co., Ltd. (Chain Chon), Yieh Loong Enterprise Company, Ltd. (Yieh Loong), and China Steel Corporation (China Steel), because record evidence supported their claims that they made no shipments of subject merchandise during the POR. The record evidence relied upon by the Department included U.S. Customs and Border Protection (CBP) data and customs entry documents which the Department placed on the record of this review. Parties did not comment on this record evidence. Because the record evidence does not call into question the parties’ no shipments claims, we are rescinding this administrative review with respect to Ta Chen, YUSCO, Yieh Mau, Chain Chon, Yieh Loong, and China Steel pursuant to 19 CFR 351.213(d)(3). In addition, for the reasons explained in the Preliminary Results notice, we are rescinding this review with respect to Emerdex Stainless Flat–Rolled Products, Inc., Emerdex Stainless Steel, Inc., and the 7 ‘‘GIN4 Mo,’’ ‘‘GIN5’’ and ‘‘GIN6’’ are the proprietary grades of Hitachi Metals America, Ltd. E:\FR\FM\15DEN1.SGM 15DEN1 75506 Federal Register / Vol. 71, No. 241 / Friday, December 15, 2006 / Notices Emerdex Group. See Preliminary Results, 71 FR 45521. Analysis of Comments Received All issues raised in the parties’ case and rebuttal briefs commenting on this administrative review are addressed in the Issues and Decision Memorandum from Stephen J. Claeys, Deputy Assistant Secretary for Import Administration, to David M. Spooner, Assistant Secretary for Import Administration, dated December 7, 2006, which is hereby adopted by this notice. A list of the issues that parties have raised and to which we have responded, all of which are in the Issues and Decision Memorandum, is attached to this notice as an Appendix. Parties can find a complete discussion of all issues raised in this review, and the corresponding recommendations, in the public Issues and Decision Memorandum that is on file in the Central Records Unit, Room B–099 of the main Department building. In addition, a complete version of the Issues and Decision Memorandum can be accessed directly on the Web at https://ia.ita.doc.gov/frn/index. The paper copy and electronic version of the Issues and Decision Memorandum are identical in content. Use of Facts Available In the preliminary results of review, we assigned a dumping margin based on total adverse facts available (AFA) to the following companies, pursuant to section 776 of the Act, because they failed to respond to the Department’s questionnaire: PFP Taiwan Co., Ltd., Yieh Trading Corporation, Goang Jau Shing Enterprise Co., Ltd., Chien Shing Stainless Steel Company Ltd., and Tang Eng Iron Works Company, Ltd. That margin, 21.10 percent, is the highest appropriate dumping margin from this or any prior segment of the instant proceeding. No parties commented on the Department’s decision to apply total AFA to these companies. For the Manufacturer/Exporter/Reseller reasons noted in the Preliminary Results notice, we have continued to assign the above–mentioned companies an AFA rate of 21.10 percent. Changes Since the Preliminary Results Based on our analysis of the comments received, we have corrected one programming error in calculating the dumping margin for one respondent, Chia Far. For additional information, see Analysis Memorandum for Chia Far Industrial Factory Co., Ltd. for the Final Results of the Administrative Review of the Antidumping Duty Order on Stainless Steel Sheet and Strip in Coils from Taiwan covering the period July 1, 2004, through June 30, 2005, dated December 7, 2006. Final Results of Review We determine that the following weighted–average percentage margins exist for the period July 1, 2004, through June 30, 2005: Weighted–Average Margin (percentage) mstockstill on PROD1PC61 with NOTICES Chia Far Industrial Factory Co., Ltd. (Chia Far) ................................................................................. Goang Jau Shing Enterprise Co., Ltd. ................................................................................................ PFP Taiwan Co., Ltd. .......................................................................................................................... Yieh Trading Corporation .................................................................................................................... Chien Shing Stainless Steel Company Ltd. ........................................................................................ Tang Eng Iron Works Company, Ltd. .................................................................................................. Assessment The Department has determined, and CBP shall assess, antidumping duties on all appropriate entries. In accordance with 19 C.F.R. § 351.212(b)(1), where possible, the Department calculated importer–specific assessment rates for merchandise subject to this review. Where the importer–specific assessment rate is above de minimis, we will instruct CBP to assess the importer– specific rate uniformly on the entered customs value of all entries of subject merchandise made by the importer during the POR. To determine whether the per–unit duty assessment rates were de minimis (i.e., less than 0.50 percent ad valorem), in accordance with the requirement set forth in 19 C.F.R. § 351.106(c)(2), we calculated importer– specific ad valorem ratios based on the export prices. For the respondents receiving dumping margins based upon AFA, the Department will instruct CBP to liquidate entries according to the AFA ad valorem rate. The Department intends to issue assessment instructions to CBP 15 days after the date of publication of this final results of review. The Department clarified its ‘‘automatic assessment’’ regulation in VerDate Aug<31>2005 15:47 Dec 14, 2006 Jkt 211001 Antidumping and Countervailing Duty Proceedings: Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003). This clarification applies to POR entries of subject merchandise produced by companies included in these final results where the companies did not know that their merchandise was destined for the United States. In such instances, we will instruct CBP to liquidate unreviewed entries at the all– others rate if there is no rate for the intermediate company(ies) involved in the transaction. For a full discussion of this clarification, see Antidumping and Countervailing Duty Proceedings: Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003). Cash Deposit Requirements The following deposit requirements will be effective upon publication of this notice of final results of administrative review for all shipments of stainless steel sheet and strip in coils from Taiwan entered, or withdrawn from warehouse, for consumption on or after the date of publication, as provided by section 751(a)(1) of the Act: (1) the cash deposit rate for each of the reviewed companies will be the rate listed for the company in the ‘‘Final PO 00000 Frm 00032 Fmt 4703 Sfmt 4703 0.79 21.10 21.10 21.10 21.10 21.10 Results of Review’’ section above (except if the rate for a particular company is de minimis, i.e., less than 0.5 percent, no cash deposit will be required for that company); (2) for previously reviewed or investigated companies not listed above, the cash deposit rate will continue to be the company–specific rate published for the most recent period; (3) if the exporter is not a firm covered in this review, a prior review, or the less–than-fair–value investigation, but the manufacturer is, the cash deposit rate will be the rate established for the most recent period for the manufacturer of the merchandise; and (4) if neither the exporter nor the manufacturer is a firm covered in these or any previous reviews conducted by the Department, the cash deposit rate will be the ‘‘all others’’ rate, which is 12.61 percent. These deposit requirements shall remain in effect until publication of the final results of the next administrative review. Reimbursement of Duties This notice also serves as a final reminder to importers of their responsibility under section 351.402(f)(2) of the Department’s E:\FR\FM\15DEN1.SGM 15DEN1 Federal Register / Vol. 71, No. 241 / Friday, December 15, 2006 / Notices regulations to file a certificate regarding the reimbursement of antidumping duties prior to liquidation of the relevant entries during this review period. Failure to comply with this requirement could result in the Secretary’s presumption that reimbursement of the antidumping duties occurred and the subsequent assessment of double antidumping duties. Administrative Protective Orders This notice also serves as a reminder to parties subject to administrative protective orders (APOs) of their responsibility concerning the return or destruction of proprietary information disclosed under APO in accordance with section 351.305 of the Department’s regulations, which continues to govern business proprietary information in this segment of the proceeding. Timely written notification of the return/destruction of APO materials or conversion to judicial protective order is hereby requested. Failure to comply with the regulations and terms of an APO is a violation that is subject to sanction. We are issuing and publishing these results and this notice in accordance with sections 751(a)(1) and 771(i) of the Act. Dated: December 7, 2006. David M. Spooner, Assistant Secretary for Import Administration. Appendix I -- Issues In The Issues And Decision Memorandum List Of Issues Discussed A. Issues with Respect to Chia Far Comment 1: Home Market Early Payment Discounts Comment 2: U.S. Indirect Selling Expenses Comment 3: Work–In-Process Inventory Comment 4: Minor Input from Affiliates Comment 5: Improperly Excluded U.S. Sales [FR Doc. E6–21440 Filed 12–14–06; 8:45 am] BILLING CODE 3510–DS–S DEPARTMENT OF COMMERCE mstockstill on PROD1PC61 with NOTICES International Trade Administration Application of the Countervailing Duty Law to Imports From the People’s Republic of China: Request for Comment Import Administration, International Trade Administration, Department of Commerce DATES: Effective Date: December 15, 2006. AGENCY: VerDate Aug<31>2005 15:47 Dec 14, 2006 Jkt 211001 SUMMARY: The Department of Commerce invites comments on the applicability of the countervailing duty law to imports from the People’s Republic of China. DATES: Comments must be submitted no later than thirty days after publication of this Notice. ADDRESSES: Written comments (original and eight copies) should be sent to Susan H. Kuhbach, Senior Office Director for Import Administration, U.S. Department of Commerce, Central Records Unit, Room 1870, Pennsylvania Avenue and 14th Street, NW., Washington, DC 20230. FOR FURTHER INFORMATION CONTACT: Callie Conroy or David Layton, Import Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW., Washington, DC 20230, telephone: 202–482–0754 or 202–482– 0371, respectively. Background In 1986, the Court of Appeals for the Federal Circuit affirmed that the Department of Commerce (the Department) has the discretion not to apply the countervailing duty (CVD) law to non-market economy (NME) countries in Georgetown Steel Corp. v. United States, 801 F.2d 1308 (Fed. Cir. 1986) (Georgetown Steel). On November 20, the Department initiated a countervailing duty investigation on imports of coated free sheet paper from the People’s Republic of China (PRC). This is the first CVD investigation involving the PRC since 1991, when the Department initiated investigations on lugnuts and ceiling fans, which were terminated before going to order. See Rescission of Initiation of Countervailing Duty Investigation and Dismissal of Petition: Chrome-Plated Lug Nuts and Wheel Locks From the People’s Republic of China (‘‘PRC’’), 57 FR 10459 (March 26, 1992); and Final Negative Countervailing Duty Determinations: Oscillating and Ceiling Fans From the People’s Republic of China, 57 FR 24018 (June 5, 1992). In both cases, the Department did not find at that time a basis for applying the CVD law to the industry in question, consistent with Georgetown Steel. The initiation of the present investigation requires that the Department review its long-standing policy of not applying the CVD law to NMEs, such as the PRC. The Department intends during the course of the present investigation to determine whether the countervailing duty law should now be applied to imports from the PRC. Given the complex legal and policy issues involved, the Department, therefore, invites public comment on this matter. PO 00000 Frm 00033 Fmt 4703 Sfmt 4703 75507 Persons wishing to comment should file a signed original and eight copies of each set of comments before the close of the comment period. Comments should be limited to thirty pages, double spaced. The Department will not accept comments accompanied by a request that a part or all of the material be treated confidentially because of its business proprietary nature or for any other reason. All comments responding to this notice will be a matter of public record and will be available for public inspection and copying at Import Administration’s Central Records Unit, Room B–099, between the hours of 8:30 a.m. and 5 p.m. on business days. The Department requires that comments be submitted in written form, but also recommends submission of comments in electronic form to accompany the required paper copies. Comments filed in electronic form should be submitted either by e-mail to the webmaster below, or on CD–ROM, as comments submitted on diskettes are likely to be damaged by postal radiation treatment. Comments received in electronic form will be made available to the public in Portable Document Format (PDF) on the Internet at the Import Administration Web site at the following address: https:// ia.ita.doc.gov/. Any questions concerning file formatting, document conversion, access on the Internet, or other electronic filing issues should be addressed to Andrew Lee Beller, Import Administration Webmaster, at (202) 482–0866, e-mail address: webmastersupport@ita.doc.gov. All comments and submissions should be mailed to Susan H. Kuhbach, Senior Office Director for Import Administration; Subject: Application of the Countervailing Duty Law to Imports from the People’s Republic of China: Request for Comment; Room 1870, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW., Washington, DC, by no later than 5 p.m., on the above-referenced deadline date. Dated: December 11, 2006. David M. Spooner, Assistant Secretary for Import Administration. [FR Doc. E6–21437 Filed 12–14–06; 8:45 am] BILLING CODE 3510–DS–P E:\FR\FM\15DEN1.SGM 15DEN1

Agencies

[Federal Register Volume 71, Number 241 (Friday, December 15, 2006)]
[Notices]
[Pages 75504-75507]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-21440]


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DEPARTMENT OF COMMERCE

International Trade Administration

A-583-831


Stainless Steel Sheet and Strip in Coils From Taiwan; Final 
Results and Partial Rescission of Antidumping Duty Administrative 
Review

AGENCY: AGENCY: Import Administration, International Trade 
Administration, Department of Commerce.
SUMMARY: On August 9, 2006, the Department of Commerce (the Department) 
published in the Federal Register the preliminary results and partial 
rescission of the administrative review of the antidumping duty order 
on stainless steel sheet and strip in coils from Taiwan. This review 
covers 15 manufacturers/exporters. The period of review (POR) is July 
1, 2004, through June 30, 2005.
    We provided interested parties with an opportunity to comment on 
the preliminary results of review. After analyzing the comments 
received, we corrected one programming error in the margin calculation 
for one respondent, Chia Far Industrial Factory Co., Ltd. (Chia Far). 
Therefore, the final results of review differ from the preliminary 
results of review. The final weighted-average dumping margins for the 
reviewed firms are listed below in the section entitled ``Final Results 
of Review.''

EFFECTIVE DATE:  December 15, 2006.

FOR FURTHER INFORMATION CONTACT: Melissa Blackledge or Howard Smith, 
AD/CVD Operations, Office 4, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th and Constitution 
Avenue, NW, Washington, DC 20230; telephone: (202) 482-3518 or (202) 
482-5193, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The following events occurred after the Department published the 
preliminary results of the instant administrative review in the Federal 
Register. See Stainless Steel Sheet and Strip in Coils from Taiwan: 
Preliminary Results and Rescission in Part of Antidumping Duty 
Administrative Review, 71 FR 45521 (August 9, 2006) (Preliminary 
Results). In response to the Department's invitation to comment on the 
Preliminary Results, the petitioners\1\ and Chia Far filed case briefs 
on September 8, 2006. Chia Far and petitioners filed rebuttal briefs on 
September 15, 2006.
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    \1\ The petitioners are Allegheny Ludlum Corporation, United 
Auto Workers Local 3303 (formerly Butler Armco Independent Union), 
North American Stainless (except as to Ta Chen and its affiliates), 
United Steelworkers of America, AFL-CIO/CLC, and Zanesville Armco 
Independent Organization (collectively, ``petitioners'').
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Period of Review

    The POR is July 1, 2004, through June 30, 2005.

Scope of the Order

    The products covered by the order are certain stainless steel sheet 
and strip in coils. Stainless steel is an alloy steel containing, by 
weight, 1.2 percent or less of carbon and 10.5 percent or more of 
chromium, with or without other elements. The subject sheet and strip 
is a flat-rolled product in coils that is greater than 9.5 mm in width 
and less than 4.75 mm in thickness, and that is annealed or otherwise 
heat treated and pickled or otherwise descaled. The subject sheet and 
strip may also be further processed (e.g., cold-rolled, polished, 
aluminized, coated, etc.) provided that it maintains the specific 
dimensions of sheet and strip following such processing.
    The merchandise subject to the order is classified in the 
Harmonized Tariff Schedule of the United States (HTS) at subheadings: 
7219.13.0031, 7219.13.0051, 7219.13.0071, 7219.1300.81\2\, 
7219.14.0030, 7219.14.0065, 7219.14.0090, 7219.32.0005, 7219.32.0020, 
7219.32.0025, 7219.32.0035, 7219.32.0036, 7219.32.0038, 7219.32.0042, 
7219.32.0044, 7219.33.0005, 7219.33.0020, 7219.33.0025, 7219.33.0035, 
7219.33.0036, 7219.33.0038, 7219.33.0042, 7219.33.0044, 7219.34.0005, 
7219.34.0020, 7219.34.0025, 7219.34.0030, 7219.34.0035, 7219.35.0005, 
7219.35.0015, 7219.35.0030, 7219.35.0035, 7219.90.0010, 7219.90.0020, 
7219.90.0025, 7219.90.0060, 7219.90.0080, 7220.12.1000, 7220.12.5000, 
7220.20.1010, 7220.20.1015, 7220.20.1060, 7220.20.1080, 7220.20.6005, 
7220.20.6010, 7220.20.6015, 7220.20.6060, 7220.20.6080, 7220.20.7005, 
7220.20.7010, 7220.20.7015, 7220.20.7060, 7220.20.7080, 7220.20.8000, 
7220.20.9030, 7220.20.9060, 7220.90.0010, 7220.90.0015, 7220.90.0060, 
and 7220.90.0080. Although the HTS subheadings are provided for 
convenience and customs purposes, the Department's written description 
of the merchandise under the order is dispositive.
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    \2\ Due to changes to the HTS numbers in 2001, 7219.13.0030, 
7219.13.0050, 7219.13.0070, and 7219.13.0080 are now 7219.13.0031, 
7219.13.0051, 7219.13.0071, and 7219.13.0081, respectively.
---------------------------------------------------------------------------

    Excluded from the scope of the order are the following: (1) sheet 
and strip that is not annealed or otherwise heat treated and pickled or 
otherwise descaled, (2) sheet and strip that is cut to length, (3) 
plate (i.e., flat-rolled stainless steel products of a thickness of 
4.75 mm or more), (4) flat wire (i.e., cold-rolled sections, with a 
prepared edge, rectangular in shape, of a width of not more than 9.5 
mm), and (5) razor blade steel. Razor blade steel is a flat-rolled 
product of stainless steel, not further worked than cold-rolled (cold-
reduced), in coils, of a width of not more than 23 mm and a thickness 
of 0.266 mm or less, containing, by weight, 12.5 to 14.5 percent 
chromium, and certified at the time of entry to be used in the 
manufacture of razor blades. See Chapter 72 of the HTS, ``Additional 
U.S. Note'' 1(d).
    In response to comments by interested parties, the Department has 
determined that certain specialty stainless steel products are also 
excluded from the scope of the order. These excluded products are 
described below.
    Flapper valve steel is defined as stainless steel strip in coils 
containing, by weight, between 0.37 and 0.43 percent carbon, between 
1.15 and 1.35 percent molybdenum, and between 0.20 and 0.80 percent 
manganese. This steel also contains, by weight, phosphorus of 0.025 
percent or less, silicon of between

[[Page 75505]]

0.20 and 0.50 percent, and sulfur of 0.020 percent or less. The product 
is manufactured by means of vacuum arc remelting, with inclusion 
controls for sulphide of no more than 0.04 percent and for oxide of no 
more than 0.05 percent. Flapper valve steel has a tensile strength of 
between 210 and 300 ksi, yield strength of between 170 and 270 ksi, 
plus or minus 8 ksi, and a hardness (Hv) of between 460 and 590. 
Flapper valve steel is most commonly used to produce specialty flapper 
valves in compressors.
    Also excluded is a product referred to as suspension foil, a 
specialty steel product used in the manufacture of suspension 
assemblies for computer disk drives. Suspension foil is described as 
302/304 grade or 202 grade stainless steel of a thickness between 14 
and 127 microns, with a thickness tolerance of plus-or-minus 2.01 
microns, and surface glossiness of 200 to 700 percent Gs. Suspension 
foil must be supplied in coil widths of not more than 407 mm, and with 
a mass of 225 kg or less. Roll marks may only be visible on one side, 
with no scratches of measurable depth. The material must exhibit 
residual stresses of 2 mm maximum deflection, and flatness of 1.6 mm 
over 685 mm length.
    Certain stainless steel foil for automotive catalytic converters is 
also excluded from the scope of the order. This stainless steel strip 
in coils is a specialty foil with a thickness of between 20 and 110 
microns used to produce a metallic substrate with a honeycomb structure 
for use in automotive catalytic converters. The steel contains, by 
weight, carbon of no more than 0.030 percent, silicon of no more than 
1.0 percent, manganese of no more than 1.0 percent, chromium of between 
19 and 22 percent, aluminum of no less than 5.0 percent, phosphorus of 
no more than 0.045 percent, sulfur of no more than 0.03 percent, 
lanthanum of less than 0.002 or greater than 0.05 percent, and total 
rare earth elements of more than 0.06 percent, with the balance iron.
    Permanent magnet iron-chromium-cobalt alloy stainless strip is also 
excluded from the scope of the order. This ductile stainless steel 
strip contains, by weight, 26 to 30 percent chromium, and 7 to 10 
percent cobalt, with the remainder of iron, in widths 228.6 mm or less, 
and a thickness between 0.127 and 1.270 mm. It exhibits magnetic 
remanence between 9,000 and 12,000 gauss, and a coercivity of between 
50 and 300 oersteds. This product is most commonly used in electronic 
sensors and is currently available under proprietary trade names such 
as ``Arnokrome III.''\3\
---------------------------------------------------------------------------

    \3\ ``Arnokrome III'' is a trademark of the Arnold Engineering 
Company.
---------------------------------------------------------------------------

    Certain electrical resistance alloy steel is also excluded from the 
scope of the order. This product is defined as a non-magnetic stainless 
steel manufactured to American Society of Testing and Materials (ASTM) 
specification B344 and containing, by weight, 36 percent nickel, 18 
percent chromium, and 46 percent iron, and is most notable for its 
resistance to high temperature corrosion. It has a melting point of 
1390 degrees Celsius and displays a creep rupture limit of 4 kilograms 
per square millimeter at 1000 degrees Celsius. This steel is most 
commonly used in the production of heating ribbons for circuit breakers 
and industrial furnaces, and in rheostats for railway locomotives. The 
product is currently available under proprietary trade names such as 
``Gilphy 36.''\4\
---------------------------------------------------------------------------

    \4\ ``Gilphy 36'' is a trademark of Imphy, S.A.
---------------------------------------------------------------------------

    Certain martensitic precipitation-hardenable stainless steel is 
also excluded from the scope of the order. This high-strength, ductile 
stainless steel product is designated under the Unified Numbering 
System (UNS) as S45500-grade steel, and contains, by weight, 11 to 13 
percent chromium, and 7 to 10 percent nickel. Carbon, manganese, 
silicon and molybdenum each comprise, by weight, 0.05 percent or less, 
with phosphorus and sulfur each comprising, by weight, 0.03 percent or 
less. This steel has copper, niobium, and titanium added to achieve 
aging, and will exhibit yield strengths as high as 1700 Mpa and 
ultimate tensile strengths as high as 1750 Mpa after aging, with 
elongation percentages of 3 percent or less in 50 mm. It is generally 
provided in thicknesses between 0.635 and 0.787 mm, and in widths of 
25.4 mm. This product is most commonly used in the manufacture of 
television tubes and is currently available under proprietary trade 
names such as ``Durphynox 17.''\5\
---------------------------------------------------------------------------

    \5\ ``Durphynox 17'' is a trademark of Imphy, S.A.
---------------------------------------------------------------------------

    Finally, three specialty stainless steels typically used in certain 
industrial blades and surgical and medical instruments are also 
excluded from the scope of the order. These include stainless steel 
strip in coils used in the production of textile cutting tools (e.g., 
carpet knives).\6\ This steel is similar to AISI grade 420 but 
containing, by weight, 0.5 to 0.7 percent of molybdenum. The steel also 
contains, by weight, carbon of between 1.0 and 1.1 percent, sulfur of 
0.020 percent or less, and includes between 0.20 and 0.30 percent 
copper and between 0.20 and 0.50 percent cobalt. This steel is sold 
under proprietary names such as ``GIN4 Mo.'' The second excluded 
stainless steel strip in coils is similar to AISI 420-J2 and contains, 
by weight, carbon of between 0.62 and 0.70 percent, silicon of between 
0.20 and 0.50 percent, manganese of between 0.45 and 0.80 percent, 
phosphorus of no more than 0.025 percent and sulfur of no more than 
0.020 percent. This steel has a carbide density on average of 100 
carbide particles per 100 square microns. An example of this product is 
``GIN5'' steel. The third specialty steel has a chemical composition 
similar to AISI 420 F, with carbon of between 0.37 and 0.43 percent, 
molybdenum of between 1.15 and 1.35 percent, but lower manganese of 
between 0.20 and 0.80 percent, phosphorus of no more than 0.025 
percent, silicon of between 0.20 and 0.50 percent, and sulfur of no 
more than 0.020 percent. This product is supplied with a hardness of 
more than Hv 500 guaranteed after customer processing, and is supplied 
as, for example, ``GIN6.''\7\
---------------------------------------------------------------------------

    \6\ This list of uses is illustrative and provided for 
descriptive purposes only.
    \7\ ``GIN4 Mo,'' ``GIN5'' and ``GIN6'' are the proprietary 
grades of Hitachi Metals America, Ltd.
---------------------------------------------------------------------------

Partial Rescission of Review

    In the Preliminary Results notice, we stated that we were 
preliminarily rescinding the instant review with respect to Ta Chen 
Stainless Pipe Co., Ltd. (Ta Chen), Yieh United Steel Corp. (YUSCO), 
Yieh Mau Corp. (Yieh Mau), Chain Chon Industrial Co., Ltd. (Chain 
Chon), Yieh Loong Enterprise Company, Ltd. (Yieh Loong), and China 
Steel Corporation (China Steel), because record evidence supported 
their claims that they made no shipments of subject merchandise during 
the POR. The record evidence relied upon by the Department included 
U.S. Customs and Border Protection (CBP) data and customs entry 
documents which the Department placed on the record of this review. 
Parties did not comment on this record evidence. Because the record 
evidence does not call into question the parties' no shipments claims, 
we are rescinding this administrative review with respect to Ta Chen, 
YUSCO, Yieh Mau, Chain Chon, Yieh Loong, and China Steel pursuant to 19 
CFR 351.213(d)(3). In addition, for the reasons explained in the 
Preliminary Results notice, we are rescinding this review with respect 
to Emerdex Stainless Flat-Rolled Products, Inc., Emerdex Stainless 
Steel, Inc., and the

[[Page 75506]]

Emerdex Group. See Preliminary Results, 71 FR 45521.

Analysis of Comments Received

    All issues raised in the parties' case and rebuttal briefs 
commenting on this administrative review are addressed in the Issues 
and Decision Memorandum from Stephen J. Claeys, Deputy Assistant 
Secretary for Import Administration, to David M. Spooner, Assistant 
Secretary for Import Administration, dated December 7, 2006, which is 
hereby adopted by this notice. A list of the issues that parties have 
raised and to which we have responded, all of which are in the Issues 
and Decision Memorandum, is attached to this notice as an Appendix. 
Parties can find a complete discussion of all issues raised in this 
review, and the corresponding recommendations, in the public Issues and 
Decision Memorandum that is on file in the Central Records Unit, Room 
B-099 of the main Department building. In addition, a complete version 
of the Issues and Decision Memorandum can be accessed directly on the 
Web at https://ia.ita.doc.gov/frn/index. The paper copy and electronic 
version of the Issues and Decision Memorandum are identical in content.

Use of Facts Available

    In the preliminary results of review, we assigned a dumping margin 
based on total adverse facts available (AFA) to the following 
companies, pursuant to section 776 of the Act, because they failed to 
respond to the Department's questionnaire: PFP Taiwan Co., Ltd., Yieh 
Trading Corporation, Goang Jau Shing Enterprise Co., Ltd., Chien Shing 
Stainless Steel Company Ltd., and Tang Eng Iron Works Company, Ltd. 
That margin, 21.10 percent, is the highest appropriate dumping margin 
from this or any prior segment of the instant proceeding. No parties 
commented on the Department's decision to apply total AFA to these 
companies. For the reasons noted in the Preliminary Results notice, we 
have continued to assign the above-mentioned companies an AFA rate of 
21.10 percent.

Changes Since the Preliminary Results

    Based on our analysis of the comments received, we have corrected 
one programming error in calculating the dumping margin for one 
respondent, Chia Far. For additional information, see Analysis 
Memorandum for Chia Far Industrial Factory Co., Ltd. for the Final 
Results of the Administrative Review of the Antidumping Duty Order on 
Stainless Steel Sheet and Strip in Coils from Taiwan covering the 
period July 1, 2004, through June 30, 2005, dated December 7, 2006.

Final Results of Review

    We determine that the following weighted-average percentage margins 
exist for the period July 1, 2004, through June 30, 2005:

------------------------------------------------------------------------
    Manufacturer/Exporter/
           Reseller               Weighted-Average Margin (percentage)
------------------------------------------------------------------------
Chia Far Industrial Factory                                         0.79
 Co., Ltd. (Chia Far)........
Goang Jau Shing Enterprise                                         21.10
 Co., Ltd....................
PFP Taiwan Co., Ltd..........                                      21.10
Yieh Trading Corporation.....                                      21.10
Chien Shing Stainless Steel                                        21.10
 Company Ltd.................
Tang Eng Iron Works Company,                                       21.10
 Ltd.........................
------------------------------------------------------------------------

Assessment

    The Department has determined, and CBP shall assess, antidumping 
duties on all appropriate entries. In accordance with 19 C.F.R. Sec.  
351.212(b)(1), where possible, the Department calculated importer-
specific assessment rates for merchandise subject to this review. Where 
the importer-specific assessment rate is above de minimis, we will 
instruct CBP to assess the importer-specific rate uniformly on the 
entered customs value of all entries of subject merchandise made by the 
importer during the POR. To determine whether the per-unit duty 
assessment rates were de minimis (i.e., less than 0.50 percent ad 
valorem), in accordance with the requirement set forth in 19 C.F.R. 
Sec.  351.106(c)(2), we calculated importer-specific ad valorem ratios 
based on the export prices. For the respondents receiving dumping 
margins based upon AFA, the Department will instruct CBP to liquidate 
entries according to the AFA ad valorem rate. The Department intends to 
issue assessment instructions to CBP 15 days after the date of 
publication of this final results of review.
    The Department clarified its ``automatic assessment'' regulation in 
Antidumping and Countervailing Duty Proceedings: Assessment of 
Antidumping Duties, 68 FR 23954 (May 6, 2003). This clarification 
applies to POR entries of subject merchandise produced by companies 
included in these final results where the companies did not know that 
their merchandise was destined for the United States. In such 
instances, we will instruct CBP to liquidate unreviewed entries at the 
all-others rate if there is no rate for the intermediate company(ies) 
involved in the transaction. For a full discussion of this 
clarification, see Antidumping and Countervailing Duty Proceedings: 
Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003).

Cash Deposit Requirements

    The following deposit requirements will be effective upon 
publication of this notice of final results of administrative review 
for all shipments of stainless steel sheet and strip in coils from 
Taiwan entered, or withdrawn from warehouse, for consumption on or 
after the date of publication, as provided by section 751(a)(1) of the 
Act: (1) the cash deposit rate for each of the reviewed companies will 
be the rate listed for the company in the ``Final Results of Review'' 
section above (except if the rate for a particular company is de 
minimis, i.e., less than 0.5 percent, no cash deposit will be required 
for that company); (2) for previously reviewed or investigated 
companies not listed above, the cash deposit rate will continue to be 
the company-specific rate published for the most recent period; (3) if 
the exporter is not a firm covered in this review, a prior review, or 
the less-than-fair-value investigation, but the manufacturer is, the 
cash deposit rate will be the rate established for the most recent 
period for the manufacturer of the merchandise; and (4) if neither the 
exporter nor the manufacturer is a firm covered in these or any 
previous reviews conducted by the Department, the cash deposit rate 
will be the ``all others'' rate, which is 12.61 percent.
    These deposit requirements shall remain in effect until publication 
of the final results of the next administrative review.

Reimbursement of Duties

    This notice also serves as a final reminder to importers of their 
responsibility under section 351.402(f)(2) of the Department's

[[Page 75507]]

regulations to file a certificate regarding the reimbursement of 
antidumping duties prior to liquidation of the relevant entries during 
this review period. Failure to comply with this requirement could 
result in the Secretary's presumption that reimbursement of the 
antidumping duties occurred and the subsequent assessment of double 
antidumping duties.

Administrative Protective Orders

    This notice also serves as a reminder to parties subject to 
administrative protective orders (APOs) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with section 351.305 of the 
Department's regulations, which continues to govern business 
proprietary information in this segment of the proceeding. Timely 
written notification of the return/destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and terms of an APO is a violation that is 
subject to sanction.
    We are issuing and publishing these results and this notice in 
accordance with sections 751(a)(1) and 771(i) of the Act.

    Dated: December 7, 2006.
David M. Spooner,
Assistant Secretary for Import Administration.

Appendix I -- Issues In The Issues And Decision Memorandum

List Of Issues Discussed

A. Issues with Respect to Chia Far
Comment 1: Home Market Early Payment Discounts
Comment 2: U.S. Indirect Selling Expenses
Comment 3: Work-In-Process Inventory
Comment 4: Minor Input from Affiliates
Comment 5: Improperly Excluded U.S. Sales
[FR Doc. E6-21440 Filed 12-14-06; 8:45 am]
BILLING CODE 3510-DS-S
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