Stainless Steel Sheet and Strip in Coils from Mexico; Final Results of Antidumping Duty Administrative Review, 7710-7713 [E8-2464]

Download as PDF 7710 Federal Register / Vol. 73, No. 28 / Monday, February 11, 2008 / Notices Comment 8: EPCGS Benefits for Machinery Not Used to Produce Subject Merchandise Comment 9: The Treatment of Countervailing Duties in the Benefit Calculation for EPCGS Comment 10: Company Specific Average Useful Life (AUL) for MTZ Comment 11: Purchases From a Union Territory Comment 12: Adjustments to Cash Deposit Rates to Account for Program– Wide Changes Comment 13: State of Maharashtra (SOM) Sales Tax Exemption Comment 14: Timetable for the Department to Consider Arguments [FR Doc. E8–2467 Filed 2–8–08; 8:45 am] BILLING CODE 3510–DS–S DEPARTMENT OF COMMERCE International Trade Administration (A–351–841), (A–570–924), (A–549–825), (A– 520–803) Polyethylene Terephthalate Film, Sheet, and Strip from Brazil, the People’s Republic of China, Thailand, and the United Arab Emirates: Postponement of Preliminary Determinations of Antidumping Duty Investigations Import Administration, International Trade Administration, Department of Commerce. EFFECTIVE DATE: February 11, 2008. FOR FURTHER INFORMATION CONTACT: Mike Heaney for Brazil, Erin Begnal for the People’s Republic of China, Stephen Bailey for Thailand, and Douglas Kirby for the United Arab Emirates, AD/CVD Operations, Offices 6, 7, and 9, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482–4475, (202) 482– 1442, (202) 482–0193 and (202) 482– 3782, respectively. SUPPLEMENTARY INFORMATION: AGENCY: rwilkins on PROD1PC63 with NOTICES Postponement of Preliminary Determinations On October 26, 2007, the Department of Commerce (the Department) initiated the antidumping duty investigations of polyethylene terephthalate film, sheet, and strip (PET Film) from Brazil, the People’s Republic of China, Thailand, and the United Arab Emirates. See Polyethylene Terephthalate Film, Sheet, and Strip (PET Film) from Brazil, the People’s Republic of China, Thailand, and the United Arab Emirates: Initiation of Antidumping Duty Investigations, 72 VerDate Aug<31>2005 16:44 Feb 08, 2008 Jkt 214001 FR 60801 (October 26, 2007). The notice of initiation stated that the Department would issue its preliminary determinations for these investigations no later than 140 days after the date of issuance of the initiation (i.e., March 6, 2008) in accordance with section 733(b)(1)(A) of the Tariff Act of 1930, as amended (the Act). Id. at 60806. On January 23, 2008, DuPont Teijin Films, Mitsubishi Polyester of America, SKC Inc. and Toray Plastics (America), Inc. (collectively, petitioners) made a timely request pursuant to section 733(c)(1) of the Act and 19 CFR 351.205(e) for a postponement of the preliminary determinations with respect to Brazil, the People’s Republic of China, Thailand, and the United Arab Emirates. The petitioners requested postponement of the preliminary determinations with respect to these four countries, explaining that they need time to evaluate questionnaire responses, the submissions of which were extended by the Department. Additionally, petitioners stated that they intend to file sales–below-cost allegations with respect to Thailand and the United Arab Emirates, and anticipated that the Department will need time to adequately analyze these allegations. For the reasons identified by the petitioners and because there are no compelling reasons to deny the request, the Department is postponing the deadline for the preliminary determinations with respect to Brazil, the People’s Republic of China, Thailand, and the United Arab Emirates pursuant to section 733(c)(1)(A) of the Act by 50 days to April 25, 2008. The deadline for the final determinations will continue to be 75 days after the date of the preliminary determinations, unless extended. This notice is issued and published pursuant to sections 733(c)(2) and 777(I) of the Act, and 19 CFR 351.205(f)(1). Dated: February 4, 2008. David M. Spooner, Assistant Secretary for Import Administration. [FR Doc. E8–2460 Filed 2–8–08; 8:45 am] BILLING CODE 3510–DS–S PO 00000 DEPARTMENT OF COMMERCE International Trade Administration [A–201–822] Stainless Steel Sheet and Strip in Coils from Mexico; Final Results of Antidumping Duty Administrative Review Import Administration, International Trade Administration, Department of Commerce. SUMMARY: On August 6, 2007, the Department of Commerce (the Department) published the preliminary results of the administrative review of the antidumping duty order on stainless steel sheet and strip in coils from Mexico. See Stainless Steel Sheet and Strip in Coils from Mexico; Preliminary Results of Antidumping Duty Administrative Review, 72 FR 43600 (August 6, 2007) (Preliminary Results). This review covers sales of subject merchandise made by ThyssenKrupp Mexinox S.A. de C.V. (Mexinox) for the period July 1, 2005 to June 30, 2006. Based on our analysis of the comments received, we have made changes in the margin calculation; therefore, the final results differ from the preliminary results. The final weighted–average dumping margin for the reviewed firm is listed below in the section entitled ‘‘Final Results of Review.’’ EFFECTIVE DATE: February 11, 2008. FOR FURTHER INFORMATION CONTACT: Maryanne Burke or Robert James, AD/ CVD Operations, Office 7, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482–5604 and (202) 482–0649, respectively. SUPPLEMENTARY INFORMATION: AGENCY: Background On August 6, 2007, the Department published in the Federal Register the preliminary results of the administrative review of the antidumping duty order on stainless steel sheet and strip in coils from Mexico for the period July 1, 2005, to June 30, 2006. See Preliminary Results. In response to the Department’s invitation to comment on the preliminary results of this review, Allegheny Ludlum Corporation, United Auto Workers Local 3303, Zanesville Armco Independent Organization, Inc. and the United Steelworkers of America (collectively, petitioners) and Mexinox filed their case briefs on November 13, 2007.1 Mexinox submitted its rebuttal 1 On September 11, 2007, we issued a memorandum stating that the Department would Frm 00016 Fmt 4703 Sfmt 4703 E:\FR\FM\11FEN1.SGM 11FEN1 Federal Register / Vol. 73, No. 28 / Monday, February 11, 2008 / Notices brief on November 19, 2007, while petitioners filed their rebuttal brief on November 20, 2007. Also, at Mexinox’s request, the Department held a public hearing on December 6, 2007. On September 4, 2007, we published in the Federal Register our notice partially extending the time limit for this review until January 10, 2008. See Stainless Steel Sheet and Strip in Coils from Mexico: Extension of Time Limit for Final Results of Antidumping Duty Administrative Review, 72 FR 50663 (September 4, 2007). On January 14, 2008, we published in the Federal Register our notice fully extending the time limit for this review until February 4, 2008. See Stainless Steel Sheet and Strip in Coils from Mexico: Second Extension of Time Limit for Final Results of Antidumping Duty Administrative Review, 73 FR 2222 (January 14, 2008). rwilkins on PROD1PC63 with NOTICES Period of Review The period of review (POR) is July 1, 2005 to June 30, 2006. Scope of the Order For purposes of this administrative review, the products covered 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 this order is currently classifiable in the Harmonized Tariff Schedule of the United States (HTSUS) at subheadings: 7219.13.0031, 7219.13.0051, 7219.13.0071, 7219.13.00.81, 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, postpone the briefing schedule for the final results until cost verification reports were issued for Mexinox. See Memorandum to the File, dated September 11, 2007. VerDate Aug<31>2005 16:44 Feb 08, 2008 Jkt 214001 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 HTSUS subheadings are provided for convenience and customs purposes, the Department’s written description of the merchandise under review is dispositive. Excluded from the review of this 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 HTSUS, ‘‘Additional U.S. Note’’ 1(d). Flapper valve steel is also excluded from the scope of the order. This product 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 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 PO 00000 Frm 00017 Fmt 4703 Sfmt 4703 7711 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 this 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 this 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.’’2 Certain electrical resistance alloy steel is also excluded from the scope of this 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 2 ‘‘Arnokrome III’’ is a trademark of the Arnold Engineering Company. E:\FR\FM\11FEN1.SGM 11FEN1 rwilkins on PROD1PC63 with NOTICES 7712 Federal Register / Vol. 73, No. 28 / Monday, February 11, 2008 / Notices 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.’’3 Certain martensitic precipitation– hardenable stainless steel is also excluded from the scope of this 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.’’4 Finally, three specialty stainless steels typically used in certain industrial blades and surgical and medical instruments are also excluded from the scope of this order. These include stainless steel strip in coils used in the production of textile cutting tools (e.g., carpet knives).5 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 3 ‘‘Gilphy 36’’ is a trademark of Imphy, S.A. 17’’ is a trademark of Imphy, S.A. 5 This list of uses is illustrative and provided for descriptive purposes only. 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.’’6 Verification As provided in section 782(i) of the Tariff Act of 1930, as amended (the Tariff Act), we verified sales and cost information provided by Mexinox, using standard verification procedures such as the examination of relevant sales and financial records. Our verification results are outlined in the public and proprietary versions of our verification reports, which are on file in the Central Records Unit (CRU) in room 1117 of the main Department building. See ‘‘Verification of the Sales Response of Mexinox in the Antidumping Duty Administrative Review of Stainless Steel Sheet and Strip in Coils from Mexico,’’ dated August 16, 2007 (Sales Verification Report). See also ‘‘Verification of the Cost Response of Mexinox in the Antidumping Duty Administrative Review of Stainless Steel Sheet and Strip in Coils from Mexico,’’ dated November 2, 2007 (Cost Verification Report). Analysis of Comments Received All issues raised in the case and rebuttal briefs by parties to this administrative review are addressed in the Issues and Decision Memorandum (Decision Memorandum) from Stephen J. Claeys, Deputy Assistant Secretary for Import Administration, to David M. Spooner, Assistant Secretary for Import Administration, dated February 4, 2008, which is hereby adopted by this notice. A list of the issues which parties have raised and to which we have responded, all of which are in the 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 this public memorandum, which is on file in the CRU in room B–099 of the main Department building. In addition, a complete version of the Decision Memorandum can be accessed directly 4 ‘‘Durphynox VerDate Aug<31>2005 16:44 Feb 08, 2008 Jkt 214001 6 ‘‘GIN4 Mo,’’ ‘‘GIN5’’ and ‘‘GIN6’’ are the proprietary grades of Hitachi Metals America, Ltd. PO 00000 Frm 00018 Fmt 4703 Sfmt 4703 via the Internet at www.ia.ita.doc.gov/ fm/. The paper copy and electronic version of the Decision Memorandum are identical in content. Changes Since the Preliminary Results Based on our analysis of the comments received, we have made the following changes to the margin calculation: • In accordance with the major input test we made adjustments to the reported costs of direct material costs for certain grades. See ‘‘Cost of Production and Constructed Value Calculation Adjustments for the Final Results - ThyssenKrupp Mexinox S.A. de C.V., ‘‘ dated February 4, 2008 (Final Results Cost Calculation Memorandum). • We revised Mexinox’s reported cost of production to include a certain depreciation expense related to a new production line installed during the POR. See id. • We revised Mexinox’s and Ken–Mac Metal Inc.’s financial expense ratio to exclude certain interest income offsets from the numerator, and exclude packing from the denominator. See id. • We revised Mexinox’s general and administrative expenses to exclude a portion of one of the income offsets originally claimed by Mexinox. See id. These changes are discussed in the relevant sections of the Decision Memorandum and Cost Calculation Memorandum. See also Memorandum to the File, ‘‘Analysis of Data Submitted by ThyssenKrupp Mexinox S.A. de C.V (Mexinox) for the Final Results of Stainless Steel Sheet and Strip in Coils from Mexico (A–201–822)’’ (Final Analysis Memorandum), dated February 4, 2008. In addition, we have made changes made to Mexinox’s reported cost database as a result of first day corrections identified by Mexinox during our cost verification. See Cost Verification Report at Exhibit 1. Final Results of Review We determine the following weighted–average percentage margin exists for the period July 1, 2005 to June 30, 2006: Manufacturer / Exporter ThyssenKrupp Mexinox S.A. de C.V. .............................. Weighted Average Margin (percentage) 2.31 percent Assessment The Department will determine, and U.S. Customs and Border Protection E:\FR\FM\11FEN1.SGM 11FEN1 Federal Register / Vol. 73, No. 28 / Monday, February 11, 2008 / Notices rwilkins on PROD1PC63 with NOTICES (CBP) shall assess, antidumping duties on all appropriate entries, pursuant to section 751(a)(1) of the Tariff Act and 19 CFR 351.212(b). The Department calculated an assessment rate for each importer of the subject merchandise covered by the review. Upon issuance of the final results of this review, for any importer–specific assessment rates calculated in the final results that are above de minimis (i.e., at or above 0.50 percent), we will issue appraisement instructions directly to CBP to assess antidumping duties on appropriate entries by applying the assessment rate to the entered value of the merchandise. Pursuant to 19 CFR 356.8(a), the Department intends to issue assessment instructions to CBP 41 days after the date of publication of these final results of review. The Department clarified its ‘‘automatic assessment’’ regulation on May 6, 2003. See Notice of Policy Concerning Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003). This clarification will apply to entries of subject merchandise during the POR produced by Mexinox for which Mexinox did not know the merchandise was destined for the United States. In such instances, we will instruct CBP to liquidate unreviewed entries at the 30.85 percent all–others rate if there is no company–specific rate for an intermediary involved in the transaction. See id. for a full discussion of this clarification. Cash Deposit Requirements The following cash deposit requirements will be effective upon publication of these final results for all shipments of the subject merchandise entered, or withdrawn from warehouse, for consumption on or after the publication date of these final results of administrative review, consistent with section 751(a)(1) of the Tariff Act: (1) the cash deposit rate for the reviewed company will be the rate listed above; (2) if the exporter is not a firm covered in this review, but was covered in a previous review or the original less than fair value (LTFV) investigation, 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 original LTFV 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) the cash deposit rate for all other manufacturers or exporters will continue to be 30.85 percent, the all–others rate established in the LTFV investigation. See Notice of VerDate Aug<31>2005 16:44 Feb 08, 2008 Jkt 214001 Amended Final Determination of Sales at Less Than Fair Value: Stainless Steel Sheet and Strip in Coils from Mexico, 64 FR 40560 (July 27, 1999). These deposit requirements, when imposed, shall remain in effect until publication of the final results of the next administrative review. 7713 Comment 9: Year–End Inflation Adjustment to G&A Comment 10: Depreciation Comment 11: Interest Expense Comment 12: Packing Expense Comment 13: G&A Expense [FR Doc. E8–2464 Filed 2–8–08; 8:45 am] BILLING CODE 3510–DS–S Notification to Interested Parties This notice also serves as a final reminder to importers of their responsibility under 19 CFR 351.402(f)(2) 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 Department’s presumption that reimbursement of the antidumping duties occurred and the subsequent assessment of doubled antidumping duties. This notice also serves as a reminder to parties subject to administrative protective orders (APOs) of their responsibility concerning the disposition of proprietary information disclosed under APO in accordance with 19 CFR 351.305, which continues to govern business proprietary information in this segment of the proceeding. Timely written 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 sanctionable violation. This notice is issued and published in accordance with sections 751(a)(1) and 777(i)(1) of the Tariff Act. Dated: February 4, 2008. David M. Spooner, Assistant Secretaryfor Import Administration. Appendix – Issues in Decision Memorandum General Issues Comment 1: Revocation Comment 2: Offsetting for U.S. Sales that Exceed Normal Value Adjustments to United States Price Comment 3: U.S. Indirect Selling Expenses Comment 4: Temporary Import Bonds Adjustments to Normal Value Comment 5: Handling Expense Comment 6: Circumstance–of-Sale Adjustment Cost of Production Comment 7: Major Input Rule Comment 8: Employee Profit Sharing PO 00000 Frm 00019 Fmt 4703 Sfmt 4703 DEPARTMENT OF COMMERCE National Oceanic and Atmospheric Administration Notice of Intent to Prepare a Joint Environmental Impact Statement / Environmental Impact Report for the Proposed Relocation of the National Oceanic and Atmospheric Administration’s Southwest Fisheries Science Center located in La Jolla, California National Oceanic and Atmospheric Administration (NOAA), Commerce. ACTION: Notice of Intent to prepare a joint National Environmental Policy Act (NEPA) Environmental Impact Statement (EIS) and California Environmental Quality Act (CEQA) Environmental Impact Report (EIR); request for comments. AGENCY: SUMMARY: NOAA announces its intent to prepare a joint EIS/EIR to analyze the environmental impacts of relocating its Southwest Fisheries Science Center (SWFSC) near the Scripps Institution of Oceanography (SIO) within the University of California at San Diego (UCSD) campus in La Jolla, California. Publication of this notice is to request public participation during preparation of the EIS/EIR to help determine the scope of environmental issues and range of alternatives to be addressed, and to provide information as to how to participate. DATES: A public scoping meeting will held on the following date:Wednesday, February 20, 2008 – 5 p.m. tour of SWFSC and 6 p.m. meeting start time, SWFSC Lab, Building A, Large Conference Room, 8604 La Jolla Shores Drive, La Jolla, CA 92037. FOR FURTHER INFORMATION CONTACT: Anne Elston, Environmental Research Analyst, SRI International, 333 Ravenswood Avenue, G 234, Menlo Park, CA 94025–3493; e-mai anne.elston@sri.com SUPPLEMENTARY INFORMATION: The National Marine Fisheries Service (NMFS) is responsible for the management, conservation, and protection of living marine resources within the U.S. Exclusive Economic E:\FR\FM\11FEN1.SGM 11FEN1

Agencies

[Federal Register Volume 73, Number 28 (Monday, February 11, 2008)]
[Notices]
[Pages 7710-7713]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-2464]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-822]


Stainless Steel Sheet and Strip in Coils from Mexico; Final 
Results of Antidumping Duty Administrative Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: On August 6, 2007, the Department of Commerce (the Department) 
published the preliminary results of the administrative review of the 
antidumping duty order on stainless steel sheet and strip in coils from 
Mexico. See Stainless Steel Sheet and Strip in Coils from Mexico; 
Preliminary Results of Antidumping Duty Administrative Review, 72 FR 
43600 (August 6, 2007) (Preliminary Results). This review covers sales 
of subject merchandise made by ThyssenKrupp Mexinox S.A. de C.V. 
(Mexinox) for the period July 1, 2005 to June 30, 2006. Based on our 
analysis of the comments received, we have made changes in the margin 
calculation; therefore, the final results differ from the preliminary 
results. The final weighted-average dumping margin for the reviewed 
firm is listed below in the section entitled ``Final Results of 
Review.''

EFFECTIVE DATE: February 11, 2008.

FOR FURTHER INFORMATION CONTACT: Maryanne Burke or Robert James, AD/CVD 
Operations, Office 7, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
5604 and (202) 482-0649, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On August 6, 2007, the Department published in the Federal Register 
the preliminary results of the administrative review of the antidumping 
duty order on stainless steel sheet and strip in coils from Mexico for 
the period July 1, 2005, to June 30, 2006. See Preliminary Results. In 
response to the Department's invitation to comment on the preliminary 
results of this review, Allegheny Ludlum Corporation, United Auto 
Workers Local 3303, Zanesville Armco Independent Organization, Inc. and 
the United Steelworkers of America (collectively, petitioners) and 
Mexinox filed their case briefs on November 13, 2007.\1\ Mexinox 
submitted its rebuttal

[[Page 7711]]

brief on November 19, 2007, while petitioners filed their rebuttal 
brief on November 20, 2007. Also, at Mexinox's request, the Department 
held a public hearing on December 6, 2007.
---------------------------------------------------------------------------

    \1\ On September 11, 2007, we issued a memorandum stating that 
the Department would postpone the briefing schedule for the final 
results until cost verification reports were issued for Mexinox. See 
Memorandum to the File, dated September 11, 2007.
---------------------------------------------------------------------------

    On September 4, 2007, we published in the Federal Register our 
notice partially extending the time limit for this review until January 
10, 2008. See Stainless Steel Sheet and Strip in Coils from Mexico: 
Extension of Time Limit for Final Results of Antidumping Duty 
Administrative Review, 72 FR 50663 (September 4, 2007). On January 14, 
2008, we published in the Federal Register our notice fully extending 
the time limit for this review until February 4, 2008. See Stainless 
Steel Sheet and Strip in Coils from Mexico: Second Extension of Time 
Limit for Final Results of Antidumping Duty Administrative Review, 73 
FR 2222 (January 14, 2008).

Period of Review

    The period of review (POR) is July 1, 2005 to June 30, 2006.

Scope of the Order

    For purposes of this administrative review, the products covered 
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 this order is currently 
classifiable in the Harmonized Tariff Schedule of the United States 
(HTSUS) at subheadings: 7219.13.0031, 7219.13.0051, 7219.13.0071, 
7219.13.00.81, 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 HTSUS subheadings are 
provided for convenience and customs purposes, the Department's written 
description of the merchandise under review is dispositive.
    Excluded from the review of this 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 HTSUS, ``Additional 
U.S. Note'' 1(d).
    Flapper valve steel is also excluded from the scope of the order. 
This product 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 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 this 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 this 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.''\2\
---------------------------------------------------------------------------

    \2\ ``Arnokrome III'' is a trademark of the Arnold Engineering 
Company.
---------------------------------------------------------------------------

    Certain electrical resistance alloy steel is also excluded from the 
scope of this 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

[[Page 7712]]

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.''\3\
---------------------------------------------------------------------------

    \3\ ``Gilphy 36'' is a trademark of Imphy, S.A.
---------------------------------------------------------------------------

    Certain martensitic precipitation-hardenable stainless steel is 
also excluded from the scope of this 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.''\4\
---------------------------------------------------------------------------

    \4\ ``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 this order. These include stainless steel 
strip in coils used in the production of textile cutting tools (e.g., 
carpet knives).\5\ 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.''\6\
---------------------------------------------------------------------------

    \5\ This list of uses is illustrative and provided for 
descriptive purposes only.
    \6\ ``GIN4 Mo,'' ``GIN5'' and ``GIN6'' are the proprietary 
grades of Hitachi Metals America, Ltd.
---------------------------------------------------------------------------

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Tariff Act), we verified sales and cost information provided by 
Mexinox, using standard verification procedures such as the examination 
of relevant sales and financial records. Our verification results are 
outlined in the public and proprietary versions of our verification 
reports, which are on file in the Central Records Unit (CRU) in room 
1117 of the main Department building. See ``Verification of the Sales 
Response of Mexinox in the Antidumping Duty Administrative Review of 
Stainless Steel Sheet and Strip in Coils from Mexico,'' dated August 
16, 2007 (Sales Verification Report). See also ``Verification of the 
Cost Response of Mexinox in the Antidumping Duty Administrative Review 
of Stainless Steel Sheet and Strip in Coils from Mexico,'' dated 
November 2, 2007 (Cost Verification Report).

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this administrative review are addressed in the Issues and Decision 
Memorandum (Decision Memorandum) from Stephen J. Claeys, Deputy 
Assistant Secretary for Import Administration, to David M. Spooner, 
Assistant Secretary for Import Administration, dated February 4, 2008, 
which is hereby adopted by this notice. A list of the issues which 
parties have raised and to which we have responded, all of which are in 
the 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 this public memorandum, 
which is on file in the CRU in room B-099 of the main Department 
building. In addition, a complete version of the Decision Memorandum 
can be accessed directly via the Internet at www.ia.ita.doc.gov/fm/
index.html. The paper copy and electronic version of the Decision 
Memorandum are identical in content.

Changes Since the Preliminary Results

    Based on our analysis of the comments received, we have made the 
following changes to the margin calculation:
     In accordance with the major input test we made 
adjustments to the reported costs of direct material costs for certain 
grades. See ``Cost of Production and Constructed Value Calculation 
Adjustments for the Final Results - ThyssenKrupp Mexinox S.A. de C.V., 
`` dated February 4, 2008 (Final Results Cost Calculation Memorandum).
     We revised Mexinox's reported cost of production to 
include a certain depreciation expense related to a new production line 
installed during the POR. See id.
     We revised Mexinox's and Ken-Mac Metal Inc.'s financial 
expense ratio to exclude certain interest income offsets from the 
numerator, and exclude packing from the denominator. See id.
     We revised Mexinox's general and administrative expenses 
to exclude a portion of one of the income offsets originally claimed by 
Mexinox. See id.
These changes are discussed in the relevant sections of the Decision 
Memorandum and Cost Calculation Memorandum. See also Memorandum to the 
File, ``Analysis of Data Submitted by ThyssenKrupp Mexinox S.A. de C.V 
(Mexinox) for the Final Results of Stainless Steel Sheet and Strip in 
Coils from Mexico (A-201-822)'' (Final Analysis Memorandum), dated 
February 4, 2008.
    In addition, we have made changes made to Mexinox's reported cost 
database as a result of first day corrections identified by Mexinox 
during our cost verification. See Cost Verification Report at Exhibit 
1.

Final Results of Review

    We determine the following weighted-average percentage margin 
exists for the period July 1, 2005 to June 30, 2006:

------------------------------------------------------------------------
                                                             Weighted
                 Manufacturer / Exporter                  Average Margin
                                                           (percentage)
------------------------------------------------------------------------
ThyssenKrupp Mexinox S.A. de C.V........................    2.31 percent
------------------------------------------------------------------------

Assessment

    The Department will determine, and U.S. Customs and Border 
Protection

[[Page 7713]]

(CBP) shall assess, antidumping duties on all appropriate entries, 
pursuant to section 751(a)(1) of the Tariff Act and 19 CFR 351.212(b). 
The Department calculated an assessment rate for each importer of the 
subject merchandise covered by the review. Upon issuance of the final 
results of this review, for any importer-specific assessment rates 
calculated in the final results that are above de minimis (i.e., at or 
above 0.50 percent), we will issue appraisement instructions directly 
to CBP to assess antidumping duties on appropriate entries by applying 
the assessment rate to the entered value of the merchandise. Pursuant 
to 19 CFR 356.8(a), the Department intends to issue assessment 
instructions to CBP 41 days after the date of publication of these 
final results of review.
    The Department clarified its ``automatic assessment'' regulation on 
May 6, 2003. See Notice of Policy Concerning Assessment of Antidumping 
Duties, 68 FR 23954 (May 6, 2003). This clarification will apply to 
entries of subject merchandise during the POR produced by Mexinox for 
which Mexinox did not know the merchandise was destined for the United 
States. In such instances, we will instruct CBP to liquidate unreviewed 
entries at the 30.85 percent all-others rate if there is no company-
specific rate for an intermediary involved in the transaction. See id. 
for a full discussion of this clarification.

Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of these final results for all shipments of the subject 
merchandise entered, or withdrawn from warehouse, for consumption on or 
after the publication date of these final results of administrative 
review, consistent with section 751(a)(1) of the Tariff Act: (1) the 
cash deposit rate for the reviewed company will be the rate listed 
above; (2) if the exporter is not a firm covered in this review, but 
was covered in a previous review or the original less than fair value 
(LTFV) investigation, 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 
original LTFV 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) the cash deposit rate for all 
other manufacturers or exporters will continue to be 30.85 percent, the 
all-others rate established in the LTFV investigation. See Notice of 
Amended Final Determination of Sales at Less Than Fair Value: Stainless 
Steel Sheet and Strip in Coils from Mexico, 64 FR 40560 (July 27, 
1999). These deposit requirements, when imposed, shall remain in effect 
until publication of the final results of the next administrative 
review.

Notification to Interested Parties

    This notice also serves as a final reminder to importers of their 
responsibility under 19 CFR 351.402(f)(2) 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 Department's presumption that 
reimbursement of the antidumping duties occurred and the subsequent 
assessment of doubled antidumping duties.
    This notice also serves as a reminder to parties subject to 
administrative protective orders (APOs) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305, which continues to govern 
business proprietary information in this segment of the proceeding. 
Timely written 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 sanctionable violation.
    This notice is issued and published in accordance with sections 
751(a)(1) and 777(i)(1) of the Tariff Act.

    Dated: February 4, 2008.
David M. Spooner,
Assistant Secretaryfor Import Administration.

Appendix - Issues in Decision Memorandum

General Issues

    Comment 1: Revocation
    Comment 2: Offsetting for U.S. Sales that Exceed Normal Value

Adjustments to United States Price

    Comment 3: U.S. Indirect Selling Expenses
    Comment 4: Temporary Import Bonds

Adjustments to Normal Value

    Comment 5: Handling Expense
    Comment 6: Circumstance-of-Sale Adjustment

Cost of Production

    Comment 7: Major Input Rule
    Comment 8: Employee Profit Sharing
    Comment 9: Year-End Inflation Adjustment to G&A
    Comment 10: Depreciation
    Comment 11: Interest Expense
    Comment 12: Packing Expense
    Comment 13: G&A Expense
[FR Doc. E8-2464 Filed 2-8-08; 8:45 am]
BILLING CODE 3510-DS-S
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