Countervailing Duty Investigation of Stainless Steel Sheet and Strip From the People's Republic of China: Preliminary Affirmative Determination and Alignment of Final Determination With Final Antidumping Duty Determination, 46643-46645 [2016-16947]
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Federal Register / Vol. 81, No. 137 / Monday, July 18, 2016 / Notices
18, 2016). The FTZ Board has
determined that further review of part of
the proposed activity is warranted at
this time. The production activity
described in the notification is
authorized on a limited basis, subject to
the FTZ Act and the Board’s regulations,
including Section 400.14, and further
subject to a restriction requiring
admission of foreign-status upholstery
leather in privileged foreign status (19
CFR 146.41).
Dated: July 5, 2016.
Andrew McGilvray,
Executive Secretary.
[FR Doc. 2016–16371 Filed 7–15–16; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–570–043]
Countervailing Duty Investigation of
Stainless Steel Sheet and Strip From
the People’s Republic of China:
Preliminary Affirmative Determination
and Alignment of Final Determination
With Final Antidumping Duty
Determination
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(the Department) preliminarily
determines that countervailable
subsidies are being provided to
producers and exporters of stainless
steel sheet and strip (stainless sheet and
strip) from the People’s Republic of
China (PRC). The period of investigation
is January 1, 2015, through December
31, 2015. We invite interested parties to
comment on this preliminary
determination.
DATES: Effective July 18, 2016.
FOR FURTHER INFORMATION CONTACT:
Emily Halle, AD/CVD Operations, Office
VII, Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 14th
Street and Constitution Avenue NW.,
Washington, DC 20230; telephone (202)
482–0176.
SUPPLEMENTARY INFORMATION:
asabaliauskas on DSK3SPTVN1PROD with NOTICES
AGENCY:
Scope of the Investigation
The products covered by this
investigation are stainless sheet and
strip from the PRC. For a complete
description of the scope of this
investigation, see Appendix II.
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Methodology
The Department is conducting this
countervailing duty (CVD) investigation
in accordance with section 701 of the
Tariff Act of 1930, as amended (the Act).
For each of the subsidy programs found
countervailable, we preliminarily
determine that there is a subsidy, i.e., a
financial contribution by an ‘‘authority’’
that gives rise to a benefit to the
recipient, and that the subsidy is
specific.1 For a full description of the
methodology underlying our
preliminary conclusions, see the
Preliminary Decision Memorandum.2 A
list of topics discussed in the
Preliminary Decision Memorandum is
included as Appendix I to this notice.
The Preliminary Decision Memorandum
is a public document and is on file
electronically via Enforcement and
Compliance’s Antidumping and
Countervailing Duty Centralized
Electronic Service System (ACCESS).
ACCESS is available to registered users
at https://access.trade.gov, and is
available to all parties in the Central
Records Unit, Room B8024 of the main
Department of Commerce building. In
addition, a complete version of the
Preliminary Decision Memorandum can
be accessed directly at https://
enforcement.trade.gov/frn/. The signed
Preliminary Decision Memorandum and
the electronic version are identical in
content.
The Department notes that, in making
these findings, we relied, in part, on
facts available and, because we find that
one or more respondents did not act to
the best of their ability to respond to the
Department’s requests for information,
we drew an adverse inference where
appropriate in selecting from among the
facts otherwise available.3 For further
information, see ‘‘Use of Facts
Otherwise Available and Adverse
Inferences’’ in the Preliminary Decision
Memorandum.
Alignment
As noted in the Preliminary Decision
Memorandum, in accordance with
1 See sections 771(5)(B) and (D) of the Act
regarding financial contribution; section 771(5)(E)
of the Act regarding benefit; and section 771(5A) of
the Act regarding specificity.
2 See Memorandum, ‘‘Decision Memorandum for
the Preliminary Affirmative Determination:
Countervailing Duty Investigation of Stainless Steel
Sheet and Strip From the People’s Republic of
China,’’ dated concurrently with, and hereby
adopted by, this notice (Preliminary Decision
Memorandum).
3 See sections 776(a) and (b) of the Act.
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Fmt 4703
Sfmt 4703
46643
section 705(a)(1) of the Act and 19 CFR
351.210(b)(4), we are aligning the final
CVD determination in this investigation
with the final determination in the
companion antidumping duty (AD)
investigation of stainless sheet and strip
from the PRC based on a request made
by Petitioners.4 Consequently, the final
CVD determination will be issued on
the same date as the final AD
determination, which is currently
scheduled to be issued no later than
November 23, 2016, unless postponed.
Preliminary Determination and
Suspension of Liquidation
In accordance with section
703(d)(1)(A)(i) of the Act, we calculated
an individual estimated countervailable
subsidy rate for Shanxi Taigang
Stainless Steel Co. Ltd. (Taigang), the
only cooperating, individuallyinvestigated exporter/producer.
Additionally, in accordance with
sections 703(d) and 705(c)(5)(A) of the
Act, for companies not individually
investigated, we apply an ‘‘all-others’’
rate, which is normally calculated by
weight averaging the subsidy rates of the
companies selected for individual
investigation by those companies’
exports of the subject merchandise to
the United States. However, under
section 705(c)(5)(A)(i) of the Act, the allothers rate excludes zero and de
minimis rates calculated for the
exporters and producers individually
investigated, as well as rates based
entirely on facts otherwise available.
Therefore, we have excluded the rates
based entirely on facts otherwise
available assigned to Ningbo Baoxin
Stainless Steel Co., Ltd. (Ningbo Baoxin)
and Daming International Import Export
Co. Ltd. (Daming) from the all-others
rate. Because the only individually
calculated rate that is not zero, de
minimis, or based on facts otherwise
available is the rate calculated for
Taigang, in accordance with section
705(c)(5)(A)(i) of the Act, the rate
calculated for Taigang is preliminarily
assigned as the all-others rate. The
preliminary estimated countervailable
subsidy rates are summarized in the
table below.
4 See Letter from Petitioners, ‘‘Countervailing
Duty Investigation of Stainless Steel Sheet and Strip
from the People’s Republic of China—Petitioners’
Request to Align the Countervailing Duty Final
Determination with the Companion Antidumping
Duty Final Determination,’’ June 24, 2016.
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46644
Federal Register / Vol. 81, No. 137 / Monday, July 18, 2016 / Notices
Subsidy rate
(percent)
Company
Shanxi Taigang Stainless Steel Co. Ltd ..............................................................................................................................................
Ningbo Baoxin Stainless Steel Co., Ltd., Baosteel Stainless Steel Co. Ltd., Baoshan Iron & Steel Co., Ltd., Baosteel Desheng
Stainless Steel Co., Ltd., Baosteel Co., Ltd., Bayi Iron & Steel Co., Ltd., Ningbo Iron & Steel Co., Ltd., Shaoguan Iron & Steel
Co., Ltd., Guangdong Shaoguan Iron & Steel Co., Ltd., and Zhanjiang Iron & Steel Co., Ltd ......................................................
Daming International Import Export Co. Ltd. and Tianjin Taigang Daming Metal Product Co., Ltd ..................................................
All-Others .............................................................................................................................................................................................
In accordance with section 703(d)(2)
of the Act, we will direct U.S. Customs
and Border Protection (CBP) to suspend
liquidation of all entries of stainless
sheet and strip from the PRC as
described in the ‘‘Scope of the
Investigation. Pursuant to 19 CFR
351.205(d), the Department will instruct
CBP to require a cash deposit equal to
the rests indicated above. Section
703(e)(2) of the Act provides that, given
an affirmative determination of critical
circumstances, any suspension of
liquidation shall apply to unliquidated
entries of merchandise entered, or
withdrawn from warehouse, for
consumption on or after the later of (a)
the date which is 90 days before the
date on which the suspension of
liquidation was first ordered, or (b) the
date on which notice of initiation of the
investigation was published. On June
27, 2016, we preliminarily found that
critical circumstances exist for imports
produced or exported by Taigang,
Ningbo Baoxin, Daming, and all-other
exporters or producers.5 Accordingly,
for these companies, in accordance with
section 703(e)(2)(A) of the Act,
suspension of liquidation of stainless
sheet and strip from the PRC, as
described in the ‘‘Scope of the
Investigation,’’ shall apply to
unliquidated entries of merchandise
entered, or withdrawn from warehouse,
for consumption on or after the date
which is 90 days before the publication
of this notice, the date suspension of
liquidation is first ordered.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Verification
As provided in section 782(i)(1) of the
Act, we intend to verify the information
submitted by the respondents prior to
making our final determination.
International Trade Commission
Notification
In accordance with section 703(f) of
the Act, we will notify the International
Trade Commission (ITC) of our
determination. In addition, we are
making available to the ITC all non5 See Countervailing Duty Investigation of
Stainless Steel Sheet and Strip From the People’s
Republic of China: Preliminary Determination of
Critical Circumstances, 81 FR 41519 (June 27,
2016).
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17:52 Jul 15, 2016
Jkt 238001
privileged and non-proprietary
information relating to this
investigation. We will allow the ITC
access to all privileged and business
proprietary information in our files,
provided the ITC confirms that it will
not disclose such information, either
publicly or under an administrative
protective order, without the written
consent of the Assistant Secretary for
Enforcement and Compliance.
In accordance with section 705(b)(2)
of the Act, if our final determination is
affirmative, the ITC will make its final
determination within 45 days after the
Department makes its final
determination.
Disclosure and Public Comment
The Department intends to disclose to
interested parties the calculations
performed in connection with this
preliminary determination within five
days of its public announcement.6
Interested parties may submit case and
rebuttal briefs, as well as request a
hearing.7 For a schedule of the
deadlines for filing case briefs, rebuttal
briefs, and hearing requests, see the
Preliminary Decision Memorandum.
This determination is issued and
published pursuant to sections 703(f)
and 777(i) of the Act and 19 CFR
351.205(c).
Dated: July 11, 2016.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement
and Compliance.
Appendix I
List of Topics Discussed in the Preliminary
Decision Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Preliminary Determination of Critical
Circumstances
VI. Injury Test
VII. Application of the CVD Law to Imports
From the PRC
VIII. Alignment
IX. Use of Facts Otherwise Available and
Adverse Inferences
X. Subsidies Valuation
XI. Benchmarks and Interest Rates
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6 See
7 See
19 CFR 351.224(b).
19 CFR 351.309(c)–(d), 19 CFR 351.310(c).
Frm 00005
Fmt 4703
Sfmt 4703
57.30
193.12
193.12
57.30
XII. Analysis of Programs
XIII. Disclosure and Public Comment
XIV. Conclusion
Appendix II
Scope of the Investigation
The merchandise covered by this
investigation is stainless steel sheet and strip,
whether in coils or straight lengths. 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 flatrolled product with a width that is greater
than 9.5 mm and with a thickness of 0.3048
mm and greater but less than 4.75 mm, 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, annealed,
tempered, polished, aluminized, coated,
painted, varnished, trimmed, cut, punched,
or slit, etc.) provided that it maintains the
specific dimensions of sheet and strip set
forth above following such processing. The
products described include products
regardless of shape, and include products of
either rectangular or non-rectangular crosssection where such cross-section is achieved
subsequent to the rolling process, i.e.,
products which have been ‘‘worked after
rolling’’ (e.g., products which have been
beveled or rounded at the edges).
For purposes of the width and thickness
requirements referenced above: (1) Where the
nominal and actual measurements vary, a
product is within the scope if application of
either the nominal or actual measurement
would place it within the scope based on the
definitions set forth above; and (2) where the
width and thickness vary for a specific
product (e.g., the thickness of certain
products with non-rectangular cross-section,
the width of certain products with nonrectangular shape, etc.), the measurement at
its greatest width or thickness applies.
All products that meet the written physical
description, and in which the chemistry
quantities do not exceed any one of the noted
element levels listed above, are within the
scope of this investigation unless specifically
excluded.
Subject merchandise includes stainless
steel sheet and strip that has been further
processed in a third country, including but
not limited to cold-rolling, annealing,
tempering, polishing, aluminizing, coating,
painting, varnishing, trimming, cutting,
punching, and/or slitting, or any other
processing that would not otherwise remove
the merchandise from the scope of the
investigation if performed in the country of
manufacture of the stainless steel sheet and
strip.
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Federal Register / Vol. 81, No. 137 / Monday, July 18, 2016 / Notices
Excluded from the scope of this
investigation are the following: (1) Sheet and
strip that is not annealed or otherwise heat
treated and not pickled or otherwise
descaled; (2) plate (i.e., flat-rolled stainless
steel products of a thickness of 4.75 mm or
more); and (3) flat wire (i.e., cold-rolled
sections, with a mill edge, rectangular in
shape, of a width of not more than 9.5 mm).
The products under investigation are
currently classifiable under Harmonized
Tariff Schedule of the United States (HTSUS)
subheadings 7219.13.0031, 7219.13.0051,
7219.13.0071, 7219.13.0081, 7219.14.0030,
7219.14.0065, 7219.14.0090, 7219.23.0030,
7219.23.0060, 7219.24.0030, 7219.24.0060,
7219.32.0005, 7219.32.0020, 7219.32.0025,
7219.32.0035, 7219.32.0036, 7219.32.0038,
7219.32.0042, 7219.32.0044, 7219.32.0045,
7219.32.0060, 7219.33.0005, 7219.33.0020,
7219.33.0025, 7219.33.0035, 7219.33.0036,
7219.33.0038, 7219.33.0042, 7219.33.0044,
7219.33.0045, 7219.33.0070, 7219.33.0080,
7219.34.0005, 7219.34.0020, 7219.34.0025,
7219.34.0030, 7219.34.0035, 7219.34.0050,
7219.35.0005, 7219.35.0015, 7219.35.0030,
7219.35.0035, 7219.35.0050, 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, 7220.90.0010,
7220.90.0015, 7220.90.0060, and
7220.90.0080. Although the HTSUS
subheadings are provided for convenience
and customs purposes, the written
description of the scope of this proceeding is
dispositive.
[FR Doc. 2016–16947 Filed 7–15–16; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–580–870]
Certain Oil Country Tubular Goods
From the Republic of Korea: Initiation
and Expedited Preliminary Results of
Changed Circumstances Review
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
DATES: Effective Date: July 18, 2016.
SUMMARY: In response to a request from
Hyundai Steel Co. Ltd. (Hyundai Steel),
a producer/exporter of certain oil
country tubular goods (OCTG) from the
Republic of Korea (Korea), and pursuant
to section 751(b) of the Tariff Act of
1930, as amended (the Act), 19 CFR
351.216 and 351.221(c)(3)(ii), the
Department is initiating a changed
circumstances review (CCR) and issuing
this notice of preliminary results. We
have preliminarily determined that
Hyundai Steel is the successor-ininterest to the former Hyundai HYSCO
asabaliauskas on DSK3SPTVN1PROD with NOTICES
AGENCY:
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17:52 Jul 15, 2016
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and, as such, if the Department upholds
these preliminary results in the final
results, Hyundai Steel will be entitled to
the antidumping duty deposit rate
currently assigned to Hyundai HYSCO
with respect to the subject merchandise.
FOR FURTHER INFORMATION CONTACT:
Victoria Cho, AD/CVD Operations,
Office VI, Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 14th
Street and Constitution Avenue NW.,
Washington, DC 20230; telephone: (202)
482–5075.
SUPPLEMENTARY INFORMATION:
Background
On September 10, 2014, the
Department published an antidumping
duty order on OCTG from Korea.1
On February 24, 2016,2 Hyundai Steel
informed the Department that effective
July 1, 2015, it had merged with
Hyundai HYSCO,3 and requested that:
(1) The Department conduct a CCR
under 19 CFR 351.216(b) to determine
that it is the successor-in-interest to
Hyundai HYSCO for purposes of
determining Hyundai Steel’s
antidumping duty cash deposits and
liabilities; (2) the Department’s
successor-in-interest determination be
effective as of July 1, 2015, the date on
which the merger was completed; and
(3) on an expedited basis under 19 CFR
351.221(c)(3)(ii).
On May 18, 2016,4 the Department
declined to initiate the CCR that
Hyundai Steel requested in its February
24, 2016, CCR Request. The Department
determined that it would not conduct a
CCR of a final determination in an
investigation less than 24 months after
the publication of the final
determination absent showing of good
cause.5 The Department further found
1 See Certain Oil Country Tubular Goods From
India, the Republic of Korea, Taiwan, the Republic
of Turkey, and the Socialist Republic of Vietnam:
Antidumping Duty Orders; and Certain Oil Country
Tubular Goods From the Socialist Republic of
Vietnam: Amended Final Determination of Sales at
Less Than Fair Value, 74 FR 53691 (September 10,
2014).
2 See the February 24, 2016, letter from Hyundai
Steel, ‘‘Oil Country Tubular Goods from the
Republic of Korea: Request for a Changed
Circumstances Review,’’ (CCR Request).
3 Hyundai HYSCO was a respondent in the
investigation of OCTG from Korea covering the
period July 1, 2012–June 30, 2013. Hyundai HYSCO
received a 15.75 percent dumping margin. See
Certain Oil Country Tubular Goods From the
Republic of Korea: Final Determination of Sales at
Less Than Fair Value and Negative Final
Determination of Critical Circumstances, 79 FR
41983 (July 18, 2014).
4 See the Department’s May 18, 2016, letter to
Hyundai Steel.
5 See the Department’s May 18, 2016, letter to
Hyundai Steel (the Department’s Rejection Letter);
19 CFR 351.216(c); and section 751(b)(4) of the Act.
PO 00000
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Fmt 4703
Sfmt 4703
46645
that Hyundai Steel ‘‘did not reference or
attempt to show good cause’’ in its
February 24, 2016, request.6 On May 31,
2016,7 Hyundai Steel filed its second
request for a CCR, in which it alleged
that that good cause exists in this case
and requested that the Department
initiate a CCR.
We received no comments from any
other interested party.
Scope of the Review
The merchandise covered by this
review is certain oil country tubular
goods (OCTG), which are hollow steel
products of circular cross-section,
including oil well casing and tubing, of
iron (other than cast iron) or steel (both
carbon and alloy), whether seamless or
welded, regardless of end finish (e.g.,
whether or not plain end, threaded, or
threaded and coupled) whether or not
conforming to American Petroleum
Institute (API) or non-API
specifications, whether finished
(including limited service OCTG
products) or unfinished (including
green tubes and limited service OCTG
products), whether or not thread
protectors are attached. The scope of the
investigation also covers OCTG
coupling stock. For a complete
description of the scope of the
investigation, see Appendix I to this
notice.
Initiation and Preliminary Results
Pursuant to section 751(b)(1) of the
Act, the Department will conduct a CCR
upon receipt of a request from an
interested party or receipt of
information concerning an antidumping
duty order which shows changed
circumstances sufficient to warrant a
review of the order.8 In addition,
because the final determination was
published less than 24 months prior to
the date on which Hyundai Steel
submitted its request for a CCR (i.e.,
May 31, 2016), and pursuant to section
351.216(c) of the Department’s
regulations, a CCR will not be initiated
unless good cause exists. We find that
good cause exists in the instant CCR
request to initiate this CCR before the 24
month anniversary of the final
determination, as demonstrated by
Hyundai Steel.9 Moreover, as noted
above in the ‘‘Background’’ section, we
have received information indicating
that on July 1, 2015, Hyundai HYSCO
merged with Hyundai Steel, with the
6 See the CCR Request; and also see the
Department’s Rejection Letter.
7 See the May 31, 2016, letter from Hyundai Steel
to the Department.
8 See 19 CFR 351.216(c); section 735(a) of the Act.
9 See the May 31, 2016, letter from Hyundai Steel
to the Department.
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]]>Agencies
[Federal Register Volume 81, Number 137 (Monday, July 18, 2016)]
[Notices]
[Pages 46643-46645]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-16947]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-043]
Countervailing Duty Investigation of Stainless Steel Sheet and
Strip From the People's Republic of China: Preliminary Affirmative
Determination and Alignment of Final Determination With Final
Antidumping Duty Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) preliminarily
determines that countervailable subsidies are being provided to
producers and exporters of stainless steel sheet and strip (stainless
sheet and strip) from the People's Republic of China (PRC). The period
of investigation is January 1, 2015, through December 31, 2015. We
invite interested parties to comment on this preliminary determination.
DATES: Effective July 18, 2016.
FOR FURTHER INFORMATION CONTACT: Emily Halle, AD/CVD Operations, Office
VII, Enforcement and Compliance, International Trade Administration,
U.S. Department of Commerce, 14th Street and Constitution Avenue NW.,
Washington, DC 20230; telephone (202) 482-0176.
SUPPLEMENTARY INFORMATION:
Scope of the Investigation
The products covered by this investigation are stainless sheet and
strip from the PRC. For a complete description of the scope of this
investigation, see Appendix II.
Methodology
The Department is conducting this countervailing duty (CVD)
investigation in accordance with section 701 of the Tariff Act of 1930,
as amended (the Act). For each of the subsidy programs found
countervailable, we preliminarily determine that there is a subsidy,
i.e., a financial contribution by an ``authority'' that gives rise to a
benefit to the recipient, and that the subsidy is specific.\1\ For a
full description of the methodology underlying our preliminary
conclusions, see the Preliminary Decision Memorandum.\2\ A list of
topics discussed in the Preliminary Decision Memorandum is included as
Appendix I to this notice. The Preliminary Decision Memorandum is a
public document and is on file electronically via Enforcement and
Compliance's Antidumping and Countervailing Duty Centralized Electronic
Service System (ACCESS). ACCESS is available to registered users at
https://access.trade.gov, and is available to all parties in the Central
Records Unit, Room B8024 of the main Department of Commerce building.
In addition, a complete version of the Preliminary Decision Memorandum
can be accessed directly at https://enforcement.trade.gov/frn/. The
signed Preliminary Decision Memorandum and the electronic version are
identical in content.
---------------------------------------------------------------------------
\1\ See sections 771(5)(B) and (D) of the Act regarding
financial contribution; section 771(5)(E) of the Act regarding
benefit; and section 771(5A) of the Act regarding specificity.
\2\ See Memorandum, ``Decision Memorandum for the Preliminary
Affirmative Determination: Countervailing Duty Investigation of
Stainless Steel Sheet and Strip From the People's Republic of
China,'' dated concurrently with, and hereby adopted by, this notice
(Preliminary Decision Memorandum).
---------------------------------------------------------------------------
The Department notes that, in making these findings, we relied, in
part, on facts available and, because we find that one or more
respondents did not act to the best of their ability to respond to the
Department's requests for information, we drew an adverse inference
where appropriate in selecting from among the facts otherwise
available.\3\ For further information, see ``Use of Facts Otherwise
Available and Adverse Inferences'' in the Preliminary Decision
Memorandum.
---------------------------------------------------------------------------
\3\ See sections 776(a) and (b) of the Act.
---------------------------------------------------------------------------
Alignment
As noted in the Preliminary Decision Memorandum, in accordance with
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), we are aligning
the final CVD determination in this investigation with the final
determination in the companion antidumping duty (AD) investigation of
stainless sheet and strip from the PRC based on a request made by
Petitioners.\4\ Consequently, the final CVD determination will be
issued on the same date as the final AD determination, which is
currently scheduled to be issued no later than November 23, 2016,
unless postponed.
---------------------------------------------------------------------------
\4\ See Letter from Petitioners, ``Countervailing Duty
Investigation of Stainless Steel Sheet and Strip from the People's
Republic of China--Petitioners' Request to Align the Countervailing
Duty Final Determination with the Companion Antidumping Duty Final
Determination,'' June 24, 2016.
---------------------------------------------------------------------------
Preliminary Determination and Suspension of Liquidation
In accordance with section 703(d)(1)(A)(i) of the Act, we
calculated an individual estimated countervailable subsidy rate for
Shanxi Taigang Stainless Steel Co. Ltd. (Taigang), the only
cooperating, individually-investigated exporter/producer. Additionally,
in accordance with sections 703(d) and 705(c)(5)(A) of the Act, for
companies not individually investigated, we apply an ``all-others''
rate, which is normally calculated by weight averaging the subsidy
rates of the companies selected for individual investigation by those
companies' exports of the subject merchandise to the United States.
However, under section 705(c)(5)(A)(i) of the Act, the all-others rate
excludes zero and de minimis rates calculated for the exporters and
producers individually investigated, as well as rates based entirely on
facts otherwise available. Therefore, we have excluded the rates based
entirely on facts otherwise available assigned to Ningbo Baoxin
Stainless Steel Co., Ltd. (Ningbo Baoxin) and Daming International
Import Export Co. Ltd. (Daming) from the all-others rate. Because the
only individually calculated rate that is not zero, de minimis, or
based on facts otherwise available is the rate calculated for Taigang,
in accordance with section 705(c)(5)(A)(i) of the Act, the rate
calculated for Taigang is preliminarily assigned as the all-others
rate. The preliminary estimated countervailable subsidy rates are
summarized in the table below.
[[Page 46644]]
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Subsidy rate
Company (percent)
------------------------------------------------------------------------
Shanxi Taigang Stainless Steel Co. Ltd.................. 57.30
Ningbo Baoxin Stainless Steel Co., Ltd., Baosteel 193.12
Stainless Steel Co. Ltd., Baoshan Iron & Steel Co.,
Ltd., Baosteel Desheng Stainless Steel Co., Ltd.,
Baosteel Co., Ltd., Bayi Iron & Steel Co., Ltd., Ningbo
Iron & Steel Co., Ltd., Shaoguan Iron & Steel Co.,
Ltd., Guangdong Shaoguan Iron & Steel Co., Ltd., and
Zhanjiang Iron & Steel Co., Ltd........................
Daming International Import Export Co. Ltd. and Tianjin 193.12
Taigang Daming Metal Product Co., Ltd..................
All-Others.............................................. 57.30
------------------------------------------------------------------------
In accordance with section 703(d)(2) of the Act, we will direct
U.S. Customs and Border Protection (CBP) to suspend liquidation of all
entries of stainless sheet and strip from the PRC as described in the
``Scope of the Investigation. Pursuant to 19 CFR 351.205(d), the
Department will instruct CBP to require a cash deposit equal to the
rests indicated above. Section 703(e)(2) of the Act provides that,
given an affirmative determination of critical circumstances, any
suspension of liquidation shall apply to unliquidated entries of
merchandise entered, or withdrawn from warehouse, for consumption on or
after the later of (a) the date which is 90 days before the date on
which the suspension of liquidation was first ordered, or (b) the date
on which notice of initiation of the investigation was published. On
June 27, 2016, we preliminarily found that critical circumstances exist
for imports produced or exported by Taigang, Ningbo Baoxin, Daming, and
all-other exporters or producers.\5\ Accordingly, for these companies,
in accordance with section 703(e)(2)(A) of the Act, suspension of
liquidation of stainless sheet and strip from the PRC, as described in
the ``Scope of the Investigation,'' shall apply to unliquidated entries
of merchandise entered, or withdrawn from warehouse, for consumption on
or after the date which is 90 days before the publication of this
notice, the date suspension of liquidation is first ordered.
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\5\ See Countervailing Duty Investigation of Stainless Steel
Sheet and Strip From the People's Republic of China: Preliminary
Determination of Critical Circumstances, 81 FR 41519 (June 27,
2016).
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Verification
As provided in section 782(i)(1) of the Act, we intend to verify
the information submitted by the respondents prior to making our final
determination.
International Trade Commission Notification
In accordance with section 703(f) of the Act, we will notify the
International Trade Commission (ITC) of our determination. In addition,
we are making available to the ITC all non-privileged and non-
proprietary information relating to this investigation. We will allow
the ITC access to all privileged and business proprietary information
in our files, provided the ITC confirms that it will not disclose such
information, either publicly or under an administrative protective
order, without the written consent of the Assistant Secretary for
Enforcement and Compliance.
In accordance with section 705(b)(2) of the Act, if our final
determination is affirmative, the ITC will make its final determination
within 45 days after the Department makes its final determination.
Disclosure and Public Comment
The Department intends to disclose to interested parties the
calculations performed in connection with this preliminary
determination within five days of its public announcement.\6\
Interested parties may submit case and rebuttal briefs, as well as
request a hearing.\7\ For a schedule of the deadlines for filing case
briefs, rebuttal briefs, and hearing requests, see the Preliminary
Decision Memorandum.
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\6\ See 19 CFR 351.224(b).
\7\ See 19 CFR 351.309(c)-(d), 19 CFR 351.310(c).
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This determination is issued and published pursuant to sections
703(f) and 777(i) of the Act and 19 CFR 351.205(c).
Dated: July 11, 2016.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Preliminary Determination of Critical Circumstances
VI. Injury Test
VII. Application of the CVD Law to Imports From the PRC
VIII. Alignment
IX. Use of Facts Otherwise Available and Adverse Inferences
X. Subsidies Valuation
XI. Benchmarks and Interest Rates
XII. Analysis of Programs
XIII. Disclosure and Public Comment
XIV. Conclusion
Appendix II
Scope of the Investigation
The merchandise covered by this investigation is stainless steel
sheet and strip, whether in coils or straight lengths. 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
with a width that is greater than 9.5 mm and with a thickness of
0.3048 mm and greater but less than 4.75 mm, 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, annealed, tempered, polished, aluminized, coated, painted,
varnished, trimmed, cut, punched, or slit, etc.) provided that it
maintains the specific dimensions of sheet and strip set forth above
following such processing. The products described include products
regardless of shape, and include products of either rectangular or
non-rectangular cross-section where such cross-section is achieved
subsequent to the rolling process, i.e., products which have been
``worked after rolling'' (e.g., products which have been beveled or
rounded at the edges).
For purposes of the width and thickness requirements referenced
above: (1) Where the nominal and actual measurements vary, a product
is within the scope if application of either the nominal or actual
measurement would place it within the scope based on the definitions
set forth above; and (2) where the width and thickness vary for a
specific product (e.g., the thickness of certain products with non-
rectangular cross-section, the width of certain products with non-
rectangular shape, etc.), the measurement at its greatest width or
thickness applies.
All products that meet the written physical description, and in
which the chemistry quantities do not exceed any one of the noted
element levels listed above, are within the scope of this
investigation unless specifically excluded.
Subject merchandise includes stainless steel sheet and strip
that has been further processed in a third country, including but
not limited to cold-rolling, annealing, tempering, polishing,
aluminizing, coating, painting, varnishing, trimming, cutting,
punching, and/or slitting, or any other processing that would not
otherwise remove the merchandise from the scope of the investigation
if performed in the country of manufacture of the stainless steel
sheet and strip.
[[Page 46645]]
Excluded from the scope of this investigation are the following:
(1) Sheet and strip that is not annealed or otherwise heat treated
and not pickled or otherwise descaled; (2) plate (i.e., flat-rolled
stainless steel products of a thickness of 4.75 mm or more); and (3)
flat wire (i.e., cold-rolled sections, with a mill edge, rectangular
in shape, of a width of not more than 9.5 mm).
The products under investigation are currently classifiable
under Harmonized Tariff Schedule of the United States (HTSUS)
subheadings 7219.13.0031, 7219.13.0051, 7219.13.0071, 7219.13.0081,
7219.14.0030, 7219.14.0065, 7219.14.0090, 7219.23.0030,
7219.23.0060, 7219.24.0030, 7219.24.0060, 7219.32.0005,
7219.32.0020, 7219.32.0025, 7219.32.0035, 7219.32.0036,
7219.32.0038, 7219.32.0042, 7219.32.0044, 7219.32.0045,
7219.32.0060, 7219.33.0005, 7219.33.0020, 7219.33.0025,
7219.33.0035, 7219.33.0036, 7219.33.0038, 7219.33.0042,
7219.33.0044, 7219.33.0045, 7219.33.0070, 7219.33.0080,
7219.34.0005, 7219.34.0020, 7219.34.0025, 7219.34.0030,
7219.34.0035, 7219.34.0050, 7219.35.0005, 7219.35.0015,
7219.35.0030, 7219.35.0035, 7219.35.0050, 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,
7220.90.0010, 7220.90.0015, 7220.90.0060, and 7220.90.0080. Although
the HTSUS subheadings are provided for convenience and customs
purposes, the written description of the scope of this proceeding is
dispositive.
[FR Doc. 2016-16947 Filed 7-15-16; 8:45 am]
BILLING CODE 3510-DS-P
