Antidumping Duty Investigation of Stainless Steel Sheet and Strip From the People's Republic of China: Final Determination of Sales at Less Than Fair Value and Final Affirmative Determination of Critical Circumstances, 9716-9719 [2017-02576]
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9716
Federal Register / Vol. 82, No. 25 / Wednesday, February 8, 2017 / Notices
ITC Notification
In accordance with section 705(d) of
the Act, we will notify the ITC of our
determination. In addition, we are
making available to the ITC all nonprivileged and non-proprietary
information related 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
(APO), without the written consent of
the Assistant Secretary for Enforcement
and Compliance.
Notification Regarding Administrative
Protective Orders
In the event the ITC issues a final
negative injury determination, this
notice serves as the only reminder to
parties subject to an APO of their
responsibility concerning the
destruction of proprietary information
disclosed under APO in accordance
with 19 CFR 351.305(a)(3). 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 terms of an
APO is a violation subject to sanction.
This determination is issued and
published pursuant to sections 705(d)
and 777(i) of the Act.
Dated: February 1, 2017.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement
and Compliance.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Appendix I—List of Topics Discussed in
the Final Decision Memorandum
I. Summary
II. Background
III. Final Determination of Critical
Circumstances, in Part
IV. Scope Comments
V. Scope of the Investigation
VI. Application of the Countervailing Duty
Law to Imports from the PRC
VII. Subsidies Valuation Information
VIII. Benchmarks and Discount Rates
IX. Use of Facts Otherwise Available and
Adverse Inferences
X. Analysis of Programs
XI. Analysis of Comments
Comment 1: Subsidies Received by Taigang
Xinlei
Comment 2: Previously Unreported
Government Grants Received by the
Taigang Companies Discovered at
Verification
Comment 3: TISCO’s Exemption from
Distributing Dividends to the State
Comment 4: Equity Investments in Taigang
Wanbang
Comment 5: The Department’s Preliminary
Calculations Relating to the Provision of
Land for LTAR Significantly Understate
the Countervailable Benefit to TISCO
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17:36 Feb 07, 2017
Jkt 241001
Comment 6: The Department’s Preliminary
Calculations Contain Errors in Certain
Formulas for Calculating the Benefit
from the Provision of Electricity for
LTAR
Comment 7: The Department Must Use
Taigang’s Consolidated Sales in
Calculating Any Subsidy Rate with
Respect to Subsidies Received Directly
by Taigang
Comment 8: The Correct Benchmark for
Nickel Pig Iron
Comment 9: Provision of Inputs and
Financing from Taigang’s Cross-Owned
Affiliates
Comment 10: Countervailability of Certain
Chromium Purchases
Comment 11: Use of AFA in Finding Deed
Tax Exemption Used by Taigang/
Untimely Submission
XII. Recommendation
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
PO 00000
Frm 00008
Fmt 4703
Sfmt 4703
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.
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. 2017–02577 Filed 2–7–17; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–042]
Antidumping Duty Investigation of
Stainless Steel Sheet and Strip From
the People’s Republic of China: Final
Determination of Sales at Less Than
Fair Value and Final Affirmative
Determination of Critical
Circumstances
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
DATES: Effective February 8, 2017.
SUMMARY: The Department of Commerce
(the Department) determines that
imports of stainless steel sheet and strip
(stainless sheet and strip) from the
People’s Republic of China (PRC) is
being, or is likely to be, sold in the
United States at less than fair value
AGENCY:
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08FEN1
Federal Register / Vol. 82, No. 25 / Wednesday, February 8, 2017 / Notices
(LTFV). The period of investigation
(POI) is July 1, 2015, through December
31, 2015. The final weighted-average
dumping margins for the investigation
on stainless sheet and strip from the
PRC are listed below in the ‘‘Final
Determination’’ section of this notice.
We continue to find that critical
circumstances exist for the PRC-wide
entity and the separate rate companies
that were not selected for individual
examination.
FOR FURTHER INFORMATION CONTACT:
Alexander Cipolla, or Kathryn Wallace,
AD/CVD Operations, Office VII,
Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW., Washington,
DC 20230; telephone: (202) 482–4956 or
(202) 482–6251 respectively.
SUPPLEMENTARY INFORMATION:
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Background
On September 19, 2016, the
Department published its affirmative
preliminary determination that stainless
sheet and strip from the PRC is being,
or is likely to be, sold in the United
States at less than fair value, as
provided by section 733 of the Tariff Act
of 1930, as amended (the Act).1 The
following events occurred since the
Preliminary Determination. On October
21, 2016, the Department issued a
postponement of the Final
Determination.2 We invited interested
party comments on the Preliminary
Determination in this investigation. On
November 2, 2016, mandatory
respondent, Shanxi Taigang Stainless
Steel Co., Ltd (Taigang) submitted a case
brief. On November 14, 2016,
Petitioners filed a rebuttal case brief.3
On January 17, 2017, the Department
held hearing with respect to this
investigation. For a complete discussion
of the issues raised in the case and
rebuttal briefs, see the Issues and
Decision Memorandum.4
1 See Stainless Steel Sheet and Strip From the
People’s Republic of China: Preliminary Affirmative
Determination of Sales at Less Than Fair Value and
Preliminary Affirmative Determination of Critical
Circumstances, 81 FR 64135 (September 19, 2016)
(Preliminary Determination) and the accompanying
Preliminary Determination Memorandum.
2 See Stainless Steel Sheet and Strip from the
People’s Republic of China: Postponement of Final
Determination of Sales at Less Than Fair Value
Investigation, 81 FR 72776 (October 21, 2016).
3 Petitioners are AK Steel Corporation, Allegheny
Ludlum, LLC d/b/a ATI Flat Rolled Products, North
American Stainless, and Outokumpu Stainless
USA, LLC.
4 See Memorandum from Gary Taverman,
Associate Deputy Assistant Secretary for
Antidumping and Countervailing Duty Operations,
to Ronald K. Lorentzen, Acting Assistant Secretary
for Enforcement and Compliance, regarding
‘‘Decision Memorandum for the Final
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17:36 Feb 07, 2017
Jkt 241001
Period of Investigation
The POI is July 1, 2015, through
December 31, 2015. This period
corresponds to the two most recent
fiscal quarters prior to the month of the
filing of the petition.5
Scope of the Investigation
The product covered by this
investigation is stainless sheet and strip.
For a complete description of the scope
of this investigation, see Appendix I.
Final Affirmative Determination of
Critical Circumstances
We continue to find that critical
circumstances exist for the PRC-wide
entity and non-selected respondents
eligible for a separate rate, in
accordance with section 735(a)(3) of the
Act and 19 CFR 351.206. For a full
description of the methodology and
results of our analysis, see the
Preliminary Determination, unchanged
in the Issues and Decision
Memorandum.
Separate Rates
In the Preliminary Determination, we
found that evidence provided by
Taiyuan Ridetaixing Precision Stainless
Steel Incorporated Co., Ltd.
(Ridetaixing), and Zhangjiagang Pohang
Stainless Steel Co., Ltd. (ZPSS)
supported finding an absence of both de
jure and de facto government control,
and, therefore, we preliminarily granted
a separate rate to each of these
companies.6 In addition, in the
Preliminary Determination, we found
Tiancheng Stainless Steel Products Co.,
Ltd. (Tiancheng), Taigang and Tianjin
Taigang Daming Metal Product Co., Ltd.
(Daming) to be ineligible for a separate
rate.7 For the final determination, we
continue to find that Ridetaixing and
ZPSS are eligible for separate rates.
With respect to Taigang, we
determined in the Preliminary
Determination that it failed to
demonstrate an absence of de facto
government contro, and, thus, the
Department did not grant Taigang a
separate rate. For this final
determination, we continue to find,
based on record evidence, that Taigang
failed to demonstrate an absence of de
facto government control, and we are,
therefore, not granting Taigang a
separate rate. For further discussion of
Determination in the Antidumping Duty
Investigation of Stainless Steel Sheet and Strip from
the People’s Republic of China,’’ (February 1, 2017)
(Issues and Decision Memorandum), which is
hereby adopted by this notice.
5 See 19 CFR 351.204(b)(1).
6 See Preliminary Decision Memorandum at 10–
13.
7 Id. at 12.
PO 00000
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Sfmt 4703
9717
this issue, see the Issues and Decision
Memorandum at Issue 5.
We have looked to sections
735(c)(5)(A)–(B) of the Act for guidance
in determining the rate applicable to
separate rate respondents not selected
for individual examination. Under
section 735(c)(5)(A) of the Act, the rate
for all other companies that have not
been individually examined is normally
an amount equal to the weighted
average of the estimated weightedaverage dumping margins established
for exporters and producers
individually investigated, excluding any
zero and de minimis margins, and any
margins determined entirely on the
basis of facts available. In this
investigation, both exporters selected for
individual examination have been
found to be part of the PRC-wide entity,
which is receiving an antidumping duty
rate based entirely on facts otherwise
available with an adverse inference.
Therefore, looking to section
735(c)(5)(B) of the Act, the Department
is using ‘‘any reasonable method’’ to
determine the rate for exporters that are
not being individually examined and
found to be entitled to a separate rate,
as we did in the Preliminary
Determination. As such, we continue to
assign the simple average of the two
petition rates (i.e., 63.86 percent) to the
separate rate applicants not individually
examined.8
Analysis of Comments Received
All issues raised in the case and
rebuttal briefs by parties to this
investigation are addressed in the Issues
and Decision Memorandum
accompanying this notice, which is
hereby adopted by this notice. A list of
the issues which the parties raised and
to which the Department responded in
the memorandum appears in Appendix
II of this notice. The Issues and 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
Issues and Decision Memorandum can
be accessed directly at https://
enforcement.trade.gov/frn/. The signed
and electronic versions of the
memorandum are identical in content.
8 See
E:\FR\FM\08FEN1.SGM
Preliminary Determination.
08FEN1
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Federal Register / Vol. 82, No. 25 / Wednesday, February 8, 2017 / Notices
Changes Since the Preliminary
Determination
Based on our review and analysis of
the comments received from parties, we
made certain changes to the separate
rate and PRC-wide entity cash deposit
rates since the Preliminary
Determination. For a discussion of these
changes, see the Issues and Decision
Memorandum, dated concurrently with
this notice.9
PRC-Wide Rate
In our Preliminary Determination, we
found that the PRC-wide entity, which
includes Taigang, Daming, and other
PRC exporters and/or producers that did
not respond to the Department’s
requests for information, failed to
provide necessary information,
withheld information requested by the
Department, failed to provide
information in a timely manner, and
significantly impeded this proceeding
by not submitting the requested
information. As a result, we
preliminarily determined to calculate
the PRC-wide rate on the basis of
adverse facts available (AFA), pursuant
to sections 776(a)–(b) of the Act. As
AFA, we determined to use the highest
petition margin (76.64 percent) and
corroborated that margin. For this final
determination, we continue to rely on
AFA in determining the rate for the
PRC-wide entity and to select 76.64
percent as the dumping margin for the
PRC-wide entity.
Combination Rates
In the Initiation Notice, the
Department stated that it would
calculate combination rates for the
respondents that are eligible for a
separate rate in this investigation.10
Policy Bulletin 05.1 describes this
practice.11
Final Determination
The Department determines that
imports of stainless sheet and strip from
the PRC is being, or is likely to be, sold
in the United States at LTFV as
provided in section 735 of the Act and
determines that the estimated final
weighted-average dumping margins are
as follows:
Weightedaverage
dumpin
margin
(%)
Exporter
Producer
Taiyuan Ridetaixing Precision Stainless Steel Incorporated Co., Ltd.
Zhangjiagang Pohang Stainless Steel Co., Ltd ...........
PRC-Wide Entity ...........................................................
Taiyuan Ridetaixing Precision Stainless Steel Incorporated Co., Ltd.
Zhangjiagang Pohang Stainless Steel Co., Ltd ...........
PRC-Wide Entity ...........................................................
Cash deposit
(%)
63.86
45.26
63.86
76.64
45.26
58.04
As noted above, for this final
determination, the Department found
that critical circumstances exist with
respect to imports of the subject
merchandise from the PRC-wide entity
and the non-selected separate rate
respondents. Therefore, in accordance
with section 735(c)(4)(A) of the Act, we
will instruct U.S. Customs and Border
Protection (CBP) to continue to suspend
liquidation of all imports of the
merchandise subject to the
investigation, that were entered or
withdrawn from warehouse, for
consumption on or after June 21, 2016,
90 days prior to publication of the
Preliminary Determination in the
Federal Register, and require a cash
deposit for such entries as noted below.
Pursuant to 19 CFR 351.205(d) and
section 735(c)(1)(B)(ii) of the Act, we
will instruct CBP to require a cash
deposit 12 for all suspended entries at an
ad valorem rate equal to the weightedaverage amount by which normal value
exceeds U.S. price, as follows: (1) The
cash deposit rate for the exporter/
producer combination listed in the table
above will be the dumping margin
identified for that combination in the
table adjusted, where appropriate,13 for
export subsidies and estimated domestic
subsidy pass-through; 14 (2) for all
combinations of PRC exporters/
producers of merchandise under
consideration that have not received
their own separate rate above, the cashdeposit rate will be the dumping margin
established for the PRC-wide entity,
which will be adjusted, where
appropriate for export subsidies and
estimated domestic subsidy passthrough; and (3) for all non-PRC
exporters of the merchandise under
consideration which have not received
their own separate rate above, the cashdeposit rate will be the cash deposit rate
applicable to the PRC exporter/producer
combination that supplied that non-PRC
exporter. These suspension of
liquidation and cash deposit
instructions will remain in effect until
further notice.
The cash deposit rates were adjusted
by the countervailing duty attributable
to export subsidies. Pursuant to 777A(f)
of the Act, we are also adjusting final
cash deposit rates for estimated
domestic subsidy pass-through, where
appropriate.15
9 See Issues and Decision Memorandum, dated
concurrently with this memorandum.
10 See Stainless Steel Sheet and Strip from the
People’s Republic of China: Initiation of
Antidumping Duty Investigation, 81 FR 12711
(March 10, 2016) (Initiation Notice).
11 See Enforcement and Compliance Policy
Bulletin No. 05.1 ‘‘Separate-Rates Practice and
Application of Combination Rates in Antidumping
Investigations involving Non-Market Economy
Countries,’’ (April 5, 2005) (Policy Bulletin 05.1),
available on the Department’s Web site at https://
enforcement.trade.gov/policy/bull05-1.pdf.
12 See Modification of Regulations Regarding the
Practice of Accepting Bonds During the Provisional
Measures Period in Antidumping and
Countervailing Duty Investigations, 76 FR 61042
(October 3, 2011).
13 If the ITC makes an affirmative final
determination, we will adjust the cash deposit rates
by deducting applicable final export subsidy and
domestic pass-through rates from the final dumping
margins.
14 See sections 772(c)(1)(C) and 777A(f) of the
Act, respectively. Unlike in administrative reviews,
the Department makes an adjustment for export
subsidies in investigations not in the margincalculation program, but to the cash-deposit rate.
See Notice of Final Determination of Sales at Less
Than Fair Value, and Negative Determination of
Critical Circumstances: Certain Lined Paper
Products from India, 71 FR 45012 (August 8, 2006),
and accompanying Issues and Decision
memorandum at Comment 1.
15 Id. at Issue 2.
Disclosure
We intend to disclose to parties the
calculations performed in this
proceeding within five days of any
public announcement of this notice in
accordance with 19 CFR 351.224(b).
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Continuation of Suspension of
Liquidation
VerDate Sep<11>2014
17:36 Feb 07, 2017
Jkt 241001
PO 00000
Frm 00010
Fmt 4703
Sfmt 4703
International Trade Commission
Notification
In accordance with section 735(d) of
the Act, we will notify the International
Trade Commission (ITC) of the final
affirmative determination of sales at less
than fair value. Because the final
determination in this proceeding is
E:\FR\FM\08FEN1.SGM
08FEN1
Federal Register / Vol. 82, No. 25 / Wednesday, February 8, 2017 / Notices
affirmative, the ITC will make its final
determination, in accordance with
section 735(b)(2) of the Act, as to
whether the domestic industry in the
United States is materially injured,
threatened with material injury, or the
establishment of an industry in the
United States is materially retarded by
reason of imports of passenger tires from
the PRC, no later than 45 days after our
final determination. If the ITC
determines that material injury, threat of
material injury, or material retardation
does not exist, this proceeding will be
terminated and all cash deposits posted
will be refunded or canceled. If the ITC
determines that such injury or material
retardation does exist, then the
Department will issue an antidumping
duty order directing CBP to assess, upon
further instruction by the Department,
antidumping duties on all imports of the
subject merchandise entered, or
withdrawn from warehouse, for
consumption on or after the effective
date of the suspension of liquidation.
Notification Regarding Administrative
Protective Orders
In the event the ITC issues a final
negative injury determination, this
notice will serve as the only reminder
to parties subject to an administrative
protective order (APO) of their
responsibility concerning the
disposition of proprietary information
disclosed under APO in accordance
with 19 CFR 351.305(a)(3). 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 terms of an
APO is a violation subject to sanction.
This determination and notice are
issued and published pursuant to
sections 735(d) and 777(i)(1) of the Act.
Dated: January 1, 2017.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement
and Compliance.
asabaliauskas on DSK3SPTVN1PROD with NOTICES
Appendix I—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
VerDate Sep<11>2014
17:36 Feb 07, 2017
Jkt 241001
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.
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
PO 00000
Frm 00011
Fmt 4703
Sfmt 4703
9719
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.
Appendix II—Outline of the Issues and
Decision Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Use of Adverse Facts Available
VI. Critical Circumstances
VII. Separate Rates
VIII. Combination Rates
IX. PRC-Wide Rate
X. Adjustment Under Section 777A(F) of the
Act
XI. Adjustment to Cash Deposit Rate for
Export Subsidies
XII. Discussion of the Issues
XIII. Recommendation
List of Topics Discussed in the Issues and
Decision Memorandum
Issue 1: Whether the Department’s
Investigation and Decision Not to Verify
Taigang Were Lawful
Issue 2: Whether the Department Should
Apply a Double-Remedy Adjustment for
Domestic Subsidies Countervailed in the
Accompanying CVD Investigation
Issue 3: Whether the Department has the
Statutory Authority to Issue a CountryWide ‘‘PRC-Entity’’ AD Rate, and Whether
the Department has Justification for
Applying FA or AFA to Taigang
Issue 4: Whether the Department’s
Presumption of PRC Government Control is
Outdated
Issue 5: Whether Taigang’s Export Activities
Are Controlled by the Chinese Government
[FR Doc. 2017–02576 Filed 2–7–17; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–533–871]
Finished Carbon Steel Flanges From
India: Preliminary Determination of
Sales at Less Than Fair Value and
Postponement of Final Determination
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(the Department) preliminarily
determines that finished carbon steel
flanges from India are being, or are
likely to be, sold in the United States at
less than fair value (LTFV). The period
of investigation (POI) is April 1, 2015,
through March 31, 2016. The estimated
weighted-average dumping margins of
sales at LTFV are shown in the
‘‘Preliminary Determination’’ section of
this notice. Interested parties are invited
AGENCY:
E:\FR\FM\08FEN1.SGM
08FEN1
]]>Agencies
[Federal Register Volume 82, Number 25 (Wednesday, February 8, 2017)]
[Notices]
[Pages 9716-9719]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-02576]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-042]
Antidumping Duty Investigation of Stainless Steel Sheet and Strip
From the People's Republic of China: Final Determination of Sales at
Less Than Fair Value and Final Affirmative Determination of Critical
Circumstances
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Effective February 8, 2017.
SUMMARY: The Department of Commerce (the Department) determines that
imports of stainless steel sheet and strip (stainless sheet and strip)
from the People's Republic of China (PRC) is being, or is likely to be,
sold in the United States at less than fair value
[[Page 9717]]
(LTFV). The period of investigation (POI) is July 1, 2015, through
December 31, 2015. The final weighted-average dumping margins for the
investigation on stainless sheet and strip from the PRC are listed
below in the ``Final Determination'' section of this notice. We
continue to find that critical circumstances exist for the PRC-wide
entity and the separate rate companies that were not selected for
individual examination.
FOR FURTHER INFORMATION CONTACT: Alexander Cipolla, or Kathryn Wallace,
AD/CVD Operations, Office VII, Enforcement and Compliance,
International Trade Administration, U.S. Department of Commerce, 1401
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
4956 or (202) 482-6251 respectively.
SUPPLEMENTARY INFORMATION:
Background
On September 19, 2016, the Department published its affirmative
preliminary determination that stainless sheet and strip from the PRC
is being, or is likely to be, sold in the United States at less than
fair value, as provided by section 733 of the Tariff Act of 1930, as
amended (the Act).\1\ The following events occurred since the
Preliminary Determination. On October 21, 2016, the Department issued a
postponement of the Final Determination.\2\ We invited interested party
comments on the Preliminary Determination in this investigation. On
November 2, 2016, mandatory respondent, Shanxi Taigang Stainless Steel
Co., Ltd (Taigang) submitted a case brief. On November 14, 2016,
Petitioners filed a rebuttal case brief.\3\ On January 17, 2017, the
Department held hearing with respect to this investigation. For a
complete discussion of the issues raised in the case and rebuttal
briefs, see the Issues and Decision Memorandum.\4\
---------------------------------------------------------------------------
\1\ See Stainless Steel Sheet and Strip From the People's
Republic of China: Preliminary Affirmative Determination of Sales at
Less Than Fair Value and Preliminary Affirmative Determination of
Critical Circumstances, 81 FR 64135 (September 19, 2016)
(Preliminary Determination) and the accompanying Preliminary
Determination Memorandum.
\2\ See Stainless Steel Sheet and Strip from the People's
Republic of China: Postponement of Final Determination of Sales at
Less Than Fair Value Investigation, 81 FR 72776 (October 21, 2016).
\3\ Petitioners are AK Steel Corporation, Allegheny Ludlum, LLC
d/b/a ATI Flat Rolled Products, North American Stainless, and
Outokumpu Stainless USA, LLC.
\4\ See Memorandum from Gary Taverman, Associate Deputy
Assistant Secretary for Antidumping and Countervailing Duty
Operations, to Ronald K. Lorentzen, Acting Assistant Secretary for
Enforcement and Compliance, regarding ``Decision Memorandum for the
Final Determination in the Antidumping Duty Investigation of
Stainless Steel Sheet and Strip from the People's Republic of
China,'' (February 1, 2017) (Issues and Decision Memorandum), which
is hereby adopted by this notice.
---------------------------------------------------------------------------
Period of Investigation
The POI is July 1, 2015, through December 31, 2015. This period
corresponds to the two most recent fiscal quarters prior to the month
of the filing of the petition.\5\
---------------------------------------------------------------------------
\5\ See 19 CFR 351.204(b)(1).
---------------------------------------------------------------------------
Scope of the Investigation
The product covered by this investigation is stainless sheet and
strip. For a complete description of the scope of this investigation,
see Appendix I.
Final Affirmative Determination of Critical Circumstances
We continue to find that critical circumstances exist for the PRC-
wide entity and non-selected respondents eligible for a separate rate,
in accordance with section 735(a)(3) of the Act and 19 CFR 351.206. For
a full description of the methodology and results of our analysis, see
the Preliminary Determination, unchanged in the Issues and Decision
Memorandum.
Separate Rates
In the Preliminary Determination, we found that evidence provided
by Taiyuan Ridetaixing Precision Stainless Steel Incorporated Co., Ltd.
(Ridetaixing), and Zhangjiagang Pohang Stainless Steel Co., Ltd. (ZPSS)
supported finding an absence of both de jure and de facto government
control, and, therefore, we preliminarily granted a separate rate to
each of these companies.\6\ In addition, in the Preliminary
Determination, we found Tiancheng Stainless Steel Products Co., Ltd.
(Tiancheng), Taigang and Tianjin Taigang Daming Metal Product Co., Ltd.
(Daming) to be ineligible for a separate rate.\7\ For the final
determination, we continue to find that Ridetaixing and ZPSS are
eligible for separate rates.
---------------------------------------------------------------------------
\6\ See Preliminary Decision Memorandum at 10-13.
\7\ Id. at 12.
---------------------------------------------------------------------------
With respect to Taigang, we determined in the Preliminary
Determination that it failed to demonstrate an absence of de facto
government contro, and, thus, the Department did not grant Taigang a
separate rate. For this final determination, we continue to find, based
on record evidence, that Taigang failed to demonstrate an absence of de
facto government control, and we are, therefore, not granting Taigang a
separate rate. For further discussion of this issue, see the Issues and
Decision Memorandum at Issue 5.
We have looked to sections 735(c)(5)(A)-(B) of the Act for guidance
in determining the rate applicable to separate rate respondents not
selected for individual examination. Under section 735(c)(5)(A) of the
Act, the rate for all other companies that have not been individually
examined is normally an amount equal to the weighted average of the
estimated weighted-average dumping margins established for exporters
and producers individually investigated, excluding any zero and de
minimis margins, and any margins determined entirely on the basis of
facts available. In this investigation, both exporters selected for
individual examination have been found to be part of the PRC-wide
entity, which is receiving an antidumping duty rate based entirely on
facts otherwise available with an adverse inference. Therefore, looking
to section 735(c)(5)(B) of the Act, the Department is using ``any
reasonable method'' to determine the rate for exporters that are not
being individually examined and found to be entitled to a separate
rate, as we did in the Preliminary Determination. As such, we continue
to assign the simple average of the two petition rates (i.e., 63.86
percent) to the separate rate applicants not individually examined.\8\
---------------------------------------------------------------------------
\8\ See Preliminary Determination.
---------------------------------------------------------------------------
Analysis of Comments Received
All issues raised in the case and rebuttal briefs by parties to
this investigation are addressed in the Issues and Decision Memorandum
accompanying this notice, which is hereby adopted by this notice. A
list of the issues which the parties raised and to which the Department
responded in the memorandum appears in Appendix II of this notice. The
Issues and 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 Issues and Decision Memorandum can be accessed directly
at https://enforcement.trade.gov/frn/. The signed and electronic
versions of the memorandum are identical in content.
[[Page 9718]]
Changes Since the Preliminary Determination
Based on our review and analysis of the comments received from
parties, we made certain changes to the separate rate and PRC-wide
entity cash deposit rates since the Preliminary Determination. For a
discussion of these changes, see the Issues and Decision Memorandum,
dated concurrently with this notice.\9\
---------------------------------------------------------------------------
\9\ See Issues and Decision Memorandum, dated concurrently with
this memorandum.
---------------------------------------------------------------------------
PRC-Wide Rate
In our Preliminary Determination, we found that the PRC-wide
entity, which includes Taigang, Daming, and other PRC exporters and/or
producers that did not respond to the Department's requests for
information, failed to provide necessary information, withheld
information requested by the Department, failed to provide information
in a timely manner, and significantly impeded this proceeding by not
submitting the requested information. As a result, we preliminarily
determined to calculate the PRC-wide rate on the basis of adverse facts
available (AFA), pursuant to sections 776(a)-(b) of the Act. As AFA, we
determined to use the highest petition margin (76.64 percent) and
corroborated that margin. For this final determination, we continue to
rely on AFA in determining the rate for the PRC-wide entity and to
select 76.64 percent as the dumping margin for the PRC-wide entity.
Combination Rates
In the Initiation Notice, the Department stated that it would
calculate combination rates for the respondents that are eligible for a
separate rate in this investigation.\10\ Policy Bulletin 05.1 describes
this practice.\11\
---------------------------------------------------------------------------
\10\ See Stainless Steel Sheet and Strip from the People's
Republic of China: Initiation of Antidumping Duty Investigation, 81
FR 12711 (March 10, 2016) (Initiation Notice).
\11\ See Enforcement and Compliance Policy Bulletin No. 05.1
``Separate-Rates Practice and Application of Combination Rates in
Antidumping Investigations involving Non-Market Economy Countries,''
(April 5, 2005) (Policy Bulletin 05.1), available on the
Department's Web site at https://enforcement.trade.gov/policy/bull05-1.pdf.
---------------------------------------------------------------------------
Final Determination
The Department determines that imports of stainless sheet and strip
from the PRC is being, or is likely to be, sold in the United States at
LTFV as provided in section 735 of the Act and determines that the
estimated final weighted-average dumping margins are as follows:
----------------------------------------------------------------------------------------------------------------
Weighted-
average Cash deposit
Exporter Producer dumpin margin (%)
(%)
----------------------------------------------------------------------------------------------------------------
Taiyuan Ridetaixing Precision Stainless Steel Taiyuan Ridetaixing Precision 63.86 45.26
Incorporated Co., Ltd. Stainless Steel Incorporated
Co., Ltd.
Zhangjiagang Pohang Stainless Steel Co., Ltd.. Zhangjiagang Pohang Stainless 63.86 45.26
Steel Co., Ltd.
PRC-Wide Entity............................... PRC-Wide Entity................. 76.64 58.04
----------------------------------------------------------------------------------------------------------------
Disclosure
We intend to disclose to parties the calculations performed in this
proceeding within five days of any public announcement of this notice
in accordance with 19 CFR 351.224(b).
Continuation of Suspension of Liquidation
As noted above, for this final determination, the Department found
that critical circumstances exist with respect to imports of the
subject merchandise from the PRC-wide entity and the non-selected
separate rate respondents. Therefore, in accordance with section
735(c)(4)(A) of the Act, we will instruct U.S. Customs and Border
Protection (CBP) to continue to suspend liquidation of all imports of
the merchandise subject to the investigation, that were entered or
withdrawn from warehouse, for consumption on or after June 21, 2016, 90
days prior to publication of the Preliminary Determination in the
Federal Register, and require a cash deposit for such entries as noted
below.
Pursuant to 19 CFR 351.205(d) and section 735(c)(1)(B)(ii) of the
Act, we will instruct CBP to require a cash deposit \12\ for all
suspended entries at an ad valorem rate equal to the weighted-average
amount by which normal value exceeds U.S. price, as follows: (1) The
cash deposit rate for the exporter/producer combination listed in the
table above will be the dumping margin identified for that combination
in the table adjusted, where appropriate,\13\ for export subsidies and
estimated domestic subsidy pass-through; \14\ (2) for all combinations
of PRC exporters/producers of merchandise under consideration that have
not received their own separate rate above, the cash-deposit rate will
be the dumping margin established for the PRC-wide entity, which will
be adjusted, where appropriate for export subsidies and estimated
domestic subsidy pass-through; and (3) for all non-PRC exporters of the
merchandise under consideration which have not received their own
separate rate above, the cash-deposit rate will be the cash deposit
rate applicable to the PRC exporter/producer combination that supplied
that non-PRC exporter. These suspension of liquidation and cash deposit
instructions will remain in effect until further notice.
---------------------------------------------------------------------------
\12\ See Modification of Regulations Regarding the Practice of
Accepting Bonds During the Provisional Measures Period in
Antidumping and Countervailing Duty Investigations, 76 FR 61042
(October 3, 2011).
\13\ If the ITC makes an affirmative final determination, we
will adjust the cash deposit rates by deducting applicable final
export subsidy and domestic pass-through rates from the final
dumping margins.
\14\ See sections 772(c)(1)(C) and 777A(f) of the Act,
respectively. Unlike in administrative reviews, the Department makes
an adjustment for export subsidies in investigations not in the
margin-calculation program, but to the cash-deposit rate. See Notice
of Final Determination of Sales at Less Than Fair Value, and
Negative Determination of Critical Circumstances: Certain Lined
Paper Products from India, 71 FR 45012 (August 8, 2006), and
accompanying Issues and Decision memorandum at Comment 1.
---------------------------------------------------------------------------
The cash deposit rates were adjusted by the countervailing duty
attributable to export subsidies. Pursuant to 777A(f) of the Act, we
are also adjusting final cash deposit rates for estimated domestic
subsidy pass-through, where appropriate.\15\
---------------------------------------------------------------------------
\15\ Id. at Issue 2.
---------------------------------------------------------------------------
International Trade Commission Notification
In accordance with section 735(d) of the Act, we will notify the
International Trade Commission (ITC) of the final affirmative
determination of sales at less than fair value. Because the final
determination in this proceeding is
[[Page 9719]]
affirmative, the ITC will make its final determination, in accordance
with section 735(b)(2) of the Act, as to whether the domestic industry
in the United States is materially injured, threatened with material
injury, or the establishment of an industry in the United States is
materially retarded by reason of imports of passenger tires from the
PRC, no later than 45 days after our final determination. If the ITC
determines that material injury, threat of material injury, or material
retardation does not exist, this proceeding will be terminated and all
cash deposits posted will be refunded or canceled. If the ITC
determines that such injury or material retardation does exist, then
the Department will issue an antidumping duty order directing CBP to
assess, upon further instruction by the Department, antidumping duties
on all imports of the subject merchandise entered, or withdrawn from
warehouse, for consumption on or after the effective date of the
suspension of liquidation.
Notification Regarding Administrative Protective Orders
In the event the ITC issues a final negative injury determination,
this notice will serve as the only reminder to parties subject to an
administrative protective order (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). 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 terms of an APO is a violation
subject to sanction. This determination and notice are issued and
published pursuant to sections 735(d) and 777(i)(1) of the Act.
Dated: January 1, 2017.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I--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.
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.
Appendix II--Outline of the Issues and Decision Memorandum
I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Use of Adverse Facts Available
VI. Critical Circumstances
VII. Separate Rates
VIII. Combination Rates
IX. PRC-Wide Rate
X. Adjustment Under Section 777A(F) of the Act
XI. Adjustment to Cash Deposit Rate for Export Subsidies
XII. Discussion of the Issues
XIII. Recommendation
List of Topics Discussed in the Issues and Decision Memorandum
Issue 1: Whether the Department's Investigation and Decision Not to
Verify Taigang Were Lawful
Issue 2: Whether the Department Should Apply a Double-Remedy
Adjustment for Domestic Subsidies Countervailed in the Accompanying
CVD Investigation
Issue 3: Whether the Department has the Statutory Authority to Issue
a Country-Wide ``PRC-Entity'' AD Rate, and Whether the Department
has Justification for Applying FA or AFA to Taigang
Issue 4: Whether the Department's Presumption of PRC Government
Control is Outdated
Issue 5: Whether Taigang's Export Activities Are Controlled by the
Chinese Government
[FR Doc. 2017-02576 Filed 2-7-17; 8:45 am]
BILLING CODE 3510-DS-P
