[Federal Register Volume 63, Number 7 (Monday, January 12, 1998)]
[Notices]
[Pages 1827-1828]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-691]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-427-810]
Certain Steel Products From France; Notice of Court Decision and
Suspension of Liquidation
AGENCY: International Trade Administration, Import Administration,
Department of Commerce.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: On December 5, 1997, in Inland Steel Industries, Inc. v.
United States, Consol. Court No. 93-09-00567-CVD, a lawsuit challenging
the Department of Commerce's final affirmative countervailing duty
determination of certain steel products from France, the Court of
International Trade affirmed the Department's redetermination on
remand. As a result, the final net subsidy rate for all programs for
Usinor Sacilor has increased from 15.12% to 15.13% ad valorem, and the
``country-wide'' rate has increased from 15.12% to 15.13% ad valorem.
Consistent with the decision of the Court of Appeals for the
Federal Circuit in Timken Co. v. United States, 893 F.2d 337 (Fed. Cir.
1990), Commerce will direct the Customs Service to change the cash
deposit rates being used in connection with the suspension of
liquidation of the subject merchandise once there is a ``conclusive''
decision in this case.
EFFECTIVE DATE: January 12, 1998.
FOR FURTHER INFORMATION CONTACT: Marian Wells, Office 1, Group 1, AD/
CVD Enforcement, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Ave., N.W., Washington D.C. 20230, telephone: (202) 482-
6309.
SUPPLEMENTARY INFORMATION:
Background:
On July 9, 1993, the Department of Commerce (the ``Department'' or
``Commerce'') published notice of its final affirmative countervailing
duty determinations of certain steel products from France. Final
Affirmative Countervailing Duty Determinations; Certain Steel Products
from France, 58
[[Page 1828]]
FR 37304 (July 9, 1993). In those determinations, the Department set
forth its finding of a final net subsidy rate of 15.49% ad valorem for
Usinor Sacilor and 15.49% ad valorem for the ``country-wide'' rate. On
August 17, 1993, the Department published a countervailing duty order
correcting ministerial errors and instructing the Customs Service to
collect cash deposits, at the rate of 15.12% ad valorem for Usinor
Sacilor and 15.12% ad valorem for the ``country-wide'' rate, on entries
of the subject merchandise entered, or withdrawn from warehouse, for
consumption on or after that date. 58 FR 43759.
Following publication of the Department's countervailing duty
order, petitioners and respondents filed lawsuits with the Court of
International Trade (``CIT'') challenging the Department's final
determination.
Thereafter, in British Steel plc v. United States, Consol. Ct. No.
93-09-00550-CVD, which addressed general issues common to various
certain steel products countervailing duty investigations which
concurrently had been before the Department, including the French
investigation, the CIT rejected the Department's reliance on IRS tables
showing industry-specific average useful life of assets in determining
an allocation period of 15 years. 879 F. Supp. 1254 (1995). In a
subsequent remand determination, dated June 30, 1995, the Department
calculated a company-specific allocation period for Usinor Sacilor
based on the average useful life of non-renewable physical assets, and
the CIT affirmed it. 929 F. Supp. 426 (1996).
More recently, in Inland Steel Industries, Inc. v. United States,
Consol. Ct. No. 93-09-00567-CVD, the CIT issued Slip Opinion 97-71 and
an Order, dated June 2, 1997, accepting the Department's request for a
voluntary remand on one issue. Specifically, during the verification of
Usinor Sacilor's questionnaire responses, the Department had discovered
that six Credit National loans included in the 1991 consolidation of
outstanding Credit National loans were export promotion loans. Although
in its final concurrence memorandum the Department stated that it would
determine these loans to be specific, it inadvertently overlooked these
loans in its final determination and calculations. On July 7, 1997, the
Department filed its required remand results with the CIT. On December
5, 1997, the CIT affirmed the Department's remand results. Inland Steel
Industries, Inc. v. United States, Consol. Court No. 93-09-00567-CVD,
Slip Op. 97-168.
As a result of the two remands, the net subsidy rate for all
programs for Usinor Sacilor has increased from 15.12% to 15.13% ad
valorem, and the ``country-wide'' rate has increased from 15.12% to
15.13% ad valorem.
Suspension of Liquidation
In its decision in Timken Co. v. United States, 893 F.2d 337 (Fed.
Cir. 1990) (Timken), the Court of Appeals for the Federal Circuit
(``CAFC'') held that the Department must publish notice of a decision
of the CIT or the CAFC which is not ``in harmony'' with the
Department's determination. Publication of this notice fulfills that
obligation. The CAFC also held that the Department must suspend
liquidation of the subject merchandise until there is a ``conclusive''
decision in the case. Therefore, pursuant to Timken, Commerce must
suspend liquidation pending the expiration of the period to appeal the
CIT's December 5, 1997 ruling or, if that ruling is appealed, pending a
final decision by the CAFC. However, because entries of the subject
merchandise already are being suspended pursuant to the countervailing
duty order in effect, the Department need not order the Customs Service
to suspend liquidation. Further, consistent with Timken, the Department
will order the Customs Service to change the relevant cash deposit
rates in the event that the CIT's ruling is not appealed or the CAFC
issues a final decision affirming the CIT's ruling.
Dated: January 6, 1998.
Robert S. LaRussa,
Assistant Secretary for Import Administration.
[FR Doc. 98-691 Filed 1-9-98; 8:45 am]
BILLING CODE 3510-DS-P