[Federal Register Volume 66, Number 162 (Tuesday, August 21, 2001)]
[Notices]
[Pages 43838-43840]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-21077]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-823-805]


Suspension Agreement on Silicomanganese From Ukraine; Termination 
of Suspension Agreement and Notice of Antidumping Duty Order

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

ACTION: Termination of the suspension agreement on silicomanganese from 
Ukraine and notice of antidumping duty order.

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SUMMARY: On July 19, 2001, the Government of Ukraine (``GOU'') 
submitted a memorandum to the Department of Commerce (``the 
Department'') officially requesting termination of the suspension 
agreement on silicomanganese from Ukraine (``the Agreement.'') In 
accordance with section XIII of the Agreement, termination shall be 
effective 60 days after notice of termination of the Agreement is given 
to the Department. Pursuant to both petitioner's and respondents' 
request of November 1, 1994, the Department issued a final 
determination in this investigation (See Notice of Final Determination 
of Sales at Less Than Fair Value: Silicomanganese From Ukraine, 59 FR 
62711-01 (December 6, 1994). Because the International Trade Commission 
(``ITC'') determined that an industry in the United States was 
materially injured by reason of imports of silicomanganese from Ukraine 
that were being sold at less than fair value, the Department hereby 
issues an antidumping duty order, effective 60 days from the 
termination request of the GOU, i.e., September 17, 2001.

EFFECTIVE DATE: September 17, 2001.

FOR FURTHER INFORMATION CONTACT: Jean Kemp or Stephen Bailey, Import 
Administration, International Trade Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue, N.W., Washington D.C. 
20230; telephone: (202) 482-4037 or (202) 482-1102, respectively.

SUPPLEMENTAL INFORMATION:

The Applicable Statute

    Unless otherwise indicated, all citations to the statute are 
references to section 735(d) of the Tariff Act of 1930 (1993) (``the 
Act''). In addition, unless otherwise indicated, all citations to the 
Department's regulations are to 19 CFR Part 353 (1993).

Background

    On October 31, 1994, the Department signed an agreement with the 
GOU which suspended the antidumping investigation on silicomanganese 
from Ukraine. See Silicomanganese from Ukraine; Suspension of 
Investigation, 59 FR 60951 (November 29, 1994). In accordance with 
section 734(g) of the Act, on December 6, 1994, the Department 
published its final determination of sales at less than fair value in 
this case. See Notice of Final Determination of Sales at Less Than Fair 
Value: Silicomanganese From Ukraine, 59 FR 62711 (December 6, 1994). On 
December 21, 1994, the ITC determined that an industry in the United 
States was materially injured by reason of imports of silicomanganese 
from Ukraine that were being sold at less than fair value. (See 
Silicomanganese from Brazil, China, Ukraine and Venezuela, Inv. Nos. 
731-TA-671-674 (Final) USITC Pub. 2836 (December 1994)).
    On November 30, 1999, petitioner submitted a request for an 
administrative review of the Agreement pursuant to the notice of 
Antidumping and Countervailing Duty Order, Finding, or Suspended 
Investigation; Opportunity to Request Administrative Review, 64 FR 
62167 (November 16, 1999). On December 28, 1999, the Department 
initiated a review of the Agreement. See Notice of Initiation of 
Antidumping and Countervailing Duty Administrative Reviews, 64 FR 
72644, (``Initiation Notice''). On December 5,

[[Page 43839]]

2000, the Department published the preliminary results of its 
administrative review of the Agreement on Silicomanganese from Ukraine 
(65 FR 75921) (``Preliminary Results'').
    On November 2, 1999, the Department initiated (Notice of Initiation 
of Five-Year ``Sunset'' Reviews, 64 FR 59160) and the ITC instituted 
(Silicon Metal From Argentina, Brazil, and China and Silicomanganese 
From Brazil, China, and Ukraine, 64 FR 59204, 59209) a sunset review of 
the suspended antidumping duty investigation on silicomanganese from 
Ukraine, pursuant to section 751(c) of the Act. As a result of its 
review, on September 27, 2000, the Department determined that 
termination of the agreement on silicomanganese from Ukraine would be 
likely to lead to continuation or recurrence of dumping and notified 
the ITC of the magnitude of the margin likely to prevail were the 
agreement terminated (Final Results of Full Sunset Review: 
Silicomanganese from Ukraine, 65 FR 58045). On February 5, 2001, the 
ITC determined that termination of the suspended investigation on 
silicomanganese from Ukraine would be likely to lead to continuation or 
recurrence of material injury to an industry in the United States 
within a reasonably foreseeable time (Silicomanganese from Brazil, 
China, and Ukraine Investigations Nos. 731-TA-671-673 (Review), 66 FR 
8981; ITC Publication # 3386). Therefore, on February 16, 2001, the 
Department published its notice of Continuation of Antidumping Duty 
Orders on Silicon Metal From Brazil and China and on Silicomanganese 
From Brazil and China, and Continuation of Suspended Antidumping Duty 
Investigation on Silicomanganese From Ukraine, 66 FR 10669, which 
continued the suspended investigation on silicomanganese from Ukraine, 
pursuant to sections 751(c) and 752 of the Act.
    On June 11, 2001, the Department published its final results of 
administrative review of the suspended investigation on silicomanganese 
from Ukraine. See Suspension Agreement on Silicomanganese from Ukraine; 
Final Results of Administrative Review, 66 FR 31206. In that notice, 
the Department found that the GOU was not in compliance with the 
Agreement during the period of review, November 1, 1998 through October 
31, 1999, and stated that ``Article XII of the Agreement requires that 
prior to making a determination of an alleged violation, the Department 
will engage in emergency consultations with the GOU.'' (Id. at 31208) 
As a result, on June 4, 2001, the Department requested emergency 
consultations with the GOU under Article XII of the Agreement. In 
accordance with the Agreement, consultations were held between the 
Department and the GOU on June 7, June 12, and July 5, 2001 (See 
Memorandum to the File from Lesley Stagliano through Joe Spetrini, July 
12, 2001).
    On July 19, 2001, as provided for by Article XII of the Agreement, 
the GOU submitted a Memorandum concluding that ``the Ministry of 
Economy of Ukraine has in good faith fulfilled its obligations within 
the framework of the Agreement suspending the Antidumping investigation 
on silicomanganese from Ukraine.'' However, the GOU, ``taking into 
consideration a different viewpoint of the U.S. Department of 
Commerce,'' asked the Department ``to consider [the Memorandum] as an 
official request to terminate the Agreement Suspending the Antidumping 
Investigation on Silicomanganese from Ukraine.''

Scope of Agreement

    The merchandise covered by this agreement is silicomanganese. 
Silicomanganese, which is sometimes called ferrosilicon manganese, is a 
ferroalloy composed principally of manganese, silicon, and iron, and 
normally containing much smaller proportions of minor elements, such as 
carbon, phosphorous and sulfur. Silicomanganese generally contains by 
weight not less than 4 percent iron, more than 30 percent manganese, 
more than 8 percent silicon and not more than 3 percent phosphorous. 
All compositions, forms and sizes of silicomanganese are included 
within the scope of this agreement, including silicomanganese slag, 
fines and briquettes. Silicomanganese is used primarily in steel 
production as a source of both silicon and manganese. This agreement 
covers all silicomanganese, regardless of its tariff classification. 
Most silicomanganese is currently classifiable under subheading 
7202.30.0000 of the Harmonized Tariff Schedule of the United States 
(``HTS''). Some silicomanganese may also currently be classifiable 
under HTS subheading 7202.99.5040. Although the HTS subheadings are 
provided for convenience and customs purposes, our written description 
of the scope is dispositive.

Termination of Suspended Investigation and Issuance of Antidumping 
Duty Order

    Article XIII of the Agreement states:

    The Government of Ukraine may terminate this Agreement at any 
time upon notice to the Department. Termination shall be effective 
60 days after such notice is given to the Department. Upon 
termination at the request of the Government of Ukraine, the 
provisions of section 734(i) of the Act shall apply.

    Because the underlying investigation in this proceeding was 
continued, the Department made a final determination of dumping, and 
the ITC found material injury, the investigation was completed. The 
applicable statute at section 734(i)(1)(A) stipulates that the 
Department shall:

    Suspend liquidation under section 733(d)(1) of unliquidated 
entries of the merchandise made on or after the later of (i) the 
date which is 90 days before the date of publication of the notice 
of suspension of liquidation, or (ii) the date on which the 
merchandise was in violation of the agreement, or under an agreement 
which no longer meets the requirements of subsection (b) and (d) or 
(c) and (d), was first entered, or withdrawn from warehouse, for 
consumption * * *

    The GOU's termination is effective September 17, 2001, which is the 
date the Agreement will no longer meet the requirements of section 
734(d) of the Act. Therefore, the Department will direct Customs to 
suspend liquidation effective September 17, 2001. In accordance with 
section 734(i)(1)(C) of the Act, the Department hereby issues an 
antidumping duty order effective September 17, 2001, which is 60 days 
from date of the termination request of the GOU.

Antidumping Duty Order

    In accordance with section 736(a)(1) of the Act, the Department 
will direct Customs to assess, upon further advice by the Department, 
antidumping duties equal to the amount by which the normal value of the 
merchandise exceeds the export price (or constructed export price) of 
the merchandise for all entries of silicomanganese from Ukraine. These 
antidumping duties will be assessed on all unliquidated entries of 
silicomanganese from Ukraine entered, or withdrawn from warehouse, for 
consumption on or after September 17, 2001.
    We will instruct the Customs Service to require a cash deposit for 
each entry equal to the antidumping duty margins found in our final 
determination of December 6, 1994, as listed below. These suspension-
of-liquidation instructions will remain in effect until further notice. 
The ``Ukraine-Wide Rate'' applies to all producers and exporters of 
subject silicomanganese not specifically listed. The final weighted-
average dumping margins are as follows:

[[Page 43840]]



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                                                              Weighted-
                   Exporter/manufacturer                       average
                                                                margin
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Ukraine-Wide Rate..........................................         163%
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    This notice constitutes the antidumping duty order with respect to 
silicomanganese from Ukraine. Interested parties may contact the 
Department's Central Records Unit, room B-099 of the main Commerce 
building, for copies of an updated list of antidumping duty orders 
currently in effect.
    This notice is published in accordance with sections 734(i), and 
777(i) of the Act. This order is published in accordance with section 
736(a) of the Tariff Act of 1930, as amended.

    Dated: August 10, 2001.
Faryar Shirzad,
Assistant Secretary for Import Administration.
[FR Doc. 01-21077 Filed 8-20-01; 8:45 am]
BILLING CODE 3510-DS-P