[Federal Register Volume 66, Number 177 (Wednesday, September 12, 2001)]
[Notices]
[Pages 47514-47515]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-22825]


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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE

[Docket No. WTO/D-213]


WTO Dispute Settlement Proceedings Regarding Countervailing 
Duties on Certain Corrosion-Resistant Carbon Steel Flat products From 
Germany

AGENCY: Office of the United States Trade Representative.

ACTION: Notice; request for comments.

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SUMMARY: The Office of the United States Trade Representative (USTR) is 
providing notice that on August 8, 2001, the European Communities (EC) 
requested the establishment of a dispute settlement panel under the 
Marrakesh Agreement Establishing the World Trade Organization (WTO 
Agreement). The request relates to countervailing duties imposed by the 
United States Department of Commerce (Commerce) with respect to the 
countervailing duty order on certain corrosion-resistant carbon steel 
flat products from Germany (corrosion-resistant steel order), and 
Commerce's decision not to revoke that order. The EC alleges that the 
decision not to revoke the order, as well as certain aspect of 
Commerce's sunset review procedure which led to the decision, are 
inconsistent with Articles 10, 11.9, 21 (notably paragraphs 1 and 3), 
and 32.5 of the WTO Agreement on Subsidies and Countervailing Measures 
(SCM Agreement), and Article XVI:4 of the WTO Agreement. USTR invites 
written comments from the public concerning the issues raised in this 
dispute.

DATES: Although USTR will accept any comments received during the 
course of the dispute settlement proceedings, comments should be 
submitted on or before October 12, 2001, to be assured of timely 
consideration by USTR.

ADDRESSES: Submit comments to Sandy McKinzy, Monitoring and Enforcement 
Unit, Office of the General Counsel, Room 122, Office of the United 
States Trade Representative, 600 17th Street, NW., Washington, DC, 
20508, Attn: Corrosion-Resistant Steel Dispute. Telephone: (202) 395-
3582.

FOR FURTHER INFORMATION CONTACT: William D. Hunter, Associate General 
Counsel, Office of the United States Trade Representative, 600 17th 
Street, NW., Washington, DC, 20508. Telephone: (202) 395-3582.

SUPPLEMENTARY INFORMATION: Section 127(b) of the Uruguay Round 
Agreements Act (URAA) (19 U.S.C. 3537(b)(1)) requires that notice and 
opportunity for comment be provided after the United States receives a 
request for the establishment of a WTO dispute settlement panel. 
Consistent with this obligation, USTR is providing notice that the EC 
has requested the establishment of a dispute settlement panel pursuant 
to the WTO Dispute Settlement Understanding. Such panel, which would 
hold its meetings in Geneva, Switzerland, would be expected to issue a 
report on its findings and recommendations within six to nine months 
after it is established.

Major Issues Raised by the EC

    In its sunset review of the corrosion-resistant steel order, 
Commerce determined that revocation of the order would be likely to 
lead to continuation or recurrence of countervailable subsidies at a 
rate of 0.54 ad valorem. The EC alleges that this rate is below the 1 
percent de minimis standard applicable to countervailing duty 
investigations of Article 11.9 of the SCM Agreement, which, the EC 
asserts, applies to sunset reviews. Accordingly, the EC alleges that 
Commerce's decision not to revoke the order was inconsistent with 
Article 11.9. In addition, the EC alleges that because Commerce did not 
demonstrate that subsidies would increase above the de minimis level if 
the order were revoked, Commerce acted inconsistently with Article 21.3 
of the SCM Agreement.
    The EC also alleges that certain provisions of U.S. countervailing 
duty law authorizing the self-initiation of sunset reviews by Commerce 
are inconsistent with Article 21.3. Specifically, the EC refers to 
section 751(c) of the Tariff Act of 1930, as amended, 19 U.S.C. 
1675(c), and section 351.218 of Commerce's regulations, 19 C.F.R. 
351.218. According to the EC,

[[Page 47515]]

investigating authorities may self-initiate sunset reviews only on the 
basis of a similar level of positive evidence as would be required if a 
domestic industry requested the initiation of a sunset review.

Public Comment: Requirements for Submissions

    Interested persons are invited to submit written comments 
concerning the issues raised in the dispute. Comments must be in 
English and provided in fifteen copies. A person requesting that 
information contained in a comment submitted by that person be treated 
as confidential business information must certify that such information 
is business confidential and would not customarily be released to the 
public by the commenter. Confidential business information must be 
clearly marked BUSINESS CONFIDENTIAL in a contrasting color ink at the 
top of each page of each copy.
    Information or advice contained in a comment submitted, other than 
business confidential information, may be determined by USTR to be 
confidential in accordance with section 135(g)(2) of the Trade Act of 
1974 (19 U.S.C. 2155(g)(2)). If the submitter believes that information 
or advice may qualify as such, the submitter--
    (1) Must so designate the information or advice;
    (2) Must clearly mark the material as SUBMITTED IN CONFIDENCE in a 
contrasting color ink at the top of each page of each copy; and
    (3) Is encouraged to provide a non-confidential summary of the 
information or advice.
    Pursuant to section 127(e) of the URAA (19 U.S.C. 3537(e)), USTR 
will maintain a file on this dispute settlement proceeding, accessible 
to the public, in the USTR Reading Room: Room 101, Office of the United 
States Trade Representative, 600 17th Street, NW., Washington, DC 
20508. The public file will include non-confidential comments received 
by USTR from the public with respect to the dispute; if a dispute 
settlement panel is convened, the U.S. submissions to that panel, the 
submissions, or non-confidential summaries of submissions to the panel 
received from other participants in the dispute, as well as the report 
of the panel; and, if applicable, the report of the Appellate Body. An 
appointment to review the public file (Docket WTO/D-213, Corrosion-
Resistent Steel Dispute) may be made by calling Brenda Webb, (202) 395-
6186. The USTR Reading Room is open to the public from 9:30 a.m. to 12 
noon and 1 p.m. to 4 p.m., Monday through Friday.

A. Jane Bradley,
Assistant United States Trade Representative for Monitoring and 
Enforcement.
[FR Doc. 01-22825 Filed 9-11-01 8:45 am]
BILLING CODE 3190-01-M