[Federal Register Volume 67, Number 103 (Wednesday, May 29, 2002)]
[Notices]
[Pages 37385-37387]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-13389]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-428-834]


Notice of Amended Preliminary Determination of Sales at Less Than 
Fair Value: Certain Cold-Rolled Carbon Steel Flat Products from Germany

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

ACTION: Notice of Amended Preliminary Determination of Sales at Less 
Than Fair Value.

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EFFECTIVE DATE: May 29, 2002.

FOR FURTHER INFORMATION CONTACT: Anya Naschak, Charles Rast, or 
Abdelali Elouaradia at (202) 482-6375, (202) 482-1324 and (202) 482-
1374, respectively; AD/CVD Enforcement, Office 8, Group III, Import 
Administration, International Trade Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue, NW, Washington, DC 
20230.

SUPPLEMENTARY INFORMATION:

The Applicable Statute and Regulations

    Unless otherwise indicated, all citations to the statute are 
references to the provisions effective January 1, 1995, the effective 
date of the amendments made to the Tariff Act of 1930 (the Act) by the 
Uruguay Round Agreements Act (URAA). In addition, unless otherwise 
indicated, all citations to the Department of Commerce's (the 
Department's) regulations are to the provisions codified at 19 CFR 351 
(2001).

Amendment of Preliminary Determination

    The Department of Commerce (the Department) is amending the 
preliminary determination in the antidumping investigation of certain 
cold-rolled carbon steel flat products from Germany to reflect the 
correction of significant ministerial errors in the margin calculation. 
Correction of these errors results in a revised antidumping rate for 
the single respondent, as well as the all others rate.

Scope of Investigation

    For purposes of this investigation, the products covered are 
certain cold-rolled (cold-reduced) flat-rolled carbon-quality steel 
products. For a full description of the scope of this investigation, as 
well as a complete discussion of all scope exclusion requests submitted 
in the context of the on-going cold-rolled steel investigations, please 
see the ``Scope Appendix'' attached to the Notice of

[[Page 37386]]

Preliminary Determination of Sales at Less Than Fair Value: Certain 
Cold-Rolled Carbon Steel Flat Products from Argentina, 67 FR 31204 (May 
9, 2002).

Background

    On April 26, 2002, the Department issued its affirmative 
preliminary determination in this proceeding. See Notice of Preliminary 
Determination of Sales at Less than Fair Value and Postponement of 
Final Determination: Cold-Rolled Carbon Steel Flat Products from 
Germany, 67 FR 31212 (May 9, 2002) (Preliminary Determination). That 
preliminary determination covered the following manufacturer/exporter: 
Thyssen Krupp Stahl AG (TKS). On April 30, 2002, the Department 
disclosed its calculations used in the preliminary determination to 
counsel for TKS and counsel for petitioners.
    On Monday, May 6, 2002, the Department received from the respondent 
and petitioners\1\ allegations of ministerial errors in the preliminary 
determination, timely filed pursuant to 19 CFR 351.224(c)(2). The 
respondent alleged five ministerial errors: (1) the Department 
incorrectly administered the arms' length test on home market sales; 
(2) the Department incorrectly applied its intended facts available 
(FA) methodology for affiliated home market resellers; (3) the 
Department incorrectly excluded billing adjustments from calculation of 
home market revenue used for the purpose of determining constructed 
export price (CEP) profit; (4) the Department incorrectly applied a 
revised general and administrative expenses rate (GNA) for U.S. further 
manufacturing (which results in double counting of certain indirect 
selling expenses) and incorrectly included freight revenue in the 
denominator of the further manufacturing GNA rate calculation; and (5) 
the Department incorrectly performed the comparison of control number 
(CONNUM) specific average prices. See letter from the respondent 
alleging ministerial errors in the preliminary determination (May 6, 
2002). In addition, the petitioners alleged that the Department 
incorrectly applied its intended FA methodology to an affiliated U.S. 
reseller. See letter from petitioners alleging ministerial errors in 
the preliminary determination (May 6, 2002).
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    \1\ The petitioners in this investigation are Bethlehem Steel 
Corporation, LTV Steel Company, National Steel Corporation, Nucor 
Corporation, Steel Dynamics, Inc., WCI Steel, Inc., Weirton Steel 
Corporation, and United States Steel Corporation.
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Significant Ministerial Error

    A ministerial error is defined as an error in addition, 
subtraction, or other arithmetic function, clerical error resulting 
from inaccurate copying, duplication, or the like, and any other 
similar type of unintentional error which the Secretary considers 
ministerial. See 19 CFR 351.224(f). A significant ministerial error is 
defined as an error, the correction of which, singly or in combination 
with other errors, would result in (1) a change of at least five 
absolute percentage points in, but not less than 25 percent of, the 
weighted-average dumping margin calculated in the original (erroneous) 
preliminary determination; or (2) a difference between a weighted-
average dumping margin of zero or de minimis and a weighted-average 
dumping margin of greater than de minimis or vice versa. See 19 CFR 
351.224(g).
    In this instance, the original preliminary determination resulted 
in a weighted-average margin of 14.52%. Implementation of the 
corrections of the ministerial errors results in a weighted-average 
dumping margin of 8.47%, thus meeting the requirements under 19 CFR 
351.224(g)(2).

Amended Determination

    The Department has reviewed its preliminary margin calculations and 
agrees that all but one of the respondent's and petitioners' identified 
errors constitute ministerial errors within the meaning of 19 CFR 
351.224(f) as they involve inadvertent coding or calculation errors 
that generate results that are other than that which the Department 
intended. Specifically, the Department administered the arms' length 
test incorrectly on home market sales, incorrectly applied its intended 
FA methodology for affiliated home market resellers, incorrectly 
excluded billing adjustments from calculation of home market revenue 
used for the purpose of determining CEP profit, inadvertently used a 
variable in calculation of the CEP offset that was not weight averaged, 
and incorrectly applied its intended FA methodology to an affiliated 
U.S. reseller. For additional details, see the May 17, 2002, Sales 
Memorandum to Richard O. Weible from Anya Naschak and Charlie Rast 
regarding Ministerial Error Allegation.
    With regard to respondent's allegations concerning the further 
manufacturing GNA ratio, the Department agrees in part that the alleged 
errors are ministerial in nature. The Department agrees that it 
inadvertently subtracted freight revenue from the denominator of that 
calculation, thereby overstating the GNA ratio used to calculate 
further manufacturing costs. We have corrected this ministerial error. 
However, we disagree that the Department double-counted the selling 
expenses used in the numerator of that calculation. The methodology 
used by the Department to calculate the further manufacturing GNA 
numerator did not double-count any expenses. Moreover, the Department 
intended to calculate the further manufacturing GNA numerator in the 
manner used in the preliminary determination. Therefore, respondent's 
ministerial error allegation on this point is more properly viewed as a 
comment on our methodology. Accordingly we have not corrected this 
alleged error in the amended preliminary determination. For additional 
details, see the May 17, 2002, Cost Memorandum to Neil Harper from 
Michael Harrison regarding Ministerial Error Allegations.
    As a result of our analysis of petitioners' and respondent's 
allegations, we are amending our preliminary determination to revise 
the antidumping rates in accordance with 19 C.F.R. [sect] 351.224(e). 
Suspension of liquidation will be revised in accordance with section 
733(d) of the Act.
    The following weighted-average dumping margins apply:

------------------------------------------------------------------------
                                                                Margin
                   Manufacturer/exporter                      (percent)
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Thyssen Krupp Stahl AG.....................................         8.47
All Others.................................................         8.47
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    The all others rate has been amended, and applies to all entries of 
the subject merchandise except for entries from exporters/producers 
that are identified individually above.

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, the Department 
will direct the Customs Service to continue to suspend liquidation of 
all entries of cold rolled steel from Germany that are entered, or 
withdrawn from warehouse, for consumption, on or after May 9, 2002, the 
date of publication of the original preliminary determination in the 
Federal Register. The Customs Service shall continue to require a cash 
deposit or the posting of a bond equal to the estimated amount by which 
the normal value exceeds the U.S. price as shown above. These 
instructions will remain in effect until further notice.

International Trade Commission Notification

    In accordance with section 733(f) of the Act, we have notified the 
International Trade Commission of the amended preliminary 
determination.

[[Page 37387]]

    This determination is issued and published pursuant to section 
733(f) and 777(i)(1) of the Tariff Act.

    Dated: May 21, 2002
Faryar Shirzad,
Assistant Secretary for Import Administration.
[FR Doc. 02-13389 Filed 5-28-02; 8:45 am]
BILLING CODE 3510-DS-S