[Federal Register Volume 68, Number 109 (Friday, June 6, 2003)]
[Notices]
[Pages 33920-33921]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-14346]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-122-815]


Redetermination Pursuant to NAFTA Panel Remand: Pure Magnesium 
and Alloy Magnesium From Canada

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

ACTION: Notice of Redetermination Pursuant to NAFTA Panel Remand: Pure 
Magnesium and Alloy Magnesium From Canada.

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SUMMARY: The Department of Commerce (``Commerce'') has prepared these 
results of redetermination pursuant to the decision of the Binational 
NAFTA Panel (``Panel'') in Alloy Magnesium and Pure Magnesium from 
Canada, USA-CDA-00-1904-07 (October 15, 2002) (``Panel Decision''). 
These results pertain to the Department's determination in Alloy 
Magnesium and Pure Magnesium from Canada: Final Results of Full Sunset 
Reviews, 65 FR 41444 (July 5, 2000) (``Final Results'') that the 
revocation of the countervailing duty order on pure magnesium and alloy 
magnesium would be likely to lead to the continuation or recurrence of 
a countervailable subsidy. The Panel remanded this sunset review to 
Commerce with instructions to amend its determination in this case by 
removing the reporting of an all others subsidy rate. The Panel 
affirmed Commerce's final remand determination on January 21, 2003. 
Accordingly, Commerce hereby amends the sunset review in this case by 
removing the reporting of an all others subsidy rate.

EFFECTIVE DATE: June 6, 2003.

FOR FURTHER INFORMATION CONTACT: Joanna Schlesinger or James P. Maeder, 
Jr., Office of Policy for Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
4968 or (202) 482-3330.

SUPPLEMENTARY INFORMATION:

Statute and Regulations

    This review is conducted pursuant to sections 751(c) and 752 of the 
Act. The Department's procedures for the conduct of sunset reviews are 
set forth in Procedures for Conducting Five-year ( ``Sunset'') Reviews 
of Antidumping and Countervailing Duty Orders, 63 FR 13516 (March 20, 
1998) (``Sunset Regulations'') and in 19 CFR part 351 (2002) in 
general. Guidance on

[[Page 33921]]

methodological or analytical issues relevant to the Department's 
conduct of sunset reviews is set forth in the Department's Policy 
Bulletin 98:3 Policies Regarding the Conduct of Five-year (``Sunset'') 
Reviews of Antidumping and Countervailing Duty Orders; Policy Bulletin, 
63 FR 18871 (April 16, 1998) (``Sunset Policy Bulletin'').

Background

    The Gouvernement du Quebec (``GOQ'') and Magnesium Corporation of 
America (``Magcorp'') challenged certain findings made by Commerce in 
its Final Results before the Panel. On March 27, 2002, based on its 
findings pursuant to the GOQ and Magcorp's challenge, the Panel upheld 
Commerce's determination with respect to certain issues. However, the 
Panel remanded to Commerce this sunset review with instructions to 
reconsider: (i) The determination to utilize the results of the sixth 
review as the subsidy rate to be reported to the ITC; (ii) the basis 
for the all others rate; and (iii) the reasons for the failure to 
investigate subsidies alleged to have been received by Magnola 
Metallurgy, Inc. (``Magnola''). Panel Determination, USA-CDA-00-1904-07 
at 31 (Mar. 27, 2002) (``Panel Determination''). The Panel further 
instructed Commerce to file its further remand determination within 45 
days of the date of the order. On June 10, 2002, Commerce issued the 
draft remand results to the Gouvernement du Quebec (``GOQ''), Norsk 
Hydro Canada, Inc. (``NHCI''), and domestic interested parties.
    Commerce issued the Final Results of Determination Pursuant to 
NAFTA Panel Remand of the Sunset Review of the Countervailing Orders on 
Pure and Alloy Magnesium from Canada (``Remand Determination'') on June 
25, 2002. On July 15, 2002, the GOQ filed the Rule 73(2)(b) Challenge 
of the Determination on Remand by the Gouvernement du Quebec (``Rule 
73(2)(b) Challenge''). The GOQ's Rule 73(2)(b) Challenge contends that 
Commerce improperly concluded that it was ``required'' to report an all 
others rate and that the rate selected was improper. U.S. Magnesium LLC 
(formerly Magcorp) \1\ also filed a Rule 73(2)(b) Challenge, contesting 
Commerce's refusal to investigate alleged subsidies to Magnola. 
Commerce responded to the Rule 73(2)(b) Challenges filed by the GOQ and 
U.S. Magnesium on August 5, 2002.
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    \1\ U.S. Magnesium purchased all of the assets of Magcorp on 
June 24, 2002, pursuant to an auction approved by U.S. Bankruptcy 
Judge Robert E. Gerber of the Southern District of New York. See 
Motion for Substitution of Party, filed by U.S. Magnesium on July 
15, 2002.
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    The Panel concluded that Commerce's remand determination with 
respect to Magnola is supported by substantial evidence and is in 
accordance with law. However, the Panel remanded the matter to Commerce 
with instructions to amend its determination by removing the reporting 
of an all others subsidy rate. The Panel further instructed Commerce to 
file its further remand determination within 45 days of the date of the 
order.

Final Results of Review

    While we disagree with the Panel's finding with respect to the all 
others rate, consistent with the Panel's instructions we hereby amend 
our final determination by removing the reporting of an all others 
subsidy rate in this case. We determine that revocation of the 
countervailing duty order would likely lead to continuation or 
recurrence of a countervailable subsidy at the following percentage 
weighted-average margins:

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                                                   Weighted-  Average
       Manufacturer/producers/exporter             margin  (percent)
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Norsk Hydro Canada Inc. (``Norsk'')..........  1.84
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    This notice serves as the only reminder to parties subject to 
administrative protective order (``APO'') of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305. Timely notification of return/
destruction of APO materials or conversion to judicial protective order 
is hereby requested. Failure to comply with the regulations and the 
terms of an APO is a violation which is subject to sanction.
    This five-year (``sunset'') review and notice are in accordance 
with sections 751(c), 752, and 777(i)(1) of the Act.

    Dated: June 2, 2003.
Joseph A. Spetrini,
Acting Assistant Secretary for Import Administration.
[FR Doc. 03-14346 Filed 6-5-03; 8:45 am]
BILLING CODE 3510-DS-P