[Federal Register Volume 68, Number 221 (Monday, November 17, 2003)]
[Notices]
[Pages 64858-64859]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-28668]



[[Page 64858]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[C-427-817, C-427-815, C-475-827, C-475-823, C-475-825, C-475-821, C-
401-804, C-475-812]


Notice of Implementation Under Section 129 of the Uruguay Round 
Agreements Act; Countervailing Measures Concerning Certain Steel 
Products From the European Communities

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

ACTION: Notice of implementation under section 129 of the Uruguay Round 
Agreements Act; countervailing measures concerning certain steel 
products from the European communities.

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SUMMARY: On January 8, 2003, the Dispute Settlement Body of the World 
Trade Organization adopted the report of the Appellate Body in United 
States--Countervailing Measures Concerning Certain Products from the 
European Communities, WT/DS212/AB/R (December 9, 2002). Consistent with 
the Appellate Body's findings, and pursuant to section 129(b)(2) of the 
Uruguay Round Agreements Act, the Department of Commerce applied its 
modified privatization methodology with respect to the twelve 
countervailing duty determinations, involving certain steel products 
originating in various member states of the European Communities, at 
issue in the WTO dispute. The Department of Commerce is now 
implementing its ``Section 129 Determinations'' with respect to eight 
of those twelve determinations.

EFFECTIVE DATE: November 7, 2003.

FOR FURTHER INFORMATION CONTACT: John Brinkmann (French and Italian 
determinations), Robert Copyak (German determination), or Dana 
Mermelstein (all other determinations), Import Administration, 
International Trade Administration, U.S. Department of Commerce, 14th 
Street and Constitution Avenue, NW., Washington, DC 20230; telephone: 
(202) 482-4126, (202) 482-2209, (202) 482-1391, respectively.

The Applicable Statute

    Unless otherwise indicated, all citations to the statute are 
references to the Tariff Act of 1930, as amended (the Act). In 
addition, unless otherwise indicated, all citations to the Department's 
regulations are references to the provisions codified at 19 CFR part 
351 (2003). Finally, citation to ``section 129'' refers to section 129 
of the Uruguay Round Agreements Act (``URAA''), codified at 19 U.S.C. 
3538.

Background

    On January 8, 2003, the Dispute Settlement Body (``DSB'') of the 
World Trade Organization (``WTO'') adopted the report of the WTO 
Appellate Body in United States--Countervailing Measures Concerning 
Certain Products from the European Communities, WT/DS212/AB/R (December 
9, 2002) (``Certain Products''). To implement the DSB findings in 
Certain Products, the Department changed its methodology for analyzing 
a privatization in the context of the countervailing duty (``CVD'') 
law. See Notice of Final Modification of Agency Practice Under Section 
123 of the Uruguay Round Agreements Act, 68 FR 37125 (June 23, 2003) 
(``Modification Notice'').
    Subsequently, pursuant to section 129(b)(2) of the URAA,\1\ the 
Department applied this modification with respect to twelve 
countervailing duty determinations involving certain steel products 
originating in various member states of the European Communities. 
Section 129(b)(2) provides that ``[n]otwithstanding any provision of 
the Tariff Act of 1930 * * *,'' within 180 days of a written request 
from the U.S. Trade Representative, the Department shall issue a 
determination that would render its actions not inconsistent with an 
adverse finding of a WTO panel or the Appellate Body. 19 U.S.C. 
3538(b)(2). The Statement of Administrative Action accompanying the 
URAA (the ``SAA''), H.R. Doc. No. 103-316, Vol. 1 (1994) at 1025, 1027, 
variously refers to such a determination by the Department as a 
``new,'' ``second,'' and ``different'' determination.
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    \1\ Section 129 of the URAA is the applicable provision 
governing the nature and effect of determinations issued by the 
Department to implement findings by WTO panels and the Appellate 
Body.
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    On October 24, the Department issued twelve Section 129 
Determinations.2 See ``Issues and Decision Memorandum for 
the Section 129 Determination: Final Affirmative Countervailing Duty 
Determination: Certain Cut-to-Length Carbon Quality Steel Plate from 
France'' from Jeffrey May, Deputy Assistant Secretary, Import 
Administration, to James J. Jochum, Assistant Secretary for Import 
Administration, signed October 24, 2003; ``Issues and Decision 
Memorandum for the Section 129 Determination: Final Affirmative 
Countervailing Duty Determination: Stainless Steel Sheet and Strip in 
Coils from France'' from Jeffrey May, Deputy Assistant Secretary, 
Import Administration, to James J. Jochum, Assistant Secretary for 
Import Administration, signed October 24, 2003; ``Issues and Decision 
Memorandum for the Section 129 Determination: Corrosion-Resistant 
Carbon Steel Flat Products from France; Final Results of Expedited 
Sunset Review of Countervailing Duty Order'' from Jeffrey May, Deputy 
Assistant Secretary, Import Administration, to James J. Jochum, 
Assistant Secretary for Import Administration, signed October 24, 2003; 
``Issues and Decision Memo: Section 129 Determination: Final Results of 
Full Sunset Review of Cut-to-Length Carbon Steel Plate from Germany'' 
from Melissa Skinner, Office Director, Office of AD/CVD Enforcement VI, 
to James J. Jochum, Assistant Secretary for Import Administration, 
signed October 24, 2003; Issues and Decision Memorandum for the 
Determination under Section 129 of the Uruguay Round Agreements: 
Certain Cut-to-Length Carbon-Quality Steel Plate from Italy'' from 
Jeffrey May, Deputy Assistant Secretary, Import Administration, to 
James J. Jochum, Assistant Secretary for Import Administration, signed 
October 24, 2003; ``Issues and Decision Memorandum for the 
Determination under Section 129 of the Uruguay Round Agreements 
Act:Countervailing Duty Administrative Review: Grain-Oriented 
Electrical Steel from Italy'' from Jeffrey May, Deputy Assistant 
Secretary, Import Administration, to James J. Jochum, Assistant 
Secretary for Import Administration, signed October 24, 2003; ``Issues 
and Decision Memorandum for the Determination under Section 129 of the 
Uruguay Round Agreements Act: Final Affirmative Countervailing Duty 
Determination: Stainless Steel Plate in Coils from Italy'' from Jeffrey 
May, Deputy Assistant Secretary, Import Administration, to James J. 
Jochum, Assistant Secretary for Import Administration, signed October 
24, 2003; ``Issues and Decision Memorandum for the Determination under 
Section 129 of the Uruguay Round Agreements Act: Final Affirmative 
Countervailing Duty Determination: Stainless Steel Sheet

[[Page 64859]]

and Strip in Coils from Italy'' from Jeffrey May, Deputy Assistant 
Secretary, Import Administration, to James J. Jochum, Assistant 
Secretary for Import Administration, signed October 24, 2003; ``Issues 
and Decision Memorandum for the Determination under Section 129 of the 
Uruguay Round Agreements Act: Final Affirmative Countervailing Duty 
Determination: Stainless Steel Wire Rod from Italy'' from Jeffrey May, 
Deputy Assistant Secretary, Import Administration, to James J. Jochum, 
Assistant Secretary for Import Administration, signed October 24, 2003; 
``Issues and Decision Memorandum: Section 129 Determination: Final 
Results of Expedited Sunset Review of Cut-to-Length Carbon Steel Plate 
from Spain'' from Joseph A. Spetrini, Deputy Assistant Secretary, 
Import Administration, Group III, to James J. Jochum, Assistant 
Secretary for Import Administration, signed October 24, 2003; ``Issues 
and Decision Memorandum: Section 129 Determination: Final Results of 
the 1994 Administrative Review of Certain Cut-to-Length Carbon Steel 
Plate from Sweden'' from Joseph A. Spetrini, Deputy Assistant 
Secretary, Import Administration, Group III, to James J. Jochum, 
Assistant Secretary for Import Administration, signed October 24, 2003; 
``Issues and Decision Memorandum: Section 129 Determination: Final 
Results of Expedited Sunset Review of Cut-to-Length Carbon Steel Plate 
from the United Kingdom'' from Joseph A. Spetrini, Deputy Assistant 
Secretary, Import Administration, Group III, to James J. Jochum, 
Assistant Secretary for Import Administration, signed October 24, 2003.
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    \2\ Copies of the ``Issues and Decision Memoranda'' detailing 
our Section 129 Determinations in each proceeding are available 
online at http://ia.ita.doc.gov/ as well as in the Department's 
Central Records Unit in room B-099, 14th Street and Constitution 
Avenue, NW., Washington, DC 20230. All issues raised in the comments 
and rebuttal comments submitted by the parties concerning these 
Section 129 Determinations are addressed in these Issues and 
Decision Memoranda.
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    Subsequent to the Department's issuance of the Section 129 
Determinations and pursuant to section 129(b)(3) of the URAA, the U.S. 
Trade Representative consulted with the Department and the 
Congressional committees concerning these determinations. Then, by 
letter dated November 7, 2003, the U.S. Trade Representative requested 
the Department, pursuant to section 129(b)(4) of the URAA, to implement 
the Section 129 Determinations with respect to the eight determinations 
that did not involve sunset reviews under section 751(c) of the Act.

Implementation

    Section 129(c)(1)(B) of the URAA expressly provides that a 
determination under section 129 applies only with respect to 
unliquidated entries of merchandise entered, or withdrawn from 
warehouse, for consumption on or after the date on which the USTR 
directs the Department to implement that determination. In other words, 
as the SAA clearly provides, ``such determinations have prospective 
effect only.'' SAA at 1026. Thus, ``relief available under subsection 
129(c)(1) is distinguishable from relief in an action brought before a 
court or a NAFTA binational panel, where * * * retroactive relief may 
be available.'' Id.
    Because the U.S. Trade Representative declined to direct the 
Department to implement the revised determinations with regard to the 
four sunset reviews involved in the WTO dispute, we are not 
implementing these Section 129 Determinations. See sections 129(b)(4) 
and 129(c)(1)(B) of the URAA.
    We are, however, implementing the remaining Section 129 
Determinations as follows. With respect to the five countervailing duty 
orders noted immediately below, we are revising the cash deposit rates 
for certain companies to reflect the impact that privatization had on 
non-recurring, allocable subsidies. Thus, in accordance with section 
129(c)(1)(B) of the URAA, we will instruct U.S. Customs and Border 
Protection (``CBP'') to collect cash deposits of estimated 
countervailing duties in the percentage detailed below of the f.o.b. 
invoice price on all shipments of the companies noted below, entered, 
or withdrawn from warehouse, for consumption on or after November 7, 
2003. In addition, three of the five cases noted below involve 
determinations in investigations. The ``all others'' cash deposit rates 
for these three cases shall be revised as follows.

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           Case                            Order                        Company            Deposit (%)
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C-401-804...........................  Cut-to-Length Carbon Steel Plate   SSAB...................             0.0
                                       from Sweden.
C-475-812...........................  Grain-Oriented Electrical Steel    AST....................            1.07
                                       from Italy.
C-475-823...........................  Stainless Steel Plate in Coils     AST....................            1.62
                                       from Italy.                       All Others.............            1.62
C-475-825...........................  Stainless Steel Sheet and Strip    AST....................            1.62
                                       in Coils from Italy.              All Others.............            1.61
C-475-827...........................  Cut-to-Length Carbon Steel Plate   ILVA/ILT...............            3.44
                                       from Italy.
                                                                        --------------------------
                                                                         All Others.............            3.44
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    With respect to the countervailing duty orders on certain cut-to-
length carbon quality steel plate from France (C-427-817) and stainless 
steel sheet and strip in coils from France (C-427-815), consistent with 
our Section 129 Determinations, we are revoking those orders in whole. 
Accordingly, we will instruct CBP to discontinue suspension of 
liquidation under those orders of all shipments of subject merchandise 
entered, or withdrawn from warehouse, for consumption on or after 
November 7, 2003.
    With respect to the countervailing duty order on stainless steel 
wire rod from Italy (C-475-821), consistent with our Section 129 
Determination, we are revoking this order with respect to the company 
CAS. Accordingly, we will instruct CBP to discontinue suspension of 
liquidation under this order of all of CAS's shipments of subject 
merchandise entered, or withdrawn from warehouse, for consumption on or 
after November 7, 2003. The ``all others'' cash deposit rate under this 
order will be revised to 1.28 percent.
    This notice of implementation is issued and published in accordance 
with section 129(c)(2)(A) of the URAA.

    Dated: November 7, 2003.
James J. Jochum,
Assistant Secretary for Import Administration.
[FR Doc. 03-28668 Filed 11-14-03; 8:45 am]
BILLING CODE 3510-DS-P