[Federal Register Volume 69, Number 15 (Friday, January 23, 2004)]
[Notices]
[Pages 3330-3332]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-1470]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-122-841]


Carbon and Certain Alloy Steel Wire Rod from Canada: Final 
Results of Countervailing Duty Changed Circumstances Review and 
Revocation of Countervailing Duty Order, in Whole

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

ACTION: Notice of Final Results of Changed Circumstances Review of the 
Countervailing Duty Order and Revocation of Countervailing Duty Order, 
in Whole.

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SUMMARY: On November 3, 2003, in response to a request by domestic 
producers of the subject merchandise, the Department of Commerce (the 
``Department'') published a notice of initiation of a changed 
circumstances review with the intent to revoke, in whole, the 
countervailing duty order on carbon and certain alloy steel wire rod 
from Canada. See Carbon and Certain Alloy Steel Wire Rod from Canada: 
Initiation of Countervailing Duty Changed Circumstances Review, 68 FR 
62282 (November 3, 2003) (``Initiation Notice'').
    On December 12, 2003, the Department published the preliminary 
results of the changed circumstances review of the countervailing duty 
order preliminarily finding that there was a reasonable basis to 
believe that changed circumstances exist sufficient to warrant 
revocation of the CVD order because domestic producers expressed no 
interest in continuation of the order. Therefore, the Department 
preliminarily revoked the order, in whole. See Carbon and Certain Alloy 
Steel Wire Rod from Canada: Preliminary Results of Countervailing Duty 
Changed Circumstances Review and Intent to Revoke Order, 68 FR 69384 
(December 12, 2003) (``Preliminary Results''). We did not receive any 
comments on the Preliminary Results objecting to the revocation of this 
order, in whole, and thus conclude that substantially all domestic 
producers lack interest in the relief provided by this order. 
Accordingly, we are revoking the countervailing duty order on carbon 
and certain alloy steel wire rod from Canada.

DATES: January 23, 2004.

FOR FURTHER INFORMATION CONTACT: S. Anthony Grasso, Import 
Administration, International Trade Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue, NW, Washington, DC 
20230; telephone (202) 482-3853.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the countervailing duty (``CVD'') order on 
carbon and certain alloy steel wire rod from Canada on October 22, 
2002. See Notice of Countervailing Duty Orders: Carbon and Certain 
Alloy Steel Wire Rod from Brazil and Canada, 67 FR 64871 (October 22, 
2002). On October 1, 2003, the Department received a request from 
Georgetown Steel Company (formerly GS Industries), Gerdau Ameristeel US 
Inc. (formerly Co-Steel Raritan), Keystone Consolidated Industries, 
Inc., and North Star Steel Texas, Inc., the petitioners in the original 
investigation, that the Department initiate a changed circumstances 
review for purposes of revoking the CVD order. The basis for the 
petitioners' request is that they are no longer interested in 
maintaining the CVD order or in the imposition of CVD duties on the 
subject merchandise from Canada.
    On November 3, 2003, the Department published a notice of 
initiation of a changed circumstances review of the CVD order on carbon 
and certain alloy steel wire rod products from Canada. See Initiation 
Notice, 68 FR 62282. In the Initiation Notice, we provided interested 
parties an opportunity to submit comments for consideration in the 
Department's preliminary results. The Department did not receive any 
comments within the time limits established. On November 18, 2003, a 
respondent to the original proceeding, Ispat Sidbec, Inc. (``Ispat''), 
submitted a letter to the Department stating that ``all three parties 
wish to advise the Department that they agree to the outcome of the 
review and, further, request that, pursuant to 19 CFR 351.216(e), the 
Department render its final results of review within 45 days of 
initiation of the review or sooner.'' Ispat claimed its letter 
represented the position of the only parties to the proceeding, namely, 
Ispat, the Government of Quebec, and the U.S.

[[Page 3331]]

producers that filed the original petition.
    On December 12, 2003, the Department published the Preliminary 
Results of the changed circumstances review. In the Preliminary 
Results, we afforded interested parties an opportunity to submit 
comments for consideration in the Department's Final Results. We did 
not receive any comments following the publication of the Preliminary 
Results.

Scope of the Order

    The merchandise covered by this order is certain hot-rolled 
products of carbon steel and alloy steel, in coils, of approximately 
round cross section, 5.00 mm or more, but less than 19.00 mm, in solid 
cross-sectional diameter.\1\
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    \1\ On November 12, 2003, the Department published the final 
results of a changed circumstances review modifying the scope to 
exclude certain grade 1080 tire cord quality wire rod and grade 1080 
tire bead quality wire rod. This modification is for all entries of 
subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after July 24, 2003. We note that for the purposes 
of this changed circumstances review, the revocation of the order 
would be based on the original scope. See Carbon and Certain Alloy 
Steel Wire Rod from Brazil, Canada, Indonesia, Mexico, Moldova, 
Trinidad and Tobago, and Ukraine: Final Results of Changed 
Circumstances Review, 68 FR 64079 (November 12, 2003).
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    Specifically excluded are steel products possessing the above-noted 
physical characteristics and meeting the Harmonized Tariff Schedule of 
the United States (``HTSUS'') definitions for (a) stainless steel; (b) 
tool steel; (c) high nickel steel; (d) ball bearing steel; and (e) 
concrete reinforcing bars and rods. Also excluded are (f) free 
machining steel products (i.e., products that contain by weight one or 
more of the following elements: 0.03 percent or more of lead, 0.05 
percent or more of bismuth, 0.08 percent or more of sulfur, more than 
0.04 percent of phosphorus, more than 0.05 percent of selenium, or more 
than 0.01 percent of tellurium).
    Also excluded from the scope are 1080 grade tire cord quality wire 
rod and 1080 grade tire bead quality wire rod. Grade 1080 tire cord 
quality rod is defined as: (i) Grade 1080 tire cord quality wire rod 
measuring 5.0 mm or more but not more than 6.0 mm in cross-sectional 
diameter; (ii) with an average partial decarburization of no more than 
70 microns in depth (maximum individual 200 microns); (iii) having no 
inclusions greater than 20 microns; (iv) having a carbon segregation 
per heat average of 3.0 or better using European Method NFA 04-114; (v) 
having a surface quality with no surface defects of a length greater 
than 0.15 mm; (vi) capable of being drawn to a diameter of 0.30 mm or 
less with 3 or fewer breaks per ton, and (vii) containing by weight the 
following elements in the proportions shown: (1) 0.78 percent or more 
of carbon, (2) less than 0.01 percent of aluminum, (3) 0.040 percent or 
less, in the aggregate, of phosphorus and sulfur, (4) 0.006 percent or 
less of nitrogen, and (5) not more than 0.15 percent, in the aggregate, 
of copper, nickel and chromium.
    Grade 1080 tire bead quality rod is defined as: (i) Grade 1080 tire 
bead quality wire rod measuring 5.5 mm or more but not more than 7.0 mm 
in cross-sectional diameter; (ii) with an average partial 
decarburization of no more than 70 microns in depth (maximum individual 
200 microns); (iii) having no inclusions greater than 20 microns; (iv) 
having a carbon segregation per heat average of 3.0 or better using 
European Method NFA 04-114; (v) having a surface quality with no 
surface defects of a length greater than 0.2 mm; (vi) capable of being 
drawn to a diameter of 0.78 mm or larger with 0.5 or fewer breaks per 
ton; and (vii) containing by weight the following elements in the 
proportions shown: (1) 0.78 percent or more of carbon, (2) less than 
0.01 percent of soluble aluminum, (3) 0.040 percent or less, in the 
aggregate, of phosphorus and sulfur, (4) 0.008 percent or less of 
nitrogen, and (5) either not more than 0.15 percent, in the aggregate, 
of copper, nickel and chromium (if chromium is not specified), or not 
more than 0.10 percent in the aggregate of copper and nickel and a 
chromium content of 0.24 to 0.30 percent (if chromium is specified).
    The designation of the products as ``tire cord quality'' or ``tire 
bead quality'' indicates the acceptability of the product for use in 
the production of tire cord, tire bead, or wire for use in other rubber 
reinforcement applications such as hose wire. These quality 
designations are presumed to indicate that these products are being 
used in tire cord, tire bead, and other rubber reinforcement 
applications, and such merchandise intended for the tire cord, tire 
bead, or other rubber reinforcement applications is not included in the 
scope. However, should petitioners or other interested parties provide 
a reasonable basis to believe or suspect that there exists a pattern of 
importation of such products for other than those applications, end-use 
certification for the importation of such products may be required. 
Under such circumstances, only the importers of record would normally 
be required to certify the end use of the imported merchandise.
    All products meeting the physical description of subject 
merchandise that are not specifically excluded are included in this 
scope.
    The products under investigation are currently classifiable under 
subheadings 7213.91.3010, 7213.91.3090, 7213.91.4510, 7213.91.4590, 
7213.91.6010, 7213.91.6090, 7213.99.0031, 7213.99.0038, 7213.99.0090, 
7227.20.0010, 7227.20.0020, 7227.20.0090, 7227.20.0095, 7227.90.6051, 
7227.90.6053, 7227.90.6058, and 7227.90.6059 of the HTSUS. Although the 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the scope of this proceeding is dispositive.

Final Results of Review and Revocation of the Countervailing Duty 
Order, in Whole

    Pursuant to section 751(d)(1) of the 1930 Tariff Act, as amended 
(the ``Act''), and 19 CFR 351.222(g), the Department may revoke an 
antidumping or CVD order, in whole or in part, based on a review under 
section 751(b) of the Act (i.e., a changed circumstances review). 
Section 751(b)(1) of the Act requires a changed circumstances review to 
be conducted upon receipt of a request that shows changed circumstances 
sufficient to warrant a review. Section 782(h)(1) of the Act gives the 
Department the authority to revoke an order if producers accounting for 
substantially all of the production of the domestic like product have 
expressed a lack of interest in the continuation of the order. Section 
351.222(g) of the Department's regulations provides that the Department 
will conduct a changed circumstances administrative review under 19 CFR 
351.216, and may revoke an order (in whole or in part), if it concludes 
that (i) producers accounting for substantially all of the production 
of the domestic like product to which the order pertains have expressed 
a lack of interest in the relief provided by the order, in whole or in 
part, or (ii) if other changed circumstances sufficient to warrant 
revocation exist. The Department has interpreted ``substantially all'' 
production normally to mean at least 85 percent of domestic production 
of the like product. See Certain Tin Mill Products From Japan: Final 
Results of Changed Circumstances Review, 66 FR 52109 (October 12, 
2001); see also, 19 CFR 351.208(c).
    As noted above and in the Preliminary Results, the petitioners 
requested this changed circumstances review on the basis that they are 
no longer interested in maintaining the CVD order or in the imposition 
of CVD duties on the subject merchandise. Because the Department did 
not receive any comments in

[[Page 3332]]

response to the Initiation Notice or the Preliminary Results opposing 
this changed circumstances review or the decision to revoke the CVD 
order, in whole, we find that producers accounting for substantially 
all of the production of the domestic like product to which this order 
pertains, lack interest in the relief provided by the order. In 
accordance with sections 751(b), 751(d), and 782(h) of the Act and 19 
CFR 351.216, the Department determines that there is a reasonable basis 
to believe that changed circumstances exist sufficient to warrant 
revocation of the order. Therefore, the Department is revoking the 
order on carbon and certain alloy steel wire rod from Canada, in whole, 
with regard to the products described above under the ``Scope of the 
Order'' section.

Instructions to Customs

    In accordance with 19 CFR 351.222, the Department will instruct 
U.S. Customs and Border Protection (``CBP'') to liquidate without 
regard to applicable countervailing duties, and refund any estimated 
countervailing duties collected on, all unliquidated entries of the 
merchandise subject to the order, as described above under the ``Scope 
of the Order'' section, entered, or withdrawn from warehouse, for 
consumption on or after February 8, 2002, i.e., the publication date of 
the Department's preliminary determination (see Preliminary Affirmative 
Countervailing Duty Determination: Carbon and Certain Alloy Steel Wire 
Rod from Canada, 67 FR 5984). In accordance with section 778 of the 
Act, we will also instruct CBP to pay interest on such refunds with 
respect to the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after October 22, 2002, the date of 
publication in the Federal Register of the CVD order.
    The Department will issue appropriate assessment instructions 
directly to CBP within 15 days of publication of these final results of 
review.

Notification Regarding APOs

    This notice also serves as a reminder to parties subject to 
administrative protective orders (APOs) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.306. Timely written notification of 
the return/destruction of APO materials or conversion to judicial 
protective order is hereby requested. Failure to comply with the 
regulations and terms of an APO is a sanctionable violation.
    We are issuing and publishing this determination and notice in 
accordance with sections 751(b)(1) and 777(i)(1) of the Tariff Act and 
sections 351.216, 351.221, and 351.222 of the Department's regulations.

    Dated: January 16, 2004.
James J. Jochum,
Assistant Secretary for Import Administration.
[FR Doc. 04-1470 Filed 1-22-04; 8:45 am]
BILLING CODE 3510-DS-S