[Federal Register Volume 70, Number 149 (Thursday, August 4, 2005)]
[Notices]
[Pages 44886-44888]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-4184]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-428-825, A-475-824, A-588-845, A-580-834, A-201-822, A-583-831, C-
475-825, C-580-835]


Continuation of Antidumping Duty Orders on Stainless Steel Sheet 
and Strip in Coils from Germany, Italy, Japan, the Republic of Korea, 
Mexico, and Taiwan, and Countervailing Duty Orders on Stainless Steel 
Sheet and Strip in Coils from Italy and the Republic of Korea

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: As a result of the determinations by the Department of

[[Page 44887]]

Commerce (``the Department'') and the International Trade Commission 
(``ITC'') that revocation of the antidumping duty orders on stainless 
steel sheet and strip in coils from Germany, Italy, Japan, Republic of 
Korea (``Korea''), Mexico, and Taiwan, and the countervailing duty 
orders on stainless steel sheet and strip in coils from Italy and 
Korea, would likely lead to continuation or recurrence of dumping and 
countervailable subsidies, and material injury to an industry in the 
United States, the Department is publishing notice of continuation of 
these antidumping and countervailing duty orders.

EFFECTIVE DATE: July 25, 2005.

CONTACT INFORMATION: Martha V. Douthit or Dana Mermelstein, AD/CVD 
Operations, Office 6, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
5050 or (202) 482-1391, respectively.

SUPPLEMENTARY INFORMATION:

Scope of the Orders

    The products subject to these antidumping and countervailing duty 
orders are certain stainless steel sheet and strip in coils. Stainless 
steel is an alloy steel containing, by weight, 1.2 percent or less of 
carbon and 10.5 percent or more of chromium, with or without other 
elements. The subject sheet and strip is a flat-rolled product in coils 
that is greater than 9.5 mm in width and less than 4.75 mm in 
thickness, and that is annealed or otherwise heat treated and pickled 
or otherwise descaled. The subject sheet and strip may also be further 
processed (i.e., cold-rolled, polished, aluminized, coated, etc.) 
provided that it maintains the specific dimensions of sheet and strip 
following such processing. The merchandise subject to these orders is 
classified in the Harmonized Tariff Schedule of the United States 
(HTSUS) at subheadings:
7219.13.00.30, 7219.13.00.50, 7219.13.00.70, 7219.13.00.80, 
7219.14.00.30, 7219.14.00.65, 7219.14.00.90, 7219.32.00.05, 
7219.32.00.20, 7219.32.00.25, 7219.32.00.35, 7219.32.00.36, 
7219.32.00.38, 7219.32.00.42, 7219.32.00.44, 7219.33.00.05, 
7219.33.00.20, 7219.33.00.25, 7219.33.00.35, 7219.33.00.36, 
7219.33.00.38, 7219.33.00.42, 7219.33.00.44, 7219.34.00.05, 
7219.34.00.20, 7219.34.00.25, 7219.34.00.30, 7219.34.00.35, 
7219.35.00.05, 7219.35.00.15, 7219.35.00.30, 7219.35.00.35, 
7219.90.00.10, 7219.90.00.20, 7219.90.00.25, 7219.90.00.60, 
7219.90.00.80, 7220.12.10.00, 7220.12.50.00, 7220.20.10.10, 
7220.20.10.15, 7220.20.10.60, 7220.20.10.80, 7220.20.60.05, 
7220.20.60.10, 7220.20.60.15, 7220.20.60.60, 7220.20.60.80, 
7220.20.70.05, 7220.20.70.10, 7220.20.70.15, 7220.20.70.60, 
7220.20.70.80, 7220.20.80.00, 7220.20.90.30, 7220.20.90.60, 
7220.90.00.10, 7220.90.00.15, 7220.90.00.60, and 7220.90.00.80.
    Although the HTSUS subheadings are provided for convenience and 
customs purposes, the Department's written description of the 
merchandise subject to these orders is dispositive.
    Excluded from the scope of these orders are the following: (1) 
sheet and strip that is not annealed or otherwise heat treated and 
pickled or otherwise descaled, (2) sheet and strip that is cut to 
length, (3) plate (i.e., flat-rolled stainless steel products of a 
thickness of 4.75 mm or more), (4) flat wire (i.e., cold-rolled 
sections, with a prepared edge, rectangular in shape, of a width of not 
more than 9.5 mm), and (5) razor blade steel. Razor blade steel is a 
flat-rolled product of stainless steel, not further worked than cold-
rolled (cold-reduced), in coils, of a width of not more than 23 mm and 
a thickness of 0.266 mm or less, containing, by weight, 12.5 to 14.5 
percent chromium, and certified at the time of entry to be used in the 
manufacture of razor blades. See Chapter 72 of the HTS, ``Additional 
U.S. Note'' 1(d).
    Flapper valve steel is defined as stainless steel strip in coils 
containing, by weight, between 0.37 and 0.43 percent carbon, between 
1.15 and 1.35 percent molybdenum, and between 0.20 and 0.80 percent 
manganese. This steel also contains, by weight, phosphorus of 0.025 
percent or less, silicon of between 0.20 and 0.50 percent, and sulfur 
of 0.020 percent or less. The product is manufactured by means of 
vacuum arc remelting, with inclusion controls for sulphide of no more 
than 0.04 percent and for oxide of no more than 0.05 percent. Flapper 
valve steel has a tensile strength of between 210 and 300 ksi, yield 
strength of between 170 and 270 ksi, plus or minus 8 ksi, and a 
hardness (Hv) of between 460 and 590. Flapper valve steel is most 
commonly used to produce specialty flapper valves in compressors.
    Also excluded is a product referred to as suspension foil, a 
specialty steel product used in the manufacture of suspension 
assemblies for computer disk drives. Suspension foil is described as 
302/304 grade or 202 grade stainless steel of a thickness between 14 
and 127 microns, with a thickness tolerance of plus-or-minus 2.01 
microns, and surface glossiness of 200 to 700 percent Gs. Suspension 
foil must be supplied in coil widths of not more than 407 mm, and with 
a mass of 225 kg or less. Roll marks may only be visible on one side, 
with no scratches of measurable depth. The material must exhibit 
residual stresses of 2 mm maximum deflection, and flatness of 1.6 mm 
over 685 mm length.
    Certain stainless steel foil for automotive catalytic converters is 
also excluded from the scope of these orders This stainless steel strip 
in coils is a specialty foil with a thickness of between 20 and 110 
microns used to produce a metallic substrate with a honeycomb structure 
for use in automotive catalytic converters. The steel contains, by 
weight, carbon of no more than 0.030 percent, silicon of no more than 
1.0 percent, manganese of no more than 1.0 percent, chromium of between 
19 and 22 percent, aluminum of no less than 5.0 percent, phosphorus of 
no more than 0.045 percent, sulfur of no more than 0.03 percent, 
lanthanum of less than 0.002 or greater than 0.05 percent, and total 
rare earth elements of more than 0.06 percent, with the balance iron.
    Permanent magnet iron-chromium-cobalt alloy stainless strip is also 
excluded from the scope of these orders. This ductile stainless steel 
strip contains, by weight, 26 to 30 percent chromium, and 7 to 10 
percent cobalt, with the remainder of iron, in widths 228.6 mm or less, 
and a thickness between 0.127 and 1.270 mm. It exhibits magnetic 
remanence between 9,000 and 12,000 gauss, and a coercivity of between 
50 and 300 oersteds.
    This product is most commonly used in electronic sensors and is 
currently available under proprietary trade names such as ``Arnokrome 
III.''\1\
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    \1\ ``Arnokrome III'' is a trademark of the Arnold Engineering 
Company.
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    Certain electrical resistance alloy steel is also excluded from the 
scope of these orders. This product is defined as a non-magnetic 
stainless steel manufactured to American Society of Testing and 
Materials (ASTM) specification B344 and containing, by weight, 36 
percent nickel, 18 percent chromium, and 46 percent iron, and is most 
notable for its resistance to high temperature corrosion. It has a 
melting point of 1390 degrees Celsius and displays a creep rupture 
limit of 4 kilograms per square millimeter at 1000 degrees Celsius. 
This steel is most

[[Page 44888]]

commonly used in the production of heating ribbons for circuit breakers 
and industrial furnaces, and in rheostats for railway locomotives. The 
product is currently available under proprietary trade names such as 
``Gilphy 36.''\2\
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    \2\ ``Gilphy 36'' is a trademark of Imphy, S.A.
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    Certain martensitic precipitation-hardenable stainless steel is 
also excluded from the scope of these orders. This high-strength, 
ductile stainless steel product is designated under the Unified 
Numbering System (UNS) as S45500-grade steel, and contains, by weight, 
11 to 13 percent chromium, and 7 to 10 percent nickel. Carbon, 
manganese, silicon and molybdenum each comprise, by weight, 0.05 
percent or less, with phosphorus and sulfur each comprising, by weight, 
0.03 percent or less. This steel has copper, niobium, and titanium 
added to achieve aging and will exhibit yield strengths as high as 1700 
Mpa and ultimate tensile strengths as high as 1750 Mpa after aging, 
with elongation percentages of 3 percent or less in 50 mm. It is 
generally provided in thicknesses between 0.635 and 0.787 mm, and in 
widths of 25.4 mm. This product is most commonly used in the 
manufacture of television tubes and is currently available under 
proprietary trade names such as ``Durphynox 17''.\3\
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    \3\ ``Durphynox 17'' is a trademark of Imphy, S.A.
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    Finally, three specialty stainless steels typically used in certain 
industrial blades and surgical and medical instruments are also 
excluded from the scope of this investigation. These include stainless 
steel strip in coils used in the production of textile cutting tools 
(i.e., carpet knives).\4\ This steel is similar to AISI grade 420 but 
containing, by weight, 0.5 to 0.7 percent of molybdenum. The steel also 
contains, by weight, carbon of between 1.0 and 1.1 percent, sulfur of 
0.020 percent or less, and includes between 0.20 and 0.30 percent 
copper and between 0.20 and 0.50 percent cobalt. This steel is sold 
under proprietary names such as ``GIN4 Mo.''\5\ The second excluded 
stainless steel strip in coils is similar to AISI 420-J2 and contains, 
by weight, carbon of between 0.62 and 0.70 percent, silicon of between 
0.20 and 0.50 percent, manganese of between 0.45 and 0.80 percent, 
phosphorus of no more than 0.025 percent and sulfur of no more than 
0.020 percent. This steel has a carbide density on average of 100 
carbide particles per 100 square microns. An example of this product is 
``GIN5'' steel. The third specialty steel has a chemical composition 
similar to AISI 420 F, with carbon of between 0.37 and 0.43 percent, 
molybdenum of between 1.15 and 1.35 percent, but lower manganese of 
between 0.20 and 0.80 percent, phosphorus of no more than 0.025 
percent, silicon of between 0.20 and 0.50 percent, and sulfur of no 
more than 0.020 percent. This product is supplied with a hardness of 
more than Hv 500 guaranteed after customer processing, and is supplied 
as, for example, ``GIN6''.
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    \4\ This list of uses is illustrative and provided for 
descriptive purposes only.
    \5\ ``GIN 4 Mo'', ``GIN5'' and ``GIN6'' are the proprietary 
grades of Hitachi Metals America Ltd.
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Background

    On June 1, 2004, the Department initiated and the ITC instituted 
sunset reviews of the antidumping duty orders on stainless steel sheet 
and strip in coils from Germany, Italy, Japan, Korea, Mexico, and 
Taiwan, and the countervailing duty orders on stainless steel sheet and 
strip in coils from Italy and Korea, pursuant to section 751(c) of the 
Tariff Act of 1930, as amended (``the Act'').\6\
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    \6\ See Initiation of Five-Year (``Sunset'') Reviews, 69 FR 
30874 (June 1, 2004), and Stainless Steel Sheet and Strip in Coils 
from France, Germany, Italy, Japan, Korea, Mexico, Taiwan, and the 
United Kingdom (Inv. Nos. 701-TA-380-382 and 731-TA-797-804 
(Review), 69 FR 30958 (June 1, 2004).
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    As a result of its review, the Department found that revocation of 
the antidumping and countervailing duty orders would likely lead to 
continuation or recurrence of dumping and countervailable subsidies, 
and notified the ITC of the magnitude of the margins and the net 
countervailable subsidies likely to prevail were the orders to be 
revoked.\7\ On July 18, 2005, the ITC determined pursuant to section 
751(c) of the Act, that revocation of the antidumping duty orders on 
certain stainless steel sheet and strip in coils from Germany, Italy, 
Japan, Korea, Mexico, and Taiwan, and the countervailing duty orders on 
stainless steel sheet and strip in coils from Italy and Korea would 
likely lead to continuation or recurrence of material injury to an 
industry in the United States within a reasonably foreseeable time.\8\
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    \7\ See Stainless Steel Sheet and Strip in Coils From Germany; 
Final Results of the Expedited Sunset Review of the Antidumping Duty 
Order, 69 FR67896 (November 22, 2004), Stainless Steel Sheet and 
Strip in Coils From Italy; Final Results of the Expedited Sunset 
Review of the Antidumping Duty Order, 69 FR 67894 (November 22, 
2004), Stainless Steel Sheet and Strip in Coils from Japan; Final 
Results of the Expedited Sunset Review of the Antidumping Duty 
Order, 69 FR 62250 (October 25, 2004), Stainless Steel Sheet and 
Strip in Coils from The Republic of Korea, Taiwan and the United 
Kingdom; Final Results of the Expedited Five Year (``Sunset'') 
Reviews of Antidumping Duty Orders, 69 FR 67892 (November 22, 2004), 
Stainless Steel Sheet and Strip in Coils from Mexico: Final Results 
of the Full Sunset Review of Antidumping Duty Order, 70 FR 66620 
(February 8, 2005).
    \8\ See Certain Stainless Steel Sheet and Strip France, Germany, 
Italy, Japan, Korea, Mexico, Taiwan, and the United Kingdom, July 
18, 2005 (70 FR 41236), and USITC Publication 3788 (Investigation 
Nos. 701-TA-381-382 and 731-TA-797-804 (Review)(July 2005).
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Determination

    As a result of the determinations by the Department and the ITC 
that revocation of these antidumping and countervailing duty orders 
would likely lead to continuation or recurrence of dumping and 
countervailable subsidies, and material injury to an industry in the 
United States, pursuant to section 751(d)(2) of the Act, the Department 
hereby orders the continuation of the antidumping duty orders on 
stainless steel sheet and strip in coils from Germany, Italy, Japan, 
Korea, Mexico, and Taiwan, and countervailing duty orders on stainless 
steel sheet and strip in coils from Italy and Korea. As provided in 19 
CFR 351.218(f)(4), the Department normally will issue its determination 
to continue an order not later than seven days after the date of 
publication in the Federal Register of the ITC's determination 
concluding the sunset review and immediately thereafter, will publish 
notice of its determination in the Federal Register. In the instant 
case, however, the Department's publication of the Notice of 
Continuation was delayed. The Department has explicitly indicated that 
the effective date of continuation of this order is July 25, 2005, 
seven days after the date of publication in the Federal Register of 
ITC's determination. U.S. Customs and Border Protection (``CBP'') will 
continue to collect antidumping and countervailing duty cash deposits 
at the rates in effect at the time of entry for all imports of subject 
merchandise.
    The effective date of continuation of these orders will be the date 
of publication in the Federal Register of this Notice of Continuation. 
Pursuant to section 751(c)(2) and 751(c)(6)(A) of the Act, the 
Department intends to initiate the next five-year review, of these 
orders not later than July 2010.
    These five-year (sunset) reviews and notice are in accordance with 
section 751(c) and published pursuant to section 777(i)(1) of the Act.

    Dated: July 28, 2005.
Joseph A. Spetrini,
Acting Assistant Secretary for Import Administration.
[FR Doc. E5-4184 Filed 8-3-05; 8:45 am]
BILLING CODE 3510-DS-S