[Federal Register Volume 71, Number 108 (Tuesday, June 6, 2006)]
[Notices]
[Pages 32519-32521]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-8754]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-818]


Certain Corrosion-Resistant Carbon Steel Flat Products From 
Korea: Final Results of Expedited Five-Year (``Sunset'') Review of the 
Countervailing Duty Order

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

SUMMARY: On November 1, 2005, the Department of Commerce (``the 
Department'') published in the Federal Register the notice of 
initiation of the second five-year sunset review of the countervailing 
duty order on certain corrosion-resistant carbon steel flat products 
(CORE) from the Republic of Korea (``Korea''), pursuant to section 
751(c) of the Tariff Act of 1930, as amended (``the Act''). See 
Initiation of Five-Year (``Sunset'') Reviews, 70 FR 65884 (November 1, 
2005) (``Second Sunset Review''). On the basis of a notice of intent to 
participate and an adequate substantive response filed on behalf of 
domestic interested parties, and an inadequate response from respondent 
interested parties (in this case, no response), the Department has 
conducted an expedited sunset review of this order pursuant to section 
751(c)(3)(B) of the Act and 19 CFR 351.218(e)(1)(ii)(B). As a result of 
this sunset review, the Department finds that revocation of the 
countervailing duty order is likely to lead to continuation or 
recurrence of a countervailable subsidy at the level indicated in the 
``Final Results of Review'' section of this notice.

DATES: Effective Date: June 6, 2006.

FOR FURTHER INFORMATION CONTACT: Stephanie Moore or Brandon Farlander, 
AD/CVD Operations, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Ave., NW., Washington, DC 20230; telephone: (202) 482-3692 
or (202) 482-5439, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The countervailing duty order which covers CORE from Korea, was 
published in the Federal Register on August 17, 1993. See 
Countervailing Duty Orders and Amendments to Final Affirmative 
Countervailing Duty Determinations: Certain Steel Products from Korea, 
58 FR 43752 (August 17, 1993). On November 1, 2005, the Department 
initiated the second sunset review of the

[[Page 32520]]

countervailing duty order on CORE from Korea, pursuant to section 
751(c) of the Act. See Second Sunset Review. The Department received 
notices of intent to participate from Nucor Corporation (``Nucor''), 
Mittal Steel USA ISG Inc. (``Mittal Steel USA'') and Ispat-Inland 
(``Ispat''); United States Steel Corporation (``U.S. Steel''); 
(collectively, ``domestic interested parties''); and on behalf of 
United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied 
Industrial and Service Workers International Union, AFL-CIO-CLC 
(``USW''), within the deadline specified in 19 CFR 351.218(d)(1)(i). 
Domestic interested parties and the USW claimed interested party status 
under sections 771(9)(C) and (D) of the Act, as U.S. producers and a 
certified union engaged in the manufacture, production, or wholesale of 
CORE in the United States.
    On December 1, 2005, the Department received a substantive response 
from domestic interested parties within the deadline specified in 
section 19 CFR 351.218(d)(3)(i). The Department did not receive any 
responses from any respondent interested party to this proceeding. In 
accordance with 19 CFR 351.218(e)(1)(ii)(C)(2), the Department notified 
the International Trade Commission (``ITC'') that respondent interested 
parties provided an inadequate response to the Notice of Initiation of 
Five-Year (``Sunset'') Review.\1\ The Department, therefore, is 
conducting an expedited sunset review of the countervailing duty order, 
pursuant to 19 CFR 351.218(e)(1)(ii)(B) and 351.218(e)(1)(ii)(C)(2).
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    \1\ See December 21, 2005 letter to ITC, Robert Carpenter, 
Director of Investigations, from Barbara E. Tillman, Director, 
Office 6, AD/CVD Operations, Import Administration.
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    In accordance with section 751(c)(5)(C)(v) of the Act, the 
Department may treat a review as extraordinarily complicated if it is a 
review of a transition order (i.e., an order in effect on January 1, 
1995, the effective date of the Uruguay Round Agreements Act), as is 
the case in this proceeding. As such, the Department determined that 
the sunset review of the countervailing duty order on CORE from Korea 
is extraordinarily complicated and required additional time for the 
completion of the final results of review. In accordance with section 
751(c)(5)(B) of the Act, the Department extended the time limit for 
completion of the final results of CORE from Korea until no later than 
May 30, 2006. See Certain Corrosion-Resistant Carbon Steel Flat 
Products from Australia, Canada, France, Germany, Japan, and South 
Korea: Extension of Time Limits for Final Results of Expedited Sunset 
Reviews, 71 FR 10006 (February 28, 2006).

Scope of the Order

    The merchandise covered by this order includes flat-rolled carbon 
steel products, of rectangular shape, either clad, plated, or coated 
with corrosion-resistant metals such as zinc, aluminum, or zinc-, 
aluminum-, nickel- or iron-based alloys, whether or not corrugated or 
painted, varnished or coated with plastics or other nonmetallic 
substances in addition to the metallic coating, in coils (whether or 
not in successively superimposed layers) and of a width of 0.5 inch or 
greater, or in straight lengths which, if of a thickness less than 4.75 
millimeters, are of a width of 0.5 inch or greater and which measures 
at least 10 times the thickness or if of a thickness of 4.75 
millimeters or more are of a width which exceeds 150 millimeters and 
measures at least twice the thickness, as currently classifiable in the 
Harmonized Tariff Schedule of the United States (HTSUS) under item 
numbers 7210.31.0000, 7210.39.0000, 7210.41.0000, 7210.49.0030, 
7210.49.0090, 7210.60.0000, 7210.70.6030, 7210.70.6060, 7210.70.6090, 
7210.90.1000, 7210.90.6000, 7210.90.9000, 7212.21.0000, 7212.29.0000, 
7212.30.1030, 7212.30.1090, 7212.30.3000, 7212.30.5000, 7212.40.1000, 
7212.40.5000, 7212.50.0000, 7212.60.0000, 7215.90.1000, 7215.90.5000, 
7217.12.1000, 7217.13.1000, 7217.19.1000, 7217.19.5000, 7217.22.5000, 
7217.23.5000, 7217.29.1000, 7217.29.5000, 7217.32.5000, 7217.33.5000, 
7217.39.1000, and 7217.39.5000. Included in this order are flat-rolled 
products of non-rectangular cross-section where such cross-section is 
achieved subsequent to the rolling process (i.e., products which have 
been ``worked after rolling'')--for example, products which have been 
beveled or rounded at the edges. Excluded from this order are flat-
rolled steel products either plated or coated with tin, lead, chromium, 
chromium oxides, both tin and lead (``terne plate''), or both chromium 
and chromium oxides (``tin-free steel''), whether or not painted, 
varnished or coated with plastics or other nonmetallic substances in 
addition to the metallic coating. Excluded from this order are clad 
products in straight lengths of 0.1875 inch or more in composite 
thickness and of a width which exceeds 150 millimeters and measures at 
least twice the thickness. Also excluded from this order are certain 
clad stainless flat-rolled products, which are three-layered corrosion-
resistant carbon steel flat-rolled products less than 4.75 millimeters 
in composite thickness that consist of a carbon steel flat-rolled 
product clad on both sides with stainless steel in a 20%-60%-20% ratio. 
Although the HTSUS subheadings are provided for convenience and customs 
purposes, the written description of the merchandise covered by this 
order is dispositive.

Analysis of Comments Received

    All issues raised in substantive responses by parties in this 
sunset review are addressed in the Issues and Decision Memorandum for 
Final Results of Expedited Five-Year (``Sunset'') Review of the 
Countervailing Duty Order on Certain Corrosion-Resistant Carbon Steel 
Flat Products from Korea (``Decision Memo''), from Stephen J. Claeys, 
Deputy Assistant Secretary for Import Administration, to David M. 
Spooner, Assistant Secretary for Import Administration, dated May 30, 
2006, which is hereby adopted by this notice. The issues discussed in 
the Decision Memo include the likelihood of continuation or recurrence 
of a countervailable subsidy and the net countervailable subsidy rate 
likely to prevail if the order were revoked.
    Parties can find a complete discussion of all issues raised in this 
sunset review and the corresponding recommendation in this public 
memorandum which is on file in B-099, the Central Records Unit, of the 
main Commerce building. In addition, a complete version of the Decision 
Memo can be accessed directly on the Department's Web page at http://ia.ita.doc.gov/frn. The paper copy and electronic version of the 
Decision Memo are identical in content.

Final Results of Review

    The Department determines that revocation of the countervailing 
duty order on CORE from Korea is likely to lead to continuation or 
recurrence of countervailable subsidies at the following countervailing 
duty rate:

[[Page 32521]]



------------------------------------------------------------------------
                                                             Net subsidy
                   Manufacturer/exporter                       margin
                                                              (percent)
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All Producers/Exporters from Korea \2\....................         1.15
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    This notice also serves as the only reminder to parties subject to 
administrative protective orders (APO) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with section 351.303 of the 
Department's regulations. Timely notification of the return or 
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 violation which is subject to sanction.
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    \2\ Union Steel was excluded from the order on the basis of a de 
minimis net subsidy rate. See Certain Cold-Rolled and Corrosion-
Resistant Carbon Steel Flat Products From Korea: Amended Final 
Affirmative Countervailing Duty Determinations in Accordance with 
Decision Upon Remand, 66 FR 16656 (March 27, 2001).
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    We are issuing and publishing this determination and notice in 
accordance with sections 751(c), 752, and 777(i) of the Act.

    Dated: May 30, 2006.
David M. Spooner,
Assistant Secretary for Import Administration.
 [FR Doc. E6-8754 Filed 6-5-06; 8:45 am]
BILLING CODE 3510-DS-P