[Federal Register Volume 71, Number 192 (Wednesday, October 4, 2006)]
[Notices]
[Pages 58587-58589]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-16393]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

C-412-815


Cut-to-Length Carbon Steel Plate from the United Kingdom: Final 
Results of Full Sunset Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: On November 1, 2005, the Department of Commerce (Department) 
initiated a sunset review of the countervailing duty (CVD) order on 
cut-to-length carbon steel plate (CTL plate) from the United Kingdom, 
pursuant to section 751(c) of the Tariff Act of 1930, as amended (the 
Act). On the basis of a notice of intent to participate and an adequate 
substantive response filed on behalf of the domestic interested parties 
and an adequate response from respondent interested parties, the 
Department determined to conduct a full sunset review of this CVD order 
pursuant to section 751(c) of the Act and 19 CFR 351.218(e)(2). On July 
19, 2006, the Department published the preliminary results of this 
review and invited interested parties to comment on those results. See 
Preliminary Results of Full Sunset Review: Cut-to-Length Carbon Steel 
Plate From the United

[[Page 58588]]

Kingdom, 71 FR 40993 (Preliminary Results). Based on our analysis of 
the comments and the record, the Department finds that revocation of 
the CVD order on CTL plate from the United Kingdom would not be likely 
to lead to continuation or recurrence of a countervailable subsidy. 
Therefore, the Department is revoking this CVD order in accordance with 
section 751(c) of the Act.

EFFECTIVE DATE: October 4, 2006.

FOR FURTHER INFORMATION CONTACT: Kimberley Hunt or Mark Hoadley, AD/CVD 
Operations, Office 6, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street & Constitution 
Avenue NW., Washington, DC 20230; telephone: (202) 482-1272 or (202) 
482-3148, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On November 1, 2005, the Department initiated a sunset review of 
the CVD order on cut-to-length carbon steel plate from the United 
Kingdom pursuant to section 751(c) of the Act. See Initiation of Five-
year (``Sunset'') Reviews, 70 FR 65884 (November 1, 2005) (Notice of 
Initiation).
    On December 21, 2005, the Department determined that the 
participation of the respondent interested parties was adequate, and 
that it was appropriate to conduct a full sunset review. See Memorandum 
to Stephen J. Claeys, Deputy Assistant Secretary, Import 
Administration, Re: Adequacy Determination; Sunset Review of the 
Countervailing Duty Order on Cut-to-Length Carbon Steel Plate from the 
United Kingdom, on file in CRU. On February 10, 2006, the Department 
extended the time limit for the preliminary and final results of the 
sunset review of the CVD order on CTL plate from the United Kingdom 
(UK) to no later than July 14 and September 27, 2006, respectively. See 
Cut-to-Length Carbon Steel Plate from Belgium, Sweden, and the United 
Kingdom; Extension of Time Limits for Preliminary and Final Results of 
Full Five-year (``Sunset'') Reviews of Countervailing Duty Orders, 71 
FR 7017 (February 10, 2006).
    On July 19, 2006, the Department published the preliminary results 
of the full sunset review, finding that revocation of the CVD order 
would likely lead to continuation or recurrence of a countervailable 
subsidy and requested case and rebuttal briefs from interested parties. 
See Preliminary Results.\1\ Corus Group plc (Corus)\2\ requested, and 
the Department granted, an extension of time for the submission of case 
briefs, hearing requests and rebuttal briefs. See Memorandum to All 
Interested Parties from Barbara E. Tillman, Office Director, Office of 
AD/CVD Operations 6, Re: Sunset Review of the Countervailing Duty 
Orders on Cut-to-length carbon steel plate from the United Kingdom; 
Extension of time to file case and rebuttal briefs dated July 31, 2006 
and on file in CRU.
---------------------------------------------------------------------------

    \1\ In the Preliminary Results, with respect to the change in 
ownership of Glynwed Steel Limited (Glynwed), the Department 
concluded that the sale of Glynwed was an arm's-length transaction 
negotiated between unrelated private parties. Thus, the Department 
concluded that, because it was a private-to-private sale at arm's 
length and, absent evidence to the contrary, the transaction was for 
fair market value and the countervailable benefits attributed to 
Glynwed in the original investigation were extinguished by the 
change in ownership. See ``Final Decision in the Second 129 
Proceeding - First Sunset review of the Countervailing Duty Order on 
Cut-to-Length Carbon Steel Plate from the United Kingdom'' dated May 
26, 2006 (Second 129) at 15.
    \2\ Corus/BS plc relationship: See footnote 2.
---------------------------------------------------------------------------

    On August 4, 2006, the European Union Delegation of the European 
Commission (EC) submitted its brief on the Department's Preliminary 
Results. The Department noted that the case reference was incorrect and 
asked the EC to resubmit its brief with the proper case reference which 
it did on August 7, 2006. Additionally on August 7, 2006, the 
Government of the United Kingdom (UKG) and Corus submitted their 
briefs. These briefs were rebutted by Mittal Steel USA ISG Inc. 
(Mittal), Nucor Corporation, IPSCO Steel Inc., and Oregon Steel Mills 
(collectively, petitioners) on August 14, 2006. Niagara LaSalle (UK) 
Limited (Niagara)\3\ did not submit comments on the Preliminary 
Results.
---------------------------------------------------------------------------

    \3\ Glynwed Steel Limited (Glynwed)/Niagara relationship: See 
footnote 1.
---------------------------------------------------------------------------

    On August 24, 2006, representatives from the EC and UKG met with 
representatives from the Department to discuss petitioners' rebuttal 
brief. A memorandum recording this meeting was placed on the file 
August 25, 2006. See Memorandum to The File, Re: August 24, 2006 
Meeting with the Government of the United Kingdom and the European 
Commission, dated August 30, 2006.
    On September 5 and 7, 2006, pursuant to section 351.104(a)(2) of 
the Department's regulations, the Department rejected the briefs of the 
UKG, the EC and Corus because they contained new factual information 
submitted after the time limit for submitting new factual information 
had expired. The Department removed the submissions from the record, 
and requested each party to refile its briefs without the new factual 
information. See Letters from Barbara E. Tillman, Director, Office of 
AD/CVD Enforcement 6 to James Hughes, First Secretary of Trade for the 
Embassy of the United Kingdom dated September 5, 2006; to Nikolaos 
Zaimis, Counselor - Head of Trade Section for the Delegation of the 
European Commission dated September 7, 2006; and to Gregory McCue, 
Esq., Representative of Corus Group plc. dated September 7, 2006, on 
file in CRU.
    On September 8 and September 13, 2006, the EC and the UKG submitted 
letters to the Department declining the Department's invitation to 
resubmit their briefs. Because neither the EC's nor the UKG's August 7, 
2006 submissions are on the record, pursuant to 19 CFR 351.104, we have 
not addressed any comments raised in those briefs in making our 
determination in these final results; we have, however, addressed the 
arguments made in their September 8 and 13, 2006 letters. For a full 
discussion of these arguments, see the Issues and Decision Memorandum 
from Stephen J. Claeys, Deputy Assistant Secretary for Import 
Administration, to James C. Leonard III, Acting Assistant Secretary for 
Import Administration, dated concurrently with this notice (Final 
Decision Memorandum); see also Memorandum to the File Re: Rejection of 
Submissions from the United Kingdom Government, the European Union 
Delegation of the European Commission and Corus Group plc from the 
Record of the Final Results of the Full Sunset Review of the 
Countervailing Duty Order on Cut-to-Length Carbon Steel Plate from the 
United Kingdom, dated September 27, 2006. Corus submitted an amended 
brief on September 11, 2006.

Scope Of The Order

    The products covered by this countervailing duty order are certain 
cut-to-length carbon steel plates from the United Kingdom, including 
hot-rolled carbon steel universal mill plates (i.e., flat-rolled 
products rolled on four faces or in a closed box pass, of a width 
exceeding 150 millimeters but not exceeding 1,250 millimeters and of a 
thickness of not less than 4 millimeters, not in coils and without 
patterns in relief), of rectangular shape, neither clad, plated nor 
coated with metal, whether or not painted, varnished, or coated with 
plastics or other nonmetallic substances; and certain hot-rolled carbon 
steel flat-rolled products in straight lengths, of rectangular shape, 
hot rolled, neither

[[Page 58589]]

clad, plated, nor coated with metal, whether or not painted, varnished, 
or coated with plastics or other nonmetallic substances, 4.75 
millimeters or more in thickness and of a width which exceeds 150 
millimeters and measures at least twice the thickness, as currently 
classifiable in the United States Harmonized Tariff Schedule (HTSUS) 
under item numbers 7208.40.3030, 7208.40.3060, 7208.51.0030, 
7208.51.0045, 7208.51.0060, 7208.52.0000, 7208.53.0000, 7208.90.0000, 
7210.70.3000, 7210.90.9000, 7211.13.0000, 7211.14.0030, 7211.14.0045, 
7211.90.0000, 7212.40.1000, 7212.40.5000, and 7212.50.0000. Included 
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 is 
grade X-70 plate. These HTSUS item numbers are provided for convenience 
and customs purposes. The written description remains dispositive. As a 
result of a changed circumstances review\4\, the order excludes certain 
cut-to-length carbon steel plate with a maximum thickness of 80 mm in 
steel grades BS 7191, 355 EM and 355 EMZ, as amended by Sable Offshore 
Energy Project specification XB MOO Y 15 0001, types 1 and 2.
---------------------------------------------------------------------------

    \4\ See Certain Cut-to-Length Carbon Steel Plate from Finland, 
Germany and the United Kingdom: Final Results of Changed 
Circumstances Antidumping Duty and Countervailing Duty Reviews, and 
Revocation of Orders in Part, 64 FR 46343 (August 25, 1999)
---------------------------------------------------------------------------

Analysis Of Comments Received

    All issues raised in this review are addressed in the Final 
Decision Memorandum, dated concurrently with this notice and which is 
hereby adopted by this notice. The issues discussed in the Final 
Decision Memorandum include the rejection of untimely submitted new 
factual information, the likelihood of continuation or recurrence a 
countervailable subsidy and the net countervailable subsidy likely to 
prevail. Parties can find a complete discussion of all issues raised in 
this review and the corresponding recommendation in this public 
memorandum which is on file in CRU. In addition, a complete version of 
the Final Decision Memorandum can be accessed directly on the Web at 
http://ia.ita.doc.gov/frn. The paper copy and electronic version of the 
Final Decision Memorandum are identical in content.

Final Results Of Review

    The Department determines that revocation of the CVD order would 
not be likely to lead to continuation or recurrence of a 
countervailable subsidy. As we recognized in the Preliminary Results, 
three of the six programs previously found to be countervailable have 
been terminated. For one of the remaining programs, the UK Regional 
Development Grants (RDG) program, the Department now determines that 
there is no likelihood that subsidization will continue or recur. In 
light of the change in our likelihood determination for the RDG 
program, we have re-examined our preliminary findings for the European 
Regional Development Fund (ERDF) Aid and the European Coal and Steel 
Community (ECSC) Article 54 Loans/Interest Rebates programs, the only 
remaining subsidies that provide a basis for our likelihood 
determination. As we noted in the Preliminary Results, the combined 
benefits from those programs have never been above zero. Therefore, we 
find that there would be no likelihood of continuation or recurrence of 
a countervailable subsidy were the order to be revoked. See e.g., Final 
Results of Full Sunset Review: Brass Sheet and Strip from France, 71 FR 
10651 (March 2, 2006), and accompanying Issues and Decisions 
Memorandum. Our full analysis is included in the Final Decision 
Memorandum.
    As a result, we are revoking this order effective December 15, 
2005, the fifth anniversary of the date of publication in the Federal 
Register of the notice of continuation of the CVD order on CTL plate 
from the UK. See Notice of Continuation of Antidumping and 
Countervailing Duty Orders on Certain Carbon Steel Products from 
Australia, Belgium, Brazil, Canada, Finland, France, Germany, Japan, 
South Korea, Mexico, Poland, Romania, Spain, Sweden, Taiwan, and the 
United Kingdom, 65 FR 78469 (December 15, 2000). We will notify the 
International Trade Commission of these results. Furthermore, within 15 
days of the publication of this notice, we will instruct U.S. Customs 
and Border Protection to terminate suspension of liquidation, effective 
December 15, 2005.

Notification Regarding Administrative Protective Order

    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 19 CFR 351.305 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.
    We are issuing and publishing these final results and notice in 
accordance with sections 751(c), 752, and 777(i)(1) of the Act.

    Dated: September 27, 2006.
James C. Leonard III,
Acting Assistant Secretary for Import Administration.
[FR Doc. E6-16393 Filed 10-3-06; 8:45 am]
BILLING CODE 3510-DS-S