[Federal Register Volume 71, Number 227 (Monday, November 27, 2006)]
[Notices]
[Pages 68543-68544]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-20011]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-823-809]


Steel Concrete Reinforcing Bars From Ukraine; Preliminary Results 
of the Sunset Review of Antidumping Duty Order

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: On August 1, 2006, the Department of Commerce (``the 
Department'') initiated a sunset review of the antidumping duty order 
on steel concrete reinforcing bars from Ukraine. On the basis of the 
notice of intent to participate, and complete substantive responses 
filed on behalf of the domestic and respondent interested parties, the 
Department is conducting a full sunset review of the antidumping duty 
order pursuant to section 751(c) of the Tariff Act of 1930, as amended 
(``the Act'') and 19 CFR 351.218(e)(2)(i). As a result of this sunset 
review, the Department preliminarily finds that revocation of the 
antidumping duty order would likely lead to continuation or recurrence 
of dumping at the level listed below in the section entitled 
``Preliminary Results of Review.''

EFFECTIVE DATE: November 27, 2006.

FOR FURTHER INFORMATION CONTACT: Audrey R. Twyman, Damian Felton, or 
Brandon Farlander, AD/CVD Operations, Office 1, Import Administration, 
International Trade Administration, U.S. Department of Commerce, 14th 
Street & Constitution Avenue, NW, Washington, DC 20230; telephone: 202-
482-3534, 202-482-0133, and 202-482-0182, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On August 1, 2006, the Department published its notice of 
initiation of the sunset review of the antidumping duty order on steel 
concrete reinforcing bars from Ukraine, in accordance with section 
751(c) of the Act. See Initiation of Five-Year (``Sunset'') Reviews, 71 
FR 43443 (August 1, 2006) (``Notice of Initiation'').
    The Department received a notice of intent to participate from the 
following domestic parties: The Rebar Trade Action Coalition and its 
individual producer members, Nucor Corporation, CMC Steel Group, and 
Gerdau Ameristeel, as well as domestic producers TAMCO Steel and 
Schnitzer Steel Industries, Inc. (``Schnitzer'') (``domestic interested 
parties''), within the deadline specified in 19 CFR 351.218(d)(1)(i). 
These companies claimed interested party status under section 771(9)(C) 
of the Act, as manufacturers of a domestic-like product in the United 
States.
    The Department received a complete substantive response to the 
notice of initiation from the domestic interested parties within the 
30-day deadline specified in 19 CFR 351.218(d)(3)(i). In this response, 
Cascade Steel Rolling Mills, Inc. (``Cascade'') was substituted for 
Schnitzer as a domestic interested party. Cascade is a wholly owned 
subsidiary of Schnitzer. Also, Steel Dynamics, Inc. (``SDI'') was added 
as a domestic producer. Because SDI did not file a notice of intent to 
participate in this review, it is not eligible to file a substantive 
response. See 19 CFR 351.218(d)(iii)(A). Therefore, the domestic 
interested parties are now the Rebar Trade Action Coalition and its 
individual producer members Nucor Corporation, CMC Steel Group, and 
Gerdau Ameristeel, as well as TAMCO Steel, and Cascade. The Department 
received a complete substantive response from respondent interested 
party, Open Joint Stock Company ``Mittal Steel Kryviy Rih'' \1\ 
(``Mittal Steel'' or the ``respondent interested party''), within the 
deadline specified in 19 CFR 351.218(d)(3)(i). On September 5, 2006, 
the Department received a rebuttal to Mittal Steel's substantive 
response from the domestic interested parties.
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    \1\ Mittal Steel notified the Department in its substantive 
response that as of November 2005, its name was changed due to an 
ownership change. Mittal Steel stated that its former name was 
``Krivorozhstal'' Steel Works. The Department has neither conducted 
a changed circumstances review for this company, nor made a 
successor-in-interest determination.
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    19 CFR 351.218(e)(1)(ii)(A) provides that the Secretary normally 
will conclude that respondent interested

[[Page 68544]]

parties have provided an adequate response to a notice of initiation 
where the Department receives complete substantive responses from 
respondent interested parties accounting, on average, for more than 50 
percent, by volume, or value, if appropriate, of the total exports of 
the subject merchandise to the United States over the five calendar 
years preceding the year of publication of the notice of initiation. On 
September 20, 2006, the Department found that Mittal Steel accounted 
for more than 50 percent of exports by volume of the subject 
merchandise from Ukraine to the United States, dependent upon it 
demonstrating that it exported to the United States during the period. 
See Memorandum to Susan H. Kuhbach, Director, from Damian Felton 
entitled, ``Adequacy Determination in Antidumping Duty Sunset Review of 
Steel Concrete Reinforcing Bars from Ukraine,'' (September 20, 2006).
    In its substantive response, Mittal Steel also notified the 
Department of a name change that occurred in November 2005. Prior to 
this date, the company was named ``Krivorozhstal'' Steel Works. In 
November 2005, with Mittal Steel's purchase of the company, the name 
became Mittal Steel Kryviy Rih.
    On September 28, 2006, the Department sent a letter to Mittal Steel 
requesting proof of order date, invoice date, quantity, value, shipment 
date, and payment date for its reported shipments. The Department also 
requested that Mittal Steel confirm that the merchandise was included 
in the scope of the order. On October 20, 2006, Mittal Steel submitted 
the requested documentation.
    Because the Department has no evidence contradicting Mittal Steel's 
claim that it is the successor to ``Krivorozhstal'' Steel Works, which 
made the 2001 shipments, we are equating Mittal and ``Krivorozhstal'' 
Steel Works solely for the purpose of determining whether the 
respondent interested party submitted an adequate response to our 
notice of initiation. Based on its response to our request for 
supporting documentation, the Department determines that Mittal Steel 
has demonstrated that it represents more than 50 percent of the total 
exports of subject merchandise from Ukraine to the United States during 
this five-year sunset review period (2001-2005). Therefore, in 
accordance with 19 CFR 351.218(e)(2)(i), the Department is conducting a 
full sunset review of this antidumping duty order.
    The final results in the full sunset review of this antidumping 
duty order are due on or before March 29, 2007.

Scope of the Order

    The product covered by this order is all steel concrete reinforcing 
bars sold in straight lengths, currently classifiable in the Harmonized 
Tariff Schedule of the United States (``HTSUS'') under item numbers 
7214.20.00, 7228.30.8050, 7222.11.0050, 7222.30.0000, 7228.60.6000, 
7228.20.1000, or any other tariff item number. Specifically excluded 
are plain rounds (i.e., non-deformed or smooth bars) and rebar that has 
been further processed through bending or coating. HTSUS subheadings 
are provided for convenience and customs purposes. The written 
description of the scope of the order is dispositive.

Analysis of Comments Received

    All issues raised in this sunset review are addressed in the 
``Issues and Decision Memorandum for the Sunset Review of the 
Antidumping Duty Order on Steel Concrete Reinforcing Bars from Ukraine; 
Preliminary Results,'' from Stephen J. Claeys, Deputy Assistant 
Secretary for Import Administration, to David M. Spooner, Assistant 
Secretary for Import Administration (November 20, 2006) (``Decision 
Memo''), which is hereby adopted by this notice. The issues discussed 
in the Decision Memo include the likelihood of continuation or 
recurrence of dumping and the magnitude of the margin likely to prevail 
if the antidumping duty order were revoked. Parties can find a complete 
discussion of all issues raised in this sunset review and the 
corresponding recommendations in this public memo, which is on file in 
room B-099 of the main Department building. In addition, a complete 
version of the Decision Memo can be accessed directly on the Web at 
http://ia.ita.doc.gov/frn. The paper copy and electronic version of the 
Decision Memo are identical in content.

Preliminary Results of Review

    The Department preliminarily determines that revocation of the 
antidumping duty order on steel concrete reinforcing bars from Ukraine 
is likely to lead to continuation or recurrence of dumping at the 
following weighted-average margin:

------------------------------------------------------------------------
                                                             Weighted-
            Manufacturers/producers/exporters             average margin
                                                             (percent)
------------------------------------------------------------------------
All Others Rate, including Mittal Steel Kryviy Rih and            41.69
 ``Krivorozhstal'' Steel Works \2\......................
------------------------------------------------------------------------
\2\ As of February 1, 2006, Ukraine graduated to market economy status.
  See Final Results of Inquiry Into Ukraine's Status as a Non-Market
  Economy Country, 71 FR 9520 (February 24, 2006). As a result, the
  Ukraine wide rate is now the All Others rate. Mittal Steel is
  considered part of the all others rate because a successor-in-interest
  determination has not been made. See, e.g., Cut-to-Length Carbon Steel
  Plate from Belgium, Brazil, Finland, Germany, Mexico, Poland, Romania,
  Spain, Sweden, and the United Kingdom and Carbon Steel Plate from
  Taiwan; Second Five-Year (Sunset) Reviews of Antidumping Duty Orders
  and Antidumping Finding; Final Results, 71 FR 11577, 11579 (March 8,
  2006) (explaining that Duferco is subject to the all others rate
  because the Department had not yet conducted a changed circumstances
  review to determine the successor-in-interest to Forges de Clabecq,
  S.A.).

    Any interested party may request a hearing within 30 days of 
publication of this notice in accordance with 19 CFR 351.310(c). 
Interested parties may submit case briefs no later than 50 days after 
the date of publication of this notice, in accordance with 19 CFR 
351.309(c)(1)(i). Rebuttal briefs, which must be limited to issues 
raised in the case briefs, may be filed no later than 5 days after the 
case briefs, in accordance with 19 CFR 351.309(d)(1). Any hearing, if 
requested, will be held two days after rebuttal briefs are due, in 
accordance with 19 CFR 351.310(d)(1). The Department will issue a 
notice of final results of this sunset review, which will include the 
results of its analysis of issues raised in any such briefs, no later 
than March 29, 2007.
    This five-year (``sunset'') review and notice are in accordance 
with sections 751(c), 752(c), and 777(i)(1) of the Act.

    Date: November 20, 2006.
David M. Spooner,
Assistant Secretary for Import Administration
 [FR Doc. E6-20011 Filed 11-24-06; 8:45 am]
BILLING CODE 3510-DS-P