[Federal Register Volume 72, Number 32 (Friday, February 16, 2007)]
[Notices]
[Pages 7604-7606]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-2816]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-421-807]


Certain Hot-Rolled Carbon Steel Flat Products from the 
Netherlands; 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 certain hot-rolled carbon steel flat products from the Netherlands 
(see Initiation of Five-year (``Sunset'') Reviews, 71 FR 43443 (August 
1, 2006)). On the basis of the notice of intent to participate, 
adequate substantive responses and rebuttal comments 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 section 351.218(e)(2)(i) of the Department's regulations. 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 levels listed below in the 
section entitled ``Preliminary Results of Review.''

EFFECTIVE DATE: February 16, 2007.

FOR FURTHER INFORMATION CONTACT: Steve Bezirganian or Robert James, AD/
CVD Operations, Office 7, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14\th\ Street & 
Constitution Avenue, NW, Washington, DC, 20230; telephone: 202-482-1131 
and 202-482-0649, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On August 1, 2005, the Department published its notice of 
initiation of the first sunset review of the antidumping duty order on 
certain hot-rolled carbon steel flat products from the Netherlands, 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 a 
respondent interested party, Corus Staal BV. Corus Staal BV claimed 
interested party status as a foreign producer, under section 771(9)(A) 
of the Act (19 U.S.C. 1677(9)(A)) and 19 CFR 351.102(b).
    The Department also received a Notice of Intent to Participate from 
the following domestic interested parties: Nucor Corporation; Gallatin 
Steel; IPSCO Steel, Inc.; Steel Dynamics, Inc.; Mittal Steel USA; and 
United States Steel Corporation (collectively Domestic Producers). 
Finally, the Department received a Notice of Intent to Participate from 
an additional domestic interested party: United Steel, Paper and 
Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service 
Workers International Union, AFL-CIO-CLC. The Notices of Intent to 
Participate from domestic interested parties were within the deadline 
specified in section 351.218(d)(1)(i) of the Department's Regulations 
(see Procedures for Conducting Five-year (``Sunset'') Reviews of 
Antidumping and Countervailing Duty Orders (Sunset Regulations), 63 FR 
13516 (March 20, 1998)). The domestic interested parties claimed 
interested party status under sections 771(9)(C) and (D) of the Act, as 
manufacturers of a domestic-like product in the United States, and a 
union whose workers are engaged in the production 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 the Sunset Regulations under section 
351.218(d)(3)(i). The Department also received a complete substantive 
response from a respondent interested party, Corus Staal BV, within the 
deadline specified in section 351.218(d)(3)(i) of the Department's 
regulations.
    On September 1, 2006, the Department received a request from United 
States Steel Corporation for an extension of the deadline for filing 
rebuttal comments to the substantive response of the respondent 
interested parties. Pursuant to section 351.302(b) of the Department's 
regulations, parties were granted an extension to file rebuttal 
comments to the substantive responses until September 8, 2006. On 
September 8, 2006, Corus Staal BV and United States Steel Corporation 
filed rebuttal comments.
    On September 20, 2006, the Department found that the respondent 
interested parties accounted for more than 50 percent of exports by 
volume of the subject merchandise from Germany to the United States. 
See the September 20, 2006, memorandum from Robert James to Richard 
Weible entitled ``Sunset Review of Certain Hot-Rolled Carbon Steel Flat 
Products from the Netherlands: Adequacy of Domestic and Respondent 
Interested Party Responses to the Notice of Initiation.'' In accordance 
with section 351.218(e)(2)(i) of the Department's regulations, the 
Department determined to conduct a full sunset review of this 
antidumping duty order.
    The Department extended the deadlines for the preliminary results 
of this review and the final results of this review to February 12, 
2007, and June 22, 2007, respectively. See Certain Hot-Rolled Carbon 
Steel Flat Products from the Netherlands; Extension of Time Limits for 
Preliminary and Final Results of Full Five-year (``Sunset'') Review of 
Antidumping Duty Order, 71 FR 67854 (November 24, 2006).

Scope of the Order

    For purposes of this order, the products covered are certain hot-
rolled carbon steel flat products of a rectangular shape, of a width of 
0.5 inch or greater, neither clad, plated, nor coated with metal and 
whether or not painted, varnished, or coated with plastics or other 
non-metallic substances, in coils (whether or not in successively 
superimposed layers),

[[Page 7605]]

regardless of thickness, and in straight lengths, of a thickness of 
less than 4.75 mm and of a width measuring at least 10 times the 
thickness. Universal mill plate (i.e., flat-rolled products rolled on 
four faces or in a closed box pass, of a width exceeding 150 mm, but 
not exceeding 1250 mm, and of a thickness of not less than 4.0 mm, not 
in coils and without patterns in relief) of a thickness not less than 
4.0 mm is not included within the scope of the order. Specifically 
included within the scope of this order are vacuum degassed, fully 
stabilized (commonly referred to as interstitial-free (IF)) steels, 
high strength low alloy (HSLA) steels, and the substrate for motor 
lamination steels. IF steels are recognized as low carbon steels with 
micro-alloying levels of elements such as titanium or niobium (also 
commonly referred to as columbium), or both, added to stabilize carbon 
and nitrogen elements. HSLA steels are recognized as steels with micro-
alloying levels of elements such as chromium, copper, niobium, 
vanadium, and molybdenum. The substrate for motor lamination steels 
contains micro-alloying levels of elements such silicon and aluminum.
    Steel products to be included in the scope of this order, 
regardless of definitions in the Harmonized Tariff Schedule of the 
United States (HTSUS), are products in which: (i) iron predominates, by 
weight, over each of the other contained elements; (ii) the carbon 
content is 2 percent or less, by weight; and (iii) none of the elements 
listed below exceeds the quantity, by weight, respectively indicated:
    1.80 percent of manganese, or
    2.25 percent of silicon, or
    1.00 percent of copper, or
    0.50 percent of aluminum, or
    1.25 percent of chromium, or
    0.30 percent of cobalt, or
    0.40 percent of lead, or
    1.25 percent of nickel, or
    0.30 percent of tungsten, or
    0.10 percent of molybdenum, or
    0.10 percent of niobium, or
    0.15 percent of vanadium, or
    0.15 percent of zirconium.
All products that meet the physical and chemical description provided 
above are within the scope of this order unless otherwise excluded. The 
following products, by way of example, are outside or specifically 
excluded from the scope of this order:
     Alloy hot-rolled steel products in which at least one of 
the chemical elements exceeds those listed above (including, e.g., ASTM 
specifications A543, A387, A514, A517, A506).
     Society of Automotive Engineers (SAE)/American Iron and 
Steel Institute (AISI) grades of series 2300 and higher.
     Ball bearings steels, as defined in the HTSUS.
     Tool steels, as defined in the HTSUS.
     Silico-manganese (as defined in the HTSUS) or silicon 
electrical steel with a silicon level exceeding 2.25 percent.
     ASTM specifications A710 and A736.
     USS Abrasion-resistant steels (USS AR 400, USS AR 500).
     All products (proprietary or otherwise) based on an alloy 
ASTM specification (sample specifications: ASTM A506, A507).
     Non-rectangular shapes, not in coils, which are the result 
of having been processed by cutting or stamping and which have assumed 
the character of articles or products classified outside chapter 72 of 
the HTSUS.
    The merchandise subject to this order is classified in the HTSUS at 
subheadings: 7208.10.15.00, 7208.10.30.00, 7208.10.60.00, 
7208.25.30.00, 7208.25.60.00, 7208.26.00.30, 7208.26.00.60, 
7208.27.00.30, 7208.27.00.60, 7208.36.00.30, 7208.36.00.60, 
7208.37.00.30, 7208.37.00.60, 7208.38.00.15, 7208.38.00.30, 
7208.38.00.90, 7208.39.00.15, 7208.39.00.30, 7208.39.00.90, 
7208.40.60.30, 7208.40.60.60, 7208.53.00.00, 7208.54.00.00, 
7208.90.00.00, 7211.14.00.90, 7211.19.15.00, 7211.19.20.00, 
7211.19.30.00, 7211.19.45.00, 7211.19.60.00, 7211.19.75.30, 
7211.19.75.60, and 7211.19.75.90. Certain hot-rolled flat-rolled carbon 
steel flat products covered by this order, including: vacuum degassed 
fully stabilized; high strength low alloy; and the substrate for motor 
lamination steel may also enter under the following tariff numbers: 
7225.11.00.00, 7225.19.00.00, 7225.30.30.50, 7225.30.70.00, 
7225.40.70.00, 7225.99.00.90, 7226.11.10.00, 7226.11.90.30, 
7226.11.90.60, 7226.19.10.00, 7226.19.90.00, 7226.91.50.00, 
7226.91.70.00, 7226.91.80.00, and 7226.99.00.00. Subject merchandise 
may also enter under 7210.70.30.00, 7210.90.90.00, 7211.14.00.30, 
7212.40.10.00, 7212.40.50.00, and 7212.50.00.00. Although the HTSUS 
subheadings are provided for convenience and U.S. Customs purposes, the 
written description of the scope of this order is dispositive.

Analysis of Comments Received

    All issues raised in this sunset review are addressed in the 
``Issues and Decision Memorandum for the Full Sunset Review of the 
Antidumping Duty Order on Certain Hot-Rolled Carbon Steel Flat Products 
from the Netherlands; Preliminary Results,'' from Stephen Claeys, 
Deputy Assistant Secretary for Import Administration, to David Spooner, 
Assistant Secretary for Import Administration, dated February 12, 2007 
(``Decision Memorandum''), which is hereby adopted by this notice. The 
issues discussed in the Decision Memorandum include: the legal 
authority to conduct sunset review; Corus Staal BV's claim with regard 
to the Department's practice embodied in the Sunset Review Policy 
Bulletin; the likelihood of the continuation or recurrence of dumping 
(non-de minimis margins in administrative reviews, and significant 
decline in import volumes); the magnitude of the margin likely to 
prevail (zeroing, sales by U.S. affiliate GalvPro LP, and duty 
absorption).
    Parties can find a complete discussion of all issues raised in this 
sunset review and the corresponding recommendations in this public 
memorandum, 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, under the 
heading ``February 2007.'' The paper copy and electronic version of the 
Decision Memorandum are identical in content.

Preliminary Results of Review

    The Department preliminarily determines that revocation of the 
antidumping duty order on certain hot-rolled carbon steel flat products 
from the Netherlands is likely to lead to continuation or recurrence of 
dumping at the following weighted-average margins:

------------------------------------------------------------------------
                                                       Weighted-Average
          Manufacturers/Producers/Exporters            Margin (Percent)
------------------------------------------------------------------------
Corus Staal BV......................................                2.59
All Others..........................................                2.59
------------------------------------------------------------------------

    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,

[[Page 7606]]

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 June 22, 2007 (see Certain Hot-Rolled Carbon Steel Flat Products 
from the Netherlands; Extension of Time Limits for Preliminary and 
Final Results of Full Five-year (``Sunset'') Review of Antidumping Duty 
Order, 71 FR 67854 (November 24, 2006)).
    This five-year (``sunset'') review and notice are in accordance 
with sections 751(c), 752, and 777(i)(1) of the Act.

    Dated: February 12, 2007.
David Spooner,
Assistant Secretary for Import Administration.
[FR Doc. E7-2816 Filed 2-15-07; 8:45 am]
BILLING CODE 3510-DS-S