[Federal Register Volume 72, Number 111 (Monday, June 11, 2007)]
[Notices]
[Pages 32072-32074]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-11206]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-865]


Preliminary Rescission of Antidumping Duty Administrative Review: 
Certain Hot-Rolled Carbon Steel Flat Products from the People's 
Republic of China

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

EFFECTIVE DATE: June 11, 2007.

FOR FURTHER INFORMATION CONTACT: Catherine Bertrand or Christopher 
Riker, Import Administration, International Trade Administration, U.S. 
Department of Commerce, 14th Street and Constitution Avenue, NW, 
Washington, DC 20230; telephone: (202) 482-3207 and (202) 482-3441, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On November 1, 2006, the Department of Commerce (``Department'') 
published a notice of opportunity to request an administrative review 
of the antidumping duty order on certain hot-rolled carbon steel flat 
products from the People's Republic of China (``PRC'') for the period 
of review (``POR'') November 1, 2005, through October 31, 2006. See 
Antidumping or Countervailing Duty Order, Finding, or Suspended 
Investigation; Opportunity to Request Administrative Review, 71 FR 
64240 (November 1, 2006). On November 30, 2006, United States Steel 
(``Petitioner''), a domestic producer of certain hot-rolled carbon 
steel flat products, requested that the Department conduct an 
administrative review of Anshan Iron & Steel Group Corp., Angang Group 
International Trade Corporation, Angang New Iron and Steel Co., Angang 
New Steel Co., Ltd., and Angang Group Hong Kong Co., Ltd. (collectively 
``Angang'') and Baosteel Group Corporation, Shanghai Baosteel 
International Economic & Trading Co., Ltd., and Baoshan Iron and Steel 
Co., Ltd. (collectively ``Baosteel''). On December 27, 2006, the 
Department published a notice of initiation of an antidumping duty 
administrative review on certain hot-rolled carbon steel flat products 
from the PRC. See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews and Request for Revocation in Part (``Notice of 
Initiation''), 71 FR 77720 (December 27, 2006).
    On January 4, 2007, the Department issued a quantity and value 
questionnaire to Angang and Baosteel. On January 18, 2007, Angang 
submitted a letter stating that Angang had no sales, shipments, or 
entries of subject merchandise to the United States during the POR. 
Also on January 18, 2007, Baosteel submitted a letter stating that it 
had no sales of subject merchandise to the United States during the 
POR.
    On February 7, 2007, Petitioner submitted information on the record 
of this review, in the form of Port Import Export Reporting Service 
(``PIERS'') data, which is a subscription service based upon shipping 
manifests, alleging that there were entries made of subject merchandise 
into the United States during the POR by Angang and Baosteel. On 
February 13, 2007, the Department requested that Angang and Baosteel 
provide comments on the PIERS data placed on the record by Petitioner. 
Also, on February 13, 2007, the Department requested that Petitioner 
provide the Harmonized Tariff Codes for the data it provided from PIERS 
and explain how the information it placed on the record could be tied 
to actual entry documentation from U.S. Customs and Border Protection 
(``CBP''). Baosteel submitted comments on February 16, 2007, and on 
March 6, 2007, again stating that it had no shipments, sales, or 
entries of subject merchandise during the POR to the United States, and 
provided supporting sales documentation for the entries listed in the 
PIERS data to demonstrate that those entries were not subject 
merchandise. On February 20, 2007, Angang responded to the Department's 
February 13, 2007, questionnaire, and stated again that it had no 
shipments, sales, or entries of subject merchandise during the POR, and 
alleged that the PIERS data placed on the record by Petitioner was not 
reflective of the actual material that was shipped by Angang. Also, on 
February 20, 2007, Petitioner submitted a response to the Department's 
February 13, 2007, questionnaire, and placed a revised version of the 
PIERS data on the record which contained the tariff code numbers.
    The Department conducted a CBP data query for possible entries of 
subject merchandise into the United States during the POR by Angang and 
Baosteel.

[[Page 32073]]

The data query response indicated that there were no shipments by 
either Angang or Baosteel during the POR.
    On January 16, 2007, we sent inquiries to CBP requesting 
notification as to whether it had information indicating that there 
were shipments of subject merchandise into the United States during the 
POR by Angang or Baosteel. We received responses from several CBP ports 
indicating that certain shipments by Baosteel to the United States 
during the POR may contain subject merchandise. We requested all of the 
documentation relating to these shipments and placed the documentation 
on the record. See Memorandum to the File from Catherine Bertrand dated 
April 11, 2007. On April 11, 2007, we sent Baosteel a questionnaire 
regarding the entry documentation, and requested that Baosteel explain 
whether the entries were subject merchandise. On May 2, 2007, Baosteel 
responded and maintained that the entries in the entry documentation 
were for cold-rolled carbon steel which is outside the scope of the 
antidumping duty order. See Baosteel's May 2, 2007, submission: 
Response to April 11, 2007 Questionnaire. Petitioner did not provide 
comments on Baosteel's May 2, 2007, submission.

Scope of the Review

    For purposes of this review, 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), 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 this 
review.
    Specifically included within the scope of this review 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 as silicon and 
aluminum.
    Steel products to be included in the scope of this review, 
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 review unless otherwise 
excluded. The following products, by way of example, are outside or 
specifically excluded from the scope of this review:
     Alloy hot-rolled steel products in which at least one of 
the chemical elements exceeds those listed above (including, e.g., 
American Society for Testing and Materials (ASTM) specifications A543, 
A387, A514, A517, A506).
     Society of Automotive Engineers (SAE)/American Iron & 
Steel Institute (AISI) grades of series 2300 and higher.
     Ball bearing 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 review 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 carbon steel flat 
products covered by this review, 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 merchandise under review is dispositive.

Period of Review

    The POR is November 1, 2005, through October 31, 2006.

Preliminary Rescission of Review

    The Department has analyzed all of the information on the record 
regarding alleged U.S. entries of subject merchandise during the POR by 
Angang and Baosteel. As noted above, Petitioner placed information on 
the record from PIERS that indicated there may have been U.S. entries 
of subject merchandise during the POR from Angang and Baosteel.
    The legal description of what enters the Unites States is 
determined by CBP entry documentation. Where a conflict exists between 
PIERS and CBP information, the Department weighs the CBP data more 
heavily because it contains the actual entry documentation

[[Page 32074]]

for the shipment, including the Customs 7501 form, invoice, and bill of 
lading. The CBP data regarding Baosteel indicates that the merchandise 
is not subject to the order covering this review. Additionally, the 
supporting documents placed on the record by Baosteel concerning these 
entries indicate that the merchandise at issue was cold-rolled steel, 
which is not subject to the scope of the order. CBP did not indicate 
that there were any shipments from Angang of subject merchandise into 
the United States during the POR. Therefore, the Department 
preliminarily finds that the merchandise from the entry documentation 
is not subject to the scope of the antidumping duty order on hot-rolled 
carbon steel flat product from the PRC.
    Because there is no information on the record which indicates that 
either Angang or Baosteel made sales, shipments, or entries to the 
United States of subject merchandise during the POR, and because Angang 
and Baosteel are the only companies subject to this administrative 
review, in accordance with 19 CFR 351.213(d)(3) and consistent with our 
practice, we are preliminarily rescinding this review of the 
antidumping duty order on certain hot-rolled carbon steel flat products 
from the PRC for the period of November 1, 2005, to October 31, 2006. 
If the rescission is confirmed in our final results, the cash deposit 
rate for Angang and Baosteel will continue to be the rate established 
in the most recently completed segment of this proceeding.
    Interested parties may submit comments for consideration in the 
Department's final results not later than 30 days after publication of 
this notice. Responses to those comments may be submitted not later 
than 10 days following submission of the comments. All written comments 
must be submitted in accordance with 19 CFR 351.303, and must be served 
on interested parties on the Department's service list in accordance 
with 19 CFR 351.303(f). The Department will issue the final results of 
this administrative review, which will include the results of its 
analysis of issues raised in any such comments, within 120 days of 
publication of the preliminary results, and will publish these results 
in the Federal Register.
    This notice is published in accordance with sections 751 and 
777(i)(1) of the Tariff Act of 1930, as amended, and 19 CFR 
351.213(d)(4).

    Dated: May 31, 2007.
Stephen J. Claeys,
Deputy Assistant Secretary for Import Administration.
[FR Doc. E7-11206 Filed 6-8-07; 8:45 am]
BILLING CODE 3510-DS-S