[Federal Register Volume 79, Number 190 (Wednesday, October 1, 2014)]
[Notices]
[Pages 59226-59227]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-23391]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-994]


Grain-Oriented Electrical Steel From the People's Republic of 
China: Final Determination of Sales at Less Than Fair Value

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

DATES: Effective Date: October 1, 2014.

SUMMARY: The Department of Commerce (the Department) determines that 
imports of grain-oriented electrical steel (GOES) from the People's 
Republic of China (PRC) are being, or are likely to be, sold in the 
United States at less than fair value, as provided in section 735 of 
the Tariff Act of 1930, as amended (the Act). The final weighted-
average dumping margin for the investigation on GOES from the PRC is 
listed below in the ``Final Determination Margin'' section of this 
notice.

FOR FURTHER INFORMATION CONTACT: Edythe Artman or Angelica Mendoza, AD/
CVD Operations, Office VI, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
3931 or (202) 482-3019, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On May 12, 2014, the Department published the preliminary 
determination of the less-than-fair-value investigation of GOES from 
the PRC in the Federal Register.\1\ The investigation covers sales of 
GOES from the PRC for the period from January 1, 2013, through June 30, 
2013. In the Preliminary Determination, we invited interested parties 
to comment on our findings and to request a hearing to discuss any 
issues raised in case and rebuttal briefs. On June 3, 2014, Baoshan 
Iron & Steel Co., Ltd. (Baoshan), the sole respondent in the 
investigation, filed comments on the preliminary determination and 
later incorporated these comments in its case brief, filed on July 1, 
2014. After obtaining an extension for rebuttal comments, the domestic 
parties \2\ filed a timely rebuttal brief on July 9, 2014. Baoshan 
requested a hearing to discuss issues in the briefs but later withdrew 
its request.
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    \1\ See Grain-Oriented Electrical Steel From the People's 
Republic of China: Preliminary Determination of Sales at Less Than 
Fair Value and Postponement of Final Determination, 79 FR 26936 (May 
12, 2014) (Preliminary Determination).
    \2\ The petitioners are AK Steel Corporation, Allegheny Ludlum, 
LLC, and the United Steelworkers. The International Union, United 
Automobile, Aerospace and Agricultural Implement Workers of America 
has participated in this investigation as a domestic interested 
party. These parties (collectively, the ``domestic parties'') made 
joint submissions in this investigation.
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Scope of the Investigation

    The scope of this investigation covers GOES. GOES is a flat-rolled 
alloy steel product containing by weight at least 0.6 percent but not 
more than 6 percent of silicon, not more than 0.08 percent of carbon, 
not more than 1.0 percent of aluminum, and no other element in an 
amount that would give the steel the characteristics of another alloy 
steel, in coils or in straight lengths. The GOES that is subject to 
this investigation is currently classifiable under subheadings 
7225.11.0000, 7226.11.1000, 7226.11.9030, and 7226.11.9060 of the 
Harmonized Tariff Schedule of the United States (HTSUS). Although the 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the scope of these investigations is 
dispositive. Excluded are flat-rolled products not in coils that, prior 
to importation into the United States, have been cut to a shape and 
undergone all punching, coating, or other operations necessary for 
classification in Chapter 85 of the HTSUS as a transformer part (i.e., 
laminations).

Verification

    The Department did not verify Baoshan because, in the Preliminary 
Determination, we found the company to be uncooperative in its 
participation in the investigation and thus found its information to be 
unreliable.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this investigation are addressed in the Issues and Decision Memorandum 
accompanying this notice, and which is hereby adopted by this 
notice.\3\ A list of the issues which the parties raised and to which 
the Department responded in the memorandum appears in the appendix of 
this notice. The Issues and Decision Memorandum is a public document 
and is on file electronically via Enforcement and Compliance's 
Antidumping and Countervailing Duty Centralized Electronic Service 
System (IA ACCESS). IA ACCESS is available to registered users at 
http://iaaccess.trade.gov and is available to all parties in the 
Central Records Unit, room 7046 of the main Department of Commerce 
building. In addition, a complete version of the Issues and Decision 
Memorandum can be accessed directly at http://enforcement.trade.gov/frn/. The signed and electronic versions

[[Page 59227]]

of the memorandum are identical in content.
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    \3\ See Memorandum to Paul Piquado, Assistant Secretary for 
Enforcement and Compliance, from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
regarding ``Decision Memorandum for the Final Determination of the 
Less-Than-Fair-Value Investigation of Grain-Oriented Electrical 
Steel from the People's Republic of China'', dated September 24, 
2014 (Issues and Decision Memorandum).
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Changes Since the Preliminary Determination

    We made no changes to the Preliminary Determination based on our 
review and analysis of the comments received from parties.

Final Determination

    The Department determines that the following estimated weighted-
average dumping margin exists for the period January 1, 2013, through 
June 30, 2013:
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    \4\ The PRC-wide entity includes all producers and exporters of 
GOES from the PRC, including the companies identified in the 
petition that did not establish that they are separate from the PRC-
wide entity in this investigation: Baoshan, Anshan Iron & Steel 
Group Corporation, Hebei Shougang Qian'an Iron & Steel Co., Ltd., 
and Wuhan Iron & Steel Co., Ltd.

------------------------------------------------------------------------
                                                            Estimated
                                                            weighted-
                 Producer and exporter                   average dumping
                                                              margin
                                                            (percent)
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PRC-wide entity \4\....................................          159.21
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Disclosure

    Normally, the Department discloses to interested parties the 
calculations performed in connection with a final determination within 
five days of the date of publication of the notice of the final 
determination in the Federal Register, in accordance with 19 CFR 
351.224(b). But because the Department, in accordance with section 776 
of the Act, applied adverse facts available to determine the estimated 
weighted-average dumping margin for the mandatory respondent in this 
investigation, there are no calculations to disclose to parties.

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all appropriate entries of GOES from the PRC, as 
described in the ``Scope of the Investigation'' section of this notice 
and which were entered, or withdrawn from warehouse, for consumption on 
or after May 12, 2014, the date of publication of the preliminary 
determination in the Federal Register.
    Pursuant to 19 CFR 351.205(d), we will instruct CBP to require a 
cash deposit for all suspended entries at an ad valorum rate equal to 
the weighted-average amount by which normal value exceeds U.S. price, 
adjusted where appropriate for export subsidies and estimated domestic 
subsidy pass-through \5\ where, as here, the product under 
investigation is also subject to a countervailing duty investigation. 
For all PRC exporters of merchandise under consideration, the cash-
deposit rate will be equal to the dumping margin established for the 
PRC-wide entity. These suspension-of-liquidation and cash-deposit 
instructions will remain in effect until further notice.
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    \5\ See sections 772(c)(1)(C) and 777A(f) of the Act, 
respectively. Unlike in administrative reviews, the Department 
calculates the adjustment for export subsidies in investigations not 
in the margin-calculation program, but in the cash-deposit 
instructions issued to CBP. See Notice of Final Determination of 
Sales at Less Than Fair Value, and Negative Determination of 
Critical Circumstances: Certain Lined Paper Products from India, 71 
FR 45012 (August 8, 2006), and accompanying issues and decision 
memorandum at comment 1.
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    Furthermore, as stated above and consistent with our practice, we 
will instruct CBP to require a cash deposit equal to the amount by 
which the normal value exceeds export price or constructed export 
price, less the amount of countervailing duty determined to constitute 
an export subsidy. With respect to the PRC-wide entity, we find that an 
export-subsidy adjustment of 5.31 percent to the cash deposit rate is 
warranted because this is the export subsidy rate included in the 
countervailing duty rate to which PRC-wide entries are currently 
subject.\6\
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    \6\ See Grain-Oriented Electrical Steel from the People's 
Republic of China: Final Affirmative Countervailing Duty 
Determination, and accompanying Issues and Decision Memoradum at 8. 
The final determination in this companion countervailing duty 
proceeding is being concurrently released on the same day as the 
final determination in this case.
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    We are not adjusting the final determination rate for estimated 
domestic subsidy pass-through because we have no basis upon which to 
make such an adjustment.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, we notified the 
International Trade Commission (ITC) of the final affirmative 
determination of sales at less than fair value. Because the final 
determination in this proceeding is affirmative, the ITC will make its 
final determination, in accordance with section 735(b)(2) of the Act, 
as to whether the domestic industry in the United States is materially 
injured, or threatened with material injury, by reason of imports of 
GOES from the PRC no later than 45 days after our final determination. 
If the ITC determines that material injury or threat of material injury 
does not exist, this proceeding will be terminated and all securities 
posted will be refunded or canceled. If the ITC determines that such 
injury does exist, then the Department will issue an antidumping duty 
order directing CBP to assess, upon further instruction by the 
Department, antidumping duties on all imports of the subject 
merchandise entered, or withdrawn from warehouse, for consumption on or 
after the effective date of the suspension of liquidation.

Notification Regarding Administrative Protective Orders

    This notice also serves as a reminder to parties subject to 
administrative protective orders (APOs) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
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 the terms of an APO is a 
sanctionable violation. This determination and notice are issued and 
published pursuant to sections 735(d) and 777(i)(1) of the Act.

    Dated: September 24, 2014.
Paul Piquado,
Assistant Secretary, for Enforcement and Compliance.

Appendix I--Comments Discussed in the Accompanying Final Issues and 
Decision Memorandum

Summary
Background
Period of Investigation
Scope of the Investigation
Discussion of Comments
    Comment 1: Application of Adverse Facts Available to Baoshan
    Comment 2: Corroboration of Adverse Facts Available Rate
    Comment 3: Selection of an Adverse Facts Available Rate
Recommendation

[FR Doc. 2014-23391 Filed 9-30-14; 8:45 am]
BILLING CODE 3510-DS-P