[Federal Register Volume 79, Number 212 (Monday, November 3, 2014)]
[Notices]
[Pages 65187-65189]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-26070]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-875]


Certain Steel Nails From the Republic of Korea: Preliminary 
Negative Countervailing Duty Determination and Alignment of Final 
Countervailing Duty Determination With Final Antidumping Duty 
Determination

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) preliminarily

[[Page 65188]]

determines that de minimis countervailable subsidies are being provided 
to producers and exporters of certain steel nails (nails) from the 
Republic of Korea (Korea). The period of investigation is January 1, 
2013, through December 31, 2013. Interested parties are invited to 
comment on this preliminary determination.

DATES: Effective Date: November 3, 2014.

FOR FURTHER INFORMATION CONTACT: Dana Mermelstein or Erin Kearney, AD/
CVD Operations, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
1391 and (202) 482-0167, respectively.

SUPPLEMENTARY INFORMATION: On June 25, 2014, the Department initiated 
this countervailing duty (CVD) investigation.\1\ On the same day, the 
Department also initiated an antidumping duty (AD) investigation of 
nails from Korea and several other countries.\2\ On August 7, in 
response to a request from the Petitioner, Mid-Continent Steel & Wire, 
Inc., the Department postponed the preliminary determinations in the 
CVD investigations.
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    \1\ See Certain Steel Nails From India, the Republic of Korea, 
Malaysia, the Sultanate of Oman, Taiwan, the Republic of Turkey, and 
the Socialist Republic of Vietnam, 79 FR 36014 (June 25, 2014).
    \2\ See Certain Steel Nails From India, the Republic of Korea, 
Malaysia, the Sultanate of Oman, Taiwan, the Republic of Turkey, and 
the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-
Value Investigations, 79 FR 36019 (June 25, 2014).
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Alignment of Final Countervailing Duty (CVD) Determination With Final 
Antidumping Duty (AD) Determination

    In accordance with section 705(a)(1) of the Tariff Act of 1930, as 
amended (the Act), and 19 CFR 351.210(b)(4), and based on Petitioner's 
request, we are aligning the final CVD determination in this 
investigation with the final AD determination of nails from Korea. 
Consequently, the final CVD determination will be issued on the same 
date as the final AD determination, which is currently scheduled to be 
issued no later than March 2, 2015, unless postponed.

Scope of the Investigation

    The products covered by this investigation are certain steel nails. 
For a complete description of the scope of the investigation, see 
Appendix 1 to this notice.

Methodology

    The Department is conducting this CVD investigation in accordance 
with section 701 of the Act. For a full description of the methodology 
underlying our preliminary conclusions, see the Preliminary Decision 
Memorandum.\3\ The Preliminary 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 Preliminary Decision 
Memorandum can be accessed directly on the Internet at http://enforcement.trade.gov/frn/index.html. The signed Preliminary Decision 
Memorandum and the electronic versions of the Preliminary Decision 
Memorandum are identical in content.
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    \3\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance 
regarding ``Decision Memorandum for the Preliminary Determination in 
the Countervailing Duty Investigation of Certain Steel Nails from 
the Republic of Korea,'' dated concurrently with this notice 
(Preliminary Decision Memorandum).
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    In accordance with section 703(d)(1)(A)(i) of the Act, we 
calculated a CVD rate for the individually investigated producers/
exporters of the subject merchandise.

Preliminary Determination

    We preliminarily determine the countervailable subsidy rates to be:

------------------------------------------------------------------------
                Company                            Subsidy rate
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Daejin Steel Company...................  0.15 percent (de minimis).
Jinheung Steel Corporation.............  0.18 percent (de minimis).
Duo-Fast Korea Co., Ltd.
Jinsco International Corporation \4\
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    Consistent with section 703(d) of the Act, the Department did not 
calculate an all-others rate because it did not reach an affirmative 
preliminarily determination. Because we have preliminarily determined 
that the CVD rates in this investigation are de minimis, we will not 
direct U.S. Customs and Border Protection to suspend liquidation of 
entries of subject merchandise from Korea.
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    \4\ For a discussion of these entities' cross-ownership, see the 
Preliminary Decision Memorandum at 8.
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Disclosure and Public Comment

    The Department intends to disclose to interested parties the 
calculations performed in connection with this preliminary 
determination within five days of its public announcement.\5\ 
Interested parties may submit case and rebuttal briefs \6\ and request 
a hearing.\7\ For a schedule of the deadlines for filing case briefs, 
rebuttal briefs, and hearing requests, see the Preliminary Decision 
Memorandum.
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    \5\ See 19 CFR 351.224(b).
    \6\ See 19 CFR 351.309(c) and (d).
    \7\ See 19 CFR 351.510.
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    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act.

    Dated: October 27, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix 1--Scope of the Investigation

    The merchandise covered by this investigation is certain steel 
nails having a nominal shaft length not exceeding 12 inches.\8\ 
Certain steel nails include, but are not limited to, nails made from 
round wire and nails that are cut from flat-rolled steel. Certain 
steel nails may be of one piece construction or constructed of two 
or more pieces. Certain steel nails may be produced from any type of 
steel, and may have any type of surface finish, head type, shank, 
point type and shaft diameter. Finishes include, but are not limited 
to, coating in vinyl, zinc (galvanized, including but not limited to 
electroplating or hot dipping one or more times), phosphate, cement, 
and paint. Certain steel nails may have one or more surface 
finishes. Head styles include, but are not limited to, flat, 
projection, cupped, oval, brad, headless, double, countersunk, and 
sinker. Shank styles include, but are not limited to, smooth, 
barbed, screw threaded, ring shank and fluted. Screw-threaded nails 
subject to this proceeding are driven using direct force and not by 
turning the nail using a tool that engages with the head. Point 
styles include, but are not limited to, diamond, needle, chisel and 
blunt or no point. Certain steel nails may be sold in bulk, or they 
may be collated in any manner using any material. If packaged in 
combination with one or more non-subject articles, certain steel 
nails remain subject merchandise if the total number of nails of all 
types, in aggregate regardless of size, is equal to or greater than 
25.
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    \8\ The shaft length of certain steel nails with flat heads or 
parallel shoulders under the head shall be measured from under the 
head or shoulder to the tip of the point. The shaft length of all 
other certain steel nails shall be measured overall.
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    Excluded from the scope of this investigation are certain steel 
nails packaged in combination with one or more non-subject articles, 
if the total number of nails of all

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types, in aggregate regardless of size, is less than 25.
    Also excluded from the scope of this investigation are steel 
nails that meet the specifications of Type I, Style 20 nails as 
identified in Tables 29 through 33 of ASTM Standard F1667 (2013 
revision).
    Also excluded from the scope of this investigation are nails 
suitable for use in powder-actuated hand tools, whether or not 
threaded, which are currently classified under Harmonized Tariff 
Schedule of the United States (``HTSUS'') subheadings 7317.00.20.00 
and 7317.00.30.00.
    Also excluded from the scope of this investigation are nails 
having a case hardness greater than or equal to 50 on the Rockwell 
Hardness C scale (``HRC''), a carbon content greater than or equal 
to 0.5 percent, a round head, a secondary reduced-diameter raised 
head section, a centered shank, and a smooth symmetrical point, 
suitable for use in gas-actuated hand tools.
    Also excluded from the scope of this investigation are 
corrugated nails. A corrugated nail is made up of a small strip of 
corrugated steel with sharp points on one side.
    Also excluded from the scope of this investigation are thumb 
tacks, which are currently classified under HTSUS 7317.00.10.00.
    Certain steel nails subject to these investigations are 
currently classified under HTSUS subheadings 7317.00.55.02, 
7317.00.55.03, 7317.00.55.05, 7317.00.55.07, 7317.00.55.08, 
7317.00.55.11, 7317.00.55.18, 7317.00.55.19, 7317.00.55.20, 
7317.00.55.30, 7317.00.55.40, 7317.00.55.50, 7317.00.55.60, 
7317.00.55.70, 7317.00.55.80, 7317.00.55.90, 7317.00.65.30, 
7317.00.65.60 and 7317.00.75.00. Certain steel nails subject to 
these investigations also may be classified under HTSUS subheading 
8206.00.00.00.
    While the HTSUS subheadings are provided for convenience and 
customs purposes, the written description of the scope of these 
investigations is dispositive.

Appendix 2--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Alignment
IV. Scope Comments
V. Scope of the Investigation
VI. Injury Test
VII. Subsidies Valuation
VIII. Analysis of Programs
IX. Calculation of the All Others Rate
X. ITC Notification
XI. Disclosure and Public Comment
XII. Verification
XIII. Recommendation

[FR Doc. 2014-26070 Filed 10-31-14; 8:45 am]
BILLING CODE 3510-DS-P