[Federal Register Volume 81, Number 44 (Monday, March 7, 2016)]
[Notices]
[Pages 11741-11744]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-05003]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-865]


Certain Cold-Rolled Steel Flat Products From India: Affirmative 
Preliminary Determination of Sales at Less Than Fair Value and 
Postponement of Final Determination and Extension of Provisional 
Measures

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

SUMMARY: The Department of Commerce (the ``Department'') preliminarily 
determines that certain cold-rolled steel flat products (``cold-rolled 
steel'') from India are being, or are likely to be, sold in the United 
States at less than fair value (``LTFV''), as provided in section 
733(b) of the Tariff Act of 1930, as amended (``the Act''). The period 
of investigation (``POI'') is July 1, 2014, through June 30, 2015. The 
collapsed entity JSW Steel Limited (``JSWSL'')/JSW Coated Products 
Limited (``JSCPL'') (collectively ``JSW'') is the sole mandatory 
respondent in this investigation. The estimated weighted-average 
dumping margins of sales at LTFV are shown in the ``Preliminary 
Determination'' section of this notice. Interested parties are invited 
to comment on this preliminary determination.

DATES: Effective March 7, 2016.

FOR FURTHER INFORMATION CONTACT: Patrick O'Connor or Jeffrey Pedersen, 
AD/CVD Operations, Office IV, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW., Washington, DC 20230; telephone: (202) 482-0989 or (202) 
482-2769, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the notice of initiation of this 
investigation on August 24, 2015.\1\ For a complete description of the 
events that followed the initiation of this investigation, see the 
Preliminary Decision Memorandum that is dated concurrently with this 
determination and is hereby adopted by this notice.\2\ A list of topics 
included in the Preliminary Decision Memorandum is included as Appendix 
II to this notice. 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 (``ACCESS''). ACCESS is available to registered users at https://access.trade.gov, and to all parties in the Central Records Unit, room 
B8024 of the main Department of Commerce building. In addition, a 
complete version of the Preliminary Decision Memorandum can be found at 
http://enforcement.trade.gov/frn/. The signed Preliminary Decision 
Memorandum and the electronic

[[Page 11742]]

version of the Preliminary Decision Memorandum are identical in 
content.
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    \1\ See Certain Cold-Rolled Steel Flat Products From Brazil, the 
People's Republic of China, India, Japan, the Republic of Korea, the 
Netherlands, the Russian Federation, and the United Kingdom: 
Initiation of Less-Than-Fair-Value Investigations, 80 FR 51198 
(August 24, 2015) (``Initiation Notice'').
    \2\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance 
``Decision Memorandum for the Preliminary Determination in the Less-
Than-Fair Value Investigation of Certain Cold-Rolled Steel Flat 
Products from India'' (``Preliminary Decision Memorandum''), dated 
concurrently with this notice.
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    The Department has exercised its discretion to toll all 
administrative deadlines due to the recent closure of the Federal 
Government because of Snowstorm ``Jonas''. Thus, all of the deadlines 
in this segment of the proceeding have been extended by four business 
days. The revised deadline for the preliminary determination is now 
February 29, 2016.\3\
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    \3\ See Memorandum to the Record from Ron Lorentzen, Acting 
Assistant Secretary for Enforcement & Compliance, regarding 
``Tolling of Administrative Deadlines as a Result of the Government 
Closure during Snowstorm Jonas,'' dated January 27, 2016.
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Scope of the Investigation

    The products covered by this investigation are certain cold-rolled 
(cold-reduced), flat-rolled steel products, whether or not annealed, 
painted, varnished, or coated with plastics or other non-metallic 
substances. For a full description of the scope of this investigation, 
see the ``Scope of the Investigation,'' in Appendix I.

Scope Comments

    In accordance with the preamble to the Department's regulations,\4\ 
the Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., ``scope'').\5\ Certain 
interested parties commented on the scope of the investigation, as it 
appeared in the Initiation Notice, as well as on additional language 
proposed by the Department. For a summary of the product coverage 
comments and rebuttal responses submitted to the record, and an 
accompanying discussion and analysis of all comments timely received, 
see the Preliminary Scope Decision Memorandum.\6\ The Department is 
preliminarily not modifying the scope language as it appeared in the 
Initiation Notice.
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    \4\ See Antidumping Duties; Countervailing Duties, 62 FR 27296, 
27323 (May 19, 1997).
    \5\ See Initiation Notice, 80 FR at 51199.
    \6\ See Memorandum to Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Certain Cold-Rolled Steel Products From Brazil, the People's 
Republic of China, India, Japan, the Republic of Korea, the Russian 
Federation, and the United Kingdom: Scope Comments Decision 
Memorandum for the Preliminary Determinations'' dated concurrently 
with this preliminary determination.
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Methodology

    The Department is conducting this investigation in accordance with 
section 731 of the Act. Export prices have been calculated in 
accordance with section 772(a) of the Act. Normal value (``NV'') has 
been calculated in accordance with section 773 of the Act. For a full 
description of the methodology underlying our preliminary 
determination, see the Preliminary Decision Memorandum.

Single Entity Treatment

    For the reasons set forth in the Preliminary Affiliation and 
Collapsing Memorandum, which we incorporate by reference herein, and in 
accordance with 19 CFR 351.401(f) and the
    Department's practice, we are treating JSWSL and JSCPL as a single 
entity, JSW, for the purposes of this preliminary determination.\7\
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    \7\ For further discussion of this issue, see Memorandum to 
Abdelali Elouaradia, Director, Office IV, from Patrick O'Connor, 
International Trade Analyst, Office IV, through Howard Smith, 
Program Manager, Office IV ``Antidumping Duty Investigation of 
Certain Cold-Rolled Steel Flat Products from India: JSW Preliminary 
Affiliation and Collapsing Memorandum'' (``JSW Preliminary 
Affiliation and Collapsing Memorandum''), dated concurrently with 
this preliminary determination.
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All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated all-
others rate shall be an amount equal to the weighted average of the 
estimated weighted-average dumping margins established for exporters 
and producers individually investigated, excluding any zero and de 
minimis dumping margins, and any dumping margins determined entirely 
under section 776 of the Act. JSW is the only mandatory respondent in 
this investigation. The Department calculated a company-specific rate 
for JSW which is not zero, de minimis or based entirely on facts 
available. Therefore, for purposes of determining the ``all-others'' 
rate and pursuant to section 735(c)(5)(A) of the Act, we are using the 
weighted-average dumping margin calculated for JSW as the estimated 
weighted-average dumping margin assigned to all other producers and 
exporters of the merchandise under consideration.

Preliminary Determination

    The Department preliminarily determines that the following 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                   Exporter/ producer                         margin
                                                             (percent)
------------------------------------------------------------------------
JSW Steel Limited/JSW Coated Products Limited...........            6.78
All-Others..............................................            6.78
------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, we will direct 
U.S. Customs and Border Protection (``CBP'') to suspend liquidation of 
all entries of cold-rolled steel from India, as described in the scope 
of the investigation, that is entered, or withdrawn from warehouse, for 
consumption on or after the date of publication of this notice in the 
Federal Register.
    Pursuant to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d), 
the Department will instruct CBP to require a cash deposit equal to the 
weighted-average amount by which the NV exceeds export price, as 
indicated in the table above,\8\ adjusted where appropriate for export 
subsidies.\9\ The cash deposit rate for JSW, when adjusted for export 
subsidies, is 4.86 percent. The cash deposit rate for all other 
producers or exporters in India, when adjusted for export subsidies, is 
4.86 percent. These suspension of liquidation instructions will remain 
in effect until further notice.
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    \8\ See Modification of Regulations Regarding the Practice of 
Accepting Bonds During the Provisional Measures Period in 
Antidumping and Countervailing Duty Investigations, 76 FR 61042 
(October 3, 2011).
    \9\ See section 772(c)(1)(C) of the Act. 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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Disclosure and Public Comment

    We intend to disclose the calculations that we performed in this 
investigation to interested parties in this proceeding within five days 
after the date of public announcement of the preliminary determination 
in accordance with 19 CFR 351.224(b). Interested parties are invited to 
comment on this preliminary determination. Case briefs or other written 
comments may be submitted to the Assistant Secretary for Enforcement 
and Compliance no later than seven days after the date on which the 
final verification report is issued in this proceeding, and rebuttal 
briefs, limited to issues raised in case briefs, may be submitted no 
later than five days after the deadline for case briefs.\10\ Pursuant 
to 19 CFR 351.309(c)(2) and (d)(2), parties who submit case briefs or 
rebuttal briefs in this proceeding are encouraged to submit with each 
argument: (1) A statement of the issue; (2) a brief summary of the 
argument; and (3) a table of authorities. All

[[Page 11743]]

documents must be filed electronically using ACCESS.
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    \10\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request for a hearing to the 
Assistant Secretary for Enforcement and Compliance, U.S. Department of 
Commerce. An electronically-filed request for a hearing must be 
received successfully in its entirety by ACCESS by 5:00 p.m. Eastern 
Time, within 30 days after the date of publication of this notice.\11\ 
Hearing requests should contain the party's name, address, and 
telephone number, the number of participants, and a list of the issues 
to be discussed. If a request for a hearing is made, the Department 
intends to hold the hearing at the U.S. Department of Commerce, 1401 
Constitution Avenue NW., Washington, DC 20230, at a time and date to be 
determined. Parties should confirm by telephone the date, time, and 
location of the hearing two days before the scheduled date.
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    \11\ See 19 CFR 351.310(c).
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Verification

    As provided in section 782(i) of the Act, we intend to verify the 
information that will be relied upon in making our final determination.

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise, or in the event of a negative 
preliminary determination, a request for such postponement is made by 
Petitioners. 19 CFR 351.210(e)(2) requires that requests by respondents 
for postponement of a final antidumping determination be accompanied by 
a request for extension of provisional measures from a four-month 
period to a period not more than six months in duration.
    On January 26, 2016, pursuant to 19 CFR 351.210(b) and (e), JSW 
requested that, contingent upon an affirmative preliminary 
determination of sales at LTFV, the Department postpone the final 
determination and that provisional measures be extended to a period not 
to exceed six months.\12\
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    \12\ See Letter to the Secretary of Commerce from JSW ``Cold-
Rolled Steel Flat Products from India: Request for Postponement of 
Final Determination,'' dated January 26, 2016.
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    In accordance with section 735(a)(2)(A) of the Act and 19 CFR 
351.210(b)(2)(ii), because: (1) Our preliminary determination is 
affirmative; (2) the requesting exporter accounts for a significant 
proportion of exports of the subject merchandise; and (3) no compelling 
reasons for denial exist, we are postponing the final determination and 
extending the provisional measures from a four-month period to a period 
not greater than six months. Accordingly, we will make our final 
determination no later than 135 days after the date of publication of 
this preliminary determination, pursuant to section 735(a)(2) of the 
Act.\13\
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    \13\ See also 19 CFR 351.210(e).
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International Trade Commission (``ITC'') Notification

    In accordance with section 733(f) of the Act, we are notifying the 
ITC of our affirmative preliminary determination of sales at LTFV. If 
our final determination is affirmative, the ITC will determine before 
the later of 120 days after the date of this preliminary determination 
or 45 days after our final determination whether these imports are 
materially injuring, or threaten material injury to, the U.S. industry.
    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

    Dated: February 29, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The products covered by this investigation are certain cold-
rolled (cold-reduced), flat-rolled steel products, whether or not 
annealed, painted, varnished, or coated with plastics or other non-
metallic substances. The products covered do not include those that 
are clad, plated, or coated with metal. The products covered include 
coils that have a width or other lateral measurement (``width'') of 
12.7 mm or greater, regardless of form of coil (e.g., in 
successively superimposed layers, spirally oscillating, etc.). The 
products covered also include products not in coils (e.g., in 
straight lengths) of a thickness less than 4.75 mm and a width that 
is 12.7 mm or greater and that measures at least 10 times the 
thickness. The products covered also include products not in coils 
(e.g., in straight lengths) of a thickness of 4.75 mm or more and a 
width exceeding 150 mm and measuring at least twice the thickness. 
The products described above may be rectangular, square, circular, 
or other shape and include products of either rectangular or non-
rectangular cross-section where such cross-section is achieved 
subsequent to the rolling process, i.e., products which have been 
``worked after rolling'' (e.g., products which have been beveled or 
rounded at the edges). For purposes of the width and thickness 
requirements referenced above:
    (1) Where the nominal and actual measurements vary, a product is 
within the scope if application of either the nominal or actual 
measurement would place it within the scope based on the definitions 
set forth above, and
    (2) where the width and thickness vary for a specific product 
(e.g., the thickness of certain products with non-rectangular cross-
section, the width of certain products with non-rectangular shape, 
etc.), the measurement at its greatest width or thickness applies.
    Steel products included in the scope of this investigation are 
products in which: (1) Iron predominates, by weight, over each of 
the other contained elements; (2) the carbon content is 2 percent or 
less, by weight; and (3) none of the elements listed below exceeds 
the quantity, by weight, respectively indicated:

 2.50 percent of manganese, or
 3.30 percent of silicon, or
 1.50 percent of copper, or
 1.50 percent of aluminum, or
 1.25 percent of chromium, or
 0.30 percent of cobalt, or
 0.40 percent of lead, or
 2.00 percent of nickel, or
 0.30 percent of tungsten (also called wolfram), or
 0.80 percent of molybdenum, or
 0.10 percent of niobium (also called columbium), or
 0.30 percent of vanadium, or
 0.30 percent of zirconium

    Unless specifically excluded, products are included in this 
scope regardless of levels of boron and titanium.
    For example, specifically included in this scope are vacuum 
degassed, fully stabilized (commonly referred to as interstitial-
free (IF)) steels, high strength low alloy (HSLA) steels, motor 
lamination steels, Advanced High Strength Steels (AHSS), and Ultra 
High Strength Steels (UHSS). IF steels are recognized as low carbon 
steels with micro-alloying levels of elements such as titanium and/
or niobium added to stabilize carbon and nitrogen elements. HSLA 
steels are recognized as steels with micro-alloying levels of 
elements such as chromium, copper, niobium, titanium, vanadium, and 
molybdenum. Motor lamination steels contain micro-alloying levels of 
elements such as silicon and aluminum. AHSS and UHSS are considered 
high tensile strength and high elongation steels, although AHSS and 
UHSS are covered whether or not they are high tensile strength or 
high elongation steels.
    Subject merchandise includes cold-rolled steel that has been 
further processed in a third country, including but not limited to 
annealing, tempering, painting, varnishing, trimming, cutting, 
punching, and/or slitting, or any other processing that would not 
otherwise remove the merchandise from the scope of the investigation 
if performed in the country of manufacture of the cold-rolled steel.
    All products that meet the written physical description, and in 
which the chemistry

[[Page 11744]]

quantities do not exceed any one of the noted element levels listed 
above, are within the scope of this investigation unless 
specifically excluded. The following products are outside of and/or 
specifically excluded from the scope of this investigation:

 Ball bearing steels; \14\
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    \14\ Ball bearing steels are defined as steels which contain, in 
addition to iron, each of the following elements by weight in the 
amount specified: (i) Not less than 0.95 nor more than 1.13 percent 
of carbon; (ii) not less than 0.22 nor more than 0.48 percent of 
manganese; (iii) none, or not more than 0.03 percent of sulfur; (iv) 
none, or not more than 0.03 percent of phosphorus; (v) not less than 
0.18 nor more than 0.37 percent of silicon; (vi) not less than 1.25 
nor more than 1.65 percent of chromium; (vii) none, or not more than 
0.28 percent of nickel; (viii) none, or not more than 0.38 percent 
of copper; and (ix) none, or not more than 0.09 percent of 
molybdenum.
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 Tool steels; \15\
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    \15\ Tool steels are defined as steels which contain the 
following combinations of elements in the quantity by weight 
respectively indicated: (i) More than 1.2 percent carbon and more 
than 10.5 percent chromium; or (ii) not less than 0.3 percent carbon 
and 1.25 percent or more but less than 10.5 percent chromium; or 
(iii) not less than 0.85 percent carbon and 1 percent to 1.8 
percent, inclusive, manganese; or (iv) 0.9 percent to 1.2 percent, 
inclusive, chromium and 0.9 percent to 1.4 percent, inclusive, 
molybdenum; or (v) not less than 0.5 percent carbon and not less 
than 3.5 percent molybdenum; or (vi) not less than 0.5 percent 
carbon and not less than 5.5 percent tungsten.
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 Silico-manganese steel; \16\
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    \16\ Silico-manganese steel is defined as steels containing by 
weight: (i) Not more than 0.7 percent of carbon; (ii) 0.5 percent or 
more but not more than 1.9 percent of manganese, and (iii) 0.6 
percent or more but not more than 2.3 percent of silicon.
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 Grain-oriented electrical steels (GOES) as defined in the 
final determination of the U.S. Department of Commerce in Grain-
Oriented Electrical Steel From Germany, Japan, and Poland.\17\
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    \17\ Grain-Oriented Electrical Steel From Germany, Japan, and 
Poland: Final Determinations of Sales at Less Than Fair Value and 
Certain Final Affirmative Determination of Critical Circumstances, 
79 FR 42,501, 42,503 (July 22, 2014). This determination defines 
grain-oriented electrical steel as ``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.''
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 Non-Oriented Electrical Steels (NOES), as defined in the 
antidumping orders issued by the U.S. Department of Commerce in Non-
Oriented Electrical Steel From the People's Republic of China, 
Germany, Japan, the Republic of Korea, Sweden, and Taiwan.\18\
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    \18\ Non-Oriented Electrical Steel From the People's Republic of 
China, Germany, Japan, the Republic of Korea, Sweden, and Taiwan: 
Antidumping Duty Orders, 79 FR 71,741, 71,741-42 (Dec. 3, 2014). The 
orders define NOES as ``cold-rolled, flat-rolled, alloy steel 
products, whether or not in coils, regardless of width, having an 
actual thickness of 0.20 mm or more, in which the core loss is 
substantially equal in any direction of magnetization in the plane 
of the material. The term `substantially equal' means that the cross 
grain direction of core loss is no more than 1.5 times the straight 
grain direction (i.e., the rolling direction) of core loss. NOES has 
a magnetic permeability that does not exceed 1.65 Tesla when tested 
at a field of 800 A/m (equivalent to 10 Oersteds) along (i.e., 
parallel to) the rolling direction of the sheet (i.e., B800 value). 
NOES contains by weight more than 1.00 percent of silicon but less 
than 3.5 percent of silicon, not more than 0.08 percent of carbon, 
and not more than 1.5 percent of aluminum. NOES has a surface oxide 
coating, to which an insulation coating may be applied.''
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    The products subject to this investigation are currently 
classified in the Harmonized Tariff Schedule of the United States 
(HTSUS) under item numbers: 7209.15.0000, 7209.16.0030, 
7209.16.0060, 7209.16.0070, 7209.16.0091, 7209.17.0030, 
7209.17.0060, 7209.17.0070, 7209.17.0091, 7209.18.1530, 
7209.18.1560, 7209.18.2510, 7209.18.2520, 7209.18.2580, 
7209.18.6020, 7209.18.6090, 7209.25.0000, 7209.26.0000, 
7209.27.0000, 7209.28.0000, 7209.90.0000, 7210.70.3000, 
7211.23.1500, 7211.23.2000, 7211.23.3000, 7211.23.4500, 
7211.23.6030, 7211.23.6060, 7211.23.6090, 7211.29.2030, 
7211.29.2090, 7211.29.4500, 7211.29.6030, 7211.29.6080, 
7211.90.0000, 7212.40.1000, 7212.40.5000, 7225.50.6000, 
7225.50.8080, 7225.99.0090, 7226.92.5000, 7226.92.7050, and 
7226.92.8050. The products subject to the investigation may also 
enter under the following HTSUS numbers: 7210.90.9000, 7212.50.0000, 
7215.10.0010, 7215.10.0080, 7215.50.0016, 7215.50.0018, 
7215.50.0020, 7215.50.0061, 7215.50.0063, 7215.50.0065, 
7215.50.0090, 7215.90.5000, 7217.10.1000, 7217.10.2000, 
7217.10.3000, 7217.10.7000, 7217.90.1000, 7217.90.5030, 
7217.90.5060, 7217.90.5090, 7225.19.0000, 7226.19.1000, 
7226.19.9000, 7226.99.0180, 7228.50.5015, 7228.50.5040, 
7228.50.5070, 7228.60.8000, and 7229.90.1000.
    The HTSUS subheadings above are provided for convenience and 
U.S. Customs purposes only. The written description of the scope of 
the investigation is dispositive.

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

I. Summary
II. Background
III. Period of Investigation
IV. Scope of the Investigation
V. All-Others Rate
VI. Affiliation and Collapsing
VII. Discussion of The Methodology Comparisons to Fair Value
    A. Determination of the Comparison Method
    B. Results of the Differential Pricing Analysis
VIII. Date of Sale
IX. Product Comparisons
X. Export Price and Constructed Export Price
XI. NV
    A. Comparison Market Viability
    B. Affiliated Party Transactions and Arm's-Length Test
    C. Level of Trade
    D. COP Analysis
    1. Calculation of COP
    2. Test of Comparison Market Sales Prices
    3. Results of the COP Test
    E. Calculation of NV Based on Comparison-Market Prices
XII. Currency Conversion
XIII. Adjustments To Cash Deposit Rates for Export Subsidies in 
Companion Countervailing Duty Investigation
XIV. Verification
XV. Conclusion

[FR Doc. 2016-05003 Filed 3-4-16; 8:45 am]
 BILLING CODE 3510-DS-P