[Federal Register Volume 81, Number 100 (Tuesday, May 24, 2016)]
[Notices]
[Pages 32721-32724]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-12191]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-588-873]


Certain Cold-Rolled Steel Flat Products From Japan: Final 
Affirmative Determination of Sales at Less Than Fair Value and Final 
Affirmative Determination of Critical Circumstances

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (the ``Department'') determines 
that certain cold-rolled steel flat products (``cold-rolled steel'') 
from Japan are being, or likely to be, sold in the United States at 
less than fair value (``LTFV''), as provided in section 735 of the 
Tariff Act of 1930, as amended (``the Act''). JFE Steel Corporation 
(``JFE'') and Nippon Steel & Sumitomo Metal Corporation (``NSSMC'') are 
the mandatory respondents in this investigation. The period of 
investigation (``POI'') is July 1, 2014 through June 30, 2015. The 
estimated weighted average dumping margins of sales at LTFV are shown 
in the ``Final Determination'' section of this notice.

DATES:  Effective Date: May 24, 2016.

FOR FURTHER INFORMATION CONTACT: Trisha Tran, AD/CVD Operations, Office 
IV, Enforcement and Compliance, International Trade Administration, 
U.S. Department of Commerce, 14th Street and Constitution Avenue NW., 
Washington, DC 20230; telephone: (202) 482-4852.

SUPPLEMENTARY INFORMATION: 

Background

    On March 7, 2016, the Department published its preliminary 
affirmative determination of sales at LTFV and preliminary affirmative 
determination of critical circumstances, in part, in the LTFV 
investigation of cold-rolled steel from Japan.\1\ We invited interested 
parties to comment on our preliminary determination. We only received 
comments regarding the scope of this investigation. No interested party 
requested a hearing.
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    \1\ See Certain Cold-Rolled Steel Flat Products From Japan: 
Affirmative Preliminary Determination of Sales at Less Than Fair 
Value and Preliminary Affirmative Determination of Critical 
Circumstances, 81 FR 11747 (March 7, 2016) (``Preliminary 
Determination'').
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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.
    Since the Preliminary Determination, eight interested parties 
(i.e., JFE Steel Corporation, Electrolux Home Products, Inc., 
Electrolux Home Care Products, Inc., ArcelorMittal USA LLC, AK Steel 
Corporation, Nucor Corporation, Steel Dynamics Inc., and United States 
Steel Corporation) commented on the scope of the investigation. The 
Department reviewed these comments and has made no changes to the scope 
of the investigation. For further discussion, see the ``Final Scope 
Comments Memorandum.'' \2\ The scope in Appendix I reflects the final 
unmodified

[[Page 32722]]

scope language as it appeared in the Preliminary Determination.
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    \2\ See Memorandum to Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Certain Cold-Rolled Steel Flat Products From Brazil, the People's 
Republic of China, India, Japan, the Republic of Korea, the Russian 
Federation, and the United Kingdom: Final Scope Comments Decision 
Memorandum,'' dated concurrently with this final determination 
(Final Scope Comments Memorandum).
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Verification

    None of the mandatory respondents in the investigation provided 
information requested by the Department. Hence, no verification was 
conducted.

Analysis of Comments Received and Changes Since the Preliminary 
Determination

    We made no changes to the Preliminary Determination because we 
received no comments pertaining to the Preliminary Determination.

Final Affirmative Determinations of Critical Circumstances, in Part

    In accordance with section 733(e) of the Act and 19 CFR 351.206, we 
preliminarily found critical circumstances exist with respect to both 
of the mandatory respondents in the investigation of cold-rolled steel 
from Japan. With respect to the ``All-Others'' group, we preliminarily 
found that critical circumstances did not exist.\3\
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    \3\ See Preliminary Determination.
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    As stated above, the Department did not receive any comments 
concerning the preliminary determination. Thus, for the final 
determination, we continue to find that, in accordance with section 
735(a)(3) of the Act and 19 CFR 351.206, critical circumstances exist 
with respect to both mandatory respondents and that critical 
circumstances do not exist for the non-individually examined companies 
receiving the ``All-Others'' rate in this investigation.

Use of Adverse Facts Available

    As stated in the Preliminary Determination, neither JFE nor NSSMC 
responded to the Department's questionnaire.\4\ Accordingly, for the 
final determination, pursuant to section 776(b) of the Act, we applied 
adverse facts available to JFE and NSSMC.
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    \4\ Id.
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Final Determination

    As stated above, we made no changes to our preliminary affirmative 
LTFV determination. Therefore, we continue to determine that the 
following estimated weighted-average dumping margin exists for the 
following producers or exporters for the period July 1, 2014 through 
June 30, 2015.

------------------------------------------------------------------------
             Exporter/Producer                Weighted- average margin
------------------------------------------------------------------------
JFE Steel Corporation.....................  71.35 percent.
Nippon Steel & Sumitomo Metal Corporation.  71.35 percent.
All-Others................................  71.35 percent.
------------------------------------------------------------------------

    In addition, the Department continues to determine that voluntary 
respondent Hitachi Metals Limited had no sales of subject merchandise 
during to POI to examine.

All-Others Rate

    We cannot apply the methodology described in section 735(c)(5)(A) 
of the Act to calculate the ``All-Others'' rate, as all of the margins 
in the preliminary determination were calculated under section 776 of 
the Act.\5\ In cases where no weighted-average dumping margins besides 
zero, de minimis, or those determined entirely under section 776 of the 
Act have been established for individually estimated entities, in 
accordance with section 735(c)(5)(B) of the Act, the Department 
averages the margins calculated by the Petitioners in the Petition and 
applies the result to ``All-Other'' entities not individually examined. 
In this case, however, Petitioners calculated only one margin in the 
Petition. Therefore, for the final determination, we continue to assign 
as the ``All-Others'' rate the only margin in the Petition, which is 
71.35 percent.\6\
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    \5\ Id. at 11749.
    \6\ See Certain Oil Country Tubular Goods From Thailand: 
Preliminary Determination of Sales at Less Than Fair Value, and 
Postponement of Final Determination, 79 FR 10487 (February 25, 
2014), and accompanying Preliminary Decision Memorandum, unchanged 
in Certain Oil Country Tubular Goods From India, the Republic of 
Korea, Taiwan, the Republic of Turkey, and the Socialist Republic of 
Vietnam: Antidumping Duty Orders; and Certain Oil Country Tubular 
Goods From the Socialist Republic of Vietnam: Amended Final 
Determination of Sales at Less Than Fair Value, 79 FR 53691 
(September 10, 2014).
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Continuation and Partial Termination of Suspension of Liquidation

    In accordance with section 735(c)(4)(A) of the Act, for the final 
determination, we will instruct U.S. Customs and Border Protection 
(``CBP'') to continue to suspend liquidation of all entries of cold-
rolled steel from Japan, as described in the scope of the 
investigation, from the mandatory respondents (i.e., JFE and NSSMC) 
that are entered, or withdrawn from warehouse, for consumption on or 
after December 8, 2015, 90 days prior to the date of publication of the 
Preliminary Determination because we continue to find that critical 
circumstances exist with regard to imports exported by the mandatory 
respondents. In accordance with sections 733(d)(2) and 735(c)(1)(B) of 
the Act, for the final determination, we will direct CBP to continue 
the suspension of liquidation of all entries of cold-rolled steel from 
Japan, as described in the ``Scope of the Investigation'' section, from 
companies receiving the ``All-Others'' rate which were entered, or 
withdrawn from warehouse, for consumption on or after March 7, 2016, 
the date of publication of the Preliminary Determination.

Disclosure

    We described the calculations used to determine the estimated 
weighted-average dumping margins based on adverse facts available, in 
the Preliminary Determination. We made no changes to our calculations 
since the Preliminary Determination. Thus, no additional disclosure of 
calculations is necessary for this final determination.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
International Trade Commission (``ITC'') of our final affirmative 
determination of sales at LTFV and final affirmative determination of 
critical circumstances, in part. Because the final determination in the 
proceeding is affirmative, in accordance with section 735(b)(2) of the 
Act, the ITC will make its final determination as to whether the 
domestic industry in the United States is materially injured, or 
threatened with material injury, by reason of imports of cold-rolled 
steel from Japan no later than 45 days after our final determination. 
If the ITC determines that such 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, the 
Department will issue an antidumping duty order directing CBP to 
assess, upon further instruction by the Department, antidumping duties 
on appropriate 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 will serve as a reminder to the parties subject to 
administrative protective order (``APO'') of their responsibility 
concerning the disposition of proprietary information disclosed under 
APOs in accordance with 19 CFR 351.305. Timely written notification of 
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

[[Page 32723]]

sanctionable violation. We are issuing and publishing this 
determination in accordance with sections 735(d) and 777(i)(1) of the 
Act and 19 CFR 351.210(c).

    Dated: May 16, 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 these investigations 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 AI-ISS 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 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;\7\
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    \7\ 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;\8\
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    \8\ 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;\9\
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    \9\ 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.\10\
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    \10\ See 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) (``Grain-
Oriented Electrical Steel From Germany, Japan, and Poland''). 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.\11\
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    \11\ See 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 
(December 3, 2014) (``Non-Oriented Electrical Steel From the 
People's Republic of China, Germany, Japan, the Republic of Korea, 
Sweden, and Taiwan''). 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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    Also excluded from the scope of this investigation is ultra-
tempered automotive steel, which is hardened, tempered, surface 
polished, and meets the following specifications:
     Thickness: less than or equal to 1.0 mm;
     Width: less than or equal to 330 mm;
     Chemical composition:

[[Page 32724]]



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           Element                    C              Si              Mn                P                S
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Weight%......................       0.90-1.05       0.15-0.35       0.30-0.50  Less than or      Less than or
                                                                                equal to 0.03.    equal to
                                                                                                  0.006.
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     Physical properties:

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------------------------------------------------------------------------
Width less than or equal to150mm..........  Flatness of less than 0.2%
                                             of nominal strip width.
Width of 150 to 330mm.....................  Flatness of less than 5 mm
                                             of nominal strip width.
------------------------------------------------------------------------

     Microstructure: Completely free from decarburization. 
Carbides are spheroidal and fine within 1% to 4% (area percentage) 
and are undissolved in the uniform tempered martensite;
     Surface roughness: less than or equal to 0.80 [micro]m 
Rz;
     Non-metallic inclusion:
    [ssquf] Sulfide inclusion less than or equal to 0.04% (area 
percentage)
    [ssquf] Oxide inclusion less than or equal to 0.05% (area 
percentage); and
     The mill test certificate must demonstrate that the 
steel is proprietary grade ``PK'' and specify the following:
    [ssquf] The exact tensile strength, which must be greater than 
or equal to 1600 N/mm\2\;
    [ssquf] The exact hardness, which must be greater than or equal 
to 465 Vickers hardness number;
    [ssquf] The exact elongation, which must be between 2.5% and 
9.5%; and
    [ssquf] Certified as having residual compressive stress within a 
range of 100 to 400 N/mm\2\.
    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 CBP 
purposes only. The written description of the scope of the 
investigation is dispositive.
[FR Doc. 2016-12191 Filed 5-23-16; 8:45 am]
 BILLING CODE 3510-DS-P