[Federal Register Volume 83, Number 215 (Tuesday, November 6, 2018)]
[Notices]
[Pages 55517-55519]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-24252]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-884]


Certain Hot-Rolled Steel Flat Products From the Republic of 
Korea: Preliminary Results of Countervailing Duty Administrative 
Review, 2016

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that Hyundai Steel Co., Ltd. (Hyundai Steel), a producer/exporter of 
certain hot-rolled steel flat products (hot-rolled steel) from the 
Republic of Korea (Korea), and POSCO, a producer/exporter of hot-rolled 
steel from Korea, received countervailable subsidies during the period 
of review (POR), August 12, 2016, through December 31, 2016. We invite 
interested parties to comment on these preliminary results.

DATES: Applicable November 6, 2018.

FOR FURTHER INFORMATION CONTACT: Ryan Mullen or Carrie Bethea, AD/CVD 
Operations, Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-5260 and (202) 482-1491, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On December 7, 2017, Commerce published a notice of initiation of 
an administrative review of the countervailing duty (CVD) order on hot-

[[Page 55518]]

rolled steel from Korea.\1\ On June 12, 2018, Commerce extended the 
deadline for the preliminary results of this review to no later than 
November 5, 2018.\2\ For a complete description of the events that 
followed the initiation of this review, see the Preliminary Decision 
Memorandum.\3\ A list of topics discussed in the Preliminary Decision 
Memorandum is included at the Appendix 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 http://access.trade.gov and is available 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 accessed directly at http://enforcement.trade.gov/frn/. The signed and electronic versions of the 
Preliminary Decision Memorandum are identical in content.
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 82 FR 57705 (December 7, 2017) (Initiation 
Notice).
    \2\ See June 12, 2018 Memorandum re: Extension of Deadline for 
Preliminary Results of Countervailing Duty Administrative Review--
2016.
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Countervailing Duty Administrative Review; 2016: 
Certain Hot-Rolled Steel Flat Products from the Republic of Korea,'' 
dated concurrently with, and hereby adopted by, this notice 
(Preliminary Decision Memorandum).
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Scope of the Order

    The merchandise covered by the order is certain hot-rolled steel 
flat products. For a complete description of the scope of the order, 
see the Preliminary Decision Memorandum.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(l)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found countervailable, we preliminarily 
determine that there is a subsidy, i.e., a government-provided 
financial contribution that gives rise to a benefit to the recipient, 
and that the subsidy is specific.\4\ For a full description of the 
methodology underlying our conclusions, see the accompanying 
Preliminary Decision Memorandum.
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    \4\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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Companies Not Selected for Individual Review

    For the companies not selected for individual review, because the 
rates calculated for Hyundai Steel and POSCO were above de minimis and 
not based entirely on facts available, we applied a subsidy rate based 
on a weighted-average of the subsidy rates calculated for Hyundai Steel 
and POSCO using publicly-ranged sales data submitted by the 
respondents. This is consistent with the methodology that we would use 
in an investigation to establish the all-others rate, consistent with 
section 705(c)(5)(A) of the Act.

Preliminary Results of Review

    In accordance with 19 CFR 351.224(b)(4)(i), we calculated 
individual subsidy rates for Hyundai Steel and POSCO. For the POR, we 
preliminarily determine that the net subsidy rates for the producers/
exporters under review to be as follows:

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
------------------------------------------------------------------------
POSCO...................................................            1.73
Hyundai Steel Co., Ltd..................................            0.65
DCE Inc.................................................            1.21
Dong Chuel America Inc..................................            1.21
Dongbu Steel Co., Ltd...................................            1.21
Dongkuk Industries Co., Ltd.............................            1.21
Hyewon Sni Corporation (H.S.I.).........................            1.21
Soon Hong Trading Co., Ltd..............................            1.21
Sung-A Steel Co., Ltd...................................            1.21
------------------------------------------------------------------------

Assessment Rate

    Consistent with section 751(a)(2)(C) of the Act, upon issuance of 
the final results, Commerce shall determine, and Customs and Border 
Protection (CBP) shall assess, countervailing duties on all appropriate 
entries covered by this review. We intend to issue instructions to CBP 
15 days after publication of the final results of this review. Commerce 
intends to issue appropriate assessment instructions directly to CBP 15 
days after publication of this notice.

Cash Deposit Rate

    Pursuant to section 751(a)(1) of the Act, Commerce intends to 
instruct CBP to collect cash deposits of estimated countervailing 
duties in the amount indicated above with regard to shipments of 
subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after the date of publication of the final results of 
this review. For all non-reviewed firms, we will instruct CBP to 
continue to collect cash deposits of estimated countervailing duties at 
the most recent company-specific or all-others rate applicable to the 
company, as appropriate. These cash deposit instructions, when imposed, 
shall remain in effect until further notice.

Disclosure and Public Comment

    We will disclose to parties to this proceeding the calculations 
performed in reaching the preliminary results within five days of the 
date of publication of these preliminary results.\5\ Commerce will 
establish a deadline for interested parties to submit written comments 
(case briefs) and rebuttal comments (rebuttal briefs) at a later 
date.\6\ Pursuant to 19 CFR 351.309(d)(2), rebuttal briefs must be 
limited to issues raised in the case briefs. Parties who submit 
arguments are requested to submit with the argument: (1) A statement of 
the issue; (2) a brief summary of the argument; and (3) a table of 
authorities.\7\
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    \5\ See 19 CFR 224(b).
    \6\ See 19 CFR 351.309(c)(1)(ii) and 351.309(d)(1).
    \7\ See 19 CFR 351.309(c)(2) and 351.309(d)(2).
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    Interested parties who wish to request a hearing must do so within 
30 days of publication of these preliminary results by submitting a 
written request to the Assistant Secretary for Enforcement and 
Compliance using Enforcement and Compliance's ACCESS system.\8\ 
Requests should contain the party's name, address, and telephone 
number, the number of participants, whether any participant is a 
foreign national, and a list of the issues to be discussed. If a 
request for a hearing is made, Commerce will inform parties of the 
scheduled date of the hearing which will be held at the U.S. Department 
of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230, at a 
time and date to be determined.\9\ Issues addressed during the hearing 
will be limited to those raised in the briefs.\10\ Parties should 
confirm by telephone the date, time, and location of the hearing two 
days before the scheduled date.
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    \8\ See 19 CFR 351.310(c).
    \9\ See 19 CFR 351.310.
    \10\ See 19 CFR 351.310(c).
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    Parties are reminded that all briefs and hearing requests must be 
filed electronically using ACCESS and received successfully in their 
entirety by 5 p.m. Eastern Time on the due date.
    Unless the deadline is extended pursuant to section 751(a)(3)(A) of 
the Act, Commerce intends to issue the final results of this 
administrative review, including the results of our analysis of the 
issues raised by the parties in their comments, within 120 days after 
publication of these preliminary results.
    This administrative review and notice are in accordance with 
sections

[[Page 55519]]

751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.213.

    Dated: October 30, 2018.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Review
IV. Scope of the Order
V. Rate for Non-Examined Companies
VI. Subsidies Valuation Information
VII. Use of Facts Otherwise Available
VIII. Analysis of Programs
IX. Recommendation

[FR Doc. 2018-24252 Filed 11-5-18; 8:45 am]
 BILLING CODE 3510-DS-P