[Federal Register Volume 83, Number 220 (Wednesday, November 14, 2018)]
[Notices]
[Pages 56813-56815]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-24794]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-588-874]


Certain Hot-Rolled Steel Flat Products From Japan: Preliminary 
Results of Antidumping Duty Administrative Review and Preliminary 
Determination of No Shipments; 2016-2017

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that Nippon Steel & Sumitomo Metal Corporation (Nippon Steel) and Tokyo 
Steel Manufacturing Co., Ltd. (Tokyo Steel), the two companies selected 
for individual examination, sold subject merchandise in the United 
States at prices below normal value during the period of review (POR). 
Additionally, Commerce preliminarily determines that three other 
companies for which we initiated reviews had no shipments during the 
POR. We invite interested parties to comment on these preliminary 
results.

DATES: Applicable November 14, 2018.

FOR FURTHER INFORMATION CONTACT: Myrna Lobo or Jack Zhao, AD/CVD 
Operations, Office VII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-2371 or (202) 482-1396, 
respectively.

SUPPLEMENTARY INFORMATION: 

Background

    Commerce is conducting an administrative review of the antidumping 
duty order on certain hot-rolled steel flat products (hot-rolled steel) 
from Japan. The notice of initiation of this administrative review was 
published on December 7, 2017.\1\ This review covers 20 producers and 
exporters of the subject merchandise. The POR is March 22, 2016, 
through September 30, 2017. Commerce selected two mandatory respondents 
for individual examination: Nippon Steel and Tokyo Steel.
---------------------------------------------------------------------------

    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 82 FR 57705 (December 7, 2017).
---------------------------------------------------------------------------

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.\2\
---------------------------------------------------------------------------

    \2\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of Antidumping Duty Administrative Review and Preliminary 
Determination of No Shipments: Certain Hot-Rolled Steel Flat 
Products from Japan; 2016-2017,'' dated concurrently with, and 
hereby adopted by, this notice (Preliminary Decision Memorandum).
---------------------------------------------------------------------------

Methodology

    Commerce is conducting this review in accordance with section 
751(a) of the Tariff Act of 1930, as amended (the Act). Export price 
and constructed export price are calculated in accordance with section 
772 of the Act. NV is calculated in accordance with section 773 of the 
Act.
    For a full description of the methodology underlying our 
conclusions, see the Preliminary Decision Memorandum. 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 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. A list of the topics discussed in 
the Preliminary Decision Memorandum is attached as the Appendix to this 
notice.

Preliminary Determination of No Shipments

    Among the companies under review, four companies, Hitachi Metals, 
Ltd. (Hitachi), Honda Trading Canada, Inc. (Honda), Mitsui & Co. Ltd. 
(Mitsui), and Panasonic Corporation (Panasonic) properly filed 
statements reporting that they made no shipments of subject merchandise 
to the United States during the POR. Based on the certifications 
submitted and our analysis of Customs and Border Protection (CBP) 
information, we preliminarily determine that Hitachi, Honda, and 
Panasonic had no shipments during the POR.\3\

[[Page 56814]]

Consistent with its practice, Commerce finds that it is not appropriate 
to preliminarily rescind the review with respect to these companies 
but, rather, to complete the review and issue appropriate instructions 
to CBP based on the final results of this review. We intend to solicit 
more information and comments with respect to Mitsui's no shipment 
certification.\4\
---------------------------------------------------------------------------

    \3\ See Hitachi Letter, ``Antidumping Duty Administrative Review 
of Certain Hot-Rolled Steel Flat Products: Hitachi No Shipment 
Letter,'' dated December 18, 2017; see also Honda Letter, 
``Administrative Review of Certain Hot-Rolled Steel Flat Products 
from Japan: Honda Trading Canada, Inc.'s No Shipment 
Certification,'' dated December 22, 2017; see also Mitsui Letter, 
``Antidumping Administrative Review of Certain Hot-Rolled Steel Flat 
Products: Mitsui No Shipment Notification,'' dated January 5, 2018; 
see also Panasonic Letter, ``Administrative Review of Certain Hot-
Rolled Steel Flat Products from Japan: Panasonic Corporation No 
Shipment Certification,'' dated January 5, 2018. See also Public 
Memorandum, ``Re: No shipment inquiry with respect to the companies 
below during the period 03/22/2016 through 09/30/2017,'' dated 
October 23, 2018.
    \4\ See Business Proprietary Memorandum, ``Re: No shipment 
inquiry with respect to the companies below during the period 03/22/
2016 through 09/30/2017,'' dated October 23, 2018.
---------------------------------------------------------------------------

Preliminary Results of the Review

    As a result of this review, we preliminarily determine the 
following weighted-average dumping margins for the period March 22, 
2016, through September 30, 2017:

------------------------------------------------------------------------
 
------------------------------------------------------------------------
        Exporter/producer             Weighted-average dumping margin
                                                 (percent)
------------------------------------------------------------------------
Nippon Steel & Sumitomo Metal                      0.54.
 Corporation \5\.
                                 ---------------------------------------
Nisshin Steel Co., Ltd. \6\.....  3/22/2016 to......  3/13/2017 to
                                  3/12/2017.........  9/30/2017.
                                  1.46 \7\..........  0.54. \8\
                                 ---------------------------------------
Tokyo Steel Manufacturing Co.,                     7.64
 Ltd.
------------------------------------------------------------------------

    Review-Specific Average Rate Applicable to the Following Companies: 
\9\
---------------------------------------------------------------------------

    \5\ We collapsed Nippon Steel & Sumikin Bussan Corporation with 
Nippon Steel & Sumitomo Metal Corporation in the underlying 
investigation. See Certain Hot-Rolled Steel Flat Products from 
Japan: Preliminary Determination of Sales at Less than Fair Value 
and Postponement of Final Determination, 81 FR 15222 (March 22, 
2016) and accompanying Preliminary Decision Memorandum at 6-7.
    \6\ We have collapsed Nisshin Steel Co., Ltd. and Nippon Steel & 
Sumitomo Metal Corporation as of March 13, 2017. See Preliminary 
Decision Memorandum at 9.
    \7\ Entries of subject merchandise produced/exported by Nisshin 
Steel Co., Ltd. made prior to March 13, 2017 are subject to the all 
others rate calculated in this administrative review. See Memorandum 
re: Calculation of the Review-Specific Average Rate for the 
Preliminary Results, dated concurrently with this notice.
    \8\ Entries of subject merchandise produced/exported by Nisshin 
Steel Co., Ltd. made on/or after March 13, 2017 are subject to the 
AD rate assigned to Nippon Steel in this administrative review.
    \9\ This rate is based on the weighted-average margin using the 
publicly-ranged sales value of mandatory respondents, and is the 
best proxy of the actual weighted-average margin determined for the 
mandatory respondents. Due to requests to protect business 
proprietary information, we cannot apply our normal methodology of 
calculating a weighted-average margin. See Ball Bearings and Parts 
Thereof from France, et al.: Final Results of Antidumping Duty 
Administrative Reviews, Final Results of Changed-Circumstances 
Review, and Revocation of an Order in Part, 75 FR 53661, 53663 
(September 1, 2010); see also Memorandum re: Calculation of the 
Review-Specific Average Rate for the Preliminary Results, dated 
concurrently with this notice.

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                    Exporter/producer                     dumping margin
                                                             (percent)
------------------------------------------------------------------------
Hanwa Co., Ltd..........................................            1.46
JFE Steel Corporation \10\..............................            1.46
JFE Shoji Trade America.................................            1.46
Kanematsu Corporation...................................            1.46
Kobe Steel, Ltd.........................................            1.46
Mitsui & Co., Ltd.......................................            1.46
Miyama Industry Co., Ltd................................            1.46
Nippon Steel & Sumikin Logistics Co., Ltd...............            1.46
Okaya & Co. Ltd.........................................            1.46
Saint-Gobain KK.........................................            1.46
Shinsho Corporation.....................................            1.46
Sumitomo Corporation....................................            1.46
Suzukaku Corporation....................................            1.46
Toyota Tsusho Corporation Nagoya........................            1.46
------------------------------------------------------------------------
\\

Assessment Rates
---------------------------------------------------------------------------

    \10\ We collapsed JFE Shoji Trade Corporation with JFE Steel 
Corporation in the underlying investigation. See Certain Hot-Rolled 
Steel Flat Products from Japan: Preliminary Determination of Sales 
at Less than Fair Value and Postponement of Final Determination, 81 
FR 15222 (March 22, 2016) and accompanying Preliminary Decision 
Memorandum at 8-9.
---------------------------------------------------------------------------

    Upon completion of the administrative review, Commerce shall 
determine, and CBP shall assess, antidumping duties on all appropriate 
entries.
    Pursuant to 19 CFR 351.212(b)(1), where the mandatory respondents 
reported the entered value for their U.S. sales, we calculated 
importer-specific ad valorem duty assessment rates based on the ratio 
of the total amount of dumping calculated for the examined sales to the 
total entered value of the sales for which entered value was reported. 
Where the mandatory respondents did not report entered value, we 
calculated the entered value

[[Page 56815]]

in order to calculate the assessment rate. Where either the 
respondent's weighted-average dumping margin is zero or de minimis 
within the meaning of 19 CFR 351.106(c)(1), or an importer-specific 
rate is zero or de minimis, we will instruct CBP to liquidate the 
appropriate entries without regard to antidumping duties.
    For the companies which were not selected for individual review, we 
will assign an assessment rate based on the average \11\ of the cash 
deposit rates calculated for the two mandatory respondents. The final 
results of this review shall be the basis for the assessment of 
antidumping duties on entries of merchandise covered by the final 
results of this review and for future deposits of estimated duties, 
where applicable.\12\
---------------------------------------------------------------------------

    \11\ This rate was calculated as discussed in footnote 8, above.
    \12\ See section 751(a)(2)(C) of the Act.
---------------------------------------------------------------------------

    We intend to issue liquidation instructions to CBP 15 days after 
publication of the final results of this review.

Cash Deposit Requirements

    The following deposit requirements will be effective for all 
shipments of the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the publication date of the 
final results of this administrative review, as provided by section 
751(a)(2)(C) of the Act: (1) The cash deposit rate for each specific 
company listed above will be that established in the final results of 
this review, except if the rate is less than 0.50 percent and, 
therefore, de minimis within the meaning of 19 CFR 351.106(c)(1), in 
which case the cash deposit rate will be zero; (2) for previously 
investigated companies not participating in this review, the cash 
deposit will continue to be the company-specific rate published for the 
most recently completed segment of this proceeding in which the company 
participated; (3) if the exporter is not a firm covered in this review, 
or the underlying investigation, but the manufacturer is, the cash 
deposit rate will be the rate established for the most recent segment 
for the manufacturer of the merchandise; and (4) the cash deposit rate 
for all other manufacturers or exporters will continue to be 5.58 
percent, the all-others rate established in the underlying 
investigation.\13\ These deposit requirements, when imposed, shall 
remain in effect until further notice.
---------------------------------------------------------------------------

    \13\ See Certain Hot-Rolled Steel Flat Products from Australia, 
Brazil, Japan, the Republic of Korea, the Netherlands, the Republic 
of Turkey, and the United Kingdom: Amended Final Affirmative 
Antidumping Determinations for Australia, the Republic of Korea, and 
the Republic of Turkey and Antidumping Duty Orders, 81 FR 67962 
(October 3, 2016).
---------------------------------------------------------------------------

Disclosure and Public Comment

    Commerce intends to disclose the calculations performed in 
connection with these preliminary results to interested parties within 
five days after the date of publication of this notice.\14\ Interested 
parties may submit case briefs not later than 30 days after the date of 
publication of this notice.\15\ Rebuttal briefs, limited to issues 
raised in the case briefs, may be filed no later than five days after 
the time limit for filing case briefs.\16\ 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.\17\ Case and rebuttal 
briefs should be filed using ACCESS.\18\
---------------------------------------------------------------------------

    \14\ See 19 CFR 351.224(b).
    \15\ See 19 CFR 351.309(c)(1)(ii).
    \16\ See 19 CFR 351.309(d)(1).
    \17\ See 19 CFR 351.309(c)(2) and (d)(2).
    \18\ See 19 CFR 351.303.
---------------------------------------------------------------------------

    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, filed electronically via 
ACCESS. An electronically-filed request for a hearing must be received 
successfully in its entirety by ACCESS by 5 p.m. Eastern Time within 30 
days after the date of publication of this notice.\19\ Hearing requests 
should contain: (1) The party's name, address, and telephone number; 
(2) the number of participants; and (3) a list of issues to be 
discussed. Issues raised in the hearing will be limited to issues 
raised in the briefs. If a request for a hearing is made, parties will 
be notified of the time and date for the hearing to be held at the U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230.\20\
---------------------------------------------------------------------------

    \19\ See 19 CFR 351.310(c); 19 CFR 351.303(b)(1).
    \20\ See 19 CFR 351.310(c).
---------------------------------------------------------------------------

    Commerce intends to issue the final results of this administrative 
review, including the results of its analysis of issues raised in any 
written briefs, not later than 120 days after the publication of these 
preliminary results in the Federal Register, unless otherwise 
extended.\21\
---------------------------------------------------------------------------

    \21\ See Section 751(a)(3)(A) of the Act.
---------------------------------------------------------------------------

Notification to Importers

    This notice also serves as a preliminary reminder to importers of 
their responsibility under 19 CFR 351.402(f) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this review period. Failure to comply 
with this requirement could result in Commerce's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    We are issuing and publishing these results in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: November 1, 2018.
James Maeder,
Associate Deputy Assistant Secretary, for Antidumping and 
Countervailing Duty Operations, performing the duties of Deputy 
Assistant Secretary, for Antidumping and Countervailing Duty 
Operations.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Review
IV. Scope of the Order
V. Preliminary Determination of No Shipments
VI. Single Entity Analysis
VII. Use of Facts Available and Adverse Facts Available
    A. Legal Authority
    B. Application of Facts Available to Nippon Steel
    C. Application of Facts Available with an Adverse Inference
VIII. Review-Specific Average Rate for Non-Examined Companies
IX. Discussion of the Methodology
    A. Normal Value Comparisons
    1. Determination of Comparison Method
    2. Results of the Differential Pricing Analysis
    B. Date of Sale
    C. Product Comparisons
    D. Export Price and Constructed Export Price
    E. Normal Value
    1. Home Market Viability
    2. Affiliated Party Transactions and Arm's-Length Test
    3. Level of Trade
    4. Cost of Production Analysis
    5. Calculation of Normal Value Based on Home Market Prices
X. Currency Conversion
XI. Recommendation

[FR Doc. 2018-24794 Filed 11-13-18; 8:45 am]
 BILLING CODE 3510-DS-P