[Federal Register Volume 83, Number 236 (Monday, December 10, 2018)]
[Notices]
[Pages 63472-63474]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-26654]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-489-819]


Steel Concrete Reinforcing Bar From the Republic of Turkey: 
Preliminary Results of Countervailing Duty Administrative Review and 
Intent To Rescind the Review in Part; 2016

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

SUMMARY: The Department of Commerce (Commerce) preliminary determines 
that producers/exporters of steel concrete reinforcing bar (rebar) from 
the Republic of Turkey (Turkey) received countervailable subsidies 
during the period of review (POR) January 1 through December 31, 2016. 
Interested parties are invited to comment on these preliminary results.

DATES: Applicable December 10, 2018.

FOR FURTHER INFORMATION CONTACT: Caitlin Monks, 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) 482-2670.

SUPPLEMENTARY INFORMATION: 

Background

    On January 11, 2018, Commerce published a notice of initiation of 
an administrative review of the CVD order on rebar from Turkey.\1\ On 
July 10, 2018, Commerce extended the deadline for the preliminary 
results to December 3, 2018.\2\ Commerce preliminarily determines that 
the mandatory respondents: Colakoglu Dis Ticaret A.S. (COTAS) and 
Colakoglu Metalurji A.S. (Colakoglu Metalurji) (collectively, 
Colakoglu), Icdas Celik Enerji Tersane ve Ulasim Sanayi A.S. (Icdas), 
and Kaptan Demir Celik Endustrisi ve Ticaret A.S. (Kaptan Demir) and 
Kaptan Metal Dis Ticaret Ve Nakliyat A.S. (Kaptan Metal) (collectively, 
Kaptan) each received countervailable subsidies during the POR. 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

[[Page 63473]]

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, 83 FR 1329, 1334 (January 11, 2018); See 
also Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 83 FR 8058, 8067 n.6 (February 23, 2018).
    \2\ See Memorandum, ``Steel Concrete Reinforcing Bar from the 
Republic of Turkey: Extension of Deadline for Preliminary Results in 
2016 Countervailing Duty Administrative Review,'' dated July 10, 
2018.
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of Countervailing Duty Administrative Review of and the 
Preliminary Intent to Rescind, in Part: Steel Concrete Reinforcing 
Bar from the Republic of Turkey; 2016,'' 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 steel concrete reinforcing 
bar (rebar) imported in either straight length or coil form regardless 
of metallurgy, length, diameter, or grade. For a complete description 
of the scope, see the Preliminary Decision Memorandum.

Methodology

    Commerce is conducting this administrative review in accordance 
with section 751(a)(1)(A) of the Tariff Act of 1930, as amended (the 
Act). For each subsidy program found countervailable, we preliminarily 
find 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 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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Intent To Rescind Administrative Review, in Part

    DufEnergy Trading SA (DufEnergy), Duferco Celik Ticaret Limited 
(Duferco), and Ekinciler Demir ve Celik Sanayi A.S. (Ekinciler) timely 
filed no-shipments certifications.\5\ Because there is no evidence on 
the record to indicate that DufEnergy, Duferco, or Ekinciler had 
entries, exports, or sales of subject merchandise to the United States 
during the POR, pursuant to 19 CFR 351.213(d)(3), we intend to rescind 
the review with respect to these companies.
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    \5\ See DufEnergy's letter, ``Steel Concrete Reinforcing Bar 
from Turkey; No Shipments Letter for DufEnergyTrading SA (formerly 
known as Duferco Investment Services SA),'' dated January 29, 2018; 
Duferco's letter, ``Steel Concrete Reinforcing Bar from Turkey; No 
Shipments Letter for Duferco Celik Ticaret Limited,'' dated January 
29, 2018; and Ekinciler's letter, ``Hot-Rolled Steel Products from 
Turkey (C-489-819): Countervailing Duty Administrative Review (01/
01/16-12/31/16),'' dated January 24, 2018.
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    Entries of merchandise produced and exported by Habas Sinai ve 
Tibbi Gazlar Istihsal Endustrisi A.S. (Habas) are not subject to 
countervailing duties under this Order because the Commerce's final 
determination with respect to this producer/exporter combination was 
negative.\6\ However, any entries of merchandise produced by any other 
entity and exported by Habas or produced by Habas and exported by 
another entity are subject to this Order.
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    \6\ See Steel Concrete Reinforcing Bar from the Republic of 
Turkey: Final Affirmative Countervailing Duty Determination and 
Final Affirmative Critical Circumstances Determination, 79 FR 54963, 
54964 (September 15, 2014).
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    Because there is no evidence on the record of entries of 
merchandise produced by another entity and exported by Habas, or 
entries of merchandise produced by Habas and exported by another 
entity, we preliminarily determine that Habas is not subject to this 
administrative review. Therefore, pursuant to 19 CFR 351.213(d)(3), we 
intend to rescind the review with respect to Habas. A final decision on 
whether to rescind the review of DufEnergy, Duferco, Ekinciler, and 
Habas will be made in the final results of this administrative review.

Companies Not Selected for Individual Review

    For these preliminary results, Icdas is the sole mandatory 
respondent with a calculated rate above de minimis. Therefore, we are 
assigning Icdas' net countervailable subsidy rate of 1.37 percent ad 
valorem to the 11 remaining non-selected companies, for which an 
individual rate was not calculated. This is consistent with our 
practice,\7\ and in accordance with section 705(c)(5)(A) of the Act.
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    \7\ See, e.g., Certain Pasta from Italy: Final Results of the 
2008 Countervailable Review, 75 FR 37386, 37387 (June 29, 2010).
    \8\ Commerce preliminarily finds the following companies to be 
cross-owned with Icdas: Mardas Marmara Deniz Isletmeciligi A.S., 
Oraysan Insaat Sanayi ve Ticaret A.S., Artmak Denizcilik Ticaret ve 
Sanayi A.S., and Icdas Elektrik Enerjisi Uretim ve Yatirim A.S.
    \9\ Commerce preliminarily finds the following companies to be 
cross-owned with Kaptan: Martas Marmara Ereglisi Liman Tesisleri 
A.S., Aset Madencilik A.S., and Kaptan Is Makinalari Hurda Alim 
Satim Ltd. Sti.
    \10\ Commerce preliminarily finds the following companies to be 
cross-owned with Colakoglu: Demirsan Haddecilik San. Ve Tic. A.S.
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Preliminary Results of the Review

    We preliminarily find that the net countervailable subsidy rates 
for the period January 1, 2016, through December 31, 2016, are as 
follows:

------------------------------------------------------------------------
               Company                 Subsidy Rate Ad Valorem (percent)
------------------------------------------------------------------------
Icdas Celik Enerji Tersane ve Ulasim   1.37
 Sanayi A.S. and its cross-owned
 affiliates \8\.
Kaptan Demir Celik Endustrisi ve       0.22 (de minimis)
 Ticaret A.S. and Kaptan Metal Dis
 Ticaret ve Nakliyat A.S. and their
 cross-owned affiliates \9\.
Colakoglu Dis Ticaret A.S. and         0.04 (de minimis)
 Colakoglu Metalurji A.S. and their
 cross-owned affiliates\10\.
Acemar International Limited.........  1.37
Agir Haddecilik A.S..................  1.37
As Gaz Sinai ve Tibbi Gazlar A.S.....  1.37
Asil Celik Sanayi ve Ticaret A.S.....  1.37
Ege Celik Endustrisi Sanayi ve         1.37
 Ticaret A.S..
Izmir Demir Celik Sanayi A.S.........  1.37
Kocaer Haddecilik Sanayi Ve Ticar L..  1.37
Mettech Metalurji Madencilik           1.37
 Muhendislik Uretim Danismanlik ve
 Ticaret Limited Sirketi.
MMZ Onur Boru Profil A.S.............  1.37
Ozkan Demir Celik Sanayi A.S.........  1.37
Wilmar Europe Trading BV.............  1.37
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Assessment Rates

    Consistent with section 751(a)(2)(C) of the Act, upon issuance of 
the final results, Commerce shall determine, and U.S. 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.

[[Page 63474]]

Cash Deposit Requirements

    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 for the reviewed companies, 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 collect cash deposits at the most recent company-
specific or all-others rate applicable to the company, as appropriate. 
These cash deposit requirements, when imposed, shall remain in effect 
until further notice.

Disclosure and Public Comment

    We will disclose to the parties in this proceeding the calculations 
performed in reaching the preliminary results within five days of the 
date of publication of this notice.\11\ Interested parties may submit 
written arguments (case briefs) on the preliminary results within 30 
days of publication of the preliminary results, and rebuttal comments 
(rebuttal briefs) within five days after the time limit for filing case 
briefs.\12\ 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) Statement of 
the issue; (2) a brief summary of the argument; and (3) a table of 
authorities.\13\
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    \11\ See 19 CFR 351.224(b).
    \12\ See 19 CFR 351.309(c)(1)(ii); 351.309(d)(1); and 19 CFR 
351.303 (for general filing requirements).
    \13\ See 19 CFR 351.309(c)(2) and 351.309(d)(2).
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    Interested parties who wish to request a hearing, or to participate 
if one is requested, must submit a written request within 30 days after 
the date of publication of this notice.\14\ 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 Commerce 
receives a request for a hearing, we will inform parties of the 
scheduled date for the hearing, which will be held at the main 
Department of Commerce building at a time and location to be 
determined.\15\ Parties should confirm by telephone the date, time, and 
location of the hearing.
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    \14\ See 19 CFR 351.310(c).
    \15\ See 19 CFR 351.310.
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    Parties are reminded that briefs and hearing requests are to be 
filed electronically using ACCESS and received successfully in their 
entirety by 5:00 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 parties in their comments, within 120 days after 
publication of these preliminary results.

Notification to Interested Parties

    These preliminary results of review are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 
351.213 and 351.221(b)(4).

    Dated: December 3, 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. Intent to Rescind the 2016 Administrative Review, in Part
    A. DufEnergy Trading SA (DufEnergy); Duferco Celik Ticaret 
Limited (Duferco); and Ekinciler Demir ve Celik Sanayi A.S. 
(Ekinciler)
    B. Habas Sinai ve Tibbi Gazlar Istihsal Endustrisi A.S. (Habas)
IV. Non-Selected Rate
V. Scope of the Order
VI. Subsidies Valuation Information
    A. Allocation Period
    B. Cross-Ownership
    1. Colakoglu
    2. Icdas
    3. Kaptan
    C. Denominators
    D. Loan Benchmarks and Discount Rates
    E. Uncreditworthiness of Icdas Elektrik
VII. Analysis of Programs
    A. Programs Preliminarily Determined To Be Countervailable
    1. Deduction From Taxable Income for Export Revenue
    2. Rediscount Program
    3. Purchase of Electricity Generated from Renewable Resources 
for More Than Adequate Remuneration (MTAR)--Renewable Energy Sources 
Support Mechanism (YEKDEM)
    4. Investment Incentive Certificates
    5. Provision of Natural Gas for LTAR
    B. Programs Preliminarily Determined To Not Be Countervailable
    1. Payments from the Turkish Employers' Association of Metal 
Industries (MESS)--Social Security Premium Support
    2. Payments from MESS--Occupational Health and Safety Support
    3. Preferential Financing From the Industrial Development Bank 
of Turkey (TSKB)
    4. Minimum Wage Support
    C. Programs Preliminarily Determined Not To Confer 
Countervailable Benefits
    1. Inward Processing Regime (IPR)
    2. Regional Investment Incentives
    D. Programs Preliminarily Determined To Provide No Measurable 
Benefit During the POR
    1. Assistance to Offset Costs Related to Antidumping/CVD 
Investigations
    2. Reduction and Exemption of Licensing Fees for Renewable 
Resource Power Plants
    3. Assistance for Participation in Trade Fairs Abroad
    E. Programs Preliminarily Determined To Not Be Used
    1. Provision of Lignite for LTAR
    2. Purchase of Electricity for MTAR--Sales via Build-Operate-
Own, Build-Operate-Transfer, and Transfer of Operating Rights 
Contracts
    3. Research and Development Grant Program
    4. Export Credits, Loans, and Insurance from Turk Eximbank
    5. Large-Scale Investment Incentives
    6. Strategic Investment Incentives
    7. Incentives for Research & Development Activities
    8. Regional Development Subsidies
    9. Comprehensive Investment Incentives
    10. Preferential Financing from the Turkish Development Bank
    11. Liquefied Natural Gas for LTAR
VIII. Conclusion

[FR Doc. 2018-26654 Filed 12-7-18; 8:45 am]
 BILLING CODE 3510-DS-P