[Federal Register Volume 85, Number 144 (Monday, July 27, 2020)]
[Notices]
[Pages 45185-45187]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-16074]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-888]


Certain Carbon and Alloy Steel Cut-to-Length Plate From the 
Republic of Korea: Preliminary Results of Countervailing Duty 
Administrative Review, and Intent to Rescind Review, in Part; 2018

AGENCY: Enforcement and Compliance, International Trade Administration, 
U.S. Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that countervailable subsidies are being provided to producers and 
exporters of certain carbon and alloy steel cut-to-length plate (CTL 
plate) from the Republic of Korea (Korea). The period of review is 
January 1, 2018 through December 31, 2018.

DATES: Applicable July 27, 2020.

FOR FURTHER INFORMATION CONTACT: Bob Palmer or Faris Montgomery, AD/CVD 
Operations, Office VIII, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-9068 and (202) 
482-1537, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On July 15, 2019, Commerce published a notice of initiation of an 
administrative review of the countervailing duty (CVD) order on CTL 
plate from Korea.\1\ On December 30, 2019, Commerce extended the 
deadline for the preliminary results of this review to no later than 
May 29, 2019.\2\ On April 24, 2020, Commerce tolled all deadlines in 
administrative reviews by 50 days, thereby extending the deadline for 
these preliminary results until July 20, 2020.\3\
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 84 FR 33739 (July 15, 2019).
    \2\ See Memorandum ``Certain Carbon and Alloy Steel Cut-to-
Length Plate from the Republic of Korea: Extension of Deadline for 
Preliminary Results of Countervailing Duty Administrative Review; 
2018,'' dated December 30, 2019.
    \3\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews in Response to 
Operational Adjustments Due to COVID-19,'' dated April 24, 2020.
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    For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\4\ 
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. 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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    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Countervailing Duty Administrative Review; 2018: 
Certain Carbon and Alloy Steel Cut-to-Length Plate 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 carbon and alloy steel cut-
to-length plate. 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

[[Page 45186]]

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.\5\ For a full description 
of the methodology underlying our conclusions, see the Preliminary 
Decision Memorandum.
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    \5\ 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

    On August 13 and 14, 2019, Hyundai Steel Company and Dongkuk Steel 
Mill Co., Ltd. timely submitted no shipment certifications.\6\ Because 
there is no evidence on the record to indicate that Hyundai Steel 
Company or Dongkuk Steel Mill Co., Ltd. had entries, exports, or sales 
of subject merchandise to the United States during the period of 
review, and U.S. Customs and Border Protection (CBP) did not provide 
Commerce with any contradictory information, we intend to rescind the 
review with respect to these companies in accordance with 19 CFR 
351.213(d)(3).\7\
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    \6\ See Hyundai Steel Company's letter, ``Carbon and Alloy Steel 
Cut-To-Length Plate from Korea--Notice of No Sales,'' dated August 
13, 2019; and Dongkuk Steel Mill Co., Ltd.'s letter, 
``Administrative Review of the Countervailing Duty Order on Carbon 
and Alloy Steel Cut-to-Length Plate from Korea for the 2018 Review 
Period--No Shipments Letter,'' dated August 14, 2019.
    \7\ See Memorandum, ``Certain Carbon and Alloy Steel Cut-to-
Length Plate from the Republic of Korea (C-580-888),'' dated June 
19, 2020; see also Memorandum, ``Certain Carbon and Alloy Steel Cut-
to-Length Plate from the Republic of Korea (C-580-888),'' dated June 
22, 2020.
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Companies Not Selected for Individual Review

    Commerce calculated an individual estimated net countervailable 
subsidy rate for POSCO, the sole mandatory respondent in this segment 
of the proceeding, which is not zero, de minimis, or based entirely 
under section 776 of the Act. Pursuant to section 705(c)(5)(A)(i) of 
the Act, we are assigning POSCO's rate to all producers and exporters 
not selected for individual review. For further information on the 
calculation of the non-examined company rate, refer to the section in 
the Preliminary Decision Memorandum entitled ``Rate for Non-Examined 
Companies.''

Preliminary Results of Review

    In accordance with 19 CFR 351.221(b)(4)(i), we calculated an 
individual net countervailable subsidy rate for POSCO. Commerce 
preliminarily determines that, during the period of review, the net 
countervailable subsidy rates for the producers/exporters under review 
are as follows:

------------------------------------------------------------------------
                                                              Net
                                                        countervailable
                       Company                            subsidy rate
                                                          (percent ad
                                                            valorem)
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POSCO \8\............................................               0.50
BDP International....................................               0.50
Blue Track Equipment.................................               0.50
Boxco................................................               0.50
Bukook Steel Co., Ltd................................               0.50
Buma CE Co., Ltd.....................................               0.50
China Chengdu International Techno-Economic                         0.50
 Cooperation Co., Ltd................................
Daehan I.M. Co., Ltd.................................               0.50
Daelim Industrial Co., Ltd...........................               0.50
Daesam Industrial Co., Ltd...........................               0.50
Daesin Lighting Co., Ltd.............................               0.50
Daewoo International Corp............................               0.50
Dong Yang Steel Pipe.................................               0.50
Dongbu Steel Co., Ltd................................               0.50
Dongkuk Industries Co., Ltd..........................               0.50
EAE Automotive Equipment.............................               0.50
EEW KHPC Co., Ltd....................................               0.50
Eplus Expo Inc.......................................               0.50
GS Global Corp.......................................               0.50
Haem Co., Ltd........................................               0.50
Han Young Industries.................................               0.50
Hyosung Corp.........................................               0.50
Jinmyung Frictech Co., Ltd...........................               0.50
Kindus Inc...........................................               0.50
Korean Iron and Steel Co., Ltd.......................               0.50
Kyoungil Precision Co., Ltd..........................               0.50
Samsun C&T Corp......................................               0.50
Shipping Imperial Co., Ltd...........................               0.50
Sinchang Eng Co., Ltd................................               0.50
SK Networks Co., Ltd.................................               0.50
SNP Ltd..............................................               0.50
Steel N People Ltd...................................               0.50
Summit Industry......................................               0.50
Sungjin Co., Ltd.....................................               0.50
Young Sun Steel......................................               0.50
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Assessment Rate
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    \8\ As discussed in the Preliminary Decision Memorandum, 
Commerce has found the following companies to be cross-owned with 
POSCO: POSCO Chemtech, POSCO M-Tech, Pohang Scrap Recycling 
Distribution Center Co., Ltd., POSCO Nippon Steel RHF Joint Venture 
Co., Ltd., POSCO Terminal and POSCO Daewoo Corporation. The subsidy 
rates apply to all cross-owned companies.
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    Consistent with section 751(a)(2)(C) of the Act, upon issuance of 
the final results, Commerce shall determine, and 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.

Cash Deposit Rate

    Pursuant to section 751(a)(2)(C) 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 (i.e., 4.31 
percent) applicable to the company, as appropriate.\9\ These cash 
deposit instructions, when imposed, shall remain in effect until 
further notice.
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    \9\ See Certain Carbon and Alloy Steel Cut-to-Length Plate from 
the Republic of Korea: Countervailing Duty Order, 82 FR 24103 (May 
25, 2017).
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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.\10\ Interested 
parties may submit written comments (case briefs) within 30 days of 
publication of the preliminary results, and rebuttal comments (rebuttal 
briefs) within seven days \11\ 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) A statement of 
the issue; (2) a brief summary of the argument; and (3) a table of 
authorities.\13\ Note that Commerce has temporarily modified certain of 
its requirements for serving documents containing business proprietary 
information, until further notice.\14\
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    \10\ See 19 CFR 351.224(b).
    \11\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July 
10, 2020) (Temporary Rule).
    \12\ See 19 CFR 351.309(c)(1)(ii) and (d)(1); see also 19 CFR 
351.303 (for general filing requirements).
    \13\ See 19 CFR 351.309(c)(2) and (d)(2).
    \14\ See Temporary Rule.
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    Interested parties who wish to request a hearing must submit a 
written request to the Assistant Secretary for Enforcement and 
Compliance, U.S. Department of Commerce, using Enforcement and 
Compliance's ACCESS system within 30 days of publication of

[[Page 45187]]

this notice.\15\ 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 those raised in the respective case and rebuttal briefs. If 
a request for a hearing is made, Commerce intends to hold the hearing 
at a time and date to be determined. Parties should confirm the date 
and time of the hearing two days before the scheduled date.
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    \15\ 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.

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: July 20, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Review
IV. Diversification of Korea's Economy
V. Intent to Rescind, in Part, the Administrative Review
VI. Scope of the Order
VII. Rate for Non-Examined Companies
VIII. Subsidies Valuation Information
IX. Analysis of Programs
X. Recommendation

[FR Doc. 2020-16074 Filed 7-24-20; 8:45 am]
BILLING CODE 3510-DS-P