[Federal Register Volume 85, Number 226 (Monday, November 23, 2020)]
[Notices]
[Pages 74692-74693]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-25853]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-879]


Certain Corrosion-Resistant Steel Products From the Republic of 
Korea: Preliminary Results of Countervailing Duty Administrative 
Review; 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 corrosion-resistant steel products from the 
Republic of Korea. The period of review (POR) is January 1, 2018 
through December 31, 2018.

DATES: Applicable November 23, 2020.

FOR FURTHER INFORMATION CONTACT: Myrna Lobo or Jun 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 and (202) 482-1396, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On September 9, 2019, Commerce published a notice of initiation of 
an administrative review of the countervailing duty (CVD) order on CORE 
from Korea.\1\ On March 19, 2020, Commerce extended the deadline for 
the preliminary results of this review.\2\ On April 24, 2020, Commerce 
tolled all deadlines in administrative reviews by 50 days.\3\ On July 
21, 2020, Commerce tolled all deadlines in administrative reviews by an 
additional 60 days.\4\ The revised deadline for the preliminary results 
is November 17, 2020.
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 84 FR 47242 (September 9, 2019) (Initiation 
Notice).
    \2\ See Memorandum, ``Extension of Deadline for Preliminary 
Results of Countervailing Duty Administrative Review--2018,'' dated 
March 19, 2020.
    \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.
    \4\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews,'' dated July 21, 2020.
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    For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\5\ 
A list of topics discussed in the Preliminary Decision Memorandum is 
included at the Appendix I 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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    \5\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Countervailing Duty Administrative Review; 2018: 
Certain Corrosion-Resistant Steel 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 corrosion-resistant 
steel 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 financial contribution from 
an authority that gives rise to a benefit to the recipient, and that 
the subsidy is specific.\6\ For a full description of the methodology 
underlying our conclusions, see the accompanying Preliminary Decision 
Memorandum.
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    \6\ 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 Dongbu and Hyundai Steel 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 Dongbu and 
Hyundai Steel using publicly ranged sales data submitted by 
respondents.\7\
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    \7\ With two respondents under review, Commerce normally 
calculates: (A) A weighted-average of the estimated subsidy rates 
calculated for the examined respondents; (B) a simple average of the 
estimated subsidy rates calculated for the examined respondents; and 
(C) a weighted-average of the estimated subsidy rates calculated for 
the examined respondents using each company's publicly ranged U.S. 
sales quantities for the merchandise under consideration. Commerce 
then compares (B) and (C) to (A) and selects the rate closest to (A) 
as the most appropriate rate for all other producers and exporters.
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Preliminary Results of Review

    As a result of this review, we preliminarily determine the net 
countervailable subsidy rates to be:

------------------------------------------------------------------------
                                                              Net
                                                        countervailable
                       Company                            subsidy rate
                                                          (percent ad
                                                         valorem) 2018
------------------------------------------------------------------------
Dongbu Steel Co., Ltd./Dongbu Incheon Steel Co., Ltd.               6.87
Hyundai Steel Company................................               0.51
Non-Selected Companies Under Review\8\...............               3.13
------------------------------------------------------------------------

Assessment Rate
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    \8\ See Appendix II.
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    Pursuant to 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.

[[Page 74693]]

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 applicable to the 
company, as appropriate. These cash deposit instructions, when imposed, 
shall remain in effect until further notice.

Disclosure and Public Comment

    Commerce intends to disclose to parties to this proceeding the 
calculations performed in reaching the preliminary results within five 
days after the date of publication of these preliminary results.\9\ 
Interested parties may submit written comments (case briefs) within 30 
days of publication of the preliminary results, and rebuttal comments 
(rebuttal briefs), limited to issues raised in case briefs, within 
seven days \10\ after the time limit for filing case briefs. Parties 
who submit case briefs or rebuttal briefs are requested to submit with 
each argument: (1) A statement of the issue; (2) a brief summary of the 
argument; and (3) a table of authorities.\11\ Note that Commerce has 
temporarily modified certain of its requirements for serving documents 
containing business proprietary information, until further notice.\12\
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    \9\ See 19 CFR 351.224(b).
    \10\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July 
10, 2020) (Temporary Rule).
    \11\ See 19 CFR 351.309(c)(2) and (d)(2).
    \12\ See Temporary Rule.
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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.\13\ 
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. Issues 
raised in the hearing will be limited to those raised in the respective 
case and rebuttal briefs.\14\ If a request for a hearing is made, 
Commerce intends to hold the hearing at a time and date to be 
determined.\15\ Parties should confirm the date and time of the hearing 
two days before the scheduled date.
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    \13\ See 19 CFR 351.310(c).
    \14\ See 19 CFR 351.310(c).
    \15\ See 19 CFR 351.310.
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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

    This administrative review and notice are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 
351.213 and 19 CFR 351.221(b)(4).

    Dated: November 17, 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. Scope of the Order
V. Rate for Non-Examined Companies
VI. Subsidies Valuation Information
VII. Analysis of Programs
VIII. Recommendation

Appendix II

List of Non-Selected Companies

1. AJU Steel Co., Ltd.
2. Anjeon Tech
3. Benison Korea Transport
4. Core International
5. CS Global Logistics
6. Dai Yang Metal Co., Ltd.
7. GS Global Corp.
8. Hanwa (Korea) Co., Ltd.
9. Hebei Hongxing Auto Made
10. Integris
11. Jeongwha Polytech
12. Joo Sung Sea And AirCo., Ltd.
13. KC Tech
14. Kima Steel Corporation
15. Korea Clad Tech
16. Kyoungdo Steel Co., Ltd.
17. Market Connect Sales Services
18. Milestone Korea Co., Ltd.
19. POSCO
20. POSCO Coated & Color Steel Co., Ltd.
21. POSCO Daewoo Corporation
22. POSCO International Corporation
23. Qingdao Wangbaoqiang
24. Roser Co., Ltd.
25. Samsung C&T Corporation
26. Sanglim Steel
27. SeAH Steel
28. Sejung Shipping Co., Ltd.
29. Seun Steel
30. Shandongsheng Cao Xian Yalu Mftd.
31. Sung A Steel
32. TCC Steel Co., Ltd.
33. Young Heung Iron and Steel Co., Ltd.
34. Young Steel Korea Co., Ltd.
35. Young Sun Steel Co.

[FR Doc. 2020-25853 Filed 11-20-20; 8:45 am]
BILLING CODE 3510-DS-P