[Federal Register Volume 85, Number 233 (Thursday, December 3, 2020)]
[Notices]
[Pages 78122-78123]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-26627]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-834-811]


Silicon Metal From the Republic of Kazakhstan: Preliminary 
Affirmative Countervailing Duty Determination, and Alignment of Final 
Determination With Final Antidumping Duty Determination

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that countervailable subsidies are being provided to producers and 
exporters of silicon metal from the Republic of Kazakhstan 
(Kazakhstan). The period of investigation is January 1, 2019 through 
December 31, 2019. Interested parties are invited to comment on this 
preliminary determination.

DATES: Applicable December 3, 2020.

FOR FURTHER INFORMATION CONTACT: Justin Neuman, 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) 482-0486.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on July 27, 
2020.\1\ On September 8, 2020, Commerce postponed the preliminary 
determination of this investigation and the revised deadline is now 
November 27, 2020.\2\ For a complete description of the events that 
followed the initiation of this investigation, see the Preliminary 
Decision Memorandum.\3\ A list of topics discussed in the Preliminary 
Decision Memorandum is included as Appendix II 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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    \1\ See Silicon Metal from the Republic of Kazakhstan: 
Initiation of Countervailing Duty Investigation, 85 FR 45173 (July 
27, 2020) (Initiation Notice).
    \2\ See Silicon Metal from the Republic of Kazakhstan: 
Postponement of Preliminary Determination in the Countervailing Duty 
Investigation, 85 FR 55412 (September 8, 2020).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination of the Countervailing Duty Investigation of Silicon 
Metal from the Republic of Kazakhstan,'' dated concurrently with, 
and hereby adopted by, this notice (Preliminary Decision 
Memorandum).
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Scope of the Investigation

    The product covered by this investigation is silicon metal from 
Kazakhstan. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    In accordance with the Preamble to Commerce's regulations,\4\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope).\5\ No interested party 
commented on the scope of the investigation as it appeared in the 
Initiation Notice.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997) (Preamble).
    \5\ See Initiation Notice, 85 FR at 45174.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found 
countervailable, Commerce preliminarily determines that there is a 
subsidy, i.e., a financial contribution by an ``authority'' that gives 
rise to a benefit to the recipient, and that the subsidy is 
specific.\6\
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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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    Commerce notes that, in making these findings, it relied, in part, 
on facts available and, because it finds that one or more respondents 
did not act to the best of their ability to respond to Commerce's 
requests for information, it drew an adverse inference where 
appropriate in selecting from among the facts otherwise available.\7\ 
For further information, see ``Use of Facts Otherwise Available and 
Adverse Inferences'' in the Preliminary Decision Memorandum.
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    \7\ See sections 776(a) and (b) of the Act.
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Alignment

    As noted in the Preliminary Decision Memorandum, in accordance with 
section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is 
aligning the final countervailing duty (CVD) determination in this 
investigation with the final determination in the companion antidumping 
duty (AD) investigations of silicon metal from Iceland and Bosnia and 
Herzegovina based on a request made by the petitioners.\8\ 
Consequently, the final CVD determination will be issued on the same 
date as the final AD determinations in those cases, which are currently 
scheduled to be issued no later than February 22, 2021, unless 
postponed.
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    \8\ See Petitioners' Letter, ``Silicon Metal from Kazakhstan: 
Petitioners' Request for Alignment of Countervailing Duty 
Investigation Final Determination Deadline with Antidumping Duty 
Final Determination Deadlines in Silicon Metal from Bosnia and 
Herzegovina and Silicon Metal from Iceland,'' dated October 30, 
2020.
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that, in the 
preliminary determination, Commerce shall determine an estimated all-
others rate for companies not individually examined. This rate shall be 
an amount equal to the weighted average of the estimated subsidy rates 
established for those companies individually examined, excluding any 
zero and de minimis rates and any rates based entirely under section 
776 of the Act.
    Pursuant to section 705(c)(5)(A)(ii) of the Act, if the individual 
estimated countervailable subsidy rates established for all exporters 
and producers individually examined are zero, de minimis, or determined 
based entirely on facts otherwise available, Commerce may use any 
reasonable method to establish the estimated subsidy rate for all other 
producers or exporters.
    In this case, the countervailable subsidy rate calculated for the

[[Page 78123]]

investigated companies is based entirely on facts available under 
section 776 of the Act. However, there is no other information on the 
record upon which to determine an all-others rate. As a result, we have 
used the rate assigned to the mandatory respondents as the all-others 
rate. This method is consistent with Commerce's past practice.\9\
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    \9\ See, e.g., Grain-Oriented Electrical Steel from the People's 
Republic of China: Final Affirmative Countervailing Duty 
Determination, 79 FR 59221 (October 1, 2014), and accompanying 
Issues and Decision Memorandum at Comment 1.
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Preliminary Determination

    Commerce preliminarily determines that the following estimated 
countervailable subsidy rates exist:
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    \10\ As discussed in the Preliminary Decision Memorandum, 
Commerce has found the following companies to be cross-owned with 
Tau-Ken Temir LLP and JSC NMC Tau-Ken Samruk: Silicon Metal LLP, 
Metallurgical Combine KazSilicon LLP, National Welfare Fund 
``Samruk-Kazyna'' JSC, ``Ekibastuz GRES-2 station'' JSC, and JSC 
KEGOC.

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                             (percent)
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Tau-Ken Temir LLP and JSC NMC Tau-Ken Samruk\10\........          120.00
All Others..............................................          120.00
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Suspension of Liquidation

    In accordance with section 703(d)(1)(B) and (d)(2) of the Act, 
Commerce will direct U.S. Customs and Border Protection (CBP) to 
suspend liquidation of entries of subject merchandise as described in 
the scope of the investigation section entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of this 
notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d), 
Commerce will instruct CBP to require a cash deposit equal to the rates 
indicated above.

Disclosure

    Normally, Commerce discloses to interested parties the calculations 
performed in connection with a preliminary determination within five 
days of the public announcement of, where there is no public 
announcement, within five days of the date of publication of the notice 
of preliminary determination in the Federal Register, in accordance 
with 19 CFR 351.224(b). However, because Commerce preliminarily applied 
adverse facts available (AFA) to the individually examined company Tau-
Ken Temir LLP/JSC NMC Tau-Ken Samruk in this investigation in 
accordance with section 776 of the Act, and the applied AFA rate is 
based solely on information provided by the Government of Kazakhstan, 
there are no calculations to disclose.

Verification

    Because TKT did not provide information requested by Commerce in 
this investigation and Commerce preliminarily determines that the 
company has been uncooperative, Commerce will not conduct verification.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance. A timeline for the 
submission of case briefs and written comments on non-scope issues will 
be announced at a later date. Rebuttal briefs, limited to issues raised 
in case briefs, may be submitted no later than seven days after the 
deadline date for case briefs.\11\ Pursuant to 19 CFR 351.309(c)(2) and 
(d)(2), parties who submit case briefs or rebuttal briefs in this 
investigation 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.
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    \11\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce within 30 days 
after the date of publication of this notice. 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 intends to hold the hearing at a time and date to be 
determined. Parties should confirm by telephone the date, time, and 
location of the hearing two days before the scheduled date.
    Parties are reminded that briefs and hearing requests are to be 
filed electronically using ACCESS and that electronically filed 
documents must be received successfully in their entirety by 5 p.m. 
Eastern Time on the due date. 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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    \12\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19, 85 FR 17006 (March 26, 2020); and Temporary Rule 
Modifying AD/CVD Service Requirements Due to COVID-19; Extension of 
Effective Period, 85 FR 41363 (July 10, 2020).
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International Trade Commission Notification

    In accordance with section 703(f) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its determination. If the 
final determination is affirmative, the ITC will determine before the 
later of 120 days after the date of this preliminary determination or 
45 days after the final determination whether these imports are 
materially injuring, or threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act and 19 CFR 351.205(c).

    Dated: November 27, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The scope of this investigation covers all forms and sizes of 
silicon metal, including silicon metal powder. Silicon metal 
contains at least 85.00 percent but less than 99.99 percent silicon, 
and less than 4.00 percent iron, by actual weight. Semiconductor 
grade silicon (merchandise containing at least 99.99 percent silicon 
by actual weight and classifiable under Harmonized Tariff Schedule 
of the United States (HTSUS) subheading 2804.61.0000) is excluded 
from the scope of this investigation.
    Silicon metal is currently classifiable under subheadings 
2804.69.1000 and 2804.69.5000 of the HTSUS. While the HTSUS numbers 
are provided for convenience and customs purposes, the written 
description of the scope remains dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Injury Test
V. Alignment
VI. Use of Facts Otherwise Available and Adverse Inferences
VII. Subsidies Valuation
VIII. Analysis of Programs
IX. Calculation of the All-Others Rate
X. Recommendation

[FR Doc. 2020-26627 Filed 12-2-20; 8:45 am]
BILLING CODE 3510-DS-P