[Federal Register Volume 86, Number 53 (Monday, March 22, 2021)]
[Notices]
[Pages 15184-15185]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-05873]


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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: Final Results and Partial Rescission of 
Countervailing Duty Administrative Review, 2018

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

SUMMARY: The Department of Commerce (Commerce) determines that POSCO 
and certain other producers/exporters of certain carbon and alloy steel 
cut-to-length plate (CTL plate) from the Republic of Korea (Korea) 
received de minimis net countervailable subsidies during the period of 
review (POR), January 1, 2018, through December 31, 2018.

DATES: Applicable March 22, 2021.

FOR FURTHER INFORMATION CONTACT: Faris Montgomery or Bob Palmer, 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) 482-1537 and (202) 
482-9068, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On July 27, 2020, Commerce published the Preliminary Results of 
this administrative review.\1\ We invited interested parties to comment 
on the Preliminary Results. For a complete description of the events 
that occurred subsequent to the Preliminary Results, see the Issues and 
Decision Memorandum.\2\
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    \1\ See 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, 
85 FR 45185 (July 27, 2020) (Preliminary Results), and accompanying 
Preliminary Decision Memorandum.
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results of Countervailing Duty Administrative Review: Certain 
Carbon and Alloy Steel Cut-to-Length Plate from the Republic of 
Korea; 2018,'' dated concurrently with, and hereby adopted by, this 
notice (Issues and Decision Memorandum).
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Scope of the Order \3\
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    \3\ See Certain Carbon and Alloy Steel Cut-to-Length Plate from 
the Republic of Korea: Countervailing Duty Order, 82 FR 24103 (May 
25, 2017) (Order).
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    The product covered by the Order is CTL plate from Korea. For a 
complete description of the scope of the Order, see the Issues and 
Decision Memorandum.

Analysis of Comments Received

    All issues raised by parties in the case and rebuttal briefs are 
addressed in the Issues and Decision Memorandum. A list of the issues 
addressed in the Issues and Decision Memorandum is provided in the 
appendix to this notice. The Issues and 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 Issues and 
Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/.

Changes Since the Preliminary Results

    Based on the comments received from interested parties and record 
information, we made changes to the net subsidy rate calculated for the 
mandatory respondent POSCO. For a discussion of these issues, see the 
Issues and Decision Memorandum.

Partial Rescission of Administrative Review

    As noted in the Preliminary Results, Commerce timely received no-
shipment certifications from Hyundai Steel Company and Dongkuk Steel 
Mill Co., Ltd. We inquired with U.S. Customs and Border Protection 
(CBP) whether these companies had shipped merchandise to the United 
States during the POR, and CBP provided no evidence to contradict the 
claims of no shipments made by these companies. Accordingly, in the 
Preliminary Results, Commerce stated its intention to rescind the 
review with respect to these companies in the final results. As no 
party commented on this aspect of the Preliminary Results, we are 
rescinding the administrative review of these companies, pursuant to 19 
CFR 351.213(d)(3).

Methodology

    Commerce conducted this review in accordance with section 
751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found countervailable, we 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 Issues and 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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Rate for Non-Selected Companies Under Review

    The statute and Commerce's regulations do not directly address the 
establishment of rates to be applied to companies not selected for 
individual examination where Commerce limits its examination in an 
administrative review pursuant to section 777A(e)(2) of the Act. 
However, Commerce normally determines the rates for non-selected 
companies in reviews in a manner that is consistent with section 
705(c)(5) of the Act, which provides instructions for calculating the 
all-others rate in an investigation. We also note that section 
77A(e)(2) of the Act provides that ``the individual countervailable 
subsidy rates determined under subparagraph (A) shall be used to 
determine the all-others rate under section 705(c)(5) {of the 
Act{time} .'' Section 705(c)(5)(A)(i) of the Act states that, in 
general, for companies not investigated, we will determine an all-other 
rate by using the weighted-average countervailable subsidy rates 
established for each of the companies individually investigated, 
excluding zero and de minimis rates or any rates based solely on the 
facts available. Additionally, section 705(c)(5)(A)(ii) provides that 
when the countervailable subsidy rates established for all exporters 
and producers individually investigated are zero or de minimis rates, 
or based solely on facts available, Commerce may use any reasonable 
method to establish a rate for those companies, including averaging the 
weighted average countervailable subsidy rates determined for the 
exporters and producers individually investigated.
    In the final results of this review, we calculated a de minimis net 
countervailable subsidy rate for POSCO, the sole mandatory respondent. 
As a result, for the reasons discussed in the Issues and Decision 
Memorandum, we have determined that it is reasonable to assign to the 
firms subject to the review, but not selected for individual 
examination, the de minimis net countervailable subsidy rate calculated 
for POSCO in this review.

[[Page 15185]]

Final Results of Administrative Review

    We  determine that the following total net countervailable subsidy 
rates exist for the period January 1, 2018, through December 31, 2018:
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    \5\ As discussed in the Preliminary Results, Commerce has found 
the following companies to be cross-owned with POSCO: Pohang Scrap 
Recycling Distribution Center Co., Ltd., POSCO Chemtech, POSCO 
Daewoo Corporation, POSCO M-Tech, POSCO Nippon Steel RHF Joint 
Venture Co., Ltd., and POSCO Terminal. No party commented on this 
treatment of these companies, and so for these final results we 
continue to find the companies are cross-owned with POSCO. The 
subsidy rate applies to all cross-owned companies.
    \6\ See Appendix II.

------------------------------------------------------------------------
                                             Net countervailable subsidy
                  Company                    rate  (percent ad valorem)
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POSCO \5\.................................  0.49 (de minimis)
Non-Selected Companies Under Review \6\...  0.49 (de minimis)
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Disclosure

    Commerce intends to disclose the calculations performed for these 
final results of review within five days of the date of publication of 
this notice in the Federal Register, in accordance with 19 CFR 
351.224(b).

Assessment Rate

    Consistent with its recent notice,\7\ Commerce intends to issue 
assessment instructions to CBP no earlier than 35 days after the date 
of publication of the final results of this review in the Federal 
Register. If a timely summons is filed at the U.S. Court of 
International Trade, the assessment instructions will direct CBP not to 
liquidate relevant entries until the time for parties to file a request 
for a statutory injunction has expired (i.e., within 90 days of 
publication). Because we have calculated a de minimis countervailable 
subsidy rate, for companies under review, we will instruct CBP to 
liquidate shipments of subject merchandise produced and/or exported by 
the companies listed above, entered, or withdrawn from warehouse for 
consumption, from January 1, 2018, through December 31, 2018, without 
regard to countervailing duties in accordance with 19 CFR 351.212(b)(2) 
and 19 CFR 351.106(c). For companies for which this review is 
rescinded, countervailing duties will be assessed at rates equal to the 
cash deposit of estimated countervailing duties required at the time of 
entry, or withdrawal from warehouse, for consumption, during the period 
January 1, 2018, through December 31, 2018, in accordance with 19 CFR 
351.212(c)(1)(i).
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    \7\ See Notice of Discontinuation of Policy to Issue Liquidation 
Instructions After 15 Days in Applicable Antidumping and 
Countervailing Duty Administrative Proceedings, 86 FR 884 (January 
15, 2021).
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Cash Deposit Requirements

    In accordance with section 751(a)(1) of the Act, Commerce intends 
to instruct CBP to continue to suspend liquidation but to collect no 
cash deposits of estimated countervailing duties on shipments of the 
subject merchandise by the companies under review entered, or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of 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 deposits, when imposed, shall remain in 
effect until further notice.

Administrative Protective Order (APO)

    This notice also serves as a reminder to parties subject to APO of 
their responsibility concerning the disposition of proprietary 
information disclosed under APO in accordance with 19 CFR 
351.305(a)(3), which continues to govern business proprietary 
information in this segment of the proceeding. Timely written 
notification of the return or destruction of APO materials, or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and the terms of an APO is a sanctionable 
violation.

Notification to Interested Parties

    These final results are issued and published in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.221(b)(5).

    Dated: March 16, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Partial Rescission of Administrative Review
IV. Scope of the Order
V. Rate for Non-Examined Companies
VI. Subsidies Valuation Information
VII. Analysis of Programs
VIII. Discussion of Comments
    Comment 1: Whether Commerce Should Reconsider Its Decision Not 
To Initiate on the ``Off-Peak Electricity for Less Than Adequate 
Remuneration (LTAR)'' New Subsidy Allegation
    Comment 2: Whether POSCO Plantec (Plantec) and POSCO Satisfy the 
Requirements for a Cross-Owned Input Supplier Relationship
    Comment 3: Whether Commerce Should Countervail Benefits Provided 
to Plantec through Its Debt Restructuring Program
    Comment 4: Whether the Government of Korea's (GOK) Purchase of 
Electricity for More Than Adequate Remuneration (MTAR) Is 
Countervailable
    Comment 5: Whether the Quota Tariff Import Duty Exemptions Under 
Article 71 of the Customs Act Are Countervailable
    Comment 6: Whether Commerce Should Cumulate the Benefits of 
POSCO's Cross-Owned Affiliates When Calculating the Benefit under 
Restriction of Special Local Taxation Act (RSLTA) Article 78(4)
    Comment 7: Whether Commerce Should Correct the Principal Value 
of POSCO's Benefit Amount under Restriction of Special Taxation Act 
(RSTA) Article 9
IX. Recommendation

Appendix II

Non-Selected Companies Under Review

    1. BDP International
    2. Blue Track Equipment
    3. Boxco
    4. Bukook Steel Co., Ltd.
    5. Buma CE Co., Ltd.
    6. China Chengdu International Techno-Economic Cooperation Co., 
Ltd.
    7. Daehan I.M. Co., Ltd.
    8. Daelim Industrial Co., Ltd.
    9. Daesam Industrial Co., Ltd.
    10. Daesin Lighting Co., Ltd.
    11. Daewoo International Corp.
    12. Dong Yang Steel Pipe
    13. Dongbu Steel Co., Ltd.
    14. Dongkuk Industries Co., Ltd.
    15. EAE Automotive Equipment
    16. EEW KHPC Co., Ltd.
    17. Eplus Expo Inc.
    18. GS Global Corp.
    19. Haem Co., Ltd.
    20. Han Young Industries
    21. Hyosung Corp.
    22. Jinmyung Frictech Co., Ltd.
    23. Kindus Inc.
    24. Korean Iron and Steel Co., Ltd.
    25. Kyoungil Precision Co., Ltd.
    26. Samsun C&T Corp.
    27. Shipping Imperial Co., Ltd.
    28. Sinchang Eng Co., Ltd.
    29. SK Networks Co., Ltd.
    30. SNP Ltd.
    31. Steel N People Ltd.
    32. Summit Industry
    33. Sungjin Co., Ltd.
    34. Young Sun Steel

[FR Doc. 2021-05873 Filed 3-19-21; 8:45 am]
BILLING CODE 3510-DS-P