[Federal Register Volume 86, Number 211 (Thursday, November 4, 2021)]
[Notices]
[Pages 60797-60799]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-24080]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-884]


Certain Hot-Rolled Steel Flat Products From the Republic of 
Korea: Preliminary Results of Countervailing Duty Administrative Review 
and Rescission in Part; 2019

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that certain producers/exporters of certain hot-rolled steel flat 
products (hot-rolled steel) from the Republic of Korea (Korea) received 
countervailable subsidies during the period of review (POR) January 1, 
2019, through December 31, 2019. Additionally, we are rescinding this 
review with respect to 13 companies. We invite interested parties to 
comment on these preliminary results.

DATES: Applicable November 4, 2021.

FOR FURTHER INFORMATION CONTACT: Kelsie Hohenberger, 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) 482-2517.

SUPPLEMENTARY INFORMATION:

Background

    On December 8, 2020, Commerce published a notice of initiation of 
an administrative review of the countervailing duty (CVD) order on hot-
rolled steel from Korea.\1\ On January 12, 2021, Commerce selected 
Hyundai Steel as the mandatory respondent in this administrative 
review.\2\ On June 16, 2021, Commerce extended the deadline for the 
preliminary results of this review.\3\ The revised deadline for these 
preliminary results is now October 29, 2021.
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 85 FR 78990 (December 8, 2020); see also 
Certain Hot-Rolled Steel Flat Products from Brazil and the Republic 
of Korea: Amended Final Affirmative Countervailing Duty 
Determinations and Countervailing Duty Orders, 81 FR 67960 (October 
3, 2016) (Order).
    \2\ See Memorandum, ``Administrative Review of the 
Countervailing Duty Order of Certain Hot-Rolled Steel Flat Products 
from the Republic of Korea: Respondent Selection,'' dated January 
12, 2021.
    \3\ See Memorandum, ``Certain Hot-Rolled Steel Flat Products 
from the Republic of Korea: Extension of Deadline for Preliminary 
Results of Countervailing Duty Administrative Review,'' dated June 
16, 2021.
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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 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 https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \4\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Countervailing Duty Administrative Review, 2019: 
Certain Hot-Rolled Steel Flat 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 product covered by the Order is hot-rolled steel from Korea. 
For a complete description of the scope of the Order, see the 
Preliminary Decision Memorandum.

Rescission of Administrative Review, in Part

    Pursuant to 19 CFR 351.213(d)(1), Commerce will rescind an 
administrative review, in whole or in part, if the parties that 
requested a review withdraw the request within 90

[[Page 60798]]

days of the date of publication of the notice of initiation. Commerce 
received a timely-filed withdrawal request from the petitioners,\5\ 
pursuant to 19 CFR 351.213(d)(1). Because the withdrawal request was 
timely filed, and no other party requested a review of these companies, 
in accordance with 19 CFR 351.213(d)(1), Commerce is rescinding this 
review with respect to the following companies: DCE Inc; Dong Chuel 
America Inc.; Dong Chuel Industrial Co., Ltd.; Dongbu Incheon Steel 
Co., Ltd.; Dongbu Steel Co., Ltd.; Dongkuk Industries Co., Ltd.; 
Dongkuk Steel Mill Co., Ltd.; Hyewon Sni Corporation (H.S.I.); JFE 
Shoji Trade Korea Ltd.; POSCO Coated & Color Steel Co., Ltd.; POSCO 
Daewoo Corporation; Soon Hong Trading Co., Ltd.; and Sung-A Steel Co., 
Ltd.
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    \5\ The petitioners are AK Steel Corporation, ArcelorMittal USA 
LLC, Nucor Corporation (Nucor), SSAB Enterprises, LLC, Steel 
Dynamics, Inc., and United States Steel Corporation.
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Methodology

    Commerce is conducting 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 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.\6\ For a full description of the 
methodology underlying all of Commerce's conclusions, see the 
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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Preliminary Rate for Non-Selected Company Under Review

    There is one company in this review that was not selected as a 
mandatory respondent, i.e., POSCO. The Act and Commerce's regulations 
do not directly address the 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.
    Section 705(c)(5)(A)(i) of the Act instructs Commerce, as a general 
rule, to calculate an all-others rate equal to the weighted average of 
the countervailable subsidy rates established for exporters and/or 
producers individually examined, excluding any rates that are zero, de 
minimis, or based entirely on facts available. Commerce is, 
accordingly, basing the subsidy rate for POSCO on the rate calculated 
for Hyundai Steel.

Preliminary Results of Administrative Review

    We preliminarily determine the following net countervailable 
subsidy rates for the period January 1, 2019, through December 31, 
2019:

------------------------------------------------------------------------
                                                            Subsidy rate
                          Company                            (percent ad
                                                              valorem)
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Hyundai Steel Co., Ltd....................................          0.56
POSCO.....................................................          0.56
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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 these preliminary results.\7\ Case briefs, or 
other written comments, may be submitted to the Assistant Secretary for 
Enforcement and Compliance at a date to be determined. Rebuttal 
comments (rebuttal briefs), limited to issues raised in case briefs, 
may be filed within seven days \8\ after the time limit for filing case 
briefs. Parties who submit arguments 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.\9\ All briefs must be filed 
electronically using ACCESS. Note that Commerce has temporarily 
modified certain of its requirements for serving documents containing 
business proprietary information under further notice.\10\
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    \7\ See 19 CFR 351.224(b).
    \8\ See Temporary Rule Modifying AD/CVD Service Requirements Due 
to COVID-19; Extension of Effective Period, 85 FR 41363 (July 10, 
2020) (Temporary Rule).
    \9\ See 19 CFR 351.309(c)(2) and 351.309(d)(2).
    \10\ See Temporary Rule.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, filed electronically via 
ACCESS by 5 p.m. Eastern Time within 30 days after the date of 
publication of this notice.\11\ Hearing requests should contain: (1) 
The party's name, address, and telephone number; (2) the number of 
participants; and (3) a list of the issues to be discussed. Issues 
addressed at the hearing will be limited to those raised in the 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. 
Parties are reminded that all briefs and hearing requests must be filed 
electronically using ACCESS and received successfully in their entirety 
by 5:00 p.m. Eastern Time on the due date.
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    \11\ See 19 CFR 351.310(c).
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Assessment Rate

    Pursuant to 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 of subject merchandise in accordance with the final results of 
this review. If the assessment rate calculated in the final results in 
zero or de minimis, we will instruct CBP to liquidate all appropriate 
entries without regard to countervailing duties. 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).

Cash Deposit Requirements

    In accordance with section 751(a)(2)(C) of the Act, Commerce 
intends to instruct CBP to collect cash deposits of estimated 
countervailing duties in the amounts shown for the companies listed 
above, except, where the rate calculated in the final results is de 
minimis, no cash deposit will be required on shipments of the 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 deposits, when imposed, shall remain in effect 
until further notice.

Final Results of Review

    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, no later than 120 days after the date of 
publication of this notice, pursuant to section 751(a)(3)(A) of the Act 
and 19 CFR 351.213(h)(1), unless this deadline is extended.

[[Page 60799]]

Notice to Interested Parties

    These preliminary results 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: October 29, 2021.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations 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. Period of Review
IV. Partial Rescission of Administrative Review
V. Scope of the Order
VI. Non-Selected Company Under Review
VII. Subsidies Valuation Information
VIII. Analysis of Programs
IX. Recommendation

[FR Doc. 2021-24080 Filed 11-3-21; 8:45 am]
BILLING CODE 3510-DS-P