WORLD TRADE  
ORGANIZATION  G/LIC/N/2/USA/2/Add.1 
6 April 2009 
 (09-1675) 
Committee on Import Licensing Original:   English 
  
 
AGREEMENT ON IMPORT LICENSING PROCEDURES 
 
Notification unde r Article 5 of the Agreement
 
 
UNITED STATES 
 
Addendum  
   The following communication, dated 1 April 2009, is being circulated at the request of the 
Delegation of the United States. 
 
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   The Steel Import Monitoring and Analysis progr am published a final rule on 18 March 2009 
to extend its import licensing system until 21 March,  2013; please see  74 FR 1147, 18 March 2009.  
There were no other changes made to the licen sing program and the information provided in 2006 
remains current.   G/LIC/N/2/USA/2/Add.1 
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  ATTACHMENT 
 
 
[Federal Register: March 18, 2009 (Volume 74, Number 51)] 
[Rules and Regulations]                
[Page 11474-11476] 
From the Federal Register Online via GPO Access [wais.access.gpo.gov] 
[DOCID:fr18mr09-6]                          
 
DEPARTMENT OF COMMERCE  
 
International Trade Administration  
 
19 CFR Part 360  [Docket No.: 0809261282-9117-02] RIN 0625-AA82 
  
Steel Import Monitoring and Analysis System  AGENCY: Import Administration, International Trade Administration,  Department of Commerce.  
ACTION: Final rule. 
 
_______________ 
 
 
SUMMARY:  The Department of Commerce (the De partment) publishes this action to make final a 
rule to extend the Steel Import Monitoring and Analysis (SIMA) system until 21 March 2013. The 
purpose of the SIMA system is to provide statistic al data on steel imports entering the United States 
seven weeks earlier than it would otherwise be avai lable to the public. Aggregate data collected from 
the licenses are made available to the public on a w eekly basis following review by the Department. 
 
DATES:  This final rule is  effective March 18, 2009. 
 FOR FURTHER INFORMATION CONTACT: For info rmation about the SIMA system, please 
contact Kelly Parkhill (202) 482-3791 or  Julie Al-Saadawi (202) 482-1930. 
 
SUPPLEMENTARY INFORMATION 
 Background
 
      The SIMA system has been operating under its current authority since March 21, 2005. Prior 
to this date, authority for steel import licensing and monitoring was derived from the 
Proclamation 7529 of March 5, 2002, which placed temporary tariffs on many steel imports and 
provided the steel industry time to restructure. Th e monitoring system outlined in Proclamation 7529 
required all importers of steel pr oducts to obtain a license from the Department prior to completing 
their Customs entry summary documentation. This provided a monitoring tool to ensure that the 
effectiveness of the safeguard was not undermined  by large quantities of imports originating from 
countries that were excluded from the tariffs.    In Proclamation 7741 of December 4, 2003 (68 FR 
68483), the President terminated the steel safegua rd measures, but directed the Secretary of 
Commerce to continue the monitoring system until the earlier of March 21, 2005, or such time as the Secretary of Commerce established a replacement program. On December 9, 2003, the Department  G/LIC/N/2/USA/2/Add.1 
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  published a notice stating that the system would cont inue in effect as described in Proclamation 7741 
until March 21, 2005 (68 FR 68594). On August 25, 2004, the Department published an advanced 
notice of proposed rulemaking soliciting comments from the public on whether to continue the 
monitoring system beyond March 21, 2005 (69 FR 52211). On March 11, 2005, the Department published an interim final rule responding to  the comments received from the public and 
implementing a slightly expanded version of SIMA  until March 21, 2009. That interim final was 
followed by the publication of the final rule on December 5, 2005 (70 FR 72373).       On December 12, 2008, a proposed rule was pub lished in the Federal Register (73 FR 75624) 
seeking an extension of the SIMA system thr ough March 21, 2013 and asking for comments from the 
public. The Department received twelve comments all supportive of the extension.    The Department 
issues this final rule to extend the application of  the SIMA system until March 21, 2013. No other 
changes are made to the regulations for the SIMA  system. The purpose of the SIMA system is to 
provide steel producers, steel consumers, importers , and the general public with accurate and timely 
information on anticipated imports of certain st eel products. Import licenses, obtained through the 
internet-based SIMA licensing system, are required on U.S. imports of basic steel mill products. 
Aggregate import data obtained from the licenses is updated weekly and posted on the SIMA Web 
site monitor. Details of the current system can be found on http://ia.ita.doc.gov/steel/license
. 
 Response to Comments
 
 
     Submissions received during the public comme nt period established in the proposed rule have 
been considered in preparing this final rule. Twel ve submissions were received from individual steel 
producers, various industry and distributor trade groups, and the United Steelworkers. All of the 
comments received were supportive of the four-year ex tension and agreed that the system is a critical 
tool that helps the industry to closely monitor steel imports. The comments are summarized below. 
The twelve comments received are posted on the Federal rulemaking portal at www.Regulations.gov  
and they are also posted on the SIMA Web site at http://ia.ita.doc.gov/steel/license .     
 Comment 1
:  Commenters strongly support the extension of the SIMA system for an additional 
four years. They stated that given the volatility of world steel markets, the SIMA system gives the public access to the timeliest information possible re garding import patterns and changes. They also 
see it as an important and transparent tool to su pport rational decision-making by all interested 
parties--steel producers, steel users, importers and U.S. government officials.      Response
:  The Department agrees that the SIMA system provides the public valuable timely 
information on steel imports. It also agrees that the posting of aggregate import volume and pricing 
data drawn from the licenses on a public website provi des all interested stakeholders with a better 
understanding of changing market c onditions in a transparent fashion. 
 Comment 2
:  Commenters stated that there is no significant burden on the steel importing 
community to comply with the licensing requirement s of the SIMA system and that this has been 
confirmed over the last four years in its current  format, which remains unchanged by the proposed 
rule.     
 Response
:  The Department agrees with the comments that there is no significant burden on steel 
importers arising out of SIMA system licensing requirements. The web-based licensing system is 
automatic and free of charge. The Department estima tes that it continues to take no longer than ten 
minutes to completely fill out the automated license  form and for most applicants the time expended 
is much less.      G/LIC/N/2/USA/2/Add.1 
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  Comment 3
:  Commenters suggest that the Department make the SIMA system permanent rather 
than extend it for another four years. They state that the system has proven its effectiveness as an 
important analytical tool for both steel producers and consumers.      Response
:  Broad authority to collect information on imports is granted to the Secretary of 
Commerce and delegated to the Director of the Bur eau of the Census. When the original safeguard 
authority for the SIMA system granted by the President expired in March 2005, the system was continued pursuant to this Department of Comme rce information collection authority (13 U.S.C. 
301(a) and 302). For purposes of administering the SIMA system, this authority was temporarily transferred from the Director of the Census Bureau  to the Under Secretary for International Trade for 
four years. One of the conditions of the temporary transfer of authority to the Under Secretary for 
International Trade was that any future periodic ex tensions of the SIMA system be notified to the 
Secretary and subject to review. Therefore, establis hment of a permanent system is not possible under 
current authority.      
Comment 4
: Commenters suggested that the Departme nt add metal forming products to the 
downstream monitor to the extent they can be defined by HTSUS codes.  Response
:  The Department intends to add these products to the downstream monitor using 
publicly available data.    For the reasons discu ssed above, the proposed rule (19 CFR part 360) is 
made final without changes. 
 
Classification  
Executive Order 12866  
  This rule has been determined to be significant for purposes of Executive Order 12866. 
 
Executive Order 13132
 
  This rule does not contain policies with federa lism implications as that term is defined in 
Executive Order 13132.  
Administrative Procedure Act
 
  The Department finds good cause under 5 U.S.C.  553(b)(B) to waive the 30-day delay in 
effectiveness. The Department issues this final ru le to extend the requirement for import licenses 
through the Internet-based SIMA licensing system on U.S. imports of basic steel mill products of the 
SIMA system until March 21, 2013. The purpose of the SIMA system is to provide steel producers, 
steel consumers, importers, and the general public with accurate and timely information on anticipated 
imports of certain steel products. This final rule  would extend the requirement for such licenses from 
March 21, 2009 until March 21, 2013. It is necessar y to waive the 30-day delay in effectiveness to 
ensure that the regulations requiring importers to  obtain an import license from the SIMA system do 
not terminate, thereby ensuring the collection of timely and complete data  on imports of covered 
items, and possibly preventing confusion or delay of  imports at entry summary. If the Department 
were to allow for the 30-day delay in effectiveness, there would be a lapse in the requirement for an 
import license. As a result, importe rs may be confused about the need for a license and delay their 
filing of summary documents while trying to obtain one which could lead to possible fines and penalties. In addition, without current information from the licenses, the monitor would fall out of 
date and the public would be without the quality information they have come to depend upon. 
Therefore, to ensure the collection of timely a nd complete data, and to prevent any confusion and 
delay associated with a lapse in the license requi rements for SIMA, the Department finds good cause 
to waive the 30-day delay in effectiveness, and to  make these regulations effective upon publication. 
  G/LIC/N/2/USA/2/Add.1 
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  Regulatory Flexibility Act  
      The Chief Counsel for Regulation of th e Department of Commerce certified to the Chief 
Counsel for Advocacy of the Small Business Administ ration that the proposed rule, if adopted, would 
not have a significant economic impact on a substa ntial number of small entities as that term is 
defined in the Regulatory Flexibility Act, 5 U.S. C. 601 et seq. The factual basis is found in the 
proposed rule and is not repeated here. No comments were received on the certification or the economic impacts of this action. As a result, no final regulatory flexibility analysis was prepared. 
 Paperwork Reduction Act
 
 
     This final rule contains collection-of-inf ormation requirements subject to review and approval 
by the Office of Management and Budget (OMB ) under the Paperwork Reduction Act (PRA). These 
requirements have been approved by OMB (O MB No. 0625-0245; Expiration Date: 09/30/2011). 
Public reporting for this collection of informati on is estimated to be less than ten minutes per 
response, including the time for revi ewing instructions and completing and reviewing the collection of 
information. All responses to this collection of  information are voluntary, and will be provided 
confidentially to the extent allowed by law.       Notwithstanding any other provision of law,  no person is required to respond to, nor shall 
any person be subject to a penalty for failure to comp ly with a collection of information subject to the 
Paperwork Reduction Act unless that collection disp lays a currently valid OMB Control Number. 
 List of Subjects in 19 CFR Part 360       Administrative practice and procedure,  Business and industry,  Imports, Reporting and 
recordkeeping requirements, Steel. 
 Dated: March 13, 2009. Michelle O'Neill, Acting Under Secretary for International Trade.  
For reasons discussed in the preamble, 19 CF R part 360 is amended to read as follows: 
 PART 360--STEEL IMPORT MONITORING AND ANALYSIS SYSTEM  1. The authority citation for part 360 continues to read as follows: 
 
    Authority: 13 U.S.C. 301(a) and 302.  2. Section 360.105 is revised to read as follows:  Sec.  360.105  Duration of the steel import licensing requirement. 
 
 The licensing program will be in effect th rough March 21, 2013, bu t may be extended upon 
review and notification in the Federal Register prio r to this expiration date. Licenses will be required 
on all subject imports entered during this period, ev en if the entry summary documents are not filed 
until after the expiration of this program. The li censes will be valid for 10 business days after the 
expiration of this program to allow for the final filing of required Customs documentation. 
[FR Doc. E9-6013 Filed 3-16-09; 4:15 pm]  BILLING CODE 3510-DS-P 
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