54960 Federal Register / Vol. 62, No. 204 / Wednesday, October 22, 1997 / Notices

DEPARTMENT OF COMMERCE

International Trade Administration

[C–274–803]

Suspension of Countervailing Duty

Investigation: Steel Wire Rod From

Trinidad and Tobago

AGENCY: Import Administration,

International Trade Administration,

Department of Commerce.

SUMMARY: The Department of Commerce

(the Department) has suspended the

countervailing duty investigation

involving steel wire rod from Trinidad

and Tobago. The basis for the

suspension is an agreement between the

Department and the Government of

Trinidad and Tobago (GOTT) wherein

the GOTT has agreed not to provide any

new or additional export or import

substitution subsidies on the subject

merchandise and has agreed to restrict

the volume of direct or indirect exports

to the United States of steel wire rod

products from all Trinidad and Tobago

producers/exporters in order to

eliminate completely the injurious

effects of exports of this merchandise to

the United States.

EFFECTIVE DATE: October 22, 1997.

FOR FURTHER INFORMATION CONTACT: Jean

Kemp or Donna Kinsella, Office of

Antidumping/Countervailing Duty

Enforcement, Group III, Import

Administration, U.S. Department of

Commerce, Room 1874, 14th Street and

Constitution Avenue, N.W.,

Washington, D.C. 20230; telephone

(202) 482–1131 or 4093.

SUPPLEMENTARY INFORMATION:

Background

On March 24, 1997, the Department

initiated a countervailing duty

investigation under section 702 of the

Tariff Act of 1930, (the Act), as

amended, to determine whether

manufacturers, producers, or exporters

of steel wire rod from Trinidad and

Tobago receive subsidies (62 FR 13866).

On April 30, 1997, the United States

International Trade Commission (ITC)

notified the Department of its

affirmative preliminary injury

determination. On May 2, 1997, we

postponed the preliminary

determination until no later than July

28, 1997 (62 FR 25172, May 8, 1997).

On July 28, 1997, the Department

preliminarily determined that

countervailable subsidies are being

provided to Caribbean Ispat Limited

(CIL) (62 FR 41927, August 4, 1997).

Between August 18 and 26, 1997, the

Department verified the questionnaire

responses of the GOTT and CIL in

Trinidad and Tobago.

The Department and the GOTT

initialed a proposed agreement

suspending this investigation on

September 16, 1997. Interested parties

were informed that the Department

intended to finalize the agreement on

October 14, 1997, and were invited to

provide written comments on the

agreement. No comments were filed by

interested parties.

The Department and the GOTT signed

the final suspension agreement on

October 14, 1997.

Scope of Suspension Agreement

The products covered by this

suspension of investigation are set forth

in section II of Appendix 1 to this

notice.

Suspension of Investigation

The Department consulted with the

parties to the proceeding and has

considered their positions with respect

to the proposed suspension agreement.

In accordance with section 704(c) of the

Act, we have determined that

extraordinary circumstances are present

in this case, as defined by section

704(c)(4) of the Act. (See October 14,

1997, Extraordinary Circumstances

Memorandum to Robert S. LaRussa.)

The suspension agreement provides

that: (1) The GOTT will not provide any

new or additional export or import

substitution subsidies on the subject

merchandise; and (2) the GOTT will

restrict the volume of direct or indirect

exports to the United States of subject

merchandise from all Trinidad and

Tobago producers/exporters.

We have also determined that the

suspension agreement can be monitored

effectively and is in the public interest,

pursuant to section 704(d) of the Act.

(See October 14, 1997, Public Interest

Memorandum to Robert S. LaRussa.) We

find, therefore, that the criteria for

suspension of the investigation pursuant

to section 704(c) of the Act have been

met. The terms and conditions of the

suspension agreement, signed October

14, 1997, are set forth in Appendix I to

this notice.

The suspension of liquidation ordered

in the final affirmative determination in

this case shall continue in effect, subject

to section 704(h)(3) of the Act. Section

704(f)(2)(B) of the Act provides that the

Department may adjust the security

required to reflect the effect of the

Agreement. Pursuant to this provision,

the Department has found that the

Agreement eliminates completely the

injurious effects of these imports and,

thus, the Department is adjusting the

security required from producers and/or

exporters to zero.

On October 14, 1997, we received a

request from petitioners requesting that

we continue the investigation. Pursuant

to this request, we are continuing the

investigation in accordance with section

704(g) of the Act. We will notify the

International Trade Commission (ITC) of

our determination. If the ITC’s injury

determination is negative, the agreement

will have no force or effect, and the

investigation will be terminated (see

section 704(f)(3)(A) of the Act). If the

ITC’s determination is affirmative, the

Department will not issue a

countervailing duty order as long as the

suspension agreement remains in force

(see section 704(f)(3)(B) of the Act).

This notice is published pursuant to

section 704(f)(1)(A) of the Act.

Dated: October 14, 1997.

Robert S. LaRussa,

Assistant Secretary for Import

Administration.

Agreement Suspending the

Countervailing Duty Investigation on

Steel Wire Rod From Trinidad and

Tobago

For the purpose of encouraging free

and fair trade in steel wire rod,

establishing more normal market

relations, and eliminating injury to the

domestic industry, the United States

Department of Commerce (‘‘the

Department’’) and the Government of

Trinidad and Tobago enter into this

suspension agreement (‘‘the

Agreement’’).

Pursuant to this Agreement, the

Government of Trinidad and Tobago

agrees not to provide any new or

additional export subsidies on the

subject merchandise. The Government

of Trinidad and Tobago also will restrict

the volume of direct or indirect exports

to the United States of subject

merchandise from all Trinidad and

Tobago producers/exporters, subject to

the terms and provisions set forth

below.

On the basis of this Agreement,

pursuant to the provisions of Sections

704 (b) and (c) of the Tariff Act of 1930,

as amended (the ‘‘Act’’) (19 U.S.C.

1671c (b) and (c)), the Department shall

suspend its countervailing duty

investigation with respect to steel wire

rod produced in Trinidad and Tobago,

subject to the terms and provisions set

forth below.

I. Definitions

For purposes of this Agreement, the

following definitions apply:

A. ‘‘Date of Export’’ for imports of

subject merchandise into the United
Federal Register / Vol. 62, No. 204 / Wednesday, October 22, 1997 / Notices 54961

States shall be considered the date the

Export License was issued.

B. ‘‘Party to the Proceeding’’ means

any interested party, within the

meaning of Section 355.2(l) of the

Department’s Regulations, which

actively participates through written

submissions of factual information or

written argument.

C. ‘‘Indirect Exports’’ means

arrangements as defined in Section IV.E

of this Agreement and exports from

Trinidad and Tobago through one or

more third countries, whether or not

such exports are further processed,

whether or not such exports are sold in

one or more third countries prior to

importation into the United States and

whether or not the Trinidad and Tobago

producer knew the product was

destined to enter the United States.

D. For purposes of this Agreement,

‘‘United States’’ shall comprise the

customs territory of the United States of

America (the 50 States, the District of

Columbia and Puerto Rico) and foreign

trade zones located in the territory of

the United States of America.

E. ‘‘Export License’’ is the document

which serves as both an export license

and a certificate of origin. An Export

License must accompany all shipments

of subject merchandise from Trinidad

and Tobago to the United States, and

must contain all of the information

enumerated in the Appendix (U.S.

sales), except Date of Entry information

and Final Destination.

F. ‘‘Relevant Period’’ for the export

limit of this Agreement means the

period October 1 through September 30.

G. ‘‘For Consumption’’ means all

subject merchandise sold to customers,

such as, trading companies, distributors,

resellers, end-users, or service centers.

H. ‘‘End-User’’ means an entity, such

as a steel service center, reseller, trading

company, end-user, etc., which

consumes the subject merchandise as

defined in Section I.G.

II. Product Coverage

The products covered by this

Agreement (‘‘subject merchandise’’) are

certain hot-rolled carbon steel and alloy

steel products, in coils, of

approximately round cross section,

between 5.00 mm (0.20 inch) and 19.0

mm (0.75 inch), inclusive, in solid

cross-sectional diameter. Specifically

excluded are steel products possessing

the above noted physical characteristics

and meeting the Harmonized Tariff

Schedule of the United States (HTSUS)

definitions for (a) stainless steel; (b) tool

steel; (c) high nickel steel; (d) ball

bearing steel; (e) free machining steel

that contains by weight 0.03 percent or

more of lead, 0.05 percent or more of

bismuth, 0.08 percent or more of sulfur,

more than 0.4 percent of phosphorus,

more than 0.05 percent of selenium,

and/or more than 0.01 percent of

tellurium; or (f) concrete reinforcing

bars and rods.

The following products are also

excluded from the scope of this

Agreement:

Coiled products 5.50 mm or less in

true diameter with an average partial

decarburization per coil of no more than

70 microns in depth, no inclusions

greater than 20 microns, containing by

weight the following: carbon greater

than or equal to 0.68 percent; aluminum

less than or equal to 0.005 percent;

phosphorous plus sulfur less than or

equal to 0.040 percent; maximum

combined copper, nickel and chromium

content of 0.13 percent; and nitrogen

less than or equal to 0.006 percent. This

product is commonly referred to as

‘‘Tire Cord Wire Rod.’’

Coiled products 7.9 to 18 mm in

diameter, with a partial decarburization

of 75 microns or less in depth and

seams no more than 75 microns in

depth; containing 0.48 to 0.73 percent

carbon by weight. This product is

commonly referred to as ‘‘Valve Spring

Quality Wire Rod.’’

The products subject to this

Agreement are currently classifiable

under subheadings 7213.91.3000,

7213.91.4500, 7213.91.6000,

7213.99.0030, 7213.99.0090,

7227.20.0000, and 7227.90.6050 of the

HTSUS. Although the HTSUS

subheadings are provided for

convenience and customs purposes, the

written description of the scope of this

Agreement is dispositive.

III. Non-Provision of Export Subsidies

A. The Government of Trinidad and

Tobago certifies that all exports of the

subject merchandise to the United

States made on or after the effective date

of this Agreement will not receive or

benefit from any export or import

substitution subsidies, other than export

allowances under Act No. 14 of 1976, as

codified in Section 8(1) of the

Corporation Tax Act, whereby

companies in Trinidad and Tobago with

export sales may deduct an export

allowance in calculating their corporate

income tax.

B. The Government of Trinidad and

Tobago recognizes that the provision of

any export or import substitution

subsidies on the production or shipment

of the subject merchandise exported

directly or indirectly from Trinidad and

Tobago to the United States, other than

that export subsidy specifically

provided for in Section III.A., may result

in termination of this Agreement and

resumption of the investigation

pursuant to the provisions of section

704(i) of the Act. Export or import

substitution subsidies include those that

have been determined to be export or

import substitution subsidies in the

preliminary determination in the

countervailing duty investigation

underlying this Agreement (unless the

investigation is continued and a

contrary decision is reached in the final

determination), in any final U.S.

countervailing duty investigation of a

Trinidad and Tobago product, or in any

final review of a Trinidad and Tobago

product under section 751 of the Act,

and include subsidies which may apply

to other products or exports to other

destinations to the extent that such

subsidies cannot be segregated as

applying solely to such other products

or exports. For purposes of this

Agreement, relief from corporation tax

pursuant to the Fiscal Incentives Act,

Chapter 85:01, shall not be considered

an export or import substitution

subsidy, so long as: (1) Such relief is in

lieu of the tax benefit currently

conferred by the export allowance under

Act No. 14 of 1976, as codified in

Section 8(1) of the Corporation Tax Act,

as of August 1, 1997; (2) such relief does

not exceed the amount of benefit that

would have been received for the same

year under the export allowance

program provided for in Act No. 14 of

1976, as codified in Section 8(1) of the

Corporation Tax Act, as of August 1,

1997; and (3) there is no determination

by the World Trade Organization that

either the Fiscal Incentives Act or, as

appropriate, the Corporation Tax Act is

inconsistent with the development

needs of Trinidad and Tobago pursuant

to Article 27 of the Agreement on

Subsidies and Countervailing Measures

(‘‘the SCM’’).

C. The Government of Trinidad and

Tobago shall notify the Department in

writing of any new benefit which is, or

which the Government of Trinidad and

Tobago has reason to know would be, an

export or import substitution subsidy on

shipments of the subject merchandise

exported, directly or indirectly, from

Trinidad and Tobago to the United

States, including subsidies which may

apply to both the subject merchandise

and other products or exports to other

destinations, to the extent such benefits

cannot be segregated as applying solely

to such other products or exports.

D. At such time as Trinidad and

Tobago reaches export competitiveness

with respect to products covered by this

Agreement, as defined by Article 27.6 of

the SCM, the export subsidy specifically

provided for in Section III.A shall be
54962 Federal Register / Vol. 62, No. 204 / Wednesday, October 22, 1997 / Notices

eliminated in accordance with Article

27.5 of the SCM.

IV. Export Limit

A. The export limit for subject

merchandise in each Relevant Period

shall be 148,000 short tons. The export

limit for each Relevant Period shall be

allocated in semi-annual quota

allocation periods (October–March,

April–September). No more than 60% of

the export limit for any Relevant Period

can be allocated in any given semiannual quota allocation period.

Deductions from the export limit shall

be made based on the ‘‘Date of Export,’’

as defined in Section I.

B. On or after the effective date of this

Agreement, the Government of Trinidad

and Tobago will restrict the volume of

direct or indirect exports of subject

merchandise to the United States, and

the transfer or withdrawal from

inventory of subject merchandise

(consistent with the provisions of

Section IV.D), in accordance with the

export limit then in effect.

C. An export shipment to the United

States may not be made for more than

the entire amount of quota allocated for

that semi-annual quota allocation

period. Any amount exported to the

United States during a semi-annual

quota allocation period shall not,

however, when cumulated with all prior

exports to the United States within the

same Relevant Period, exceed the

annual quota for that Relevant Period.

D. Any inventories of subject

merchandise currently held in the

United States by a Trinidad and Tobago

entity and imported into the United

States between May 6, 1997, and the

effective date of this Agreement will be

subject to the following conditions:

1. Such inventories will not be

transferred or withdrawn from

inventory for consumption in the

United States without an Export License

issued by the Government of Trinidad

and Tobago. Any such transfers or

withdrawals from inventory shall be

deducted from the export limit in effect

at the time the Export License is issued.

2. A request for an Export License

under this provision shall be

accompanied by a report specifying the

original date of export, the date of entry

into the United States, the identity of

the original exporter and importer, the

customer, a complete description of the

product (including lot numbers and

other available identifying

documentation), and the quantity

expressed in short tons.

3. In the event that there is a surge of

sales of subject merchandise from such

inventory, the Department will decrease

the export limit to take into account

such sales.

E. Any arrangement involving the

exchange, sale, or delivery of steel wire

rod products, as described in Section II,

from Trinidad and Tobago, to the degree

it results in the sale or delivery in the

United States of steel wire rod products,

as described in Section II, from a

country other than Trinidad and

Tobago, is subject to the requirements of

Section V and will be counted toward

the available quota. Any such

transaction that does not comply with

the requirements of Section V will be

deducted from the available quota

pursuant to Section VII.

F. Where subject merchandise is

imported into the United States and is

subsequently re-exported, or repackaged and re-exported, the available

quota shall be increased by the number

of short tons re-exported. Such increase

will be applicable to the Relevant Period

corresponding to the time of such reexport. Such increase will be applied

only after the Department receives, and

has the opportunity to verify, evidence

demonstrating original importation, any

re-packaging, and subsequent

exportation. The re-exported material

must be identical to the imported

material.

G. Export Licenses for a given

Relevant Period may not be issued after

September 30, except that Export

Licenses not so issued may be issued

during the first three months of the

following Relevant Period, up to a

maximum of 15 percent of the export

limit for that following Relevant Period.

Such ‘‘carried-over’’ quota shall be

counted against the export limit

applicable to the previous Relevant

Period.

Export Licenses for up to 15 percent

of the export limit for a subsequent

Relevant Period may be issued as early

as August 1 of the preceding Relevant

Period. Such ‘‘carried-back’’ quota shall

be counted against the export limit

applicable to the following Relevant

Period.

H. For the first 90 days after the

effective date of this Agreement, subject

merchandise shall be admitted into the

United States with an ‘‘Export License/

Certificate of Origin (Temporary

Papers).’’

The volume of any such imports will

be deducted from the export limit

applicable to the first Relevant Period.

A full reporting of any such imports,

which must correspond to the United

States sales information detailed in the

Appendix, must be submitted to the

Department no later than 30 days after

the conclusion of the 90 day period.

This data must be sorted on the basis of

date of export.

V. Export License

A. The Government of Trinidad and

Tobago will restrict the volume of direct

or indirect exports of subject

merchandise to the United States by

means of semi-annual quota allocations

and Export Licenses. Export Licenses

shall be issued by the Government of

Trinidad and Tobago for all direct or

indirect exports of subject merchandise

to the United States in accordance with

the export limit in Section IV.

B. Thirty days following the semiannual allocation of quota rights for any

Relevant Period, the Government of

Trinidad and Tobago shall provide to

the Department a report identifying each

quota recipient and the volume of quota

which each recipient has been accorded

(‘‘report of quota allocation results’’).

C. Before it issues an Export License,

the Government of Trinidad and Tobago

will ensure that neither the annual

quota for the Relevant Period nor the

semi-annual quota allocation is

exceeded.

D. The Government of Trinidad and

Tobago shall take action, including the

imposition of penalties, as may be

necessary to make effective the

obligations resulting from the export

limit and Export Licenses. The

Government of Trinidad and Tobago

will inform the Department of any

violations concerning the export limit

and/or Export Licenses which come to

its attention and the action taken with

respect thereto.

The Department will inform the

Government of Trinidad and Tobago of

violations concerning the export limit

and/or Export Licenses which come to

its attention and the action taken with

respect thereto.

E. Export Licenses will be issued

sequentially, will be endorsed against

the export limit for the Relevant

Periods, and will reference the report of

quota allocation results for the

appropriate Relevant Period.

F. Export Licenses must be issued no

earlier than one month before the day,

month, and year on which the

merchandise is accepted by a

transportation company, as indicated in

the bill-of-lading or a comparable

transportation document, for export.

G. On or after the effective date of this

Agreement, the United States shall

require presentation of an Export

License as a condition for entry of

subject merchandise into the United

States. The United States will prohibit

the entry of any subject merchandise not

accompanied by an Export License.
Federal Register / Vol. 62, No. 204 / Wednesday, October 22, 1997 / Notices 54963

VI. Implementation

A. Export Subsidies

The Government of Trinidad and

Tobago shall certify to the Department

within 15 days after the first day of each

three-month period, beginning on

January 15, 1998, whether it continues

to be in compliance with the agreement

by providing that all exports of the

subject merchandise to the United

States will not receive or benefit from

any export or import substitution

subsidies, except that export subsidy

which is specifically provided for in

Section III.A. Failure to supply such

information or certification in a timely

fashion may result in the immediate

resumption of the investigation or

issuance of a countervailing duty order.

B. Export Limit

In order to effectively restrict the

volume of exports of subject

merchandise to the United States, the

Government of Trinidad and Tobago

agrees to implement the following

procedures:

1. Establish an Export License

program for all exports of subject

merchandise to, or destined directly or

indirectly for consumption in, the

United States, no later than 90 days after

the effective date of this Agreement.

2. Ensure compliance by any official

Trinidad and Tobago institution,

chamber, or other entities authorized by

the Government of Trinidad and

Tobago, all producers, exporters,

brokers, and traders of the subject

merchandise, and their affiliated parties,

with all procedures established in order

to effectuate this Agreement.

3. Collect information from all

Trinidad and Tobago producers,

exporters, brokers, and traders of the

subject merchandise, and their affiliated

parties, on the sale of the subject

merchandise, and report such

information pursuant to Section VIII of

this Agreement.

4. Prohibit, by resolution, decree,

legislation or equivalent Government

action, direct and indirect exports to the

United States of subject merchandise

except with an Export License issued

pursuant to Section V.A. and impose

strict sanctions, such as penalties or

prohibition from participation in the

export limit allowed by the Agreement,

in the event that any Trinidad and

Tobago or Trinidad and Tobagoaffiliated party does not comply in full

with all the terms of the Agreement.

VII. Anticircumvention

A. The Government of Trinidad and

Tobago will take all appropriate

measures under Trinidad and Tobago

law to prevent circumvention of this

Agreement. It shall promptly conduct an

inquiry into any and all allegations of

circumvention, including allegations

raised by the Department, and shall

complete such inquiries in a timely

manner (normally within 45 days). The

Government of Trinidad and Tobago

shall notify the Department of the

results of its inquiries within ten days

of the conclusion of such inquiries.

Within 15 days of a request from the

Department, the Government of

Trinidad and Tobago shall share with

the Department all facts known to the

Government of Trinidad and Tobago

regarding its inquiries, its analysis of

such facts and the results of such

inquiries. The Government of Trinidad

and Tobago will require all Trinidad

and Tobago exporters of steel wire rod

products, as described in Section II, to

include a provision in their contracts for

sales to countries other than the United

States that the steel wire rod sold

through such contracts cannot be reexported, transhipped or swapped to the

United States, or otherwise used to

circumvent the export limit of this

Agreement. The Government of

Trinidad and Tobago will also establish

appropriate mechanisms to enforce this

requirement.

B. If, in an inquiry pursuant to

paragraph A, the Government of

Trinidad and Tobago determines that a

Trinidad and Tobago company has

participated in a transaction that

resulted in circumvention of the export

limit of this Agreement, then the

Government of Trinidad and Tobago

shall impose penalties on such company

including, but not limited to, denial of

access to the steel wire rod quota.

Additionally, the Government of

Trinidad and Tobago shall deduct an

amount of steel wire rod equivalent to

the amount involved in such

circumvention from the available quota

and shall immediately notify the

Department of the amount deducted. If

sufficient quota is not available in the

current Relevant Period, then the

remaining amount necessary shall be

deducted from the subsequent Relevant

Period.

C. If the Government of Trinidad and

Tobago determines that a company from

a third country has circumvented the

Agreement and the signatories agree that

no Trinidad and Tobago entity

participated in or had knowledge of

such activities, then the signatories shall

hold consultations for the purpose of

sharing evidence regarding such

circumvention and reaching mutual

agreement on the appropriate steps to be

taken to eliminate such circumvention,

such as the Government of Trinidad and

Tobago prohibiting sales of Trinidad

and Tobago steel wire rod to the

company responsible or reducing steel

wire rod exports to the country in

question. If the signatories are unable to

reach mutual agreement within 45 days,

then the Department may take

appropriate action, such as deducting

the amount of steel wire rod involved in

such circumvention from the available

quota, taking into account all relevant

factors. Before taking such action, the

Department will notify the Government

of Trinidad and Tobago of the facts and

reasons constituting the basis for the

Department’s intended action and will

afford the Government of Trinidad and

Tobago ten days in which to comment.

D. If the Department determines that

a Trinidad and Tobago entity

participated in circumvention, the

signatories shall hold consultations for

the purpose of sharing evidence

regarding such circumvention and

reaching mutual agreement on an

appropriate resolution of the problem. If

the signatories are unable to reach

mutual agreement within 45 days, the

Department may take appropriate

action, such as deducting the amount of

steel wire rod involved in such

circumvention from the available quota

or instructing the U.S. Customs Service

to deny entry to any subject

merchandise sold by the entity found to

be circumventing the Agreement. Before

taking such action, the Department will

notify the Government of Trinidad and

Tobago of the facts and reasons

constituting the basis for the

Department’s intended action and will

afford the Government of Trinidad and

Tobago ten days in which to comment.

E. The Department shall direct the

U.S. Customs Service to require all

importers of steel wire rod, as described

in Section II, into the United States,

regardless of stated country of origin, to

submit at the time of entry a written

statement certifying that the steel wire

rod being imported was not obtained

under any arrangement, swap, or other

exchange which would result in the

circumvention of the export limit

established by this Agreement. Where

the Department has reason to believe

that such a certification has been made

falsely, the Department will refer the

matter to the U.S. Customs Service or

the Department of Justice for further

action.

F. The Department will take the

following factors into account in

distinguishing normal steel wire rod

market arrangements, swaps, or other

exchanges from arrangements which

would result in the circumvention of the

export limit established by this

Agreement:
54964 Federal Register / Vol. 62, No. 204 / Wednesday, October 22, 1997 / Notices

1. Existence of any verbal or written

arrangements which would result in the

circumvention of the export limit

established by this Agreement;

2. Existence of any arrangement as

defined in Section IV.E that was not

reported to the Department pursuant to

Section VIII.A;

3. Existence and function of any

subsidiaries or affiliates of the parties

involved;

4. Existence and function of any

historical and/or traditional trading

patterns among the parties involved;

5. Deviations (and reasons for

deviation) from the above patterns,

including physical conditions of

relevant steel wire rod facilities;

6. Existence of any payments

unaccounted for by previous or

subsequent deliveries, or any payments

to one party for merchandise delivered

or swapped by another party;

7. Sequence and timing of the

arrangements; and

8. Any other information relevant to

the transaction or circumstances.

G. ‘‘Swaps’’ include, but are not

limited to:

Ownership swaps-involve the

exchange of ownership of any type of

steel wire rod product(s), without

physical transfer. These may include

exchange of ownership of steel wire rod

products in different countries, so that

the parties obtain ownership of products

located in different countries; or

exchange of ownership of steel wire rod

products produced in different

countries, so that the parties obtain

ownership of products of different

national origin.

Flag swaps-involve the exchange of

indicia of national origin of steel wire

rod products, without any exchange of

ownership.

Displacement swaps-involve the sale

or delivery of any type of steel wire rod

product(s) from Trinidad and Tobago to

an intermediary country (or countries)

which can be shown to have resulted in

the ultimate delivery or sale into the

United States of displaced steel wire rod

products of any type, regardless of the

sequence of the transaction.

H. The Department will enter its

determinations regarding circumvention

into the record of the Agreement.

VIII. Monitoring

The Government of Trinidad and

Tobago will provide to the Department

such information as is necessary and

appropriate to monitor the

implementation of and compliance with

the terms of this Agreement. The

Department of Commerce shall provide

semi-annual reports to the Government

of Trinidad and Tobago indicating the

volume of imports of the subject

merchandise to the United States,

together with such additional

information as is necessary and

appropriate to monitor the

implementation of this Agreement.

A. The Government of Trinidad and

Tobago shall immediately provide

copies of any resolution, decree,

legislation, or equivalent Government

action governing any changes in the

export allowance provisions of Act No.

14 of 1976, as codified in Section 8(1)

of the Corporation Tax Act as soon as

such changes occur. The Government of

Trinidad and Tobago also shall

immediately notify and provide copies

to the Department of any resolution,

decree, legislation or equivalent

Government action governing any other

export or import substitution subsidy

which is issued, altered or amended in

any way as to be applicable or available

to producers/exporters of the subject

merchandise to the United States.

B. The Government of Trinidad and

Tobago shall notify the Department if

any exporters of the subject

merchandise transship the subject

merchandise through third countries to

the United States. The Government of

Trinidad and Tobago also shall notify

the Department if any exporter applies

for or receives, directly or indirectly, the

benefits of any export or import

substitution subsidy program, other

than that which is specifically excepted

in Section III.A., regarding the export of

the subject merchandise.

C. Beginning on the effective date of

this Agreement, the Government of

Trinidad and Tobago shall collect and

provide to the Department the

information set forth, in the agreed

format, in the Appendix. All such

information will be provided to the

Department by May 1 of each year for

exports during the period from October

1 of the previous year through March

31. In addition, such information will be

provided to the Department by

November 1 for exports from April 1

through September 30, or within 90

days of a request made by the

Department. Such information will be

subject to the verification provision

identified in Section VIII.G of this

Agreement. The Government of

Trinidad and Tobago agrees to allow

sales of subject merchandise only by

those producers and through those

brokers and trading companies which

permit full reporting and verification of

data. The Department may disregard any

information submitted after the

deadlines set forth in this Section or any

information which it is unable to verify

to its satisfaction.

Aggregate quantity and value of sales

by HTS category to each third country

will be provided to the Department by

May 1 of each year for exports during

the period from October 1 of the

previous year through March 31. In

addition, such quantity and value

information will be provided to the

Department by November 1 for exports

from April 1 through September 30.

Transaction specific data for all third

country sales will also be reported on

the schedule provided above in the

format provided in the Appendix.

However, if the Department concludes

that the transaction specific data is not

necessary for a given period, it will

notify the Government of Trinidad and

Tobago at least 90 days before the

reporting deadline that transaction

specific sales data need not be reported.

If the Department determines that such

data is relevant in connection with

Section VII and requests information on

transactions for one or more third

countries during a period for which the

Department waived complete reporting,

the Government of Trinidad and Tobago

will provide the data listed in the

Appendix for those specific transactions

within 90 days of the request.

D. Both governments recognize that

the effective monitoring of this

Agreement may require that Trinidad

and Tobago provide information

additional to that which is identified

above. Accordingly, the Department

may establish additional reporting

requirements, as appropriate, during the

course of this Agreement.

E. The Department shall provide

notice to the Government of Trinidad

and Tobago of any additional reporting

requirements no later than 45 days prior

to the period covered by such reporting

requirements unless a shorter notice

period is mutually agreed.

F. Other sources for monitoring. The

Department will review publiclyavailable data as well as Customs Form

7501 entry summaries and other official

import data from the Bureau of the

Census, on a monthly basis, to

determine whether there have been

imports that are inconsistent with the

provisions of this Agreement.

The Department will monitor Bureau

of the Census IM–115 computerized

records, which include the quantity and

value of each entry. Because these

records do not provide other specific

entry information, such as the identity

of the producer/exporter which may be

responsible for such sales, the

Department may request the U.S.

Customs Service to provide such

information. The Department may

request other additional documentation

from the U.S. Customs Service.
Federal Register / Vol. 62, No. 204 / Wednesday, October 22, 1997 / Notices 54965

The Department may also request the

U.S. Customs Service to direct ports of

entry to forward a Countervailing Duty

Report of Importations for entries of the

subject merchandise during the period

this Agreement is in effect.

G. Verification. The Government of

Trinidad and Tobago will permit full

verification of all information related to

the administration of this Agreement,

including verification of Trinidad and

Tobago producer and any brokers/

trading companies utilized in making

sales/shipments to the United States, on

an annual basis or more frequently, as

the Department deems necessary to

ensure that Trinidad and Tobago is in

full compliance with the terms of the

Agreement. Such verifications may take

place in association with scheduled

consultations whenever possible.

IX. Disclosure and Comment

A. The Department shall make

available to representatives of each

party to the proceeding, under

appropriately-drawn administrative

protective orders consistent with the

Department’s Regulations, business

proprietary information submitted to the

Department semi-annually or upon

request, and in any administrative

review of this Agreement.

B. Not later than 30 days after the date

of disclosure under Section VIII.A, the

parties to the proceeding may submit

written comments to the Department,

not to exceed 30 pages.

C. During the anniversary month of

this Agreement, each party to the

proceeding may request a hearing on

issues raised during the preceding

Relevant Period. If such a hearing is

requested, it will be conducted in

accordance with Section 751 of the Act

(19 U.S.C. 1675) and applicable

regulations.

X. Consultations

The Government of Trinidad and

Tobago and the Department shall hold

consultations regarding matters

concerning the implementation,

operation and/or enforcement of this

Agreement. Such consultations will be

held each year during the anniversary

month of this Agreement. Additional

consultations may be held at any other

time upon request of either the

Government of Trinidad and Tobago or

the Department.

XI. Violations of the Agreement

A. Violation

‘‘Violation’’ means noncompliance

with the terms of this Agreement caused

by an act or omission in accordance

with Section 355.19 of the Department’s

Regulations.

The Government of Trinidad and

Tobago and the Department will inform

the other party of any violations of the

Agreement which come to their

attention and the action taken with

respect thereto.

Imports in excess of the export limit

set out in this Agreement shall not be

considered a violation of this Agreement

or an indication the Agreement no

longer meets the requirements of

Section 704 (b) or (c) of the Act where

such imports are minimal in volume,

are the result of technical shipping

circumstances, and are applied against

the export limit of the following year.

Prior to making a determination of an

alleged violation, the Department will

engage in emergency consultations.

Such consultations shall begin no later

than 14 days from the day of request

and shall provide for full review, but in

no event will exceed 30 days. After

consultations, the Department will

provide the Government of Trinidad

and Tobago 20 days within which to

provide comments. The Department will

make a determination within 30 days.

B. Appropriate Action

If the Department determines that this

Agreement is being or has been violated,

the Department will take such action as

it determines is appropriate under

Section 704(i) of the Act and Section

355.19 of the Department’s Regulations.

XII. Duration

Absent affirmative determinations

under the five-year review provisions of

sections 751 and 752 of the Act, the

Department expects to terminate this

Agreement and the underlying

investigation no later than October 14,

2002.

The Government of Trinidad and

Tobago may terminate this Agreement at

any time upon notice to the Department.

Termination shall be effective 60 days

after such notice is given to the

Department. Upon termination at the

request of the Government of Trinidad

and Tobago, the provisions of Section

704(i) of the Act shall apply.

XIII. Other Provisions

A. The Department finds that this

Agreement is in the public interest; that

effective monitoring of this Agreement

by the United States is practicable; and

that this Agreement will completely

eliminate injury to the domestic

industry producing the like product by

imports of the merchandise subject to

this Agreement.

B. In entering into this Agreement, the

Government of Trinidad and Tobago

does not admit that any programs

alleged or investigated constitute

countervailable benefits under the Act,

or that sales of the subject merchandise

have materially injured, or threatened

material injury to, an industry or

industries in the United States.

C. For all purposes hereunder, the

Department and the signatory

Government shall be represented by,

and all communications and notices

shall be given and addressed to:

Department of Commerce, U.S.

Department of Commerce, Assistant

Secretary for Import Administration,

International Trade Administration,

Washington, D.C. 20230

Government of Trinidad and Tobago,

Ministry of Trade and Industry, Level

15, Riverside Plaza, No. 2 Besson

Street, Port-of-Spain, Trinidad and

Tobago, West Indies.

XIV. Effective Date

The effective date of this Agreement

is the date of its publication in the

Federal Register.

Dated: October 14, 1997.

For Government of Trinidad and Tobago.

Mervyn Assam,

Minister of Trade and Industry.

For U.S. Department of Commerce.

Robert S. LaRussa,

Assistant Secretary for Import

Administration.

Appendix

In accordance with the established format,

the Government of Trinidad and Tobago shall

collect and provide to the Department all

information necessary to ensure compliance

with this Agreement. This information will

be provided to the Department on a semiannual basis, or upon request.

The Government of Trinidad and Tobago

will collect and maintain sales data to the

United States, in the home market, and to

countries other than the United States, on a

continuous basis and provide the prescribed

information to the Department.

The Government of Trinidad and Tobago

will provide a narrative explanation to

substantiate all data collected in accordance

with the following formats.

Report of Inventories

Report, by location, the inventories held by

Trinidad and Tobago producers/exporters in

the United States and imported into the

United States between the period beginning

May 6, 1997, through the effective date of the

Agreement.

1. Quantity: Indicate original units of

measure and in short tons.

2. Location: Identify where the inventory is

currently being held. Provide the name and

address for the location.

3. Titled Party: Name and address of party

who legally has title to the merchandise.

4. Export License Number: Indicate the

number(s) relating to each entry now being

held in inventory.

5. Certificate of Origin Number(s): Indicate

the number(s) relating to each sale or entry.
54966 Federal Register / Vol. 62, No. 204 / Wednesday, October 22, 1997 / Notices

6. Date of Original Export: Date the Export

License/certificate of origin is issued.

7. Date of Entry: Date the merchandise

entered the United States or the date book

transfer took place.

8. Original Importer: Name and address.

9. Original Exporter: Name and address.

10. Complete Description of Merchandise:

Include heat numbers, HTS number, physical

description, ASTM specification, and other

available information.

United States Sales

The Government of Trinidad and Tobago

will provide all Export Licenses, which shall

contain the following information with the

exception of item #9, date of entry, and item

#16, final destination.

1. Export License/Certificate of Origin

Number(s): Indicate the number(s) relating to

each sale and/or entry.

2. Complete Description of Merchandise:

Include heat numbers, HTS number, physical

description, ASTM specification, and other

available information.

3. Quantity: Indicate in original units of

measure and in short tons.

4. F.O.B. Sales Value: Indicate currency

used.

5. Unit Price: Indicate currency used/per

original unit of measure.

6. Date of Sale: The date all terms of order

are confirmed.

7. Sales Order Number(s): Indicate the

specification number/order number relating

to each sale and/or shipment.

8. Date of Export: Date the Export License

is issued.

9. Date of Entry: Date the merchandise

entered the United States or the date book

transfer took place.

10. Importer of Record: Name and address.

11. Trading Company/Broker: Name and

address of any trading company involved in

the sale.

12. Customer: Name and address of the

first unaffiliated party purchasing from the

Trinidad and Tobago producer/exporter.

13. Customer Affiliation: Indicate whether

the customer is affiliated or unaffiliated to

the Trinidad and Tobago exporter.

14. Quota Allocated to Exporter: Indicate

the total amount of quota allocated to the

individual exporter during the Relevant

Period.

15. Quota Remaining: Indicate the

remaining quota available to the individual

exporter during the Relevant Period.

16. Final Destination: Name and address of

the end-user for consumption in the United

States.

17. Other: The identity of any party(ies) in

the transaction chain between the customer

and the final destination/end-user.

Mill Certification

The Government of Trinidad and Tobago

shall ensure that all shipments of subject

merchandise exported to the United States

pursuant to this Agreement shall be

accompanied by a copy of the original mill

certification.

Sales Other Than United States

Pursuant to Section VIII, paragraph A, the

Government of Trinidad and Tobago will

provide country-specific sales volume and

value information for all sales of steel wire

rod products, as described in Section II, in

the home market and to third countries.

1. Quantity: Indicate in original units of

measure sold and/or entered and in metric

tons.

2. F.O.B. Sales Value: Indicate currency

used.

3. Date of Sale: The date all terms of order

are confirmed.

4. Complete Description of Merchandise:

Include heat numbers, HTS number, physical

description, specification/grade under which

sold, and other available information.

5. Sales Order Number(s): Indicate the

specification number/order number relating

to each sale and/or shipment.

6. Date of Export (if third country): Date of

shipment from Trinidad and Tobago.

7. Date of Entry (if third country): Date the

merchandise entered the third country or the

date a book transfer took place.

8. Importer of Record (if third country):

Name and address.

9. Customer: Name and address of the first

party purchasing from the Trinidad and

Tobago producer/exporter.

10. Customer Affiliation: Indicate whether

the customer is affiliated or unaffiliated.

11. Final Destination: Name and address of

the end-user for consumption in the United

States.

12. Other: The identity of any party(ies) in

the transaction chain between the customer

and the final destination/end-user.

[FR Doc. 97–27987 Filed 10–21–97; 8:45 am]

BILLING CODE 3510–DS–P

DEPARTMENT OF COMMERCE

International Trade Administration

[C–307–814]

Suspension of Countervailing Duty

Investigation: Steel Wire Rod From

Venezuela

AGENCY: Import Administration,

International Trade Administration,

Department of Commerce.

SUMMARY: The Department of Commerce

(the Department) has suspended the

countervailing duty investigation

involving steel wire rod from

Venezuela. The basis for the suspension

is an agreement between the Department

and the Government of Venezuela

(GOV) wherein the GOV has agreed not

to provide any export subsidies or

import substitution subsidies on the

subject merchandise and has agreed to

restrict the volume of direct or indirect

exports to the United States of subject

merchandise from all Venezuelan

producers/exporters in order to

eliminate completely the injurious

effects of exports of this merchandise to

the United States.

EFFECTIVE DATE: October 22, 1997.

FOR FURTHER INFORMATION CONTACT: Jean

Kemp or Donna Kinsella, Office of

Antidumping/Countervailing Duty

Enforcement, Group III, Import

Administration, U.S. Department of

Commerce, Room 1874, 14th Street and

Constitution Avenue, N.W.,

Washington, D.C. 20230; telephone

(202) 482–2104.

SUPPLEMENTARY INFORMATION:

Background

On March 24, 1997, the Department

initiated a countervailing duty

investigation under section 702 of the

Tariff Act of 1930, (the Act), as

amended, to determine whether

manufacturers, producers, or exporters

of steel wire rod from Venezuela receive

subsidies (62 FR 13866). On April 30,

1997, the United States International

Trade Commission (ITC) notified the

Department of its affirmative

preliminary injury determination. On

May 2, 1997, we postponed the

preliminary determination until no later

than July 28, 1997 (62 FR 25172, May

8, 1997).

On July 28, 1997, the Department

preliminarily determined that

countervailable subsidies are being

provided to CVG-Siderurgica del

Orinoco (62 FR 41927, August 4, 1997).

From August 27 through September 8,

1997, the Department verified the

questionnaire responses of the GOV and

SIDOR in Venezuela.

The Department and the GOV

initialed a proposed agreement

suspending this investigation on

September 12, 1997. Interested parties

were informed that the Department

intended to finalize the agreement on

October 14, 1997, and were invited to

provide written comments on the

agreement. Comments were timely filed

by the GOV on October 3, 1997.

The Department and the GOV signed

the final suspension agreement on

October 14, 1997.

Scope of Suspension Agreement

The products covered by this

suspension of investigation are set forth

in section II of the Appendix to this

notice.

Suspension of Investigation

The Department consulted with the

parties to the proceeding and has

considered the comments submitted

with respect to the proposed suspension

agreement. (See October 14, 1997,

Memorandum to the File Re: Analysis of

Comments Submitted by Interested

Parties, which is a public document on

file in the Central Records Unit in room

B–099 of the main Commerce building.)

In accordance with section 704(c) of the

Act, we have determined that

extraordinary circumstances are present