[Federal Register Volume 77, Number 43 (Monday, March 5, 2012)]
[Notices]
[Pages 13093-13095]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-5188]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-818]


Corrosion-Resistant Carbon Steel Flat Products From the Republic 
of Korea: Final Results of Countervailing Duty Administrative Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

SUMMARY: On August 31, 2011, the U.S. Department of Commerce (``the 
Department'') published in the Federal Register its preliminary results 
of the administrative review of the countervailing duty (``CVD'') order 
on corrosion-resistant carbon steel flat products (``CORE'') from the 
Republic of Korea (``Korea'') for the period of review (``POR'') 
January 1, 2009, through December 31, 2009.\1\ We preliminarily found 
that Hyundai HYSCO Ltd. (HYSCO) received de minimis countervailable 
subsidies during the POR. However, we subsequently issued a Post 
Preliminary Analysis Memorandum and Post Preliminary Final Results in 
which we found that HYSCO received additional countervailable 
subsidies.\2\ We received comments on our Preliminary Results from 
interested parties, and we have made revisions to our calculations. The 
final results are listed in the section ``Final Results of Review'' 
below.
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    \1\ See Corrosion-Resistant Carbon Steel Flat Products from the 
Republic of Korea: Preliminary Results of Countervailing Duty 
Administrative Review, 76 FR 54209 (August 31, 2011) (``Preliminary 
Results'').
    \2\ See 2009 Review of the Countervailing Duty Order on 
Corrosion-Resistant Carbon Steel Flats Products from Korea: Post 
Preliminary Analysis Memorandum for Hyundai HYSCO Ltd. (``HYSCO'') 
and Post Preliminary Results of CVD Administrative Review: 
Corrosion-Resistant Carbon Steel Flat Products from the Republic of 
Korea (C-580-818) dated September 27, 2011.

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DATES: Effective Date: March 5, 2012.

FOR FURTHER INFORMATION CONTACT: Gayle Longest at (202) 482-3338, AD/
CVD Operations, Office 3, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Ave. NW., Washington, DC 20230.

SUPPLEMENTARY INFORMATION:

Background

    On August 17, 1993, the Department published in the Federal 
Register the CVD order on CORE from Korea.\3\ On August 31, 2011, the 
Department published in the Federal Register its Preliminary Results of 
the administrative review of this order for the period January 1, 2009, 
through December 31, 2009.\4\ In accordance with 19 CFR 351.213(b), 
this administrative review covers HYSCO, a producer and exporter of 
subject merchandise.
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    \3\ See Countervailing Duty Orders and Amendments to Final 
Affirmative Countervailing Duty Determinations: Certain Steel 
Products from Korea, 58 FR 43752 (August 17, 1993).
    \4\ See Preliminary Results, 76 FR 54209.
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    In the Preliminary Results, we indicated that we would address the 
Restriction of Special Taxation Act (RSTA) Article 26 program in a 
post-preliminary decision memorandum, because information concerning 
this program was submitted by the Government of Korea (GOK) shortly 
before the Preliminary Results.\5\ On September 27, 2011, we issued a 
Post Preliminary Analysis Memorandum and Post Preliminary Results.\6\
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    \5\ See Preliminary Results at 54215.
    \6\ See Post Preliminary Analysis Memorandum and Post 
Preliminary Results.
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    In the Preliminary Results, we invited interested parties to submit 
briefs or request a hearing. On October 11, 2011, the respondent, 
HYSCO, submitted comments on the Preliminary Results. On October 18, 
2011, the petitioner, U.S. Steel Corporation, submitted rebuttal 
comments.
    Subsequent to Preliminary Results, the Department issued 
supplemental questionnaires to HYSCO on November 18, 2011 and December 
22, 2011. HYSCO submitted timely responses on December 2, 2011 and 
January 11, 2012. To allow sufficient time to collect and analyze this 
additional information, and the briefing process, the Department 
extended the time limit for these final results.\7\ We invited 
interested parties to submit comments on the additional information 
collected after the Preliminary Results. On December 12, 2011 and 
January 11, 2012, HYSCO submitted comments. On December 19, 2011 and 
January 17, 2012, U.S. Steel submitted rebuttal comments. HYSCO 
submitted rebuttal comments on January 20, 2012. The Department did not 
conduct a hearing in this review because none was requested.
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    \7\ See Corrosion-Resistant Carbon Steel Flat Products from the 
Republic of Korea: Extension of Time Limit for Final Results of 
Countervailing Duty Administrative Review, 76 FR 77775 (December 14, 
2011).
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    The Department has considered the comments from interested parties, 
and we have made revisions to our short-term benchmark used to measure 
the benefit from the KEXIM short-term exporting financing program. Our 
findings concerning the issue raised by HYSCO and U.S. Steel are 
addressed in the accompanying Decision Memorandum for the 
Countervailing Duty Administrative Review on Corrosion-Resistant Carbon 
Steel Flat Products from the Republic of Korea (Decision Memorandum), 
which is dated concurrently with and hereby adopted by this notice. 
Parties can find a complete discussion of these issues and the 
corresponding recommendations in this public memorandum, which is on 
file in the Central Records Unit of the main commerce building. In 
addition, a complete version of the Decision Memorandum can be accessed 
directly on the internet at http://ia.ita.doc.gov/frn.
    The paper copy and the electronic version of the Decision 
Memorandum are identical in content.

Scope of Order

    Products covered by the order are CORE from Korea. These products 
include flat-rolled carbon steel products, of rectangular shape, either 
clad, plated, or coated with corrosion-resistant metals such as zinc, 
aluminum, or zinc-, aluminum-, nickel- or iron-based alloys, whether or 
not corrugated or painted, varnished or coated with

[[Page 13094]]

plastics or other nonmetallic substances in addition to the metallic 
coating, in coils (whether or not in successively superimposed layers) 
and of a width of 0.5 inch or greater, or in straight lengths which, if 
of a thickness less than 4.75 millimeters, are of a width of 0.5 inch 
or greater and which measures at least 10 times the thickness or if of 
a thickness of 4.75 millimeters or more are of a width which exceeds 
150 millimeters and measures at least twice the thickness. The 
merchandise subject to the order is currently classifiable in the 
Harmonized Tariff Schedule of the United States (HTSUS) at subheadings: 
7210.30.0000, 7210.31.0000, 7210.39.0000, 7210.41.0000, 7210.49.0030, 
7210.29.0090, 7210.60.0000, 7210.61.0000, 7210.70.6030, 7210.70.6060, 
7210.70.6090, 7210.90.1000, 7210.90.6000, 7210.90.9000, 7212.20.0000, 
7212.21.0000, 7212.29.0000, 7212.30.1030, 7212.30.1090, 7212.30.3000, 
7212.30.5000, 7212.40.1000, 7212.40.5000, 7212.50.0000, 7212.60.0000, 
7215.90.1000, 7215.90.3000, 7215.90.5000, 7217.12.1000, 7217.13.1000, 
7217.19.1000, 7217.19.5000, 7217.20.1500, 7217.22.5000, 7217.23.5000, 
7217.29.1000, 7217.29.5000, 7217.30.15.0000, 7217.32.5000, 
7217.33.5000, 7217.39.1000, 7217.39.5000, 7217.90.1000 and 
7217.90.5000. Although the HTSUS subheadings are provided for 
convenience and customs purposes, the Department's written description 
of the merchandise subject to the order is dispositive.

Period of Review

    The POR for which we are measuring subsidies is from January 1, 
2009, through December 31, 2009.

Final Results of Review

    As noted above, the Department received comments concerning the 
Preliminary Results. We find that changes are warranted in these final 
results. As a result, we have made revisions to our short-term 
benchmark used to measure the benefit from the short-term export 
financing program, as explained in our Decision Memorandum. Therefore, 
in these final results, we find that HYSCO received a net subsidy of 
0.46 percent ad valorem, which is a de minimis rate. See 19 CFR 
351.106(c)(1).
    Listed below are the programs we examined in the review and our 
findings with respect to each of these programs. For a complete 
analysis of these programs, see the Preliminary Results and the Post 
Preliminary Analysis Memorandum.

I. Programs Determined to Confer Subsidies During the POR
    A. Short-Term Export Financing
    B. R&D Grants and Loans Under the Act on Special Measures for 
the Promotion of Specialized Enterprises for Parts and Materials
    C. Restriction of Special Taxation Act (RSTA) Article 26
II. Programs That Provided No Benefits During the POR
    A. Research and Development Grants Under the Industrial 
Development Act (IDA)
    B. Research and Development Grants Under the Industrial 
Technology Innovation Promotion Act (ITIPA)
    C. R&D Grants Under the Act on the Promotion of the Development, 
Use, and Diffusion of New and Renewable Energy
    D. Reduction in Taxes for Operation in Regional and National 
Industrial Complexes
    E. Overseas Resource Development Program: Loan From Korea 
Resources Corporation (KORES)
    F. Overseas Resource Development Program: Loan From Korea 
National Oil Corporation(KNOC)
III. Programs Found Not to Have Been Used During the POR
    A. Reserve for Research and Manpower Development Fund Under RSTA 
Article 9 (TERCL Article 8)
    B. RSTA Article 11: Tax Credit for Investment in Equipment to 
Development Technology and Manpower (TERCL Article 10)
    C. Reserve for Export Loss Under TERCL Article 16
    D. Reserve for Overseas Market Development Under TERCL Article 
17
    E. Reserve for Export Loss Under TERCL Article 22
    F. Exemption of Corporation Tax on Dividend Income From Overseas 
Resources Development Investment Under TERCL Article 24
    G. Reserve for Investment (Special Cases of Tax for Balanced 
Development Among Areas Under TERCL Articles 41-45)
    H. Tax Credits for Specific Investments Under TERCL Article 71
    I. Asset Revaluation Under Article 56(2) of the TERCL
    J. RSTA Article 94: Equipment Investment to Promote Worker's 
Welfare (TERCL Article 88)
    K. Electricity Discounts Under the Requested Loan Adjustment 
Program
    L. Electricity Discounts Under the Emergency Load Reductions 
Program
    M. Export Industry Facility Loans and Specialty Facility Loans
    N. Exemption of VAT on Imports of Anthracite Coal
    O. Short-Term Trade Financing Under the Aggregate Credit Ceiling 
Loan Program Administered by the Bank of Korea
    P. Industrial Base Fund
    Q. Excessive Duty Drawback
    R. Private Capital Inducement Act Tax Credits for Temporary 
Investments Under TERCL Article 27
    S. Scrap Reserve Fund
    T. Short-Term Document Acceptance (D/A) Financing Provided Under 
KEXIM's Trade Rediscount Program
    U. Special Depreciation of Assets on Foreign Exchange Earnings
    V. Export Insurance Rates Provided by the Korean Export 
Insurance Corporation
    W. Loans From the National Agricultural Cooperation Federation
    X. Tax Incentives From Highly Advanced Technology Businesses 
Under the Foreign Investment and Foreign Capital Inducement Act
    Y. Other Subsidies Related to Operations at Asan Bay: Provision 
of Land and Exemption of Port Fees Under the Harbor Act
    Z. D/A Loans Issued by the Korean Development Bank and Other 
Government-Owned Banks Energy-Servings Facilities Investment Reserve 
Funds Under TERCL Article 29
    AA. R&D Grants Under the Promotion of Industrial Technology 
Innovation Act
    AB. Export Loans by Commercial Banks Under KEXIM's Trade Bill 
Rediscounting Program

Assessment Rates/Cash Deposits

    The Department intends to issue assessment instructions to U.S. 
Customs and Border Protection (CBP) 15 days after the date of 
publication of these final results of review to liquidate shipments of 
subject merchandise by HYSCO entered, or withdrawn from warehouse, for 
consumption on or after January 1, 2009, through December 31, 2009, 
without regard to countervailing duties. We will also instruct CBP not 
to collect cash deposits of estimated countervailing duties on 
shipments of the subject merchandise by HYSCO entered, or withdrawn 
from warehouse, for consumption on or after the date of publication of 
these final results of review.
    For all non-reviewed companies, the Department has instructed CBP 
to assess countervailing duties at the cash deposit rates in effect at 
the time of entry, for entries between January 1, 2009, and December 
31, 2009. The cash deposit rates for all companies not covered by this 
review are not changed by the results of this review, and remain in 
effect until further notice.

Return or Destruction of Proprietary Information

    This notice serves as a reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of return or destruction of APO materials or conversion to 
judicial protective order is hereby requested. Failure to comply

[[Page 13095]]

with the regulations and the terms of an APO is a sanctionable 
violation.
    We are issuing and publishing these results in accordance with 
sections 751(a)(1) and 777(i)(1) of the Tariff Act of 1930, as amended.

    Dated: February 27, 2012.
Ronald K. Lorentzen,
Acting Assistant Secretary for Import Administration.
[FR Doc. 2012-5188 Filed 3-2-12; 8:45 am]
BILLING CODE 3510-DS-P