[Federal Register Volume 89, Number 7 (Wednesday, January 10, 2024)]
[Notices]
[Pages 1532-1535]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-00321]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-151]


Tin Mill Products From the People's Republic of China: Final 
Affirmative Countervailing Duty Determination and Final Affirmative 
Critical Circumstances Determination, in Part

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
countervailable subsidies are being provided to producers and exporters 
of tin mill products from the People's Republic of China (China). The 
period of investigation is January 1, 2022, through December 31, 2022.

DATES: Applicable January 10, 2024.

FOR FURTHER INFORMATION CONTACT: Genevieve Coen or Melissa Porpotage, 
AD/CVD Operations, Office II, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-3251 or (202) 
482-1413, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On June 26, 2023, Commerce published its Preliminary Determination 
\1\ in the Federal Register. Commerce invited parties to comment on the 
Preliminary Determination.\2\
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    \1\ See Tin Mill Products from the People's Republic of China: 
Preliminary Affirmative Countervailing Duty Determination, and 
Alignment of Final Determination With Final Antidumping Duty 
Determination, 88 FR 41373 (June 26, 2023) (Preliminary 
Determination), and accompanying Preliminary Decision Memorandum 
(PDM).
    \2\ Preliminary Determination, 88 FR at 41373.
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    For a complete description of the events that followed the 
Preliminary Determination, see the Issues and Decision Memorandum.\3\ 
The Issues and Decision Memorandum is a public document and is made 
available to the public via Enforcement and Compliance's Antidumping 
and Countervailing Duty Centralized Electronic Service System (ACCESS). 
ACCESS is available to registered users at https://access.trade.gov. In 
addition, a complete version of the Issues and Decision Memorandum can 
be accessed directly at https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Countervailing Duty 
Investigation of Tin Mill Products from the People's Republic of 
China,'' dated concurrently with, and hereby adopted by, this notice 
(Issues and Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation are tin mill products 
from China. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    During the course of this investigation, Commerce received scope 
comments from parties. Commerce issued a Preliminary Scope Decision 
Memorandum to address these comments and set aside a period of time for 
parties to address scope issues in scope-specific case and rebuttal 
briefs.\4\ We received comments from parties on the Preliminary Scope 
Decision Memorandum, which we address in the Final Scope Decision 
Memorandum.\5\ We did not make any changes to the scope of the 
investigation from the scope published in the Preliminary 
Determination, as noted in Appendix I.
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    \4\ See Memorandum, ``Preliminary Scope Decision Memorandum,'' 
dated August 16, 2023 (Preliminary Scope Decision Memorandum).
    \5\ See Memorandum, ``Final Scope Decision Memorandum,'' dated 
concurrently with this memorandum (Final Scope Decision Memorandum).
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Analysis of Subsidy Programs and Comments Received

    The subsidy programs under investigation, and the issues raised in 
the case and rebuttal briefs that were submitted by parties in this 
investigation, are discussed in the Issues and Decision Memorandum. For 
a list of the issues raised by interested parties and addressed in the 
Issues and Decision Memorandum, see Appendix II.

Methodology

    Commerce conducted this investigation in accordance with section 
701 of the Tariff Act of 1930, as amended (the Act). For each of the 
subsidy programs found to be countervailable, Commerce determines that 
there is a subsidy, i.e., a financial contribution by an ``authority'' 
that gives rise to a benefit to the recipient, and that the subsidy is 
specific.\6\ For a full description of the methodology underlying our 
final determination, see the Issues and Decision Memorandum.
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    \6\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; see also section 771(5)(E) of the Act 
regarding benefit; and section 771(5A) of the Act regarding 
specificity.
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    In making this final determination, Commerce relied, in part, on 
facts otherwise available, pursuant to sections 776(a) and (b) of the 
Act. For a full discussion of our application of adverse facts 
available (AFA), see the section ``Use of Facts Available and Adverse 
Inferences'' in the Issues and Decision Memorandum.

Verification

    Commerce was unable to conduct on-site verification of the 
information relied on in making its final determination in this 
investigation. However, in August 2023, we took additional steps in 
lieu of on-site verifications to verify the information relied upon in 
making this final determination, in accordance with section 782(i) of 
the Act, by conducting virtual verification of one of the mandatory 
respondents, Shougang Jingtang United Iron & Steel Co., Ltd. (Jingtang 
Iron).

Final Affirmative Determination of Critical Circumstances, in Part

    In accordance with sections 703(e)(1), and 776(a) and (b) of the 
Act, and 19 CFR 351.206, as well as our analysis of comments received 
regarding our affirmative preliminary determination of critical 
circumstances,\7\ Commerce continues to find that critical 
circumstances exist with respect to imports of tin mill products from 
China for one of the mandatory respondents, Baoshan Iron & Steel Co., 
Ltd. (Baoshan Iron). In addition, we continue to find that critical 
circumstances do not exist with respect to imports of tin mill products 
from Jingtang Iron and companies not individually examined. For a full 
description of the methodology and results of Commerce's critical 
circumstances analysis, see the Issues and Decision Memorandum.
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    \7\ See Issues and Decision Memorandum at Comment 1.
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Changes Since the Preliminary Determination

    Based on our review and analysis of the information at verification 
and comments received from interested parties, we made changes to the 
subsidy rate calculations for Jingtang Iron. For a discussion of the 
comments received, see the Issues and Decision Memorandum.

[[Page 1533]]

All-Others Rate

    Pursuant to section 705(c)(5)(A)(i) of the Act, Commerce will 
determine an all-others rate equal to the weighted-average 
countervailable subsidy rates established for exporters and/or 
producers individually investigated, excluding any zero and de minimis 
countervailable subsidy rates, and any rates determined entirely under 
section 776 of the Act. In this investigation, Commerce calculated a 
total subsidy rate for Baoshan Iron determined entirely under section 
776 of the Act. Therefore, the only rate that is not zero, de minimis, 
or based entirely on facts otherwise available is the rate calculated 
for Jingtang Iron. Consequently, the rate calculated for Jingtang Iron 
is also assigned as the rate for all other producers and exporters.

Final Determination

    Commerce determines that the following estimated countervailable 
subsidy rates exist: \8\
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    \8\ Commerce finds the following companies to be cross-owned 
with Jingtang Iron: Shougang Group Co., Ltd.; Shougang Casey Steel 
Co., Ltd.; Beijing Shougang Co., Ltd.; Beijing Shougang Steel Trade 
Management Co., Ltd.; Beijing Shougang Machinery & Electric Co., 
Ltd.; Beijing Shougang Gas Co., Ltd.; Qinhuangdao Shougang Machinery 
Co., Ltd.; Beijing Shoujian Equipment Maintenance Co., Ltd.; Beijing 
Shougang Lujiashan Limestone Mine Co., Ltd.; Hebei Shoulang New 
Energy Technology Co., Ltd.; Tangshan Caofeidian Industrial Zone 
Shouhanxin Industry Co., Ltd.; and China Shougang International 
Trade & Engineering Corporation.

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
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Baoshan Iron & Steel Co., Ltd...........................          649.98
Shougang Jingtang United Iron & Steel Co., Ltd..........          331.88
All Others..............................................          331.88
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Disclosure

    Commerce intends to disclose to interested parties the calculations 
performed in this final determination within five days of any public 
announcement or, if there is no public announcement, within five days 
of the date of the publication of this notice in the Federal Register, 
in accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    As a result of our Preliminary Determination and pursuant to 
sections 703(d)(1)(B) and (d)(2) of the Act, we instructed U.S. Customs 
and Border Protection (CBP) to suspend liquidation of entries of 
subject merchandise from China that were entered, or withdrawn from 
warehouse, for consumption, on or after June 26, 2023, the date of 
publication of the Preliminary Determination in the Federal Register. 
Because we preliminarily determined that critical circumstances existed 
with respect to Baoshan Iron, we instructed CBP to suspend such entries 
on or after March 28, 2023, which is 90 days prior to the date of the 
publication of the Preliminary Determination in the Federal 
Register.\9\ In accordance with section 703(d) of the Act, we 
instructed CBP to discontinue the suspension of liquidation of all 
entries of subject merchandise entered or withdrawn from warehouse, on 
or after October 24, 2023.
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    \9\ See Countervailing Duty Investigation of Tin Mill Products 
from the People's Republic of China: Preliminary Determination of 
Critical Circumstances, in Part, 88 FR 46738 (July 20, 2023).
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    If the U.S. International Trade Commission (ITC) issues a final 
affirmative injury determination, we will issue a countervailing duty 
(CVD) order, reinstate the suspension of liquidation under section 
706(a) of the Act, and require a cash deposit of estimated CVDs for 
entries of subject merchandise in the amounts indicated above. If the 
ITC determines that material injury, or threat of material injury, does 
not exist, this proceeding will be terminated, and all estimated duties 
deposited or securities posted as a result of the suspension of 
liquidation will be refunded or canceled.

ITC Notification

    In accordance with section 705(d) of the Act, we will notify the 
ITC of our final affirmative determination that countervailable 
subsidies are being provided to producers and exporters of pressure 
washers from China. Because the final determination in this proceeding 
is affirmative, in accordance with section 705(b) of the Act, the ITC 
will make its final determination as to whether the domestic industry 
in the United States is materially injured, or threatened with material 
injury, by reason of imports of pressure washers from China no later 
than 45 days after our final determination. In addition, we are making 
available to the ITC all non-privileged and nonproprietary information 
related to this investigation. We will allow the ITC access to all 
privileged and business proprietary information in our files, provided 
the ITC confirms that it will not disclose such information, either 
publicly or under an administrative protective order (APO), without the 
written consent of the Assistant Secretary for Enforcement and 
Compliance. If the ITC determines that material injury or threat of 
material injury does not exist, this proceeding will be terminated and 
all cash deposits will be refunded. If the ITC determines that such 
injury does exist, Commerce will issue a CVD order directing CBP to 
assess, upon further instruction by Commerce, CVDs on all imports of 
the subject merchandise that are entered, or withdrawn from warehouse, 
for consumption on or after the effective date of the suspension of 
liquidation, as discussed above in the ``Continuation of Suspension of 
Liquidation'' section.

Administrative Protective Order

    In the event that the ITC issues a final negative injury 
determination, this notice will serve as the only reminder to parties 
subject to an APO of their responsibility concerning the destruction of 
proprietary information disclosed under APO, in accordance with 19 CFR 
351.305(a)(3). Timely written notification of the return/destruction of 
APO materials or conversion to judicial protective order is hereby 
requested. Failure to comply with the regulations and terms of an APO 
is a violation which is subject to sanction.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
705(d) and 777(i) of the Act, and 19 CFR 351.210(c).

    Dated: January 4, 2024.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The products within the scope of this investigation are tin mill 
flat-rolled products that are coated or plated with tin, chromium, 
or chromium oxides. Flat-rolled steel products coated with tin are 
known as tinplate. Flat-rolled steel products coated with chromium 
or chromium oxides are known as tin-free steel or electrolytic 
chromium-coated steel. The scope includes all the noted tin mill 
products regardless of thickness, width, form (in coils or cut 
sheets), coating type (electrolytic or otherwise), edge (trimmed, 
untrimmed or further processed, such as scroll cut), coating 
thickness, surface finish, temper, coating metal (tin, chromium, 
chromium oxide), reduction (single- or double-reduced), and whether 
or not coated with a plastic material.
    All products that meet the written physical description are 
within the scope of this investigation unless specifically excluded. 
The following products are outside and/or specifically excluded from 
the scope of this investigation:
    <bullet> Single reduced electrolytically chromium coated steel 
with a thickness 0.238 mm (85 pound base box) (<plus-minus> 10%) or 
0.251 mm (90 pound base box) (<plus-minus> 10%) or 0.255 mm (<plus-
minus>10%) with 770 mm (minimum width)

[[Page 1534]]

(<plus-minus> 1.588 mm) by 900 mm (maximum length if sheared) sheet 
size or 30.6875 inches (minimum width) (<plus-minus> \1/16\ inch) 
and 35.4 inches (maximum length if sheared) sheet size; with type MR 
or higher (per ASTM) A623 steel chemistry; batch annealed at T2 \1/
2\ anneal temper, with a yield strength of 31 to 42 kpsi (214 to 290 
Mpa); with a tensile strength of 43 to 58 kpsi (296 to 400 Mpa); 
with a chrome coating restricted to 32 to 150 mg/m\2\; with a chrome 
oxide coating restricted to 6 to 25 mg/m\2\ with a modified 7B 
ground roll finish or blasted roll finish; with roughness average 
(Ra) 0.10 to 0.35 micrometers, measured with a stylus instrument 
with a stylus radius of 2 to 5 microns, a trace length of 5.6 mm, 
and a cut-off of 0.8 mm, and the measurement traces shall be made 
perpendicular to the rolling direction; with an oil level of 0.17 to 
0.37 grams/base box as type BSO, or 2.5 to 5.5 mg/m\2\ as type DOS, 
or 3.5 to 6.5 mg/m\2\ as type ATBC; with electrical conductivity of 
static probe voltage drop of 0.46 volts drop maximum, and with 
electrical conductivity degradation to 0.70 volts drop maximum after 
stoving (heating to 400 degrees F for 100 minutes followed by a cool 
to room temperature).
    <bullet> Single reduced electrolytically chromium- or tin-coated 
steel in the gauges of 0.0040 inch nominal, 0.0045 inch nominal, 
0.0050 inch nominal, 0.0061 inch nominal (55 pound base box weight), 
0.0066 inch nominal (60 pound base box weight), and 0.0072 inch 
nominal (65 pound base box weight), regardless of width, temper, 
finish, coating or other properties.
    <bullet> Single reduced electrolytically chromium coated steel 
in the gauge of 0.024 inch, with widths of 27.0 inches or 31.5 
inches, and with T-1 temper properties.
    <bullet> Single reduced electrolytically chromium coated steel, 
with a chemical composition of 0.005% max carbon, 0.030% max 
silicon, 0.25% max manganese, 0.025% max phosphorous, 0.025% max 
sulfur 0.070% max aluminum, and the balance iron, with a metallic 
chromium layer of 70-130 mg/m\2\, with a chromium oxide layer of 5-
30 mg/m\2\, with a tensile strength of 260-440 N/mm\2\, with an 
elongation of 28-48%, with a hardness (HR-30T) of 40-58, with a 
surface roughness of 0.5-1.5 microns Ra, with magnetic properties of 
Bm (kg) 10.0 minimum, Br (kg) 8.0 minimum, Hc (Oe) 2.5-3.8, and MU 
1400 minimum, as measured with a Riken Denshi DC magnetic 
characteristic measuring machine, Model BHU-60.
    <bullet> Bright finish tin-coated sheet with a thickness equal 
to or exceeding 0.0299 inch, coated to thickness of \3/4\ pound 
(0.000045 inch) and 1 pound (0.00006 inch).
    <bullet> Electrolytically chromium coated steel having ultra 
flat shape defined as oil can maximum depth of 5/64 inch (2.0 mm) 
and edge wave maximum of 5/64 inch (2.0 mm) and no wave to penetrate 
more than 2.0 inches (51.0 mm) from the strip edge and coilset or 
curling requirements of average maximum of 5/64 inch (2.0 mm) (based 
on six readings, three across each cut edge of a 24 inches (61 cm) 
long sample with no single reading exceeding 4/32 inch(3.2 mm) and 
no more than two readings at 4/32 inch (3.2 mm)) and (for 85 pound 
base box item only: crossbuckle maximums of 0.001 inch (0.0025 mm) 
average having no reading above 0.005 inch (0.127 mm)), with a 
camber maximum of \1/4\ inch (6.3 mm) per 20 feet (6.1 meters), 
capable of being bent 120 degrees on a 0.002 inch radius without 
cracking, with a chromium coating weight of metallic chromium at 100 
mg/m\2\ and chromium oxide of 10 mg/m\2\, with a chemistry of 0.13% 
maximum carbon, 0.60% maximum manganese, 0.15% maximum silicon, 
0.20% maximum copper, 0.04% maximum phosphorous, 0.05% maximum 
sulfur, and 0.20% maximum aluminum, with a surface finish of Stone 
Finish 7C, with a DOS-A oil at an aim level of 2 mg/square meter, 
with not more than 15 inclusions/foreign matter in 15 feet (4.6 
meters) (with inclusions not to exceed 1/32 inch (0.8 mm) in width 
and 3/64 inch (1.2 mm) in length), with thickness/temper 
combinations of either 60 pound base box (0.0066 inch) double 
reduced CADR8 temper in widths of 25.00 inches, 27.00 inches, 27.50 
inches, 28.00 inches, 28.25 inches, 28.50 inches, 29.50 inches, 
29.75 inches, 30.25 inches, 31.00 inches, 32.75 inches, 33.75 
inches, 35.75 inches, 36.25 inches, 39.00 inches, or 43.00 inches, 
or 85 pound base box (0.0094 inch) single reduced CAT4 temper in 
widths of 25.00 inches, 27.00 inches, 28.00 inches, 30.00 inches, 
33.00 inches, 33.75 inches, 35.75 inches, 36.25 inches, or 43.00 
inches, with width tolerance of \1/8\ inch, with a thickness 
tolerance of 0.0005 inch, with a maximum coil weight of 20,000 
pounds (9071.0 kg), with a minimum coil weight of 18,000 pounds 
(8164.8 kg), with a coil inside diameter of 16 inches (40.64 cm) 
with a steel core, with a coil maximum outside diameter of 59.5 
inches (151.13 cm), with a maximum of one weld (identified with a 
paper flag) per coil, with a surface free of scratches, holes, and 
rust.
    <bullet> Electrolytically tin coated steel having differential 
coating with 1.00 pound/base box equivalent on the heavy side, with 
varied coating equivalents in the lighter side (detailed below), 
with a continuous cast steel chemistry of type MR, with a surface 
finish of type 7B or 7C, with a surface passivation of 0.7 mg/square 
foot of chromium applied as a cathodic dichromate treatment, with 
coil form having restricted oil film weights of 0.3-0.4 grams/base 
box of type DOS-A oil, coil inside diameter ranging from 15.5 to 17 
inches, coil outside diameter of a maximum 64 inches, with a maximum 
coil weight of 25,000 pounds, and with temper/coating/dimension 
combinations of: (1) CAT4 temper, 1.00/.050 pound/base box coating, 
70 pound/base box (0.0077 inch) thickness, and 33.1875 inch ordered 
width; or (2) CAT5 temper, 1.00/0.50 pound/base box coating, 75 
pound/base box (0.0082 inch) thickness, and 34.9375 inch or 34.1875 
inch ordered width; or (3) CAT5 temper, 1.00/0.50 pound/base box 
coating, 107 pound/base box (0.0118 inch) thickness, and 30.5625 
inch or 35.5625 inch ordered width; or (4) CADR8 temper, 1.00/0.50 
pound/base box coating, 85 pound/base box (0.0093 inch) thickness, 
and 35.5625 inch ordered width; or (5) CADR8 temper, 1.00/0.25 
pound/base box coating, 60 pound/base box (0.0066 inch) thickness, 
and 35.9375 inch ordered width; or (6) CADR8 temper, 1.00/0.25 
pound/base box coating, 70 pound/base box (0.0077 inch) thickness, 
and 32.9375 inch, 33.125 inch, or 35.1875 inch ordered width.
    <bullet> Electrolytically tin coated steel having differential 
coating with 1.00 pound/base box equivalent on the heavy side, with 
varied coating equivalents on the lighter side (detailed below), 
with a continuous cast steel chemistry of type MR, with a surface 
finish of type 7B or 7C, with a surface passivation of 0.5 mg/square 
foot of chromium applied as a cathodic dichromate treatment, with 
ultra flat scroll cut sheet form, with CAT5 temper with 1.00/0.10 
pound/base box coating, with a lithograph logo printed in a uniform 
pattern on the 0.10 pound coating side with a clear protective coat, 
with both sides waxed to a level of 15-20 mg/216 sq. in., with 
ordered dimension combinations of (1) 75 pound/base box (0.0082 
inch) thickness and 34.9375 inch x 31.748 inch scroll cut 
dimensions; or (2) 75 pound/base box (0.0082 inch) thickness and 
34.1875 inch x 29.076 inch scroll cut dimensions; or (3) 107 pound/
base box (0.0118 inch) thickness and 30.5625 inch x 34.125 inch 
scroll cut dimension.
    <bullet> Tin-free steel coated with a metallic chromium layer 
between 100-200 mg/m\2\ and a chromium oxide layer between 5-30 mg/
m\2\; chemical composition of 0.05% maximum carbon, 0.03% maximum 
silicon, 0.60% maximum manganese, 0.02% maximum phosphorous, and 
0.02% maximum sulfur; magnetic flux density (Br) of 10 kg minimum 
and a coercive force (Hc) of 3.8 Oe minimum.
    <bullet> Tin-free steel laminated on one or both sides of the 
surface with a polyester film, consisting of two layers (an 
amorphous layer and an outer crystal layer), that contains no more 
than the indicated amounts of the following environmental hormones: 
1 mg/kg BADGE (BisPhenol--A Di-glycidyl Ether), 1 mg/kg BFDGE 
(BisPhenol--F Di-glycidyl Ether), and 3 mg/kg BPA (BisPhenol--A).
    The merchandise subject to this investigation is currently 
classified in the Harmonized Tariff Schedule of the United States 
(HTSUS), under HTSUS subheadings 7210.11.0000, 7210.12.0000, 
7210.50.0020, 7210.50.0090, 7212.10.0000, and 7212.50.0000 if of 
non-alloy steel and under HTSUS subheadings 7225.99.0090, and 
7226.99.0180 if of alloy steel. Although the subheadings are 
provided for convenience and customs purposes, the written 
description of the scope of the investigation is dispositive.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope of the Investigation
V. Final Critical Circumstances Determination
VI. Subsidies Valuation Information
VII. Use of Facts Available and Adverse Inferences
VIII. Analysis of Programs
IX. Discussion of the Issues

[[Page 1535]]

    Comment 1: Whether Commerce Should Apply Adverse Facts Available 
(AFA) to Baoshan Iron for its Final Critical Circumstances 
Determination
    Comment 2: Whether Commerce Should Apply Partial AFA to Jingtang 
Iron
    Comment 3: Whether Commerce Correctly Calculated Jingtang Iron's 
Denominators
    Comment 4: Whether Commerce Properly Countervailed Iron Ore and 
Coking Coal for Less Than Adequate Remuneration (LTAR)
    Comment 5: Selection of the Appropriate Iron Ore and Coking Coal 
Benchmarks
    Comment 6: Provision of Electricity for LTAR
    Comment 7: Provision of Land-Use Rights in the Caofeidian 
Industrial Zone for LTAR
    Comment 8: Policy Loans to the Tin Mill Products Industry
    Comment 9: Whether Commerce Should Apply AFA to the Export 
Buyer's Credit (EBC) Program
    Comment 10: Import Tariff and Value Added Tax (VAT) Exemptions 
on Imported Equipment in Encouraged Industries
    Comment 11: Whether it is Lawful for Commerce to Investigate 
Other Subsidies
    Comment 12: Whether Commerce's Additional Questionnaires Placed 
Undue Burden on Jingtang Iron
    Comment 13: Whether Commerce's Investigation of Programs Outside 
the Average Useful Life (AUL) is Unlawful
    Comment 14: Whether Commerce Should Revise the AFA Rate for 
Baoshan Iron
X. Recommendation

[FR Doc. 2024-00321 Filed 1-9-24; 8:45 am]
BILLING CODE 3510-DS-P