[Federal Register Volume 73, Number 25 (Wednesday, February 6, 2008)]
[Notices]
[Pages 6929-6930]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-2176]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-821-808]


Certain Cut-to-Length Carbon Steel Plate from the Russia; 
Preliminary Results of Administrative Review of the Suspension 
Agreement

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

ACTION: Notice of Preliminary Results of the Administrative Review of 
the Suspension Agreement on Certain Cut-to-Length Carbon Steel Plate 
from the Russia.

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SUMMARY: In response to a request from Nucor Corporation (Nucor), a 
domestic interested party, the Department of Commerce (the Department) 
is conducting an administrative review of the Agreement Suspending the 
Antidumping Investigation of Certain Cut-to-Length Carbon Steel Plate 
from the Russian Federation (the Agreement) for the period January 1, 
2006 through December 31, 2006, to review the current status of the 
Agreement and compliance with the Agreement by Joint Stock Company 
Severstal (Severstal). For the reasons stated in this notice, the 
Department preliminarily determines that Severstal is in compliance 
with the Agreement. The preliminary results are set forth in the 
section titled ``Preliminary Results of Review,'' infra. Interested 
parties are invited to comment on these preliminary results. Parties 
who submit comments are requested to provide: (1) a statement of the 
issues, and (2) a brief summary of the arguments.

EFFECTIVE DATE: February 6, 2008.

FOR FURTHER INFORMATION CONTACT: Sally C. Gannon or Jay Carreiro, 
Import Administration, International Trade Administration, U.S. 
Department of Commerce, 14th Street and Constitution Avenue, N.W., 
Washington, D.C. 20230, telephone: (202) 482-0162 or (202) 482-3674.

SUPPLEMENTARY INFORMATION:

Background

    On December 20, 2002, the Department signed an agreement under 
section 734(b) of the Tariff Act of 1930, as amended (the Act), with 
Russian steel producers/exporters, including Severstal, which suspended 
the antidumping duty investigation on certain cut-to-length carbon 
steel plate (CTL plate) from Russia. See Suspension of Antidumping Duty 
Investigation: Certain Cut-to-Length Carbon Steel Plate from the 
Russian Federation, 68 FR 3859 (January 27, 2003) (Suspension 
Agreement).
    On January 3, 2007, Nucor submitted a request for an administrative 
review pursuant to Antidumping or Countervailing Duty Order, Finding, 
or Suspended Investigation; Opportunity to Request Administrative 
Review, 72 FR 99 (January 3, 2007). On March 14, 2007, and October 5, 
2007, the Department issued its Questionnaire and Supplemental 
Questionnaire, respectively, to Severstal. Severstal submitted its 
responses on April 20, 2007, and October 26, 2007, respectively.
    On October 1, 2007, the Department postponed the preliminary 
results of this review until January 31, 2008. See Notice of Extension 
of Time Limit for the Preliminary Results of Administrative Review of 
the Suspension Agreement on Certain Cut-to-Length Carbon Steel Plate 
from Russia, 72 FR 55744 (October 1, 2007).

[[Page 6930]]

Scope of Review

    The products covered by the Agreement are hot-rolled iron and non-
alloy steel universal mill plates (i.e., flat-rolled products rolled on 
four faces or in a closed box pass, of a width exceeding 150 mm but not 
exceeding 1250 mm and of a thickness of not less than 4 mm, not in 
coils and without patterns in relief), of rectangular shape, neither 
clad, plated nor coated with metal, whether or not painted, varnished, 
or coated with plastics or other nonmetallic substances; and certain 
iron and non-alloy steel flat-rolled products not in coils, of 
rectangular shape, hot-rolled, neither clad, plated, nor coated with 
metal, whether or not painted, varnished, or coated with plastics or 
other nonmetallic substances, 4.75 mm or more in thickness and of a 
width which exceeds 150 mm and measures at least twice the thickness. 
Included as subject merchandise in this petition are flat-rolled 
products of nonrectangular cross- section where such cross-section is 
achieved subsequent to the rolling process (i.e., products which have 
been ``worked after rolling'')--for example, products which have been 
bevelled or rounded at the edges. This merchandise is currently 
classified in the Harmonized Tariff Schedule of the United States (HTS) 
under item numbers 7208.40.3030, 7208.40.3060, 7208.51.0030, 
7208.51.0045, 7208.51.0060, 7208.52.0000, 7208.53.0000, 7208.90.0000, 
7210.70.3000, 7210.90.9000, 7211.13.0000, 7211.14.0030, 7211.14.0045, 
7211.90.0000, 7212.40.1000, 7212.40.5000, 7212.50.0000. Excluded from 
the subject merchandise within the scope of this Agreement is grade X-
70 plate. Although the HTS subheadings are provided for convenience and 
customs purposes, our written description of the scope of this 
investigation is dispositive.

Period of Review

    The period of review (POR) is January 1, 2006 through December 31, 
2006.

Preliminary Results of Review

    Section 751(a)(1)(C) of the Act specifies that the Department shall 
``review the current status of, and compliance with, any agreement by 
reason of which an investigation was suspended.'' In this case, the 
Department and Severstal signed the Agreement, which suspended the 
underlying antidumping duty investigation, on December 20, 2002. 
Pursuant to the Agreement, each signatory producer/exporter 
individually agrees to make any necessary price revisions to eliminate 
completely any amount by which the normal value (NV) of the subject 
merchandise exceeds the U.S. price of its merchandise subject to the 
Agreement. SeeSuspension Agreement , 68 FR at 3860-61. For this 
purpose, the Department determines, on a semi-annual basis and as 
requested by a signatory, the NV in accordance with section 773(e) of 
the Act, and U.S. price in accordance with section 772 of the Act. 
Further, the Department calculates the NV for purposes of the Agreement 
by adjusting the constructed value; in effect, any expenses uniquely 
associated with the covered products sold in the domestic market are 
subtracted from the constructed value, and any such expenses which are 
uniquely associated with the covered products sold in the United States 
are added to the constructed value to calculate the NV. See Suspension 
Agreement at Appendix A.
    On March 14, 2007 and October 5, 2007, the Department issued its 
questionnaire and supplemental questionnaire, respectively, to 
Severstal. Severstal submitted its responses on April 20, 2007 and 
October 26, 2007, respectively. Neither Nucor nor any other interested 
party has submitted comments to date. Our review of the information 
submitted by Severstal indicates that the company has adhered to the 
terms of the Agreement. In its questionnaire response, Severstal 
describes the system which it and its U.S. sales arm, Severstal Export 
GmbH, have established to ensure that each product sold to the United 
States is sold at or above the relevant NV. See Severstal Questionnaire 
Response, pages 7-9. Severstal indicates that it is committed to 
compliance with the Agreement and that its system of compliance has 
worked well since it began shipping subject merchandise under the 
Agreement. Severstal further indicates that neither it nor any of its 
affiliates made any sales of the subject merchandise into the United 
States below the appropriate NVs during the POR. See Severstal 
Questionnaire Response, page 9. In response to the Department's 
questionnaire, Severstal states that it did not sell the subject 
merchandise during the POR to customers in Canada or other third 
countries that was destined for the United States and is not aware of 
any such sales. See Severstal Questionnaire Response, page 10.
    The Department finds no evidence in the information submitted of 
any discrepancies in Severstal's exports to the United States, either 
directly or through third countries, which would constitute a violation 
of the Agreement. Furthermore, the Department examined Severstal's 
reported sales and cost information covering the POR for purposes of 
calculating and releasing requested NVs to Severstal on December 20, 
2006, and June 20, 2007. See December 20, 2006, letter from Ronald K. 
Lorentzen to JSC Severstal with attachments. See also June 20, 2007, 
letter from Ronald K. Lorentzen to JSC Severstal with attachments. The 
Department also verified Severstal's reported sales covering the period 
from January 1, 2006, through June 30, 2006, in October 2006. See 
``Sales Verification Report'' Memorandum from Jonathan Herzog through 
Judith Wey Rudman to Case File (November 16, 2006). Therefore, in light 
of the record evidence described above, we preliminarily determine that 
Severstal has been in compliance with the Agreement.

Public Comment

    An interested party may request a hearing within 30 days of 
publication of these preliminary results. See 19 C.F.R. 351.310(c). Any 
hearing, if requested, will be held 37 days after the date of 
publication, or the first business day thereafter, unless the 
Department alters the date per 19 CFR 351.310(d). Interested parties 
may submit case briefs no later than 30 days after the date of 
publication of these preliminary results of review. See 19 C.F.R. 
351.309(c). Rebuttal briefs, limited to issues raised in the case 
briefs, may be filed no later than 35 days after the date of 
publication of this notice. See 19 C.F.R. 351.309(d). Parties who 
submit comments in these proceedings are requested to provide: (1) a 
statement of the issue; (2) a brief summary of the argument; and (3) a 
table of authorities. Further, parties submitting case briefs and/or 
rebuttal briefs are requested to provide the Department with an 
additional copy of the public version of any such briefs on diskette. 
The Department will issue the final results of this administrative 
review, including the results of our analysis of the issues raised in 
any written comments or at a hearing, if requested, within 120 days of 
publication of these preliminary results.
    We are issuing and publishing this notice in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: January 31, 2008.
David M. Spooner,
Assistant Secretary for Import Administration.
[FR Doc. E8-2176 Filed 2-5-08; 8:45 am]
BILLING CODE 3510-DS-S