Document ID: BIS-2018-0006-0001
Agency: bis
Document Type: Rule
Title: *Starting June 13, 2019, use the following link: https://trade.gov/232/steelalum for the submittal of new exclusion requests. --- Requirements for Submissions Requesting Exclusions From the Remedies Instituted in Presidential Proclamations Adjusting Imports of Steel and Aluminum Into the United States; and the Filing of Objections to Submitted Exclusion Requests
Posted Date: 2018-03-19T04:00Z

[Federal Register Volume 83, Number 53 (Monday, March 19, 2018)]
[Rules and Regulations]
[Pages 12106-12112]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-05761]

[[Page 12105]]

Vol. 83

Monday,

No. 53

March 19, 2018

Part III

Department of Commerce

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Bureau of Industry and Security

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15 CFR Part 705

 Requirements for Submissions Requesting Exclusions From the Remedies 
Instituted in Presidential Proclamations Adjusting Imports of Steel 
Into the United States and Adjusting Imports of Aluminum Into the 
United States; and the Filing of Objections to Submitted Exclusion 
Requests for Steel and Aluminum; Interim Final Rule

  Federal Register / Vol. 83 , No. 53 / Monday, March 19, 2018 / Rules 
and Regulations  

[[Page 12106]]

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DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Part 705

[Docket No. 180227217-8217-01]
RIN 0694-AH55

Requirements for Submissions Requesting Exclusions From the 
Remedies Instituted in Presidential Proclamations Adjusting Imports of 
Steel Into the United States and Adjusting Imports of Aluminum Into the 
United States; and the Filing of Objections to Submitted Exclusion 
Requests for Steel and Aluminum

AGENCY: Bureau of Industry and Security, Office of Technology 
Evaluation, U.S. Department of Commerce.

ACTION: Interim final rule.

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SUMMARY: This interim final rule amends the National Security 
Industrial Base Regulations to add two new supplements. The new 
supplements set forth the process for how parties in the United States 
may submit requests for exclusions from actions taken by the President 
(``exclusion requests'') to protect national security from threats 
resulting from imports of specified articles. The new supplements also 
set forth the requirements and process for how parties in the United 
States may submit objections to the granting of an exclusion request.
    The supplements are being added to implement Presidential 
Proclamations 9704 and 9705 of March 8, 2018 (``Proclamations''), 
adjusting imports of steel articles identified in Proclamation 9705 
(``steel'') and aluminum articles identified in Proclamation 9704 
(``aluminum'') through the imposition of duties so that imports of 
steel articles and aluminum articles will no longer threaten to impair 
the national security. As set forth in the Proclamations, the President 
concurred with the findings of the Secretary of Commerce 
(``Secretary'') in two reports to the President on the investigations 
under section 232 of the Trade Expansion Act of 1962, as amended, of 
the effect of imports of steel and aluminum, respectively, on the 
national security of the United States. The Proclamations authorize the 
Secretary to grant exclusions from the duties upon request of affected 
parties if the steel or aluminum articles are determined not to be 
produced in the United States in a sufficient and reasonably available 
amount or of a satisfactory quality or based upon specific national 
security considerations. The President directed the Secretary to 
promulgate regulations as may be necessary to set forth the procedures 
for an exclusion process.

DATES: 
     Effective date of interim final rule: This interim final 
rule is effective March 19, 2018.
     Comments on this interim final rule: Comments on this 
interim final rule must be received by BIS no later than May 18, 2018.
    See SUPPLEMENTARY INFORMATION section for information on submitting 
exclusion requests and objections thereto.

ADDRESSES: All comments on the interim final must be submitted by one 
of the following methods:
     By the Federal eRulemaking Portal: http://www.regulations.gov. Comments on the interim final rule may be 
submitted to regulations.gov docket number BIS-2018-0006 or to BIS-
2018-0002, or to both docket numbers.
     By email directly to [email protected]. Include 
RIN 0694-AH55 in the subject line.
     By mail or delivery to Regulatory Policy Division, Bureau 
of Industry and Security, U.S. Department of Commerce, Room 2099B, 14th 
Street and Pennsylvania Avenue NW, Washington, DC 20230. Refer to RIN 
0694-AH55.
    All exclusion requests and objections to submitted exclusion 
requests must be in electronic form and submitted to the Federal 
rulemaking portal (http://www.regulations.gov).
    Steel: This interim final rule can be found by searching for its 
regulations.gov docket number, BIS-2018-0006, which is the document 
number being used for the steel exclusion requests and objection 
requests.
    Aluminum: This interim final rule can also be found by searching 
for its regulations.gov docket number, BIS-2018-0002, which is the 
document number being used for the aluminum exclusion requests and 
objection requests.
    All exclusion requests, objections to submitted exclusion requests, 
and comments on the interim final rule will be made available for 
public inspection and copying. All exclusion requests, objections to 
submitted exclusion requests, and comments on the interim final rule 
will be made available for public inspection and copying. Information 
that is subject to government-imposed access and dissemination or other 
specific national security controls, e.g., classified information or 
information that has U.S. Government restrictions on dissemination to 
non-U.S. citizens or other categories of persons that would prohibit 
public disclosure of the information, may not be included in exclusion 
requests or objections to submitted exclusion requests. Additionally, 
personally identifiable information, including social security numbers 
and employer identification numbers, should not be provided. 
Individuals and organizations submitting exclusion requests or an 
objection to submitted exclusion requests are responsible for ensuring 
such information is not included. Individuals and organizations that 
have proprietary or otherwise business confidential information that 
they believe relevant to the Secretary's consideration of the submitted 
exclusion request or objections to submitted exclusion requests should 
so indicate in the appropriate field of the relevant form. Individuals 
and organization must otherwise fully complete the relevant forms.
    Comments on the interim final rule may be submitted to 
regulations.gov docket number BIS-2018-0006 or to BIS-2018-0002, or to 
both docket numbers.
    Exclusion requests and objections to submitted exclusion requests 
must be submitted to the respective document number for steel or 
aluminum.

FOR FURTHER INFORMATION CONTACT: Brad Botwin, Director, Industrial 
Studies, Office of Technology Evaluation, Bureau of Industry and 
Security, U.S. Department of Commerce (202) 482-5642, 
[email protected] regarding steel exclusion requests and (202) 482-
4757, [email protected] regarding aluminum exclusion requests.

SUPPLEMENTARY INFORMATION: 

Background

    On April 19, 2017, the Secretary initiated an investigation under 
section 232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. 
1862), to determine the effects on the national security of imports of 
steel. On April 20, 2017, the President signed a memorandum directing 
the Secretary to proceed expeditiously in conducting his investigation 
and submit a report on his findings to the President. The President 
further directed that if the Secretary finds that steel is being 
imported into the United States in such quantities or under such 
circumstances as to threaten to impair the national security, the 
Secretary shall recommend actions and steps that should be taken to 
adjust steel imports so that they will not threaten to impair the 
national security.
    On April 26, 2017, the Secretary initiated an investigation under 
section

[[Page 12107]]

232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. 1862), to 
determine the effects on the national security of imports of aluminum. 
On April 27, 2017, the President signed a memorandum directing the 
Secretary to proceed expeditiously in conducting his investigation and 
submit a report on his findings to the President. The President further 
directed that if the Secretary finds that aluminum is being imported 
into the United States in such quantities or under such circumstances 
as to threaten to impair the national security, the Secretary shall 
recommend actions and steps that should be taken to adjust aluminum 
imports so that they will not threaten to impair the national security.
    On March 8, 2018, the President issued Proclamations 9704 and 9705 
concurring with the findings of the two reports and determining that 
adjusting imports through the imposition of duties on steel articles 
and aluminum articles is necessary so that imports of steel and 
aluminum will no longer threaten to impair the national security. The 
Key Findings of the Steel and Aluminum Reports, Recommendations of the 
Steel and Aluminum Reports, and web links to the January 11, 2018 Steel 
Report, and the January 17, 2018 Aluminum Report are available on the 
Department of Commerce website: https://www.commerce.gov/news/press-releases/2018/02/secretary-ross-releases-steel-and-aluminum-232-reports-coordination.
    The Proclamations also authorized the Secretary, in consultation 
with the Secretary of Defense, the Secretary of the Treasury, the 
Secretary of State, the United States Trade Representative, the 
Assistant to the President for Economic Policy, the Assistant to the 
President for National Security Affairs, and other senior executive 
branch officials as appropriate, to grant exclusions from the duties 
for domestic parties affected by the duties, if the Secretary 
determines the steel or aluminum article for which the exclusion is 
requested is not produced in the United States in a sufficient and 
reasonably available amount or of a satisfactory quality or should be 
excluded based upon specific national security considerations. The 
President directed the Secretary to promulgate regulations as may be 
necessary to implement an exclusion process.
    This interim final rule amends the National Security Industrial 
Base Regulations (15 CFR parts 700-705) to add two new supplements to 
part 705 which set forth the requirements and process for how parties 
in the United States may submit requests for exclusions from the 
remedies instituted by the President in the Proclamations (``exclusion 
requests''). The new supplements also set forth the requirements and 
process for how parties in the United States may submit objections to 
the granting of exclusion requests.
    Only individuals or organizations using steel articles identified 
in Proclamation 9705 in business activities (e.g., construction, 
manufacturing, or supplying steel to users) in the United States may 
submit exclusion requests with respect to that Proclamation. This 
limitation recognizes the close relation of the economic welfare of the 
Nation to our national security by affording those who contribute to 
that economic welfare through business activities in the United States 
the opportunity to submit exclusion requests based on particular 
economic and national security considerations. Allowing individuals or 
organizations not engaged in business activities in the United States 
to seek exclusion requests could undermine the adjustment of imports 
that the President determined was necessary to address the threat to 
national security posed by the current import of steel articles. Any 
individual or organization in the United States may file objections to 
steel exclusion requests, but the Commerce Department will only 
consider information directly related to the submitted exclusion 
request that is the subject of the objection.
    Only individuals or organizations using aluminum articles 
identified in Proclamation 9704 in business activities (e.g., 
construction, manufacturing, or supplying aluminum to users) in the 
United States may submit exclusion requests. This limitation recognizes 
the close relation of the economic welfare of the Nation to our 
national security by affording those who contribute to that economic 
welfare through business activities in the United States the 
opportunity to submit exclusion requests based on particular economic 
and national security considerations. Allowing individuals or 
organizations not engaged in business activities in the United States 
to seek exclusion requests could undermine the adjustment of imports 
that the President determined was necessary to address the threat to 
national security posed by the current import of aluminum articles. Any 
individual or organization in the United States may file objections to 
exclusion requests, but the Commerce Department will only consider 
information directly related to the submitted exclusion request that is 
the subject of the objection.
    Approved exclusions will be made on a product basis and will be 
limited to the individual or organization that submitted the specific 
exclusion request, unless Commerce approves a broader application of 
the product based exclusion request to apply to additional importers.
    Other individuals or organizations that wish to submit an exclusion 
request for a steel or aluminum product already approved for exclusion 
may submit an exclusion request under the two new supplements. Such 
follow-on requesters of exclusion requests are not required to 
reference a previously approved exclusion, but Commerce may take that 
into account when reviewing a subsequent exclusion request.
    In addition, individuals and organizations will not be precluded 
from submitting a request for exclusion of a product where a previous 
exclusion request for the same product had been denied or is no longer 
valid. For example, it might be that the first exclusion request was 
inadequate to demonstrate the criteria were met for approving that 
exclusion request. The later requester should, however, submit new or 
different information in an attempt to meet the criteria for approving 
an exclusion request for that product.

Addition of New Supplements

    This interim final rule amends part 705 (Effects of Imported 
Articles on the National Security) by adding Supplement No. 1--
Requirements for Submissions Requesting Exclusions from the Remedies 
Instituted in Presidential Proclamation 9705 of March 8, 2018 Adjusting 
Imports of Steel into the United States. This interim final rule also 
amends part 705 by adding Supplement No. 2--Requirements for 
Submissions Requesting Exclusions from the Remedies Instituted in 
Presidential Proclamation 9704 of March 8, 2018 Adjusting Imports of 
Aluminum into the United States. The two new supplements specify the 
requirements and process for how parties may submit exclusion requests. 
The new supplements also specify the requirements and process for how 
parties may submit objections to exclusion requests.
    The two new supplements follow the same structure, but have 
different criteria based on the differences between the steel and 
aluminum industries.
    These new supplements consist of introductory text that describe 
the Section 232 steel or aluminum Proclamation issued by the President 
imposing duties on the imports of steel articles and aluminum articles.

[[Page 12108]]

Paragraph (a)(Scope) defines the scope of the supplement.
    Paragraph (b)(Required forms) identifies the forms that must be 
used to submit an exclusion request or an objection to an exclusion 
request pursuant to each new supplement. Paragraph (b) also describes 
the requirements to provide the requested information on the applicable 
form in order to submit an exclusion request or an objection to a 
submitted exclusion request. Paragraph (b)(3)(Public disclosure) 
specifies that information included in exclusion requests and 
objections to submitted exclusion requests will be subject to public 
disclosure. Paragraph (b)(3) also specifies that personally 
identifiable information, including social security numbers and 
employer identification numbers, should not be provided. Information 
that is subject to government-imposed access and dissemination or other 
specific national security controls, e.g., classified information or 
information that has U.S. Government restrictions on dissemination to 
non-U.S. citizens or other categories of persons that would prohibit 
public disclosure of the information, may not be included in exclusion 
requests or objections to submitted exclusion requests. Individuals and 
organizations that have proprietary or otherwise business confidential 
information that they believe relevant to the Secretary's consideration 
of the submitted exclusion request or objections to submitted exclusion 
requests should so indicate in the appropriate field of the relevant 
form. Individuals and organization must otherwise fully complete the 
relevant forms.
    The criteria in paragraph (b) of each supplement are slightly 
different to make the paragraph specific to steel in Supplement No. 1 
and specific to aluminum in Supplement No. 2; otherwise, paragraph (b) 
follows the same structure in the two new supplements. The 
regulations.gov docket number is different for Supplement No. 1 and 
Supplement No. 2, as is the BIS website address where copies of the 
respective forms may be located.
    Paragraph (c)(Exclusion requests) describes additional requirements 
for submitting exclusion requests. Paragraphs (c)(1) to (4) specify 
which individuals or organizations may submit exclusion requests, how 
exclusion requests must be identified and submitted in regulations.gov, 
and the time limit for submitting exclusion requests. All exclusion 
requests must be in electronic form, but may be submitted at any time. 
Paragraph (c)(5) specifies the substance that must be addressed in an 
exclusion request. The criteria in paragraph (c) of each supplement are 
slightly different to make the paragraphs specific to steel in 
Supplement No. 1 and specific to aluminum in Supplement No. 2, but 
otherwise follow the same structure in the two new supplements.
    Paragraph (d)(Objections to submitted exclusion requests) describes 
additional requirements for submitting objections to submitted 
exclusion requests. Paragraphs (d)(1) to (3) specify how objections 
must be identified and submitted in regulations.gov and the time limit 
for submitting objections to submitted exclusion requests. All 
objections to the granting of an exclusion request must be in 
electronic form and submitted no later than 30 days after the related 
exclusion request is posted. Paragraph (d)(4) specifies the substance 
that must be addressed in an objection. The criteria in paragraph (d) 
of each supplement are slightly different to make the paragraphs 
specific to steel in Supplement No. 1 and specific to aluminum in 
Supplement No. 2, but otherwise follow the same structure in the two 
new supplements.
    Paragraph (e)(Limitations on the size of submissions) applies to 
exclusion requests and objections to submitted exclusion requests. 
Paragraph (e) imposes a page limit on any exclusion request or 
objection to a submitted exclusion request. The respective forms are 
not counted for determining the page limitation.
    Paragraph (f)(Disposition of exclusion requests and objections to 
submitted exclusion requests), includes a paragraph (f)(1) to specify 
what happens to exclusion requests and objections to submitted 
exclusion requests that do not satisfy all of the requirements in the 
supplement. Paragraph (f)(2) describes how BIS will respond to complete 
submissions for exclusion requests and objections to submitted 
exclusion requests. Paragraph (f)(2) also states that the BIS response 
to an exclusion request will also be responsive to any objection(s) for 
that submitted exclusion request. BIS will have a single response to 
each exclusion request that will be posted in regulations.gov. This 
single BIS response will also take into account any objection(s) to the 
submitted exclusion request.
    Paragraph (g)(For further information) will identify the point of 
contact for further questions on the two new supplements.

Relationship Between Country-Based Exemptions Specified in the 
Presidential Proclamations, and the Product-Based Exclusion and 
Objection Process Included in This Rule

    The process described above for the two new supplements is separate 
and apart from the process by which countries may seek exemptions from 
the duties imposed by the President. The process established in this 
interim final rule is limited to the issuance of product-based 
exclusions as authorized by the President. Consistent with the 
President's instructions, the criteria in the forms and supplements are 
primarily focused on the availability of the product in the United 
States. The Secretary will consider information about supply in other 
countries to the extent relevant to determining whether specific 
national security considerations warrant an exclusion. Commenters on 
this interim final rule may submit comments regarding how and whether 
or not the country of origin of a proposed product should be considered 
by Commerce as part of the process for reviewing product-based 
exclusion requests.

Rulemaking Requirements

    1. Executive Orders 13563 and 12866 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, of reducing costs, of harmonizing rules, and of promoting 
flexibility. This rule has been determined to be a ``significant 
regulatory action,'' although not economically significant, under 
section 3(f) of Executive Order 12866. However, as stated under Section 
4 of Presidential Proclamation 9704 and Section 4 of Proclamation 9705 
of March 8, 2018, this rule is exempt from Executive Order 13771 (82 FR 
9339, February 3, 2017).
    2. The Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) 
(PRA) provides that an agency generally cannot conduct or sponsor a 
collection of information, and no person is required to respond to nor 
be subject to a penalty for failure to comply with a collection of 
information, unless that collection has obtained Office of Management 
and Budget (OMB) approval and displays a currently valid OMB Control 
Number.

[[Page 12109]]

    The Commerce Department requested and OMB authorized emergency 
processing of two information collections involved in this rule, 
consistent with 5 CFR 1320.13. The Presidential Proclamations 
authorized the Secretary of Commerce, in consultation with the 
Secretary of Defense, the Secretary of the Treasury, the Secretary of 
State, the United States Trade Representative, the Assistant to the 
President for Economic Policy, the Assistant to the President for 
National Security Affairs, and other senior Executive Branch officials 
as appropriate, to grant exclusions for the import of goods not 
currently available in the United States in a sufficient quantity or 
satisfactory quality, or for other specific national security reasons. 
He further directed the Secretary to establish the process for 
submitting and granting these requests for exclusions within 10 days, 
and this interim final rule fulfills that direction. The immediate 
implementation of an effective exclusion request process, consistent 
with the intent of the Presidential Proclamations, also requires 
creating a process to allow any individual or organization in the 
United States to submit objections to submitted exclusion requests. The 
Department has determined the following conditions have been met:
    a. The collection of information is needed prior to the expiration 
of time periods normally associated with a routine submission for 
review under the provisions of the Paperwork Reduction Act in view of 
the President's proclamations issued on March 8, 2018, for the 
Presidential Proclamation on Adjusting Imports of Steel into the United 
States, https://www.whitehouse.gov/presidential-actions/presidential-proclamation-adjusting-imports-steel-united-states/, and for the 
Presidential Proclamation on Adjusting Imports of Aluminum into the 
United States, https://www.whitehouse.gov/presidential-actions/presidential-proclamation-adjusting-imports-aluminum-united-states/.
    b. The collection of information is essential to the mission of the 
Department, in particular to the adjudication of exclusion requests and 
objections to exclusions requests.
    c. The use of normal clearance procedures would prevent the 
collection of information of exclusion requests and objections to 
exclusion requests, for national security purposes, as discussed under 
section 232 of the Trade Expansion Act of 1962 as amended and the 
Presidential Proclamations issued on March 8, 2018.
    Commerce Department intends to provide separate 60-day notice in 
the Federal Register requesting public comment on the information 
collections contained within this rule.
    Agency: Commerce Department.
    Type of Information Collection: New Collection.
    Title of the Collection: Procedures for Submitting Requests for 
Exclusions from the Remedies Instituted by the President in the 
Presidential Proclamations 9705 and 9704 of March 8, 2018 Adjusting 
Imports of Steel into the United States and Adjusting Imports of 
Aluminum into the United States.
    Affected Public: Private Sector--Businesses.
    Total Estimated Number of Respondents: [4,500].
    Average Responses per Year: [1].
    Total Estimated Number of Responses: [4,500].
    Average Time per Response: 4 hours.
    Total Annual Time Burden: [18,000].
    Type of Information Collection: [New Collection].
    OMB Control Number: [0694-0139].
    Title of the Collection: Objection Filing to Posted Section 232 
Exclusion Request: Steel; and Objection Filing to Posted Section 232 
Exclusion Request: Aluminum, respectively.
    Affected Public: Private Sector--Businesses.
    Total Estimated Number of Respondents: [1,500].
    Average Responses per Year: [1].
    Total Estimated Number of Responses: [1,500].
    Average Time per Response: [4].
    Total Annual Time Burden: [6,000].
    Type of Information Collection: [New Collection].
    OMB Control Number: [0694-0138].
    3. This rule does not contain policies with Federalism implications 
as that term is defined in Executive Order 13132.
    4. The provisions of the Administrative Procedure Act (5 U.S.C. 
553) requiring notice of proposed rulemaking, the opportunity for 
public comment, and a delay in effective date are inapplicable because 
this regulation involves a military or foreign affairs function of the 
United States. (See 5 U.S.C. 553(a)(1)). As explained in the reports 
submitted by the Secretary to the President, steel and aluminum are 
being imported into the United States in such quantities or under such 
circumstances as to threaten to impair the national security of the 
United States and therefore the President is implementing these 
remedial actions (as described Proclamations 9704 and 9705 of March 8, 
2018) to protect U.S. national security interests. That implementation 
includes the creation of a process by which affected domestic parties 
can obtain exclusion requests ``based upon specific national security 
considerations.''
    In addition, the Department finds that there is good cause under 5 
U.S.C. 553(b)(B) to waive the provisions of the Administrative 
Procedure Act requiring prior notice and the opportunity for public 
comment and under 5 U.S.C. 553(d)(3) to waive the delay in effective 
date because such delays would be either impracticable or contrary to 
the public interest. In order to ensure that the actions taken to 
adjust imports do not undermine users of steel or aluminum that are 
subject to the remedial actions instituted by the Proclamations and are 
critical to protecting the national security of the United States, the 
Presidential Proclamations authorized the Secretary of Commerce, in 
consultation with the Secretary of Defense, the Secretary of the 
Treasury, the Secretary of State, the United States Trade 
Representative, the Assistant to the President for Economic Policy, the 
Assistant to the President for National Security Affairs, and other 
senior Executive Branch officials as appropriate, to grant exclusions 
for the import of goods not currently available in the United States in 
a sufficient quantity or satisfactory quality, or for other specific 
national security reasons. He further directed the Secretary to, within 
10 days, issue procedures for submitting and granting these requests 
for exclusions and this interim final rule fulfills that direction. The 
immediate implementation of an effective exclusion request process, 
consistent with the intent of the Presidential Proclamations, also 
requires creating a process to allow any individual or organization in 
the United States to submit objections to submitted exclusion requests.
    If this interim final rule was delayed to allow for public comment 
or for thirty days before companies in the U.S. were allowed to request 
exclusions from the remedies instituted by the President, those 
entities could face significant economic hardship that could 
potentially create a detrimental effect on the general U.S. economy. 
Likewise, our national security could be harmed if particular national 
security considerations justify an exclusion, but the process for 
obtaining such exclusion were delayed.
    Because a notice of proposed rulemaking and an opportunity for 
prior public comment are not required for this rule by 5 U.S.C. 553, or 
by any other law, the analytical requirements of the Regulatory 
Flexibility Act, 5 U.S.C. 601 et seq., are not applicable. Accordingly,

[[Page 12110]]

no regulatory flexibility analysis is required and none has been 
prepared.
    Pursuant to Proclamations 9704 and 9705 of March 8, 2018, the 
establishment of procedures for an exclusion process under each 
Proclamation shall be published in the Federal Register and are exempt 
from Executive Order 13771.

List of Subjects in 15 CFR Part 705

    Administrative practice and procedure, Business and industry, 
Classified information, Confidential business information, Imports, 
Investigations, National Security.

    For the reasons set forth in the preamble, part 705 of Subchapter 
A, National Security Industrial Base Regulations, of 15 CFR chapter 
VII, is amended as follows:

PART 705--[AMENDED]

0
1. The authority citation for part 705 is revised to read as follows:

    Authority:  Section 232 of the Trade Expansion Act of 1962, as 
amended (19 U.S.C. 1862) and Reorg. Plan No. 3 of 1979 (44 FR 69273, 
December 3, 1979).

0
2. Part 705 is amended by adding Supplement No. 1 and Supplement No. 2 
to read as follows:

Supplement No. 1 to Part 705--Requirements for Submissions Requesting 
Exclusions From the Remedies Instituted in Presidential Proclamation 
9705 of March 8, 2018 Adjusting Imports of Steel Articles Into the 
United States

    On March 8, 2018, the President issued Proclamation 9705 
concurring with the findings of the January 11, 2018 report of the 
Secretary of Commerce on the effects of imports of steel mill 
articles (steel articles) identified in Proclamation 9705 
(``steel'') on the national security and determining that adjusting 
steel imports through the imposition of duties is necessary so that 
imports of steel will no longer threaten to impair the national 
security. The Proclamation also authorized the Secretary of 
Commerce, in consultation with the Secretary of Defense, the 
Secretary of the Treasury, the Secretary of State, the United States 
Trade Representative, the Assistant to the President for Economic 
Policy, the Assistant to the President for National Security 
Affairs, and other senior Executive Branch officials as appropriate, 
to grant exclusions from the duties for parties in the United States 
affected by the duties if the steel articles are determined not to 
be produced in the United States in a sufficient and reasonably 
available amount or of a satisfactory quality or based upon specific 
national security considerations.
    (a) Scope. This supplement specifies the requirements and 
process for how parties in the United States may submit requests for 
exclusions from the remedies instituted by the President. This 
supplement also specifies the requirements and process for how 
parties in the United States may submit objections to submitted 
exclusion requests. This supplement identifies the time periods for 
which such exclusion requests and objections to submitted exclusion 
requests may be submitted, the method for submitting such requests, 
and the information that must be included in exclusion requests and 
objections to submitted exclusion requests.
    (b) Required forms. BIS has posted two separate fillable forms 
on the BIS website at https://www.bis.doc.gov/index.php/232-steel 
and on the Federal rulemaking portal (http://www.regulations.gov) 
that are to be used by organizations for submitting exclusion 
requests, and objections to exclusion requests described in this 
supplement. On regulations.gov, you can find these two forms by 
searching for its regulations.gov docket number, which is BIS-2018-
0006. The U.S. Department of Commerce requires requesters and 
objectors to use the appropriate form as specified under paragraphs 
(b)(1) and (b)(2) of this supplement for submitting exclusion 
requests and objections to submitted exclusion requests.
    (1) Form required for submitting exclusion requests. The name of 
the form used for submitting exclusion requests is Request for 
Exclusion from Remedies Resulting from the Section 232 National 
Security Investigation of Imports of Steel.
    (2) Form required for submitting objections to submitted 
exclusion requests. The name of the form used for submitting 
objections to submitted exclusion requests is Response Form for 
Objections to Posted Section 232 Exclusion Requests--Steel.
    (3) Public disclosure. Information submitted in exclusion 
requests and objections to submitted exclusion requests will be 
subject to public review and made available for public inspection 
and copying. Personally identifiable information, including social 
security numbers and employer identification numbers, should not be 
provided. Information that is subject to government-imposed access 
and dissemination or other specific national security controls, 
e.g., classified information or information that has U.S. Government 
restrictions on dissemination to non-U.S. citizens or other 
categories of persons that would prohibit public disclosure of the 
information, may not be included in exclusion requests or objections 
to submitted exclusion requests. Individuals and organizations that 
have proprietary or otherwise business confidential information that 
they believe relevant to the Secretary's consideration of the 
submitted exclusion request or objections to submitted exclusion 
requests should so indicate in the appropriate field of the relevant 
form. Individuals and organization must otherwise fully complete the 
relevant forms.

    Note to Paragraph (b) for Submission of Supporting Documents 
(Attachments): Supporting attachments must be submitted to 
regulations.gov as PDF documents.

    (c) Exclusion requests.
    (1) Who may submit an exclusion request? Only individuals or 
organizations using steel in business activities (e.g., 
construction, manufacturing, or supplying steel product to users) in 
the United States may submit exclusion requests.
    (2) Identification of exclusion requests. The file name of the 
submission must include the submitter's name, date of submission, 
and the 10-digit Harmonized Tariff Schedule of the United States 
(HTSUS) statistical reporting number. For example, if Company A is 
submitting an exclusion request on June 1, 2018, the file should be 
named as follows: ``Company A exclusion request of 6-1-18 for 
7207200045 HTSUS.'' Separate exclusion requests must be submitted 
for steel products with chemistry by percentage breakdown by weight, 
metallurgical properties, surface quality (e.g., galvanized, coated, 
etc.), and distinct critical dimensions (e.g., 0.25-inch rebar, 0.5-
inch rebar; 0.5-inch sheet, or 0.75 sheet) covered by a common HTSUS 
subheading. Separate exclusion requests must also be submitted for 
products falling in more than one 10-digit HTSUS statistical 
reporting number. The Commerce Department will approve exclusions on 
a product basis and the approvals will be limited to the individual 
or organization that submitted the specific exclusion request, 
unless Commerce approves a broader application of the product-based 
exclusion request to apply to additional importers. Other 
individuals or organizations that wish to submit an exclusion 
request for a steel or aluminum product that has already been the 
subject of an approved exclusion request may submit an exclusion 
under this supplement. These additional exclusion requests by other 
individuals or organizations in the United States are not required 
to reference the previously approved exclusion, but Commerce may 
take that into account when reviewing a subsequent exclusion 
request. Individuals and organizations in the United States will not 
be precluded from submitting a request for exclusion of a product 
even though an exclusion request submitted for that product by 
another requester or that requester was denied or is no longer 
valid.
    (3) Where to submit exclusion requests? All exclusion requests 
must be in electronic form and submitted to the Federal rulemaking 
portal (http://www.regulations.gov). You can find the interim final 
rule that added this supplement by searching for the regulations.gov 
docket number, which is BIS-2018-0006.
    (4) No time limit for submitting exclusion requests. All 
exclusion requests must be in electronic form and submitted to the 
Federal rulemaking portal (http://www.regulations.gov), but may be 
submitted at any time.
    (5) Substance of exclusion requests. An exclusion request must 
specify the business activities in the United States within which 
the requester is engaged that authorize the individual or 
organization to submit an exclusion request. The request should 
clearly identify, and provide support for, the basis upon which the 
exclusion is sought. An exclusion will only be granted if an article 
is not produced in the United States in a sufficient and reasonably 
available amount, is not produced in the United States in a 
satisfactory quality, or for a specific national security 
consideration.

[[Page 12111]]

    (d) Objections to submitted exclusion requests.
    (1) Who may submit an objection to a submitted exclusion 
request? Any individual or organization in the United States may 
file objections to steel exclusion requests, but the Commerce 
Department will only consider information directly related to the 
submitted exclusion request that is the subject of the objection.
    (2) Identification of objections to submitted exclusion 
requests. When submitting an objection to a submitted exclusion 
request, the objector must locate the exclusion request and submit a 
comment on the submitted exclusion request in regulations.gov. The 
file name of the objection submission should include the objector's 
name, date of submission of the objection, name of the organization 
that submitted the exclusion request, and date the exclusion request 
was posted. For example, if Company B is submitting on April 1, 
2018, an objection to an exclusion request submitted on March 15, 
2018 by Company A, the file should be named: ``Company B 
objection_4-1-18 for Company A exclusion request_3-15-18.'' In 
regulations.gov once an objection to a submitted exclusion request 
is posted, the objection will appear as a document under the related 
exclusion request.
    (3) Time limit for submitting objections to submitted exclusions 
requests. All objections to submitted exclusion requests must be in 
electronic form and submitted to the Federal rulemaking portal 
(http://www.regulations.gov) no later than 30 days after the related 
exclusion request is posted.
    (4) Substance of objections to submitted exclusion requests. The 
objection should clearly identify, and provide support for, its 
opposition to the proposed exclusion, with reference to the specific 
basis identified in, and the support provided for, the submitted 
exclusion request.
    (e) Limitations on the size of submissions. Each exclusion 
request and each objection to a submitted exclusion request is to be 
limited to a maximum of 25 pages, respectively, inclusive of all 
exhibits and attachments, but exclusive of the respective forms. Any 
further information required will be determined and requested solely 
by the U.S. Department of Commerce.
    (f) Disposition of exclusion requests and objections to 
submitted exclusion requests.
    (1) Disposition of incomplete submission.
    (A) Exclusion requests that do not satisfy the reporting 
requirements specified in paragraph (b) of this supplement will be 
denied.
    (B) Objection filings that do not satisfy the specified 
reporting requirements will not be considered.
    (2) Disposition of complete submissions. The U.S. Department of 
Commerce will post responses in regulations.gov to each exclusion 
request submitted under docket number BIS-2018-0006. The BIS 
response to an exclusion request will also be responsive to any of 
the objection request(s) for that submitted exclusion request 
submitted under docket number BIS-2018-0006. Approved exclusions 
will be effective five business days after publication of the 
responses in regulations.gov. Starting on that date, the requester 
will be able to rely upon the approved exclusion request in 
calculating the duties owed on the product imported in accordance 
with the terms listed in the approved exclusion request. Exclusions 
will generally be approved for one year.
    (3) Review period and implementation of any needed conforming 
changes. The review period normally will not exceed 90 days, 
including adjudication of objections submitted on exclusion 
requests. Other agencies of the U.S. Government, such as the United 
States International Trade Commission (USITC) and U.S. Customs and 
Border Protection (CBP), will take any additional steps needed to 
implement an approved exclusion request. The U.S. Department of 
Commerce will provide CBP with information that will identify each 
approved exclusion request pursuant to this supplement. Individuals 
or organizations whose exclusion requests are approved must report 
information concerning any applicable exclusion in such form as CBP 
may require. These exclusion identifiers will be used by importers 
in the data collected by CBP in order for CBP to determine whether 
an import is within the scope of an approved exclusion request.
    (g) For further information. If you have questions on this 
supplement, you may contact Director, Industrial Studies, Office of 
Technology Evaluation, Bureau of Industry and Security, U.S. 
Department of Commerce, (202) 482-5642, [email protected] 
regarding steel exclusion requests and (202) 482-4757, 
[email protected] regarding aluminum exclusion requests.

Supplement No. 2 to Part 705--Requirements for Submissions Requesting 
Exclusions From the Remedies Instituted in Presidential Proclamation 
9704 of March 8, 2018 to Adjusting Imports of Aluminum Into the United 
States

    On March 8, 2018, the President issued Proclamation 9704 
concurring with the findings of the January 17, 2018 report of the 
Secretary of Commerce on the investigation into the effects of 
imports of aluminum identified in Proclamation 9704 (``aluminum'') 
on the national security and determining that adjusting aluminum 
imports through the imposition of duties is necessary so that 
imports of aluminum will no longer threaten to impair the national 
security. The Proclamation also authorized the Secretary of 
Commerce, in consultation with the Secretary of Defense, the 
Secretary of the Treasury, the Secretary of State, the United States 
Trade Representative, the Assistant to the President for Economic 
Policy, the Assistant to the President for National Security 
Affairs, and other senior Executive Branch officials as appropriate, 
to grant exclusions from the duties for parties in the United States 
affected by the duties if the aluminum articles are determined not 
to be produced in the United States in a sufficient and reasonably 
available amount or of a satisfactory quality or based upon specific 
national security considerations.
    (a) Scope. This supplement specifies the requirements and 
process for how parties in the United States may submit requests for 
exclusions from the remedies instituted by the President. This 
supplement also specifies the requirements and process for how 
parties in the United States may submit objections to submitted 
exclusion requests. This supplement identifies the time periods for 
which such exclusion requests and objections to submitted exclusion 
requests may be submitted, the method for submitting such requests, 
and the information that must be included in exclusion requests and 
objections to submitted exclusion requests.
    (b) Required forms. BIS has posted two separate fillable forms 
on the BIS website at https://www.bis.doc.gov/index.php/232-aluminum 
and on the Federal rulemaking portal (http://www.regulations.gov) 
that are to be used by organizations for submitting exclusion 
requests, and objections to exclusion requests described in this 
supplement. On regulations.gov, you can find these two forms by 
searching for its regulations.gov docket number, which is BIS-2018-
0002. The U.S. Department of Commerce requires requesters and 
objectors to use the appropriate form as specified under paragraphs 
(b)(1) and (b)(2) for submitting exclusion requests and objections 
to submitted exclusion requests.
    (1) Form required for submitting exclusion requests. The name of 
the form used for submitting exclusion requests is Request for 
Exclusion from Remedies Resulting from the Section 232 National 
Security Investigation of Imports of Aluminum.
    (2) Form required for submitting objections to submitted 
exclusion requests. The name of the form used for submitting 
objections to submitted exclusion requests is Response Form for 
Objections to Posted Section 232 Exclusion Requests--Aluminum.
    (3) Public disclosure. Information submitted in exclusion 
requests and objections to submitted exclusion requests will be 
subject to public review and made available for public inspection 
and copying. Personally identifiable information, including social 
security numbers and employer identification numbers, should not be 
provided. Information that is subject to government-imposed access 
and dissemination or other specific national security controls, 
e.g., classified information or information that has U.S. Government 
restrictions on dissemination to non-U.S. citizens or other 
categories of persons that would prohibit public disclosure of the 
information, may not be included in exclusion requests or objections 
to submitted exclusion requests. Individuals and organizations that 
have proprietary or otherwise business confidential information that 
they believe relevant to the Secretary's consideration of the 
submitted exclusion request or objections to submitted exclusion 
requests should so indicate in the appropriate field of the relevant 
form. Individuals and organization must otherwise fully complete the 
relevant forms.

    Note to Paragraph (b) for Submission of Supporting Documents 
(Attachments): Supporting attachments must be submitted to 
regulations.gov as PDF documents.

    (c) Exclusion requests.
    (1) Who may submit an exclusion request? Only individuals or 
organizations using

[[Page 12112]]

aluminum in business activities (e.g., construction, manufacturing, 
or supplying aluminum product to users) in the United States may 
submit exclusion requests.
    (2) Identification of exclusion requests. The file name of the 
submission must include the submitter's name, date of submission, 
and the 10-digit Harmonized Tariff Schedule of the United States 
(HTSUS) statistical reporting number. For example, if Company A is 
submitting an exclusion request on June 1, 2018, the file should be 
named as follows: ``Company A exclusion request of 6-1-18 for 
7604293050 HTSUS.'' Separate exclusion requests must be submitted 
for aluminum products with distinct critical dimensions (e.g., 10 mm 
diameter bar, 15 mm bar, or 20 mm bar) covered by a common HTSUS 
statistical reporting number. Separate exclusion requests must also 
be submitted for products falling in more than one 10-digit HTSUS 
statistical reporting number. The Commerce Department will approve 
exclusions on a product basis and the approvals will be limited to 
the individual or organization that submitted the specific exclusion 
request, unless Commerce approves a broader application of the 
product-based exclusion request to apply to additional importers. 
Other individuals or organizations that wish to submit an exclusion 
request for a steel or aluminum product that has already been the 
subject of an approved exclusion request may submit an exclusion 
under this supplement. These additional exclusion requests by other 
individuals or organizations in the United States are not required 
to reference the previously approved exclusion, but Commerce may 
take that into account when reviewing a subsequent exclusion 
request. Individuals and organizations in the United States will not 
be precluded from submitting a request for exclusion of a product 
even though an exclusion request submitted for that product by 
another requester or that requester was denied or is no longer 
valid.
    (3) Where to submit exclusion requests? All exclusion requests 
must be in electronic form and submitted to the Federal rulemaking 
portal (http://www.regulations.gov). You can find the interim final 
rule that added this supplement by searching for the regulations.gov 
docket number, which is BIS-2018-0002.
    (4) No time limit for submitting exclusion requests. All 
exclusion requests must be in electronic form and submitted to the 
Federal rulemaking portal (http://www.regulations.gov), but may be 
submitted at any time.
    (5) Substance of exclusion requests. An exclusion request must 
specify the business activities in the United States within which 
the requester is engaged that authorize the individual or 
organization to submit an exclusion request. The request should 
clearly identify, and provide support for, the basis upon which the 
exclusion is sought. An exclusion will only be granted if an article 
is not produced in the United States in a sufficient and reasonably 
available amount, is not produced in the United States in a 
satisfactory quality, or for a specific national security 
consideration.
    (d) Objections to submitted exclusion requests.
    (1) Who may submit an objection to a submitted exclusion 
request? Any individual or organization in the United States may 
file objections to steel exclusion requests, but the Commerce 
Department will only consider information directly related to the 
submitted exclusion request that is the subject of the objection.
    (2) Identification of objections to submitted exclusion 
requests. When submitting an objection to a submitted exclusion 
request, the objector must locate the exclusion request and submit a 
comment on the submitted exclusion request in regulations.gov. The 
file name of the objection submission should include the objector's 
name, date of submission of the objection, name of the organization 
that submitted the exclusion request, and date the exclusion request 
was posted. For example, if Company X is submitting on April 1, 
2018, an objection to an exclusion request submitted on March 15, 
2018 by Company A, the file should be named: ``Company X 
objection_4-1-18 for Company A exclusion request_3-15-18.'' In 
regulations.gov once an objection to a submitted exclusion request 
is posted, the objection will appear as a document under the related 
exclusion request.
    (3) Time limit for submitting objections to submitted exclusions 
requests. All objections to submitted exclusion requests must be in 
electronic form and submitted to the Federal rulemaking portal 
(http://www.regulations.gov) no later than 30 days after the related 
exclusion request is posted.
    (4) Substance of objections to submitted exclusion requests. The 
objection should clearly identify, and provide support for, its 
opposition to the proposed exclusion, with reference to the specific 
basis identified in, and the support provided for, the submitted 
exclusion request.
    (e) Limitations on the size of submissions. Each exclusion 
request and each objection to a submitted exclusion request is to be 
limited to a maximum of 25 pages, respectively, inclusive of all 
exhibits and attachments, but exclusive of the respective forms. Any 
further information required will be determined and requested solely 
by the U.S. Department of Commerce.
    (f) Disposition of exclusion requests and objections to 
submitted exclusion requests.
    (1) Disposition of incomplete submission.
    (A) Exclusion requests that do not satisfy the reporting 
requirements specified in paragraph (b) of this supplement will be 
denied.
    (B) Objection filings that do not satisfy the reporting 
requirements specified in paragraph (b) will not be considered.
    (2) Disposition of complete submissions. The U.S. Department of 
Commerce will post responses in regulations.gov to each exclusion 
request submitted under docket number BIS-2018-0002. The BIS 
response to an exclusion request will also be responsive to any of 
the objection request(s) for that submitted exclusion request 
submitted under docket number BIS-2018-0002. Approved exclusions 
will be effective five business days after publication of the 
responses in regulations.gov. Starting on that date, importers will 
be considered to be excluded. Exclusions will generally be approved 
for one year.
    (3) Review period and implementation of any needed conforming 
changes. The review period normally will not exceed 90 days, 
including adjudication of objections submitted on exclusion 
requests. Other agencies of the U.S. Government, such as she United 
States International Trade Commission (USITC) and U.S. Customs and 
Border Protection, will take any additional steps needed to 
implement an approved exclusion request. The U.S. Department of 
Commerce will provide CBP with information that will identify each 
approved exclusion request pursuant to this supplement. Importers 
are directed to report information concerning any applicable 
exclusion granted by Commerce in such form as CBP may require. These 
exclusion identifiers will be used by importers in the data 
collected by CBP in order for CBP to determine whether an import is 
within the scope of an approved exclusion request.
    (g) For further information. If you have questions on this 
supplement, you may contact Director, Industrial Studies, Office of 
Technology Evaluation, Bureau of Industry and Security, U.S. 
Department of Commerce, (202) 482-5642, [email protected] 
regarding steel exclusion requests and (202) 482-4757, 
[email protected] regarding aluminum exclusion requests.

Wilbur L. Ross,
Secretary of Commerce.
[FR Doc. 2018-05761 Filed 3-16-18; 4:15 pm]
 BILLING CODE 3510-33-P