[Federal Register Volume 64, Number 204 (Friday, October 22, 1999)]
[Notices]
[Pages 57038-57040]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-27685]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-401-401]
Certain Carbon Steel Products From Sweden: Final Results of
Countervailing Duty Administrative Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of final results of countervailing duty administrative
review.
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SUMMARY: On July 12, 1999, the Department of Commerce (``the
Department'') published in the Federal Register its preliminary results
of administrative review of the countervailing duty order on certain
carbon steel products (``Certain Steel Products'') from Sweden for the
period January 1, 1997 through December 31, 1997. The Department has
now completed this administrative review in accordance with section
751(a) of the Tariff Act of 1930, as amended (``the Act''). For
information on the net subsidy for each reviewed company, and for all
non-reviewed companies, please see the Final Results of Review section
of this notice. We will instruct the U.S. Customs Service (``Customs'')
to assess countervailing duties as detailed in the Final Results of
Review section of this notice.
EFFECTIVE DATE: October 22, 1999.
FOR FURTHER INFORMATION CONTACT: Tipten Troidl or Gayle Longest, Office
of AD/CVD Enforcement VI, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
2786.
SUPPLEMENTARY INFORMATION:
Background
Pursuant to 19 CFR 351.213(b), this review covers only those
producers or exporters of the subject merchandise for which a review
was specifically requested. Accordingly, this review covers SSAB
Svenskt Stal AB (``SSAB''). This review also covers the period January
1, 1997 through December 31, 1997 and seven programs.
We published the preliminary results on July 12, 1999 (64 FR
37507). We invited interested parties to comment on the preliminary
results. We received no comments from any of the parties.
Applicable Statute
Unless otherwise indicated, all citations to the statute are
references to
[[Page 57039]]
the provisions of the Act as amended by the Uruguay Round Agreements
Act (``URAA'') effective January 1, 1995. The Department is conducting
this administrative review in accordance with section 751(a) of the
Act. All citations to the Department's regulations reference 19 CFR
Part 351 (April 1998) unless otherwise indicated. Because the request
for this administrative review was filed before January 1, 1999, the
Department's substantive countervailing duty regulations, which were
published in the Federal Register on November 25, 1998 (63 FR 65348),
do not govern this review.
Scope of the Review
Imports covered by this review are shipments of certain carbon
steel products from Sweden. These products include cold-rolled carbon
steel, flat-rolled products, whether or not corrugated, or crimped:
whether or not pickled, not cut, not pressed and not stamped to non-
rectangular shape; not coated or pleated with metal and not clad; over
12 inches in width and of any thickness; whether or not in coils.
During the review period, such merchandise was classifiable under the
Harmonized Tariff Schedule (``HTS'') item numbers 7209.11.0000,
7209.12.0000, 7209.13.0000, 7209.21.0000, 7209.22.0000, 7209.23.0000,
7209.24.5000, 7209.31.0000, 7209.32.0000, 7209.33.0000, 7209.34.0000,
7209.41.0000, 7209.43.0000, 7209.44.0000, 7209.90.0000, 7211.30.5000,
7211.41.7000 and 7211.49.5000. The written description remains
dispositive.
Subsidies Value Information
Privatization and Sale of Assets to Other Companies
SSAB is the only Swedish company that produces and exports the
subject merchandise. SSAB has sold several productive units and the
company was partially privatized in 1987 and in 1989. In 1994, SSAB was
completely privatized by the Government of Sweden. Under the
Department's current practice, to the extent that a portion of the
sales price paid for a privatized company can be reasonably attributed
to prior subsidies, that portion of those subsidies will be
extinguished. Accordingly, in these final results, the Department
continues to apply its repayment methodology in the calculation of
SSAB's net subsidy rate. No comments were filed regarding this issue.
To calculate the benefit provided to SSAB in the POR, where
appropriate, we multiplied the benefit calculated for 1997, adjusted
for sales of productive units, by the ratio representing the amount of
subsidies remaining with SSAB after privatization. We then divided the
results by the company's total sales in 1997.
Allocation Methodology
In the current review, there are no new subsidies. All of the non-
recurring grants under review were provided prior to the POR;
allocation periods for these grants were established during prior
segments of this proceeding. Therefore, for purposes of these final
results, the Department is using the original allocation period
assigned to each grant. See Certain Carbon Steel Products from Sweden;
Final Results of Administrative Review, 66 FR 16549-16550 (April 7,
1997) (``1994 Final Results'').
Analysis of Programs
There were no comments submitted to the Department with respect to
our preliminary results of review; therefore, based upon the responses
to our questionnaire we determine the following:
I. Programs Conferring Subsidies
A. Programs Previously Determined to Confer Subsidies
1. Structural Loans
In the preliminary results we found that this program conferred
countervailable subsidies on the subject merchandise. Our review of the
record has not led us to change any findings or calculations.
Accordingly, the net subsidy for this program is 0.12 percent ad
valorem, which remains unchanged from the preliminary results.
2. Forgiven Reconstruction Loans
In the preliminary results we found that this program conferred
countervailable subsidies on the subject merchandise. Our review of the
record has not led us to change any findings or calculations.
Accordingly, the net subsidy for this program is 0.59 percent ad
valorem, which remains unchanged from the preliminary results.
II. Other Programs Examined
A. Research and Development Loans and Grants
In the preliminary results, we found that the Swedish National
Board for Industrial & Technical Development (``NUTEK'') program
provides loans and grants for R & D purposes to Swedish industries.
Under this program benefits from outstanding loans during the POR would
result in a rate of less than 0.005 percent ad valorem which would have
no impact on the countervailing duty rate. The grants provided did not
exceed 0.5 percent of SSAB's total sales for the year in which they
were received, and were expensed during the year of receipt See Final
Affirmative Countervailing Duty Determination: Stainless Steel Sheet
and Strip in Coils from Italy 64 FR 30624, 30631 (June 8, 1999).
Therefore, it is not necessary to determine if the loans and the grants
under NUTEK are specific. Our review of the record has not led us to
change any findings or calculations. Therefore, our determination for
these programs remains unchanged.
Final Results of Review
In accordance with section 705(c)(1)(B)(i) of the Act, we
calculated an individual subsidy rate for the producer/exporter subject
to this administrative review. For the period January 1, 1997 through
December 31, 1997, we determine the net subsidy for SSAB to be 0.72
percent ad valorem.
We will instruct Customs to assess countervailing duties on entries
of subject merchandise from SSAB during the POR at 0.72 percent ad
valorem. The Department will also instruct Customs to collect a cash
deposit of estimated countervailing duties of 0.72 percent of the
f.o.b. invoice price on all shipments of the subject merchandise from
SSAB entered, or withdrawn from warehouse, for consumption on or after
the date of publication of the final results of this review.
Because the URAA replaced the general rule in favor of a country-
wide rate with a general rule in favor of individual rates for
investigated and reviewed companies, the procedures for establishing
countervailing duty rates, including those for non-reviewed companies,
are now essentially the same as those in antidumping cases, except as
provided for in section 777A(e)(2)(B) of the Act. The requested review
will normally cover only those companies specifically named. See 19 CFR
351.213(b). Pursuant to 19 CFR 351.212(c), for all companies for which
a review was not requested, duties must be assessed at the cash deposit
rate, and cash deposits must continue to be collected at the rate
previously ordered. As such, the countervailing duty cash deposit rate
applicable to a company cannot change, except pursuant to a request and
subsequent review of that company. See Federal-Mogul Corporation and
The Torrington Company v. United States, 822 F.Supp. 782 (CIT 1993) and
Floral Trade Council v. United States, 822 F.Supp. 766 (CIT 1993).
Therefore, the cash deposit rates for all companies except the firm
[[Page 57040]]
covered by this review will be unchanged by the results of this review.
We will instruct Customs to continue to collect cash deposits for
non-reviewed companies at the most recent company-specific or country-
wide rate applicable to the company. Accordingly, the cash deposit
rates that will be applied to non-reviewed companies covered by this
order will be the rate for that company established in the most
recently completed administrative proceeding conducted under the URAA.
If such a review has not been conducted, the rate established in the
most recently completed administrative proceeding pursuant to the
statutory provisions that were in effect prior to the URAA amendments
is applicable. See, Certain Carbon Steel Products from Sweden; Final
Results of Countervailing Duty Administrative Review, 62 FR 16549
(April 7, 1997). These rates shall apply to all non-reviewed companies
until a review of a company assigned these rates is requested. In
addition, for the period January 1, 1997 through December 31, 1997, the
assessment rates applicable to all non-reviewed companies covered by
this order are the cash deposit rates in effect at the time of entry.
This notice serves as a reminder to parties subject to
administrative protective order (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely written
notification of return/destruction of APO materials or conversion to
judicial protective order is hereby requested. Failure to comply with
the regulations and the terms of an APO is a sanctionable violation.
This administrative review and notice are issued and published in
accordance with section 751(a)(1) and 777(i)(1) of the Act (19 U.S.C.
1675(a)(1) and 19 U.S.C. 1677f(i)(1)).
Dated: October 18, 1999.
Robert S. LaRussa,
Assistant Secretary for Import Administration.
[FR Doc. 99-27685 Filed 10-21-99; 8:45 am]
BILLING CODE 3510-DS-P
