[Federal Register Volume 64, Number 229 (Tuesday, November 30, 1999)]
[Notices]
[Pages 66880-66881]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-31098]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-412-810, C-412-811]
Certain Hot-Rolled Lead and Bismuth Carbon Steel Products From
the United Kingdom: Final Results of Changed-Circumstances Antidumping
and Countervailing Duty Administrative Reviews
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of final results of changed-circumstances antidumping
and countervailing duty administrative reviews.
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SUMMARY: On October 5, 1999, the Department of Commerce published a
notice of initiation and preliminary results of changed-circumstances
antidumping and countervailing duty administrative reviews of the
antidumping and countervailing duty orders on hot-rolled lead and
bismuth carbon steel products from the United Kingdom, in which we
preliminarily determined that Niagara LaSalle (UK) Limited is the
successor-in-interest to Glynwed Metals Processing Limited for purposes
of determining antidumping and countervailing duty liability. We are
now affirming our preliminary results.
EFFECTIVE DATE: November 30, 1999.
FOR FURTHER INFORMATION CONTACT: Rebecca Trainor or Kate Johnson
(Antidumping) or Dana Mermelstein (Countervailing), Office of AD/CVD
Enforcement, Import Administration, International Trade Administration,
U.S. Department of Commerce, 14th Street and Constitution Avenue, N.W.,
Washington, D.C. 20230; telephone (202) 482-4007, (202) 482-4929, or
(202) 482-3208, respectively.
SUPPLEMENTARY INFORMATION:
The Applicable Statute
Unless otherwise indicated, all citations to the Tariff Act of
1930, as amended (the Act), are references to the provisions effective
January 1, 1995, the effective date of the amendments made to the Act
by the Uruguay Round Agreements Act (URAA). In addition, unless
otherwise indicated, all citations to the Department of Commerce's (the
Department's) regulations are to the regulations at 19 CFR Part 351
(1998).
Background
On March 22, 1993, the Department published in the Federal Register
the antidumping duty order on certain hot-rolled lead and bismuth
carbon steel products from the United Kingdom (58 FR 15324). Also, on
March 22, 1993, the Department published in the Federal Register the
companion countervailing duty order (58 FR 15327).
On August 18, 1999, Niagara LaSalle (UK) Limited (Niagara)
submitted a letter stating that it is the successor-in-interest to
Glynwed Metals Processing Limited (Glynwed), and requested that the
Department conduct a changed-circumstances review to determine whether
Niagara should receive the same antidumping and countervailing duty
treatment as is accorded Glynwed with respect to the subject
merchandise. Niagara requested that the result of the Department's
changed-circumstances review be retroactive to May 21, 1999, the date
of its acquisition of Glynwed.
On October 5, 1999, we published a notice of initiation and
preliminary results of changed-circumstances antidumping and
countervailing duty administrative reviews (64 FR 53994 ) in which we
preliminarily found that Niagara is the successor-in-interest to
Glynwed for purposes of determining antidumping and countervailing duty
liability. We stated that this finding would be effective as of the
publication date of our final results for the purposes of antidumping
duties, and as of May 21, 1999 for purposes of countervailing duties,
if affirmed in our final results. We received comments from Niagara on
October 15, 1999.
Scope of the Review
The products covered by this review are hot-rolled bars and rods of
nonalloy or other alloy steel, whether or not descaled, containing by
weight 0.03 percent or more of lead or 0.05 percent or more of bismuth,
in coils or cut lengths, and in numerous shapes and sizes. Excluded
from the scope of this review are other alloy steels (as defined by the
Harmonized Tariff Schedule of the United States (HTSUS) Chapter 72,
note 1 (f)), except steels classified as other alloy steels by reason
of containing by weight 0.4 percent or more of lead, or 0.1 percent or
more of bismuth, tellurium, or selenium. Also excluded are semi-
finished steels and flat-rolled products. Most of the products covered
in this review are provided for under subheadings 7213.20.00.00 and
7214.30.00.00 of the HTSUS. Small quantities of these products may also
enter the United States under the following HTSUS subheadings:
7213.31.30.00; 7213.31.60.00; 7213.39.00.30; 7213.39.00.60;
7213.39.00.90; 7213.91.30.00; 7213.91.45.00; 7213.91.60.00; 7213.99.00;
7214.40.00.10, 7214.40.00.30, 7214.40.00.50; 7214.50.00.10;
7214.50.00.30, 7214.50.00.50; 7214.60.00.10; 7214.60.00.30;
7214.60.00.50; 7214.91.00; 7214.99.00; 7228.30.80.00; and
7228.30.80.50. HTSUS subheadings are provided for convenience and
customs purposes. The written description of the scope of this
proceeding is dispositive.
Interested Party Comments
Niagara argues that, while the Department properly recognized that
Niagara's antidumping deposit rate as of May 21, 1999, should be that
of the former Glynwed, the preliminary notice
[[Page 66881]]
fails to apply the correct rate as of that date. Niagara argues that
the Department's determination to apply Glynwed's antidumping duty
deposit rate to Niagara prospectively from the publication date of the
final results, is contrary to the Department's finding that Niagara is
the successor-in-interest to Glynwed as of May 21, 1999, and
inconsistent with the retroactive application of Glynwed's
countervailing duty deposit rate to Niagara. Niagara states that this
failure to retroactively apply Glynwed's antidumping deposit rate of
7.69 percent to Niagara unjustly subjects it to the higher all-others
rate of 25.82 percent for the entire period from May 21, 1999, to the
date on which the final results in this case are published.
Finally, Niagara asserts that it has no practical means of
obtaining a refund of the higher deposits, since the costs of
undertaking an administrative review would exceed the value of the
excess deposits it was erroneously required to pay.
Department's Position
We disagree with Niagara that it has been treated inconsistently
with respect to the applicable cash deposit rates under the antidumping
and countervailing duty orders. The basis for Niagara's apparent
misunderstanding is that it fails to recognize that Glenwyd, the
predecessor company to Niagara, was excluded, ab initio, from the
countervailing duty order, but has always been subject to the
antidumping duty order. As such, Glenwyd, and now its successor-in-
interest Niagara, was never liable for any estimated cash deposits
under the countervailing duty order. Thus, with the Department's
determination that Niagara is the successor-in-interest to Glenwyd,
Niagara (like Glenwyd) is not now, and never was subject to the
countervailing duty order. Therefore, with respect to the
countervailing duty order, it is appropriate to apply the changed
circumstances-determination retroactively to May 21, 1999, the date
Glenwyd became Niagara. (This is analogous to revocation, which may
also apply retroactively. See, e.g., Certain Fresh Cut Flowers From
Ecuador: Final Results of Changed Circumstances Antidumping Duty
Administrative Review; Revocation of Order; Termination of
Administrative Reviews, 64 FR 56327, Oct. 9, 1999.)
However, with respect to the antidumping duty order, it is
appropriate to change the estimated cash deposit rate for Niagara only
as of the effective date of the Department's final changed-
circumstances determination. Because Glenwyd was always subject to the
antidumping duty order, it was always potentially liable for estimated
cash deposits. Further, any new company under the antidumping duty
order in question, even if it were subsequently determined to be the
successor-in-interest to an existing company, would also be subject to
estimated cash deposits.
In this instance, subject merchandise was entered under the name of
Niagara, a company not heretofore assigned its own rate. Accordingly,
its entries were properly subject to the all-others cash deposit rate
at the time of entry. The all-others rate is by its very nature a
prospective rate in that it is simply an estimate of the amount of
duties to be paid by importers on future entries. It is not the
assessment rate. Furthermore, in accordance with section 751(a)(2)(C)
of the Act, a company's estimated cash deposit rate is only changed as
the result of an administrative review. Thus, until the Department
makes a final determination that a company subject to this antidumping
duty order should be assigned a different cash deposit rate, the cash
deposit rate assigned to its entries is the rate in effect at the time
of entry.
Accordingly, in this instance, it is appropriate that the
applicable cash deposit rate for Niagara's entries prior to these final
results is the all-others cash deposit rate. That rate will, of course,
be changed prospectively to Glenwyd's previous rate upon the effective
date of this notice because the Department has determined that Niagara
is, in fact, the successor-in-interest to Glenwyd. However, because
cash deposits are only estimates of the amount of antidumping duties
that will be due, changes in cash deposit rates are not made
retroactive. Any given cash deposit rate may, ultimately, be too high
or too low. If Niagara believes that the deposits paid exceed the
actual amount of dumping, it is entitled to request a review of those
entries to determine the proper assessment rate and receive a refund of
any excess deposits. This is the normal operation of our retrospective
system.
Final Results
We determine that Niagara is the successor-in-interest to Glynwed
for purposes of determining antidumping and countervailing duty
liability. Because Glynwed is excluded from the countervailing duty
order, we will instruct the Customs Service to liquidate, without
regard to countervailing duties, all shipments of the subject
merchandise produced and sold by Niagara (formerly Glynwed) entered, or
withdrawn from warehouse, for consumption on or after May 21, 1999, the
date of Niagara's acquisition of Glynwed. With regard to antidumping
duties, a cash deposit rate of 7.69 percent will be effective for
Niagara (formerly Glynwed) for all shipments of the subject merchandise
entered, or withdrawn from warehouse, for consumption on or after the
publication date of these final results of this changed-circumstances
review.
We are issuing and publishing this determination and notice in
accordance with sections 751(b)(1) and 777(i)(1) of the Act and section
351.216 of the Department's regulations.
Dated: November 19, 1999.
Joseph A. Spetrini,
Acting Assistant Secretary for Import Administration.
[FR Doc. 99-31098 Filed 11-29-99; 8:45 am]
BILLING CODE 3510-DS-P
