95-3001. Certain Hot-Rolled Lead and Bismuth Carbon Steel Products From Germany; Initiation of Anticircumvention Inquiry of Antidumping Duty Order  

  • [Federal Register Volume 60, Number 25 (Tuesday, February 7, 1995)]
    [Notices]
    [Pages 7166-7167]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-3001]
    
    
    
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    DEPARTMENT OF COMMERCE
    International Trade Administration
    [A-428-811]
    
    
    Certain Hot-Rolled Lead and Bismuth Carbon Steel Products From 
    Germany; Initiation of Anticircumvention Inquiry of Antidumping Duty 
    Order
    
    AGENCY: Import Administration, International Trade Administration, 
    Department of Commerce.
    
    ACTION: Notice of initiation of anticircumvention inquiry.
    
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    SUMMARY: On the basis of a petition filed with the Department of 
    Commerce (the Department), we are initiating an anticircumvention 
    inquiry to determine whether imports of certain hot-rolled lead and 
    bismuth carbon steel products from the Netherlands are circumventing 
    the antidumping duty order on certain hot-rolled lead and bismuth 
    carbon steel products from Germany (58 FR 15324 (March 22, 1993)).
    
    EFFECTIVE DATE: February 7, 1995.
    
    FOR FURTHER INFORMATION CONTACT: Thomas O. Barlow or Wendy J. Frankel, 
    Office of Antidumping Compliance, Import Administration, International 
    Trade Administration, U.S. Department of Commerce, 14th Street and 
    Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
    5253.
    
    SUPPLEMENTARY INFORMATION:
    
    Background
    
        On August 23, 1994, Inland Steel Bar Company and USS Kobe Steel 
    Company (hereafter, petitioners) filed a petition, pursuant to section 
    781(b) of the Tariff Act of 1930, as amended, (the Tariff Act) and 19 
    CFR 353.29 (b) and (f), requesting the Department to investigate 
    whether imports of certain leaded steel products from the Netherlands 
    are circumventing the antidumping duty order issued against certain 
    hot-rolled lead and bismuth carbon steel products from Germany.
        Petitioners allege that Thyssen AG, a German steel producer, is 
    shipping leaded steel billets to its wholly-owned subsidiary Nedstahl 
    BV (Nedstahl), located in the Netherlands, hot-rolling the billets into 
    bars and rods and then exporting them from the Netherlands to the 
    United States. Petitioners assert that Thyssen's actions warrant an 
    affirmative determination of circumvention under the Tariff Act.
        On August 29, 1994, the law firm of Sharretts, Paley, Carter & 
    Blauvelt filed a letter of appearance on behalf of Thyssen, and an 
    application for administrative protective order.
        On December 9, 1994, petitioners submitted additional information 
    in support of its allegation of circumvention.
    
    Initiation of Anticircumvention Inquiry
    
        Section 781(b) of the Tariff Act and 19 CFR 353.29(f) authorize the 
    Department to include merchandise within the scope of an existing 
    antidumping duty order if: (A) The merchandise imported into the United 
    States is of the same class or kind as the merchandise subject to the 
    order; (B) before importation into the United States, such imported 
    merchandise is completed or assembled in a third country from 
    merchandise which (i) is subject to an order, or (ii) is produced in 
    the foreign country with respect to which such order applies; (C) the 
    difference between the value of such merchandise imported into the 
    United States and the value of the merchandise from the country subject 
    to the order which was completed or assembled in the third country is 
    small, and (D) the Department determines that action is appropriate to 
    prevent evasion of such order.
        In determining whether to include merchandise assembled or 
    completed in a third country in an order, the Department must take into 
    account such factors as; (a) the pattern of trade, (b) whether the 
    manufacturer or exporter of the merchandise from the country subject to 
    the order is related to the [[Page 7167]] person in the third country 
    who completes or assembles the merchandise that is subsequently 
    imported into the United States, and (c) whether imports into the third 
    country of the merchandise from the order country have increased after 
    the issuance of such order.
        After taking into account any advice provided by the International 
    Trade Commission (ITC), the Department may include such imported 
    merchandise within the scope of such order at any time such order is in 
    effect.
        Our analysis of petitioners' submission according to the above 
    criteria leads the Department to conclude that: (1) There is evidence 
    that leaded steel rod imported into the United States from the 
    Netherlands is of the same class or kind as that covered by the German 
    antidumping duty order; (2) the leaded steel rod imported into the 
    United States is completed from leaded steel billets produced in 
    Germany, the country subject to the antidumping duty order; (3) the 
    difference in value is arguably ``small''. Petitioners' evidence on the 
    third factor, combined with other evidence on the record, provides a 
    reasonable basis to initiate an anticircumvention inquiry. In the 
    context of the inquiry, the Department will determine whether inclusion 
    of such imported products within the order is appropriate to prevent 
    evasion of the order.
        Our analysis of the information in petitioners' submission leads us 
    to conclude that: (1) U.S. import statistics evidence a shift in the 
    pattern of trade subsequent to issuance of the order; (2) Nedstahl, the 
    entity in the third country who completes or assembles the merchandise 
    that is subsequently imported into the United States, is 100 percent 
    owned by Thyssen, the manufacturer or exporter of the merchandise from 
    the country subject to the order, and therefore, is related; and (3) 
    the data with respect to imports of subject merchandise into the 
    Netherlands from Germany evidences such an increase. Consideration of 
    the other factors identified above strengthens petitioners' position 
    that the order is being circumvented. For further analysis, see 
    Memorandum from Joseph A. Spetrini for Susan G. Esserman, dated January 
    29, 1995. Based on this information, we are initiating an 
    anticircumvention inquiry of the antidumping duty order on certain hot-
    rolled lead and bismuth carbon steel products from Germany, case number 
    A-428-811.
        The Department will not suspend liquidation at this time. However, 
    the Department will instruct the U.S. Customs Service to suspend 
    liquidation in the event of an afirmative preliminary determination of 
    circumvention.
        This notice is published in accordance with 781(b) of the Tariff 
    Act (19 U.S.C. 1677j(b)) and 19 CFR 353.29.
    
    
        Dated: January 30, 1995.
    Susan G. Esserman,
    Assistant Secretary for Import Administration.
    [FR Doc. 95-3001 Filed 2-6-95; 8:45 am]
    BILLING CODE 3510-DS-P
    
    

Document Information

Effective Date:
2/7/1995
Published:
02/07/1995
Department:
International Trade Administration
Entry Type:
Notice
Action:
Notice of initiation of anticircumvention inquiry.
Document Number:
95-3001
Dates:
February 7, 1995.
Pages:
7166-7167 (2 pages)
Docket Numbers:
A-428-811
PDF File:
95-3001.pdf