[Federal Register Volume 60, Number 133 (Wednesday, July 12, 1995)]
[Notices]
[Pages 35893-35895]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-17043]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-421-803]
Certain Cold-Rolled Carbon Steel Flat Products From The
Netherlands; Preliminary Results of Antidumping Duty Administrative
Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of Preliminary Results of Antidumping Duty
Administrative Review.
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SUMMARY: In response to a request by the respondent, the Department of
Commerce (the Department) has conducted an administrative review of the
antidumping duty order on Certain Cold-Rolled Carbon Steel Flat
Products From the Netherlands (A-421-804). The review covers one
manufacturer/exporter of the subject merchandise to the United States
during the period of review (POR) August 18, 1993 through July 31,
1994.
We have preliminarily determined that sales have been made below
the foreign market value (FMV). If these preliminary results are
adopted in our final results of administrative review, we will instruct
U.S. Customs to assess antidumping duties equal to the difference
between the United States price (USP) and the FMV.
Interested parties are invited to comment on these preliminary
results.
EFFECTIVE DATE: July 12, 1995.
FOR FURTHER INFORMATION CONTACT: Helen Kramer or Robin Gray, Office of
[[Page 35894]]
Agreements Compliance, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW., Washington, DC 20230, telephone: (202) 482-
0405 or (202) 482-0196, respectively.
SUPPLEMENTARY INFORMATION:
Background
On July 9, 1993, the Department published in the Federal Register
(58 FR 37199) the final affirmative antidumping duty determination on
Certain Cold-Rolled Carbon Steel Flat Products from the Netherlands,
for which we published an antidumping duty order on August 19, 1993 (58
FR 44172). On August 3, 1994, the Department published the notice of
``Opportunity to Request an Administrative Review'' of this order for
the period August 18, 1993 through July 31, 1994 (59 FR 39543). One
respondent, Hoogovens Groep BV (Hoogovens), requested an administrative
review (59 FR 39543). We initiated the administrative review for the
period August 18, 1993 through July 31, 1994, on September 8, 1994 (59
FR 46391). The Department is now conducting this review in accordance
with section 751 of the Tariff Act of 1930, as amended (the Tariff
Act).
Applicable Statute and Regulations
Unless otherwise indicated, all citations to the statute and to the
Department's regulations are references to the provisions as they
existed on December 31, 1994.
Scope of the Review
The products covered by this review include cold-rolled (cold-
reduced) carbon steel flat-rolled products, of rectangular shape,
neither clad, plated nor coated with metal, whether or not painted,
varnished or coated with plastics or other nonmetallic substances, in
coils (whether or not in successively superimposed layers) and of a
width of 0.5 inch or greater, or in straight lengths which, if of a
thickness less than 4.75 millimeters, are of a width of 0.5 inch or
greater and which measures at least 10 times the thickness or if of a
thickness of 4.75 millimeters or more are of a width which exceeds 150
millimeters and measures at least twice the thickness, as currently
classifiable in the Harmonized Tariff Schedule (HTS) under item numbers
7209.11.0000, 7209.12.0030, 7209.12.0090, 7209.13.0030, 7209.13.0090,
7209.14.0030, 7209.14.0090, 7209.21.0000, 7209.22.0000, 7209.23.0000,
7209.24.1000, 7209.24.5000, 7209.31.0000, 7209.32.0000, 7209.33.0000,
7209.34.0000, 7209.41.0000, 7209.42.0000, 7209.43.0000, 7209.44.0000,
7209.90.0000, 7210.70.3000, 7210.90.9000, 7211.30.1030, 7211.30.1090,
7211.30.3000, 7211.30.5000, 7211.41.1000, 7211.41.3030, 7211.41.3090,
7211.41.5000, 7211.41.7030, 7211.41.7060, 7211.41.7090, 7211.49.1030,
7211.49.1090, 7211.49.3000, 7211.49.5030, 7211.49.5060, 7211.49.5090,
7211.90.0000, 7212.40.1000, 7212.40.5000, 7212.50.0000, 7217.11.1000,
7217.11.2000, 7217.11.3000, 7217.19.1000, 7217.19.5000, 7217.21.1000,
7217.29.1000, 7217.29.5000, 7217.31.1000, 7217.39.1000, and
7217.39.5000. Included in this review 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. Excluded from this review is certain
shadow mask steel, i.e., aluminum-killed, cold-rolled steel coil that
is open-coil annealed, has a carbon content of less than 0.002 percent,
is of 0.003 to 0.012 inch in thickness, 15 to 30 inches in width, and
has an ultra flat, isotropic surface. These HTS item numbers are
provided for convenience and Customs purposes. The written description
remains dispositive.
The POR is August 18, 1993, through July 31, 1994. This review
covers sales of cold-rolled carbon steel by Hoogovens.
United States Price
The Department used exporter's sales price (ESP) and purchase
price, as defined in section 772 of the Tariff Act. ESP was based on
the packed, delivered price to unrelated purchasers in the United
States after further manufacturing. We made adjustments, where
applicable, for foreign inland freight, ocean freight, marine
insurance, brokerage and handling, U.S. inland freight, U.S. duty,
commissions to unrelated parties, U.S. credit, discounts, billing
adjustments, warranties and technical service expenses and packing
expenses incurred in the United States, and indirect selling expenses
(which include inventory carrying costs, other U.S.-incurred selling
expenses, and export selling expenses). We also adjusted ESP for value
added in further manufacturing, including an allocation of profit
earned on U.S. sales. On April 28, 1995, Hoogovens submitted, at the
Department's request, minor corrections to the ESP sales listing and
further manufacturing cost data. However, this submission also included
the breakout of two new model numbers. Further manufacturing costs were
not provided for these two new models. To calculate further
manufacturing costs for these models, we are using for purposes of the
preliminary determination, as the best information available (``BIA'')
(pursuant to section 776(c) of the Act) the maximum further
manufacturing costs provided by Hoogovens for secondary merchandise.
See Analysis Memorandum to the File, May 26, 1995.
The purchase price sales were based on the sales price to the first
unrelated purchaser in the United States. We made adjustments to
purchase price, where appropriate, for foreign post-sale inland
freight, foreign inland freight, ocean freight, marine insurance,
brokerage and handling, U.S. duty, U.S. inland freight, discounts and
billing adjustments.
We also adjusted USP (purchase price and ESP) for value-added taxes
(VAT) in accordance with our practice as outlined in Silicomanganese
from Venezuela, Final Determination of Sales at Less Than Fair Value,
59 FR 55439, November 7, 1994.
No other adjustments were claimed or allowed.
Foreign Market Value
Based on a comparison of the volume of home market and third
country sales, we determined that the home market was viable.
Therefore, in accordance with section 773(a)(1)(A) of the Tariff Act,
we based FMV on the packed, delivered price to unrelated purchasers and
related purchasers (where an arm's-length relationship was
demonstrated) in the home market.
Based on a review of Hoogoven's submissions, the Department
determined that Hoogovens need not report its home market sales made by
related parties to the first unrelated party (downstream sales),
because Hoogovens' downstream sales were only a small portion of the
company's reported home market sales.
Hoogovens sold a small quantity of secondary subject merchandise in
both the United States and home markets. In this review, the Department
compared prime merchandise sold in the United States to prime
merchandise sold in the home market, and secondary merchandise to
secondary merchandise. In cases where a contemporaneous match for U.S.
sales of secondary merchandise could not be found in the home market,
the Department used the constructed value for prime merchandise to
calculate FMV.
[[Page 35895]]
We made adjustments, where applicable, for post-sale inland
freight, inland insurance and for home market direct expenses for
credit, warranties and technical services. We also made adjustments for
discounts and rebates. We adjusted for VAT in accordance with our
practice as outlined in various determinations, including
Silicomanganese from Venezuela; Final Determination of Sales at Less
Than Fair Value, 59 FR 55435, 55439 (November 7, 1994).
In addition, for comparison to ESP sales, we adjusted FMV for
indirect selling expenses (which include inventory carrying costs and
other selling expenses) in the home market, limiting the home market
indirect selling expense deductions by the amount of indirect selling
expenses incurred in the United States. The deduction from FMV for home
market indirect selling expenses was limited by the amount of the
enhanced U.S. indirect selling expense, in accordance with section
353.56 (b)(2) of the Department's regulations. In cases where a
commission was granted on the U.S. sale only, we increased the amount
classified as U.S. indirect selling expenses by the amount of the U.S.
commission for comparison to home market indirect selling expenses.
Also, after deducting home market packing, we added to FMV packing
expenses incurred in the Netherlands for U.S. sales.
We also adjusted for differences in physical characteristics. In
calculating these differences, we adjusted the costs that Hoogovens had
reduced for secondary merchandise so that they equalled those of prime
merchandise. See IPSCO v. United States, 965 F.2d 1056, 1060 (Fed. Cir.
1992).
For comparison to purchase price sales, pursuant to section 773 of
the Tariff Act, we added to FMV, where applicable, U.S. packing,
credit, and warranty expenses.
No other adjustments were claimed or allowed.
Preliminary Results of Review
As a result of our comparison of USP to FMV we preliminarily
determine that the following margin exists for the period August 18,
1993 through July 31, 1994:
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Margin
Manufacturer (percent)
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Hoogovens.................................................. 3.81
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Interested parties may request disclosure within 5 days of the date
of publication of this notice and may request a hearing within 10 days
of publication. Any hearing, if requested, will be held 44 days after
the date of publication or the first business day thereafter. Case
briefs and/or written comments from interested parties may be submitted
no later than 30 days after the date of publication. Rebuttal briefs
and rebuttals to written comments, limited to issues raised in those
comments, may be filed not later than 37 days after the date of
publication of this notice. The Department will publish the final
results of these administrative reviews including the results of its
analysis of issues raised in any such written comments or at a hearing.
The Department shall determine, and the Customs Service shall
assess, antidumping duties on all appropriate entries. Individual
differences between the USP and FMV may vary from the percentages
stated above.
Furthermore, the following deposit requirements will be effective
for all shipments of the subject merchandise entered, or withdrawn from
warehouse, for consumption on or after the publication date of the
final results of this administrative review, as provided for by section
751(a)(1) of the Tariff Act. A cash deposit of estimated antidumping
duties shall be required on shipments of Certain Cold-Rolled Carbon
Steel Flat Products from the Netherlands as follows: (1) The cash
deposit rates for the reviewed company will be those rates established
in the final results of this review; (2) If the exporter is not a firm
covered in this review, or the original less-than-fair-value (LTFV)
investigation, but the manufacturer is, the cash deposit rate will be
the rate established for the most recent period for the manufacturer of
the merchandise; and (3) If neither the exporter nor the manufacturer
is a firm covered in this review, the cash deposit rate will be 20.19
percent. This is the ``all others'' rate from the LTFV investigation.
See Antidumping Duty Order and Amendments to Final Determinations of
Sales at Less Than Fair Value: Certain Hot-Rolled Carbon Steel Flat
Products and Certain Cold-Rolled Carbon Steel Flat Products from the
Netherlands, 58 FR 44172 (August 19, 1993).
This notice also serves as a preliminary reminder to importers of
their responsibility under 19 CFR 353.26 to file a certificate
regarding the reimbursement of antidumping duties prior to liquidation
of the relevant entries during this review period. Failure to comply
with this requirement could result in the Department's presumption that
reimbursement of antidumping duties occurred and the subsequent
assessment of double antidumping duties.
This administrative review and this notice are in accordance with
section 751(a)(1) of the Tariff Act (19 U.S.C. 1675(a)(1)) and 19 CFR
353.22.
Dated: July 5, 1995.
Susan G. Esserman,
Assistant Secretary for Import Administration.
[FR Doc. 95-17043 Filed 7-11-95; 8:45 am]
BILLING CODE 3510-DS-P
