Notice of Amended Preliminary Determination of Sales at Less Than Fair Value: Antidumping Duty Investigation of Ferrovanadium and Nitrided Vanadium From the Russian Federation

DEPARTMENT OF COMMERCE.

[A-821-807]

Notice of Amended Preliminary Determination of Sales at Less Than

Fair Value: Antidumping Duty Investigation of Ferrovanadium and

Nitrided Vanadium From the Russian Federation

AGENCY: Import Administration, International Trade Administration,

Commerce.

EFFECTIVE DATE: February 27, 1995.

FOR FURTHER INFORMATION CONTACT: Louis Apple or David J. Goldberger,

Office of Antidumping Investigations, Import Administration,

International Trade Administration, U.S. Department of Commerce, 14th

Street and Constitution Avenue, N.W., Washington, D.C., 20230;

telephone (202) 482-1769 or (202) 482-4136.

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. References to Antidumping and

Countervailing Duties: Notice of Proposed Rulemaking and Request for

Public Comments, 57 FR 1131 (January 10, 1992) (Proposed Regulations),

are provided solely for further explanation of the Department's AD

practice with respect to amended preliminary determinations. Although,

the Department has withdrawn the particular rulemaking proceeding

pursuant to which the Proposed Regulations were issued, the subject

matter of these regulations is being considered in connection with an

ongoing rulemaking proceeding which, among other things, is intended to

conform the Department's regulations to the Uruguay Round Agreements

Act. See 60 FR 80 (January 3, 1995).

Scope of Investigation

This investigation covers ferrovanadium and nitrided vanadium. The

scope is fully described in the preliminary determination.

Case History

On December 27, 1994, the Department of Commerce (the Department)

made its affirmative [[Page 10564]] preliminary determination of sales

at less than fair value in the above-cited investigation (60 FR 438,

January 4, 1995).

On January 11, 1995, the petitioner alleged that the Department

made a significant ministerial error in the preliminary determination

in the above-mentioned investigation and requested that the Department

correct this ministerial error accordingly.

In its submission, the petitioner alleged that the Department made

a ministerial error in its calculation of the foreign market value

(FMV) for SC Vanadium-Tulachermet (Tulachermet). This FMV was used for

comparison to sales made by both Tulachermet and Odermet, Ltd. The

petitioner's allegation deals with the valuation of vanadium slag, the

principal raw material used to produce the subject merchandise.

On January 19, 1995, the Department received comments from Odermet,

Ltd. and Tulachermet in response to the petitioner's January 11, 1995

letter regarding a ministerial error. Odermet submitted additional

comments on January 26, 1995. However, standard Department practice

with respect to preliminary determinations, does ``not permit parties

to comment on another party's allegations of significant ministerial

errors''. (See the Department's Proposed Rules 57 FR 1133 (January 10,

1992). Any party objecting to the Department's amendment, will have the

opportunity to present its arguments in its administrative case briefs

and at the hearing.

On January 23, 1995, the Department determined that the

petitioner's allegation regarding the ministerial error in our

calculation of FMV for Tulachermet, requires correction in an amended

preliminary determination

(See January 23, 1995, Memorandum from Gary Taverman to Barbara R.

Stafford).

Amendment of Preliminary Determination

The Department does not normally amend preliminary determinations

since these determinations are only estimated margins subject to

verification and may change for the final determination. It is,

however, the Department's practice to amend preliminary determinations

in those instances involving a significant ministerial error. (See

Amendment to Preliminary Determination of Sales at Less Than Fair

Value: Fresh Cut Roses From Columbia, 59 FR 51554, 51555 (October 12,

1994) (Roses); and Amendment to Preliminary Determination of Sales at

Less Than Fair Value: Sweaters Wholly or in Chief Weight of Man-Made

Fiber from Hong Kong, 55 FR 19289-90 (May 9, 1990)).

The Department has defined ``significant ministerial errors'' as

those unintentional errors which result in a change of the estimated

margin of at least 5 absolute percentage points but not less than 25

percent of the calculated margin. See Roses. In this case, these

criteria have been met.

In its questionnaire response, Tulachermet reported its consumption

of vanadium slag, the principal input used to produce the intermediate

product vanadium pentoxide, on the basis of net vanadium content. The

Department used as a surrogate value a price quote for vanadium slag

expressed in terms of net vanadium pentoxide content. The petitioner

alleges that the Department made a significant ministerial error in not

converting the consumption factor or surrogate value to reflect the

different basis of the surrogate value to the factor consumed.

The Department agrees with petitioner that the reported factor

should have been adjusted to a vanadium pentoxide basis. The Department

did not intend to apply a surrogate value to consumption factor

expressed in an incompatible unit of measure. Furthermore, correcting

this ministerial error will result in a change in the estimated margin

of greater than 5 absolute percentage points and greater than 25

percent of the original estimated margin. Therefore, pursuant to the

Department's practice, the error constitutes a significant ministerial

error and the Department is amending the preliminary determination

accordingly. The calculations have been corrected by applying the

methodology from the petition for converting the consumption factor for

vanadium slag from units of net vanadium content to units of net

vanadium pentoxide content. The recalculation affects the margin

percentage for Tulachermet, Odermet, and the all others rate for non-

Russian exporters.

Suspension of Liquidation

In accordance with section 733(d)(2) of the Act, the Department

will direct the U.S. Customs Service to continue to require cash

deposit or posting of bond on all entries of subject merchandise from

the Russian Federation at the newly calculated rates, that are entered,

or withdrawn from warehouse, for consumption on or after the date of

the original preliminary determination publication notice in the

Federal Register (60 FR 438, January 4, 1995). The suspension-of-

liquidation will remain in effect until further notice.

The revised estimated margins are as follows:

------------------------------------------------------------------------

Weighted

average

Manufacturer/Producer/Exporter margin

percent

------------------------------------------------------------------------

All exporters located in Russia including SC Vanadium-

Tulachermet................................................. 94.92

Galt Alloys, Inc............................................. 40.46

Gesellschaft fur Elektrometallurgie m.b.H./Shieldalloy

Metallurgical Corporation/Metallurg, Inc.................... 49.18

Marc Rich Co., AG/Glencore International AG.................. 108.00

Odermet, Ltd................................................. 60.09

Wogan Resources, Ltd......................................... 108.00

All others not located in Russia............................. 82.29

------------------------------------------------------------------------

ITC Notification

In accordance with section 733(f) of the Act, we have notified the

International Trade Commission (ITC) of the amended preliminary

determination. If our final determination is affirmative, the ITC will

determine whether imports of the subject merchandise are materially

injuring, or threaten material injury to, the U.S. industry, before the

later of 120 days after the date of the original preliminary

determination (December 27, 1995) or 45 days after our final

determination.

Public Comment

Public hearings in this proceeding will be held to afford

interested parties an opportunity to comment on arguments raised in

case or rebuttal briefs. The tentative schedule for the case briefs,

rebuttal briefs, and hearings for this proceeding is described in the

preliminary determination. We will make our final determination by May

19, 1995.

Dated: February 17, 1995.

Susan G. Esserman,

Assistant Secretary for Import Administration.

[FR Doc. 95-4728 Filed 2-24-95; 8:45 am]

BILLING CODE 3510-DS-P