New Steel Rail, Except Light Rail, From Canada: Initiation and Preliminary Results of Changed Circumstances Antidumping Duty and Countervailing Duty Administrative Reviews, and Intent To Revoke Orders in Part

DEPARTMENT OF COMMERCE

International Trade Administration

[A-122-804; C-122-805]

New Steel Rail, Except Light Rail, From Canada: Initiation and

Preliminary Results of Changed Circumstances Antidumping Duty and

Countervailing Duty Administrative Reviews, and Intent To Revoke Orders

in Part

AGENCY: Import Administration, International Trade Administration,

Department of Commerce.

ACTION: Notice of initiation and preliminary results of changed

circumstances antidumping duty and countervailing duty administrative

reviews, and intent to revoke orders in part.

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SUMMARY: In response to a request from Gerdau MRM Steel, Inc. (Gerdau),

an interested party in these proceedings in accordance with sections

353.2(k) and 355.2(i) of our regulations, and an exporter of nominal 60

ASCE (ASTM A1-92) steel rail, the Department of Commerce (the

Department) is initiating changed circumstances antidumping duty and

countervailing duty administrative reviews and issuing an intent to

revoke in part the antidumping duty and countervailing duty orders on

new steel rail, except light rail, from Canada, the scope of which

currently include new steel rail at least 60 pounds per yard or

heavier. Gerdau requested that the Department revoke the orders in part

as to imports of nominal-60-pounds-per-yard new steel rail from Canada

(60 ASCE/ASTM A1-92). Bethlehem Steel Corp. and CF&I Steel, L.P.,

petitioners in these cases, have submitted letters indicating they have

no objection to the initiation of these changed circumstances reviews

and no interest in maintaining the antidumping

[[Page 29532]]

duty and countervailing duty orders on 60 ASCE/ASTM A1-92 new steel

rail from Canada. Based on the fact that this portion of these orders

is no longer of interest to domestic parties, we intend to partially

revoke these orders. Interested parties are invited to comment on these

preliminary results. Parties who submit argument in this proceeding are

requested to submit with the argument (1) A statement of the issue, and

(2) a brief summary of the argument.

EFFECTIVE DATE: June 11, 1996.

FOR FURTHER INFORMATION CONTACT: Roy F. Unger, Jr., Office of

Antidumping Compliance or Robert Copyak, Office of Countervailing

Compliance, Import Administration, International Trade Administration,

U.S. Department of Commerce, 14th Street and Constitution Avenue, NW.,

Washington, DC 20230; telephone (202)482-0651 and (202) 482-2209,

respectively.

SUPPLEMENTARY INFORMATION:

Background

On August 3, 1989, the Department published the antidumping and

countervailing duty final determination in the less-than-fair-value

(LTFV) investigation (54 FR 31984), which covered new steel rail 60

pounds per yard and heavier. The Department published an antidumping

duty order on new steel rail, except light rail, on September 15, 1989

(54 FR 38263). The Department published a countervailing duty order on

new steel rail, except light rail, on September 22, 1989 (54 FR 39032).

On February 1, 1996, Gerdau requested that the Department conduct

changed circumstances administrative reviews to determine whether to

partially revoke the orders with regard to 60 ASCE/ASTM A1-92 new steel

rail. The orders' application to imports of new steel rail other than

60 ASCE/ASTM A1-92 is not affected by this request. On March 29, 1996,

petitioner, Bethlehem Steel advised the Department that it has no

interest in maintaining the antidumping and countervailing duty orders

on 60 ASCE/ASTM A1-92 new steel rail. In addition, Gerdau informed the

Department that it has canvassed interested parties known to it to be

actively involved in the production of 60 ASCE/ASTM A1-92 steel rail in

the United States, and did not find any opposition to the revocation of

the orders with regard to 60 ASCE/ASTM A1-92 steel rail.

Applicable Statute and Regulations

Unless otherwise indicated, all citations to the statute are

references to the provisions effective January 1, 1995, the effective

date of the amendments made to the Tariff Act of 1930 (the Act) by the

Uruguay Round Agreements Act. In addition, unless otherwise indicated,

all citations to the Department's regulations are to the current

regulations, as amended by the interim regulations published in the

Federal Register on May 11, 1995 (60 FR 25130).

Scope of Review

The merchandise covered by these changed circumstances reviews is

imports of 60 ASCE/ASTM A1-92 new steel rail. The merchandise covered

by the orders is new steel rail, except light rail, whether of carbon,

high carbon, alloy or other quality steel, and includes standard rails,

all main line sections, heat-treated or head-hardened (premium) rails,

transit rails, contact rail (or ``third rail'') and crane rails. This

merchandise is currently classified under subheadings 7302.10.1020,

7302.10.1040, 7302.10.5000, and 8548.00.0000 of the Harmonized Tariff

Schedule (HTS). The HTS numbers are provided for convenience and

Customs purposes. The written description of the scope of these reviews

remains dispositive.

These changed circumstances administrative reviews cover all

manufacturers/exporters of 60 ASCE/ASTM A1-92 steel rail, except light

rail, from Canada.

Initiation and Preliminary Results of Changed Circumstances Antidumping

Duty and Countervailing Duty Administrative Reviews, and Intent To

Revoke Orders in Part

Pursuant to section 751(d)(1) and 782(h)(2) of the Act, the

Department may partially revoke an antidumping or countervailing duty

order based on a review under section 751(b) of the Act (i.e., a

changed circumstances review). Section 751(b)(1) of the Act requires a

changed circumstances administrative review to be conducted upon

receipt of a request which shows changed circumstances sufficient to

warrant a review.

The Department's regulations at 19 CFR 353.25(d)(2) and

355.25(d)(2) permit the Department to conduct changed circumstances

administrative reviews under section 353.22(f) and 355.22(h),

respectively, based upon an affirmative statement of no interest from

the petitioner in the proceeding. Sections 353.25(d)(1)(i) and

355.25(d)(1)(i) further provide that the Department may revoke an order

or revoke an order in part if it determines that the order under review

is no longer of interest to interested parties. In addition, in the

event that the Department concludes that expedited action is warranted,

sections 353.22(f)(4) and 355.22(h)(4) of the regulations permit the

Department to combine the notices of initiation and preliminary

results.

Therefore, in accordance with sections 751(d)(1) and 782(h)(2) of

the Act and 19 CFR 353.25(d), 353.22(f), 355.25(d), and 355.22(h),

based on affirmative statements of no interest by Bethlehem Steel and

CF&I Steel, we are initiating these changed circumstances

administrative reviews. Further, based on the representation made by

Gerdau that other U.S. producers of this merchandise have no interest

in the orders with respect to 60 ASCE/ASTM A1-92 steel rail, we

determine that expedited action is warranted, and we preliminarily

determine that continued coverage of 60 ASCE/ASTM A1-92 steel rail is

no longer of interest to domestic interested parties. Because we have

concluded that expedited action is warranted, we are combining these

notices of initiation and preliminary results. Therefore, we are hereby

notifying the public of our intent to revoke in part the antidumping

and countervailing duty orders as to imports of 60 ASCE/ASTM A1-92 new

steel rail from Canada.

If final revocation in part occurs, we intend to instruct the U.S.

Customs Service (Customs) to liquidate without regard to antidumping or

countervailing duties and to refund any estimated antidumping and

countervailing duties collected for all entries of 60 ASCE/ASTM A1-92

steel rail made on or after the date of publication in the Federal

Register of the final results of these reviews in accordance with 19

CFR 353.25(d)(5) and 355.25(d)(5). We will also instruct Customs to pay

interest on such refunds in accordance with section 778 of the Act. The

current requirement for a cash deposit of estimated antidumping and

countervailing duties on 60 ASCE/ASTM A1-92 steel rail will continue

until publication of the final results of these changed circumstances

reviews.

Public Comment

Parties to the proceedings may request disclosure within 5 days of

the date of publication of this notice and any interested party may

request a hearing within 10 days of publication. Any hearing, if

requested, will be held no later than 28 days after the date of

publication of this notice, or the first workday thereafter. Case

briefs and/or written comments from interested parties may be submitted

not later than 14 days after the date of publication of

[[Page 29533]]

this notice. Rebuttal briefs and rebuttals to written comments, limited

to the issues raised in those comments, may be filed not later than 21

days after the date of publication of this notice. All written comments

shall be submitted in accordance with 19 CFR 353.31(e) and 355.31(e)

and shall be served on all interested parties on the Department's

service list in accordance with 19 CFR 353.31(g) and 355.31(g). Persons

interested in attending the hearing should contact the Department for

the date and time of the hearing. The Department will publish the final

results of these changed circumstances reviews, including the results

of its analysis of issues raised in any written comments.

This notice is in accordance with sections 751(b)(1) of the Act and

sections 353.22(f), 353.25(d), 355.22(h), and 355.25(d) of the

Department's regulations.

Dated: June 4, 1996.

Paul L. Joffe,

Acting Assistant Secretary for Import Administration.

[FR Doc. 96-14738 Filed 6-10-96; 8:45 am]

BILLING CODE 3510-DS-P