Notice of Amended Final Determinations: Stainless Steel Plate in Coils from Belgium and South Africa; and Notice of Countervailing Duty Orders: Stainless Steel Plate in Coils from Belgium, Italy and South Africa

DEPARTMENT OF COMMERCE

INTERNATIONAL TRADE ADMINISTRATION

[C-423-809 (Belgium), C-475-823 (Italy), C-791-806 (South Africa)]

Notice of Amended Final Determinations: Stainless Steel Plate in

Coils from Belgium and South Africa; and Notice of Countervailing Duty

Orders: Stainless Steel Plate in Coils from Belgium, Italy and South

Africa

AGENCY: Import Administration, International Trade Administration,

Department of Commerce.

EFFECTIVE DATE: May 11, 1999.

FOR FURTHER INFORMATION CONTACT: Zak Smith (Belgium), Cynthia

Thirumalai (Italy) or Dana Mermelstein (South Africa), Office of AD/CVD

Enforcement, Import Administration, International Trade Administration,

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

Washington, DC 20230; telephone: (202) 482-0189, (202) 482-4087 and

(202) 482-0984, respectively.

The Applicable Statute and Regulations

Unless otherwise indicated, all citations to the statute are

references to the provisions of the Tariff Act of 1930, as amended by

the Uruguay Round Agreements Act effective January 1, 1995 (the Act).

In addition, unless otherwise indicated, all citations to the

Department's regulations are to the current regulations codified at 19

CFR part 351 (April 1998).

Scope of Orders

The product covered by these orders is certain stainless steel

plate in coils. Stainless steel is an alloy steel containing, by

weight, 1.2 percent or less of carbon and 10.5 percent or more of

chromium, with or without other elements. The subject plate products

are flat-rolled products, 254 mm or over in width and 4.75 mm or more

in thickness, in coils, and annealed or otherwise heat treated and

pickled or otherwise descaled. The subject plate may also be further

processed (e.g., cold-rolled, polished, etc.) provided that it

maintains the specified dimensions of plate following such processing.

Excluded from the scope of these orders are the following: (1) Plate

not in coils, (2) plate that is not annealed or otherwise heat treated

and pickled or otherwise descaled, (3) sheet and strip, and (4) flat

bars. In addition, certain cold-rolled stainless steel plate in coils

is also excluded from the scope of these orders. The excluded cold-

rolled stainless steel plate in coils is defined as that merchandise

which meets the physical characteristics described above that has

undergone a cold-reduction process that reduced the thickness of the

steel by 25 percent or more, and has been annealed and pickled after

this cold reduction process.

The merchandise subject to these orders is currently classifiable

in the Harmonized Tariff Schedule of the United States (HTSUS) at

subheadings: 7219.11.00.30, 7219.11.00.60, 7219.12.00.05,

7219.12.00.20, 7219.12.00.25, 7219.12.00.50, 7219.12.00.55,

7219.12.00.65, 7219.12.00.70, 7219.12.00.80, 7219.31.00.10,

7219.90.00.10, 7219.90.00.20, 7219.90.00.25, 7219.90.00.60,

7219.90.00.80, 7220.11.00.00, 7220.20.10.10, 7220.20.10.15,

7220.20.10.60, 7220.20.10.80, 7220.20.60.05, 7220.20.60.10,

7220.20.60.15, 7220.20.60.60, 7220.20.60.80, 7220.90.00.10,

7220.90.00.15, 7220.90.00.60, and 7220.90.00.80. Although the HTSUS

subheadings are provided for convenience and customs purposes, the

written description of the scope of the orders is dispositive.

Amended Final Determinations

Belgium

In accordance with section 705(d) of the Act, on March 31, 1999,

the Department published its final determination in the countervailing

duty investigation of stainless steel plate in coils from Belgium (64

FR 15567) (Belgium Final). Subsequently, on April 5, 1999, the

petitioners submitted ministerial-error allegations.

The petitioners allege that the Department neglected to include all

relevant years in its net present value calculation when calculating

the benefit from the loan provided to Alfin, pursuant to the Industrial

Reconversion Zone program. Furthermore, the petitioners allege that,

when allocating the benefit from this loan, the Department did not use

the proper discount rate. The respondent did not object to the

petitioners' allegations. We agree with the petitioners on both counts

and have made the necessary adjustments. On this basis, we determine

the countervailable subsidy rate for this program to be 0.18 percent ad

valorem.

[[Page 25289]]

South Africa

In accordance with section 705(d) of the Act, on March 31, 1999,

the Department published its final determination in the countervailing

duty investigation of stainless steel plate in coils from South Africa

(64 FR 15553) (South Africa Final). Subsequently, on March 29, 1999,

Columbus Stainless, the operating division of the Columbus Joint

Venture (Columbus), and the petitioners alleged that the Department had

made ministerial errors in calculating the estimated net

countervailable subsidy rate. We disagree with Columbus that we made a

ministerial error; Columbus' allegation constituted an argument for a

methodological change. We agree with the petitioners that we made a

ministerial error, and therefore we have made a correction in the

calculations. This correction resulted in the estimated net

countervailable subsidy rate attributable to the Section 37E program

increasing from 3.84 percent ad valorem to 3.86 percent ad valorem. The

ministerial-error allegations and the Department's analysis are

detailed in an April 30, 1999, Memorandum to Bernard Carreau, Deputy

Assistant Secretary for AD/CVD Enforcement II, from David Mueller,

Director, Office CVD/AD Enforcement VI, RE: ``Ministerial Error

Allegations filed by Columbus Stainless and Petitioners in the Final

Determination of the Countervailing Duty Investigation of Certain

Stainless Steel Wire Rod [sic] from South Africa, a public version of

which is on file in the Central Records Unit (Room B-099 of the Main

Commerce Building). Thus, the total estimated net countervailable

subsidy rate is 3.95 percent ad valorem for Columbus. This rate also

serves as the ``all others'' rate. See South Africa Final, 64 FR at

15566.

Countervailing Duty Orders

In accordance with section 705(d) of the Act, on March 31, 1999,

the Department published its final determinations in the countervailing

duty investigations of certain stainless steel plate in coils from

Belgium (64 FR 15567), Italy (64 FR 15508) and South Africa (64 FR

15553). On May 3, 1999, in accordance with section 705(d) of the Act,

the International Trade Commission (ITC) notified the Department of its

final determination, pursuant to section 705(b)(1)(A)(i) of the Act,

that an industry in the United States suffered material injury as a

result of subsidized imports of stainless steel plate in coils from

Belgium, Italy and South Africa. In its final determination, however,

the ITC determined that two domestic like products exist for the

merchandise covered by the Department's investigation: i) certain cold-

rolled stainless steel plate in coils, as defined above, and ii) all

other stainless steel plate in coils. The ITC determined pursuant to

section 735(b)(1) that a domestic industry in the United States is not

materially injured or threatened with material injury by reason of

imports of certain cold-rolled stainless steel plate from Belgium and

that imports of certain cold-rolled stainless steel plate in coils from

Italy and South Africa were ``negligible.'' Therefore, the ITC's

affirmative determination of material injury covered all stainless

steel plate in coils other than that specifically excluded under the

``Scope of the Orders'' section above. Accordingly, the scope of the

countervailing duty orders has been amended as described above to

reflect the ITC's distinction between cold-rolled and all other

stainless steel plate in coils.

Therefore, countervailing duties will be assessed on all

unliquidated entries of stainless steel plate in coils from Belgium,

Italy and South Africa entered, or withdrawn from warehouse, for

consumption on or after September 9, 1998, the date on which the

Department published its preliminary countervailing duty determinations

in the Federal Register, and before January 2, 1999, the date the

Department instructed the U.S. Customs Service to terminate the

suspensions of liquidation in accordance with section 703(d) of the

Act, and on all entries and withdrawals on or after the date of

publication of these countervailing duty orders in the Federal

Register. Section 703(d) states that the suspension of liquidation

pursuant to a preliminary determination may not remain in effect for

more than four months. Entries of stainless steel plate in coils made

on or after January 2, 1999, and prior to the date of publication of

these orders in the Federal Register are not liable for the assessment

of countervailing duties due to the Department's termination, effective

January 2, 1999, of the suspensions of liquidation.

In accordance with section 706 of the Act, the Department will

direct U.S. Customs officers to reinstitute the suspensions of

liquidation and to assess, upon further advice by the Department

pursuant to section 706(a)(1) of the Act, countervailing duties for

each entry of the subject merchandise in an amount based on the net

countervailable subsidy rate for the subject merchandise.

On or after the date of publication of this notice in the Federal

Register, U.S. Customs officers must require, at the same time as

importers would normally deposit estimated duties on this merchandise,

a cash deposit equal to the countervailable subsidy rates noted below.

The All Others rates apply to all producers and exporters of stainless

steel plate in coils from Belgium, Italy and South Africa not

specifically listed below. The cash deposit rates are as follows:

Ad Valorem Rates

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

Producer/exporter Net subsidy rate

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

Belgium:

ALZ....................................... 2.00 percent.

All Others................................ 2.00 percent.

ItalyNet

Acciai Speciali Terni..................... 15.16 percent.

All Others................................ 15.16 percent.

South Africa:

Columbus Stainless (the operating division 3.95 percent.

of the Columbus Joint Venture).

All Others................................ 3.95 percent.

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

This notice constitutes the countervailing duty orders with respect

to stainless steel plate in coils from Belgium, Italy and South Africa,

pursuant to section 706(a) of the Act. Interested parties may contact

the Central Records Unit, Room B-099 of the Main Commerce Building, for

copies of an updated list of countervailing duty orders currently in

effect.

These countervailing duty orders and amended finals are published

in accordance with section 706(a) and 705 of the Act and 19 CFR 351.211

and 351.224.

Dated: May 5, 1999.

Robert S. LaRussa

Assistant Secretary for Import Administration.

[FR Doc. 99-11888 Filed 5-10-99; 8:45 am]

BILLING CODE 3510-DS-P