Certain Corrosion-Resistant Carbon Steel Flat Products From Japan: Notice of Initiation and Preliminary Results of Changed Circumstances Review and Intent to Revoke Antidumping Order in Part

DEPARTMENT OF COMMERCE

International Trade Administration

[A-588-824]

Certain Corrosion-Resistant Carbon Steel Flat Products From

Japan: Notice of Initiation and Preliminary Results of Changed

Circumstances Review and Intent to Revoke Antidumping Order in Part

AGENCY: Import Administration, International Trade Administration,

Department of Commerce.

ACTION: Notice of initiation and preliminary results of changed

circumstances review, and intent to revoke antidumping order in part.

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SUMMARY: In accordance with 19 CFR 351.216(b), Taiho Corporation of

America (Taiho America) requested a changed circumstances review of the

antidumping order on Certain Corrosion-Resistant Carbon Steel Flat

Products from Japan. In response to Taiho's request, the Department of

Commerce (the Department) is initiating a changed circumstances review

and issuing a notice of intent to revoke in part the antidumping duty

order on

[[Page 48580]]

certain corrosion-resistant carbon steel flat products from Japan.

Interested parties are invited to comment on these preliminary results.

EFFECTIVE DATE: September 7, 1999.

FOR FURTHER INFORMATION CONTACT: Sarah Ellerman or Maureen Flannery,

Import Administration, International Trade Administration, U.S.

Department of Commerce, 14th Street and Constitution Avenue, N.W.,

Washington, D.C. 20230; telephone: (202) 482-4106, (202) 482-3020,

respectively.

The 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 regulations as

codified at 19 CFR Part 351 (1998).

SUPPLEMENTARY INFORMATION:

Background

On August 27, 1999, Taiho America requested that the Department

revoke in part the antidumping duty order on certain corrosion-

resistant carbon steel flat products from Japan. Specifically, Taiho

America requested that the Department revoke the order with respect to

imports of the following merchandise: (1) Carbon steel flat products

measuring 0.97 mm in thickness and 20 mm in width consisting of carbon

steel coil (SAE 1008) with a two-layer lining, the first layer

consisting of a copper-lead-tin alloy powder that is balance copper,

9%-11% tin, 9%-11% lead, less than 1% zinc, less than 1% other

materials and meeting the requirements of SAE standard 792 for Bearing

and Bushing Alloys, the second layer consists of 45%-55% lead, 38%-50%

polytetrafluorethylene (PTFE) and 3%-5% molybdenum disulfide and less

than 2% other materials; and (2) carbon steel flat products measuring

1.84 mm in thickness and 43.6 mm or 16.1 mm in width consisting of

carbon steel coil (SAE 1008) clad with an aluminum alloy that is

balance aluminum, 20% tin, 1% copper, 0.3% silicon, 0.15% nickel less

than 1% other materials and meeting the requirements of SAE standard

783 for Bearing and Bushing Alloys. Taiho America, a domestic

manufacturer of plain sleeve bushings, is an importer of the products

in question.

Scope of Antidumping Order

This antidumping duty order on certain corrosion-resistant steel

flat products covers flat-rolled carbon steel products, of rectangular

shape, either clad, plated, or coated with corrosion-resistant metals

such as zinc, aluminum, or zinc-, aluminum-, nickel-or iron-based

alloys, whether or not corrugated or painted, varnished or coated with

plastics or other nonmetallic substances in addition to the metallic

coating, 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

7210.30.0030, 7210.30.0060, 7210.41.0000, 7210.49.0030, 7210.49.0090,

7210.61.0000, 7210.69.0000, 7210.70.6030, 7210.70.6060, 7210.70.6090,

7210.90.1000, 7210.90.6000, 7210.90.9000, 7212.20.0000, 7212.30.1030,

7212.30.1090, 7212.30.3000, 7212.30.5000, 7212.40.1000, 7212.40.5000,

7212.50.0000, 7212.60.0000, 7215.90.1000, 7215.90.3000, 7215.90.5000,

7217.20.1500, 7217.30.1530, 7217.30.1560, 7217.90.1000, 7217.90.5030,

7217.90.5060, and 7217.90.5090. Included are flat-rolled products of

non-rectangular 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 are flat-rolled steel

products either plated or coated with tin, lead, chromium, chromium

oxides, both tin and lead (``terne plate''), or both chromium and

chromium oxides (``tin-free steel''), whether or not painted, varnished

or coated with plastics or other nonmetallic substances in addition to

the metallic coating. Also excluded are clad products in straight

lengths of 0.1875 inch or more in composite thickness and of a width

which exceeds 150 millimeters and measures at least twice the

thickness. Also excluded are certain clad stainless flat-rolled

products, which are three-layered corrosion-resistant carbon steel

flat-rolled products less than 4.75 millimeters in composite thickness

that consist of a carbon steel flat-rolled product clad on both sides

with stainless steel in a 20%-60%-20% ratio. The HTS item numbers are

provided for convenience and Customs purposes. The written description

remains dispositive of the scope of this review.

Also excluded are certain corrosion-resistant carbon steel flat

products meeting the following specifications: (1) widths ranging from

10 millimeters (0.394 inches) through 100 millimeters (3.94 inches);

(2) thicknesses, including coatings, ranging from 0.11 millimeters

(0.004 inches) through 0.60 millimeters (0.024 inches); and (3) a

coating that is from 0.003 millimeters (0.00012 inches) through 0.005

millimeters (0.000196 inches) in thickness and that is comprised of

either two evenly applied layers, the first layer consisting of 99%

zinc, 0.5% cobalt, and 0.5% molybdenum, followed by a layer consisting

of chromate, or three evenly applied layers, the first layer consisting

of 99% zinc, 0.5% cobalt, and 0.5% molybdenum followed by a layer

consisting of chromate, and finally a layer consisting of silicate.

Initiation and Preliminary Results of Changed Circumstances Review,

and Intent To Revoke Order in Part

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

Department may revoke an antidumping or countervailing duty order, in

whole or in part, 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 review to be conducted upon receipt of

a request which shows changed circumstances sufficient to warrant a

review. Section 351.222(g) of the Department's regulations provides

that the Department will conduct a changed circumstances review under

19 CFR 351.216, and may revoke an order (in whole or in part), if it

determines that producers accounting for substantially all of the

production of the domestic like product have expressed a lack of

interest in the relief provided by the order, in whole or in part, or

if other changed circumstances sufficient to warrant revocation exist.

In addition, in the event that the Department concludes that expedited

action is warranted, 19 CFR 351.221(c)(3)(ii) permits the Department to

combine the notices of initiation and preliminary results.

In accordance with sections 751(d)(1) and 782(h)(2) of the Act, and

19 CFR 351.216 and 351.222(g), based on affirmative statements by

domestic producers of the like product, Bethlehem Steel Corporation,

Ispat Inland Steel Industries, Inc, LTV Steel Co., Inc., National Steel

Corporation,

[[Page 48581]]

and U.S. Steel Group, a unit of USX Corporation, of no further interest

in continuing the order with respect to corrosion-resistant carbon

steel flat products measuring 0.97 mm in thickness and 20 mm in width

consisting of carbon steel coil, SAE 1010 or 1012, with a two-layer

lining, the first layer consisting of a copper-lead-tin alloy powder

that is 76%-80% copper, 9%-11% tin, 9%-11% lead, and under 1% zinc and

meeting the requirements of SAE standard 792 for Bearing and Bushing

Alloys, the second layer consisting of 45%-55% lead, 38%-50% PTFE, and

3%-5% molybdenum disulfide, we are initiating this changed

circumstances review. We are also initiating a changed circumstances

review, based on affirmative statements, by the domestic producers

listed above, of no further interest in continuing the order with

respect to corrosion-resistant carbon steel flat products measuring

1.84 mm in thickness and 43.6 mm or 16.1 mm in width consisting of

carbon steel coil (SAE 1008) clad with an aluminum alloy that is

balance aluminum, 20% tin, 1% copper, 0.3% silicon, 0.15% nickel less

than 1% other materials and meeting the requirements of SAE standard

783 for Bearing and Bushing Alloys. Furthermore, we determine that

expedited action is warranted, and we preliminarily determine that

continued application of the order with respect to corrosion-resistant

carbon steel flat products falling within the descriptions above 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

duty order on certain corrosion-resistant carbon steel flat products

from Japan with respect to imports of the above-specified products.

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

U.S. Customs Service (Customs) to liquidate without regard to

antidumping duties, as applicable, and to refund any estimated

antidumping duties collected for all unliquidated entries of corrosion-

resistant carbon steel flat products, with the dimensions and chemical

composition of coatings indicated above, not subject to final results

of administrative review as of the date of publication in the Federal

Register of the final results of this changed circumstances review in

accordance with 19 CFR 351.222. 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 duties

on corrosion-resistant carbon steel flat products, with the dimensions

and coatings indicated above, will continue unless and until we publish

a final determination to revoke in part.

Public Comment

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. Parties to the proceedings may request a

hearing within 14 days of publication. Any hearing, if requested, will

be held no later than 2 days after the deadline for the submission of

rebuttal briefs, or the first workday thereafter. Case briefs may be

submitted by interested parties not later than 14 days after the date

of publication of this notice. Rebuttal briefs, limited to the issues

raised in the case briefs, may be filed not later than 5 days after the

deadline for submission of case briefs. All written comments shall be

submitted in accordance with 19 CFR 351.303 and shall be served on all

interested parties on the Department's service list in accordance with

19 CFR 351.303. 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 this changed circumstances

review, including the results of its analysis of issues raised in any

written comments.

This notice is published in accordance with section 751(b)(1) of

the Act and 19 CFR 351.216 and 351.222.

Dated: August 30, 1999.

Robert S. LaRussa,

Assistant Secretary for Import Administration.

[FR Doc. 99-23209 Filed 9-3-99; 8:45 am]

BILLING CODE 3510-DS-P