[Federal Register Volume 70, Number 238 (Tuesday, December 13, 2005)]
[Notices]
[Pages 73729-73731]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-7281]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
(A-428-825)
Stainless Steel Sheet and Strip in Coils From Germany; Notice of
Final Results of Antidumping Duty Administrative Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of Final Results of Antidumping Duty Administrative
Review.
-----------------------------------------------------------------------
SUMMARY: On August 8, 2005, the Department of Commerce (the Department)
published the preliminary results of administrative review of the
antidumping duty order covering stainless steel sheet and strip in
coils from Germany. See Stainless Steel Sheet and Strip in Coils from
Germany; Notice of Preliminary Results of Antidumping Duty
Administrative Review, 70 FR 45682 (August 8, 2005) (Preliminary
Results). The merchandise covered by this order is stainless steel
sheet and strip in coils as described in the ``Scope of the Order''
section of this notice. The period of review (POR) is July 1, 2003
through June 30, 2004. We invited parties to comment on our Preliminary
Results. Based on our analysis of the comments received, we have made
changes to the margin calculation. Therefore, the final results differ
from the preliminary results. The final weighted-average dumping margin
for the reviewed firm is listed below in the section entitled ``Final
Results of the Review.''
EFFECTIVE DATE: December 13, 2005.
FOR FURTHER INFORMATION CONTACT: Deborah Scott, Tyler Weinhold, or
Robert James, AD/CVD Operations, Office 7, Import Administration,
International Trade Administration, U.S. Department of Commerce, 14th
Street and Constitution Avenue, NW., Washington, DC 20230, telephone:
(202) 482-2657, (202) 482-1121 or (202) 482-0649, respectively.
SUPPLEMENTARY INFORMATION:
Background
On August 8, 2005, the Department of Commerce published the
preliminary results of administrative review of the antidumping order
covering stainless steel sheet and strip in coils from Germany. See
Preliminary Results. In the Preliminary Results we invited parties to
provide comments. In response, the Department received case briefs from
ThyssenKrupp Nirosta GmbH, ThyssenKrupp VDM GmbH (TKVDM), ThyssenKrupp
Nirosta Pr[auml]zisionsband GmbH (TKNP), and their various affiliates
(collectively, TKN) and from Allegheny Ludlum, North American
Stainless, Local 3303 United Auto Workers, United Steelworkers of
America, AFL-CIO/CLC, and Zanesville Armco Independent Organization
(collectively, Petitioners) on September 7, 2005. Petitioners submitted
a rebuttal brief on September 14, 2005. TKN did not submit a rebuttal
brief.
Scope of the Order
The products covered by this order are certain stainless steel
sheet and strip 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 sheet and strip
is a flat-rolled product in coils that is greater than 9.5 mm in width
and less than 4.75 mm in thickness, and that is annealed or otherwise
heat treated and pickled or otherwise descaled. The subject sheet and
strip may also be further processed (e.g., cold-rolled, polished,
aluminized, coated, etc.) provided that it maintains the specific
dimensions of sheet and strip following such processing. The
merchandise subject to this order is currently classifiable in the
Harmonized Tariff Schedule of the United States (HTSUS) at subheadings:
7219.13.0031, 7219.13.0051, 7219.13.0071, 7219.1300.81 \1\,
7219.14.0030, 7219.14.0065, 7219.14.0090, 7219.32.0005, 7219.32.0020,
7219.32.0025, 7219.32.0035, 7219.32.0036, 7219.32.0038, 7219.32.0042,
7219.32.0044, 7219.33.0005, 7219.33.0020, 7219.33.0025, 7219.33.0035,
7219.33.0036, 7219.33.0038, 7219.33.0042, 7219.33.0044, 7219.34.0005,
7219.34.0020, 7219.34.0025, 7219.34.0030, 7219.34.0035, 7219.35.0005,
7219.35.0015, 7219.35.0030, 7219.35.0035, 7219.90.0010, 7219.90.0020,
7219.90.0025, 7219.90.0060, 7219.90.0080, 7220.12.1000, 7220.12.5000,
7220.20.1010, 7220.20.1015, 7220.20.1060, 7220.20.1080, 7220.20.6005,
7220.20.6010, 7220.20.6015, 7220.20.6060, 7220.20.6080, 7220.20.7005,
7220.20.7010, 7220.20.7015, 7220.20.7060, 7220.20.7080, 7220.20.8000,
7220.20.9030, 7220.20.9060, 7220.90.0010, 7220.90.0015, 7220.90.0060,
and 7220.90.0080. Although the HTSUS subheadings are provided for
convenience and customs purposes, the Department's written description
of the merchandise under this order is dispositive.
---------------------------------------------------------------------------
\1\ Due to changes to the HTS numbers in 2001, 7219.13.0030,
7219.13.0050, 7219.13.0070, and 7219.13.0080 are now 7219.13.0031,
7219.13.0051, 7219.13.0071, and 7219.13.0081, respectively.
---------------------------------------------------------------------------
Excluded from the scope of the order are the following: (1) Sheet
and strip that is not annealed or otherwise heat treated and pickled or
otherwise descaled, (2) sheet and strip that is cut to length, (3)
plate (i.e., flat-rolled stainless steel products of a thickness of
4.75 mm or more), (4) flat wire (i.e., cold-rolled sections, with a
prepared edge, rectangular in shape, of a width of not more than 9.5
mm), and (5) razor blade steel. Razor blade steel is a flat-rolled
product of stainless steel, not further worked than cold-rolled (cold-
reduced), in coils, of a width of not more than 23 mm and a thickness
of 0.266 mm or less, containing, by weight, 12.5 to 14.5 percent
chromium, and certified at the time of entry to be used in the
manufacture of razor blades. See chapter 72 of the HTSUS, ``Additional
U.S. Note'' 1(d).
Flapper valve steel is also excluded from the scope of the order.
This product is defined as stainless steel strip in coils containing,
by weight, between 0.37 and 0.43 percent carbon, between 1.15 and 1.35
percent molybdenum, and between 0.20 and 0.80 percent manganese. This
steel also contains, by weight, phosphorus of 0.025 percent or less,
silicon of between 0.20 and 0.50 percent, and sulfur of 0.020 percent
or less. The product is manufactured by means of vacuum arc remelting,
with inclusion controls for sulphide of no more than 0.04 percent and
for oxide of no more than 0.05 percent. Flapper valve steel has a
tensile strength of between 210 and 300 ksi, yield strength of between
170 and 270 ksi, plus or minus 8 ksi, and a hardness (Hv) of between
460 and 590. Flapper valve steel is most commonly used to produce
specialty flapper valves in compressors.
[[Page 73730]]
Also excluded is a product referred to as suspension foil, a
specialty steel product used in the manufacture of suspension
assemblies for computer disk drives. Suspension foil is described as
302/304 grade or 202 grade stainless steel of a thickness between 14
and 127 microns, with a thickness tolerance of plus-or-minus 2.01
microns, and surface glossiness of 200 to 700 percent Gs. Suspension
foil must be supplied in coil widths of not more than 407 mm, and with
a mass of 225 kg or less. Roll marks may only be visible on one side,
with no scratches of measurable depth. The material must exhibit
residual stresses of 2 mm maximum deflection, and flatness of 1.6 mm
over 685 mm length.
Certain stainless steel foil for automotive catalytic converters is
also excluded from the scope of this order. This stainless steel strip
in coils is a specialty foil with a thickness of between 20 and 110
microns used to produce a metallic substrate with a honeycomb structure
for use in automotive catalytic converters. The steel contains, by
weight, carbon of no more than 0.030 percent, silicon of no more than
1.0 percent, manganese of no more than 1.0 percent, chromium of between
19 and 22 percent, aluminum of no less than 5.0 percent, phosphorus of
no more than 0.045 percent, sulfur of no more than 0.03 percent,
lanthanum of less than 0.002 or greater than 0.05 percent, and total
rare earth elements of more than 0.06 percent, with the balance iron.
Permanent magnet iron-chromium-cobalt alloy stainless strip is also
excluded from the scope of this order. This ductile stainless steel
strip contains, by weight, 26 to 30 percent chromium, and 7 to 10
percent cobalt, with the remainder of iron, in widths 228.6 mm or less,
and a thickness between 0.127 and 1.270 mm. It exhibits magnetic
remanence between 9,000 and 12,000 gauss, and a coercivity of between
50 and 300 oersteds. This product is most commonly used in electronic
sensors and is currently available under proprietary trade names such
as ``Arnokrome III.'' \2\
---------------------------------------------------------------------------
\2\ ``Arnokrome III'' is a trademark of the Arnold Engineering
Company.
---------------------------------------------------------------------------
Certain electrical resistance alloy steel is also excluded from the
scope of this order. This product is defined as a non-magnetic
stainless steel manufactured to American Society of Testing and
Materials (ASTM) specification B344 and containing, by weight, 36
percent nickel, 18 percent chromium, and 46 percent iron, and is most
notable for its resistance to high temperature corrosion. It has a
melting point of 1390 degrees Celsius and displays a creep rupture
limit of 4 kilograms per square millimeter at 1000 degrees Celsius.
This steel is most commonly used in the production of heating ribbons
for circuit breakers and industrial furnaces, and in rheostats for
railway locomotives. The product is currently available under
proprietary trade names such as ``Gilphy 36.'' \3\
---------------------------------------------------------------------------
\3\ ``Gilphy 36'' is a trademark of Imphy, S.A.
---------------------------------------------------------------------------
Certain martensitic precipitation-hardenable stainless steel is
also excluded from the scope of this order. This high-strength, ductile
stainless steel product is designated under the Unified Numbering
System (UNS) as S45500-grade steel, and contains, by weight, 11 to 13
percent chromium, and 7 to 10 percent nickel. Carbon, manganese,
silicon and molybdenum each comprise, by weight, 0.05 percent or less,
with phosphorus and sulfur each comprising, by weight, 0.03 percent or
less. This steel has copper, niobium, and titanium added to achieve
aging, and will exhibit yield strengths as high as 1700 Mpa and
ultimate tensile strengths as high as 1750 Mpa after aging, with
elongation percentages of 3 percent or less in 50 mm. It is generally
provided in thicknesses between 0.635 and 0.787 mm, and in widths of
25.4 mm. This product is most commonly used in the manufacture of
television tubes and is currently available under proprietary trade
names such as ``Durphynox 17.'' \4\
---------------------------------------------------------------------------
\4\ ``Durphynox 17'' is a trademark of Imphy, S.A.
---------------------------------------------------------------------------
Finally, three specialty stainless steels typically used in certain
industrial blades and surgical and medical instruments are also
excluded from the scope of this order. These include stainless steel
strip in coils used in the production of textile cutting tools (e.g.,
carpet knives).\5\ This steel is similar to AISI grade 420 but
containing, by weight, 0.5 to 0.7 percent of molybdenum. The steel also
contains, by weight, carbon of between 1.0 and 1.1 percent, sulfur of
0.020 percent or less, and includes between 0.20 and 0.30 percent
copper and between 0.20 and 0.50 percent cobalt. This steel is sold
under proprietary names such as ``GIN4 Mo.'' The second excluded
stainless steel strip in coils is similar to AISI 420-J2 and contains,
by weight, carbon of between 0.62 and 0.70 percent, silicon of between
0.20 and 0.50 percent, manganese of between 0.45 and 0.80 percent,
phosphorus of no more than 0.025 percent and sulfur of no more than
0.020 percent. This steel has a carbide density on average of 100
carbide particles per 100 square microns. An example of this product is
``GIN5'' steel. The third specialty steel has a chemical composition
similar to AISI 420 F, with carbon of between 0.37 and 0.43 percent,
molybdenum of between 1.15 and 1.35 percent, but lower manganese of
between 0.20 and 0.80 percent, phosphorus of no more than 0.025
percent, silicon of between 0.20 and 0.50 percent, and sulfur of no
more than 0.020 percent. This product is supplied with a hardness of
more than Hv 500 guaranteed after customer processing, and is supplied
as, for example, ``GIN6.'' \6\
---------------------------------------------------------------------------
\5\ This list of uses is illustrative and provided for
descriptive purposes only.
\6\ ``GIN4 Mo,'' ``GIN5'' and ``GIN6'' are the proprietary
grades of Hitachi Metals America, Ltd.
---------------------------------------------------------------------------
Analysis of Comments Received
All issues raised by parties in the case briefs and in Petitioners'
rebuttal brief to this administrative review are addressed in the
Issues and Decision Memorandum from Stephen Claeys, Deputy Assistant
Secretary for Import Administration to Joseph A. Spetrini, Acting
Assistant Secretary for Import Administration (Decision Memorandum),
dated December 6, 2005, which is hereby adopted by this notice. A list
of the issues which parties have raised and to which we have responded,
all of which are in the Decision Memorandum, is attached to this notice
as an appendix. The Decision Memorandum is on file in room B-099 of the
main Department of Commerce building. In addition, a complete version
of the Decision Memorandum can be accessed directly on the internet at
http://www.ia.ita.doc.gov. The paper copy and electronic version of the
Decision Memorandum are identical in content.
Changes Since the Preliminary Results
Based on our analysis of comments received, we have made changes to
the margin calculation. The changes are listed below:
We have calculated home market early payment discounts and
rebates on a concern (i.e., affiliated-family grouping) basis rather
than on the basis of individual customers, where applicable.
We have disregarded from our analysis all home market
sales by Nirosta Service Center (NSC) that were coded as sales of non-
prime merchandise.
For the preliminary results, certain cost of production
(COP) data had been inadvertently eliminated from our analysis, thereby
causing
[[Page 73731]]
certain U.S. sales to be excluded from our analysis since they had no
matching cost data. Therefore, for these final results we inserted
programming language to maintain these COP data in our analysis.
We corrected the data in the grade field for certain home
market observations that had been coded incorrectly.
Final Results of the Review
We determine the following percentage weighted-average margin
exists for the period July 1, 2003, through June 30, 2004:
------------------------------------------------------------------------
Weighted Average
Manufacturer/Exporter Margin
(percentage)
------------------------------------------------------------------------
TKN................................................. 9.50
------------------------------------------------------------------------
Assessment
The Department shall determine, and U.S. Bureau of Customs and
Border Protection (CBP) shall assess, antidumping duties on all
appropriate entries. In accordance with 19 CFR 351.212(b)(1), the
Department calculates an assessment rate for each importer of the
subject merchandise. Upon issuance of the final results of this review,
if any importer-specific assessment rates calculated in the final
results are above de minimis (i.e., at or above 0.5 percent), we will
issue appraisement instructions directly to CBP to assess antidumping
duties on appropriate entries by applying the assessment rate to the
entered value of the merchandise. To determine whether the duty-
assessment rate covering the period is de minimis, in accordance with
the requirement set forth in 19 CFR 351.106(c)(2), we have calculated
an importer-specific assessment ad valorem rate by aggregating the
dumping margins calculated for all U.S. sales to each customer or
importer and dividing this amount by the total quantity sold to that
customer or importer. Where the importer-specific ad valorem rate is
greater than de minimis, and where the respondent has reported reliable
entered values, we instruct CBP to apply the assessment rate to the
entered value of the importer's entries during the POR. The Department
will issue appropriate assessment instructions directly to CBP within
15 days of publication of the final results of this review.
Cash Deposit Requirements
The following deposit requirements will be effective upon
publication of this notice of final results of administrative review
for all shipments of stainless steel sheet and strip in coils from
Germany entered, or withdrawn from warehouse, for consumption on or
after the date of publication, as provided by section 751(a)(1) of the
Tariff Act of 1930, as amended (the Tariff Act): (1) The cash deposit
rate for the reviewed company will be the rate shown above; (2) for
previously reviewed or investigated companies not listed above, the
cash deposit rate will continue to be the company-specific rate
published for the most recent period; (3) if the exporter is not a firm
covered in this review, a prior 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 (4) the cash deposit rate for all
other manufacturers or exporters will continue to be 13.48 percent.
This rate is the ``All Others'' rate from the amended final
determination in the LTFV investigation of stainless steel sheet and
strip in coils from Germany. See Stainless Steel Sheet and Strip in
Coils From Germany: Amended Final Determination of Antidumping Duty
Investigation, 67 FR 15178, 15179 (March 29, 2002).
These deposit requirements shall remain in effect until publication
of the final results of the next administrative review.
Reimbursement
This notice also serves as a final reminder to importers of their
responsibility under 19 CFR 351.402(f) to file a certificate regarding
the reimbursement of antidumping or countervailing duties prior to
liquidation of the relevant entries during this review period. Failure
to comply with this requirement could result in the Secretary's
presumption that reimbursement of antidumping or countervailing duties
occurred and the subsequent assessment of doubled antidumping duties.
Notification Regarding Administrative Protective Orders
This notice also serves as a reminder to parties subject to
administrative protective orders (APO) of their responsibility
concerning the return or destruction of proprietary information
disclosed under APO in accordance with 19 CFR 351.305. Timely written
notification of the return or destruction of APO materials or
conversion to judicial protective order is hereby requested. Failure to
comply with the regulations and terms of an APO is a violation which is
subject to sanction.
We are issuing and publishing this notice in accordance with
sections 751(a)(1) and 777(i) of the Tariff Act.
Dated: December 6, 2005.
Joseph A. Spetrini,
Acting Assistant Secretary for Import Administration.
Appendix
Comments and Responses
1. Whether to Split Gauge Group 70
2. Calculation of Interest Expense
3. Home Market Rebates and Early Payment Discounts
4. Distinguishing between Prime and Non-Prime Sales in Conducting the
Cost Test
5. Treatment of Non-Dumped Sales
6. Reclassification of Non-Prime Products
7. Dropped U.S. Sales
8. Misclassified Grades
[FR Doc. E5-7281 Filed 12-12-05; 8:45 am]
BILLING CODE 3510-DS-S