FINAL DETERMINATION IN THE DUMPING INVESTIGATION OF COLD-ROLLED CS FLAT PRODUCTS FROM BRAZIL (A-351-834)

MESSAGE NO: 2277204 DATE: 10 04 2002 CATEGORY: ADA TYPE: FNO REFERENCE: REFERENCE DATE: CASES: A - 351 - 834 - - - - - - - - - - PERIOD COVERED: 10 03 2002 TO LIQ SUSPENSION DATE: TO: DIRECTORS OF FIELD OPERATIONS PORT DIRECTORS FROM: DIRECTOR, SPECIAL ENFORCEMENT RE: FINAL DETERMINATION IN THE DUMPING INVESTIGATION OF COLD-ROLLED CS FLAT PRODUCTS FROM BRAZIL (A-351-834) 1. ON OCTOBER 3, 2002, THE DEPARTMENT OF COMMERCE PUBLISHED IN THE FEDERAL REGISTER ITS FINAL DETERMINATION IN THE INVESTIGATION OF CERTAIN COLD-ROLLED CARBON STEEL FLAT PRODUCTS FROM BRAZIL (67 FR 62134). ON AUGUST 14, 2002, THE SCOPE OF THE CONCURRENT COLD- ROLLED CARBON STEEL FLAT PRODUCTS INVESTIGATIONS WAS CORRECTED (SPECIFICALLY, THERE WERE MODIFICATIONS TO THE EXCLUSIONS FROM THE SCOPE). FOR THE REVISED SCOPE, SEE THE "SCOPE APPENDIX" ATTACHED TO THE NOTICE OF CORRECTION TO THE FINAL DETERMINATION OF SALES AT LESS THAN FAIR VALUE: CERTAIN COLD-ROLLED CARBON STEEL FLAT PRODUCTS FROM AUSTRALIA, 67 FR 52934 (AUGUST 14, 2002). 2. FOR PURPOSES OF THIS INVESTIGATION, THE TERM "CERTAIN COLD- ROLLED CARBON STEEL FLAT PRODUCTS" INCLUDES COLD-ROLLED (COLD- REDUCED) FLAT-ROLLED CARBON-QUALITY STEEL PRODUCTS, NEITHER CLAD, PLATED, NOR COATED WITH METAL, BUT WHETHER OR NOT ANNEALED, PAINTED, VARNISHED, OR COATED WITH PLASTICS OR OTHER NON-METALLIC SUBSTANCES, BOTH IN COILS, 0.5 INCH WIDE OR WIDER, (WHETHER OR NOT IN SUCCESSIVELY SUPERIMPOSED LAYERS AND/OR OTHERWISE COILED, SUCH AS SPIRALLY OSCILLATED COILS), AND ALSO IN STRAIGHT LENGTHS, WHICH, IF LESS THAN 4.75 MM IN THICKNESS HAVING A WIDTH THAT IS 0.5 INCH OR GREATER AND THAT MEASURES AT LEAST 10 TIMES THE THICKNESS; OR, IF OF A THICKNESS OF 4.75 MM OR MORE, HAVING A WIDTH EXCEEDING 150 MM AND MEASURING AT LEAST TWICE THE THICKNESS. THE PRODUCTS DESCRIBED ABOVE MAY BE RECTANGULAR, SQUARE, CIRCULAR OR OTHER SHAPE AND INCLUDE PRODUCTS OF EITHER RECTANGULAR OR NON-RECTANGULAR CROSS-SECTION. SPECIFICALLY INCLUDED IN THIS SCOPE ARE VACUUM DEGASSED, FULLY STABILIZED (COMMONLY REFERRED TO AS INTERSTITIAL-FREE ("IF")) STEELS, HIGH STRENGTH LOW ALLOY ("HSLA") STEELS, AND MOTOR LAMINATION STEELS. IF STEELS ARE RECOGNIZED AS LOW CARBON STEELS WITH MICRO-ALLOYING LEVELS OF ELEMENTS SUCH AS TITANIUM AND/OR NIOBIUM ADDED TO STABILIZE CARBON AND NITROGEN ELEMENTS. HSLA STEELS ARE RECOGNIZED AS STEELS WITH MICRO-ALLOYING LEVELS OF ELEMENTS SUCH AS CHROMIUM, COPPER, NIOBIUM, TITANIUM, VANADIUM, AND MOLYBDENUM. MOTOR LAMINATION STEELS CONTAIN MICRO-ALLOYING LEVELS OF ELEMENTS SUCH AS SILICON AND ALUMINUM. STEEL PRODUCTS INCLUDED IN THE SCOPE OF THIS INVESTIGATION, REGARDLESS OF DEFINITIONS IN THE HARMONIZED TARIFF SCHEDULES OF THE UNITED STATES ("HTSUS"), ARE PRODUCTS IN WHICH: (1) IRON PREDOMINATES, BY WEIGHT, OVER EACH OF THE OTHER CONTAINED ELEMENTS; (2) THE CARBON CONTENT IS 2 PERCENT OR LESS, BY WEIGHT, AND; (3) NONE OF THE ELEMENTS LISTED BELOW EXCEEDS THE QUANTITY, BY WEIGHT, RESPECTIVELY INDICATED: 1.80 PERCENT OF MANGANESE, OR 2.25 PERCENT OF SILICON, OR 1.00 PERCENT OF COPPER, OR 0.50 PERCENT OF ALUMINUM, OR 1.25 PERCENT OF CHROMIUM, OR 0.30 PERCENT OF COBALT, OR 0.40 PERCENT OF LEAD, OR 1.25 PERCENT OF NICKEL, OR 0.30 PERCENT OF TUNGSTEN, OR 0.10 PERCENT OF MOLYBDENUM, OR 0.10 PERCENT OF NIOBIUM (ALSO CALLED COLUMBIUM), OR 0.15 PERCENT OF VANADIUM, OR 0.15 PERCENT OF ZIRCONIUM. ALL PRODUCTS THAT MEET THE WRITTEN PHYSICAL DESCRIPTION, AND IN WHICH THE CHEMISTRY QUANTITIES DO NOT EXCEED ANY ONE OF THE NOTED ELEMENT LEVELS LISTED ABOVE, ARE WITHIN THE SCOPE OF THIS INVESTIGATION UNLESS SPECIFICALLY EXCLUDED. THE MERCHANDISE SUBJECT TO THIS INVESTIGATION IS TYPICALLY CLASSIFIED IN THE HTSUS AT SUBHEADINGS: 7209.15.0000, 7209.16.0030, 7209.16.0060, 7209.16.0090, 7209.17.0030, 7209.17.0060, 7209.17.0090, 7209.18.1530, 7209.18.1560, 7209.18.2550, 7209.18.6000. 7209.25.0000, 7209.26.0000, 7209.27.0000, 7209.28.0000, 7209.90.0000, 7210.70.3000, 7210.90.9000, 7211.23.1500, 7211.23.2000, 7211.23.3000, 7211.23.4500, 7211.23.6030, 7211.23.6060, 7211.23.6085, 7211.29.2030, 7211.29.2090, 7211.29.4500, 7211.29.6030, 7211.29.6080, 7211.90.0000, 7212.40.1000, 7212.40.5000, 7212.50.0000, 7225.19.0000, 7225.50.6000, 7225.50.7000, 7225.50.8010, 7225.50.8085, 7225.99.0090, 7226.19.1000, 7226.19.9000, 7226.92.5000, 7226.92.7050, 7226.92.8050, AND 7226.99.0000. ALTHOUGH THE HTSUS SUBHEADINGS ARE PROVIDED FOR CONVENIENCE AND U.S. CUSTOMS SERVICE ("U.S. CUSTOMS") PURPOSES, THE WRITTEN DESCRIPTION OF THE MERCHANDISE UNDER INVESTIGATION IS DISPOSITIVE. PLEASE NOTE: THERE ARE A NUMBER OF EXCLUSIONS INCLUDED IN THE SCOPE LANGUAGE OF THIS INVESTIGATION, BUT DUE TO FORMATTING COMPLICATIONS WE ARE UNABLE TO INCLUDE THEM IN THIS EMAIL. AS NOTED ABOVE IN PARAGRAPH 1, THESE EXCLUSIONS HAVE BEEN MODIFIED SINCE THE PRELIMINARY DETERMINATION. FOR A FULL DESCRIPTION OF THE FINAL SCOPE OF THIS INVESTIGATION, PLEASE SEE THE "SCOPE APPENDIX" ATTACHED TO THE NOTICE OF CORRECTION TO THE FINAL DETERMINATION OF SALES AT LESS THAN FAIR VALUE: CERTAIN COLD- ROLLED CARBON STEEL FLAT PRODUCTS FROM AUSTRALIA, 67 FR 52934 (AUGUST 14, 2002), PUBLISHED BEFORE THE FINAL DETERMINATION OF SALES AT LESS THAN FAIR VALUE IN THE ANTIDUMPING DUTY INVESTIGATION OF CERTAIN COLD-ROLLED CARBON STEEL FLAT PRODUCTS FROM BRAZIL. 3. FOR FURTHER REPORTING PURPOSES THIS CASE HAS BEEN ASSIGNED INVESTIGATION NUMBER A-351-834. 4. PLEASE NOTE THAT INSTRUCTIONS REGARDING THE SUSPENSION OF LIQUIDATION AND THE CASH DEPOSIT OR BOND REQUIREMENTS WITH RESPECT TO THE FINAL DETERMINATION IN THE COUNTERVAILING DUTY INVESTIGATION OF CERTAIN COLD-ROLLED CARBON STEEL FLAT PRODUCTS FROM BRAZIL WILL BE TRANSMITTED SEPARATELY UNDER INVESTIGATION NUMBER C-351-835. 5. FOR IMPORTS OF CERTAIN COLD-ROLLED CARBON STEEL FLAT PRODUCTS FROM BRAZIL, U.S. CUSTOMS SHALL CONTINUE TO SUSPEND LIQUIDATION OF SUCH SHIPMENTS ENTERED OR WITHDRAWN FROM WAREHOUSE, FOR CONSUMPTION ON OR AFTER MAY 9, 2002. EFFECTIVE OCTOBER 03,2002 CUSTOMS SHALL REQUIRE, FOR SUCH ENTRIES, A CASH DEPOSIT OR THE POSTING OF A BOND EQUAL TO THE MARGINS SHOWN BELOW: MFR/PRODUCER CUSTOMS ID MARGIN EXPORTER NUMBER PERCENTAGE USINAS SIDERURGICAS DE A-351-834-001 33.88 MINAS GERAIS S.A. COMPANHIA A-351-834-002 33.88 SIDERURGICA PAULISTA ALL OTHERS A-351-834-000 33.88 6. IN ACCORDANCE WITH THE LONGSTANDING POLICY OF THE 1985 TREASURY DECISION AND MEMORANDUM OF AGREEMENT (MOA) BETWEEN COMMERCE AND CUSTOMS, T.D. 85-145, AT THE DISCRETION OF U.S. CUSTOMS, U.S. CUSTOMS OFFICERS MAY ACCEPT EITHER A SINGLE-ENTRY BASIC IMPORTATION AND ENTRY BOND OR A CONTINUOUS BASIC IMPORTATION AND ENTRY BOND ONLY IF THE AMOUNT OF THE ESTIMATED ANTIDUMPING DUTY IS LESS THAN FIVE PERCENT AD VALOREM (OR THE EQUIVALENT). OTHERWISE, WHERE THE IMPORTER HAS THE OPTION TO POST A BOND FOR ESTIMATED ANTIDUMPING DUTIES, U.S. CUSTOMS OFFICERS MUST REQUIRE A SINGLE-ENTRY BASIC IMPORTATION AND ENTRY BOND PURSUANT TO T.D. 85-145. AS HAS BEEN THE CASE SINCE THE MOA AND TREASURY DECISION, YOU ARE INSTRUCTED TO ADHERE TO THE REQUIREMENTS OF T.D. 85-145 WITH RESPECT TO THESE BONDING REQUIREMENTS. 7. IN THE FINAL DETERMINATION OF SALES AT LESS THAN FAIR VALUE IN THE ANTIDUMPING DUTY INVESTIGATION OF CERTAIN COLD-ROLLED CARBON STEEL FLAT PRODUCTS FROM BRAZIL, THE DEPARTMENT OF COMMERCE NOTED THAT IT WOULD REQUIRE A CASH DEPOSIT OR POSTING OF A BOND EQUAL TO THE WEIGHTED-AVERAGE AMOUNT BY WHICH THE NORMAL VALUE EXCEEDS THE EXPORT PRICE MINUS THE AMOUNT OF THE COUNTERVAILING DUTY DETERMINED TO OFFSET AN EXPORT SUBSIDY. BECAUSE SUSPENSION OF LIQUIDATION IN THE COMPANION COUNTERVAILING DUTY INVESTIGATION (C-351-835) IS CURRENTLY DISCONTINUED AND WILL NOT BE RESUMED UNLESS AND UNTIL THE DEPARTMENT OF COMMERCE ISSUES A COUNTERVAILING DUTY ORDER, THE ANTIDUMPING CASH DEPOSIT RATE IS THE CALCULATED WEIGHTED-AVERAGE DUMPING MARGIN OF 33.88 PERCENT. IF AN ORDER IS ISSUED IN THE COUNTERVAILING DUTY INVESTIGATION OF CERTAIN COLD-ROLLED CARBON STEEL FLAT PRODUCTS FROM BRAZIL (C-351- 835), SUSPENSION OF LIQUIDATION IN THE COUNTERVAILING DUTY INVESTIGATION WILL RESUME. IF AN ORDER IS ALSO ISSUED IN THE ANTIDUMPING DUTY INVESTIGATION OF CERTAIN COLD-ROLLED CARBON STEEL FLAT PRODUCTS FROM BRAZIL THE DEPARTMENT OF COMMERCE WILL ISSUE ANTIDUMPING DUTY CASH DEPOSIT INSTRUCTIONS REQUIRING A CASH DEPOSIT EQUAL TO THE ANTIDUMPING MARGIN CALCULATED FOR USIMINAS/COSIPA LESS THE EXPORT SUBSIDY RATE CALCULATED FOR USIMINAS/COSIPA IN THE COMPANION COUNTERVAILING INVESTIGATION. 8. IF THERE ARE ANY QUESTIONS REGARDING THIS MATTER BY CUSTOMS OFFICERS, PLEASE CONTACT, VIA E-MAIL, THROUGH THE APPROPRIATE SUPERVISORY CHANNELS, OTHER GOVERNMENT AGENCY LIAISON, USING THE ATTRIBUTE "HQ OAB." THE IMPORTING PUBLIC AND OTHER INTERESTED PARTIES SHOULD CONTACT IRINA ITKIN OR ELIZABETH EASTWOOD, OFFICE OF AD/CVD ENFORCEMENT, IMPORT ADMINISTRATION, INTERNATIONAL TRADE ADMINISTRATION, U.S. DEPARTMENT OF COMMERCE, AT (202) 482-0656 OR (202) 482-3874, RESPECTIVELY. 9. THERE ARE NO RESTRICTIONS ON THE RELEASE OF THIS INFORMATION. CATHY SAUCEDA