Korea Steel Sheet & Strip in Coils: Partial Revocation of AD Order Due to Section 129 Determination
The International Trade Administration is partially revoking the AD duty order on stainless steel sheet and strip in coils from Korea (A-580-834) due to its determination under Section 129 of the Uruguay Round Agreements Act regarding “zeroing” (disregarding non-dumped sales transactions in the margin calculation). The partial revocation is effective November 16, 2011 and is expected to be implemented by U.S. Customs and Border Protection soon.
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(In February 2011, the World Trade Organization Dispute Settlement Body (DSB) adopted a Dispute Settlement Panel’s (DSP’s) report in the dispute between the U.S. and Korea regarding U.S. “zeroing” in AD measures involving stainless steel sheet and strip in coils from Korea (DS402). The DSP concluded that the U.S. acted inconsistently with the WTO AD Agreement by using "zeroing" in determining dumping rates.
In March 2011, the U.S. stated that it intended to implement the DSP recommendation and rulings within a reasonable time. The U.S. and Korea subsequently agreed on a nine month implementation time, i.e., by November 24, 2011. Summary of WTO dispute available here.)
AD Order Revoked for Pohang
Because the ITA has recalculated a dumping rate of zero for Pohang Iron & Steel Co., Ltd., the ITA is revoking the order with respect to Pohang Iron & Steel Co., Ltd., for entries made on or after November 16, 2011.
Accordingly, the ITA will instruct CBP to liquidate without regard to antidumping duties, Pohang Iron & Steel Co., Ltd.’s entries of steel sheet and strip in coils from Korea with a time of entry on or after that date and to discontinue the collection of cash deposits for estimated antidumping duties for Pohang Iron & Steel Co., Ltd.
ITA Recalculation Results in Increased “All Others” Rate
The ITA’s rates as a result of its Section 129 review are as follows:
| Manufacturer/Exporter | Section 129 Results |
|---|---|
| Taihan Electric Wire Co., Ltd. | 58.79% (no change) |
| All Others | 19.60% (from 2.49%) |
The ITA will instruct CBP to continue to suspend liquidation of all entries of subject merchandise from all other exporters or producers, except for Inchon Iron & Steel Co., Ltd. and Pohang Iron & Steel Co., Ltd.
The ITA will instruct CBP to continue to require a cash deposit equal to the estimated amount by which the normal value exceeds the U.S. price. The suspension of liquidation instructions will remain in effect until further notice.
The all others rate of 19.60% established in this section 129 determination will be the new cash deposit rate on or after November 16, 2011, for all exporters of subject merchandise for which the ITA has not calculated an individual rate.
ITA contact -- Irene Gorelik (202) 482-6905
(FR Pub 12/01/11, ITA Case Nos. A-580-831 and A-580-834)