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Coated Free Sheet Paper From China, Indonesia, and Korea - page 145 / 198





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sroberts on PROD1PC70 with NOTICES

Federal Register / Vol. 71, No. 227 / Monday, November 27, 2006 / Notices


III. Korea

Infrastructure Expansions and Improvements for Operating in Regional and National Industrial Complexes

Petitioner alleges that the GOK developed plans to establish an exclusive plant complex for the paper industry in the military equipment industrial complex in Gunjang, North Cholla province by 2001. Petitioner alleges that the complex, known as the Gunjang National Industrial Complex and established by the Ministry of Trade, Industry, and Economy, is undergoing large-scale infrastructure expansions and improvements, including upgrading access roads, railroad connections and expanding harbor facilities.

Petitioner provided insufficient information regarding the existence of a benefit or specificity. In particular, we find that petitioner did not provide sufficient evidence that any CFS producers are operating in the Gunjang National Industrial Complex.

Application of the Countervailing Duty Law to the PRC

Petitioner contends that there is no statutory bar to applying countervailing duties to imports from the PRC or any other non-market economy country. Citing Georgetown Steel, petitioner asserts that the court deferred to the Departments conclusion that it did not have the authority to conduct a CVD investigation, but did not affirm the notion that the statute prohibits the Department from applying countervailing duties to NME countries. See Petition, Part I, at 8 (citing Georgetown Steel Corp. v. United States, 801 F.2d 1308 (Fed. Cir. 1986) (Georgetown Steel)). Petitioner further argues Georgetown Steel is not applicable as the countervailing duty law (section 303 of the Tariff Act of 1930) involved in the courts decision has since been repealed and the statute has been amended to provide an explicit definition of a subsidy. See section 777(5) of the Act. In addition, petitioner argues that the Chinese economy is entirely different from the economies investigated in Georgetown Steel and the Department should not have any special difficulties in the identification and valuation of subsidies involving a non-market economy, such as the PRC, that would not arise in a market economy countervailing proceeding.

Finally, petitioner contends that the PRCs accession to the World Trade Organization (WTO) allows the Department to investigate countervailing duties in that country. Petitioner notes that the WTO Subsidies

and Countervailing Measures Agreement (SCM Agreement), similar to U.S. law, permits the imposition of countervailing duties on subsidized imports on member countries and nowhere exempts non-market economy imports from being subject to the provisions of the SCM Agreement. As the PRC agreed to the SCM Agreement and other WTO provisions on the use of subsidies, petitioner argues the PRC should be subject to the same disciplines as all other WTO members.

Petitioner has provided sufficient argument and subsidy allegations (see ‘‘Initiation of Countervailing Duty Investigations’’) to meet the statutory criteria for initiating a countervailing duty investigation of CFS paper from the PRC. Given the complex legal and policy issues involved, and on the basis of the Departments discretion as affirmed in Georgetown Steel, the Department intends during the course of this investigation to determine whether the countervailing duty law should now be applied to imports from the PRC. The Department will invite comments from parties on this issue.

Distribution of Copies of the Petitions

In accordance with section 702(b)(4)(A)(i) of the Act, a copy of the public version of the petitions has been provided to the Governments of the PRC, Indonesia, and Korea. We will attempt to provide a copy of the public version of the petitions to each exporter named in the petitions, as provided for under 19 CFR 351.203(c)(2).

ITC Notification

We have notified the ITC of our initiations, as required by section 702(d) of the Act.

Preliminary Determinations by the ITC

The ITC will preliminarily determine, within 25 days after the date on which it receives notice of these initiations, whether there is a reasonable indication that imports of subsidized CFS from the PRC, Indonesia, and Korea are causing material injury, or threatening to cause material injury, to a U.S. industry. See section 703(a)(2) of the Act. A negative ITC determination will result in the investigations being terminated; otherwise, these investigations will proceed according to statutory and regulatory time limits.

This notice is issued and published pursuant to section 777(i) of the Act.

Dated: November 20, 2006. David M. Spooner,

Assistant Secretary for Import Administration.

[FR Doc. E620025 Filed 112406; 8:45 am]



International Trade Administration [C427810]

Corrosion-Resistant Carbon Steel Flat Products From France: Final Results of Countervailing Duty Administrative Review

AGENCY: Import Administration, International Trade Administration, Department of Commerce. SUMMARY: On September 7, 2006, the Department of Commerce (‘‘the Department’’) published in the Federal Register its preliminary results of administrative review of the countervailing duty (‘‘CVD’’) order on corrosion-resistant carbon steel flat products (‘‘CORE’’) from France for the period January 1, 2004, through December 31, 2004 (see Preliminary Results of Countervailing Duty Administrative Review: Corrosion- Resistant Carbon Steel Flat Products from France, 71 FR 52770 (September 7, 2006) (‘‘CORE Preliminary Results’’)). The Department preliminarily found that Duferco Coating S.A. and Sorral S.A. (collectively, ‘‘Duferco Sorral’’), the producer/exporter of subject merchandise covered by this review did not receive countervailable subsidies during the period of review (‘‘POR’’). We did not receive any comments on our preliminary results and have made no revisions to those results.

DATES: Effective Date: November 27, 2006.

FOR FURTHER INFORMATION CONTACT: Kristen Johnson, AD/CVD Operations, Office 3, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 4824793.


On August 17, 1993, the Department published in the Federal Register the CVD order on CORE from France. See Countervailing Duty Order and Amendment to Final Affirmative Countervailing Duty Determination: Certain Steel Products from France, 58 FR 43759 (August 17, 1993). On September 7, 2006, the Department

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