China and Taiwan NOES: Details of CV Duty Order
The Commerce Department issued countervailing duty orders on non-oriented electrical steel from China (C-570-997) and Taiwan (C-583-852) (here). The order details a "gap period" of no CV duty liability of July 23 - Dec. 1, as well as a refund of cash deposits collected on entries from China from Dec. 25 through March 24. China Steel and its affiliates are exempt from the order on NOES from Taiwan because it was assigned a zero percent CV duty rate in the final determination.
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With the issuance of this order, CV duties on NOES from China and Taiwan become permanent, and can only be ended under certain conditions, like a sunset review or a changed circumstances review. Commerce will now begin conducting annual administrative reviews on exporters, if requested, to determine final assessments of CV duties and make changes to CV duty cash deposit rates.
Refund of China CV Cash Deposits Collected Dec. 25 - March 24
Although Commerce found in its final determination that "critical circumstances" existed for imports of NOES from China, and made suspension of liquidation retroactive 90 days, the International Trade Commission decided in November to overrule that decision. As a result, Commerce will refund CV duty cash deposits collected on shipments entered between Dec. 25, 2013 and March 24, 2014. Cash deposit requirements for NOES from China entered on or after March 25 are still in effect.
Gap Period of No CV Suspension of Liq or CV Duties for July 23 - Dec 1
For this investigation, the four-month provisional measures period for which the CV suspension of liquidation may remain in effect before the order is issued began on March 25 (the publication date of the preliminary determination) and ended July 23, 2012, the date Commerce instructed CBP to terminate suspension of liquidation.
Because the publication date of the International Trade Commission's final affirmative injury determination is Dec. 2, Commerce said all entries of subject merchandise between July 23 and Dec. 1 (the gap period) are not liable for CV duty assessment.
(For entries on or after March 25 through July 22, suspension of liquidation and CV duty liability remains in effect.)
CV Suspension of Liq Instructions
Suspension of liquidation resumes for all entries of subject merchandise from China and Taiwan (except for China Steel and affiliates) with a time of entry beginning Dec. 2, the publication date of the final ITC affirmative injury determination.
CV Cash Deposit Instructions
Commerce will instruct CBP to require, at the same time as importers deposit estimated duties, a cash deposit equal to the CV duty rates listed below:
China
| Company | CV Rate |
|---|---|
| Baoshan Iron & Steel Co., Ltd. | 158.88% |
| All Others | 158.88% |
Taiwan
| Company | CV Rate |
|---|---|
| Leicong Industrial Company, Ltd (Leicong) | 17.12% |
| All Others | 8.8% |
*Exempt from the CV duty order on NOES from Taiwan are China Steel and affiliates Dragon Steel Corporation, HiMag Magnetic Corporation, and China Steel Global Trading Corporation.
(See notice for additional details, including the full scope description, etc. See 1411060052 for summary of ITC vote on final affirmative injury.)
ITC final injury determination (Federal Register 11/03/14) is available (here).
(Federal Register 12/03/14)