74 FR 7395, February 17, 2009

DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-851]

Dynamic Random Access Memory Semiconductors from the Republic of
Korea: Final Results of Countervailing Duty Administrative Review

AGENCY: Import Administration, International Trade Administration,
Department of Commerce.

SUMMARY: On August 13, 2008, the Department of Commerce published in
the Federal Register its preliminary results of administrative review
of the countervailing duty order on dynamic random access memory
semiconductors from the Republic of Korea for the period January 1,
2006, through December 31, 2006.
    Following the preliminary results, we provided interested parties
with an opportunity to comment on the preliminary results. Our analysis
of the comments submitted and information received after the
preliminary results did not lead to any changes in the net subsidy
rate. Therefore, the final results do not differ from the preliminary
results. The final net subsidy rate for Hynix Semiconductor Inc. is
listed below in the section entitled ``Final Results of Review.''

EFFECTIVE DATE: February 17, 2009.

FOR FURTHER INFORMATION CONTACT: David Neubacher or Shane Subler, AD/
CVD Operations, Office 1, Import Administration, U.S. Department of
Commerce, 14th Street and Constitution Avenue, NW, Washington, DC
20230; telephone: (202) 482-5823 or (202) 482-0189, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The following events have occurred since the publication of the
preliminary results of this review. See Dynamic Random Access Memory
Semiconductors from the Republic of Korea: Preliminary Results of
Countervailing Duty Administrative Review, 73 FR 47131 (August 13,
2008) (``Preliminary Results'').
    On September 23, 2008, we received a case brief from the
petitioner, Micron Technology, Inc. (``Micron''), and we received a
rebuttal brief from Hynix Semiconductor Inc. (``Hynix'') on September
29, 2008.
    On November 24, 2008, we issued a supplemental questionnaire to
Hynix and received a response on December 2, 2008. Following Hynix's
December 2, 2008, supplemental questionnaire response, we received a
supplemental case brief from Micron on December 17, 2008 and a
supplemental rebuttal brief from Hynix on December 22, 2008.
    On November 28, 2008, we extended the time limit for the final
results of this administrative review by 60 days (to February 9, 2008),
pursuant to section 751(a)(3)(A) of the Tariff Act of 1930, as amended
(``the Act''). See Dynamic Random Access Memory Semiconductors From the
Republic of Korea: Extension of Time Limit for Final Results of the
Countervailing Duty Administrative Review, 73 FR 72449 (November 28,
2008).

Scope of the Order

    The products covered by the order are dynamic random access memory
semiconductors (``DRAMS'') from the Republic of Korea (``ROK''),
whether assembled or unassembled. Assembled DRAMS include all package
types. Unassembled DRAMS include processed wafers, uncut die, and cut
die. Processed wafers fabricated in the ROK, but assembled into
finished semiconductors outside the ROK are also included in the scope.
Processed wafers fabricated outside the ROK and assembled into finished
semiconductors in the ROK are not included in the scope.
    The scope of the order additionally includes memory modules
containing DRAMS from the ROK. A memory module is a collection of
DRAMS, the sole function of which is memory. Memory modules include
single in-line processing modules, single in-line memory modules, dual
in-line memory modules, small outline dual in-line memory modules,
Rambus in-line memory modules, and memory cards or other collections of
DRAMS, whether unmounted or mounted on a circuit board. Modules that
contain other parts that are needed to support the function of memory
are covered. Only those modules that contain additional items which
alter the function of the module to something other than memory, such
as video graphics adapter boards and cards, are not included in the
scope. The scope also covers future DRAMS module types.
    The scope of the order additionally includes, but is not limited
to, video random access memory and synchronous graphics random access
memory, as well as various types of DRAMS, including fast page-mode,
extended data-out, burst extended data-out, synchronous dynamic RAM,
Rambus DRAM, and Double Data Rate DRAM. The scope also includes any
future density, packaging, or assembling of DRAMS. Also included in the
scope of this order are removable memory modules placed on
motherboards, with or without a central processing unit, unless the
importer of the motherboards certifies with U.S. customs and Border
Protection (``CBP'') that neither it, nor a party related to it or
under contract to it, will remove the modules from the motherboards
after importation. The scope of the order does not include DRAMS or
memory modules that are re-imported for repair or replacement.
    The DRAMS subject to the order are currently classifiable under
subheadings 8542.21.8005, 8542.21.8020 through 8542.21.8030, and
8542.32.0001 through 8542.32.0023 of the Harmonized Tariff Schedule of
the United States (``HTSUS''). The memory modules containing DRAMS from
the ROK, described above, are currently classifiable under subheadings
8473.30.1040, 8473.30.1080, 8473.30.1140, and 8473.30.1180 of the
HTSUS. Removable memory modules placed on motherboards are classifiable
under subheadings 8443.99.2500,

[[Page 7396]]

8443.99.2550, 8471.50.0085, 8471.50.0150, 8517.30.5000, 8517.50.1000,
8517.50.5000, 8517.50.9000, 8517.61.0000, 8517.62.0010, 8517.62.0050,
8517.69.0000, 8517.70.0000, 8517.90.3400, 8517.90.3600, 8517.90.3800,
8517.90.4400, 8542.21.8005, 8542.21.8020, 8542.21.8021, 8542.21.8022,
8542.21.8023, 8542.21.8024, 8542.21.8025, 8542.21.8026, 8542.21.8027,
8542.21.8028, 8542.21.8029, 8542.21.8030, 8542.31.0000, 8542.33.0000,
8542.39.0000, 8543.89.9300, and 8543.89.9600 of the HTSUS. However, the
product description, and not the HTSUS classification, is dispositive
of whether merchandise imported into the United States falls within the
scope.

Scope Rulings

    On December 29, 2004, the Department of Commerce (``Department'')
received a request from Cisco Systems, Inc. (``Cisco''), to determine
whether removable memory modules placed on motherboards that are
imported for repair or refurbishment are within the scope of the CVD
Order. See Notice of Countervailing Duty Order: Dynamic Random Access
Memory Semiconductors from the Republic of Korea, 68 FR 47546 (August
11, 2003) (``CVD Order''). The Department initiated a scope inquiry
pursuant to 19 CFR 351.225(e) on February 4, 2005. On January 12, 2006,
the Department issued a final scope ruling, finding that removable
memory modules placed on motherboards that are imported for repair or
refurbishment are not within the scope of the CVD Order provided that
the importer certifies that it will destroy any memory modules that are
removed for repair or refurbishment. See Memorandum from Stephen J.
Claeys to David M. Spooner, regarding Final Scope Ruling,
Countervailing Duty Order on DRAMs from the Republic of Korea (January
12, 2006).

Period of Review

    The period for which we are measuring subsidies, i.e., the period
of review (``POR''), is January 1, 2006, through December 31, 2006.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to
this administrative review are addressed in the February 9, 2009,
Issues and Decision Memorandum for the Final Results in the Fourth
Administrative Review of the Countervailing Duty Order on Dynamic
Random Access Memory Semiconductors from the Republic of Korea
(``Decision Memorandum'') from John M. Andersen, Acting Deputy
Assistant Secretary for Antidumping and Countervailing Duty Operations,
to Ronald K. Lorentzen, Acting Assistant Secretary for Import
Administration, which is hereby adopted by this notice. Attached to
this notice as an appendix is a list of the issues which parties have
raised and to which we have responded in the Decision Memorandum.
Parties can find a complete discussion of all issues raised in this
review and the corresponding recommendations in this public memorandum,
which is on file in the Department's Central Records Unit, Room 1117 of
the main Department building. In addition, a complete version of the
public Decision Memorandum can be accessed directly on the Internet at
http://www.enforcement.trade.gov/frn. The paper copy and electronic version of
the Decision Memorandum are identical in content.

Final Results of Review

    In accordance with 19 CFR 351.221(b)(5), we calculated an
individual subsidy rate for the producer/exporter, Hynix. For the
period January 1, 2006, through December 31, 2006, we find that the ad
valorem net subsidy rate for Hynix is 4.91 percent.

Assessment Rates

    Fifteen days after the date of publication of these final results
of this review, the Department will instruct CBP to liquidate shipments
of DRAMS by Hynix entered or withdrawn from warehouse, for consumption
from January 1, 2006, through December 31, 2006, at 4.91 percent ad
valorem of the F.O.B. invoice price.

Cash Deposits

    On October 3, 2008, the Department published a Federal Register
notice that, inter alia, revoked this order, effective August 11, 2008.
See Dynamic Random Access Memory Semiconductors From the Republic of
Korea: Final Results of Sunset Review and Revocation of Order, 73 FR
57594 (October 3, 2008). As a result, CBP is no longer suspending
liquidation for entries of subject merchandise occurring after the
revocation. Therefore, there is no need to issue new cash deposit
instructions pursuant to the final results of this administrative
review.
    This notice also serves as a reminder to parties subject to
administrative protective order (``APO'') of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely written
notification of return/destruction of APO materials or conversion to
judicial protective order is hereby requested. Failure to comply with
the regulations and the terms of an APO is a sanctionable violation.
    This administrative review and notice are issued and published in
accordance with section 751(a)(1) of the Act.

    Dated: February 9, 2009.
Ronald K. Lorentzen,
Acting Assistant Secretaryfor Import Administration.

Appendix I

Comments in the Issues and Decision Memorandum

Comment 1: Timing of the Benefit on a Previously Countervailed 
           Debt-to-Equity Swap (``DES'')

Comment 2: Allegation that Hynix is Circumventing the Order

[FR Doc. E9-3288 Filed 2-13-09; 8:45 am]

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