The exclusion review criterion Not produced in the United States in a sufficient and reasonably available amount means that the amount that is needed by the end user requesting the exclusion is not available immediately in the United States to meet its specified business activities. (ii) Information not subject to public disclosure should not be submitted. There is no retroactive relief for GAEs. 1001(2018)]. The Secretary of Commerce, in consultation with the Secretary of Defense, the Secretary of the Treasury, the Secretary of State, the United States Trade Representative, the Assistant to the President for Economic Policy, the Assistant to the President for National Security Affairs, and other senior Executive Branch officials as appropriate, makes these determinations that certain aluminum and steel articles may be authorized under a GAE consistent with the objectives of the 232 exclusions process as outlined in supplement no. As another steel example, if a U.S. business activity requires that steel tubing to be provided must meet certain Food and Drug Administration (FDA) approvals to be used in medical devices, that requirement would be taken into account when reviewing the exclusion request and any objections, rebuttals, and surrebuttals submitted. FLAT-ROLLED IRON/NA STL, WDTH >/=600MM, HOT-RLD, NOT CLAD/PLATED/COATED, COILS, THICKNESS >/=3MM BUT <4.75MM, HIGH-STRENGTH STL, 7217104090. For comments submitted electronically containing business confidential information, the file name of the business confidential version should begin with the characters BC. Any page containing business confidential information must be clearly marked BUSINESS CONFIDENTIAL on the top of that page. ALUMINUM ALLOY HOLLOW PROFILES OF HEAT-TREATABLE INDUSTRIAL ALLOYS OF A KIND DESCRIBED IN NOTE 6 TO THIS CHAPTER, 7604291010. Items in Cat. On September 11, 2018, Commerce issued a second interim final rule, ROUND WIRE IRON/NONALLOY STL, NOT PLATED/COATED, <0.25% CARBON, DIAM <1.5MM, NOT HEAT-TREATED, 7210706030. Supplement No. (2) Identification of exclusion requests. A commenter noted that Commerce has granted a number of exclusion requests where the product description on both the request and Commerce's decision document is only the name for a general category of products and any detail regarding the size, chemistry, and other characteristics that may indicate that particular product at issue is not available from domestic sources are not carried over from the application. The exclusion request certification for volume requested must be signed by an organization official specifically authorized to certify the document (the certification being made in the 232 Exclusions Portal) as being accurate and complete. (E) I certify that the exclusion amount requested this year is in line with what my organization expects to import based on our current business outlook. As additional revisions are ready to be made, such as those being made in this rule, Commerce will publish those changes as quickly as possible to improve the 232 exclusions process. The public comment period on the December 14 rule closed on February 12, 2021. In the interim final rule published last year, BIS provided the following explanation about "renewals" of exclusions granted under Section 232: . Commenters noted that, if specific improvements are not made, significant economic consequences could occur. The December 14 rule specified that these GAEs are indefinite in length, but Commerce may at any time issue a As Commerce asserted in the December 14 rule that the steel and aluminum articles identified as being eligible for GAEs, including those being removed in today's rule, had not received any objections, the addition of those new GAEs was not estimated to result in a decrease in the number of objections, rebuttals, or surrebuttals received by BIS. 2 or 3 to part 705. The AutoFill Feature that launched with the 232 Exclusions Portal addresses several of the comments submitted in response to the June 10 rule. Commerce will continue to apply the criteria that were included in the December 14 rule. A permissible range must be within the minimum and maximum range that is specified in the HTSUS statistical reporting number and applicable notes. OTH TUBES/PIPES/HOLLOW PROFILES IRON/NONALLOY STL, WELDED, OTH NONCIRCULAR CS, WALL THK <4MM, 7208390015. Anyone submitting business confidential information should clearly identify the business confidential portion at the time of submission, file a statement justifying nondisclosure and referring to the specific legal authority claimed, and provide a non-confidential version of the submission. However, there is a different standard of what is necessary for a complete submission of an exclusion request versus an objection. FLAT-ROLLED STAINLESS STL, WIDTH >/=300MM BUT <600MM, HOT-RLD, THK <4.75MM, 7209900000. Any comments regarding the collection of information associated with this rule, including suggestions for reducing the burden, may be sent to https://www.reginfo.gov/public/do/PRAMain. Commerce understands the importance of having a transparent, fair, and efficient product exclusion request process, consistent with the directive provided by the President to create this type of process to mitigate any unintended consequences of imposing the tariffs on steel and aluminum in order to protect critical U.S. national security interests. Information about this document as published in the Federal Register. The objection should clearly identify, and provide support for, its opposition to the proposed exclusion, with reference to the specific basis identified in, and the support provided for, the submitted exclusion request. If you are unable to file an entry with one of these active product exclusion numbers, contact your CBP Client Representative. When Commerce added supplements nos. 3 to specify how GAEs will be treated when the ITC makes certain changes to the HTSUS Classifications as part of their routine updates to the HTSUS with revisions (including re-categorizations), modifications, and removals to/from the HTSUS Classifications. ALUMINUM TUBE OR PIPE FITTINGS (COUPLINGS, ELBOWS, SLEEVES), 7604210010. Implementation of General Approved Exclusions As of December 29, 2020, the new GAEs can be used by "any importer" to exclude eligible products from the Section 232 absolute quota limits or duties. FLAT-ROLLED STAINLESS STL, WDTH <300MM, COLD-RLD, THK =0.25MM, RAZOR BLADE STL, 7217108060. This seven-day surrebuttal period allows for the individual or organization that submitted an objection to a submitted exclusion request pursuant to this supplement to submit any written surrebuttals that it believes are warranted to respond to a rebuttal. You may submit comments, identified by docket number BIS-2020-0022 or RIN 0694-AH55, through the Federal eRulemaking website: http://www.regulations.gov. The list of the HTSUS Classifications referenced in this table of GAEs is drawn from the HTSUS and ITC Change Records for HTSUS Classifications (compiled at https://hts.usitc.gov/) and will be amended when the ITC publishes subsequent Change Records. 2 and no. BIS response: Commerce does not agree. This commenter was concerned that, generally, it seems Commerce is not evaluating whether there is actually demand in the market for these large volumes, and has granted requests based simply on the absence of any objections. On June 10, 2019, Commerce issued a third interim final rule, FLAT-ROLLED OTH ALLOY STL, WDTH <300MM, NFW THAN COLD-RLD (COLD-REDUCED), TOOL STEEL OTH THAN HIGH-SPEED, BALL-BEARING STL, 7219120051. These additional steps needed to implement an approved exclusion request are not part of the review criteria used by the U.S. Department of Commerce to determine whether to approve an exclusion request, but are an important component in ensuring the approved exclusion request can be properly implemented. In addition, Commerce finds that there is good cause under 5 U.S.C. TUBES/PIPES/HLLW PRFLS OTH ALLOY STL, SMLESS, CIRC CS, NOT CLD-TRTD, OS DIAMETER >285.8MM BUT <406.4MM, WALL THK<12.7MM, 7228501040. Some comments requested creating a process to give preferential treatment for products further manufactured or substantially transformed in the United States, because such producers are an essential part of the U.S. steel and aluminum industry. ROUND WIRE SI-MN STL, DIAM =1.6MM, <0.20%C, >0.9% MN, >0.6% SI, FOR ELEC ARC WELDING, NOT PLATD/COATD W/COPPER, 7304243040. The OFR/GPO partnership is committed to presenting accurate and reliable On August 29, 2018, in Proclamations 9776 and 9777, the Secretary was authorized to grant exclusions from quantitative limitations based on the same standards applicable to exclusions from the tariffs. BARS/RODS SILICO-MANGANESE STL, IRR COILS, HOT-RLD, WELDING QUALITY WIRE RODS, STAT NOTE 6, 7306697060. 1 and 2, since this guidance is no longer needed with this rule's removal of references to www.regulations.gov from the 232 exclusions process. ACTION: Interim final rule. The public will not be involved in requesting new or revised GAEs, but Commerce will use the information provided in exclusion requests to inform its review process for what additional GAE should be added or what revisions should be made to existing GAEs. ALUMINUM ALLOY BARS AND RODS, OTHER THAN ROUND CROSS SECTION, OTHER THAN HEAT-TREATABLE INDUSTRIAL ALLOYS OF A KIND DESCRIBED IN NOTES 5 & 6 OF THIS CHAPTER, 7601209095. (3) Review period and implementation of any needed conforming changes(i) Review period. First, it adds a new category of "General Approved Exclusions" ("GAEs") which exclude certain categories of steel products from Section 232 tariffs. Other directly-affected individuals or organizations located in the United States that wish to submit an exclusion request for a steel or aluminum product that has already been the subject of an approved exclusion request may submit an exclusion request under this supplement. The GAEs described in this supplement may be used by any importer. 2 part 705 and 15 GAEs for aluminum articles under supplement no. Comment (e)(2): Objections that do not clearly meet the immediately standard should be rejected. Requirements for Submissions Requesting Exclusions from the Remedies Instituted in Presidential Proclamations Adjusting Imports of Steel into the United States and Adjusting Imports of Aluminum into the United States; and the filing of Objections to Submitted Exclusion Requests for Steel and Aluminum OTHER TUBES/PIPES IRON/NONALLOY STL, CIRC CS, EXT DIAM >406.4MM, WELDED, OTHER THAN LONGITUDALLY WELDED, 7217204550. ANGLES SHAPES AND SECTIONS STAINLESS STEEL, OTHER THAN HOT ROLLED, NOT DRILLED, NOT PUNCHED, AND NOT OTHERWISE ADVANCED, 7306901000. Comment (c)(9): Create streamlined process to allow one company seeking an exclusion for the same product already approved to a second company to quickly obtain an approved exclusion. (d) Objections to submitted exclusion requests. Because the 232 Exclusion Process is a public process, there needs to be transparency to allow the other public parties involved in the process (objector(s) and exclusion requesters) to have an idea of the scope and type of CBI information that is being provided to supplement a rebuttal or a surrebuttal. Companies may also file Post-Summary Corrections with CBP on unliquidated entries to recoup any tariffs paid on products that made entry between the submission date and the date of signature. The Paperwork Reduction Act of 1995 (44 U.S.C. 1 to this part. Start Printed Page 70015 BIS estimates that the removal of these 30 GAEs will affect roughly 100 requestors who submit exclusion requests and will lead to the submission of an additional 1,100 exclusion requests per year in the Section 232 Exclusions Portal. CASING (OIL/GAS DRILLING) STAINLESS STL, SEAMLESS, NOT THREADED/COUPLED, OS DIAMETER >285.8MM BUT =406.4MM, WALL THK>/=12.7MM, 7229200015. The Secretary is also authorized to provide such relief based upon specific national security considerations. ROUND WIRE IRON/NONALLOY STL, PLATED/COATED WITH ZINC, DIAMETER >/=1.0MM BUT <1.5MM, >/=0.6% CARBON, 7220206060. Therefore, this subset of 29 GAEs must be removed from the regulations. 2020-27110 Filed 12-10-20; 8:45 am]. Section 232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. The commenters identified a number of areas where transparency, effectiveness, and fairness of the process could be improved. U.S. Commerce Department Removes Section 232 Metals Tariff Exemptions That said, making changes to the duties being imposed and/or quotas implemented are outside the scope of this rule. These GAEs are indefinite in length, but Commerce may at any time issue a Federal Register notice removing, revising, or adding to an existing GAE in this supplement as warranted to align with the objectives of the 232 exclusions process as described in supplement no. A commenter noted that the September 11 rule offers some additional information on acceptable ranges but could be improved. This interim final rule adds a new paragraph (c)(5)(ii) (Certification for volume requested). The authority citation for part 705 continues to read as follows: Authority: GAEs do not include quantity limits. On May 26, 2020, Commerce issued a notice of inquiry with request for comment, Notice of Inquiry Regarding the Exclusion Process for Section 232 Steel and Aluminum Import Tariffs and Quotas (85 FR 31441) (the May 26 notice), that sought public comment on the appropriateness of the information requested and considered in applying the exclusion criteria, and the efficiency and transparency of the process employed. The length of time for decisions under the 232 exclusions process is a concern for many entities, including Commerce. Federal Register provide legal notice to the public and judicial notice A Rule by the Industry and Security Bureau on 12/14/2020. (2) Disposition of complete submissions(i) Posting of responses in the 232 Exclusions Portal. BIS response: As stated in the 232 report, the 80 percent figure is an average rate for financial viability of the industry which is necessary to sustain adequate profitability and continued capital investment, research, and development, and workforce enhancement in the steel sector. The U.S. steel industry's capacity utilization rates have not been sustained. daily Federal Register on FederalRegister.gov will remain an unofficial More information and documentation can be found in our FLAT-ROLLED OTH ALLOY STL, WDTH <300MM, COLD-RLD, NOT TOOL STL, THK >0.25MM, HIGH-NICKEL ALLOY STL, 7217106000. ROUND WIRE IRON/NONALLOY STL, NOT PLATED/COATED, <0.25% CARBON, OS DIAMETER <1.5MM, NOT HEAT-TREATED, 7210706030. 2 and no. 2 to this part. The publication of today's rule makes needed changes in the Section 232 exclusions process to create the type of fair, transparent, and efficient process that was intended in the March 19, September 11, June 10, and December 14 rules, but commenters noted that the specific subset of GAEs that contained steel or aluminum articles for which exclusion requests had received objections and/or been denied. [FR Doc. In order to use a GAE, the importer must reference the GAE identifier in the Automated Commercial Environment (ACE) system that corresponds to the aluminum articles being imported. Only official editions of the As described below in greater detail, the difference between the stated criteria in the December 14 rule and the published list of GAEs occurred due to activity in the Section 232 Exclusions Portal which occurred after the baseline date used by Commerce for identifying which HTSUS codes had not received objections and/or denials and thus were eligible for inclusion as GAEs. Other agencies of the U.S. Government, such as CBP, will take any additional steps needed to implement an approved exclusion request. soliciting public comments on potential removals, revisions, or additions to the two supplements for GAEs. 2 and no. Commerce took a deliberative approach in identifying what HTSUS codes could be considered for inclusion as GAEs and specified criteria in the December 14 rule to explain how the adoption of these GAEs would not undermine the national security objectives of the Section 232 process and would instead help to protect U.S. national security and economic security by improving the efficiency and effectiveness of the Section 232 exclusions process. However, no additional guidance has been provided as to how groups of companies can ask for such a broader exclusion. Start Printed Page 70006 The note specifies that the list of the HTSUS Classifications referenced in supplements no. Another commenter requested two separate portals for the steel and aluminum exclusion processes. establishing the XML-based Federal Register as an ACFR-sanctioned BIS response: Commerce agrees and is making changes in the rule for how immediately is defined to create equal treatment for U.S. and foreign producers. These provisions are described in the new supplements no. The effective date for each GAE will be fifteen calendar days after the date of publication of a Annex 1 to Supplements No. In order to ensure that the actions taken to adjust imports do not undermine users of steel or aluminum that are subject to the remedial actions instituted by the Proclamations and that are critical to protecting the national security of the United States, the Presidential Proclamations authorized the Secretary of Commerce, in consultation with the Secretary of Defense, the Secretary of the Treasury, the Secretary of State, the United States Trade Representative, the Assistant to the President for Economic Policy, the Assistant to the President for National Security Affairs, and other senior Executive Branch officials as appropriate, to grant exclusions for the import of goods not currently available in the United States in a sufficient quantity or satisfactory quality, or for other specific national security reasons. The most appropriate time in the 232 exclusion review process for CBI is during the rebuttal and surrebuttal phase when information that goes beyond what is included in the exclusion and objection forms may be needed to properly evaluate an exclusion request. provide legal notice to the public or judicial notice to the courts. 5 U.S.C. BIS response: Commerce believes this comment was likely made as Commerce was working to address the initial backlog of exclusion requests that did receive objections and does not reflect the current status. If there are any discrepancies between the list of the HTSUS Classifications in this table and the HTSUS Classifications identified by the ITC in the Harmonized Tariff Schedule of the United States and the associated Change Records, the ITC's list of HTSUS Classifications shall be controlling. Use the PDF linked in the document sidebar for the official electronic format. FLAT-ROLLED STAINLESS STL, WDTH <300MM, NFW THAN COLD-RLD (COLD-REDUCED), THK >1.25MM, = 0.5% NICKEL, <15% CHROMIUM, 7217108025. informational resource until the Administrative Committee of the Federal OTH TUBES/PIPES/HOLLOW PROFILES OTH ALLOY STL (NOT STAINLESS), WELDED, SQ/RECT CS, WALL THK <4MM, 7216330090. The immediate implementation of an effective exclusion request process, consistent with the intent of the Presidential Proclamations, also required creating a process to allow any individual or organization in the United States to submit objections to submitted exclusion requests. ALUMINUM FOIL OF THICKNESS =0.2 MM, BACKED COVERED OR DECORATED WITH A CHARACTER, DESIGN, FANCY EFFECT OR PATTERN, 7604295090. ROUND WIRE OTHER ALLOY STL, DIAM <1.0MM, 7215500018. regulatory information on FederalRegister.gov with the objective of (c) Exclusion requests. New paragraph (b)(5)(iii)(A) clarifies the process for handling CBI related to exclusion requests or objections by directing exclusion requesters and objectors to check the appropriate box in the 232 Exclusions Portal to indicate that the filer has relevant CBI for consideration when applicable. Comment (c)(8): Product exclusions should be permanent not temporary (and on a universal basis). TUBES/PIPES/HOLLOW PROFILES IRON/NONALLOY STL, SEAMLESS, NONCIRCULAR CROSS SECTION, WALL THK >/= 4MM, 7304390002. Similar to the exclusions process identified under paragraph (c) of this supplement, the objection process identified under paragraph (d) of this supplement, and the rebuttal process identified under paragraph (f) of this supplement, the surrebuttal process requires the submission of a government form as specified in paragraph (b)(4) of this supplement. These changes are also informed by a notice of inquiry with request for comments on the 232 exclusions process that was published by Commerce on May 26, 2020. These two supplements identify the steel and aluminum articles that have been approved for import under a GAE. That implementation includes the creation of an effective process by which affected domestic parties can obtain exclusion requests based upon specific national security considerations. Commerce started this process with the publication of the March 19 rule and refined the process with the publication of the September 11 and June 10 rules and is continuing this process with the publication of today's interim final rule. Since the steel tariffs took effect, those same members report the doubling of delivery times, creating significant delays and interruptions in the manufacturing supply chain that could lead Original Equipment Manufacturers (OEMs) to source their inputs from nonU.S. soliciting public comments on potential removals, revisions, or additions to this supplement. These types of `inherited' GAEs are effective from the effective date of the change to the HTSUS, even prior to a Commerce rule being published to add the new HTSUS number to the GAE list under this supplement no. 1 to this part. electronic version on GPOs govinfo.gov. This note being added to supplements no. Procedures for Submitting Rebuttals and Surrebuttals Requests for Exclusions from and Objections to the Section 232 Adjustments for Steel and Aluminum (OMB control number 0694-0141). 5A002.a (and 5D002 c.1) i. Cryptography for Data Confidentiality. ROUND WIRE IRON/NONALLOY STL, PLATED/COATED WITH ZINC, DIAMETER >/=1.0MM BUT <1.5MM, >/=0.25% BUT <0.6% CARBON, 7609000000. This interim final rule also specifies that relief is only available to steel or aluminum articles that are entered for consumption, or withdrawn from warehouse for consumption, on or after the effective date of a GAE included in supplement no. Effective June 13, 2019, how would an eligible party request an exclusion in the new 232 . The immediate implementation of an effective exclusion request process, consistent with the intent of the Presidential Proclamations, also required creating a process to allow any individual or organization in the United States to submit objections to submitted exclusion requests. Commenters also thought the inefficiencies of the process could undermine other critical U.S. national security interests. All other information for the public submission, and public versions of the CBI, where appropriate, for a 232 submission in the 232 Start Printed Page 81075Exclusions Portal following the procedures identified in this supplement, as appropriate. 2 to this part. the official SGML-based PDF version on govinfo.gov, those relying on it for 3 of GAEs is drawn from the Harmonized Tariff Schedule of the United States published on the ITC website and ITC Change Records for HTSUS Classifications (compiled at edition of the Federal Register. The comments on the May 26 notice also included various comments on the 232 Exclusions Portal, certain of which are addressed below. A commenter is concerned that Commerce is not considering the cumulative impact of objections to exclusions. The estimated 106-day period begins on the day the exclusion request is posted in the 232 Exclusions Portal, and ends once a decision to grant or deny is made on the exclusion request. (5) Public disclosure and information protected from public disclosure. 2. Any individual or organization that manufactures steel or aluminum articles in the United States may file objections to steel exclusion requests, but the U.S. Department of Commerce will only consider information directly related to the submitted exclusion request that is the subject of the objection. OTH TUBES/PIPES/HOLLOW PROFILES OTH ALLOY STL (NOT STAINLESS), WELDED, OTH NONCIRCULAR CS, WALL THK <4MM, 7302101045. This commenter recommended that Commerce should only determine that the domestic product is not immediately available when a domestic source cannot provide material before offshore suppliers. Start Printed Page 70007 3. on NARA's archives.gov. This change is made to create a more equal playing field between U.S. objectors and foreign producers, and to ensure that U.S. producers are not given less time to be able to meet the steel or aluminum demand being requested in an exclusion request. On August 29, 2018, the President issued Proclamation 9776. Schedule of the United States. 3 to part 705. 93 GAEs will remain in effect and may be used by any importer without quantitative limits. Register, and does not replace the official print version or the official Federal Register Comment (e)(5): Immediately should mean being able to provide the steel or aluminum as quickly as a foreign supplier. In reviewing the exclusion request to make a final determination, Commerce takes into account information provided in the rebuttal to evaluate whether the objector can produce the article in sufficient quantity and quality, and within the time specified in the criteria in paragraph (d) of supplement no. This interim final rule makes no additional changes to the other 93 GAEs that will continue to remain in supplements no. (D) Submit the CBI as an attachment to that email. GAEs do not include quantity limits. GAEs. Comment (a)(2): Data from Section 232 Exclusions Portal demonstrating objections were received. the Federal Register. 2. corresponding official PDF file on govinfo.gov. The most effective rebuttals will be those that aim to correct factual errors or misunderstandings in the objection(s). The name of the form used for submitting surrebuttals to aluminum objections is Surrebuttal to Rebuttal Received on Section 232 Objection: Aluminum. OTH TUBES/PIPES/HOLLOW PROFILES IRON/NONALLOY STL, RIVETED/SIMILARLY CLOSED (NOT WELDED), 7212600000. On May 26, 2020, Commerce issued a notice of inquiry with request for comment, 3 also specifies that these types of `inherited' GAEs will be effective from the effective date of the change to the HTSUS, even prior to a Commerce rule being published to add the new HTSUS number to one of the GAE lists under supplements no. Other comments will be summarized and addressed with the remaining comments on the June 10 rule that are not included in today's rule. 3 to part 705. (ii) Coordination with other agencies on approval and implementation. As Commerce considers objections filed by steel and aluminum companies, Commerce must ask the steel and aluminum producers several probing questions to truly determine the capabilities of suppliers to meet the consuming industries' needs and consider these answers surrounding domestic capacity when making exclusion decisions. 2021-26634 Filed 12-8-21; 8:45 am]. As referenced in the previous comment, the GAEs are also responsive to some of what this commenter is requesting in Start Printed Page 81065terms of creating a more efficient approval process where Commerce determines that relief is warranted in a particular circumstance for all importers.