[Federal Register Volume 70, Number 47 (Friday, March 11, 2005)]
[Rules and Regulations]
[Pages 12133-12140]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-4971]


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DEPARTMENT OF COMMERCE

International Trade Administration

19 CFR Part 360

[Docket Number: 040305083-5052-02]
RIN 0625-AA64


Steel Import Monitoring and Analysis System

AGENCY: Import Administration, International Trade Administration, 
Commerce.

ACTION: Interim final rule.

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SUMMARY: The Department of Commerce publishes this interim final rule 
to implement a Steel Import Monitoring and Analysis (SIMA) System, 
originally outlined in the President's March 5, 2002, Proclamation on 
Steel Safeguards.\1\ SIMA, as fully implemented by this interim final 
rule, contains modifications made in light of comments received in 
response to an Advanced Notice of Proposed Rulemaking (ANPRM) published 
on August 25, 2004.
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    \1\ Formerly, the Steel Import Licensing and Surge Monitoring 
System.

DATES: This interim final rule is effective March 11, 2005. 
Modifications to SIMA, as stated in Annexes II and III will be 
implemented on June 9, 2005. Comments on the SIMA system must be 
submitted on or before 5 p.m. e.s.t., May 10, 2005.
    Paperwork Reduction Act: Comments regarding the information 
collection requirements must be submitted to Diana Hynek, Departmental 
Paperwork Officer, on or before 5 p.m., e.s.t., May 10, 2005.

ADDRESSES: Comments on the SIMA system may be submitted through any of 
the following:
     Mail: Kelly Parkhill, Director for Industry Support and 
Analysis, Import Administration, Room 3713, Department of Commerce, 
14th and Constitution Ave., NW., Washington, DC 20230.
     E-mail: steel_license@ita.doc.gov. Please state 
``Comments on the Interim final rule'' in the subject line.
     Federal e-Rulemaking portal: http://www.regulations.gov.
    Paperwork Reduction Act: Comments regarding the information 
collection should be sent to Diana Hynek, Departmental Paperwork, 
Clearance Officer, Department of Commerce, Room 6625, 14th and 
Constitution Ave., NW., Washington, DC 20230 or via the Internet at 
dHynek@doc.gov.

FOR FURTHER INFORMATION CONTACT: For information on the SIMA system, 
please contact Kelly Parkhill (202) 482-3791; Julie Al-Saadawi (202) 
482-1930.
    Paperwork Reduction Act: Requests for additional information on the 
collection of information, or copies of the information collection 
instrument and instructions should be directed to: William Franklin, 
Office of Finance, Room 1800A, U.S. Department of Commerce, 14th and 
Constitution Ave., NW., Washington, DC 20230; Phone Number: (202) 482-
3277.

SUPPLEMENTARY INFORMATION: On December 31, 2002, the Department of 
Commerce published its final rule on the implementation of the current 
steel import monitoring system (67 FR 79845). This system was initiated 
in connection with the implementation of safeguard measures with 
respect to certain steel products pursuant to section 203 of the Trade 
Act of 1974 (67 FR 10593). The effective date of the system was 
February 1, 2003. On December 4, 2003, the President issued a 
proclamation that terminated the steel safeguard measures, but also 
directed the Secretary of Commerce to continue the monitoring system 
until the earlier of March 21, 2005, or such time as the Secretary of 
Commerce establishes a replacement program. On December 9, 2003, the 
Department of Commerce published a notice stating that the system would 
continue in effect as described in the Proclamation until March 21, 
2005 (68 FR 68594).
    The purpose of the SIMA system is to provide steel producers, steel 
consumers, importers, and the general public with accurate and timely 
information on anticipated imports of certain steel products. 
Currently, the SIMA system requires licenses for imports of certain 
steel products that were formerly covered under the President's 
safeguard action. Details of the current system can be found in the 
final rule (19 CFR 360) published on December 31, 2002 (67 FR 79845).
    On August 25, 2004, the Department published an advanced notice of 
proposed rulemaking soliciting comments from the public on whether to 
continue the current system beyond its expiration date of March 21, 
2005 (69 FR 52211) and, if extended, whether the system should be 
modified in any way. The Department received 73 submissions from a wide 
range of interested parties, including steel producers, steel 
consumers, steel suppliers, and importers, as well as from 
Congressional and foreign interests. Please refer to the SIMA system's 
Web site to read comments on the ANPRM and for further information 
about the SIMA system: http://ia.ita.doc.gov/steel/license/.

Interim Final Rule

    The purpose of the SIMA system is to collect timely detailed 
statistics on anticipated steel imports and to provide stakeholders 
with information about import trends in this sector. The SIMA system 
aggregates detailed import statistics it collects from internet-
generated licenses and makes the data available for public analysis on 
a weekly basis. The data gathering procedure through the online 
licensing system would remain the same. The monitor would continue to 
display aggregate statistical tables and graphs of U.S. steel imports 
combining data from the Census Bureau with data collected from the 
licensing system. Slightly more detailed information would be displayed 
in tabular form only.
    The Department is implementing the SIMA system, beyond its current 
expiration date, for a period of four years (see 19 CFR 360). The 
Department also is expanding the coverage of the system to include all 
basic steel mill

[[Page 12134]]

products. Further, the Department will release, detail on the 
monitoring Web site, aggregate licensing data at the 6-digit Harmonized 
Tariff Schedule (HTS) product level. At the same time, the Department 
is terminating licensing with respect to certain downstream steel 
products now covered, specifically, carbon and alloy flanges and pipe 
fittings.
    Licensing will continue without interruption on those products 
covered under the current system (see Annex I). With respect to those 
basic steel mill products not covered by the current system licensing 
will not be implemented until June 9, 2005 to allow affected parties 
sufficient time to adapt to and implement the new requirements (see 
Annex II for the full list of product codes to be covered under the new 
system). Finally, termination of licensing for certain downstream 
products will not occur until June 9, 2005 (see Annex III for a list of 
product codes to be removed from the system).
    The Department does not intend to release aggregate data at the 
port level because of concerns about the potential release of 
proprietary information. In addition, the Department intends to make no 
changes to the timing requirement for obtaining an import license and 
would continue with the current policy that requires a license at the 
time of Customs' entry summary, although applicants could apply for a 
license up to two months prior to the expected date of importation.
    The Department intends to issue a final rule, responding to 
comments received on this interim final rule, before September 30, 
2005.
    Comments: Submissions received during the public comment period 
established in the advanced notice of proposed rulemaking have been 
considered in preparing this interim final rule. In all, 73 submissions 
were received from a wide range of sources. Nearly all of the comments 
were supportive of continuing the SIMA system beyond its expiration 
date as long as it continued to be done in such a way that did not 
impose an additional burden on trade. The comments are summarized below 
and listed in order of their frequency:
    Comment 1: Extension of the SIMA System--The vast majority of the 
submissions supported extending the SIMA system beyond its current 
expiration date, with most suggesting that the program be made 
permanent. A few commenters stated that the current system should be 
allowed to expire because either it was (1) unnecessary and duplicative 
of other import data available to the U.S. government, or (2) a burden 
on importers and a possible violation of U.S. international 
obligations.
    Response 1: The Department believes that the SIMA system is a 
critical trade monitoring program and is extending it for another four 
years under the authority of the Census Act of 1930. The current 
automatic licensing system is WTO-consistent, and the system will 
continue to function in a way designed to meet our international 
obligations. The Department believes that the SIMA system has proven 
useful to both steel producers and consumers, by providing the public 
with timely and accurate data on steel imports through a mechanism that 
imposes minimal burden on those subject to licensing requirements. 
Other import data collected by the United States cannot be made 
publicly available on as timely a basis as that collected under the 
SIMA system. In addition, the system will continue to be Web-based and 
accessible 24 hours a day, seven days a week, and at no charge, in 
order to minimize the burden on licensees.
    Comment 2: Product Coverage--The Department encouraged parties to 
comment on the system's product coverage. Generally, the majority of 
comments, particularly those from the steel producers and suppliers, 
and those from Members of Congress and State/local governments, 
requested that the monitoring system be expanded to cover a broader 
range of steel products than is covered by the current system. Most 
suggested that the system cover basic steel mill products; however, 
more than half also suggested that the system should also include some 
combination of downstream steel products, such as fabricated 
structurals, wire rope, wire strand and other wire products (including 
in a few cases, garment hangers). Several consumer groups also 
suggested that steel exports be covered as well. Those opposed to 
extension of the program also opposed its expansion, while two other 
commenters that were not opposed to the extension of the current 
program stated that they did not support expanding the program because 
of concerns over potential additional burden or costs to importers.
    Response 2: The current system covers all steel products that were 
subject to the section 203 safeguards remedies imposed by the President 
in March 2002. That product scope, which corresponds to those products 
subject to the U.S. International Trade Commission's affirmative injury 
determinations in the section 201 investigation, included certain, but 
not all, basic steel mill products as well as some downstream steel 
products. In order to improve the usefulness of the current system, the 
Department is modifying the system's product coverage to make it more 
closely correspond to other important publicly available steel trade 
data by expanding the system to cover basic steel mill products. The 
Department also will remove certain currently covered downstream steel 
products, specifically carbon and alloy flanges and pipe fittings, from 
the licensing requirements of the system because they are not basic 
steel mill products. While the expansion in product coverage to basic 
steel mill products will result in an increase in the number of 
licenses, the additional burden this imposes on importers will be 
limited by the importers' familiarity with the current system, the 
system's automatic nature and the fact that the Department would 
continue its policy of imposing no fee for obtaining the license. The 
elimination of certain downstream products from coverage will also help 
reduce the burden on importers given the large volume of licenses 
associated with these products. A full list of the product categories 
and HTS numbers to be covered by the new SIMA system is provided in 
Annex II.\2\ A list of the product categories and HTS numbers to be 
removed from the SIMA system licensing requirements is provided in 
Annex III.
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    \2\ Implementation of the new product coverage will not occur 
until 90 days after the publication of this notice in the Federal 
Register to allow affected parties sufficient time to adapt to and 
implement the new requirements. Until that time product coverage 
will remain the same as the previous system. Until that time, 
licenses will be required on all products listed in Annex I, 
including those products listed in Annex III which will be removed 
from the system at the same time, 90 days after publication of this 
notice, that the modified product scope is implemented.
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    Comment 3: Changes to the Import Monitor--The advanced notice of 
proposed rulemaking asked parties to comment on possible modifications 
to the Import Monitor, particularly with respect to the presentation of 
more detailed product information. A number of the submissions 
commented specifically on increasing the level of product detail 
presented in the monitor. These commenters all requested that the 
system be altered such that it would report aggregate data by 10-digit 
HTS category, rather than by the more general product categories 
currently displayed. Several other commenters voiced concerns over the 
possibility that increased product detail could potentially reveal 
proprietary information.
    Response 3: The Department will present aggregate data at the 6-
digit HTS level. The Department, however, is

[[Page 12135]]

reluctant to disaggregate data in any greater product detail than at 
the 6-digit HTS level because of the possibility of inadvertent release 
of proprietary information.
    Comment 4: Port of entry--A number of commenters also suggested 
that the Department should aggregate data by port of entry.
    Response 4: The dissemination of aggregate data on a port of entry 
basis greatly increases the possibility of inadvertent disclosure of 
proprietary information, particularly if product detail is increased to 
the 6-digit HTS level. The Department does not intend to publicly 
release aggregate port of entry data at this time.
    Comment 5: Deadline for Obtaining a Steel Import License--A number 
of commenters suggested that the deadline for import licenses should be 
changed to require importers to obtain them earlier than they do now. 
One group of commenters suggested changing the current deadline to 
require that licenses be obtained by the time the steel products enter 
the country (i.e., date of entry) and another group proposed that 
licenses must be obtained at least fifteen days prior to the date of 
entry. Other commenters noted that changes to the current deadline 
(i.e., by the date of entry summary, which may be up to 10 days after 
the date of entry) could result in additional burdens to importers and 
possibly impede the flow of trade. In particular, one commenter noted 
that the special nature of U.S.-Canada trade must be recognized since a 
significant number of imports are delivered across the border on a 
just-in-time basis.
    Response 5: The Department does not plan to change the existing 
deadline for the submission of licenses. For the considerable portion 
of the steel trade that comes across a land border, the requested 
license data may not be known prior to importation. Licensing deadlines 
concurrent with, or preceding, the date of importation have the 
potential for creating impediments to the normal flow of trade, 
particularly at those ports with high volumes of steel imports. 
Licenses will continue to be required at the time of entry summary, but 
may be obtained up to 60 days prior to the expected date of 
importation.
    All comments responding to this notice will be a matter of public 
record and available for public inspection and copying at Import 
Administration's Central Records Unit, Room B-099, between the hours of 
8:30 a.m. and 5 p.m. on business days.

Classification

    Administrative Procedure Act. The Department finds good cause under 
5 U.S.C. 553(b)(B) to waive the requirement for prior notice and an 
opportunity for public comment as such procedures would be contrary to 
the public interest. The current steel import licensing and monitoring 
system, which will expire on March 21, 2005, provides the steel 
industry with real-time information and detailed statistics on steel 
imports and import trends. The new Steel Import Monitoring System 
(SIMA) would replace the current system. As described in the preamble, 
SIMA, as implemented on the effective date of this interim final rule, 
would be identical to the current steel import monitoring and licensing 
system. Differences between the current system and SIMA would not be 
implemented until 90 days after the effective date of this rule, after 
a 60 day public comment period. As such, the SIMA system would continue 
to provide the public with timely and accurate data on steel imports 
through a mechanism that imposes minimal burden on those subject to the 
licensing requirements. The public has been given multiple 
opportunities to comment on implementation of this import licensing and 
monitoring system, and the overwhelming response from the public has 
been positive. Moreover, changes from the current system, made in 
response to comments previously received, would not be implemented 
until after the public has had an opportunity to comment.
    The SIMA system must be implemented immediately to prevent a lapse 
in the import monitoring program. A lapse would subject importers to a 
severe disruption, creating confusion and uncertainty. Importers would 
be burdened with the uncertainty of not knowing whether they need to 
obtain an import license for their product. Importers would also have 
to change their import process until the SIMA system is implemented, at 
which time they would again have to change their import process to 
comply with the licensing requirements. Because this period of lapse 
would be brief, it would be difficult to determine the licensing 
requirements at any given time. In addition, this lapse would create 
unusual and confusing import transactions that would be difficult to 
resolve. For example, an importer could be faced with the situation 
where his transaction was initiated during the period when no import 
license was required, but completed during a time after the 
implementation of the SIMA system. To avoid such confusion and 
uncertainty, the SIMA system must be implemented immediately.
    In addition, this data provides the industry with real-time 
information on anticipated steel imports, allowing importers to monitor 
steel import trends. If this rule is not implemented immediately, the 
data collected under this system would be less useful to the industry 
because the information collected during and shortly after the period 
of lapse would not be complete or accurate. In order to ensure the 
uninterrupted availability of timely and accurate import data, it is 
necessary to implement the SIMA system immediately. Finally, upon the 
effective date of this rule, importers would continue to provide 
information only on those products covered under the current system. 
Additional information requirements would not be implemented until 90 
days after this rule is effective.
    For the reasons above, the Department also finds good cause to 
waive the 30-day delay in effectiveness. 5 U.S.C. 553(d)(3). The SIMA 
system must be implemented immediately to prevent a lapse in the import 
monitoring program. As explained above, if the SIMA system is not 
implemented immediately, importers would be subject to a severe 
disruption, which would create confusion and uncertainty. In addition, 
if this rule is not implemented immediately, the data collected under 
this system would be less useful to the industry. Finally, the system 
that is implemented on the effective date of this rule is the same as 
the system that is currently in place.
    Regulatory Flexibility Act. Because prior notice and an opportunity 
for public comment are not required for this rule under 5 U.S.C. 553, 
or any other law, the analytical requirements of the Regulatory 
Flexibility Act, 5 U.S.C. 601 et seq., are inapplicable. However, the 
Commerce Department believes this interim final rule will not have a 
significant economic impact. Companies are already familiar with the 
licensing of certain steel products under the current system. In most 
cases, brokerage companies will apply for the license for the steel 
importers. Most brokerage companies that are currently involved in 
filing documentation for importing goods into the U.S. are accustomed 
to Customs' automated systems. Today, more than 99% of the Customs 
filings are handled electronically. Therefore, the Web-based nature of 
this simple license application is not a significant obstacle to any 
firm in completing this requirement. However, should a company need to 
apply for an ID or license non-electronically, a fax/phone option will 
be available at Commerce during regular business hours. There is

[[Page 12136]]

no cost to register for a company-specific ID user code and no cost to 
file for the license. Each license form is expected to take less than 
10 minutes to complete using much of the same information used to 
complete the Customs Entry Summary documentation. This is the one 
additional requirement of the importers' broker to fulfill U.S. entry 
requirements to import each covered steel product shipment. Commerce 
estimates that less than five percent of the licenses would be filed by 
brokerage companies or other businesses that would be considered small 
entities. Commerce estimates that about one percent, or $20,000, 
represents the amount that small entities will incur as a result of 
this interim final rule.
    Paperwork Reduction Act. This interim final rule contains 
collection-of-information requirements subject to review and approval 
by OMB under the Paperwork Reduction Act (PRA). These requirements have 
been approved by OMB (OMB No.: 0625-0245; Expiration Date: 09/30/05). 
Public reporting for this collection of information is estimated to be 
less than 10 minutes per response, including the time for reviewing 
instructions, and completing and reviewing the collection of 
information. All responses to this collection of information are 
voluntary, and will be provided confidentially to the extent allowed by 
law.
    Paperwork Reduction Act Data:
    OMB Number: 0625-0245.
    ITA Number: ITA-4141P.
    Type of Review: Regular Submission.
    Affected Public: Business or other for-profit.
    Estimated Number of Registered Users: 3,500.
    Estimated Time Per Response: less than 10 minutes.
    Estimated Total Annual Burden Hours: 100,000 hours.
    Estimated Total Annual Costs: $2,000,000.

    Request for Comments: Comments are invited on (a) Whether the 
proposed collection of information is necessary for the proper 
performance of the functions of the agency, including whether the 
information shall have practical utility; (b) the accuracy of the 
agency's estimate of the burden (including hours and costs) of the 
proposed collection information; (c) ways to enhance the quality, 
utility, and clarity of the information to be collected; (d) ways to 
minimize the burden of the collection of information on respondents, 
including through the use of automated collection techniques or forms 
of information technology.
    Comments regarding the information collection must be submitted on 
or before 5 p.m., E.S.T., May 10, 2005. All comments on the information 
collection will be summarized and/or included in the request for OMB 
approval of this information collection; they also will become a matter 
of public record.
    Notwithstanding any other provision of law, no person is required 
to respond to nor shall a person be subject to a penalty for failure to 
comply with a collection of information subject to the requirements of 
the Paperwork Reduction Act unless that collection of information 
displays a current valid OMB Control Number. Send comments regarding 
the burden estimate or any other aspect of this collection of 
information, including suggestions for reducing this burden, to Diana 
Hynek, Departmental Paperwork, Clearance Officer, Department of 
Commerce (see ADDRESSES).

Executive Order 12866

    This rule has been determined to be significant for purposes of 
Executive Order 12866.

Executive Order 13132

    This rule does not contain policies with federalism implications as 
that term is defined in EO 13132.

List of Subjects in 19 CFR Part 360

    Administrative practice and procedure, Business and industry, 
Imports, Reporting and recordkeeping requirements, Steel.

0
For reasons discussed above, 19 CFR part 360 is revised to read as 
follows:

PART 360--STEEL IMPORT MONITORING AND ANALYSIS SYSTEM

Sec.
360.101 Steel import licensing.
360.102 Online registration.
360.103 Automatic issuance of import licenses.
360.104 Steel import monitoring.
360.105 Duration of the steel import licensing requirement.
360.106 Fees.
360.107 Hours of operation.
360.108 Loss of electronic licensing privileges.

    Authority: 13 U.S.C. 301(a) and 302.


Sec.  360.101  Steel import licensing.

    (a) In general. (1) All imports of basic steel mill products are 
subject to the import licensing requirements. These products are listed 
in Annex II. Registered users will be able to obtain steel import 
licenses on the Steel Import Monitoring and Analysis (SIMA) System Web 
site. This Web site contains two sections related to import licensing--
the online registration system and the automatic steel import license 
issuance system. Information gathered from these licenses will be 
aggregated and posted on the import monitoring section of the SIMA 
system Web site.
    (2) A single license may cover multiple products as long as certain 
information on the license (e.g., importer, exporter, manufacturer and 
country of origin) remains the same. However, separate licenses for 
steel entered under a single entry will be required if the information 
differs. As a result, a single Customs entry may require more than one 
steel import license. The applicable license(s) must cover the total 
quantity of steel entered and should cover the same information 
provided on the Customs entry summary.
    (b) Entries for consumption. All entries for consumption of covered 
steel products, other than the exception for ``informal entries'' 
listed in paragraph (d) of this section, will require an import license 
prior to the filing of Customs entry summary documents. The license 
number(s) must be reported on the entry summary (Customs Form 7501) at 
the time of filing. There is no requirement to present physical copies 
of the license forms at the time of entry summary. However, copies must 
be maintained in accordance with Customs' normal requirements. Entry 
summaries submitted without the required license number(s) will be 
considered incomplete and will be subject to liquidated damages for 
violation of the bond condition requiring timely completion of entry.
    (c) Foreign Trade Zone entries. All shipments of covered steel 
products into a foreign trade zones (FTZ), known as FTZ admissions, 
will require an import license prior to the filing of FTZ admission 
documents. The license number(s) must be reported on the application 
for FTZ admission and/or status designation (Customs form 214) at the 
time of filing. There is no requirement to present physical copies of 
the license forms at the time of FTZ admission; however, copies must be 
maintained in accordance with Customs' normal requirements. FTZ 
admission documents submitted without the required license number(s) 
will not be considered complete and will be subject to liquidated 
damages for violation of the bond condition requiring timely completion 
of admission. A further steel license will not be required for 
shipments from zones into the commerce of the United States.
    (d) Informal entries. No import license shall be required on 
informal entries of

[[Page 12137]]

covered steel products, such as merchandise valued at less than $2,000. 
This exemption applies to informal entries only, imports of steel 
valued at less than $2,000 that are part of a formal entry will require 
a license. For additional information, refer to 19 CFR 143.21 through 
143.28.
    (e) Other non-consumption entries. Import licenses are not required 
on temporary importation bond (TIB) entries, transportation and 
exportation (T&E) entries or entries into a bonded warehouse. Covered 
steel products withdrawn for consumption from a bonded warehouse will 
require a license at the entry summary.


Sec.  360.102  Online registration.

    (a) In general. (1) Any importer, importing company, customs broker 
or importer's agent with a U.S. street address may register and obtain 
the user identification number necessary to log on to the automatic 
steel import license issuance system. Foreign companies may obtain a 
user identification number if they have a U.S. address through which 
they may be reached; P.O. boxes will not be accepted. A user 
identification number will be issued within two business days. 
Companies will be able to register online through the SIMA system Web 
site. However, should a company prefer to apply for a user 
identification number non-electronically, a phone/fax option will be 
available at Commerce during regular business hours.
    (2) This user identification number will be required in order to 
log on to the steel import license issuance system. A single user 
identification number will be issued to an importer, customs broker or 
importer's agent. Operating units within the company (e.g., individual 
branches, divisions or employees) will all use the same basic company 
user identification code but can supply suffixes to identify the 
branches. The steel import license issuance system will be designed to 
allow multiple users of a single identification number from different 
locations within the company to enter information simultaneously.
    (b) Information required to obtain a user identification number. In 
order to obtain a user identification number, the importer, importing 
company, customs broker or importer's agent will be required to provide 
general information. This information will include: the filer company 
name, employer identification number (EIN) or Customs ID number (where 
no EIN is available), U.S. street address, phone number, contact 
information and e-mail address for both the company headquarters and 
any branch offices that will be applying for steel licenses. It is the 
responsibility of the applicant to keep the information up-to-date. 
This information will not be released by Commerce, except as required 
by U.S. law.


Sec.  360.103  Automatic issuance of import licenses.

    (a) In general. Steel import licenses will be issued to registered 
importers, customs brokers or their agents through an automatic steel 
import licensing system. The licenses will be issued automatically 
after the completion of the form.
    (b) Customs entry number. Filers are not required to report a 
Customs entry number to obtain an import license but are encouraged to 
do so if the Customs entry number is known at the time of filing for 
the license.
    (c) Information required to obtain an import license. (1) The 
following information is required to be reported in order to obtain an 
import license (if using the automatic licensing system, some of this 
information will be provided automatically from information submitted 
as part of the registration process):
    (i) Filer company name and address;
    (ii) Filer contact name, phone number, fax number and email 
address;
    (iii) Entry type (i.e., Consumption, FTZ)
    (iv) Importer name;
    (v) Exporter name;
    (vi) Manufacturer name (filer may state ``unknown'');
    (vii) Country of origin;
    (viii) Country of exportation;
    (ix) Expected date of export;
    (x) Expected date of import;
    (xi) Expected port of entry;
    (xii) Current HTS number (from Chapters 72 or 73);
    (xiii) Quantity (in kilograms) and
    (xiv) Customs value (U.S. $).
    (2) Certain fields will be automatically filled out by the 
automatic license system based on information submitted by the filer 
(e.g., product category, unit value). Filers should review these fields 
to help confirm the accuracy of the submitted data.
    (3) Upon completion of the form, the importer, customs broker or 
the importer's agent will certify as to the accuracy and completeness 
of the information and submit the form electronically. After refreshing 
the page, the system will automatically issue a steel import license 
number. The refreshed form containing the submitted information and the 
newly issued license number will appear on the screen (the ``license 
form''). Filers can print the license form themselves only at that 
time. For security purposes, users will not be able to retrieve 
licenses themselves from the license system at a later date for 
reprinting. If needed, copies of completed license forms can be 
requested from Commerce during normal business hours.
    (d) Duration of the steel import license. The steel import license 
can be applied for up to 60 days prior to the expected date of 
importation and until the date of filing of the entry summary 
documents, or in the case of FTZ entries, the filing of Customs form 
214. The steel import license is valid for 75 days; however, import 
licenses that were valid on the date of importation but expired prior 
to the filing of entry summary documents will be accepted.
    (e) Correcting submitted license information. Users will need to 
correct licenses themselves if they determine that there was an error 
submitted. To access a previously issued license, a user must log on 
with his user identification code and identify the license number and 
the volume (in kilograms) for the first product shown on the license. 
The information on the license should match the information presented 
on the CF-7501 entry summary document as closely as possible; this 
includes the value and volume of the shipment, the expected date of 
importation, and the customs district of entry.
    (f) Low-value licenses. There is one exception to the requirement 
for obtaining a unique license for each Customs entry. If the total 
value of the covered steel portion of an entry is less than $250, 
applicants may apply to Commerce for a low-value license that can be 
used in lieu of a single entry license for low-value entries.


Sec.  360.104  Steel import monitoring.

    (a) Throughout the duration of the licensing requirement, Commerce 
will maintain an import monitoring system on the SIMA system Web site 
that will report certain aggregate information on imports of steel mill 
products obtained from the steel licenses. Aggregate data will be 
reported on a monthly basis by country of origin and steel mill product 
category and will include import quantity (metric tons), import Customs 
value (U.S. $), and average unit value ($/metric ton). The Web site 
will also contain certain aggregate data at the 6-digit Harmonized 
Tariff Schedule level and will also present a range of historical data 
for comparison purposes. Provision of this aggregate data on the Web 
site may be revisited should concerns arise over the possible release 
of proprietary data.
    (b) Reported monthly import data will be refreshed each week with 
new data

[[Page 12138]]

on licenses issued during the previous week. This data will also be 
adjusted periodically for cancelled or unused steel import licenses, as 
appropriate.


Sec.  360.105  Duration of the steel import licensing requirement.

    The licensing program will be in effect through March 21, 2009, but 
may be extended upon review and notification in the Federal Register 
prior to this expiration date. Licenses will be required on all subject 
imports entered during this period, even if the entry summary documents 
are not filed until after the expiration of this program. The licenses 
will be valid for 10 business days after the expiration of this program 
to allow for the final filing of required Customs documentation.


Sec.  360.106  Fees.

    No fees will be charged for obtaining a user identification number, 
issuing a steel import license or accessing the steel import surge 
monitoring system.


Sec.  360.107  Hours of operation.

    The automatic licensing system will generally be accessible 24 
hours a day, 7 days a week but may be unavailable at selected times for 
server maintenance. If the system is unavailable for an extended period 
of time, parties will be able to obtain licenses from Commerce directly 
via fax during regular business hours. Should the system be 
inaccessible for an extended period of time, Commerce would advise 
Customs to consider this as part of mitigation on any liquidated damage 
claims that may be issued.


Sec.  360.108  Loss of electronic licensing privileges.

    Should Commerce determine that a filer consistently files 
inaccurate licensing information or otherwise abuses the licensing 
system, Commerce may revoke its electronic licensing privileges without 
prior notice. The filer will then only be able to obtain a license 
directly from Commerce. Because of the additional time need to review 
such forms, Commerce may require up to 10 working days to process such 
forms. Delays in filing caused by the removal of a filer's electronic 
filing privilege will not be considered a mitigating factor by the U.S. 
Customs Service.

    Dated: March 8, 2005.
Grant Aldonas,
Under Secretary for International Trade.

    Note: The Following annexes will not appear in the Code of 
Federal Regulations.

Annex I: Currently Covered Steel Products (based on section 203 
determination): Harmonized Tariff Codes
Annex II: Covered Basic Steel Mill Products (to be implemented 90 
days after publication of this notice in the Federal Register): 
Harmonized Tariff Codes
Annex III: Previously Covered Steel Products No Longer Subject to 
Licensing Requirements (to be implemented 90 days after publication 
of this notice in the Federal Register): Harmonized Tariff Codes

Annex I

List of Harmonized Codes Covered Under Current SIMA System

Flat Products: Carbon & Alloy Steel Slab
    7207120010, 7207120050, 7207200025, 7207200045, 7224900055
Flat Products: Carbon & Alloy Steel Plate
    7208403030, 7208403060, 7208510030, 7208510045, 7208510060, 
7208520000, 7208900000, 7210901000, 7211130000, 7211140030, 
7211140045, 7225403005, 7225403050, 7225506000, 7226915000
Flat Products: Carbon & Alloy Steel Hot-rolled Flat Products
    7208101500, 7208103000, 7208106000, 7208253000, 7208256000, 
7208260030, 7208260060, 7208270030, 7208270060, 7208360030, 
7208360060, 7208370030, 7208370060, 7208380015, 7208380030, 
7208380090, 7208390015, 7208390030, 7208390090, 7208406030, 
7208406060, 7208530000, 7208540000, 7211140090, 7211191500, 
7211192000, 7211193000, 7211194500, 7211196000, 7211197530, 
7211197560, 7211197590, 7225303005, 7225303050, 7225307000, 
7225407000, 7226917000, 7226918000
Flat Products: Carbon & Alloy Steel Cold-rolled Flat Products
    7209150000, 7209160030, 7209160060, 7209160070, 7209160091, 
7209170030, 7209170060, 7209170070, 7209170091, 7209181530, 
7209181560, 7209182510, 7209182520, 7209182580, 7209186020, 
7209186090, 7209250000, 7209260000, 7209270000, 7209280000, 
7209900000, 7211231500, 7211232000, 7211233000, 7211234500, 
7211236030, 7211236060, 7211236075, 7211236085, 7211292030, 
7211292090, 7211294500, 7211296030, 7211296080, 7211900000, 
7225190000, 7225507000, 7225508010, 7225508015, 7225508085, 
7226927050, 7226928005, 7226928050, 7226191000, 7226199000, 
7226925000, 7226927005
Flat Products: Carbon & Alloy Steel Coated Products
    7210200000, 7210300030, 7210300060, 7210410000, 7210490030, 
7210490090, 7210610000, 7210690000, 7210703000, 7210706030, 
7210706060, 7210706090, 7210906000, 7210909000, 7212200000, 
7212301030, 7212301090, 7212303000, 7212305000, 7212401000, 
7212405000, 7212500000, 7225910000, 7225920000, 7225990010, 
7225990090, 7226930000, 7226940000, 7226990000
Flat Products: Carbon & Alloy Steel Tin Products
    7210110000, 7210120000, 7210500000, 7212100000
Carbon & Alloy Steel Hot-rolled bar
    7213200010, 7213200080, 7213990060, 7213990090, 7214300010, 
7214300080, 7214300000, 7214910015, 7214910060, 7214910090, 
7214990015, 7214990030, 7214990045, 7214990060, 7214990075, 
7214990090, 7215901000, 7215905000, 7216100010, 7216100050, 
7216210000, 7216220000, 7216500000, 7216610000, 7216690000, 
7216910010, 7216910090, 7216990010, 7216990090, 7227200000, 
7227906005, 7227906050, 7228201000, 7228308005, 7228308050, 
7228400000, 7228606000, 7228703020, 7228703040, 7228703060, 
7228703080, 7228706000, 7228800000
Carbon & Alloy Steel Cold-Finished Bar
    7215100010, 7215100080, 7215500015, 7215500060, 7215500090, 
7215903000, 7228205000, 7228505005, 7228505050, 7228608000
Carbon & Alloy Steel Rebar
    7213100000, 7214200000
Carbon & Alloy Steel Welded Tubular Products other than OCTG
    7305111030, 7305111060, 7305115000, 7305121030, 7305121060, 
7305125000, 7305191030, 7305191060, 7305195000, 7305312000, 
7305314000, 7305316000, 7305391000, 7305395000, 7305901000, 
7305905000, 7306301000, 7306303000, 7306305010, 7306305015, 
7306305020, 7306305025, 7306305032, 7306305035, 7306305040, 
7306305055, 7306305085, 7306305090, 7306501000, 7306503000, 
7306505010, 7306505030, 7306505050, 7306505070, 7306601000, 
7306603000, 7306605000, 7306607060, 7306901000, 7306905000
Carbon & Alloy Steel Fittings & Flanges
    7307915010, 7307915030, 7307915050, 7307915070, 7307923010, 
7307923030, 7307929000, 7307933000, 7307936000, 7307939030, 
7307939060, 7307995015, 7307995045, 7307995060
Stainless Steel Bar
    7221000045, 7222110005, 7222110050, 7222190005, 7222190050, 
7222200005, 7222200045, 7222200075, 7222300000, 7222403065, 
7222403085, 7222406000
Stainless Steel Rod
    7221000005, 7221000015, 7221000030, 7221000075
Stainless Steel Wire
    7223001015, 7223001030, 7223001045, 7223001060, 7223001075, 
7223005000, 7223009000

Annex II

New SIMA System Product Coverage To Include Basic Steel Mill 
Products: Harmonized Tariff System Codes

Ingots and Steel for Castings
    7206100000, 7206900000, 7218100000, 7224100005, 7224100075
Blooms, Billets and Slabs
    7207110000, 7207120010, 7207120050, 7207190030, 7207190090, 
7207200025, 7207200045, 7207200075, 7207200090, 7218910015, 
7218910030, 7218910060, 7218990015, 7218990030, 7218990045, 
7218990060, 7218990090, 7224900005, 7224900045, 7224900055, 
7224900065, 7224900075
Wire Rods
    7213913000, 7213913010, 7213913011, 7213913015, 7213913090, 
7213913091, 7213913092, 7213914500, 7213914510, 7213914590, 
7213916000, 7213916010, 7213916090, 7213990030, 7213990031,

[[Page 12139]]

7213990038, 7213990090, 7221000015, 7221000030
Structural Shapes Heavy
    7216310000, 7216320000, 7216330030, 7216330060, 7216330090, 
7216400010, 7216400050, 7216500000, 7216990000, 7216990010, 
7216990090, 7222403025, 7222403045, 7228703020, 7228703040
Steel Piling
    7301100000
Plates Cut Lengths
    7208403030, 7208403060, 7208510030, 7208510045, 7208510060, 
7208520000, 7210901000, 7211130000, 7211140030, 7211140045, 
7219210005, 7219210020, 7219210040, 7219210050, 7219210060, 
7219220005, 7219220010, 7219220015, 7219220020, 7219220025, 
7219220030, 7219220035, 7219220040, 7219220045, 7219220060, 
7219220070, 7219220075, 7219220080, 7219310050, 7220110000, 
7225403005, 7225403050, 7225506000, 7226915000
Plates in Coils
    7208101500, 7208103000, 7208253000, 7208256000, 7208360030, 
7208360060, 7208370030, 7208370060, 7211140090, 7219110000, 
7219110030, 7219110060, 7219120002, 7219120006, 7219120021, 
7219120026, 7219120045, 7219120051, 7219120056, 7219120066, 
7219120071, 7219120081, 7219310010, 7225303005, 7225303050
Rails Standard
    7302101010, 7302101035, 7302105020
Rails All Other
    7302101015, 7302101025, 7302101045, 7302101055
Railroad Accessories
    7302200000, 7302400000, 7302901000
Bars--Hot Rolled
    7213200000, 7213200010, 7213200080, 7213990060, 7214100000, 
7214300000, 7214300010, 7214300080, 7214910015, 7214910060, 
7214910090, 7214990015, 7214990030, 7214990045, 7214990060, 
7214990075, 7214990090, 7215901000, 7221000005, 7221000045, 
7221000075, 7222110005, 7222110050, 7222190005, 7222190050, 
7227200000, 7227200010, 7227200020, 7227200090, 7227200095, 
7227906005, 7227906050, 7227906051, 7227906053, 7227906058, 
7227906059, 7228201000, 7228308005, 7228308050, 7228400000, 
7228606000, 7228800000
Bars--Light Shapes
    7216100010, 7216100050, 7216210000, 7216220000, 7222403065, 
7222403085, 7228703060, 7228703080
Bars--Reinforcing
    7213100000, 7214200000
Bars-Cold Finished
    7215100000, 7215100010, 7215100080, 7215500015, 7215500060, 
7215500090, 7215903000, 7215905000, 7222200005, 7222200045, 
7222200075, 7222300000, 7228205000, 7228505005, 7228505050, 
7228608000
Tool Steel
    7224100045, 7224900015, 7224900025, 7224900035, 7225200000, 
7225301000, 7225305030, 7225305060, 7225401015, 7225401090, 
7225405030, 7225405060, 7225501030, 7225501060, 7226200000, 
7226910500, 7226911530, 7226911560, 7226912530, 7226912560, 
7226921030, 7226921060, 7226923030, 7226923060, 7227100000, 
7227901030, 7227901060, 7227902030, 7227902060, 7228100010, 
7228100030, 7228100060, 7228302000, 7228304000, 7228306000, 
7228501010, 7228501020, 7228501040, 7228501060, 7228501080, 
7228601030, 7228601060, 7229100000
Standard Pipe
    7304390016, 7304390020, 7304390024, 7304390036, 7304390048, 
7304390062, 7304390076, 7304390080, 7304598010, 7304598015, 
7304598030, 7304598045, 7304598060, 7304598080, 7306305025, 
7306305028, 7306305032, 7306305040, 7306305055, 7306305085, 
7306305090
Oil Country Goods
    7304213000, 7304216030, 7304216045, 7304216060, 7304291010, 
7304291020, 7304291030, 7304291040, 7304291050, 7304291060, 
7304291080, 7304292010, 7304292020, 7304292030, 7304292040, 
7304292050, 7304292060, 7304292080, 7304293010, 7304293020, 
7304293030, 7304293040, 7304293050, 7304293060, 7304293080, 
7304294010, 7304294020, 7304294030, 7304294040, 7304294050, 
7304294060, 7304294080, 7304295015, 7304295030, 7304295045, 
7304295060, 7304295075, 7304296015, 7304296030, 7304296045, 
7304296060, 7304296075, 7305202000, 7305204000, 7305206000, 
7305208000, 7306201030, 7306201090, 7306202000, 7306203000, 
7306204000, 7306206010, 7306206050, 7306208010, 7306208050
Line Pipe
    7304101020, 7304101030, 7304101045, 7304101060, 7304101080, 
7304105020, 7304105050, 7304105080, 7305111030, 7305111060, 
7305115000, 7305121030, 7305121060, 7305125000, 7305191030, 
7305191060, 7305195000, 7306101010, 7306101013, 7306101014, 
7306101015, 7306101019, 7306101050, 7306101053, 7306101054, 
7306101055, 7306101059, 7306105010, 7306105013, 7306105014, 
7306105015, 7306105019, 7306105050, 7306105053, 7306105054, 
7306105055, 7306105059
Mechanical Tubing
    7304313000, 7304316050, 7304390028, 7304390032, 7304390040, 
7304390044, 7304390052, 7304390056, 7304390068, 7304390072, 
7304511000, 7304515060, 7304591000, 7304596000, 7304598020, 
7304598025, 7304598035, 7304598040, 7304598050, 7304598055, 
7304598065, 7304598070, 7304905000, 7304907000, 7306301000, 
7306305015, 7306305020, 7306305035, 7306501000, 7306505030, 
7306505050, 7306505070, 7306605000, 7306607060
Pressure Tubing
    7304316010, 7304390002, 7304390004, 7304390006, 7304390008, 
7304515015, 7304515045, 7304592030, 7304592040, 7304592045, 
7304592055, 7304592060, 7304592070, 7304592080, 7306305010, 
7306505010
Stainless Pipe & Tubing
    7304413005, 7304413015, 7304413045, 7304416005,7304416015, 
7304416045, 7304490005, 7304490015, 7304490045, 7304490060, 
7306401010, 7306401015, 7306401090, 7306405005, 7306405015, 
7306405040, 7306405042, 7306405044, 7306405062, 7306405064, 
7306405080, 7306405085, 7306405090, 7306607030
Pipe & Tubing Nonclassified
    7304515005, 7305901000, 7305905000, 7306901000, 7306905000
Structural Pipe & Tubing
    7304901000, 7304903000, 7305312000, 7305314000, 7305316000, 
7306303000, 7306503000, 7306601000, 7306603000
Pipe for Piling
    7305391000, 7305395000
Wire Drawn
    7217101000, 7217102000, 7217103000, 7217104030, 7217104090, 
7217105030, 7217105090, 7217106000, 7217107000, 7217108010, 
7217108020, 7217108025, 7217108030, 7217108045, 7217108060, 
7217108075, 7217108090, 7217109000, 7217201500, 7217203000, 
7217204510, 7217204520, 7217204530, 7217204540, 7217204550, 
7217204560, 7217204570, 7217204580, 7217206000, 7217207500, 
7217301530, 7217301560, 7217303000, 7217304504, 7217304510, 
7217304511, 7217304520, 7217304530, 7217304540, 7217304541, 
7217304550, 7217304560, 7217304590, 7217306000, 7217307500, 
7217905030, 7217905060, 7217905090, 7223001015, 7223001030, 
7223001045, 7223001060, 7223001075, 7223005000, 7223009000, 
7229200000, 7229200010, 7229200015, 7229200090, 7229901000, 
7229905006, 7229905008, 7229905015, 7229905016, 7229905030, 
7229905031, 7229905050, 7229905051, 7229909000
Black Plate
    7209182510, 7209182520, 7209182550, 7209182580
Tin Plate
    7210110000, 7210120000, 7212100000
Tin Free Steel
    7210500000
Sheets Hot Rolled
    7208106000, 7208260030, 7208260060, 7208270030, 7208270060, 
7208380015, 7208380030, 7208380090, 7208390015, 7208390030, 
7208390090, 7208406030, 7208406060, 7208530000, 7208540000, 
7208900000, 7219130002, 7219130031, 7219130051, 7219130071, 
7219130081, 7219140030, 7219140065, 7219140090, 7219230030, 
7219230060, 7219240030, 7219240060, 7225307000, 7225407000
Sheets Cold Rolled
    7209150000, 7209160030, 7209160060, 7209160070, 7209160090, 
7209160091, 7209170030, 7209170060, 7209170070, 7209170090, 
7209170091, 7209181530, 7209181560, 7209186000, 7209186020, 
7209186090, 7209250000, 7209260000, 7209270000, 7209280000, 
7209900000, 7210703000, 7219320005, 7219320020, 7219320025, 
7219320035, 7219320036, 7219320038, 7219320042, 7219320044, 
7219320045, 7219320060, 7219330005, 7219330020, 7219330025, 
7219330035, 7219330036, 7219330038, 7219330042, 7219330044, 
7219330045, 7219330070, 7219330080, 7219340005, 7219340020, 
7219340025, 7219340030, 7219340035, 7219340050, 7219350005, 
7219350015, 7219350030, 7219350035, 7219350050, 7219900010, 
7219900020, 7219900025, 7219900060, 7219900080, 7225507000, 
7225508010, 7225508015, 7225508085, 7225990010, 7225990090

[[Page 12140]]

Sheets & Strip Galv Hot Dipped
    7210410000, 7210490030, 7210490090, 7210706060, 7212301030, 
7212301090, 7212303000, 7212305000, 7225920000, 7226940000
Sheets & Strip Galv Electrolytic
    7210300030, 7210300060, 7210706030, 7212200000, 7225910000, 
7226930000
Sheets & Strip All Other Metalic CTD
    7210200000, 7210610000, 7210690000, 7210706090, 7210906000, 
7210909000, 7212500000, 7212600000
Sheets & Strip--Electrical
    7225110000, 7225190000, 7226111000, 7226119030, 7226119060, 
7226191000, 7226199000
Strip--Hot Rolled
    7211191500, 7211192000, 7211193000, 7211194500, 7211196000, 
7211197530, 7211197560, 7211197590, 7220121000, 7220125000, 
7226917000, 7226918000
Strip--Cold Rolled
    7211231500, 7211232000, 7211233000, 7211234500, 7211236030, 
7211236060, 7211236075, 7211236085, 7211292030, 7211292090, 
7211294500, 7211296030, 7211296080, 7211900000, 7212401000, 
7212405000, 7220201010, 7220201015, 7220201060, 7220201080, 
7220206005, 7220206010,7220206015, 7220206060, 7220206080, 
7220207005, 7220207010, 7220207015, 7220207060, 7220207080, 
7220208000, 7220209030, 7220209060, 7220900010, 7220900015, 
7220900060, 7220900080, 7226925000, 7226927005, 7226927050, 
7226928005, 7226928050, 7226990000

Annex III

Harmonized Tariff Codes that will be Removed from the SIMA System

    7307915010, 7307915030, 7307915050, 7307915070, 7307923010, 
7307923030, 7307929000, 7307933000, 7307936000, 7307939030, 
7307939060, 7307995015, 7307995045, 7307995060
[FR Doc. 05-4971 Filed 3-10-05; 8:45 am]
BILLING CODE 3510-DS-P