FACT SHEET


Final Determination in the Countervailing Duty Investigation:

Dynamic Random Access Memory Semiconductors (DRAMS) from the Republic of Korea


On June 17, the Department of Commerce (the Department) announced its affirmative final determination in the countervailing duty (CVD) investigation on imports of DRAMS from Korea. The Department has determined that imports of DRAMS during the period of investigation (January 1, 2001 through June 30, 2002) were unfairly subsidized, with net subsidy rates ranging from 0.04 percent (de minimis) to 44.71 percent. The Department's Notice of Final Affirmative Countervailing Duty Determination can be found on Import Administration's website: https://enforcement.trade.gov by the close of business, June 17, 2003.


The United States International Trade Commission (ITC) is expected to make its final injury determination on July 31. If the ITC makes a final determination that imports of DRAMS from Korea are materially injuring, or threatening to materially injure, the domestic industry, the Department will issue a countervailing duty order in August.


Petitioner: The investigation was initiated on November 21, 2002, based on a petition filed by Micron Technology, Inc. of Boise, Idaho.


Product Description: The products covered by this investigation are dynamic random access memory semiconductors (DRAMS) from the Republic of Korea (Korea), whether assembled or unassembled. Assembled DRAMS include all package types. Unassembled DRAMS include processed wafers, uncut die, and cut die. Processed wafers fabricated in Korea, but assembled into finished semiconductors outside Korea are also included in the scope. Processed wafers fabricated outside Korea and assembled into finished semiconductors in Korea are not included in the scope.


The scope of this investigation additionally includes memory modules containing DRAMS from Korea. 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. This investigation also covers future DRAMS module types.


The DRAMS subject to this investigation are currently classifiable under subheadings 8542.21.8005 and 8542.21.8021 through 8542.21.8029 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 8473.30.10.40 or 8473.30.10.80 of the HTSUS. Although the HTSUS subheadings are provided for convenience and customs purposes, the Department's written description of the scope of this investigation remains dispositive. Additional information regarding the scope of this investigation is included in our Notice of Final Affirmative Countervailing Duty Determination.


Final Countervailing Duties:

Producer/Exporter

Net Subsidy Rate

Samsung Electronics Co., Ltd.

0.04%*

Hynix Semiconductor Inc. (formerly, Hyundai Electronics Industries Co., Ltd.)

44.71%

All Others

44.71%

*Samsung's rate is de minimis


Case Calendar:

Event

Date

Petition Filed

November 1, 2002

Initiation Deadline

November 21, 2002

ITC Preliminary Injury Determination

December 16, 2002

DOC Preliminary Determination*

March 31, 2003

DOC Final Determination

June 16, 2003

ITC Final Determination

July 31, 2003

Order*                                      

August 7, 2003

*An order will be issued only in the event of final affirmative determinations from both the Department and the United States International Trade Commission.




Import Statistics:


Individual DRAM (16 megs and higher)

YEAR

1999

2000

2001

January - June 2001

January - June 2002

Quantity

(1,000 units)

277,409

281,065

255,983

115,627

153,123

Value

(US $1,000s)

1,904,758

2,109,710

811,211

543,413

610,866


DRAM Memory Modules

South Korea

1999

2000

2001

January - June 2001

January - June 2002

Quantity

(1,000 units)

NA

NA

35,991

25,547

10,753

Value

(US $1,000s)

66,864

78,857

1,180,032

877,310

726,093


DRAM Wafers

South Korea

1999

2000

2001

January - June 2001

January - June 2002

Quantity

(1,000 units)

24,494

22,821

4,928

2,890

1,963

Value

(US $1,000s)

30,368

48,018

24,032

14,934

13,348

Source: United States Department of Commerce, Bureau of the Census.