High Pressure Steel Cylinders From the People's Republic of China: Final Affirmative Countervailing Duty Determination, 26738-26739 [2012-10954]

Download as PDF 26738 Federal Register / Vol. 77, No. 88 / Monday, May 7, 2012 / Notices DEPARTMENT OF COMMERCE International Trade Administration [C–570–978] High Pressure Steel Cylinders From the People’s Republic of China: Final Affirmative Countervailing Duty Determination Import Administration, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (the Department) determines that countervailable subsidies are being provided to producers and exporters of high pressure steel cylinders (steel cylinders) from the People’s Republic of China (the PRC). For information on the estimated subsidy rates, see the ‘‘Suspension of Liquidation’’ section, below. DATES: Effective Date: May 7, 2012. FOR FURTHER INFORMATION CONTACT: Christopher Siepmann or Yasmin Nair, AD/CVD Operations, Office 1, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482–7958 or (202) 482– 3813, respectively. AGENCY: Background The U.S. producer that filed the petition for this investigation is Norris Cylinder Co. (Petitioner). The mandatory respondent to this investigation is Beijing Tianhai Industry Co., Ltd. (BTIC). sroberts on DSK5SPTVN1PROD with NOTICES Period of Investigation The period for which we are measuring subsidies, or period of investigation, is January 1, 2010, through December 31, 2010. Case History The following events have occurred since the Preliminary Determination.1 On October 14, 2011, the Government of China (GOC) filed a partial response to the Department’s second supplemental questionnaire and requested an extension to complete its supplemental questionnaire response. The Department granted the GOC’s request, and on October 18, 2011, the GOC submitted its response to the outstanding questions in the second supplemental questionnaire. On October 1 See High Pressure Steel Cylinders From the People’s Republic of China: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Countervailing Duty Determination With Final Antidumping Duty Determination, 76 FR 64301 (October 18, 2011) (‘‘Preliminary Determination’’). VerDate Mar<15>2010 18:11 May 04, 2012 Jkt 226001 28, 2011, the Department issued its third supplemental questionnaire to BTIC and the GOC, and on November 14, 2011, it received responses from both. On November 18, 2011, interested party Zhejiang Jindun Pressure Vessel Co., Ltd. (Jindun) filed a request for a hearing. On November 22, 2011, the Department denied Jindun’s request because it was untimely filed, pursuant to section 351.310(c) of the Department’s regulations. The Department conducted verification of BTIC’s and the GOC’s questionnaire responses from December 7 to December 14, 2011, and issued verification reports for BTIC and the GOC on January 3, and January 17, 2012, respectively. The Department issued a postpreliminary analysis memorandum regarding three programs on March 14, 2012. BTIC, the GOC, and Jindun submitted case briefs on March 23, 2012, and Petitioners submitted a rebuttal brief on March 28, 2012. Scope Comments In accordance with the preamble to the Department’s regulations, we set aside a period of time in our Initiation Notice for parties to raise issues regarding product coverage, and encouraged all parties to submit comments within 20 calendar days of publication of that notice. See Antidumping Duties; Countervailing Duties, 62 FR 27296, 27323 (May 19, 1997), and Initiation Notice, 76 FR at 33239. We did not receive any comments. Scope of the Investigation The merchandise covered by the scope of the investigation is seamless steel cylinders designed for storage or transport of compressed or liquefied gas (‘‘high pressure steel cylinders’’). High pressure steel cylinders are fabricated of chrome alloy steel including, but not limited to, chromium-molybdenum steel or chromium magnesium steel, and have permanently impressed into the steel, either before or after importation, the symbol of a U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration (‘‘DOT’’)-approved high pressure steel cylinder manufacturer, as well as an approved DOT type marking of DOT 3A, 3AX, 3AA, 3AAX, 3B, 3E, 3HT, 3T, or DOT–E (followed by a specific exemption number) in accordance with the requirements of sections 178.36 through 178.68 of Title 49 of the Code of Federal Regulations, or any subsequent amendments thereof. High PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 pressure steel cylinders covered by these investigations have a water capacity up to 450 liters, and a gas capacity ranging from 8 to 702 cubic feet, regardless of corresponding service pressure levels and regardless of physical dimensions, finish or coatings. Excluded from the scope of the investigation are high pressure steel cylinders manufactured to UN–ISO– 9809–1 and 2 specifications and permanently impressed with ISO or UN symbols. Also excluded from the investigation are acetylene cylinders, with or without internal porous mass, and permanently impressed with 8A or 8AL in accordance with DOT regulations. Merchandise covered by the investigation is classified in the Harmonized Tariff Schedule of the United States (‘‘HTSUS’’) under subheading 7311.00.00.30. Subject merchandise may also enter under HTSUS subheadings 7311.00.00.60 or 7311.00.00.90. Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the merchandise under the investigation is dispositive. Analysis of Comments Received All issues raised in the case and rebuttal briefs by parties to this investigation are addressed in the Memorandum to Paul Piquado, Assistant Secretary for Import Administration, entitled ‘‘Issues and Decision Memorandum for the Final Determination in the Countervailing Duty Investigation of High Pressure Steel Cylinders from the People’s Republic of China’’ (April 30, 2012) (hereafter, ‘‘Decision Memorandum’’), which is hereby adopted by this notice. Attached to this notice as an Appendix is a list of the issues that 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 investigation and the corresponding recommendations in this public memorandum, which is on file electronically via IA ACCESS. In addition, a complete version of the Decision Memorandum is also accessible on the Web at https:// ia.ita.doc.gov/frn/. The paper copy and electronic version of the Decision Memorandum are identical in content. Suspension of Liquidation In accordance with section 703(c)(1)(B)(i)(I) of the Tariff Act of 1930 (the ‘‘Act’’), we calculated an individual rate for each producer/exporter of the subject merchandise individually investigated. Because only one company E:\FR\FM\07MYN1.SGM 07MYN1 Federal Register / Vol. 77, No. 88 / Monday, May 7, 2012 / Notices Return or Destruction of Proprietary Information was investigated, that company’s rate also serves as the All Others rate. We determine the total net countervailable subsidy rates to be: In the event that the ITC issues a final negative injury determination, this notice will serve as the only reminder Net Exporter/Manufacturer subsidy to parties subject to an administrative rate protective order (APO) of their responsibility concerning the Beijing Tianhai Industry Co., Ltd.; destruction of proprietary information Tianjin Tianhai High Pressure disclosed under APO in accordance Container Co., Ltd.; Langfang Tianhai High Pressure Container with 19 CFR 351.305(a)(3). Timely Co., Ltd ....................................... 15.81 written notification of the return/ All Others ........................................ 15.81 destruction of APO materials or conversion to judicial protective order is As a result of our Preliminary hereby requested. Failure to comply Determination and pursuant to section with the regulations and terms of an 703(d) of the Act, we instructed U.S. APO is a violation which is subject to Customs and Border Protection (CBP) to sanction. suspend liquidation of all entries of This determination is published subject merchandise from the PRC pursuant to sections 705(d) and 777(i) of which were entered or withdrawn from the Act. warehouse, for consumption on or after October 18, 2011, the date of the Dated: April 30, 2012. publication of the Preliminary Ronald K. Lorentzen, Determination in the Federal Register. Acting Assistant Secretary for Import In accordance with section 703(d) of the Administration. Act, we later issued instructions to CBP to discontinue the suspension of Appendix liquidation for countervailing duty List of Comments and Issues in the Decision purposes for subject merchandise Memorandum entered or withdrawn from warehouse, Comment 1 Application of the CVD Law to on or after February 15, 2012, but to the People’s Republic of China continue the suspension of liquidation Comment 2 Double Counting/Overlapping of all entries from October 18, 2011, Remedies through February 14, 2012. Comment 3 Whether the Department We will issue a countervailing duty Should Have Selected Jindun as a order and reinstate the suspension of Mandatory or Voluntary Respondent liquidation under section 706(a) of the Comment 4 Whether a Certain Producer of Act if the U.S. International Trade Seamless Tube Steel Partially-Owned by Commission (ITC) issues a final SOEs is a Government Authority affirmative injury determination, and Comment 5 Whether a Certain Producer of will require a cash deposit of estimated Seamless Tube Steel Owned by countervailing duties for such entries in Individuals is a Government Authority the amounts indicated above. If the ITC Comment 6 Countervailability of Seamless determines that material injury, or Tube Steel Produced by One of BTIC’s threat of material injury, does not exist, Affiliates this proceeding will be terminated and Comment 7 Countervailability of Inputs all estimated deposits or securities Purchased from Domestic Trading posted as a result of the suspension of Companies liquidation will be refunded or Comment 8 Whether to Limit the canceled. Benchmark for Seamless Tube Steel to sroberts on DSK5SPTVN1PROD with NOTICES ITC Notification In accordance with section 705(d) of the Act, we will notify the ITC of our determination. In addition, we are making available to the ITC all nonprivileged and non-proprietary information related to this investigation. We will allow the ITC access to all privileged and business proprietary information in our files, provided the ITC confirms that it will not disclose such information, either publicly or under an APO, without the written consent of the Assistant Secretary for Import Administration. VerDate Mar<15>2010 18:11 May 04, 2012 Jkt 226001 Certain Countries or Diameters Comment 9 Whether to Incorporate VAT and Import Duties into Input Benchmarks Comment 10 Application of Adverse Facts Available to the Electricity Benchmark Comment 11 Alleged Errors in the Department’s Calculations for the Provision of Electricity for LTAR [FR Doc. 2012–10954 Filed 5–4–12; 8:45 am] BILLING CODE 3510–DS–P PO 00000 26739 DEPARTMENT OF COMMERCE International Trade Administration [A–570–977] High Pressure Steel Cylinders From the People’s Republic of China: Final Determination of Sales at Less Than Fair Value Import Administration, International Trade Administration, Department of Commerce. DATES: Effective Date: May 7, 2012. SUMMARY: On December 15, 2011, the Department of Commerce (‘‘Department’’) published the Preliminary Determination of sales at less than fair value (‘‘LTFV’’) in the antidumping investigation of high pressure steel cylinders from the People’s Republic of China (‘‘PRC’’).1 The period of investigation (‘‘POI’’) is October 1, 2010, through March 31, 2011. Based on its analysis of the comments received, the Department has made changes to its Preliminary Determination. The Department continues to find that high pressure steel cylinders from the PRC are being, or are likely to be, sold in the United States at LTFV, as provided in section 735 of the Tariff Act of 1930, as amended (‘‘Act’’). The estimated margins of sales at LTFV are shown in the ‘‘Final Determination Margins’’ section of this notice. FOR FURTHER INFORMATION CONTACT: Alan Ray or Emeka Chukwudebe, AD/ CVD Operations, Office 9, Import Administration, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482–5403 or 482–0219, respectively. SUPPLEMENTARY INFORMATION: AGENCY: Background Since the Preliminary Determination, the Department conducted sales and factors of production (‘‘FOP’’) verifications for Beijing Tianhai Industry Co., Ltd. (‘‘BTIC’’), the mandatory respondent, from January 9 through January 17, 2012, and a sales verification for American Fortune Company (‘‘AFC’’), BTIC’s U.S. affiliate, on February 9 and 10, 2012.2 See the 1 See High Pressure Steel Cylinders From the People’s Republic of China: Preliminary Determination of Sales at Less than Fair Value, 76 FR 77964 (December 15, 2011) (‘‘Preliminary Determination’’). 2 We conducted verifications of BTIC and one of its affiliated producers, Langfang Tianhai High Pressure Contain Co., Ltd. (‘‘Langfang Tianhai’’), which produced the merchandise under Continued Frm 00015 Fmt 4703 Sfmt 4703 E:\FR\FM\07MYN1.SGM 07MYN1

Agencies

[Federal Register Volume 77, Number 88 (Monday, May 7, 2012)]
[Notices]
[Pages 26738-26739]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-10954]



[[Page 26738]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-978]


High Pressure Steel Cylinders From the People's Republic of 
China: Final Affirmative Countervailing Duty Determination

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

SUMMARY: The Department of Commerce (the Department) determines that 
countervailable subsidies are being provided to producers and exporters 
of high pressure steel cylinders (steel cylinders) from the People's 
Republic of China (the PRC). For information on the estimated subsidy 
rates, see the ``Suspension of Liquidation'' section, below.

DATES:  Effective Date: May 7, 2012.

FOR FURTHER INFORMATION CONTACT: Christopher Siepmann or Yasmin Nair, 
AD/CVD Operations, Office 1, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
7958 or (202) 482-3813, respectively.

Background

    The U.S. producer that filed the petition for this investigation is 
Norris Cylinder Co. (Petitioner). The mandatory respondent to this 
investigation is Beijing Tianhai Industry Co., Ltd. (BTIC).

Period of Investigation

    The period for which we are measuring subsidies, or period of 
investigation, is January 1, 2010, through December 31, 2010.

Case History

    The following events have occurred since the Preliminary 
Determination.\1\
---------------------------------------------------------------------------

    \1\ See High Pressure Steel Cylinders From the People's Republic 
of China: Preliminary Affirmative Countervailing Duty Determination 
and Alignment of Final Countervailing Duty Determination With Final 
Antidumping Duty Determination, 76 FR 64301 (October 18, 2011) 
(``Preliminary Determination'').
---------------------------------------------------------------------------

    On October 14, 2011, the Government of China (GOC) filed a partial 
response to the Department's second supplemental questionnaire and 
requested an extension to complete its supplemental questionnaire 
response. The Department granted the GOC's request, and on October 18, 
2011, the GOC submitted its response to the outstanding questions in 
the second supplemental questionnaire. On October 28, 2011, the 
Department issued its third supplemental questionnaire to BTIC and the 
GOC, and on November 14, 2011, it received responses from both.
    On November 18, 2011, interested party Zhejiang Jindun Pressure 
Vessel Co., Ltd. (Jindun) filed a request for a hearing. On November 
22, 2011, the Department denied Jindun's request because it was 
untimely filed, pursuant to section 351.310(c) of the Department's 
regulations.
    The Department conducted verification of BTIC's and the GOC's 
questionnaire responses from December 7 to December 14, 2011, and 
issued verification reports for BTIC and the GOC on January 3, and 
January 17, 2012, respectively.
    The Department issued a post-preliminary analysis memorandum 
regarding three programs on March 14, 2012.
    BTIC, the GOC, and Jindun submitted case briefs on March 23, 2012, 
and Petitioners submitted a rebuttal brief on March 28, 2012.

Scope Comments

    In accordance with the preamble to the Department's regulations, we 
set aside a period of time in our Initiation Notice for parties to 
raise issues regarding product coverage, and encouraged all parties to 
submit comments within 20 calendar days of publication of that notice. 
See Antidumping Duties; Countervailing Duties, 62 FR 27296, 27323 (May 
19, 1997), and Initiation Notice, 76 FR at 33239. We did not receive 
any comments.

Scope of the Investigation

    The merchandise covered by the scope of the investigation is 
seamless steel cylinders designed for storage or transport of 
compressed or liquefied gas (``high pressure steel cylinders''). High 
pressure steel cylinders are fabricated of chrome alloy steel 
including, but not limited to, chromium-molybdenum steel or chromium 
magnesium steel, and have permanently impressed into the steel, either 
before or after importation, the symbol of a U.S. Department of 
Transportation, Pipeline and Hazardous Materials Safety Administration 
(``DOT'')-approved high pressure steel cylinder manufacturer, as well 
as an approved DOT type marking of DOT 3A, 3AX, 3AA, 3AAX, 3B, 3E, 3HT, 
3T, or DOT-E (followed by a specific exemption number) in accordance 
with the requirements of sections 178.36 through 178.68 of Title 49 of 
the Code of Federal Regulations, or any subsequent amendments thereof. 
High pressure steel cylinders covered by these investigations have a 
water capacity up to 450 liters, and a gas capacity ranging from 8 to 
702 cubic feet, regardless of corresponding service pressure levels and 
regardless of physical dimensions, finish or coatings.
    Excluded from the scope of the investigation are high pressure 
steel cylinders manufactured to UN-ISO-9809-1 and 2 specifications and 
permanently impressed with ISO or UN symbols. Also excluded from the 
investigation are acetylene cylinders, with or without internal porous 
mass, and permanently impressed with 8A or 8AL in accordance with DOT 
regulations.
    Merchandise covered by the investigation is classified in the 
Harmonized Tariff Schedule of the United States (``HTSUS'') under 
subheading 7311.00.00.30. Subject merchandise may also enter under 
HTSUS subheadings 7311.00.00.60 or 7311.00.00.90. Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the merchandise under the investigation is 
dispositive.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this investigation are addressed in the Memorandum to Paul Piquado, 
Assistant Secretary for Import Administration, entitled ``Issues and 
Decision Memorandum for the Final Determination in the Countervailing 
Duty Investigation of High Pressure Steel Cylinders from the People's 
Republic of China'' (April 30, 2012) (hereafter, ``Decision 
Memorandum''), which is hereby adopted by this notice. Attached to this 
notice as an Appendix is a list of the issues that 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 investigation 
and the corresponding recommendations in this public memorandum, which 
is on file electronically via IA ACCESS. In addition, a complete 
version of the Decision Memorandum is also accessible on the Web at 
https://ia.ita.doc.gov/frn/. The paper copy and electronic version of 
the Decision Memorandum are identical in content.

Suspension of Liquidation

    In accordance with section 703(c)(1)(B)(i)(I) of the Tariff Act of 
1930 (the ``Act''), we calculated an individual rate for each producer/
exporter of the subject merchandise individually investigated. Because 
only one company

[[Page 26739]]

was investigated, that company's rate also serves as the All Others 
rate.
    We determine the total net countervailable subsidy rates to be:

------------------------------------------------------------------------
                                                                   Net
                     Exporter/Manufacturer                       subsidy
                                                                  rate
------------------------------------------------------------------------
Beijing Tianhai Industry Co., Ltd.; Tianjin Tianhai High           15.81
 Pressure Container Co., Ltd.; Langfang Tianhai High Pressure
 Container Co., Ltd...........................................
All Others....................................................     15.81
------------------------------------------------------------------------

    As a result of our Preliminary Determination and pursuant to 
section 703(d) of the Act, we instructed U.S. Customs and Border 
Protection (CBP) to suspend liquidation of all entries of subject 
merchandise from the PRC which were entered or withdrawn from 
warehouse, for consumption on or after October 18, 2011, the date of 
the publication of the Preliminary Determination in the Federal 
Register. In accordance with section 703(d) of the Act, we later issued 
instructions to CBP to discontinue the suspension of liquidation for 
countervailing duty purposes for subject merchandise entered or 
withdrawn from warehouse, on or after February 15, 2012, but to 
continue the suspension of liquidation of all entries from October 18, 
2011, through February 14, 2012.
    We will issue a countervailing duty order and reinstate the 
suspension of liquidation under section 706(a) of the Act if the U.S. 
International Trade Commission (ITC) issues a final affirmative injury 
determination, and will require a cash deposit of estimated 
countervailing duties for such entries in the amounts indicated above. 
If the ITC determines that material injury, or threat of material 
injury, does not exist, this proceeding will be terminated and all 
estimated deposits or securities posted as a result of the suspension 
of liquidation will be refunded or canceled.

ITC Notification

    In accordance with section 705(d) of the Act, we will notify the 
ITC of our determination. In addition, we are making available to the 
ITC all non-privileged and non-proprietary information related to this 
investigation. We will allow the ITC access to all privileged and 
business proprietary information in our files, provided the ITC 
confirms that it will not disclose such information, either publicly or 
under an APO, without the written consent of the Assistant Secretary 
for Import Administration.

Return or Destruction of Proprietary Information

    In the event that the ITC issues a final negative injury 
determination, this notice will serve as the only reminder to parties 
subject to an administrative protective order (APO) of their 
responsibility concerning the destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely 
written notification of the return/destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and terms of an APO is a violation which is 
subject to sanction.
    This determination is published pursuant to sections 705(d) and 
777(i) of the Act.

    Dated: April 30, 2012.
Ronald K. Lorentzen,
Acting Assistant Secretary for Import Administration.

Appendix

List of Comments and Issues in the Decision Memorandum

Comment 1 Application of the CVD Law to the People's Republic of 
China
Comment 2 Double Counting/Overlapping Remedies
Comment 3 Whether the Department Should Have Selected Jindun as a 
Mandatory or Voluntary Respondent
Comment 4 Whether a Certain Producer of Seamless Tube Steel 
Partially-Owned by SOEs is a Government Authority
Comment 5 Whether a Certain Producer of Seamless Tube Steel Owned by 
Individuals is a Government Authority
Comment 6 Countervailability of Seamless Tube Steel Produced by One 
of BTIC's Affiliates
Comment 7 Countervailability of Inputs Purchased from Domestic 
Trading Companies
Comment 8 Whether to Limit the Benchmark for Seamless Tube Steel to 
Certain Countries or Diameters
Comment 9 Whether to Incorporate VAT and Import Duties into Input 
Benchmarks
Comment 10 Application of Adverse Facts Available to the Electricity 
Benchmark
Comment 11 Alleged Errors in the Department's Calculations for the 
Provision of Electricity for LTAR

[FR Doc. 2012-10954 Filed 5-4-12; 8:45 am]
BILLING CODE 3510-DS-P
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