Steel Threaded Rod from India: Preliminary Affirmative Determination of Critical Circumstances for the Countervailing Duty Investigation, 9162-9164 [2014-03490]
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Federal Register / Vol. 79, No. 32 / Tuesday, February 18, 2014 / Notices
Dated: February 11, 2014.
Yvette Springer,
Committee Liaison Officer.
[FR Doc. 2014–03384 Filed 2–14–14; 8:45 am]
BILLING CODE 3510–JT–P
DEPARTMENT OF COMMERCE
Bureau of Industry and Security
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Dated: February 11, 2014.
Yvette Springer,
Committee Liaison Officer.
[FR Doc. 2014–03385 Filed 2–14–14; 8:45 am]
BILLING CODE 3510–JT–P
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[C–533–856]
Steel Threaded Rod from India:
Preliminary Affirmative Determination
of Critical Circumstances for the
Countervailing Duty Investigation
tkelley on DSK3SPTVN1PROD with NOTICES
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20:58 Feb 14, 2014
Jkt 232001
Enforcement and Compliance,
formerly Import Administration,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(‘‘Department’’) has preliminarily
determined that critical circumstances
exist with respect to imports of subject
merchandise in the countervailing duty
(‘‘CVD’’) investigation of steel threaded
rod from India, with the exception of
imports from Mangal Steel Enterprises
Limited (‘‘Mangal Steel’’).
DATES: Effective Date: February 18,
2014.
FOR FURTHER INFORMATION CONTACT:
Andrew Medley, AD/CVD Operations,
Office III, Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, Room
4416, 14th Street and Constitution
Avenue NW., Washington, DC 20230;
telephone: 202–482–4987.
SUPPLEMENTARY INFORMATION:
AGENCY:
Closed Session
Period of Investigation
The period for which we are
measuring subsidies, or the period of
investigation (‘‘POI’’), is calendar year
2012.
Scope of Investigation
DEPARTMENT OF COMMERCE
Agenda
Manufacturing Inc.; and Vulcan
Threaded Products Inc. (collectively,
‘‘Petitioners’’).1 This investigation was
initiated on July 17, 2013.2 The
affirmative Preliminary Determination
was published on December 19, 2013.3
On January 10, 2014, Petitioners
alleged that critical circumstances exist
with respect to imports of steel threaded
rod from India and submitted U.S.
Census Bureau import data in support of
their allegation. On January 17, 2014,
the Department requested from Mangal
Steel monthly shipment data of subject
merchandise to the United States for the
period February 2013 through
November 2013. On January 22, 2014,
Mangal Steel submitted the requested
data.
Case History
On June 27, 2013, the Department
received a CVD Petition concerning
imports of steel threaded rod from India
filed in proper form by All America
Threaded Products Inc.; Bay Standard
PO 00000
Frm 00006
Fmt 4703
Sfmt 4703
The merchandise covered by this
investigation is steel threaded rod. Steel
threaded rod is certain threaded rod,
bar, or studs, of carbon quality steel,
having a solid, circular cross section, of
any diameter, in any straight length, that
have been forged, turned, cold-drawn,
cold-rolled, machine straightened, or
otherwise cold-finished, and into which
threaded grooves have been applied. In
addition, the steel threaded rod, bar, or
studs subject to this investigation are
non-headed and threaded along greater
than 25 percent of their total length. A
variety of finishes or coatings, such as
plain oil finish as a temporary rust
protectant, zinc coating (i.e., galvanized,
whether by electroplating or hotdipping), paint, and other similar
finishes and coatings, may be applied to
the merchandise.4
1 See submission by Petitioners titled ‘‘Petitions
for the Imposition of Antidumping Duties on Steel
Threaded Rod from Thailand and Antidumping and
Countervailing Duties on Steel Threaded Rod from
India,’’ and dated June 27, 2013 (‘‘Petition’’). A
public version of the Petition and all other public
documents and public versions for this
investigation are available on the public file in the
Central Records Unit, Room 7046 of the main
Department of Commerce building.
2 See Steel Threaded Rod From India: Initiation
of Countervailing Duty Investigation, 78 FR 44532
(July 24, 2013), and accompanying Initiation
Checklist.
3 See Steel Threaded Rod from India: Preliminary
Affirmative Countervailing Duty Determination and
Alignment of Final Determination with Final
Antidumping Determination, 78 FR 76815
(December 19, 2013) (‘‘Preliminary
Determination’’).
4 For a complete description of the scope of the
investigation, see Appendix 1 to the Preliminary
Determination.
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Federal Register / Vol. 79, No. 32 / Tuesday, February 18, 2014 / Notices
Comments of the Parties
In their critical circumstances
allegation, Petitioners allege that there is
a reasonable basis to believe that there
are subsidies in this investigation which
are inconsistent with the World Trade
Organization Agreement on Subsidies
and Countervailing Measures
(‘‘Subsidies Agreement’’). Petitioners
cite to the Preliminary Determination, in
which the Department preliminarily
determined that Mangal Steel and Babu
Exports (‘‘Babu’’) received subsidies
which are contingent on export
performance.
Petitioners also claim that there have
been massive imports of steel threaded
rod in the five months following the
filing of the Petition on June 27, 2013.
Petitioners provided data which they
contend demonstrate that imports of
subject merchandise increased by more
than 15 percent, which is required to be
considered ‘‘massive’’ under 19 CFR
351.206(h)(2).
tkelley on DSK3SPTVN1PROD with NOTICES
Critical Circumstances Analysis
Section 703(e)(1) of the Tariff Act of
1930, as amended (‘‘the Act’’) provides
that the Department will determine that
critical circumstances exist if there is a
reasonable basis to believe or suspect
that: (A) The alleged countervailable
subsidy is inconsistent with the
Subsidies Agreement, and (B) there have
been massive imports of the subject
merchandise over a relatively short
period.
When determining whether an alleged
countervailable subsidy is inconsistent
with the Subsidies Agreement, the
Department limits its findings to those
subsidies contingent on export
performance or use of domestic over
imported goods (i.e., those prohibited
under Article 3 of the Subsidies
Agreement).5
In determining whether imports of the
subject merchandise have been
‘‘massive,’’ 19 CFR 351.206(h)(1)
provides that the Department normally
will examine: (i) The volume and value
of the imports; (ii) seasonal trends; and
(iii) the share of domestic consumption
accounted for by the imports. In
addition, the Department will not
consider imports to be massive unless
imports during the ‘‘relatively short
period’’ (comparison period) have
increased by at least 15 percent
5 See, e.g., Notice of Preliminary Negative
Determination of Critical Circumstances: Certain
New Pneumatic Off-the-Road Tires From the
People’s Republic of China, 73 FR 21588, 21589–
90 (April 22, 2008), unchanged in Final Affirmative
Countervailing Duty Determination and Final
Negative Critical Circumstances Determination:
Carbon and Certain Alloy Steel Wire Rod From
Germany, 67 FR 55808, 55809 (August 30, 2002).
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compared to imports during an
‘‘immediately preceding period of
comparable duration’’ (base period).6
19 CFR 351.206(i) defines ‘‘relatively
short period’’ as normally being the
period beginning on the date the
proceeding commences (i.e., the date
the petition is filed) and ending at least
three months later. For consideration of
this allegation, we have used a fivemonth base period (i.e., February 2013
through June 2013) and a five-month
comparison period (i.e., July 2013
through November 2013).
Mangal Steel
In the Preliminary Determination, the
Department found that, during the POI,
Mangal Steel received countervailable
benefits under five programs that are
contingent upon export performance:
Pre- and Post-Shipment Export
Financing, Duty Drawback, Export
Promotion of Capital Goods Scheme,
Focus Product Scheme, and Status
Holder Incentive Scrip. Therefore, we
preliminarily determine that there is a
reasonable basis to believe or suspect
that these programs are inconsistent
with the Subsidies Agreement.
In determining whether there were
massive imports from Mangal Steel, we
analyzed Mangal Steel’s monthly
shipment data for the period February
2013 through November 2013. These
data indicate that there was not a
massive increase in shipments of subject
merchandise to the United States by
Mangal Steel during the five-month
period immediately following the filing
of the Petition on June 27, 2013.7
Babu
Because Babu is not participating in
this investigation,8 consistent with
Department practice, we have based our
critical circumstances determination for
Babu on adverse facts available
(‘‘AFA’’), in accordance with sections
776(a) and (b) of the Act and 19 CFR
351.308(c).9 As AFA, we preliminarily
6 See
19 CFR 351.206(h)(2).
the Memorandum to the File from Andrew
Medley titled ‘‘Critical Circumstances Shipment
Data Analysis,’’ dated concurrently with this notice
(‘‘Critical Circumstances Memorandum’’).
8 Babu did not respond to the Department’s
September 6, and 19, 2013, questionnaires; thus, for
the Preliminary Determination, we based Babu’s
CVD rate upon facts otherwise available and made
an adverse inference for Babu, pursuant to section
776(b) of the Act, because we determined that, by
not responding to our questionnaires, Babu had
failed to cooperate to the best of its ability.
9 See, e.g., Final Determination of Sales at Less
Than Fair Value and Affirmative Determination of
Critical Circumstances: Small Diameter Graphite
Electrodes from the People’s Republic of China, 74
FR 2049, 2052–53 (January 14, 2009), where we cite
to the Statement of Administrative Action
accompanying the Uruguay Round Agreements Act,
7 See
PO 00000
Frm 00007
Fmt 4703
Sfmt 4703
9163
determine that Babu received
countervailable benefits under programs
that are contingent upon export
performance. Also, as AFA, we
preliminarily determine that Babu made
massive imports of subject merchandise
over a relatively short period of time.
All Other Exporters
With regard to whether imports of
subject merchandise by the ‘‘all other’’
exporters of steel threaded rod from
India were massive, we preliminarily
determine that because there is evidence
of the existence of countervailable
subsidies that are inconsistent with the
Subsidies Agreement, an analysis is
warranted as to whether there was a
massive increase in shipments by the
‘‘all other’’ companies, in accordance
with section 703(e)(1)(B) of the Act and
19 CFR 351.206(h). Therefore, we
analyzed, in accordance with 19 CFR
351.206(i), monthly shipment data for
the period February 2013 through
November 2013, using shipment data
from the U.S. Census Bureau, adjusted
to remove shipments reported by the
only exporter actively participating in
this investigation, Mangal Steel.10 The
resulting data indicate there was a
massive increase in shipments, as
defined by 19 CFR 351.206(h)(2).11
Conclusion
We preliminarily determine that
critical circumstances do not exist with
regard to shipments from one
mandatory respondent, Mangal Steel
and, as AFA, preliminarily determine
that critical circumstances exist with
regard to shipments from the other
mandatory respondent, Babu. We also
preliminarily determine, based on our
analysis of the shipment data on the
record, that critical circumstances exist
for imports from ‘‘all other’’ exporters of
H.R. Doc. 103–316, Vol. 1 (1994) at 870, noting that
the Department may employ adverse inferences in
selecting from among the facts available ‘‘to ensure
that the party does not obtain a more favorable
result by failing to cooperate fully.’’
10 See, e.g., Steel Wire Garment Hangers From the
Socialist Republic of Vietnam: Preliminary
Affirmative Determination of Critical
Circumstances, 77 FR 73430, 73432 (December 10,
2012), unchanged in Certain Steel Wire Garment
Hangers From the Socialist Republic of Vietnam:
Final Affirmative Countervailing Duty
Determination and Final Affirmative Critical
Circumstances Determination, 77 FR 75973, 75974
(December 26, 2012); see also Certain Oil Country
Tubular Goods From the People’s Republic of
China: Preliminary Affirmative Countervailing Duty
Determination, Preliminary Negative Critical
Circumstances Determination, 74 FR 47210, 47212
(September 15, 2009), unchanged in Certain Oil
Country Tubular Goods From the People’s Republic
of China: Final Affirmative Countervailing Duty
Determination: Final Negative Critical
Circumstances Determination, 74 FR 64045, 64047
(December 7, 2009).
11 See Critical Circumstances Memorandum.
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9164
Federal Register / Vol. 79, No. 32 / Tuesday, February 18, 2014 / Notices
steel threaded rod from India. We will
make a final determination concerning
critical circumstances for steel threaded
rod from India when we make our final
countervailable subsidy determination
in this investigation. As provided in
section 782(i)(1) of the Act, we intend
to verify the information submitted in
response to the Department’s
questionnaires.
Suspension of Liquidation
In accordance with section
703(e)(2)(A) of the Act, we are directing
U.S. Customs and Border Protection to
suspend liquidation, with regards to all
exporters except Mangal Steel, of any
unliquidated entries of subject
merchandise from the India entered, or
withdrawn from warehouse for
consumption, on or after September 20,
2013, which is 90 days prior to the date
of publication of the Preliminary
Determination in the Federal Register.
ITC Notification
In accordance with section 703(f) of
the Act, we will notify the ITC of our
determination.
This determination is issued and
published pursuant to sections 703(f)
and 777(i)(1) of the Act.
Dated: February 7, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and
Compliance.
[FR Doc. 2014–03490 Filed 2–14–14; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–533–855]
Steel Threaded Rod from India:
Preliminary Determination of Sales at
Less Than Fair Value, Affirmative
Preliminary Determination of Critical
Circumstances, in Part, and
Postponement of Final Determination
Enforcement and Compliance,
formerly Import Administration,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(the ‘‘Department’’) preliminarily
determines that steel threaded rod from
India is being, or is likely to be, sold in
the United States at less than fair value
(‘‘LTFV’’), as provided in section 733(b)
of the Tariff Act of 1930, as amended
(the ‘‘Act’’). The period of investigation
(‘‘POI’’) is April 1, 2012, through March
31, 2013. The estimated weightedaverage dumping margins of sales at
LTFV are listed in the ‘‘Preliminary
Determination’’ section of this notice.
tkelley on DSK3SPTVN1PROD with NOTICES
AGENCY:
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20:58 Feb 14, 2014
Jkt 232001
Interested parties are invited to
comment on this preliminary
determination.
DATES: Effective Date: February 18,
2014.
FOR FURTHER INFORMATION CONTACT: Paul
Stolz or Raquel Silva, AD/CVD
Operations, Office III, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue NW, Washington, DC 20230;
telephone: (202) 482–4474 or (202) 482–
6475.
SUPPLEMENTARY INFORMATION:
Scope of the Investigation
The merchandise covered by this
investigation is steel threaded rod. Steel
threaded rod is certain threaded rod,
bar, or studs, of carbon quality steel,
having a solid, circular cross section, of
any diameter, in any straight length, that
have been forged, turned, cold-drawn,
cold-rolled, machine straightened, or
otherwise cold-finished, and into which
threaded grooves have been applied. In
addition, the steel threaded rod, bar, or
studs subject to this investigation are
non-headed and threaded along greater
than 25 percent of their total length. A
variety of finishes or coatings, such as
plain oil finish as a temporary rust
protectant, zinc coating (i.e., galvanized,
whether by electroplating or hotdipping), paint, and other similar
finishes and coatings, may be applied to
the merchandise. For a complete
description of the scope of the
investigation, see Appendix I to this
notice.
Postponement of Final Determination
Pursuant to section 735(a)(2) of the
Act, on December 13, 2013, and
December 18, 2013, Petitioners 1 and
Mangal Steel Enterprises Limited
(‘‘Mangal’’), one of the mandatory
respondents in this proceeding,
respectively, requested that the
Department postpone the final
determination.2 In accordance with
section 733(d) of the Act and 19 CFR
351.210(b), because (1) our preliminary
determination is affirmative, (2) the
requesting exporter accounts for a
significant proportion of exports of the
subject merchandise, and (3) no
1 The petition was filed by All America Threaded
Products Inc., Bay Standard Manufacturing Inc.,
and Vulcan Threaded Products Inc. (‘‘Petitioners’’).
2 See Letter from Petitioners, ‘‘Antidumping Duty
Investigation of Steel Threaded Rod from India —
Petitioners’ Request for Extension of Time for Final
Determination,’’ dated December 13, 2013; and
Letter from Mangal, ‘‘Steel Threaded Rod from
India: Request for Extension of the Final
Determination and Provisional Measures,’’ dated
December 18, 2013.
PO 00000
Frm 00008
Fmt 4703
Sfmt 4703
compelling reasons for denial exist, we
are granting the requests and are
postponing the final determination until
no later than 135 days after the
publication of the preliminary
determination notice in the Federal
Register. Suspension of liquidation will
be extended accordingly. The
Department is further extending the
application of the provisional measures
from a four-month period to a six-month
period.
Preliminary Determination of
Affiliation and Collapsing
Based on the evidence presented in
Mangal’s questionnaire responses, we
preliminarily find that Mangal and
Corona Steel Industries Private Limited
(‘‘Corona’’) are affiliated pursuant to
sections 771(33)(A) and (F) of the Act.3
Additionally, based on an analysis of
the principle/agent relationship
between Mangal and NASCO,4 a U.S.
trader/reseller of Mangal-produced
subject merchandise, we preliminarily
find Mangal and NASCO to be partners
and, thus, affiliated pursuant to section
771(33)(G) of the Act.5
In addition, based on the evidence
presented in the questionnaire
responses, we preliminarily find that
Mangal and Corona should not be
treated as a single entity for the
purposes of this investigation. This
3 See the Memorandum to Paul Piquado,
Assistant Secretary for Enforcement and
Compliance from Christian Marsh, Deputy Assistant
Secretary for Antidumping and Countervailing Duty
Operations entitled ‘‘Decision Memorandum for the
Preliminary Determination of the Antidumping
Duty Investigation of Steel Threaded Rod from
India’’ (‘‘Preliminary Decision Memorandum’’), and
Memorandum to the File, entitled, ‘‘Affiliation and
Collapsing, Mangal Steel Enterprises Limited and
Corona Steel Industries Private Limited,’’
(‘‘Affiliation and Collapsing Memorandum’’), each
dated concurrently with this notice.
4 The fact that NASCO is Mangal’s trader/reseller
was initially bracketed by Mangal and identified as
proprietary information. However, Mangal and
Petitioners subsequently disclosed this information
publicly on the record. See, e.g., Letter from
Mangal, ‘‘Steel Threaded Rod from India:
Supplemental Section A Response,’’ dated January
3, 2014, at 8 (stating: ‘‘or requiring Mangal to only
sell threaded rod in the United States through
NASCO.’’); see also Letter from Petitioners,
‘‘Antidumping Investigation of Steel Threaded Rod
from India — Petitioners’ Deficiency Comments on
Response of Mangal Steel to Section A of
Antidumping Duty Questionnaire,’’ dated October
30, 2013, at 4 (stating: ‘‘In researching shipments of
subject merchandise from Mangal Steel, Petitioners
found that Mangal Steel had a significant number
of shipments to a consignee called North American
Steel Connection (NASCO). . .’’ and ‘‘Based on a
general internet search regarding North American
Steel Connection, Petitioners found that NASCO
was a joint venture partner in another
company. . .’’). Once a party discloses its
information that was formerly given proprietary
treatment publicly, the Department no longer will
treat that information as proprietary on the
administrative record.
5 See Preliminary Decision Memorandum.
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]]>Agencies
[Federal Register Volume 79, Number 32 (Tuesday, February 18, 2014)]
[Notices]
[Pages 9162-9164]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-03490]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-533-856]
Steel Threaded Rod from India: Preliminary Affirmative
Determination of Critical Circumstances for the Countervailing Duty
Investigation
AGENCY: Enforcement and Compliance, formerly Import Administration,
International Trade Administration, Department of Commerce.
SUMMARY: The Department of Commerce (``Department'') has preliminarily
determined that critical circumstances exist with respect to imports of
subject merchandise in the countervailing duty (``CVD'') investigation
of steel threaded rod from India, with the exception of imports from
Mangal Steel Enterprises Limited (``Mangal Steel'').
DATES: Effective Date: February 18, 2014.
FOR FURTHER INFORMATION CONTACT: Andrew Medley, AD/CVD Operations,
Office III, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, Room 4416, 14th Street and
Constitution Avenue NW., Washington, DC 20230; telephone: 202-482-4987.
SUPPLEMENTARY INFORMATION:
Case History
On June 27, 2013, the Department received a CVD Petition concerning
imports of steel threaded rod from India filed in proper form by All
America Threaded Products Inc.; Bay Standard Manufacturing Inc.; and
Vulcan Threaded Products Inc. (collectively, ``Petitioners'').\1\ This
investigation was initiated on July 17, 2013.\2\ The affirmative
Preliminary Determination was published on December 19, 2013.\3\
---------------------------------------------------------------------------
\1\ See submission by Petitioners titled ``Petitions for the
Imposition of Antidumping Duties on Steel Threaded Rod from Thailand
and Antidumping and Countervailing Duties on Steel Threaded Rod from
India,'' and dated June 27, 2013 (``Petition''). A public version of
the Petition and all other public documents and public versions for
this investigation are available on the public file in the Central
Records Unit, Room 7046 of the main Department of Commerce building.
\2\ See Steel Threaded Rod From India: Initiation of
Countervailing Duty Investigation, 78 FR 44532 (July 24, 2013), and
accompanying Initiation Checklist.
\3\ See Steel Threaded Rod from India: Preliminary Affirmative
Countervailing Duty Determination and Alignment of Final
Determination with Final Antidumping Determination, 78 FR 76815
(December 19, 2013) (``Preliminary Determination'').
---------------------------------------------------------------------------
On January 10, 2014, Petitioners alleged that critical
circumstances exist with respect to imports of steel threaded rod from
India and submitted U.S. Census Bureau import data in support of their
allegation. On January 17, 2014, the Department requested from Mangal
Steel monthly shipment data of subject merchandise to the United States
for the period February 2013 through November 2013. On January 22,
2014, Mangal Steel submitted the requested data.
Period of Investigation
The period for which we are measuring subsidies, or the period of
investigation (``POI''), is calendar year 2012.
Scope of Investigation
The merchandise covered by this investigation is steel threaded
rod. Steel threaded rod is certain threaded rod, bar, or studs, of
carbon quality steel, having a solid, circular cross section, of any
diameter, in any straight length, that have been forged, turned, cold-
drawn, cold-rolled, machine straightened, or otherwise cold-finished,
and into which threaded grooves have been applied. In addition, the
steel threaded rod, bar, or studs subject to this investigation are
non-headed and threaded along greater than 25 percent of their total
length. A variety of finishes or coatings, such as plain oil finish as
a temporary rust protectant, zinc coating (i.e., galvanized, whether by
electroplating or hot-dipping), paint, and other similar finishes and
coatings, may be applied to the merchandise.\4\
---------------------------------------------------------------------------
\4\ For a complete description of the scope of the
investigation, see Appendix 1 to the Preliminary Determination.
---------------------------------------------------------------------------
[[Page 9163]]
Comments of the Parties
In their critical circumstances allegation, Petitioners allege that
there is a reasonable basis to believe that there are subsidies in this
investigation which are inconsistent with the World Trade Organization
Agreement on Subsidies and Countervailing Measures (``Subsidies
Agreement''). Petitioners cite to the Preliminary Determination, in
which the Department preliminarily determined that Mangal Steel and
Babu Exports (``Babu'') received subsidies which are contingent on
export performance.
Petitioners also claim that there have been massive imports of
steel threaded rod in the five months following the filing of the
Petition on June 27, 2013. Petitioners provided data which they contend
demonstrate that imports of subject merchandise increased by more than
15 percent, which is required to be considered ``massive'' under 19 CFR
351.206(h)(2).
Critical Circumstances Analysis
Section 703(e)(1) of the Tariff Act of 1930, as amended (``the
Act'') provides that the Department will determine that critical
circumstances exist if there is a reasonable basis to believe or
suspect that: (A) The alleged countervailable subsidy is inconsistent
with the Subsidies Agreement, and (B) there have been massive imports
of the subject merchandise over a relatively short period.
When determining whether an alleged countervailable subsidy is
inconsistent with the Subsidies Agreement, the Department limits its
findings to those subsidies contingent on export performance or use of
domestic over imported goods (i.e., those prohibited under Article 3 of
the Subsidies Agreement).\5\
---------------------------------------------------------------------------
\5\ See, e.g., Notice of Preliminary Negative Determination of
Critical Circumstances: Certain New Pneumatic Off-the-Road Tires
From the People's Republic of China, 73 FR 21588, 21589-90 (April
22, 2008), unchanged in Final Affirmative Countervailing Duty
Determination and Final Negative Critical Circumstances
Determination: Carbon and Certain Alloy Steel Wire Rod From Germany,
67 FR 55808, 55809 (August 30, 2002).
---------------------------------------------------------------------------
In determining whether imports of the subject merchandise have been
``massive,'' 19 CFR 351.206(h)(1) provides that the Department normally
will examine: (i) The volume and value of the imports; (ii) seasonal
trends; and (iii) the share of domestic consumption accounted for by
the imports. In addition, the Department will not consider imports to
be massive unless imports during the ``relatively short period''
(comparison period) have increased by at least 15 percent compared to
imports during an ``immediately preceding period of comparable
duration'' (base period).\6\
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\6\ See 19 CFR 351.206(h)(2).
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19 CFR 351.206(i) defines ``relatively short period'' as normally
being the period beginning on the date the proceeding commences (i.e.,
the date the petition is filed) and ending at least three months later.
For consideration of this allegation, we have used a five-month base
period (i.e., February 2013 through June 2013) and a five-month
comparison period (i.e., July 2013 through November 2013).
Mangal Steel
In the Preliminary Determination, the Department found that, during
the POI, Mangal Steel received countervailable benefits under five
programs that are contingent upon export performance: Pre- and Post-
Shipment Export Financing, Duty Drawback, Export Promotion of Capital
Goods Scheme, Focus Product Scheme, and Status Holder Incentive Scrip.
Therefore, we preliminarily determine that there is a reasonable basis
to believe or suspect that these programs are inconsistent with the
Subsidies Agreement.
In determining whether there were massive imports from Mangal
Steel, we analyzed Mangal Steel's monthly shipment data for the period
February 2013 through November 2013. These data indicate that there was
not a massive increase in shipments of subject merchandise to the
United States by Mangal Steel during the five-month period immediately
following the filing of the Petition on June 27, 2013.\7\
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\7\ See the Memorandum to the File from Andrew Medley titled
``Critical Circumstances Shipment Data Analysis,'' dated
concurrently with this notice (``Critical Circumstances
Memorandum'').
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Babu
Because Babu is not participating in this investigation,\8\
consistent with Department practice, we have based our critical
circumstances determination for Babu on adverse facts available
(``AFA''), in accordance with sections 776(a) and (b) of the Act and 19
CFR 351.308(c).\9\ As AFA, we preliminarily determine that Babu
received countervailable benefits under programs that are contingent
upon export performance. Also, as AFA, we preliminarily determine that
Babu made massive imports of subject merchandise over a relatively
short period of time.
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\8\ Babu did not respond to the Department's September 6, and
19, 2013, questionnaires; thus, for the Preliminary Determination,
we based Babu's CVD rate upon facts otherwise available and made an
adverse inference for Babu, pursuant to section 776(b) of the Act,
because we determined that, by not responding to our questionnaires,
Babu had failed to cooperate to the best of its ability.
\9\ See, e.g., Final Determination of Sales at Less Than Fair
Value and Affirmative Determination of Critical Circumstances: Small
Diameter Graphite Electrodes from the People's Republic of China, 74
FR 2049, 2052-53 (January 14, 2009), where we cite to the Statement
of Administrative Action accompanying the Uruguay Round Agreements
Act, H.R. Doc. 103-316, Vol. 1 (1994) at 870, noting that the
Department may employ adverse inferences in selecting from among the
facts available ``to ensure that the party does not obtain a more
favorable result by failing to cooperate fully.''
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All Other Exporters
With regard to whether imports of subject merchandise by the ``all
other'' exporters of steel threaded rod from India were massive, we
preliminarily determine that because there is evidence of the existence
of countervailable subsidies that are inconsistent with the Subsidies
Agreement, an analysis is warranted as to whether there was a massive
increase in shipments by the ``all other'' companies, in accordance
with section 703(e)(1)(B) of the Act and 19 CFR 351.206(h). Therefore,
we analyzed, in accordance with 19 CFR 351.206(i), monthly shipment
data for the period February 2013 through November 2013, using shipment
data from the U.S. Census Bureau, adjusted to remove shipments reported
by the only exporter actively participating in this investigation,
Mangal Steel.\10\ The resulting data indicate there was a massive
increase in shipments, as defined by 19 CFR 351.206(h)(2).\11\
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\10\ See, e.g., Steel Wire Garment Hangers From the Socialist
Republic of Vietnam: Preliminary Affirmative Determination of
Critical Circumstances, 77 FR 73430, 73432 (December 10, 2012),
unchanged in Certain Steel Wire Garment Hangers From the Socialist
Republic of Vietnam: Final Affirmative Countervailing Duty
Determination and Final Affirmative Critical Circumstances
Determination, 77 FR 75973, 75974 (December 26, 2012); see also
Certain Oil Country Tubular Goods From the People's Republic of
China: Preliminary Affirmative Countervailing Duty Determination,
Preliminary Negative Critical Circumstances Determination, 74 FR
47210, 47212 (September 15, 2009), unchanged in Certain Oil Country
Tubular Goods From the People's Republic of China: Final Affirmative
Countervailing Duty Determination: Final Negative Critical
Circumstances Determination, 74 FR 64045, 64047 (December 7, 2009).
\11\ See Critical Circumstances Memorandum.
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Conclusion
We preliminarily determine that critical circumstances do not exist
with regard to shipments from one mandatory respondent, Mangal Steel
and, as AFA, preliminarily determine that critical circumstances exist
with regard to shipments from the other mandatory respondent, Babu. We
also preliminarily determine, based on our analysis of the shipment
data on the record, that critical circumstances exist for imports from
``all other'' exporters of
[[Page 9164]]
steel threaded rod from India. We will make a final determination
concerning critical circumstances for steel threaded rod from India
when we make our final countervailable subsidy determination in this
investigation. As provided in section 782(i)(1) of the Act, we intend
to verify the information submitted in response to the Department's
questionnaires.
Suspension of Liquidation
In accordance with section 703(e)(2)(A) of the Act, we are
directing U.S. Customs and Border Protection to suspend liquidation,
with regards to all exporters except Mangal Steel, of any unliquidated
entries of subject merchandise from the India entered, or withdrawn
from warehouse for consumption, on or after September 20, 2013, which
is 90 days prior to the date of publication of the Preliminary
Determination in the Federal Register.
ITC Notification
In accordance with section 703(f) of the Act, we will notify the
ITC of our determination.
This determination is issued and published pursuant to sections
703(f) and 777(i)(1) of the Act.
Dated: February 7, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2014-03490 Filed 2-14-14; 8:45 am]
BILLING CODE 3510-DS-P
