Circular Welded Carbon-Quality Steel Pipe From the Socialist Republic of Vietnam: Final Determination of Sales at Less Than Fair Value, 75042-75045 [2016-26112]
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Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices
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for excludable LDFPN sheaves with two
grooves and an outside diameter of greater
than 8.0 inches but less than or equal to 12.0
inches, the maximum weight is 15.0 pounds;
for excludable LDFPN sheaves with one
groove and an outside diameter of greater
than 12.0 inches but less than or equal to
15.0 inches, the maximum weight is 13.3
pounds; for excludable LDFPN sheaves with
two grooves and an outside diameter of
greater than 12.0 inches but less than or
equal to 15.0 inches, the maximum weight is
17.5 pounds; for excludable LDFPN sheaves
with one groove and an outside diameter of
greater than 15.0 inches but less than or
equal to 18.75 inches, the maximum weight
is 16.5 pounds; and for excludable LDFPN
sheaves with two grooves and an outside
diameter of greater than 15.0 inches but less
than or equal to 18.75 inches, the maximum
weight is 26.5 pounds.
The scope also excludes light-duty,
variable-pitch, non-synchronous sheaves
with each of the following characteristics:
Made from grey iron designated as ASTM
(North American specification) Grade 30 or
lower, GB/T (Chinese specification) Grade
HT200 or lower, DIN (German specification)
GG 20 or lower, or EN (European
specification) EN–GJL 200 or lower; having
no more than 2 grooves; having a maximum
overall width of less than 2.25 inches with
a single groove, or of 3.25 inches or less with
two grooves; having a maximum outside
diameter of not more than 7.5 inches; having
a maximum bore size of 1.625 inches; having
either one or two identical, internallythreaded (i.e., with threads on the inside
diameter), adjustable (rotating) flange(s) on
an externally-threaded hub (i.e., with threads
on the outside diameter) that enable(s) the
width (opening) of the groove to be changed;
and having no teeth on the outside or datum
diameter.
The scope also excludes certain IMTDC
bushings. An IMTDC bushing is excluded
only if it has a tapered angle of greater than
or equal to 10 degrees, where the angle is
measured between one outside tapered
surface and the directly opposing outside
tapered surface.
The merchandise covered by this
investigation is currently classifiable under
Harmonized Tariff Schedule of the United
States (‘‘HTSUS’’) subheadings 8483.30.8090,
8483.50.6000, 8483.50.9040, 8483.50.9080,
8483.90.3000, 8483.90.8080. Covered
merchandise may also enter under the
following HTSUS subheadings:
7325.10.0080, 7325.99.1000, 7326.19.0010,
7326.19.0080, 8431.31.0040, 8431.31.0060,
8431.39.0010, 8431.39.0050, 8431.39.0070,
8431.39.0080, and 8483.50.4000. These
HTSUS subheadings are provided for
convenience and customs purposes. The
written description of the scope of this
investigation is dispositive.
Appendix II
List of Topics in the Issues and Decision
Memorandum
I. Summary
II. Background
III. Scope of the Investigation
IV. Discussion of the Issues:
Comment 1: Adverse Facts Available
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Comment 2: All-Others Rate
V. Recommendation
[FR Doc. 2016–26106 Filed 10–27–16; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–552–820]
Circular Welded Carbon-Quality Steel
Pipe From the Socialist Republic of
Vietnam: Final Determination of Sales
at Less Than Fair Value
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(the Department) determines that
imports of circular welded carbonquality steel pipe (CWP) from the
Socialist Republic of Vietnam (Vietnam)
are being, or are likely to be, sold in the
United States at less than fair value
(LTFV). The period of investigation
(POI) is April 1, 2015, through
September 30, 2015. The final dumping
margins of sales at LTFV are listed
below in the ‘‘Final Determination’’
section of this notice.
DATES: Effective October 28, 2016.
FOR FURTHER INFORMATION CONTACT:
Andrew Huston or Nancy Decker, AD/
CVD Operations, Office VII,
Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW., Washington,
DC 20230; telephone: (202) 482–4261 or
(202) 482–0196, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
On June 8, 2016, the Department
published the Preliminary
Determination of this antidumping duty
(AD) investigation.1 On July 15, 2016,
the Department published an Amended
Preliminary Determination in this
investigation.2 A summary of the events
that occurred since the Department
published the Amended Preliminary
Determination, as well as a full
discussion of the issues raised by parties
for this final determination, may be
1 See Circular Welded Carbon-Quality Steel Pipe
From the Socialist Republic of Vietnam: Affirmative
Preliminary Determination of Sales at Less Than
Fair Value and Postponement of Final
Determination, 81 FR 36884 (June 8, 2016)
(Preliminary Determination) and accompanying
Preliminary Decision Memorandum.
2 See Antidumping Duty Investigation of Circular
Welded Carbon-Quality Steel Pipe From the
Socialist Republic of Vietnam: Amended
Affirmative Preliminary Determination, 81 FR
46048 (July 15, 2016) (Amended Preliminary
Determination).
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found in the Final Issues and Decision
Memorandum.3 The Final Issues and
Decision Memorandum is a public
document and is on file electronically
via Enforcement and Compliance’s
Antidumping and Countervailing Duty
Centralized Electronic Service System
(ACCESS). ACCESS is available to
registered users at https://
access.trade.gov and it is available to all
parties in the Central Records Unit,
room B–8024 of the main Department of
Commerce building. In addition, a
complete version of the Final Issues and
Decision Memorandum can be accessed
directly at https://enforcement.trade.gov/
frn/. The signed and
electronic versions of the Final Issues
and Decision Memorandum are
identical in content.
Scope of the Investigation
The products covered by this
investigation are CWP from Vietnam.
For a full description of the scope of this
investigation, see the ‘‘Scope of the
Investigation,’’ in Appendix I of this
notice.
Scope Comments
In the Preliminary Determination, the
Department set aside a period of time
for parties to address scope issues in
case briefs or other written comments
on scope issues.
No interested parties submitted scope
comments in case or rebuttal briefs;
therefore, for this final determination,
the scope of this investigation remains
unchanged from that published in the
Preliminary Determination.
Analysis of Comments Received
All issues raised in the case and
rebuttal briefs by parties in this
investigation are addressed in the Final
Issues and Decision Memorandum. A
list of the issues raised is attached to
this notice as Appendix II.
Verification
As provided in section 782(i) of the
Tariff Act of 1930, as amended (the Act),
in June and July 2016, the Department
verified the sales and factors of
production data reported by the
mandatory respondents SeAH Steel
VINA Corporation (SeAH) and Vietnam
3 See Memorandum from Christian Marsh, Deputy
Assistant Secretary for Antidumping and
Countervailing Duty Operations, to Ronald K.
Lorentzen, Acting Assistant Secretary for
Enforcement and Compliance, ‘‘Issues and Decision
Memorandum for the Final Affirmative
Determination in the Antidumping Duty
Investigation of Circular Welded Carbon-Quality
Steel Pipe from the Socialist Republic of Vietnam,’’
(Final Issues and Decision Memorandum), dated
concurrently with this determination and hereby
adopted by this notice.
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Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices
Haiphong Hongyuan Machinery
Manufactory Co., Ltd. (Hongyuan). We
used standard verification procedures,
including an examination of relevant
accounting and production records, and
original source documents provided by
respondents.4
Changes Since the Preliminary
Determination and Amended
Preliminary Determination
Based on the Department’s analysis of
the comments received and our findings
at verification, we made certain changes
to our margin calculations. For a
discussion of these changes, see the
Final Issues and Decision
Memorandum.
Combination Rates
As stated in the Initiation Notice,5 the
Department calculates combination
rates for the respondents that are
eligible for a separate rate in this
investigation. Policy Bulletin 05.1
describes this practice.6
Separate Rate
Under section 735(c)(5)(A) of the Act,
the rate for all other companies that
have not been individually examined is
normally an amount equal to the
weighted average of the estimated
weighted-average dumping margins
established for exporters and producers
individually investigated, excluding any
zero and de minimis margins, and any
margins determined entirely on the
basis of facts available. In this final
determination, we calculated a
weighted-average dumping margin for
Hongyuan which is not zero, de
minimis, or based entirely on facts
available. We calculated a zero margin
for SeAH. Accordingly, we determine to
use Hongyuan’s weighted-average
dumping margin as the margin for the
separate rate company.
Vietnam-Wide Rate
In our Preliminary Determination, we
found that the Vietnam-wide entity,
which includes one Vietnam exporter
and/or producer that did not respond to
the Department’s requests for
information, failed to provide necessary
information, withheld information
requested by the Department, failed to
provide information in a timely manner,
and significantly impeded this
proceeding by not submitting the
requested information, pursuant to
sections 776(a)(1) and (a)(2)(A)–(C) of
the Act. We also concluded that the
Vietnam-wide entity failed to cooperate
to the best of its ability, pursuant to
section 776(b) of the Act. As a result, we
preliminarily determined to calculate
the Vietnam-wide rate on the basis of
adverse facts available (AFA). We first
75043
examined whether the highest petition
margin was less than or equal to the
highest calculated margin, and
determined that the highest petition
margin of 113.18 percent was the higher
of the two. Next, in order to corroborate
113.18 percent as the potential Vietnamwide rate, we first compared it to the
highest product matching control
number (CONNUM)-specific margin
calculated for the mandatory
respondents.7 Neither respondent had a
CONNUM-specific margin higher than
the petition rate. We next compared the
normal values (NVs) and U.S. prices in
the petition with the NVs and U.S.
prices calculated for the respondents.
We determined the petition values were
within the range of the values calculated
for the respondents. Therefore, we
determine that the petition rate is
corroborated by the actual experience of
the mandatory respondents. The
changes made to the calculations since
the Preliminary Determination do not
change this analysis. Therefore, we
continue to assign the petition rate to
the Vietnam-wide entity for this final
determination.
Final Determination
The Department determines that the
final weighted-average dumping
margins are as follows:
Weightedaverage
dumping
margin
(percent)
Exporter
Producer
Vietnam Haiphong Hongyuan Machinery Manufactory Co., Ltd
Hoa Phat Steel Pipe Co .............................................................
SeAH Steel VINA Corporation ...................................................
Vietnam-Wide Entity ...................................................................
Vietnam Haiphong Hongyuan Machinery Manufactory Co., Ltd
Hoa Phat Steel Pipe Co .............................................................
SeAH Steel VINA Corporation ...................................................
.....................................................................................................
6.27
6.27
0.00
113.18
15, 2016 (the date of publication of the
Amended Preliminary Determination)
for Hongyuan and Hoa Phat Steel Pipe
Co. Further, pursuant to section
735(c)(1)(B)(ii) of the Act, the
Department will instruct CBP to require
Continuation of Suspension of
Liquidation
Pursuant to section 735(c)(1)(B) of the
Act, the Department will instruct U.S.
Customs and Border Protection (CBP) to
continue to suspend liquidation of all
entries of CWP from Vietnam, except for
those produced and exported by SeAH,
the rate for which is zero, which were
entered, or withdrawn from warehouse,
for consumption on or after: (1) June 8,
2016 (the date of publication of the
Preliminary Determination of this
investigation in the Federal Register) for
the Vietnam-wide entity; and (2) July
4 See Memorandum to the File, ‘‘Verification of
the Questionnaire Responses of SeAH Steel VINA
Corp.’’ (August 31, 2016); Memorandum to the File,
‘‘Verification of the Questionnaire Responses of
SeAH Steel America’’ (August 31, 2016);
Memorandum to the File, ‘‘Verification of the
Questionnaire Responses of State Pipe & Supply
Co.’’ (August 31, 2016); Memorandum to the File,
‘‘Verification of the Questionnaire Responses of
Vietnam Haiphong Hongyuan Machinery
Manufactory Co., Ltd.’’ (August 30, 2016); and
Memorandum to the File, ‘‘Verification of the
Questionnaire Responses of Midwest Air
Technologies’’ (August 30, 2016).
5 See Certain Corrosion-Resistant Steel Products
From Italy, India, the People’s Republic of China,
the Republic of Korea, and Taiwan: Initiation of
Less-Than-Fair-Value Investigations, 80 FR 37228
(June 30, 2015) (Initiation Notice).
6 See Enforcement and Compliance’s Policy
Bulletin No. 05.1, regarding, ‘‘Separate-Rates
Practice and Application of Combination Rates in
Antidumping Investigations involving Non-Market
Economy Countries,’’ (April 5, 2005) (Policy
Bulletin 05.1), available on the Department’s Web
site at https://enforcement.trade.gov/policy/bull051.pdf.
7 See Memorandum to the File, ‘‘Preliminary
Analysis of SeAH Steel Vina Corp. (SeAH),’’ (SeAH
Preliminary Analysis Memorandum) dated May 31,
2016, and Memorandum to Mark Hoadley ‘‘Vietnam
Haiphong Hongyuan Machinery Manufactory Co.,
Ltd. Preliminary Analysis Memorandum’’
(Hongyuan Preliminary Analysis Memorandum),
dated May 31, 2016.
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Disclosure
We intend to disclose the calculations
performed to interested parties within
five days of the public announcement of
this final determination in accordance
with 19 CFR 351.224(b).
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Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices
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a cash deposit,8 as detailed below, on all
imports of the subject merchandise from
Vietnam, other than those produced and
exported by SeAH, that are entered, or
withdrawn from warehouse, for
consumption on or after the date of
publication of this notice in the Federal
Register. The cash deposit will be equal
to the weighted-average amount by
which the normal value exceeds U.S.
price as follows: (1) For the exporter/
producer combinations listed in the
table above, the cash deposit rate will be
equal to the dumping margin which the
Department determined in this final
determination; (2) for all combinations
of Vietnamese exporters/producers of
merchandise under consideration which
have not received their own separate
rate above, the cash deposit rate will be
equal to the dumping margin
established for the Vietnam-wide entity;
and (3) for all non-Vietnamese exporters
of merchandise under consideration
which have not received their own
separate rate above, the cash deposit
rate will be equal to the cash deposit
rate applicable to the Vietnam exporter/
producer combination that supplied that
non-Vietnamese exporter. The
suspension of liquidation instructions
will remain in effect until further notice.
U.S. International Trade Commission
Notification
In accordance with section 735(d) of
the Act, we will notify the U.S.
International Trade Commission (ITC) of
the final affirmative determination of
sales at LTFV. Because the final
determination in this proceeding is
affirmative, in accordance with section
735(b)(2) of the Act, the ITC will make
its final determination as to whether the
domestic industry in the United States
is materially injured, or threatened with
material injury, by reason of imports of
CWP from Vietnam no later than 45
days after our final determination. If the
ITC determines that material injury or
threat of material injury does not exist,
the proceeding will be terminated and
all cash deposits will be refunded. If the
ITC determines that such injury does
exist, the Department will issue an
antidumping duty order directing CBP
to assess, upon further instruction by
the Department, antidumping duties on
all imports of the subject merchandise
entered, or withdrawn from warehouse,
for consumption on or after the effective
date of the suspension of liquidation as
discussed in the ‘‘Continuation of
Suspension of Liquidation’’ section.
8 See Modification of Regulations Regarding the
Practice of Accepting Bonds During the Provisional
Measures Period in Antidumping and
Countervailing Duty Investigations, 76 FR 61042
(October 3, 2011).
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Notification Regarding Record Keeping
In the event we issue a final
antidumping duty order, in future
proceedings we expect Hongyuan’s U.S.
affiliate Midwest Air Technologies to
modify its recordkeeping system to be
able to track the country of origin of
U.S. sales of subject merchandise.9
Notification Regarding Administrative
Protective Orders
This notice serves as a reminder to
parties subject to an administrative
protective order (APO) of their
responsibility concerning the
disposition of proprietary information
disclosed under APO in accordance
with 19 CFR 351.305(a)(3). Timely
notification of the return or destruction
of APO materials, or conversion to
judicial protective order, is hereby
requested. Failure to comply with the
regulations and the terms of an APO is
a violation subject to sanction.
This determination and this notice are
issued and published pursuant to
sections 735(d) and 777(i)(1) of the Act.
Dated: October 21, 2016.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement
and Compliance.
Appendix I
Scope of the Investigation
This investigation covers welded carbonquality steel pipes and tube, of circular crosssection, with an outside diameter (O.D.) not
more than nominal 16 inches (406.4 mm),
regardless of wall thickness, surface finish
(e.g., black, galvanized, or painted), end
finish (plain end, beveled end, grooved,
threaded, or threaded and coupled), or
industry specification (e.g., American Society
for Testing and Materials International
(ASTM), proprietary, or other), generally
known as standard pipe, fence pipe and tube,
sprinkler pipe, and structural pipe (although
subject product may also be referred to as
mechanical tubing). Specifically, the term
‘‘carbon quality’’ includes products in which:
(a) Iron predominates, by weight, over each
of the other contained elements;
(b) the carbon content is 2 percent or less,
by weight; and
(c) none of the elements listed below
exceeds the quantity, by weight, as indicated:
(i) 1.80 percent of manganese;
(ii) 2.25 percent of silicon;
(iii) 1.00 percent of copper;
(iv) 0.50 percent of aluminum;
(v) 1.25 percent of chromium;
(vi) 0.30 percent of cobalt;
(vii) 0.40 percent of lead;
(viii) 1.25 percent of nickel;
(ix) 0.30 percent of tungsten;
(x) 0.15 percent of molybdenum;
(xi) 0.10 percent of niobium;
(xii) 0.41 percent of titanium;
9 See Final Issues and Decision Memorandum at
Comment 15.
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(xiii) 0.15 percent of vanadium; or
(xiv) 0.15 percent of zirconium.
Covered products are generally made to
standard O.D. and wall thickness
combinations. Pipe multi-stenciled to a
standard and/or structural specification and
to other specifications, such as American
Petroleum Institute (API) API–5L
specification, may also be covered by the
scope of these investigations. In particular,
such multi-stenciled merchandise is covered
when it meets the physical description set
forth above, and also has one or more of the
following characteristics: Is 32 feet in length
or less; is less than 2.0 inches (50 mm) in
outside diameter; has a galvanized and/or
painted (e.g., polyester coated) surface finish;
or has a threaded and/or coupled end finish.
Standard pipe is ordinarily made to ASTM
specifications A53, A135, and A795, but can
also be made to other specifications.
Structural pipe is made primarily to ASTM
specifications A252 and A500. Standard and
structural pipe may also be produced to
proprietary specifications rather than to
industry specifications.
Sprinkler pipe is designed for sprinkler fire
suppression systems and may be made to
industry specifications such as ASTM A53 or
to proprietary specifications.
Fence tubing is included in the scope
regardless of certification to a specification
listed in the exclusions below, and can also
be made to the ASTM A513 specification.
Products that meet the physical description
set forth above but are made to the following
nominal outside diameter and wall thickness
combinations, which are recognized by the
industry as typical for fence tubing, are
included despite being certified to ASTM
mechanical tubing specifications:
O.D. in inches
(nominal)
1.315
1.315
1.315
1.315
1.315
1.315
1.315
1.660
1.660
1.660
1.660
1.660
1.900
1.900
1.900
1.900
1.900
1.900
2.375
2.375
2.375
2.375
2.375
2.375
2.375
2.875
2.875
3.500
3.500
4.000
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Wall
thickness
in inches
(nominal)
0.035
0.047
0.055
0.065
0.072
0.083
0.095
0.055
0.065
0.083
0.095
0.109
0.047
0.055
0.065
0.072
0.095
0.109
0.047
0.055
0.065
0.072
0.095
0.109
0.120
0.109
0.165
0.109
0.165
0.148
Gage
20
18
17
16
15
14
13
17
16
14
13
12
18
17
16
15
13
12
18
17
16
15
13
12
11
12
8
12
8
9
Federal Register / Vol. 81, No. 209 / Friday, October 28, 2016 / Notices
O.D. in inches
(nominal)
4.000 .................
4.500 .................
Wall
thickness
in inches
(nominal)
Gage
0.165
0.203
8
7
The scope of this investigation does not
include:
(a) Pipe suitable for use in boilers,
superheaters, heat exchangers, refining
furnaces and feedwater heaters, whether or
not cold drawn, which are defined by
standards such as ASTM A178 or ASTM
A192;
(b) finished electrical conduit, i.e.,
Electrical Rigid Steel Conduit (also known as
Electrical Rigid Metal Conduit and Electrical
Rigid Metal Steel Conduit), Finished
Electrical Metallic Tubing, and Electrical
Intermediate Metal Conduit, which are
defined by specifications such as American
National Standard (ANSI) C80.1–2005, ANSI
C80.3–2005, or ANSI C80.6–2005, and
Underwriters Laboratories Inc. (UL) UL–6,
UL–797, or UL–1242;
(c) finished scaffolding, i.e., component
parts of final, finished scaffolding that enter
the United States unassembled as a ‘‘kit.’’ A
kit is understood to mean a packaged
combination of component parts that
contains, at the time of importation, all of the
necessary component parts to fully assemble
final, finished scaffolding;
(d) tube and pipe hollows for redrawing;
(e) oil country tubular goods produced to
API specifications;
(f) line pipe produced to only API
specifications, such as API 5L, and not multistenciled; and
(g) mechanical tubing, whether or not colddrawn, other than what is included in the
above paragraphs.
The products subject to this investigation
are currently classifiable in Harmonized
Tariff Schedule of the United States (HTSUS)
statistical reporting numbers 7306.19.1010,
7306.19.1050, 7306.19.5110, 7306.19.5150,
7306.30.1000, 7306.30.5015, 7306.30.5020,
7306.30.5025, 7306.30.5032, 7306.30.5040,
7306.30.5055, 7306.30.5085, 7306.30.5090,
7306.50.1000, 7306.50.5030, 7306.50.5050,
and 7306.50.5070. The HTSUS subheadings
above are provided for convenience and U.S.
Customs purposes only. The written
description of the scope of the investigation
is dispositive.
mstockstill on DSK3G9T082PROD with NOTICES
Appendix II
List of Topics Discussed in the Final Issues
and Decision Memorandum
I. Summary
II. Background
III. Changes Since the Preliminary
Determination
IV. Use of Adverse Facts Available
V. Discussion of the Issues
General Issues
Comment 1: Financial Statements to Use
for Financial Ratios
Comment 2: Water Surrogate Value
Comment 3: Verification Findings
Company-Specific Issues
SeAH Issues
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Comment 4: Misreported U.S. Sales
Destinations
Comment 5: SeAH’s Sodium Hydroxide
and UniCoat Surrogate Values
Comment 6: Brokerage and Handling
Related to Hot-Rolled Coil Surrogate
Values
Comment 7: Cap on Freight Revenue
Comment 8: Surrogate Value for SeAH’s
Hot-Rolled Coils
Comment 9: Conversion of Surrogate Value
for Vietnamese Inland Freight
Comment 10: U.S. Credit Expenses
Comment 11: Differential Pricing Analysis
Hongyuan Issues
Comment 12: Hongyuan’s Hot-Rolled Strip
Value
Comment 13: U.S. Indirect Selling
Expenses
Comment 14: Treatment of Strengthening
Tubes Used For Packing
Comment 15: Record-keeping of
Hongyuan’s U.S. Affiliate
VI. Recommendation
[FR Doc. 2016–26112 Filed 10–27–16; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–535–904]
Circular Welded Carbon-Quality Steel
Pipe From Pakistan: Final Affirmative
Countervailing Duty Determination
Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce.
SUMMARY: The U.S. Department of
Commerce (the Department) determines
that countervailable subsidies are being
provided to exporters and producers of
circular welded carbon-quality steel
pipe (circular welded pipe) from
Pakistan. For information on the
estimated subsidy rates, see the
‘‘Suspension of Liquidation’’ section of
this notice.
DATES: Effective October 28, 2016.
FOR FURTHER INFORMATION CONTACT:
Kaitlin Wojnar, AD/CVD Operations,
Office VII, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue NW., Washington, DC 20230;
telephone: (202) 482–3857.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
The petitioners in this investigation
are Bull Moose Tube Company,
EXLTUBE, Wheatland Tube Company,
and Western Tube and Conduit
(collectively, Petitioners). In addition to
the Government of Pakistan (GOP), the
mandatory respondent in this
investigation is International Industries
PO 00000
Frm 00020
Fmt 4703
Sfmt 4703
75045
Limited (IIL). The period of
investigation (POI) is July 1, 2014,
through June 30, 2015.
The Department published its
Preliminary Determination on April 8,
2016.1 A complete summary of the
events that occurred since the
Preliminary Determination, as well as a
full discussion of the issues raised by
parties for this final determination, may
be found in the ‘‘Issues and Decision
Memorandum for the Final Affirmative
Determination in the Countervailing
Duty Investigation of Circular Welded
Carbon-Quality Steel Pipe from
Pakistan,’’ which is dated concurrently
with and hereby adopted by this
notice.2 The Issues and Decision
Memorandum is a public document and
is available electronically via
Enforcement and Compliance’s
Antidumping and Countervailing Duty
Centralized Electronic Service System
(ACCESS). Access to ACCESS is
available to registered users at https://
access.trade.gov and to all parties in the
Central Records Unit, room B8024 of the
Department’s main building. In
addition, a complete version of the
Issues and Decision Memorandum can
be viewed at https://
enforcement.trade.gov/frn. The signed
Issues and Decision Memorandum and
the electronic version are identical in
content.
Methodology
The Department conducted this
countervailing duty (CVD) investigation
in accordance with section 701 of the
Tariff Act of 1930, as amended (the Act).
For each of the subsidy programs found
countervailable, we determine that there
is a subsidy (i.e., a financial
contribution by an ‘‘authority’’ that
gives rise to a benefit to the recipient)
and that the subsidy is specific.3 For a
full description of the methodology
underlying our conclusions, see the
Issues and Decision Memorandum.
Scope of the Investigation
The product covered by this
investigation is circular welded pipe
from Pakistan. For a complete
1 See Circular Welded Carbon-Quality Steel Pipe
from Pakistan: Preliminary Affirmative
Countervailing Duty Determination and Alignment
of Final Countervailing Duty Determination with
Final Antidumping Duty Determination, 81 FR
20619 (April 8, 2016) (Preliminary Determination).
2 See Department Memorandum, ‘‘Issues and
Decision Memorandum for the Final Affirmative
Determination in the Countervailing Duty
Investigation of Circular Welded Carbon-Quality
Steel Pipe from Pakistan,’’ October 21, 2016 (Issues
and Decision Memorandum).
3 See section 771(5)(B) and (D) of the Act
regarding financial contribution, section 771(5)(E)
of the Act regarding benefit, and the section
771(5A) of the Act regarding specificity.
E:\FR\FM\28OCN1.SGM
28OCN1
]]>Agencies
[Federal Register Volume 81, Number 209 (Friday, October 28, 2016)]
[Notices]
[Pages 75042-75045]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-26112]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-552-820]
Circular Welded Carbon-Quality Steel Pipe From the Socialist
Republic of Vietnam: Final Determination of Sales at Less Than Fair
Value
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) determines that
imports of circular welded carbon-quality steel pipe (CWP) from the
Socialist Republic of Vietnam (Vietnam) are being, or are likely to be,
sold in the United States at less than fair value (LTFV). The period of
investigation (POI) is April 1, 2015, through September 30, 2015. The
final dumping margins of sales at LTFV are listed below in the ``Final
Determination'' section of this notice.
DATES: Effective October 28, 2016.
FOR FURTHER INFORMATION CONTACT: Andrew Huston or Nancy Decker, AD/CVD
Operations, Office VII, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW., Washington, DC 20230; telephone: (202) 482-4261 or (202) 482-0196,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On June 8, 2016, the Department published the Preliminary
Determination of this antidumping duty (AD) investigation.\1\ On July
15, 2016, the Department published an Amended Preliminary Determination
in this investigation.\2\ A summary of the events that occurred since
the Department published the Amended Preliminary Determination, as well
as a full discussion of the issues raised by parties for this final
determination, may be found in the Final Issues and Decision
Memorandum.\3\ The Final Issues and Decision Memorandum is a public
document and is on file electronically via Enforcement and Compliance's
Antidumping and Countervailing Duty Centralized Electronic Service
System (ACCESS). ACCESS is available to registered users at https://access.trade.gov and it is available to all parties in the Central
Records Unit, room B-8024 of the main Department of Commerce building.
In addition, a complete version of the Final Issues and Decision
Memorandum can be accessed directly at https://enforcement.trade.gov/frn/. The signed and electronic versions of the Final Issues
and Decision Memorandum are identical in content.
---------------------------------------------------------------------------
\1\ See Circular Welded Carbon-Quality Steel Pipe From the
Socialist Republic of Vietnam: Affirmative Preliminary Determination
of Sales at Less Than Fair Value and Postponement of Final
Determination, 81 FR 36884 (June 8, 2016) (Preliminary
Determination) and accompanying Preliminary Decision Memorandum.
\2\ See Antidumping Duty Investigation of Circular Welded
Carbon-Quality Steel Pipe From the Socialist Republic of Vietnam:
Amended Affirmative Preliminary Determination, 81 FR 46048 (July 15,
2016) (Amended Preliminary Determination).
\3\ See Memorandum from Christian Marsh, Deputy Assistant
Secretary for Antidumping and Countervailing Duty Operations, to
Ronald K. Lorentzen, Acting Assistant Secretary for Enforcement and
Compliance, ``Issues and Decision Memorandum for the Final
Affirmative Determination in the Antidumping Duty Investigation of
Circular Welded Carbon-Quality Steel Pipe from the Socialist
Republic of Vietnam,'' (Final Issues and Decision Memorandum), dated
concurrently with this determination and hereby adopted by this
notice.
---------------------------------------------------------------------------
Scope of the Investigation
The products covered by this investigation are CWP from Vietnam.
For a full description of the scope of this investigation, see the
``Scope of the Investigation,'' in Appendix I of this notice.
Scope Comments
In the Preliminary Determination, the Department set aside a period
of time for parties to address scope issues in case briefs or other
written comments on scope issues.
No interested parties submitted scope comments in case or rebuttal
briefs; therefore, for this final determination, the scope of this
investigation remains unchanged from that published in the Preliminary
Determination.
Analysis of Comments Received
All issues raised in the case and rebuttal briefs by parties in
this investigation are addressed in the Final Issues and Decision
Memorandum. A list of the issues raised is attached to this notice as
Appendix II.
Verification
As provided in section 782(i) of the Tariff Act of 1930, as amended
(the Act), in June and July 2016, the Department verified the sales and
factors of production data reported by the mandatory respondents SeAH
Steel VINA Corporation (SeAH) and Vietnam
[[Page 75043]]
Haiphong Hongyuan Machinery Manufactory Co., Ltd. (Hongyuan). We used
standard verification procedures, including an examination of relevant
accounting and production records, and original source documents
provided by respondents.\4\
---------------------------------------------------------------------------
\4\ See Memorandum to the File, ``Verification of the
Questionnaire Responses of SeAH Steel VINA Corp.'' (August 31,
2016); Memorandum to the File, ``Verification of the Questionnaire
Responses of SeAH Steel America'' (August 31, 2016); Memorandum to
the File, ``Verification of the Questionnaire Responses of State
Pipe & Supply Co.'' (August 31, 2016); Memorandum to the File,
``Verification of the Questionnaire Responses of Vietnam Haiphong
Hongyuan Machinery Manufactory Co., Ltd.'' (August 30, 2016); and
Memorandum to the File, ``Verification of the Questionnaire
Responses of Midwest Air Technologies'' (August 30, 2016).
---------------------------------------------------------------------------
Changes Since the Preliminary Determination and Amended Preliminary
Determination
Based on the Department's analysis of the comments received and our
findings at verification, we made certain changes to our margin
calculations. For a discussion of these changes, see the Final Issues
and Decision Memorandum.
Combination Rates
As stated in the Initiation Notice,\5\ the Department calculates
combination rates for the respondents that are eligible for a separate
rate in this investigation. Policy Bulletin 05.1 describes this
practice.\6\
---------------------------------------------------------------------------
\5\ See Certain Corrosion-Resistant Steel Products From Italy,
India, the People's Republic of China, the Republic of Korea, and
Taiwan: Initiation of Less-Than-Fair-Value Investigations, 80 FR
37228 (June 30, 2015) (Initiation Notice).
\6\ See Enforcement and Compliance's Policy Bulletin No. 05.1,
regarding, ``Separate-Rates Practice and Application of Combination
Rates in Antidumping Investigations involving Non-Market Economy
Countries,'' (April 5, 2005) (Policy Bulletin 05.1), available on
the Department's Web site at https://enforcement.trade.gov/policy/bull05-1.pdf.
---------------------------------------------------------------------------
Separate Rate
Under section 735(c)(5)(A) of the Act, the rate for all other
companies that have not been individually examined is normally an
amount equal to the weighted average of the estimated weighted-average
dumping margins established for exporters and producers individually
investigated, excluding any zero and de minimis margins, and any
margins determined entirely on the basis of facts available. In this
final determination, we calculated a weighted-average dumping margin
for Hongyuan which is not zero, de minimis, or based entirely on facts
available. We calculated a zero margin for SeAH. Accordingly, we
determine to use Hongyuan's weighted-average dumping margin as the
margin for the separate rate company.
Vietnam-Wide Rate
In our Preliminary Determination, we found that the Vietnam-wide
entity, which includes one Vietnam exporter and/or producer that did
not respond to the Department's requests for information, failed to
provide necessary information, withheld information requested by the
Department, failed to provide information in a timely manner, and
significantly impeded this proceeding by not submitting the requested
information, pursuant to sections 776(a)(1) and (a)(2)(A)-(C) of the
Act. We also concluded that the Vietnam-wide entity failed to cooperate
to the best of its ability, pursuant to section 776(b) of the Act. As a
result, we preliminarily determined to calculate the Vietnam-wide rate
on the basis of adverse facts available (AFA). We first examined
whether the highest petition margin was less than or equal to the
highest calculated margin, and determined that the highest petition
margin of 113.18 percent was the higher of the two. Next, in order to
corroborate 113.18 percent as the potential Vietnam-wide rate, we first
compared it to the highest product matching control number (CONNUM)-
specific margin calculated for the mandatory respondents.\7\ Neither
respondent had a CONNUM-specific margin higher than the petition rate.
We next compared the normal values (NVs) and U.S. prices in the
petition with the NVs and U.S. prices calculated for the respondents.
We determined the petition values were within the range of the values
calculated for the respondents. Therefore, we determine that the
petition rate is corroborated by the actual experience of the mandatory
respondents. The changes made to the calculations since the Preliminary
Determination do not change this analysis. Therefore, we continue to
assign the petition rate to the Vietnam-wide entity for this final
determination.
---------------------------------------------------------------------------
\7\ See Memorandum to the File, ``Preliminary Analysis of SeAH
Steel Vina Corp. (SeAH),'' (SeAH Preliminary Analysis Memorandum)
dated May 31, 2016, and Memorandum to Mark Hoadley ``Vietnam
Haiphong Hongyuan Machinery Manufactory Co., Ltd. Preliminary
Analysis Memorandum'' (Hongyuan Preliminary Analysis Memorandum),
dated May 31, 2016.
---------------------------------------------------------------------------
Final Determination
The Department determines that the final weighted-average dumping
margins are as follows:
------------------------------------------------------------------------
Weighted-
average
Exporter Producer dumping margin
(percent)
------------------------------------------------------------------------
Vietnam Haiphong Hongyuan Vietnam Haiphong 6.27
Machinery Manufactory Co., Ltd. Hongyuan Machinery
Manufactory Co.,
Ltd.
Hoa Phat Steel Pipe Co............ Hoa Phat Steel Pipe 6.27
Co.
SeAH Steel VINA Corporation....... SeAH Steel VINA 0.00
Corporation.
Vietnam-Wide Entity............... .................... 113.18
------------------------------------------------------------------------
Disclosure
We intend to disclose the calculations performed to interested
parties within five days of the public announcement of this final
determination in accordance with 19 CFR 351.224(b).
Continuation of Suspension of Liquidation
Pursuant to section 735(c)(1)(B) of the Act, the Department will
instruct U.S. Customs and Border Protection (CBP) to continue to
suspend liquidation of all entries of CWP from Vietnam, except for
those produced and exported by SeAH, the rate for which is zero, which
were entered, or withdrawn from warehouse, for consumption on or after:
(1) June 8, 2016 (the date of publication of the Preliminary
Determination of this investigation in the Federal Register) for the
Vietnam-wide entity; and (2) July 15, 2016 (the date of publication of
the Amended Preliminary Determination) for Hongyuan and Hoa Phat Steel
Pipe Co. Further, pursuant to section 735(c)(1)(B)(ii) of the Act, the
Department will instruct CBP to require
[[Page 75044]]
a cash deposit,\8\ as detailed below, on all imports of the subject
merchandise from Vietnam, other than those produced and exported by
SeAH, that are entered, or withdrawn from warehouse, for consumption on
or after the date of publication of this notice in the Federal
Register. The cash deposit will be equal to the weighted-average amount
by which the normal value exceeds U.S. price as follows: (1) For the
exporter/producer combinations listed in the table above, the cash
deposit rate will be equal to the dumping margin which the Department
determined in this final determination; (2) for all combinations of
Vietnamese exporters/producers of merchandise under consideration which
have not received their own separate rate above, the cash deposit rate
will be equal to the dumping margin established for the Vietnam-wide
entity; and (3) for all non-Vietnamese exporters of merchandise under
consideration which have not received their own separate rate above,
the cash deposit rate will be equal to the cash deposit rate applicable
to the Vietnam exporter/producer combination that supplied that non-
Vietnamese exporter. The suspension of liquidation instructions will
remain in effect until further notice.
---------------------------------------------------------------------------
\8\ See Modification of Regulations Regarding the Practice of
Accepting Bonds During the Provisional Measures Period in
Antidumping and Countervailing Duty Investigations, 76 FR 61042
(October 3, 2011).
---------------------------------------------------------------------------
U.S. International Trade Commission Notification
In accordance with section 735(d) of the Act, we will notify the
U.S. International Trade Commission (ITC) of the final affirmative
determination of sales at LTFV. Because the final determination in this
proceeding is affirmative, in accordance with section 735(b)(2) of the
Act, the ITC will make its final determination as to whether the
domestic industry in the United States is materially injured, or
threatened with material injury, by reason of imports of CWP from
Vietnam no later than 45 days after our final determination. If the ITC
determines that material injury or threat of material injury does not
exist, the proceeding will be terminated and all cash deposits will be
refunded. If the ITC determines that such injury does exist, the
Department will issue an antidumping duty order directing CBP to
assess, upon further instruction by the Department, antidumping duties
on all imports of the subject merchandise entered, or withdrawn from
warehouse, for consumption on or after the effective date of the
suspension of liquidation as discussed in the ``Continuation of
Suspension of Liquidation'' section.
Notification Regarding Record Keeping
In the event we issue a final antidumping duty order, in future
proceedings we expect Hongyuan's U.S. affiliate Midwest Air
Technologies to modify its recordkeeping system to be able to track the
country of origin of U.S. sales of subject merchandise.\9\
---------------------------------------------------------------------------
\9\ See Final Issues and Decision Memorandum at Comment 15.
---------------------------------------------------------------------------
Notification Regarding Administrative Protective Orders
This notice serves as a reminder to parties subject to an
administrative protective order (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely notification of the
return or destruction of APO materials, or conversion to judicial
protective order, is hereby requested. Failure to comply with the
regulations and the terms of an APO is a violation subject to sanction.
This determination and this notice are issued and published
pursuant to sections 735(d) and 777(i)(1) of the Act.
Dated: October 21, 2016.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
This investigation covers welded carbon-quality steel pipes and
tube, of circular cross-section, with an outside diameter (O.D.) not
more than nominal 16 inches (406.4 mm), regardless of wall
thickness, surface finish (e.g., black, galvanized, or painted), end
finish (plain end, beveled end, grooved, threaded, or threaded and
coupled), or industry specification (e.g., American Society for
Testing and Materials International (ASTM), proprietary, or other),
generally known as standard pipe, fence pipe and tube, sprinkler
pipe, and structural pipe (although subject product may also be
referred to as mechanical tubing). Specifically, the term ``carbon
quality'' includes products in which:
(a) Iron predominates, by weight, over each of the other
contained elements;
(b) the carbon content is 2 percent or less, by weight; and
(c) none of the elements listed below exceeds the quantity, by
weight, as indicated:
(i) 1.80 percent of manganese;
(ii) 2.25 percent of silicon;
(iii) 1.00 percent of copper;
(iv) 0.50 percent of aluminum;
(v) 1.25 percent of chromium;
(vi) 0.30 percent of cobalt;
(vii) 0.40 percent of lead;
(viii) 1.25 percent of nickel;
(ix) 0.30 percent of tungsten;
(x) 0.15 percent of molybdenum;
(xi) 0.10 percent of niobium;
(xii) 0.41 percent of titanium;
(xiii) 0.15 percent of vanadium; or
(xiv) 0.15 percent of zirconium.
Covered products are generally made to standard O.D. and wall
thickness combinations. Pipe multi-stenciled to a standard and/or
structural specification and to other specifications, such as
American Petroleum Institute (API) API-5L specification, may also be
covered by the scope of these investigations. In particular, such
multi-stenciled merchandise is covered when it meets the physical
description set forth above, and also has one or more of the
following characteristics: Is 32 feet in length or less; is less
than 2.0 inches (50 mm) in outside diameter; has a galvanized and/or
painted (e.g., polyester coated) surface finish; or has a threaded
and/or coupled end finish.
Standard pipe is ordinarily made to ASTM specifications A53,
A135, and A795, but can also be made to other specifications.
Structural pipe is made primarily to ASTM specifications A252 and
A500. Standard and structural pipe may also be produced to
proprietary specifications rather than to industry specifications.
Sprinkler pipe is designed for sprinkler fire suppression
systems and may be made to industry specifications such as ASTM A53
or to proprietary specifications.
Fence tubing is included in the scope regardless of
certification to a specification listed in the exclusions below, and
can also be made to the ASTM A513 specification. Products that meet
the physical description set forth above but are made to the
following nominal outside diameter and wall thickness combinations,
which are recognized by the industry as typical for fence tubing,
are included despite being certified to ASTM mechanical tubing
specifications:
------------------------------------------------------------------------
Wall
thickness
O.D. in inches (nominal) in inches Gage
(nominal)
------------------------------------------------------------------------
1.315......................................... 0.035 20
1.315......................................... 0.047 18
1.315......................................... 0.055 17
1.315......................................... 0.065 16
1.315......................................... 0.072 15
1.315......................................... 0.083 14
1.315......................................... 0.095 13
1.660......................................... 0.055 17
1.660......................................... 0.065 16
1.660......................................... 0.083 14
1.660......................................... 0.095 13
1.660......................................... 0.109 12
1.900......................................... 0.047 18
1.900......................................... 0.055 17
1.900......................................... 0.065 16
1.900......................................... 0.072 15
1.900......................................... 0.095 13
1.900......................................... 0.109 12
2.375......................................... 0.047 18
2.375......................................... 0.055 17
2.375......................................... 0.065 16
2.375......................................... 0.072 15
2.375......................................... 0.095 13
2.375......................................... 0.109 12
2.375......................................... 0.120 11
2.875......................................... 0.109 12
2.875......................................... 0.165 8
3.500......................................... 0.109 12
3.500......................................... 0.165 8
4.000......................................... 0.148 9
[[Page 75045]]
4.000......................................... 0.165 8
4.500......................................... 0.203 7
------------------------------------------------------------------------
The scope of this investigation does not include:
(a) Pipe suitable for use in boilers, superheaters, heat
exchangers, refining furnaces and feedwater heaters, whether or not
cold drawn, which are defined by standards such as ASTM A178 or ASTM
A192;
(b) finished electrical conduit, i.e., Electrical Rigid Steel
Conduit (also known as Electrical Rigid Metal Conduit and Electrical
Rigid Metal Steel Conduit), Finished Electrical Metallic Tubing, and
Electrical Intermediate Metal Conduit, which are defined by
specifications such as American National Standard (ANSI) C80.1-2005,
ANSI C80.3-2005, or ANSI C80.6-2005, and Underwriters Laboratories
Inc. (UL) UL-6, UL-797, or UL-1242;
(c) finished scaffolding, i.e., component parts of final,
finished scaffolding that enter the United States unassembled as a
``kit.'' A kit is understood to mean a packaged combination of
component parts that contains, at the time of importation, all of
the necessary component parts to fully assemble final, finished
scaffolding;
(d) tube and pipe hollows for redrawing;
(e) oil country tubular goods produced to API specifications;
(f) line pipe produced to only API specifications, such as API
5L, and not multi-stenciled; and
(g) mechanical tubing, whether or not cold-drawn, other than
what is included in the above paragraphs.
The products subject to this investigation are currently
classifiable in Harmonized Tariff Schedule of the United States
(HTSUS) statistical reporting numbers 7306.19.1010, 7306.19.1050,
7306.19.5110, 7306.19.5150, 7306.30.1000, 7306.30.5015,
7306.30.5020, 7306.30.5025, 7306.30.5032, 7306.30.5040,
7306.30.5055, 7306.30.5085, 7306.30.5090, 7306.50.1000,
7306.50.5030, 7306.50.5050, and 7306.50.5070. The HTSUS subheadings
above are provided for convenience and U.S. Customs purposes only.
The written description of the scope of the investigation is
dispositive.
Appendix II
List of Topics Discussed in the Final Issues and Decision Memorandum
I. Summary
II. Background
III. Changes Since the Preliminary Determination
IV. Use of Adverse Facts Available
V. Discussion of the Issues
General Issues
Comment 1: Financial Statements to Use for Financial Ratios
Comment 2: Water Surrogate Value
Comment 3: Verification Findings
Company-Specific Issues
SeAH Issues
Comment 4: Misreported U.S. Sales Destinations
Comment 5: SeAH's Sodium Hydroxide and UniCoat Surrogate Values
Comment 6: Brokerage and Handling Related to Hot-Rolled Coil
Surrogate Values
Comment 7: Cap on Freight Revenue
Comment 8: Surrogate Value for SeAH's Hot-Rolled Coils
Comment 9: Conversion of Surrogate Value for Vietnamese Inland
Freight
Comment 10: U.S. Credit Expenses
Comment 11: Differential Pricing Analysis
Hongyuan Issues
Comment 12: Hongyuan's Hot-Rolled Strip Value
Comment 13: U.S. Indirect Selling Expenses
Comment 14: Treatment of Strengthening Tubes Used For Packing
Comment 15: Record-keeping of Hongyuan's U.S. Affiliate
VI. Recommendation
[FR Doc. 2016-26112 Filed 10-27-16; 8:45 am]
BILLING CODE 3510-DS-P
