Forged Steel Fittings From Italy: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Postponement of Final Determination and Extension of Provisional Measures, 22954-22957 [2018-10548]
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22954
Federal Register / Vol. 83, No. 96 / Thursday, May 17, 2018 / Notices
Dated: May 10, 2018.
Gary Taverman,
Deputy Assistant Secretary for Antidumping
and Countervailing Duty Operations,
performing the non-exclusive functions and
duties of the Assistant Secretary for
Enforcement and Compliance.
[FR Doc. 2018–10544 Filed 5–16–18; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–475–839]
Forged Steel Fittings From Italy:
Preliminary Affirmative Determination
of Sales at Less Than Fair Value,
Postponement of Final Determination
and Extension of Provisional Measures
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) preliminarily determines
that forged steel fittings from Italy are
being, or are likely to be, sold in the
United States at less than fair value
(LTFV). The period of investigation
(POI) is October 1, 2016, through
September 30, 2017. Interested parties
are invited to comment on this
preliminary determination.
DATES: Applicable May 17, 2018.
FOR FURTHER INFORMATION CONTACT:
Denisa Ursu or Michael Bowen, AD/
CVD Operations, Office VIII,
Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington,
DC 20230; telephone: (202) 482–2285 or
(202) 482–0768, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
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This preliminary determination is
made in accordance with section 733(b)
of the Tariff Act of 1930, as Amended
(the Act). Commerce initiated this
investigation on October 25, 2017.1 On
February 2, 2018, Commerce postponed
the preliminary determination of this
investigation.2
Commerce exercised its discretion to
toll all deadlines affected by the closure
of the Federal Government from January
20 through 22, 2018. If the new deadline
1 See Forged Steel Fittings from the People’s
Republic of China, Italy, and Taiwan: Initiation of
Less-Than-Fair-Value Investigations, 82 FR 50614
(November 1, 2017) (Initiation Notice).
2 See Forged Steel Fittings from the People’s
Republic of China, Italy, and Taiwan:
Postponement of Preliminary Determinations in the
Less-Than-Fair-Value Investigations, 83 FR 4899
(February 2, 2018).
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falls on a non-business day, in
accordance with Commerce’s practice,
the deadline will become the next
business day. The revised deadline for
the preliminary determination of this
investigation is now May 7, 2018.3
For a complete description of the
events that followed the initiation of
this investigation, see the Preliminary
Decision Memorandum.4 A list of topics
included in the Preliminary Decision
Memorandum is included as Appendix
II to this notice. The Preliminary
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 to all parties in the
Central Records Unit, Room B8024 of
the main Department of Commerce
building. In addition, a complete
version of the Preliminary Decision
Memorandum can be accessed directly
at https://enforcement.trade.gov/frn/.
The signed and the electronic versions
of the Preliminary Decision
Memorandum are identical in content.
Scope of the Investigation
The products covered by this
investigation are forged steel fittings
from Italy. For a complete description of
the scope of this investigation, see the
‘‘Scope of the Investigation,’’ in
Appendix I.
Scope Comments
In accordance with the Preamble to
Commerce’s regulations,5 the Initiation
Notice set aside a period of time for
parties to raise issues regarding product
coverage (i.e., scope).6 Certain interested
parties commented on the scope of the
investigation as it appeared in the
Initiation Notice. On March 7, 2018,
Commerce issued a Preliminary Scope
Decision Memorandum making certain
preliminary revisions to the scope based
3 See Memorandum for the Record from Christian
Marsh, Deputy Assistant Secretary for Enforcement
and Compliance, performing the non-exclusive
functions and duties of the Assistant Secretary for
Enforcement and Compliance, ‘‘Deadlines Affected
by the Shutdown of the Federal Government,’’
dated January 23, 2018. All deadlines in this
segment of the proceeding have been extended by
3 days.
4 See Memorandum to the File, ‘‘Decision
Memorandum for the Preliminary Determination in
the Less-Than-Fair-Value Investigation of Forged
Steel Fittings from Italy,’’ dated concurrently with,
and hereby adopted by, this notice (Preliminary
Decision Memorandum).
5 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997)
(Preamble).
6 See Initiation Notice, 82 FR at 50615.
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on the comments received.7 Commerce
received additional scope comments
following the issuance of the
Preliminary Scope Decision
Memorandum, and based on those
comments, made certain additional
preliminary revisions to the scope. For
a summary of the additional comments
received, and Commerce’s preliminary
analysis and decision with respect to
them, see the Second Preliminary Scope
Decision Memorandum.8 See also the
revised scope in Appendix I to this
notice.
Methodology
Commerce is conducting this
investigation in accordance with section
731 of the Act. Pursuant to sections
776(a) and (b) of the Act and 19 CFR
351.308, Commerce preliminarily relied
upon facts otherwise available with an
adverse inference (adverse facts
available or AFA) for the two mandatory
respondents, M.E.G.A. S.p.A (MEGA)
and I.M.L. Industria Meccanica Ligure
S.p.A. (IML), which failed to cooperate
to the best of their ability in their
responses to Commerce’s requests for
information. See Preliminary Decision
Memorandum for a complete
explanation of the methodology and
analysis underlying our preliminary
application of adverse facts available.
As AFA, Commerce is preliminarily
assigning to MEGA and IML the highest
margin alleged in the petition, 80.20
percent.9
All-Others Rate
Sections 733(d)(1)(ii) and 735(c)(5)(A)
of the Act provide that in the
preliminary determination, Commerce
shall determine an estimated weightedaverage dumping margin for all other
exporters and producers not
individually examined. Section
735(c)(5)(A) of the Act states that, in
calculating this rate, it shall be an
amount equal to the weighted average of
the estimated weighted-average
dumping margins established for
exporters and producers individually
examined, excluding rates that are zero,
de minimis, or determined entirely
under section 776 of the Act.
7 See Memorandum, ‘‘Scope Comments Decision
Memorandum for the Preliminary Determinations,’’
dated March 7, 2018 (Preliminary Scope Decision
Memorandum)
8 See Memorandum, ‘‘Second Preliminary Scope
Decision Memorandum,’’ dated concurrently with
this notice (Second Preliminary Scope Decision
Memorandum).
9 See Letter to the Secretary of Commerce from
the Petitioners, ‘‘Forged Steel Fittings from People’s
Republic of China, Italy, and Taiwan—Petitions for
the Imposition of Antidumping and Countervailing
Duties’’ (October 5, 2017) (the Petition) at Volume
III. See also, AD Investigation Initiation Checklist:
Forged Steel Fittings from Italy (October 25, 2017).
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Federal Register / Vol. 83, No. 96 / Thursday, May 17, 2018 / Notices
In cases where no weighted-average
dumping margins other than zero, de
minimis, or those determined entirely
under section 776 of the Act have been
established for individually examined
entities, in accordance with section
735(c)(5)(B) of the Act, Commerce may
use ‘‘any reasonable method to establish
the estimated all-others rate for
exporters and producers not
individually investigated, including
averaging the estimated weighted
average dumping margins determined
for the exporters and producers
individually investigated.’’ Our recent
practice in these circumstances is to
average the dumping margins alleged in
the Petition 10 and apply the result to
‘‘all-other’’ entities not individually
examined.11 In this investigation,
Commerce has preliminarily determined
the estimated weighted-average
dumping margin for MEGA and IML
entirely under section 776 of the Act.
Therefore, as the ‘‘all-others’’’ rate, we
are assigning the simple average of the
dumping margins alleged in the
Petition, which is 49.43 percent. For a
full description of the methodology
underlying Commerce’s analysis, see the
Preliminary Decision Memorandum.
Preliminary Determination
Commerce preliminarily determines
that the following estimated weightedaverage dumping margins exist:
Suspension of Liquidation
In accordance with section 733(d)(2)
of the Act, Commerce will direct U.S.
Customs and Border Protection (CBP) to
suspend liquidation of subject
merchandise, as described in the scope
of the investigation section entered, or
withdrawn from warehouse, for
consumption on or after the date of
publication of this notice in the Federal
Register as discussed below.
Pursuant to section 733(d)(1)(B) of the
Act and 19 CFR 351.205(d), Commerce
will instruct CBP to require a cash
deposit equal to the estimated weightedaverage dumping margin, as follows: (1)
The cash deposit rate for the
respondents listed above will be equal
to the company-specific estimated
weighted-average dumping margins
determined in this preliminary
determination; (2) if the exporter is not
a respondent identified above, but the
producer is, then the cash deposit rate
will be equal to the company-specific
estimated weighted-average dumping
margin established for that producer of
the subject merchandise; and (3) the
cash deposit rate for all other producers
and exporters will be equal to the allothers estimated weighted-average
dumping margin. These suspension of
liquidation instructions will remain in
effect until further notice.
Disclosure
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Normally, Commerce discloses to
interested parties the calculations
Estimated performed in connection with a
weighted- preliminary determination within five
average
days of any public announcement or, if
Exporter or producer
dumping
there is no public announcement,
margin
within five days of the date of
(percent)
publication of the notice of preliminary
M.E.G.A. S.p.A ...........................
80.20 determination in the Federal Register,
in accordance with 19 CFR 351.224(b).
I.M.L. Industria Meccanica
Ligure S.p.A ............................
80.20 However, because Commerce
All-Others ....................................
49.43 preliminarily applied total AFA to the
individually examined companies
(MEGA and IML) in this investigation in
10 Id.
accordance with section 776 of the Act,
11 See, e.g., Notice of Preliminary Determination
and the applied AFA rate is based solely
of Sales at Less Than Fair Value: Sodium Nitrite
on the Petition, there are no calculations
from the Federal Republic of Germany, 73 FR
21909, 21912 (April 23, 2008), unchanged in Notice
to disclose.
of Final Determination of Sales at Less Than Fair
Value: Sodium Nitrite from the Federal Republic of
Germany, 73 FR 38986, 38987 (July 8, 2008), and
accompanying Issues and Decision Memorandum at
Comment 2; see also Notice of Final Determination
of Sales at Less Than Fair Value: Raw Flexible
Magnets from Taiwan, 73 FR 39673, 39674 (July 10,
2008); Steel Threaded Rod from Thailand:
Preliminary Determination of Sales at Less Than
Fair Value and Affirmative Preliminary
Determination of Critical Circumstances, 78 FR
79670, 79671 (December 31, 2013), unchanged in
Steel Threaded Rod from Thailand: Final
Determination of Sales at Less Than Fair Value and
Affirmative Final Determination of Critical
Circumstances, 79 FR 14476, 14477 (March 14,
2014).
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Verification
As explained in the Preliminary
Decision Memorandum, we will afford
MEGA the opportunity to remedy a
deficiency in its reported cost
reconciliation after issuing this
preliminary determination. Should we
find MEGA’s response satisfactory, then,
as provided in section 782(i)(1) of the
Act, we intend to verify this
respondent’s information for purposes
of relying upon it in making our final
determination. IML did not provide
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sections B, C, D, or supplemental
section A questionnaire responses and,
therefore, Commerce will not conduct
verification of IML. As further explained
in the Preliminary Decision
Memorandum, the companies, Officine
Nicola Galperti & Figlio (Galperti) and
Pegasus S.R.L. (Pegasus), contend that
they are not producers or exporters of
forged steel fittings from Italy.12 As
provided in section 782(i)(1) of the Act,
we intend to verify Galperti’s and
Pegasus’s claims that they did not
produce or sell the subject merchandise
during the POI.
Public Comment
Case briefs regarding non-scope issues
may be submitted to the Assistant
Secretary for Enforcement and
Compliance no later than seven days
after the date on which the last
verification report is issued in this
investigation, or on a date established
by Commerce, as appropriate. Rebuttal
briefs, limited to issues raised in case
briefs, may be submitted no later than
five days after the deadline date for case
briefs.13
Additionally, case briefs regarding
scope issues may be submitted within
10 days after the date of publication of
this notice in the Federal Register.
Rebuttal briefs regarding scope issues,
limited to those issues which are raised
in the scope case briefs, may be
submitted no later than five days after
the deadline date for scope case briefs.14
All scope case and rebuttal briefs must
be filed identically on the records of this
investigation and the concurrent AD
and CVD investigations of forged steel
fittings. Pursuant to 19 CFR
351.309(c)(2) and (d)(2), parties who
submit case briefs or rebuttal briefs on
any issues raised in this proceeding are
encouraged to submit with each
argument: (1) A statement of the issue;
(2) a brief summary of the argument;
and (3) a table of authorities.
Pursuant to 19 CFR 351.310(c),
interested parties who wish to request a
hearing, limited to issues raised in the
non-scope case and rebuttal briefs and/
or scope case and rebuttal briefs, must
submit a written request to the Assistant
Secretary for Enforcement and
Compliance, U.S. Department of
Commerce. Any hearing request for
scope issues must be filed identically on
the records of this investigation and the
concurrent AD and CVD investigations
of forged steel fittings. All documents
12 See Preliminary Decision Memorandum at
section IV, Treatment of Galperti and Pegasus.
13 See 19 CFR 351.309; see also 19 CFR 351.303
(for general filing requirements).
14 See 19 CFR 351.309; see also 19 CFR 351.303
(for general filing requirements).
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Federal Register / Vol. 83, No. 96 / Thursday, May 17, 2018 / Notices
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must be filed electronically using
ACCESS. An electronically-filed request
must be received successfully in its
entirety by ACCESS by 5:00 p.m.
Eastern Time, within 30 days after the
date of publication of this notice.
Requests should contain the party’s
name, address, and telephone number,
the number of participants, and a list of
the issues to be discussed. If a request
for a hearing is made, Commerce
intends to hold the hearing at the U.S.
Department of Commerce, 1401
Constitution Avenue NW, Washington,
DC 20230, at a time and date to be
determined. Parties should confirm by
telephone the date, time, and location of
the hearing two days before the
scheduled date.
Postponement of Final Determination
and Extension of Provisional Measures
Section 735(a)(2) of the Act provides
that a final determination may be
postponed until not later than 135 days
after the date of the publication of the
preliminary determination if, in the
event of an affirmative preliminary
determination, a request for such
postponement is made by exporters who
account for a significant proportion of
exports of the subject merchandise, or in
the event of a negative preliminary
determination, a request for such
postponement is made by the petitioner.
Pursuant to 19 CFR 351.210(e)(2),
Commerce requires that a request by
exporters for postponement of the final
determination be accompanied by a
request for extension of provisional
measures from a four-month period to a
period not more than six months in
duration.
On April 18, 2018, pursuant to 19
CFR 351.210(e), MEGA requested that
Commerce postpone the final
determination and that provisional
measures be extended to a period not to
exceed six months.15 On April 18, 2018,
Bonney Forge Corporation and United
Steel, Paper and Forestry, Rubber,
Manufacturing, Energy, Allied
Industrial and Service Workers
International Union (USW) (the
petitioners) requested, in the event of a
negative preliminary determination in
this investigation, that Commerce
postpone the final determination up to
135 days after the date of the
publication of the preliminary
determination.16 In accordance with
section 735(a)(2)(A) of the Act and 19
15 See Letter from MEGA, ‘‘Forged Steel Fittings
from Italy: Request for Postponement of Final
Determination,’’ dated March 28, 2018. This letter
was filed with Commerce on April 18, 2018.
16 See Letter from Petitioners, ‘‘Forged Steel
Fittings from Italy: Request to Extend Final
Determination,’’ dated April 18, 2018.
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18:36 May 16, 2018
Jkt 244001
CFR 351.210(b)(2)(ii), because: (1) The
preliminary determination is
affirmative; (2) the requesting exporter
accounts for a significant proportion of
exports of the subject merchandise; and
(3) no compelling reasons for denial
exist, Commerce is postponing the final
determination and extending the
provisional measures from a four-month
period to a period not greater than six
months. Accordingly, Commerce will
make its final determination no later
than 135 days after the date of
publication of this preliminary
determination.
U.S. International Trade Commission
Notification
In accordance with section 733(f) of
the Act, Commerce will notify the U.S.
International Trade Commission (ITC) of
its affirmative preliminary
determination of sales at LTFV. If the
final determination is affirmative, the
ITC will determine before the later of
120 days after the date of this
preliminary determination or 45 days
after the final determination whether
these imports are materially injuring, or
threaten material injury to, the U.S.
industry.
Notification to Interested Parties
This determination is issued and
published in accordance with sections
733(f) and 777(i)(1) of the Act and 19
CFR 351.205(c).
Dated: May 7, 2018.
Gary Taverman,
Deputy Assistant Secretary for Antidumping
and Countervailing Duty Operations,
performing the non-exclusive functions and
duties of the Assistant Secretary for
Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by this
investigation is carbon and alloy forged steel
fittings, whether unfinished (commonly
known as blanks or rough forgings) or
finished. Such fittings are made in a variety
of shapes including, but not limited to,
elbows, tees, crosses, laterals, couplings,
reducers, caps, plugs, bushings, unions, and
outlets. Forged steel fittings are covered
regardless of end finish, whether threaded,
socket-weld or other end connections.
While these fittings are generally
manufactured to specifications ASME
B16.11, MSS SP–79, MSS SP–83, MSS SP–
97, ASTM A105, ASTM A350, and ASTM
A182, the scope is not limited to fittings
made to these specifications.
The term forged is an industry term used
to describe a class of products included in
applicable standards, and does not reference
an exclusive manufacturing process. Forged
steel fittings are not manufactured from
casting. Pursuant to the applicable
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specifications, subject fittings may also be
machined from bar stock or machined from
seamless pipe and tube.
All types of fittings are included in the
scope regardless of nominal pipe size (which
may or may not be expressed in inches of
nominal pipe size), pressure rating (usually,
but not necessarily expressed in pounds of
pressure/PSI, e.g., 2,000 or 2M; 3,000 or 3M;
6,000 or 6M; 9,000 or 9M), wall thickness,
and whether or not heat treated.
Excluded from this scope are all fittings
entirely made of stainless steel. Also
excluded are flanges, butt weld fittings, butt
weld outlets, nipples, and all fittings that
have a maximum pressure rating of 300
pounds of pressure/PSI or less.
Also excluded are fittings certified or made
to the following standards, so long as the
fittings are not also manufactured to the
specifications of ASME B16.11, MSS SP–79,
MSS SP–83, MSS SP–97, ASTM A105,
ASTM A350, and ASTM A182:
• American Petroleum Institute (API) API
5CT, API 5L, or API 11B
• Society of Automotive Engineering (SAE)
SAE J476, SAE J514, SAE J516, SAE J517,
SAE J518, SAE J1026, SAE J1231, SAE
J1453, SAE J1926, J2044 or SAE AS 35411
• Underwriter’s Laboratories (UL) certified
electrical conduit fittings
• ASTM A153, A536, A576, or A865
• Casing Conductor Connectors 16–42 inches
in diameter made to proprietary
specifications
• Military Specification (MIL) MIL–C–4109F
and MIL–F–3541
• International Organization for
Standardization (ISO) ISO6150–B
To be excluded from the scope, products
must have the appropriate standard or
pressure markings and/or accompanied by
documentation showing product compliance
to the applicable standard or pressure, e.g.,
‘‘API 5CT’’ mark and/or a mill certification
report.
Subject carbon and alloy forged steel
fittings are normally entered under
Harmonized Tariff Schedule of the United
States (HTSUS) 7307.99.1000, 7307.99.3000,
7307.99.5045, and 7307.99.5060. They also
may be entered under HTSUS 7307.92.3010,
7307.92.3030, 7307.92.9000, and
7326.19.0010. The HTSUS subheadings and
specifications are provided for convenience
and customs purposes; the written
description of the scope is dispositive.
Appendix II
List of Topics Discussed in the Preliminary
Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Treatment of Galperti and Pegasus
V. Scope Comments
VI. Scope of the Investigation
VII. Application of Facts Available and Use
of Adverse Inference
A. Application of Facts Available
B. Application of Facts Available with an
Adverse Inference
C. Preliminary Estimated WeightedAverage Dumping Margin Based on
Adverse Facts Available
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D. Corroboration of Secondary Information
VIII. All-Others Rate
IX. Conclusion
[FR Doc. 2018–10548 Filed 5–16–18; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–583–863]
Forged Steel Fittings From Taiwan:
Affirmative Preliminary Determination
of Sales at Less Than Fair Value
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) preliminarily determines
that forged steel fittings from Taiwan are
being, or are likely to be, sold in the
United States at less than fair value
(LTFV). The period of investigation
(POI) is October 1, 2016, through
September 30, 2017. Interested parties
are invited to comment on this
preliminary determination.
DATES: Applicable May 17, 2018.
FOR FURTHER INFORMATION CONTACT:
Robert Palmer (202) 482–9068 or
Suzanne Lam at (202) 482–0783, AD/
CVD Operations, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
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Commerce initiated this investigation
on October 25, 2017.1 On February 2,
2018, Commerce postponed the
preliminary determination of this
investigation.2 Commerce exercised its
discretion to toll all deadlines affected
by the closure of the Federal
Government from January 20 through
22, 2018. The revised deadline for the
preliminary determination of this
investigation is now May 7, 2018.3
1 See Forged Steel Fittings from the People’s
Republic of China, Italy, and Taiwan: Initiation of
Less-Than-Fair-Value Investigations, 82 FR 50614
(November 1, 2017) (Initiation Notice).
2 See Forged Steel Fittings from the People’s
Republic of China, Italy, and Taiwan:
Postponement of Preliminary Determinations in the
Less-Than-Fair-Value Investigations, 83 FR 4899
(February 2, 2018).
3 See Memorandum to the file from Christian
Marsh, Deputy Assistant Secretary for Enforcement
and Compliance, performing the non-exclusive
functions and duties of the Assistant Secretary for
Enforcement and Compliance, ‘‘Deadlines Affected
by the Shutdown of the Federal Government’’
(Tolling Memorandum), dated January 23, 2018. All
deadlines in this segment of the proceeding have
been extended by 3 days.
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For a complete description of the
events that followed the initiation of
this investigation, see the Preliminary
Decision Memorandum.4 A list of topics
included in the Preliminary Decision
Memorandum is included as Appendix
II to this notice. The Preliminary
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 to all parties in the
Central Records Unit, Room B8024 of
the main Department of Commerce
building. In addition, a complete
version of the Preliminary Decision
Memorandum can be accessed directly
at https://enforcement.trade.gov/frn/.
The signed and the electronic versions
of the Preliminary Decision
Memorandum are identical in content.
Scope of the Investigation
The products covered by this
investigation are forged steel fittings
from Taiwan. For a complete
description of the scope of this
investigation, see the ‘‘Scope of the
Investigation,’’ in Appendix I.
Scope Comments
In accordance with the Preamble to
Commerce’s regulations,5 the Initiation
Notice set aside a period of time for
parties to raise issues regarding product
coverage (i.e., scope).6 Certain interested
parties commented on the scope of the
investigation as it appeared in the
Initiation Notice. On March 7, 2018,
Commerce issued a Preliminary Scope
Decision Memorandum making certain
preliminary revisions to the scope based
on the comments received.7 Commerce
received additional scope comments
following the issuance of the
Preliminary Scope Decision
Memorandum, and based on those
comments, made certain additional
preliminary revisions to the scope. For
a summary of the additional comments
received, and Commerce’s preliminary
analysis and decision with respect to
them, see the Second Preliminary Scope
4 See Memorandum to the file, ‘‘Decision
Memorandum for the Preliminary Determination in
the Less-Than-Fair- Value Investigation of Forged
Steel Fittings from Taiwan,’’ dated concurrently
with this notice (Preliminary Decision
Memorandum).
5 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997)
(Preamble).
6 See Initiation Notice, 82 FR at 50615.
7 See Memorandum, ‘‘Scope Comments Decision
Memorandum for the Preliminary Determinations,’’
dated March 7, 2018 (Preliminary Scope Decision
Memorandum).
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22957
Decision Memorandum.8 See also the
revised scope in Appendix I to this
notice.
Methodology
Commerce is conducting this
investigation in accordance with section
731 of the Tariff Act of 1930, as
amended (the Act). Pursuant to sections
776(a) and (b) of the Act and 19 CFR
351.308, Commerce preliminarily relied
upon facts otherwise available with an
adverse inference (adverse facts
available or AFA) to assign an estimated
weighted-average dumping margin to
the two mandatory respondents in
Taiwan, Both Well Steel Fittings Co.,
Ltd. (Both Well) and Luchu Shin Yee
Works Co. Ltd. (Luchu), because these
respondents did not respond to
Commerce’s antidumping duty
questionnaire and, therefore, failed to
cooperate to the best of their ability in
the investigation. See Preliminary
Decision Memorandum for a complete
explanation of the methodology and
analysis underlying our preliminary
application of adverse facts available.
As AFA, Commerce is preliminarily
assigning to Both Well and Luchu the
highest and only margin alleged in the
petition, 116.17 percent.9 The third
mandatory respondent, Kopex Industrial
Co. (Kopex), notified Commerce that it
is not a producer or exporter of subject
merchandise.10
All-Others Rate
Sections 733(d)(1)(ii) and 735(c)(5)(A)
of the Act provide that in the
preliminary determination Commerce
shall determine an estimated all-others
rate for all exporters and producers not
individually examined. This rate shall
be an amount equal to the weighted
average of the estimated weightedaverage dumping margins established
for exporters and producers
individually investigated, excluding any
zero and de minimis margins, and any
margins determined entirely under
section 776 of the Act.
In cases where no weighted-average
dumping margins other than zero, de
minimis, or those determined entirely
under section 776 of the Act have been
8 See Memorandum, ‘‘Second Preliminary Scope
Decision Memorandum,’’ dated concurrently with
this notice (Second Preliminary Scope Decision
Memorandum).
9 See Letter to the Secretary of Commerce from
the Petitioners, ‘‘Forged Steel Fittings from People’s
Republic of China, Italy, and Taiwan—Petitions for
the Imposition of Antidumping and Countervailing
Duties’’ (October 5, 2017) (the Petition) at Volume
III. See also, AD Investigation Initiation Checklist:
Forged Steel Fittings from Taiwan (October 25,
2017) (in which the Petition margin was
recalculated for purposes of initiation).
10 See Preliminary Decision Memorandum at
section IV, Treatment of Kopex.
E:\FR\FM\17MYN1.SGM
17MYN1
]]>Agencies
[Federal Register Volume 83, Number 96 (Thursday, May 17, 2018)]
[Notices]
[Pages 22954-22957]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-10548]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-475-839]
Forged Steel Fittings From Italy: Preliminary Affirmative
Determination of Sales at Less Than Fair Value, Postponement of Final
Determination and Extension of Provisional Measures
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines
that forged steel fittings from Italy are being, or are likely to be,
sold in the United States at less than fair value (LTFV). The period of
investigation (POI) is October 1, 2016, through September 30, 2017.
Interested parties are invited to comment on this preliminary
determination.
DATES: Applicable May 17, 2018.
FOR FURTHER INFORMATION CONTACT: Denisa Ursu or Michael Bowen, AD/CVD
Operations, Office VIII, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230; telephone: (202) 482-2285 or (202)
482-0768, respectively.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
733(b) of the Tariff Act of 1930, as Amended (the Act). Commerce
initiated this investigation on October 25, 2017.\1\ On February 2,
2018, Commerce postponed the preliminary determination of this
investigation.\2\
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\1\ See Forged Steel Fittings from the People's Republic of
China, Italy, and Taiwan: Initiation of Less-Than-Fair-Value
Investigations, 82 FR 50614 (November 1, 2017) (Initiation Notice).
\2\ See Forged Steel Fittings from the People's Republic of
China, Italy, and Taiwan: Postponement of Preliminary Determinations
in the Less-Than-Fair-Value Investigations, 83 FR 4899 (February 2,
2018).
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Commerce exercised its discretion to toll all deadlines affected by
the closure of the Federal Government from January 20 through 22, 2018.
If the new deadline falls on a non-business day, in accordance with
Commerce's practice, the deadline will become the next business day.
The revised deadline for the preliminary determination of this
investigation is now May 7, 2018.\3\
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\3\ See Memorandum for the Record from Christian Marsh, Deputy
Assistant Secretary for Enforcement and Compliance, performing the
non-exclusive functions and duties of the Assistant Secretary for
Enforcement and Compliance, ``Deadlines Affected by the Shutdown of
the Federal Government,'' dated January 23, 2018. All deadlines in
this segment of the proceeding have been extended by 3 days.
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For a complete description of the events that followed the
initiation of this investigation, see the Preliminary Decision
Memorandum.\4\ A list of topics included in the Preliminary Decision
Memorandum is included as Appendix II to this notice. The Preliminary
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 to all parties in the
Central Records Unit, Room B8024 of the main Department of Commerce
building. In addition, a complete version of the Preliminary Decision
Memorandum can be accessed directly at https://enforcement.trade.gov/frn/. The signed and the electronic versions of the Preliminary
Decision Memorandum are identical in content.
---------------------------------------------------------------------------
\4\ See Memorandum to the File, ``Decision Memorandum for the
Preliminary Determination in the Less-Than-Fair-Value Investigation
of Forged Steel Fittings from Italy,'' dated concurrently with, and
hereby adopted by, this notice (Preliminary Decision Memorandum).
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Scope of the Investigation
The products covered by this investigation are forged steel
fittings from Italy. For a complete description of the scope of this
investigation, see the ``Scope of the Investigation,'' in Appendix I.
Scope Comments
In accordance with the Preamble to Commerce's regulations,\5\ the
Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage (i.e., scope).\6\ Certain interested
parties commented on the scope of the investigation as it appeared in
the Initiation Notice. On March 7, 2018, Commerce issued a Preliminary
Scope Decision Memorandum making certain preliminary revisions to the
scope based on the comments received.\7\ Commerce received additional
scope comments following the issuance of the Preliminary Scope Decision
Memorandum, and based on those comments, made certain additional
preliminary revisions to the scope. For a summary of the additional
comments received, and Commerce's preliminary analysis and decision
with respect to them, see the Second Preliminary Scope Decision
Memorandum.\8\ See also the revised scope in Appendix I to this notice.
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\5\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\6\ See Initiation Notice, 82 FR at 50615.
\7\ See Memorandum, ``Scope Comments Decision Memorandum for the
Preliminary Determinations,'' dated March 7, 2018 (Preliminary Scope
Decision Memorandum)
\8\ See Memorandum, ``Second Preliminary Scope Decision
Memorandum,'' dated concurrently with this notice (Second
Preliminary Scope Decision Memorandum).
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Methodology
Commerce is conducting this investigation in accordance with
section 731 of the Act. Pursuant to sections 776(a) and (b) of the Act
and 19 CFR 351.308, Commerce preliminarily relied upon facts otherwise
available with an adverse inference (adverse facts available or AFA)
for the two mandatory respondents, M.E.G.A. S.p.A (MEGA) and I.M.L.
Industria Meccanica Ligure S.p.A. (IML), which failed to cooperate to
the best of their ability in their responses to Commerce's requests for
information. See Preliminary Decision Memorandum for a complete
explanation of the methodology and analysis underlying our preliminary
application of adverse facts available. As AFA, Commerce is
preliminarily assigning to MEGA and IML the highest margin alleged in
the petition, 80.20 percent.\9\
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\9\ See Letter to the Secretary of Commerce from the
Petitioners, ``Forged Steel Fittings from People's Republic of
China, Italy, and Taiwan--Petitions for the Imposition of
Antidumping and Countervailing Duties'' (October 5, 2017) (the
Petition) at Volume III. See also, AD Investigation Initiation
Checklist: Forged Steel Fittings from Italy (October 25, 2017).
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All-Others Rate
Sections 733(d)(1)(ii) and 735(c)(5)(A) of the Act provide that in
the preliminary determination, Commerce shall determine an estimated
weighted-average dumping margin for all other exporters and producers
not individually examined. Section 735(c)(5)(A) of the Act states that,
in calculating this rate, it shall be an amount equal to the weighted
average of the estimated weighted-average dumping margins established
for exporters and producers individually examined, excluding rates that
are zero, de minimis, or determined entirely under section 776 of the
Act.
[[Page 22955]]
In cases where no weighted-average dumping margins other than zero,
de minimis, or those determined entirely under section 776 of the Act
have been established for individually examined entities, in accordance
with section 735(c)(5)(B) of the Act, Commerce may use ``any reasonable
method to establish the estimated all-others rate for exporters and
producers not individually investigated, including averaging the
estimated weighted average dumping margins determined for the exporters
and producers individually investigated.'' Our recent practice in these
circumstances is to average the dumping margins alleged in the Petition
\10\ and apply the result to ``all-other'' entities not individually
examined.\11\ In this investigation, Commerce has preliminarily
determined the estimated weighted-average dumping margin for MEGA and
IML entirely under section 776 of the Act. Therefore, as the ``all-
others''' rate, we are assigning the simple average of the dumping
margins alleged in the Petition, which is 49.43 percent. For a full
description of the methodology underlying Commerce's analysis, see the
Preliminary Decision Memorandum.
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\10\ Id.
\11\ See, e.g., Notice of Preliminary Determination of Sales at
Less Than Fair Value: Sodium Nitrite from the Federal Republic of
Germany, 73 FR 21909, 21912 (April 23, 2008), unchanged in Notice of
Final Determination of Sales at Less Than Fair Value: Sodium Nitrite
from the Federal Republic of Germany, 73 FR 38986, 38987 (July 8,
2008), and accompanying Issues and Decision Memorandum at Comment 2;
see also Notice of Final Determination of Sales at Less Than Fair
Value: Raw Flexible Magnets from Taiwan, 73 FR 39673, 39674 (July
10, 2008); Steel Threaded Rod from Thailand: Preliminary
Determination of Sales at Less Than Fair Value and Affirmative
Preliminary Determination of Critical Circumstances, 78 FR 79670,
79671 (December 31, 2013), unchanged in Steel Threaded Rod from
Thailand: Final Determination of Sales at Less Than Fair Value and
Affirmative Final Determination of Critical Circumstances, 79 FR
14476, 14477 (March 14, 2014).
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Preliminary Determination
Commerce preliminarily determines that the following estimated
weighted-average dumping margins exist:
------------------------------------------------------------------------
Estimated
weighted-
average
Exporter or producer dumping
margin
(percent)
------------------------------------------------------------------------
M.E.G.A. S.p.A.............................................. 80.20
I.M.L. Industria Meccanica Ligure S.p.A..................... 80.20
All-Others.................................................. 49.43
------------------------------------------------------------------------
Suspension of Liquidation
In accordance with section 733(d)(2) of the Act, Commerce will
direct U.S. Customs and Border Protection (CBP) to suspend liquidation
of subject merchandise, as described in the scope of the investigation
section entered, or withdrawn from warehouse, for consumption on or
after the date of publication of this notice in the Federal Register as
discussed below.
Pursuant to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d),
Commerce will instruct CBP to require a cash deposit equal to the
estimated weighted-average dumping margin, as follows: (1) The cash
deposit rate for the respondents listed above will be equal to the
company-specific estimated weighted-average dumping margins determined
in this preliminary determination; (2) if the exporter is not a
respondent identified above, but the producer is, then the cash deposit
rate will be equal to the company-specific estimated weighted-average
dumping margin established for that producer of the subject
merchandise; and (3) the cash deposit rate for all other producers and
exporters will be equal to the all-others estimated weighted-average
dumping margin. These suspension of liquidation instructions will
remain in effect until further notice.
Disclosure
Normally, Commerce discloses to interested parties the calculations
performed in connection with a preliminary determination within five
days of any public announcement or, if there is no public announcement,
within five days of the date of publication of the notice of
preliminary determination in the Federal Register, in accordance with
19 CFR 351.224(b). However, because Commerce preliminarily applied
total AFA to the individually examined companies (MEGA and IML) in this
investigation in accordance with section 776 of the Act, and the
applied AFA rate is based solely on the Petition, there are no
calculations to disclose.
Verification
As explained in the Preliminary Decision Memorandum, we will afford
MEGA the opportunity to remedy a deficiency in its reported cost
reconciliation after issuing this preliminary determination. Should we
find MEGA's response satisfactory, then, as provided in section
782(i)(1) of the Act, we intend to verify this respondent's information
for purposes of relying upon it in making our final determination. IML
did not provide sections B, C, D, or supplemental section A
questionnaire responses and, therefore, Commerce will not conduct
verification of IML. As further explained in the Preliminary Decision
Memorandum, the companies, Officine Nicola Galperti & Figlio (Galperti)
and Pegasus S.R.L. (Pegasus), contend that they are not producers or
exporters of forged steel fittings from Italy.\12\ As provided in
section 782(i)(1) of the Act, we intend to verify Galperti's and
Pegasus's claims that they did not produce or sell the subject
merchandise during the POI.
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\12\ See Preliminary Decision Memorandum at section IV,
Treatment of Galperti and Pegasus.
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Public Comment
Case briefs regarding non-scope issues may be submitted to the
Assistant Secretary for Enforcement and Compliance no later than seven
days after the date on which the last verification report is issued in
this investigation, or on a date established by Commerce, as
appropriate. Rebuttal briefs, limited to issues raised in case briefs,
may be submitted no later than five days after the deadline date for
case briefs.\13\
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\13\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general
filing requirements).
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Additionally, case briefs regarding scope issues may be submitted
within 10 days after the date of publication of this notice in the
Federal Register. Rebuttal briefs regarding scope issues, limited to
those issues which are raised in the scope case briefs, may be
submitted no later than five days after the deadline date for scope
case briefs.\14\ All scope case and rebuttal briefs must be filed
identically on the records of this investigation and the concurrent AD
and CVD investigations of forged steel fittings. Pursuant to 19 CFR
351.309(c)(2) and (d)(2), parties who submit case briefs or rebuttal
briefs on any issues raised in this proceeding are encouraged to submit
with each argument: (1) A statement of the issue; (2) a brief summary
of the argument; and (3) a table of authorities.
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\14\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general
filing requirements).
---------------------------------------------------------------------------
Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, limited to issues raised in the non-scope case and
rebuttal briefs and/or scope case and rebuttal briefs, must submit a
written request to the Assistant Secretary for Enforcement and
Compliance, U.S. Department of Commerce. Any hearing request for scope
issues must be filed identically on the records of this investigation
and the concurrent AD and CVD investigations of forged steel fittings.
All documents
[[Page 22956]]
must be filed electronically using ACCESS. An electronically-filed
request must be received successfully in its entirety by ACCESS by 5:00
p.m. Eastern Time, within 30 days after the date of publication of this
notice. Requests should contain the party's name, address, and
telephone number, the number of participants, and a list of the issues
to be discussed. If a request for a hearing is made, Commerce intends
to hold the hearing at the U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington, DC 20230, at a time and date to be
determined. Parties should confirm by telephone the date, time, and
location of the hearing two days before the scheduled date.
Postponement of Final Determination and Extension of Provisional
Measures
Section 735(a)(2) of the Act provides that a final determination
may be postponed until not later than 135 days after the date of the
publication of the preliminary determination if, in the event of an
affirmative preliminary determination, a request for such postponement
is made by exporters who account for a significant proportion of
exports of the subject merchandise, or in the event of a negative
preliminary determination, a request for such postponement is made by
the petitioner. Pursuant to 19 CFR 351.210(e)(2), Commerce requires
that a request by exporters for postponement of the final determination
be accompanied by a request for extension of provisional measures from
a four-month period to a period not more than six months in duration.
On April 18, 2018, pursuant to 19 CFR 351.210(e), MEGA requested
that Commerce postpone the final determination and that provisional
measures be extended to a period not to exceed six months.\15\ On April
18, 2018, Bonney Forge Corporation and United Steel, Paper and
Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service
Workers International Union (USW) (the petitioners) requested, in the
event of a negative preliminary determination in this investigation,
that Commerce postpone the final determination up to 135 days after the
date of the publication of the preliminary determination.\16\ In
accordance with section 735(a)(2)(A) of the Act and 19 CFR
351.210(b)(2)(ii), because: (1) The preliminary determination is
affirmative; (2) the requesting exporter accounts for a significant
proportion of exports of the subject merchandise; and (3) no compelling
reasons for denial exist, Commerce is postponing the final
determination and extending the provisional measures from a four-month
period to a period not greater than six months. Accordingly, Commerce
will make its final determination no later than 135 days after the date
of publication of this preliminary determination.
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\15\ See Letter from MEGA, ``Forged Steel Fittings from Italy:
Request for Postponement of Final Determination,'' dated March 28,
2018. This letter was filed with Commerce on April 18, 2018.
\16\ See Letter from Petitioners, ``Forged Steel Fittings from
Italy: Request to Extend Final Determination,'' dated April 18,
2018.
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U.S. International Trade Commission Notification
In accordance with section 733(f) of the Act, Commerce will notify
the U.S. International Trade Commission (ITC) of its affirmative
preliminary determination of sales at LTFV. If the final determination
is affirmative, the ITC will determine before the later of 120 days
after the date of this preliminary determination or 45 days after the
final determination whether these imports are materially injuring, or
threaten material injury to, the U.S. industry.
Notification to Interested Parties
This determination is issued and published in accordance with
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).
Dated: May 7, 2018.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty
Operations, performing the non-exclusive functions and duties of the
Assistant Secretary for Enforcement and Compliance.
Appendix I
Scope of the Investigation
The merchandise covered by this investigation is carbon and
alloy forged steel fittings, whether unfinished (commonly known as
blanks or rough forgings) or finished. Such fittings are made in a
variety of shapes including, but not limited to, elbows, tees,
crosses, laterals, couplings, reducers, caps, plugs, bushings,
unions, and outlets. Forged steel fittings are covered regardless of
end finish, whether threaded, socket-weld or other end connections.
While these fittings are generally manufactured to
specifications ASME B16.11, MSS SP-79, MSS SP-83, MSS SP-97, ASTM
A105, ASTM A350, and ASTM A182, the scope is not limited to fittings
made to these specifications.
The term forged is an industry term used to describe a class of
products included in applicable standards, and does not reference an
exclusive manufacturing process. Forged steel fittings are not
manufactured from casting. Pursuant to the applicable
specifications, subject fittings may also be machined from bar stock
or machined from seamless pipe and tube.
All types of fittings are included in the scope regardless of
nominal pipe size (which may or may not be expressed in inches of
nominal pipe size), pressure rating (usually, but not necessarily
expressed in pounds of pressure/PSI, e.g., 2,000 or 2M; 3,000 or 3M;
6,000 or 6M; 9,000 or 9M), wall thickness, and whether or not heat
treated.
Excluded from this scope are all fittings entirely made of
stainless steel. Also excluded are flanges, butt weld fittings, butt
weld outlets, nipples, and all fittings that have a maximum pressure
rating of 300 pounds of pressure/PSI or less.
Also excluded are fittings certified or made to the following
standards, so long as the fittings are not also manufactured to the
specifications of ASME B16.11, MSS SP-79, MSS SP-83, MSS SP-97, ASTM
A105, ASTM A350, and ASTM A182:
American Petroleum Institute (API) API 5CT, API 5L, or API
11B
Society of Automotive Engineering (SAE) SAE J476, SAE J514,
SAE J516, SAE J517, SAE J518, SAE J1026, SAE J1231, SAE J1453, SAE
J1926, J2044 or SAE AS 35411
Underwriter's Laboratories (UL) certified electrical
conduit fittings
ASTM A153, A536, A576, or A865
Casing Conductor Connectors 16-42 inches in diameter made
to proprietary specifications
Military Specification (MIL) MIL-C-4109F and MIL-F-3541
International Organization for Standardization (ISO)
ISO6150-B
To be excluded from the scope, products must have the
appropriate standard or pressure markings and/or accompanied by
documentation showing product compliance to the applicable standard
or pressure, e.g., ``API 5CT'' mark and/or a mill certification
report.
Subject carbon and alloy forged steel fittings are normally
entered under Harmonized Tariff Schedule of the United States
(HTSUS) 7307.99.1000, 7307.99.3000, 7307.99.5045, and 7307.99.5060.
They also may be entered under HTSUS 7307.92.3010, 7307.92.3030,
7307.92.9000, and 7326.19.0010. The HTSUS subheadings and
specifications are provided for convenience and customs purposes;
the written description of the scope is dispositive.
Appendix II
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Treatment of Galperti and Pegasus
V. Scope Comments
VI. Scope of the Investigation
VII. Application of Facts Available and Use of Adverse Inference
A. Application of Facts Available
B. Application of Facts Available with an Adverse Inference
C. Preliminary Estimated Weighted-Average Dumping Margin Based
on Adverse Facts Available
[[Page 22957]]
D. Corroboration of Secondary Information
VIII. All-Others Rate
IX. Conclusion
[FR Doc. 2018-10548 Filed 5-16-18; 8:45 am]
BILLING CODE 3510-DS-P
