Large Diameter Welded Pipe From the Republic of Korea: Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination, 43651-43653 [2018-18486]
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Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices
Large diameter welded pipe used to
transport oil, gas, or natural gas liquids is
normally produced to the American
Petroleum Institute (API) specification 5L.
Large diameter welded pipe may also be
produced to American Society for Testing
and Materials (ASTM) standards A500, A252,
or A53, or other relevant domestic
specifications, grades and/or standards. Large
diameter welded pipe can be produced to
comparable foreign specifications, grades
and/or standards or to proprietary
specifications, grades and/or standards, or
can be non-graded material. All pipe meeting
the physical description set forth above is
covered by the scope of this investigation,
whether or not produced according to a
particular standard.
Subject merchandise also includes large
diameter welded pipe that has been further
processed in a third country, including but
not limited to coating, painting, notching,
beveling, cutting, punching, welding, or any
other processing that would not otherwise
remove the merchandise from the scope of
the investigation if performed in the country
of manufacture of the in-scope large diameter
welded pipe.
The large diameter welded pipe that is
subject to this investigation is currently
classifiable in the Harmonized Tariff
Schedule of the United States (HTSUS) under
subheadings 7305.11.1030, 7305.11.1060,
7305.11.5000, 7305.12.1030, 7305.12.1060,
7305.12.5000, 7305.19.1030, 7305.19.1060,
7305.19.5000, 7305.31.4000, 7305.31.6010,
7305.31.6090, 7305.39.1000 and
7305.39.5000. While the HTSUS subheadings
are provided for convenience and customs
purposes, the written description of the
scope of this investigation is dispositive.
amozie on DSK3GDR082PROD with NOTICES1
International Trade Administration
[A–580–897]
Large Diameter Welded Pipe From the
Republic of Korea: Preliminary
Determination of Sales at Less Than
Fair Value and Postponement of Final
Determination
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce
(Commerce) preliminarily determines
that large diameter welded pipe (welded
pipe) from the Republic of Korea (Korea)
is being, or is likely to be, sold in the
United States at less than fair value
(LTFV). The period of investigation
(POI) is January 1, 2017, through
December 31, 2017. Interested parties
are invited to comment on this
preliminary determination.
DATES: Applicable August 27, 2018.
FOR FURTHER INFORMATION CONTACT:
Sergio Balbontin, or Jesus Saenz,
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) 482–6478 or
(202) 482–8184, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
Appendix II
List of Topics Discussed in the Preliminary
Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Affiliation and Collapsing
A. Affiliation
B. Collapsing
VI. Discussion of the Methodology
A. Determination of the Comparison
Method
B. Results of the Differential Pricing
Analysis
VII. Date of Sale
VIII. Product Comparisons
IX. Export Price
X. Normal Value
A. Home Market Viability
B. Level of Trade
C. Cost of Production (COP) Analysis
1. Calculation of COP
2. Test of Comparison Market Sales Prices
3. Results of the COP Test
D. Calculation of NV Based on Comparison
Market Prices
E. Calculation of NV Based on Constructed
Value
XI. Currency Conversion
[FR Doc. 2018–18488 Filed 8–24–18; 8:45 am]
BILLING CODE 3510–DS–P
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DEPARTMENT OF COMMERCE
17:51 Aug 24, 2018
Jkt 244001
This preliminary determination is
made in accordance with section 733(b)
of the Tariff Act of 1930, as amended
(the Act). Commerce published the
notice of initiation of this investigation
on February 20, 2018.1 On June 8, 2018,
Commerce postponed the preliminary
determination of this investigation and
the revised deadline is now August 20,
2018.2 For a complete description of the
events that followed the initiation of
this investigation, see the Preliminary
Decision Memorandum.3 A list of topics
included in the Preliminary Decision
Memorandum is included as Appendix
1 See Large Diameter Welded Pipe from Canada,
Greece, India, the People’s Republic of China, the
Republic of Korea, and the Republic of Turkey:
Initiation of Less-Than-Fair-Value Investigations, 83
FR 7154 (February 20, 2018) (Initiation Notice).
2 See Large Diameter Welded Pipe from Canada,
Greece, India, the People’s Republic of China, the
Republic of Korea, and the Republic of Turkey:
Postponement of Preliminary Determinations in the
Less-Than-Fair-Value Investigations, 83 FR 27953
(June 15, 2018).
3 See Memorandum, ‘‘Decision Memorandum for
the Preliminary Determination in the Less-ThanFair-Value Investigation of Large Diameter Welded
Pipe from the Republic of Korea’’ dated
concurrently with, and hereby adopted by, this
notice (Preliminary Decision Memorandum).
PO 00000
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43651
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 electronic versions of
the Preliminary Decision Memorandum
are identical in content.
Scope of the Investigation
The product covered by this
investigation is welded pipe from Korea.
For a complete description of the scope
of this investigation, see Appendix I to
this notice.
Scope Comments
In accordance with the preamble to
Commerce’s regulations,4 the Initiation
Notice set aside a period of time for
parties to raise issues regarding product
coverage (i.e., scope).5 Certain interested
parties commented on the scope of the
investigation as it appeared in the
Initiation Notice. For a summary of the
product coverage comments and
rebuttal responses submitted to the
record for this investigation, and
accompanying discussion and analysis
of all comments timely received, see the
Preliminary Scope Decision
Memorandum.6 Commerce is
preliminarily modifying the scope
language as it appeared in the Initiation
Notice. See the revised scope in
Appendix I.
Methodology
Commerce is conducting this
investigation in accordance with section
731 of the Act. Commerce has
calculated export prices in accordance
with section 772(a) of the Act.
Constructed export prices have been
calculated in accordance with section
772(b) of the Act. Normal value is
calculated in accordance with section
773 of the Act. Furthermore, pursuant to
section 776(a) and (b) of the Act,
Commerce has preliminarily relied
4 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997).
5 See Initiation Notice.
6 See Memorandum, ‘‘Large Diameter Welded
Pipe from Canada, Greece, India, the People’s
Republic of China, the Republic of Korea, and the
Republic of Turkey: Scope Comments Decision
Memorandum for the Preliminary Determinations,’’
dated June 19, 2018 (Preliminary Scope Decision
Memorandum).
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Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices
upon facts otherwise available, with
adverse inferences, for Samkang M&T
Co., Ltd (SKMT) for its failure to
cooperate in this investigation. For a full
description of the methodology
underlying the preliminary
determination, see the Preliminary
Decision Memorandum.
All-Others Rate
Sections 733(d)(1)(A)(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
weighted-average 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 this
investigation, Commerce calculated
estimated weighted-average dumping
margins for SeAH Steel Corporation
(SeAH) and Hyundai RB Co., Ltd.
(Hyundai RB) that are not zero, de
minimis, or based entirely on facts
otherwise available. Commerce
calculated the all-others’ rate as the
weighted-average of these margins,
using the respondents’ publicly-ranged
sales data.7
Preliminary Determination
amozie on DSK3GDR082PROD with NOTICES1
Commerce preliminarily determines
that the following estimated weightedaverage dumping margins exist:
7 With two respondents under examination,
Commerce normally calculates (A) a weightedaverage of the estimated weighted-average dumping
margins calculated for the examined respondents;
(B) a simple average of the estimated weightedaverage dumping margins calculated for the
examined respondents; and (C) a weighted-average
of the estimated weighted-average dumping margins
calculated for the examined respondents using each
company’s publicly-ranged U.S. sales values for the
merchandise under consideration. Commerce then
compares (B) and (C) to (A) and selects the rate
closest to (A) as the most appropriate rate for all
other producers and exporters. See Ball Bearings
and Parts Thereof from France, Germany, Italy,
Japan, and the United Kingdom: Final Results of
Antidumping Duty Administrative Reviews, Final
Results of Changed-Circumstances Review, and
Revocation of an Order in Part, 75 FR 53661, 53663
(September 1, 2010). As a result of this comparison,
Commerce based the all-others rate on the
weighted-average of the preliminary dumping
margins calculated for the examined respondents
using the publicly-ranged sales data. For a complete
analysis of the data, see the All-Others’ Rate
Calculation Memorandum, dated August 20, 2018.
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17:51 Aug 24, 2018
Jkt 244001
Estimated
weightedaverage
dumping
margin
(percent)
Exporter/producer
Hyundai RB Co., Ltd ............
SeAH Steel Corporation .......
Samkang M&T Co., Ltd ........
All-Others ..............................
14.97
22.21
22.21
20.13
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 entries of subject
merchandise, as described in Appendix
I, entered, or withdrawn from
warehouse, for consumption on or after
the date of publication of this notice in
the Federal Register. Further, 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 or the estimated allothers rate, as follows: (1) The cash
deposit rate for the respondents listed
above will be equal to the companyspecific 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 weightedaverage 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.
Commerce normally adjusts cash
deposits for estimated antidumping
duties by the amount of export subsidies
countervailed in a companion
countervailing duty (CVD) proceeding,
when CVD provisional measures are in
effect. Accordingly, in cases where
Commerce preliminarily makes an
affirmative determination for
countervailable export subsidies,
Commerce offsets the estimated
weighted-average dumping margin by
the appropriate CVD rate. However, we
made no adjustment to the weightedaverage dumping margin for cash
deposit purposes in this case because
we found no measurable export
subsidies in the companion CVD
proceeding.
Disclosure
Commerce intends to disclose its
calculations and analysis to interested
parties in this preliminary
determination within five days of its
public announcement or, if there is no
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public announcement, within five days
of the date of publication of this notice
in accordance with 19 CFR 351.224(b).
Verification
As provided in section 782(i)(1) of the
Act, Commerce intends to verify the
information relied upon in making its
final determination.
Public Comment
Case briefs or other written comments
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. Rebuttal briefs,
limited to issues raised in case briefs,
may be submitted no later than five days
after the deadline date for case briefs.8
Pursuant to 19 CFR 351.309(c)(2) and
(d)(2), parties who submit case briefs or
rebuttal briefs in this investigation 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.
Additionally, case briefs regarding
scope issues may be submitted within
10 days after the date of this notice in
the Federal Register. Rebuttal briefs
regarding scope issues, limited to those
issues in the scope case briefs, may be
submitted no later than five days after
the deadline date for scope case briefs.
All scope case and rebuttal briefs must
be filed identically on the records of this
investigation and the concurrent LTFV
and CVD investigations of welded pipe.
Pursuant to 19 CFR 351.310(c),
interested parties who wish to request a
hearing, limited to issues raised in the
case and rebuttal briefs, must submit a
written request to the Assistant
Secretary for Enforcement and
Compliance, U.S. Department of
Commerce, 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, whether any
participant is a foreign national, 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 the
date, time, and location of the hearing
two days before the scheduled date.
8 See 19 CFR 351.309(d)(1) and (2); see also 19
CFR 351.303 (for general filing requirements).
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Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices
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. The final
determination may be postponed if, in
the event of an affirmative preliminary
determination, exporters, who account
for a significant proportion of exports of
subject merchandise, request a
postponement, or, in the event of a
negative preliminary determination,
petitioners request a postponement.
Section 351.210(e)(2) of Commerce’s
regulations 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 August 1 and 3, 2015, pursuant to
19 CFR 351.210(e), Hyundai RB and
SeAH, respectively, requested that
Commerce postpone the final
determination and that provisional
measures be extended to a period not to
exceed six months.9 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 exporters
account 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.
amozie on DSK3GDR082PROD with NOTICES1
International Trade Commission
Notification
In accordance with section 733(f) of
the Act, Commerce will notify the
International Trade Commission (ITC) of
its preliminary determination. 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.
9 See Hyundai RB’s Letter, ‘‘Large Diameter
Welded Pipe from the Republic of Korea: Request
to Extend the Deadline for the Final
Determination,’’ dated August 1, 2018; and SeAH’s
Letter, ‘‘Antidumping Duty Investigation of Large
Diameter Welded Pipe from Korea—Request for
Extension of Final Determination,’’ dated August 3,
2018.
VerDate Sep<11>2014
17:51 Aug 24, 2018
Jkt 244001
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: August 20, 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 welded carbon and alloy steel
pipe (including stainless steel pipe), more
than 406.4 mm (16 inches) in nominal
outside diameter (large diameter welded
pipe), regardless of wall thickness, length,
surface finish, grade, end finish, or
stenciling. Large diameter welded pipe may
be used to transport oil, gas, slurry, steam, or
other fluids, liquids, or gases. It may also be
used for structural purposes, including, but
not limited to, piling. Specifically, not
included is large diameter welded pipe
produced only to specifications of the
American Water Works Association (AWWA)
for water and sewage pipe.
Large diameter welded pipe used to
transport oil, gas, or natural gas liquids is
normally produced to the American
Petroleum Institute (API) specification 5L.
Large diameter welded pipe may also be
produced to American Society for Testing
and Materials (ASTM) standards A500, A252,
or A53, or other relevant domestic
specifications, grades and/or standards. Large
diameter welded pipe can be produced to
comparable foreign specifications, grades
and/or standards or to proprietary
specifications, grades and/or standards, or
can be non-graded material. All pipe meeting
the physical description set forth above is
covered by the scope of this investigation,
whether or not produced according to a
particular standard.
Subject merchandise also includes large
diameter welded pipe that has been further
processed in a third country, including but
not limited to coating, painting, notching,
beveling, cutting, punching, welding, or any
other processing that would not otherwise
remove the merchandise from the scope of
the investigation if performed in the country
of manufacture of the in-scope large diameter
welded pipe.
Excluded from the scope are any products
covered by the existing antidumping duty
order on welded line pipe from the Republic
of Korea. See Welded Line Pipe from the
Republic of Korea and the Republic of
Turkey: Antidumping Duty Orders, 80 FR
75056 (December 1, 2015). Also excluded
from the scope are any products covered by
the existing antidumping order on welded
ASTM A–312 stainless steel pipe from Korea.
See Welded ASTM A–312 Stainless Steel
Pipe from South Korea: Antidumping Duty
Order, 57 FR 62300 (December 30, 1992).
The large diameter welded pipe that is
subject to this investigation is currently
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43653
classifiable in the Harmonized Tariff
Schedule of the United States (HTSUS) under
subheadings 7305.11.1030, 7305.11.1060,
7305.11.5000, 7305.12.1030, 7305.12.1060,
7305.12.5000, 7305.19.1030, 7305.19.1060,
7305.19.5000, 7305.31.4000, 7305.31.6010,
7305.31.6090, 7305.39.1000 and
7305.39.5000. While the 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 Discussed in the Preliminary
Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Application of Facts Available and Use of
Adverse Inferences
A. Application of Facts Available
B. Use of Adverse Inference
C. Preliminary Estimated WeightedAverage Dumping Margins Based on
AFA
D. Selection and Corroboration of the AFA
Rate
VI. Discussion of the Methodology
A. Comparisons to Fair Value
B. Determination of Comparison Method
C. Results of the Differential Pricing
Analysis
VII. Date of Sale
VIII. Product Comparisons
IX. Export Price and Constructed Export
Price
X. Normal Value
A. Particular Market Situation
1. Petitioners’ Allegation
2. Analysis
B. Home Market Viability and Selection of
Comparison Market
C. Affiliated-Party Transactions and Arm’sLength Test
D. Affiliation
E. Level of Trade
F. Cost of Production Analysis
1. Calculation of COP
2. Test of Comparison Market Sales Prices
3. Results of the COP Test
G. Calculation of NV Based on Comparison
Market Prices
XI. Currency Conversion
XII. Conclusion
[FR Doc. 2018–18486 Filed 8–24–18; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–533–881]
Large Diameter Welded Pipe From
India: 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 large diameter welded pipe (welded
AGENCY:
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27AUN1
]]>Agencies
[Federal Register Volume 83, Number 166 (Monday, August 27, 2018)]
[Notices]
[Pages 43651-43653]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-18486]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-580-897]
Large Diameter Welded Pipe From the Republic of Korea:
Preliminary Determination of Sales at Less Than Fair Value and
Postponement of Final Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines
that large diameter welded pipe (welded pipe) from the Republic of
Korea (Korea) is being, or is likely to be, sold in the United States
at less than fair value (LTFV). The period of investigation (POI) is
January 1, 2017, through December 31, 2017. Interested parties are
invited to comment on this preliminary determination.
DATES: Applicable August 27, 2018.
FOR FURTHER INFORMATION CONTACT: Sergio Balbontin, or Jesus Saenz, 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) 482-6478 or (202)
482-8184, 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
published the notice of initiation of this investigation on February
20, 2018.\1\ On June 8, 2018, Commerce postponed the preliminary
determination of this investigation and the revised deadline is now
August 20, 2018.\2\ For a complete description of the events that
followed the initiation of this investigation, see the Preliminary
Decision Memorandum.\3\ 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 electronic versions of the
Preliminary Decision Memorandum are identical in content.
---------------------------------------------------------------------------
\1\ See Large Diameter Welded Pipe from Canada, Greece, India,
the People's Republic of China, the Republic of Korea, and the
Republic of Turkey: Initiation of Less-Than-Fair-Value
Investigations, 83 FR 7154 (February 20, 2018) (Initiation Notice).
\2\ See Large Diameter Welded Pipe from Canada, Greece, India,
the People's Republic of China, the Republic of Korea, and the
Republic of Turkey: Postponement of Preliminary Determinations in
the Less-Than-Fair-Value Investigations, 83 FR 27953 (June 15,
2018).
\3\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination in the Less-Than-Fair-Value Investigation of Large
Diameter Welded Pipe from the Republic of Korea'' dated concurrently
with, and hereby adopted by, this notice (Preliminary Decision
Memorandum).
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Scope of the Investigation
The product covered by this investigation is welded pipe from
Korea. For a complete description of the scope of this investigation,
see Appendix I to this notice.
Scope Comments
In accordance with the preamble to Commerce's regulations,\4\ the
Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage (i.e., scope).\5\ Certain interested
parties commented on the scope of the investigation as it appeared in
the Initiation Notice. For a summary of the product coverage comments
and rebuttal responses submitted to the record for this investigation,
and accompanying discussion and analysis of all comments timely
received, see the Preliminary Scope Decision Memorandum.\6\ Commerce is
preliminarily modifying the scope language as it appeared in the
Initiation Notice. See the revised scope in Appendix I.
---------------------------------------------------------------------------
\4\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997).
\5\ See Initiation Notice.
\6\ See Memorandum, ``Large Diameter Welded Pipe from Canada,
Greece, India, the People's Republic of China, the Republic of
Korea, and the Republic of Turkey: Scope Comments Decision
Memorandum for the Preliminary Determinations,'' dated June 19, 2018
(Preliminary Scope Decision Memorandum).
---------------------------------------------------------------------------
Methodology
Commerce is conducting this investigation in accordance with
section 731 of the Act. Commerce has calculated export prices in
accordance with section 772(a) of the Act. Constructed export prices
have been calculated in accordance with section 772(b) of the Act.
Normal value is calculated in accordance with section 773 of the Act.
Furthermore, pursuant to section 776(a) and (b) of the Act, Commerce
has preliminarily relied
[[Page 43652]]
upon facts otherwise available, with adverse inferences, for Samkang
M&T Co., Ltd (SKMT) for its failure to cooperate in this investigation.
For a full description of the methodology underlying the preliminary
determination, see the Preliminary Decision Memorandum.
All-Others Rate
Sections 733(d)(1)(A)(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 weighted-average 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 this investigation, Commerce calculated
estimated weighted-average dumping margins for SeAH Steel Corporation
(SeAH) and Hyundai RB Co., Ltd. (Hyundai RB) that are not zero, de
minimis, or based entirely on facts otherwise available. Commerce
calculated the all-others' rate as the weighted-average of these
margins, using the respondents' publicly-ranged sales data.\7\
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\7\ With two respondents under examination, Commerce normally
calculates (A) a weighted-average of the estimated weighted-average
dumping margins calculated for the examined respondents; (B) a
simple average of the estimated weighted-average dumping margins
calculated for the examined respondents; and (C) a weighted-average
of the estimated weighted-average dumping margins calculated for the
examined respondents using each company's publicly-ranged U.S. sales
values for the merchandise under consideration. Commerce then
compares (B) and (C) to (A) and selects the rate closest to (A) as
the most appropriate rate for all other producers and exporters. See
Ball Bearings and Parts Thereof from France, Germany, Italy, Japan,
and the United Kingdom: Final Results of Antidumping Duty
Administrative Reviews, Final Results of Changed-Circumstances
Review, and Revocation of an Order in Part, 75 FR 53661, 53663
(September 1, 2010). As a result of this comparison, Commerce based
the all-others rate on the weighted-average of the preliminary
dumping margins calculated for the examined respondents using the
publicly-ranged sales data. For a complete analysis of the data, see
the All-Others' Rate Calculation Memorandum, dated August 20, 2018.
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Preliminary Determination
Commerce preliminarily determines that the following estimated
weighted-average dumping margins exist:
------------------------------------------------------------------------
Estimated
weighted-
Exporter/producer average
dumping margin
(percent)
------------------------------------------------------------------------
Hyundai RB Co., Ltd..................................... 14.97
SeAH Steel Corporation.................................. 22.21
Samkang M&T Co., Ltd.................................... 22.21
All-Others.............................................. 20.13
------------------------------------------------------------------------
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 entries of subject merchandise, as described in Appendix I, entered,
or withdrawn from warehouse, for consumption on or after the date of
publication of this notice in the Federal Register. Further, 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 or the estimated all-others rate, 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.
Commerce normally adjusts cash deposits for estimated antidumping
duties by the amount of export subsidies countervailed in a companion
countervailing duty (CVD) proceeding, when CVD provisional measures are
in effect. Accordingly, in cases where Commerce preliminarily makes an
affirmative determination for countervailable export subsidies,
Commerce offsets the estimated weighted-average dumping margin by the
appropriate CVD rate. However, we made no adjustment to the weighted-
average dumping margin for cash deposit purposes in this case because
we found no measurable export subsidies in the companion CVD
proceeding.
Disclosure
Commerce intends to disclose its calculations and analysis to
interested parties in this preliminary determination within five days
of its public announcement or, if there is no public announcement,
within five days of the date of publication of this notice in
accordance with 19 CFR 351.224(b).
Verification
As provided in section 782(i)(1) of the Act, Commerce intends to
verify the information relied upon in making its final determination.
Public Comment
Case briefs or other written comments 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. Rebuttal briefs,
limited to issues raised in case briefs, may be submitted no later than
five days after the deadline date for case briefs.\8\ Pursuant to 19
CFR 351.309(c)(2) and (d)(2), parties who submit case briefs or
rebuttal briefs in this investigation 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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\8\ See 19 CFR 351.309(d)(1) and (2); 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 this notice in the Federal Register.
Rebuttal briefs regarding scope issues, limited to those issues in the
scope case briefs, may be submitted no later than five days after the
deadline date for scope case briefs. All scope case and rebuttal briefs
must be filed identically on the records of this investigation and the
concurrent LTFV and CVD investigations of welded pipe.
Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, limited to issues raised in the case and rebuttal
briefs, must submit a written request to the Assistant Secretary for
Enforcement and Compliance, U.S. Department of Commerce, 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, whether any participant is a foreign national, 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 the date, time, and
location of the hearing two days before the scheduled date.
[[Page 43653]]
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. The final determination
may be postponed if, in the event of an affirmative preliminary
determination, exporters, who account for a significant proportion of
exports of subject merchandise, request a postponement, or, in the
event of a negative preliminary determination, petitioners request a
postponement. Section 351.210(e)(2) of Commerce's regulations 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 August 1 and 3, 2015, pursuant to 19 CFR 351.210(e), Hyundai RB
and SeAH, respectively, requested that Commerce postpone the final
determination and that provisional measures be extended to a period not
to exceed six months.\9\ 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 exporters account 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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\9\ See Hyundai RB's Letter, ``Large Diameter Welded Pipe from
the Republic of Korea: Request to Extend the Deadline for the Final
Determination,'' dated August 1, 2018; and SeAH's Letter,
``Antidumping Duty Investigation of Large Diameter Welded Pipe from
Korea--Request for Extension of Final Determination,'' dated August
3, 2018.
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International Trade Commission Notification
In accordance with section 733(f) of the Act, Commerce will notify
the International Trade Commission (ITC) of its preliminary
determination. 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: August 20, 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 welded carbon
and alloy steel pipe (including stainless steel pipe), more than
406.4 mm (16 inches) in nominal outside diameter (large diameter
welded pipe), regardless of wall thickness, length, surface finish,
grade, end finish, or stenciling. Large diameter welded pipe may be
used to transport oil, gas, slurry, steam, or other fluids, liquids,
or gases. It may also be used for structural purposes, including,
but not limited to, piling. Specifically, not included is large
diameter welded pipe produced only to specifications of the American
Water Works Association (AWWA) for water and sewage pipe.
Large diameter welded pipe used to transport oil, gas, or
natural gas liquids is normally produced to the American Petroleum
Institute (API) specification 5L. Large diameter welded pipe may
also be produced to American Society for Testing and Materials
(ASTM) standards A500, A252, or A53, or other relevant domestic
specifications, grades and/or standards. Large diameter welded pipe
can be produced to comparable foreign specifications, grades and/or
standards or to proprietary specifications, grades and/or standards,
or can be non-graded material. All pipe meeting the physical
description set forth above is covered by the scope of this
investigation, whether or not produced according to a particular
standard.
Subject merchandise also includes large diameter welded pipe
that has been further processed in a third country, including but
not limited to coating, painting, notching, beveling, cutting,
punching, welding, or any other processing that would not otherwise
remove the merchandise from the scope of the investigation if
performed in the country of manufacture of the in-scope large
diameter welded pipe.
Excluded from the scope are any products covered by the existing
antidumping duty order on welded line pipe from the Republic of
Korea. See Welded Line Pipe from the Republic of Korea and the
Republic of Turkey: Antidumping Duty Orders, 80 FR 75056 (December
1, 2015). Also excluded from the scope are any products covered by
the existing antidumping order on welded ASTM A-312 stainless steel
pipe from Korea. See Welded ASTM A-312 Stainless Steel Pipe from
South Korea: Antidumping Duty Order, 57 FR 62300 (December 30,
1992).
The large diameter welded pipe that is subject to this
investigation is currently classifiable in the Harmonized Tariff
Schedule of the United States (HTSUS) under subheadings
7305.11.1030, 7305.11.1060, 7305.11.5000, 7305.12.1030,
7305.12.1060, 7305.12.5000, 7305.19.1030, 7305.19.1060,
7305.19.5000, 7305.31.4000, 7305.31.6010, 7305.31.6090, 7305.39.1000
and 7305.39.5000. While the 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 Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Application of Facts Available and Use of Adverse Inferences
A. Application of Facts Available
B. Use of Adverse Inference
C. Preliminary Estimated Weighted-Average Dumping Margins Based
on AFA
D. Selection and Corroboration of the AFA Rate
VI. Discussion of the Methodology
A. Comparisons to Fair Value
B. Determination of Comparison Method
C. Results of the Differential Pricing Analysis
VII. Date of Sale
VIII. Product Comparisons
IX. Export Price and Constructed Export Price
X. Normal Value
A. Particular Market Situation
1. Petitioners' Allegation
2. Analysis
B. Home Market Viability and Selection of Comparison Market
C. Affiliated-Party Transactions and Arm's-Length Test
D. Affiliation
E. Level of Trade
F. Cost of Production Analysis
1. Calculation of COP
2. Test of Comparison Market Sales Prices
3. Results of the COP Test
G. Calculation of NV Based on Comparison Market Prices
XI. Currency Conversion
XII. Conclusion
[FR Doc. 2018-18486 Filed 8-24-18; 8:45 am]
BILLING CODE 3510-DS-P
