Large Diameter Welded Pipe From the Republic of Turkey: Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination, 43646-43649 [2018-18490]

Download as PDF 43646 Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices 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. Appendix II List of Topics Discussed in the Preliminary Decision Memorandum I. Summary II. Background III. Period of Investigation IV. Scope Comments V. Discussion of the Methodology A. Non-Market Economy Country B. China-Wide Entity C. Application of Facts Available and Adverse Inferences 1. Application of Facts Available 2. Application of Facts Available With an Adverse Inference 3. Selection and Corroboration of the AFA Rate VI. Adjustment Under Section 777A(f) of the Act VII. Adjustments to Cash Deposit Rates for Export Subsidies VIII. Conclusion [FR Doc. 2018–18489 Filed 8–24–18; 8:45 am] amozie on DSK3GDR082PROD with NOTICES1 BILLING CODE 3510–DS–P VerDate Sep<11>2014 17:51 Aug 24, 2018 Jkt 244001 DEPARTMENT OF COMMERCE International Trade Administration [A–489–833] Large Diameter Welded Pipe From the Republic of Turkey: 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 Turkey (Turkey) 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: Rebecca Janz or William Miller, AD/ CVD Operations, Office II, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–2972 or (202) 482–3906, respectively. SUPPLEMENTARY INFORMATION: AGENCY: 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 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 Turkey,’’ dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum). PO 00000 Frm 00013 Fmt 4703 Sfmt 4703 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 Turkey. For a complete description of the scope of this investigation, see Appendix I. 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 revised scope in Appendix I to this notice. 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. Normal value (NV) is calculated in accordance with section 773 of the Act. For a full description of the methodology underlying the preliminary determination, see the Preliminary Decision Memorandum. 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). E:\FR\FM\27AUN1.SGM 27AUN1 43647 Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices 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 Borusan Mannesmann Boru Sanayi ve Ticaret A.S. (Borusan) and HDM Celik Boru Sanayi ve Ticaret A.S. (HDM Celik) that are not zero, de minimis, or based entirely on facts otherwise available. 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 Commerce calculated the all-others’ rate using a weighted average of the estimated weighted-average dumping margins calculated for the examined respondents using each company’s publicly-ranged values for the merchandise under consideration.7 Preliminary Determination Commerce preliminarily determines that the following estimated weightedaverage dumping margins exist: Estimated weightedaverage dumping margin (percent) Exporter/producer amozie on DSK3GDR082PROD with NOTICES1 Borusan Mannesmann Boru Sanayi ve Ticaret A.S ............................................................................................... HDM Celik Boru Sanayi ve Ticaret A.S 9 ................................................................................................................ All-Others ................................................................................................................................................................. 5.29 3.45 4.83 Cash deposit rate (adjusted for subsidy offset(s)) (percent) 8 4.63 10 2.45 4.07 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, adjusted for export subsidies, as follows: (1) The cash deposit rate for the respondents listed above will be equal to the companyspecific estimated weighted-average dumping margins, adjusted for export subsidies, 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, adjusted for export subsidies, 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 weightedaverage dumping margin, adjusted for export subsidies. Commerce normally adjusts the estimated weighted-average dumping margin by the amount of export subsidies countervailed in a companion countervailing duty (CVD) proceeding, when CVD provisional measures are in effect. Accordingly, where Commerce preliminarily made an affirmative determination for countervailable export subsidies,11 Commerce has offset the estimated weighted-average dumping margin by the appropriate CVD rate. Any such adjusted rates may be found in the Preliminary Determination section above. Should provisional measures in the companion CVD investigation expire prior to the expiration of provisional measures in this LTFV investigation, Commerce will direct CBP to begin collecting estimated antidumping duty cash deposits unadjusted for countervailed export subsidies at the time that the provisional CVD measures expire. These suspension of liquidation instructions will remain in effect until further notice. 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. sale 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 complete publicly ranged sales data was available, Commerce based the allothers rate on the publicly ranged sales data of the mandatory respondents. For a complete analysis of the data, please see the All-Others’ Rate Calculation Memorandum. 8 See Memorandum, ‘‘Preliminary Determination Calculations for Borusan Mannesmann Boru Sanayi ve Ticaret A.S. (Borusan),’’ dated concurrently with this notice. 9 On October 31, 2017, HDM Celik acquired HDM Spiral Kaynakli Celik Boru A.S. (HDM Spiral) and HDM Spiral ceased to exist. See HDM Celik’s May 7, 2018 Supplemental Section A Questionnaire Response, at Exhibit SA–4. Further, on July 6, 2018, Commerce determined to collapse HDM Celik and HDM Spiral as treat them as a single entity. See Memorandum, ‘‘Less-Than-Fair Value Investigation of Large Diameter Welded Pipe (Welded Pipe) from the Republic of Turkey (Turkey): Preliminary Affiliation and Collapsing of HDM Spiral Kaynakli Celik Boru A.S. and HDM Celik Boru Sanayi ve Ticaret A.S.,’’ dated July 6, 2018. 10 See Memorandum, ‘‘Preliminary Determination Calculations for HDM Celik Boru Sanayi ve Ticaret AS,’’ dated concurrently with this notice. 11 See Preliminary Decision Memorandum. 12 See 19 CFR 351.309; see also 19 CFR 351.303 (for general filing requirements). VerDate Sep<11>2014 17:51 Aug 24, 2018 Jkt 244001 PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 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, unless the Secretary alters the time limit. Rebuttal briefs, limited to issues raised in case briefs, may be submitted no later than five days after the deadline date for case briefs.12 E:\FR\FM\27AUN1.SGM 27AUN1 43648 Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices amozie on DSK3GDR082PROD with NOTICES1 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. 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. 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 July 25 and 29, 2018, pursuant to 19 CFR 351.210(e), Borusan and HDM Celik requested that Commerce postpone the final determination and VerDate Sep<11>2014 17:51 Aug 24, 2018 Jkt 244001 that provisional measures be extended to a period not to exceed six months.13 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. 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 13 See Borusan’s Letter re: Large Diameter Welded Pipe from Turkey. Case No. A–489–833: Request to Postpone Final Determination, dated July 25, 2018; and HDM’s Letter re: Large Diameter Welded Pipe from Turkey: HDM Celik Extension Request for the Postponement of the Final Determination, dated July 29, 2018. PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 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 Turkey. See Welded Line Pipe from the Republic of Korea and the Republic of Turkey: Antidumping Duty Orders, 80 FR 75056 (December 1, 2015). 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. Discussion of the Methodology A. Determination of the Comparison Method B. Results of the Differential Pricing Analysis VI. Date of Sale VII. Product Comparisons VIII. Export Price IX. Normal Value A. Particular Market Situation B. Home Market Viability C. Level of Trade D. Cost of Production (COP) Analysis 1. Calculation of COP 2. Test of Comparison Market Sales Prices 3. Results of the COP Test E. Calculation of NV Based on Comparison Market Prices E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices X. Currency Conversion XI. Adjustments to Cash Deposit Rates for Export Subsidies XII. Conclusion [FR Doc. 2018–18490 Filed 8–24–18; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–122–863] Large Diameter Welded Pipe From Canada: Preliminary 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 large diameter welded pipe (welded pipe) from Canada 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: Susan S. Pulongbarit or Annathea Cook, AD/CVD Operations, Office V, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–4031or (202) 482–0250, respectively. SUPPLEMENTARY INFORMATION: AGENCY: Background amozie on DSK3GDR082PROD with NOTICES1 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; 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 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). VerDate Sep<11>2014 17:51 Aug 24, 2018 Jkt 244001 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. Scope of the Investigation The product covered by this investigation is welded pipe from Canada. For a complete description of the scope of this investigation, see Appendix I. Scope Comments In accordance with the preamble to Commerce’s regulations,4 the Initiation Notice set aside a period 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, as well as additional language proposed by Commerce. 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 to this notice. Methodology Commerce is conducting this investigation in accordance with section 731 of the Act. Commerce has 3 See Memorandum, ‘‘Decision Memorandum for the Preliminary Determination in the Less-ThanFair-Value Investigation of Large Diameter Welded Pipe from Canada’’ dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum). 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). PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 43649 calculated export prices in accordance with section 772(a) of the Act. Normal value (NV) is calculated in accordance with section 773 of the Act. For a full description of the methodology underlying the preliminary determination, see the Preliminary Decision Memorandum. 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. Commerce calculated an individual estimated weighted-average dumping margin for Evraz Inc. NA (Evraz),7 the only individually examined exporter/ producer in this investigation. Because the only individually calculated dumping margin is not zero, de minimis, or based entirely on facts otherwise available, the estimated weighted-average dumping margin calculated for Evraz is the margin assigned to all-other producers and exporters, pursuant to section 735(c)(5)(A) of the Act. Preliminary Determination Commerce preliminarily determines that the following estimated weightedaverage dumping margins exist: Exporter/producer Evraz Inc. NA 8 ..................... All-Others .............................. Estimated weightedaverage dumping margin (percent) 24.38 24.38 Suspension of Liquidation In accordance with section 733(d)(2) of the Act, Commerce will direct U.S. 7 While Commerce listed the name Evraz Inc. in its respondent selection memo based on U.S. Customs Border and Border Protection data, following the receipt of responses from Evraz, we note that Evraz’s formal name is Evraz Inc. NA. See Memorandum, ‘‘Less-Than-Fair-Value Invstigation of Large Diameter Welded Pipe from Canada: Respondent Selection,’’ dated March 23, 2018. 8 Commerce preliminarily determines that Evraz Inc. NA, Evraz Inc. NA Canada, and the Canadian National Steel Corporation are a single entity. See Preliminary Decision Memorandum at ‘‘Affiliation and Collapsing.’’ E:\FR\FM\27AUN1.SGM 27AUN1

Agencies

[Federal Register Volume 83, Number 166 (Monday, August 27, 2018)]
[Notices]
[Pages 43646-43649]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-18490]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-489-833]


Large Diameter Welded Pipe From the Republic of Turkey: 
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 
Turkey (Turkey) 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: Rebecca Janz or William Miller, AD/CVD 
Operations, Office II, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-2972 or (202) 482-3906, 
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 Turkey,'' 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 
Turkey. For a complete description of the scope of this investigation, 
see Appendix I.

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 revised scope in Appendix I to this notice.
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    \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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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. Normal value (NV) is 
calculated in accordance with section 773 of the Act. For a full 
description of the methodology underlying the preliminary 
determination, see the Preliminary Decision Memorandum.

[[Page 43647]]

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 Borusan Mannesmann Boru Sanayi ve Ticaret 
A.S. (Borusan) and HDM Celik Boru Sanayi ve Ticaret A.S. (HDM Celik) 
that are not zero, de minimis, or based entirely on facts otherwise 
available. Commerce calculated the all-others' rate using a weighted 
average of the estimated weighted-average dumping margins calculated 
for the examined respondents using each company's publicly-ranged 
values for the merchandise under consideration.\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. sale 
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 complete publicly ranged sales data was 
available, Commerce based the all-others rate on the publicly ranged 
sales data of the mandatory respondents. For a complete analysis of 
the data, please see the All-Others' Rate Calculation Memorandum.
---------------------------------------------------------------------------

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                             Estimated     Cash deposit
                                             weighted-    rate (adjusted
            Exporter/producer                 average       for subsidy
                                          dumping margin    offset(s))
                                             (percent)       (percent)
------------------------------------------------------------------------
Borusan Mannesmann Boru Sanayi ve                   5.29        \8\ 4.63
 Ticaret A.S............................
HDM Celik Boru Sanayi ve Ticaret A.S \9\            3.45       \10\ 2.45
All-Others..............................            4.83            4.07
------------------------------------------------------------------------

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, adjusted for 
export subsidies, as follows: (1) The cash deposit rate for the 
respondents listed above will be equal to the company-specific 
estimated weighted-average dumping margins, adjusted for export 
subsidies, 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, adjusted for export 
subsidies, 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, adjusted for export subsidies.
---------------------------------------------------------------------------

    \8\ See Memorandum, ``Preliminary Determination Calculations for 
Borusan Mannesmann Boru Sanayi ve Ticaret A.S. (Borusan),'' dated 
concurrently with this notice.
    \9\ On October 31, 2017, HDM Celik acquired HDM Spiral Kaynakli 
Celik Boru A.S. (HDM Spiral) and HDM Spiral ceased to exist. See HDM 
Celik's May 7, 2018 Supplemental Section A Questionnaire Response, 
at Exhibit SA-4. Further, on July 6, 2018, Commerce determined to 
collapse HDM Celik and HDM Spiral as treat them as a single entity. 
See Memorandum, ``Less-Than-Fair Value Investigation of Large 
Diameter Welded Pipe (Welded Pipe) from the Republic of Turkey 
(Turkey): Preliminary Affiliation and Collapsing of HDM Spiral 
Kaynakli Celik Boru A.S. and HDM Celik Boru Sanayi ve Ticaret 
A.S.,'' dated July 6, 2018.
    \10\ See Memorandum, ``Preliminary Determination Calculations 
for HDM Celik Boru Sanayi ve Ticaret AS,'' dated concurrently with 
this notice.
---------------------------------------------------------------------------

    Commerce normally adjusts the estimated weighted-average dumping 
margin by the amount of export subsidies countervailed in a companion 
countervailing duty (CVD) proceeding, when CVD provisional measures are 
in effect. Accordingly, where Commerce preliminarily made an 
affirmative determination for countervailable export subsidies,\11\ 
Commerce has offset the estimated weighted-average dumping margin by 
the appropriate CVD rate. Any such adjusted rates may be found in the 
Preliminary Determination section above.
---------------------------------------------------------------------------

    \11\ See Preliminary Decision Memorandum.
---------------------------------------------------------------------------

    Should provisional measures in the companion CVD investigation 
expire prior to the expiration of provisional measures in this LTFV 
investigation, Commerce will direct CBP to begin collecting estimated 
antidumping duty cash deposits unadjusted for countervailed export 
subsidies at the time that the provisional CVD measures expire. These 
suspension of liquidation instructions will remain in effect until 
further notice.

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, unless the 
Secretary alters the time limit. Rebuttal briefs, limited to issues 
raised in case briefs, may be submitted no later than five days after 
the deadline date for case briefs.\12\

[[Page 43648]]

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.
---------------------------------------------------------------------------

    \12\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
---------------------------------------------------------------------------

    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.

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. 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 July 25 and 29, 2018, pursuant to 19 CFR 351.210(e), Borusan and 
HDM Celik requested that Commerce postpone the final determination and 
that provisional measures be extended to a period not to exceed six 
months.\13\ 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.
---------------------------------------------------------------------------

    \13\ See Borusan's Letter re: Large Diameter Welded Pipe from 
Turkey. Case No. A-489-833: Request to Postpone Final Determination, 
dated July 25, 2018; and HDM's Letter re: Large Diameter Welded Pipe 
from Turkey: HDM Celik Extension Request for the Postponement of the 
Final Determination, dated July 29, 2018.
---------------------------------------------------------------------------

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 
Turkey. See Welded Line Pipe from the Republic of Korea and the 
Republic of Turkey: Antidumping Duty Orders, 80 FR 75056 (December 
1, 2015).
    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. Discussion of the Methodology
    A. Determination of the Comparison Method
    B. Results of the Differential Pricing Analysis
VI. Date of Sale
VII. Product Comparisons
VIII. Export Price
IX. Normal Value
    A. Particular Market Situation
    B. Home Market Viability
    C. Level of Trade
    D. Cost of Production (COP) Analysis
    1. Calculation of COP
    2. Test of Comparison Market Sales Prices
    3. Results of the COP Test
    E. Calculation of NV Based on Comparison Market Prices

[[Page 43649]]

X. Currency Conversion
XI. Adjustments to Cash Deposit Rates for Export Subsidies
XII. Conclusion

[FR Doc. 2018-18490 Filed 8-24-18; 8:45 am]
 BILLING CODE 3510-DS-P
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