Cast Iron Soil Pipe Fittings From the People's Republic of China: Initiation and Preliminary Results of Changed Circumstances Reviews, 64263-64265 [2019-25263]
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Federal Register / Vol. 84, No. 225 / Thursday, November 21, 2019 / Notices
Dated: November 15, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and
Compliance.
Appendix
List of Topics Discussed in the Issues and
Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Changes Since the Preliminary Results
V. Discussion of the Issues
Comment 1: Application of Adverse Facts
Available (AFA) to Synthos Dwory
VI. Recommendation
[FR Doc. 2019–25261 Filed 11–20–19; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–062, C–570–063]
Cast Iron Soil Pipe Fittings From the
People’s Republic of China: Initiation
and Preliminary Results of Changed
Circumstances Reviews
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
AGENCY:
In response to a request for
changed circumstances reviews (CCRs),
the Department of Commerce
(Commerce) is initiating CCRs of the
antidumping duty (AD) and
countervailing duty (CVD) orders on
cast iron soil pipe fittings from the
People’s Republic of China (China). We
have preliminarily determined that
Wor-Biz Industrial Product Co., Ltd.
(Anhui) (Wor-Biz Industrial) is the
successor-in-interest to Wor-Biz Trading
Co., Ltd. (Anhui) (Wor-Biz Trading)
(collectively, Wor-Biz), and as a result
should be accorded the same treatment
previously accorded to that company.
Interested parties are invited to
comment on these preliminary results.
SUMMARY:
DATES:
Applicable November 21, 2019.
FOR FURTHER INFORMATION CONTACT:
Michael Bowen at (202) 482–0768 (AD)
or Dennis McClure at (202) 482–5973
(CVD), Office VIII, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
Background
On August 31, 2018, Commerce
published the AD and CVD orders on
imports of cast iron soil pipe fittings
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from China.1 On June 7, 2019, Wor-Biz
requested that Commerce conduct
expedited CCRs for these AD/CVD
orders to determine that Wor-Biz
Industrial is the successor-in-interest to
Wor-Biz Trading.2 In its request, WorBiz addressed the factors Commerce
analyzes with respect to successor-ininterest determinations in the AD
context, and provided documentation in
support.3 On July 19, 2019, we issued a
questionnaire requesting Wor-Biz to
state the reasons, with particularity, for
which good cause exists to initiate a
CCR less than 24 months after the date
of publication of the final
determinations of the AD and CVD
investigations, as required by 19 CFR
351.216(c).4 On August 20, 2019, WorBiz re-filed its request, in which it
stated why good cause to initiate these
CCRs exists.5 On October 2, 2019,
Commerce determined that additional
time was necessary to consider WorBiz’s request, and therefore, in
accordance with 19 CFR 351.302(b),
Commerce extended the time period for
determining whether to initiate the
requested CCRs by an additional 45
days, until November 18, 2019.6 On
October 9, 2019, we issued an
additional supplemental questionnaire 7
and we subsequently received, on
October 16, 2019, additional
information relevant to successor-ininterest determinations in a CVD
context.8 Commerce received no
1 See Cast Iron Soil Pipe Fittings from the People’s
Republic of China: Amended Final Determination
of Sales at Less Than Fair Value and Antidumping
Duty Order, 83 FR 44570 and Cast Iron Soil Pipe
Fittings from the People’s Republic of China:
Countervailing Duty Order, 83 FR 44566, both dated
August 31, 2018 (collectively, the Orders).
2 See Wor-Biz’s Letter, ‘‘Cast Iron Soil Pipe
Fittings from the People’s Republic of China:
Request for an Expedited Changed Circumstances
Review,’’ dated June 7, 2019.
3 Id.
4 See Commerce’s Letter, ‘‘Request for Changed
Circumstances Review of the Antidumping and
Countervailing Duty Orders on Cast Iron Soil Pipe
Fittings from the People’s Republic of China,’’ dated
July 19, 2019.
5 See Wor-Biz’s Letter, ‘‘Cast Iron Soil Pipe
Fittings from the People’s Republic of China:
Request for an Expedited Changed Circumstances
Review,’’ dated August 20, 2019 (Wor-Biz’s Second
CCR Submission).
6 See Commerce’s Letter, ‘‘Request for Changed
Circumstances Review of the Antidumping and
Countervailing Duty Orders on Cast Iron Soil Pipe
Fittings from the People’s Republic of China:
Extension of Initiation Deadline,’’ dated October 2,
2019.
7 See Commerce’s Letter, ‘‘Cast Iron Soil Pipe
Fittings from the People’s Republic of China:
Changed Circumstances Review Supplemental
Questionnaire,’’ dated October 9, 2019.
8 See Wor-Biz’s Letter, ‘‘Cast Iron Soil Pipe
Fittings from the People’s Republic of China: WorBiz’s Supplemental Response,’’ dated October 16,
2019 (Wor-Biz’s Third CCR Submission).
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64263
comments from interested parties on
Wor-Biz’s CCR request.
Scope of the Orders
The merchandise covered by the
scope of these orders is cast iron soil
pipe fittings, finished and unfinished,
regardless of industry or proprietary
specifications, and regardless of size.
Cast iron soil pipe fittings are
nonmalleable iron castings of various
designs and sizes, including, but not
limited to, bends, tees, wyes, traps,
drains (other than drain bodies), and
other common or special fittings, with
or without side inlets.
Cast iron soil pipe fittings are
classified into two major types—hubless
and hub and spigot. Hubless cast iron
soil pipe fittings are manufactured
without a hub, generally in compliance
with Cast Iron Soil Pipe Institute (CISPI)
specification 301 and/or American
Society for Testing and Materials
(ASTM) specification A888. Hub and
spigot pipe fittings have hubs into
which the spigot (plain end) of the pipe
or fitting is inserted. Cast iron soil pipe
fittings are generally distinguished from
other types of nonmalleable cast iron
fittings by the manner in which they are
connected to cast iron soil pipe and
other fittings.
Excluded from the scope are all drain
bodies. Drain bodies are normally
classified in subheading 7326.90.86.88
of the Harmonized Tariff Schedule of
the United States (HTSUS).
The cast iron soil pipe fittings subject
to the scope of these orders are normally
classified in subheading 7307.11.0045 of
the HTSUS: Cast fittings of
nonmalleable cast iron for cast iron soil
pipe. They may also be entered under
HTSUS 7324.29.0000 and 7307.92.3010.
The HTSUS subheadings and
specifications are provided for
convenience and customs purposes
only; the written description of the
scope of these orders is dispositive.
Initiation of Changed Circumstances
Reviews
Pursuant to section 751(b)(1) of the
Tariff Act of 1930, as amended (the Act),
and 19 CFR 351.216, Commerce will
conduct a CCR upon a request from an
interested party for a review of an AD
or CVD order which shows changed
circumstances sufficient to warrant a
review of the order, but will not do so
less than 24 months after the date of
publication of the final determinations
of the AD and CVD investigations absent
a finding of good cause.9 The
information submitted by Wor-Biz
supporting its claim that Wor-Biz
9 See
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19 CFR 351.216(c).
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Federal Register / Vol. 84, No. 225 / Thursday, November 21, 2019 / Notices
Industrial is the successor-in-interest to
Wor-Biz Trading, demonstrates both
good cause and changed circumstances
sufficient to initiate these reviews.10
Specifically, Wor-Biz states that good
cause exists because a CCR is necessary
to ensure that Wor-Biz’s U.S. customers
can accurately identify Wor-Biz by its
new English name as the exporter of
subject merchandise, and to ensure that
cash deposits are collected at Wor-Biz’s
company-specific rates calculated
during the AD and CVD
investigations.11 Commerce has
previously found good cause exists to
initiate a CCR less than 24 months after
the date of publication of a final
determination when a respondent has
changed its name, as this ensures that
CBP is able to assess entries at the
appropriate cash deposit rate.12
Additionally, the information
submitted by Wor-Biz regarding its
changed circumstances demonstrates
that Wor-Biz’s request is based solely on
a change in its English name.
Specifically, effective October 31, 2019,
Wor-Biz Trading legally changed the
company’s English name to Wor-Biz
Industrial Product Co., Ltd. (Anhui).13
The evidence submitted in support of
Wor-Biz’s request demonstrates that
Wor-Biz Industrial is the same business
entity as its predecessor and that WorBiz merely changed the company’s
English name; the Chinese company
name remains the same.
Therefore, in accordance with the
above-referenced regulation, Commerce
is initiating CCRs to determine whether
Wor-Biz Industrial is the successor-ininterest to Wor-Biz Trading.
Preliminary Results
When it concludes that expedited
action is warranted, Commerce may
publish the notice of initiation and
preliminary results of a CCR
concurrently.14 Commerce has
combined the notice of initiation and
preliminary results in successor-in10 See
19 CFR 351.216(d).
11 See Wor-Biz’s Second CCR Submission.
12 See, e.g., Notice of Initiation and Preliminary
Results of Antidumping Duty Changed
Circumstances Review: Certain Passenger Vehicle
and Light Truck Tires From the People’s Republic
of China, 81 FR 44588 (July 8, 2016) (‘‘Sailun Jinyu
HK demonstrated good cause for initiating a CCR
pursuant to 19 CFR 351.216(c) because it has only
changed its name and no other aspect of the
company’s operations, and conducting this review
ensures that the appropriate deposit rate applies to
Sailun Jinyu HK.’’); and Certain Aluminum Foil and
Common Alloy Aluminum Sheet from the People’s
Republic of China; Notice of Initiation and
Preliminary Determination of Antidumping and
Countervailing Duty Changed Circumstances
Reviews, 84 FR 48909 (September 17, 2019).
13 See Wor-Biz’s Second CCR Submission.
14 See 19 CFR 351.221(c)(3)(ii).
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interest CCRs when sufficient
documentation has been provided
supporting the request to make a
preliminary determination.15 In this
instance, because we have on the record
information to support the request for
AD and CVD preliminary
determinations, we find that expedited
action is warranted, and we are
combining the notice of initiation and
the notice of preliminary results, in
accordance with 19 CFR
351.221(c)(3)(ii).
AD Methodology
In a CCR, we generally consider a
company to be the successor to another
company for AD cash deposit purposes
if the operations of the successor are not
materially dissimilar from those of its
predecessor.16 In making an AD CCR
determination, Commerce examines a
number of factors including, but not
limited to, changes in: (1) Management;
(2) production; (3) suppliers; and (4)
customer base.17 While no one or
several of these factors is dispositive,
Commerce will generally consider one
company to be the successor to another
if its resulting operation is essentially
the same as that of its predecessor.18
Thus, if the evidence demonstrates that,
with respect to the production and sale
of the subject merchandise, the new
company operates as the same business
entity as the prior company, Commerce
will assign the new company the cash
deposit rate of its predecessor.19
In its CCR submissions, Wor-Biz
provided evidence demonstrating that
Wor-Biz Industrial’s operations are not
materially dissimilar from those of WorBiz Trading. Specifically, Wor-Biz
15 See, e.g., Multilayered Wood Flooring from the
People’s Republic of China: Initiation and
Preliminary Results of Antidumping and
Countervailing Duty Changed Circumstances
Reviews, 82 FR 9561 (February 7, 2017), unchanged
in Multilayered Wood Flooring from the People’s
Republic of China: Final Results of Changed
Circumstances Reviews, 82 FR 14691 (March 22,
2017).
16 Id.
17 See Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review:
Multilayered Wood Flooring from the People’s
Republic of China, 79 FR 48117,48118 (August 15,
2014), unchanged in Multilayered Wood Flooring
from the People’s Republic of China: Final Results
of Changed Circumstances Review, 79 FR 58740
(September 30, 2014).
18 Id.
19 See, e.g., Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review:
Crystalline Silicon Photovoltaic Cells, Whether or
Not Assembled Into Modules, from the People’s
Republic of China, 81 FR 76561 (November 3, 2016)
(Solar Cells China 2016), unchanged in Crystalline
Silicon Photovoltaic Cells, Whether or Not
Assembled Into Modules, from the People’s
Republic of China: Final Results of Changed
Circumstances Review, 81 FR 91909 (December 19,
2016).
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Industrial is managed and operated by
the same management teams as those of
Wor-Biz Trading.20 Further, Wor-Biz
Industrial has not added, or
discontinued use of, production
facilities as a result the English name
change.21 Finally, there have been no
material changes to the company’s
suppliers or customer base.22 Based on
the foregoing, we preliminarily
determine that Wor-Biz Industrial is the
successor-in-interest to Wor-Biz Trading
and, as such, that it is entitled to WorBiz Trading’s AD cash deposit rate with
respect to entries of subject
merchandise.
CVD Methodology
As a general rule, in a CVD CCR,
Commerce will make an affirmative
CVD successorship finding (i.e., that the
respondent company is the same
subsidized entity for CVD cash deposit
purposes as the predecessor company)
where there is no evidence of significant
changes in the respondent’s: (1)
Operations; (2) ownership; and (3)
corporate and legal structure during the
relevant period (i.e., the ‘‘look-back
window’’) that could have affected the
nature and extent of the respondent’s
subsidy levels.23 Where Commerce
makes an affirmative CVD successorship
finding, the successor’s merchandise
will be entitled to enter under the
predecessor’s cash deposit rate.24 Here,
we find no evidence of significant
changes between Wor-Biz Industrial’s
and Wor-Biz Trading’s operations,
ownership, or its corporate or legal
structure that could have had an impact
on Wor-Biz’s subsidy levels.25
Specifically, all record information with
respect to Wor-Biz’s trading
operations,26 shareholders,27 and
corporate and legal structure 28
demonstrates that Wor-Biz Industrial is
the same subsidized entity as its
20 See Wor-Biz’s Second CCR Submission at
Exhibits 8–9.
21 Id. at 4. Wor-Biz is only a trading company and
does not produce subject merchandise.
22 Id. at Exhibits 4–7.
23 See Certain Pasta from Turkey: Preliminary
Results of Countervailing Duty Changed
Circumstances Review, 74 FR 47225 (September 15,
2009). Here, the relevant period, or ‘‘look-back
window,’’ is December 31, 2016 (end of the period
of investigation) through August 20, 2019 (date of
the resubmitted CCR request).
24 See Multilayered Wood Flooring from the
People’s Republic of China: Initiation and
Preliminary Results of Antidumping and
Countervailing Duty Changed Circumstances
Reviews, 82 FR 9561 (February 7, 2017).
25 See Wor-Biz’s Second CCR Submission.
26 Id. at Exhibits 4–7.
27 Id. at Exhibit 8.
28 Id. at Exhibits 1–2.
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Federal Register / Vol. 84, No. 225 / Thursday, November 21, 2019 / Notices
predecessor.29 Accordingly, we
preliminarily determine that Wor-Biz
Industrial is the successor-in-interest to
Wor-Biz Trading and, as such, that it is
entitled to Wor-Biz Trading’s CVD cash
deposit rate with respect to entries of
subject merchandise.
Should our final results remain the
same as these preliminary results, we
will instruct U.S. Customs and Border
Protection to assign entries of subject
merchandise exported by Wor-Biz
Industrial the AD and CVD cash deposit
rates applicable to Wor-Biz Trading,
effective the date of publication of the
final results.
Public Comment
Any interested party may request a
hearing within 14 days of publication of
this notice, in accordance with 19 CFR
351.310(c). Interested parties may
submit case briefs and/or written
comments no later than 14 days after the
date of publication of this notice.30
Rebuttal briefs and rebuttals to written
comments, which must be limited to
issues raised in such briefs or
comments, may be filed not later than
7 days after the case briefs.31 Any
hearing, if requested, will normally be
held two days after rebuttal briefs/
comments are due, in accordance with
19 CFR 351.310(d)(1). Parties who
submit case briefs or rebuttal briefs in
these CCRs are requested to submit with
each argument (1) a statement of the
issue, and (2) a brief summary of the
argument with an electronic version
included. Consistent with 19 CFR
351.216(e), we will issue the final
results of these CCRs no later than 270
days after the date on which these
reviews were initiated or within 45 days
of publication of these preliminary
results if all parties agree to our
preliminary findings.
We are issuing and publishing this
initiation and preliminary results notice
in accordance with sections 751(b)(1)
and 777(i)(1) of the Act and 19 CFR
351.216 and 351.221(c)(3).
Dated: November 15, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and
Compliance.
[FR Doc. 2019–25263 Filed 11–20–19; 8:45 am]
BILLING CODE 3510–DS–P
29 See Wor-Biz’s Third CCR Submission at 1 and
Exhibit S–1.
30 Commerce is exercising its discretion under 19
CFR 351.309(c)(1)(ii) to alter the time limit for the
filing of case briefs.
31 Commerce is exercising its discretion under 19
CFR 351.309(d)(1) to alter the time limit for the
filing of rebuttal briefs.
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DEPARTMENT OF COMMERCE
International Trade Administration
[A–533–891, A–580–904]
Forged Steel Fittings From India and
the Republic of Korea: Initiation of
Less-Than-Fair-Value Investigations
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
DATES: Applicable November 12, 2019.
FOR FURTHER INFORMATION CONTACT:
Caitlin Monks or Charlotte BaskinGerwitz, AD/CVD Operations, Office
VII, Enforcement and Compliance,
International Trade Administration,
U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington,
DC 20230; telephone: (202) 482–2670 or
(202) 482–4880, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
The Petitions
On October 23, 2019, the U.S.
Department of Commerce (Commerce)
received antidumping duty (AD)
petitions concerning imports of forged
steel fittings from India and the
Republic of Korea (Korea), filed in
proper form by Bonney Forge
Corporation and the United Steel, Paper
and Forestry, Rubber, Manufacturing,
Energy, Allied Industrial and Service
Workers International Union (USW)
(collectively, the petitioners).1 The
Petitions were accompanied by a
countervailing duty (CVD) petition
concerning imports of forged steel
fittings from India.2 The petitioners are
a domestic producer of forged steel
fittings and a certified union that
represents workers who produce forged
steel fittings.3
On October 28 and November 4, 2019,
Commerce requested supplemental
information pertaining to certain aspects
of the Petitions in separate
supplemental questionnaires.4 The
1 See
Petitioners’ Letter, ‘‘Petitions for the
Imposition of Antidumping and Countervailing
Duties: Forged Steel Fittings from India and the
Republic of Korea,’’ dated October 23, 2019 (the
Petitions).
2 Id.
3 See Volume I of the Petitions at 2.
4 See Commerce’s Letters, ‘‘Petitions for the
Imposition of Antidumping and Countervailing
Duties on Imports of Forged Steel Fittings from
India and the Republic of Korea: Supplemental
Questions,’’ dated October 28, 2019 (General Issues
Supplemental); ‘‘Petition for the Imposition of
Antidumping Duties on Imports of Forged Steel
Fittings from India: Supplemental Questions,’’
dated October 28, 2019; ‘‘Petitions for the
Imposition of Antidumping and Countervailing
Duties on Imports of Forged Steel Fittings from the
Republic of Korea: Supplemental Questions,’’ dated
May 14, 2019; Memorandum, ‘‘Petition for the
Imposition of Antidumping Duties on Imports of
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64265
petitioners filed responses to the
supplemental questionnaires on October
30, November 4, and November 6,
2019.5
In accordance with section 732(b) of
the Tariff Act of 1930, as amended (the
Act), the petitioners allege that imports
of forged steel fittings from India and
Korea are being, or are likely to be, sold
in the United States at less than fair
value (LTFV) within the meaning of
section 731 of the Act, and that such
imports are materially injuring, or
threatening material injury to, the
domestic industry producing forged
steel fittings in the United States.
Consistent with section 732(b)(1) of the
Act, the Petitions are accompanied by
information reasonably available to the
petitioners supporting their allegations.
Commerce finds that the petitioners
filed the Petitions on behalf of the
domestic industry, because the
petitioners are interested parties, as
defined in sections 771(9)(C) and (D) of
the Act. Commerce also finds that the
petitioners demonstrated sufficient
industry support with respect to the
initiation of the requested AD
investigations.6
Periods of Investigation
Because the Petitions were filed on
October 23, 2019, the period of
investigation (POI) for the India and
Korea AD investigations is October 1,
2018 through September 30, 2019,
pursuant to 19 CFR 351.204(b)(1).
Scope of the Investigations
The products covered by these
investigations are forged steel fittings
from India and Korea. For a full
description of the scope of these
investigations, see the Appendix to this
notice.
Forged Steel Fittings from India: Phone Call with
Counsel to the Petitioners,’’ dated November 4,
2019; and Memorandum, ‘‘Petitions for the
Imposition of Antidumping and Countervailing
Duties on Imports of Forged Steel Fittings from
India and the Republic of Korea: Phone Call with
Counsel to the Petitioners,’’ dated November 4,
2019 (Scope Memo).
5 See Petitioners’ Letters, ‘‘Forged Steel Fittings
from India and the Republic of Korea: Response to
General Issues Questionnaire,’’ dated October 30,
2019 (General Issues Supplement); ‘‘Forged Steel
Fittings from Korea: Response to Supplemental
Questionnaire,’’ dated October 30, 2019; ‘‘Forged
Steel Fittings from India: Response to Antidumping
Questionnaire,’’ dated October 30, 2019; ‘‘Forged
Steel Fittings from India and the Republic of Korea:
Response on Revisions to the Scope,’’ dated
November 4, 2019; and ‘‘Forged Steel Fittings from
India: Response to Additional Antidumping
Questions,’’ dated November 6, 2019.
6 See the ‘‘Determination of Industry Support for
the Petitions’’ section, infra.
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Agencies
[Federal Register Volume 84, Number 225 (Thursday, November 21, 2019)]
[Notices]
[Pages 64263-64265]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-25263]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-062, C-570-063]
Cast Iron Soil Pipe Fittings From the People's Republic of China:
Initiation and Preliminary Results of Changed Circumstances Reviews
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: In response to a request for changed circumstances reviews
(CCRs), the Department of Commerce (Commerce) is initiating CCRs of the
antidumping duty (AD) and countervailing duty (CVD) orders on cast iron
soil pipe fittings from the People's Republic of China (China). We have
preliminarily determined that Wor-Biz Industrial Product Co., Ltd.
(Anhui) (Wor-Biz Industrial) is the successor-in-interest to Wor-Biz
Trading Co., Ltd. (Anhui) (Wor-Biz Trading) (collectively, Wor-Biz),
and as a result should be accorded the same treatment previously
accorded to that company. Interested parties are invited to comment on
these preliminary results.
DATES: Applicable November 21, 2019.
FOR FURTHER INFORMATION CONTACT: Michael Bowen at (202) 482-0768 (AD)
or Dennis McClure at (202) 482-5973 (CVD), Office VIII, Enforcement and
Compliance, International Trade Administration, U.S. Department of
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
Background
On August 31, 2018, Commerce published the AD and CVD orders on
imports of cast iron soil pipe fittings from China.\1\ On June 7, 2019,
Wor-Biz requested that Commerce conduct expedited CCRs for these AD/CVD
orders to determine that Wor-Biz Industrial is the successor-in-
interest to Wor-Biz Trading.\2\ In its request, Wor-Biz addressed the
factors Commerce analyzes with respect to successor-in-interest
determinations in the AD context, and provided documentation in
support.\3\ On July 19, 2019, we issued a questionnaire requesting Wor-
Biz to state the reasons, with particularity, for which good cause
exists to initiate a CCR less than 24 months after the date of
publication of the final determinations of the AD and CVD
investigations, as required by 19 CFR 351.216(c).\4\ On August 20,
2019, Wor-Biz re-filed its request, in which it stated why good cause
to initiate these CCRs exists.\5\ On October 2, 2019, Commerce
determined that additional time was necessary to consider Wor-Biz's
request, and therefore, in accordance with 19 CFR 351.302(b), Commerce
extended the time period for determining whether to initiate the
requested CCRs by an additional 45 days, until November 18, 2019.\6\ On
October 9, 2019, we issued an additional supplemental questionnaire \7\
and we subsequently received, on October 16, 2019, additional
information relevant to successor-in-interest determinations in a CVD
context.\8\ Commerce received no comments from interested parties on
Wor-Biz's CCR request.
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\1\ See Cast Iron Soil Pipe Fittings from the People's Republic
of China: Amended Final Determination of Sales at Less Than Fair
Value and Antidumping Duty Order, 83 FR 44570 and Cast Iron Soil
Pipe Fittings from the People's Republic of China: Countervailing
Duty Order, 83 FR 44566, both dated August 31, 2018 (collectively,
the Orders).
\2\ See Wor-Biz's Letter, ``Cast Iron Soil Pipe Fittings from
the People's Republic of China: Request for an Expedited Changed
Circumstances Review,'' dated June 7, 2019.
\3\ Id.
\4\ See Commerce's Letter, ``Request for Changed Circumstances
Review of the Antidumping and Countervailing Duty Orders on Cast
Iron Soil Pipe Fittings from the People's Republic of China,'' dated
July 19, 2019.
\5\ See Wor-Biz's Letter, ``Cast Iron Soil Pipe Fittings from
the People's Republic of China: Request for an Expedited Changed
Circumstances Review,'' dated August 20, 2019 (Wor-Biz's Second CCR
Submission).
\6\ See Commerce's Letter, ``Request for Changed Circumstances
Review of the Antidumping and Countervailing Duty Orders on Cast
Iron Soil Pipe Fittings from the People's Republic of China:
Extension of Initiation Deadline,'' dated October 2, 2019.
\7\ See Commerce's Letter, ``Cast Iron Soil Pipe Fittings from
the People's Republic of China: Changed Circumstances Review
Supplemental Questionnaire,'' dated October 9, 2019.
\8\ See Wor-Biz's Letter, ``Cast Iron Soil Pipe Fittings from
the People's Republic of China: Wor-Biz's Supplemental Response,''
dated October 16, 2019 (Wor-Biz's Third CCR Submission).
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Scope of the Orders
The merchandise covered by the scope of these orders is cast iron
soil pipe fittings, finished and unfinished, regardless of industry or
proprietary specifications, and regardless of size. Cast iron soil pipe
fittings are nonmalleable iron castings of various designs and sizes,
including, but not limited to, bends, tees, wyes, traps, drains (other
than drain bodies), and other common or special fittings, with or
without side inlets.
Cast iron soil pipe fittings are classified into two major types--
hubless and hub and spigot. Hubless cast iron soil pipe fittings are
manufactured without a hub, generally in compliance with Cast Iron Soil
Pipe Institute (CISPI) specification 301 and/or American Society for
Testing and Materials (ASTM) specification A888. Hub and spigot pipe
fittings have hubs into which the spigot (plain end) of the pipe or
fitting is inserted. Cast iron soil pipe fittings are generally
distinguished from other types of nonmalleable cast iron fittings by
the manner in which they are connected to cast iron soil pipe and other
fittings.
Excluded from the scope are all drain bodies. Drain bodies are
normally classified in subheading 7326.90.86.88 of the Harmonized
Tariff Schedule of the United States (HTSUS).
The cast iron soil pipe fittings subject to the scope of these
orders are normally classified in subheading 7307.11.0045 of the HTSUS:
Cast fittings of nonmalleable cast iron for cast iron soil pipe. They
may also be entered under HTSUS 7324.29.0000 and 7307.92.3010. The
HTSUS subheadings and specifications are provided for convenience and
customs purposes only; the written description of the scope of these
orders is dispositive.
Initiation of Changed Circumstances Reviews
Pursuant to section 751(b)(1) of the Tariff Act of 1930, as amended
(the Act), and 19 CFR 351.216, Commerce will conduct a CCR upon a
request from an interested party for a review of an AD or CVD order
which shows changed circumstances sufficient to warrant a review of the
order, but will not do so less than 24 months after the date of
publication of the final determinations of the AD and CVD
investigations absent a finding of good cause.\9\ The information
submitted by Wor-Biz supporting its claim that Wor-Biz
[[Page 64264]]
Industrial is the successor-in-interest to Wor-Biz Trading,
demonstrates both good cause and changed circumstances sufficient to
initiate these reviews.\10\
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\9\ See 19 CFR 351.216(c).
\10\ See 19 CFR 351.216(d).
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Specifically, Wor-Biz states that good cause exists because a CCR
is necessary to ensure that Wor-Biz's U.S. customers can accurately
identify Wor-Biz by its new English name as the exporter of subject
merchandise, and to ensure that cash deposits are collected at Wor-
Biz's company-specific rates calculated during the AD and CVD
investigations.\11\ Commerce has previously found good cause exists to
initiate a CCR less than 24 months after the date of publication of a
final determination when a respondent has changed its name, as this
ensures that CBP is able to assess entries at the appropriate cash
deposit rate.\12\
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\11\ See Wor-Biz's Second CCR Submission.
\12\ See, e.g., Notice of Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review: Certain Passenger
Vehicle and Light Truck Tires From the People's Republic of China,
81 FR 44588 (July 8, 2016) (``Sailun Jinyu HK demonstrated good
cause for initiating a CCR pursuant to 19 CFR 351.216(c) because it
has only changed its name and no other aspect of the company's
operations, and conducting this review ensures that the appropriate
deposit rate applies to Sailun Jinyu HK.''); and Certain Aluminum
Foil and Common Alloy Aluminum Sheet from the People's Republic of
China; Notice of Initiation and Preliminary Determination of
Antidumping and Countervailing Duty Changed Circumstances Reviews,
84 FR 48909 (September 17, 2019).
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Additionally, the information submitted by Wor-Biz regarding its
changed circumstances demonstrates that Wor-Biz's request is based
solely on a change in its English name. Specifically, effective October
31, 2019, Wor-Biz Trading legally changed the company's English name to
Wor-Biz Industrial Product Co., Ltd. (Anhui).\13\ The evidence
submitted in support of Wor-Biz's request demonstrates that Wor-Biz
Industrial is the same business entity as its predecessor and that Wor-
Biz merely changed the company's English name; the Chinese company name
remains the same.
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\13\ See Wor-Biz's Second CCR Submission.
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Therefore, in accordance with the above-referenced regulation,
Commerce is initiating CCRs to determine whether Wor-Biz Industrial is
the successor-in-interest to Wor-Biz Trading.
Preliminary Results
When it concludes that expedited action is warranted, Commerce may
publish the notice of initiation and preliminary results of a CCR
concurrently.\14\ Commerce has combined the notice of initiation and
preliminary results in successor-in-interest CCRs when sufficient
documentation has been provided supporting the request to make a
preliminary determination.\15\ In this instance, because we have on the
record information to support the request for AD and CVD preliminary
determinations, we find that expedited action is warranted, and we are
combining the notice of initiation and the notice of preliminary
results, in accordance with 19 CFR 351.221(c)(3)(ii).
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\14\ See 19 CFR 351.221(c)(3)(ii).
\15\ See, e.g., Multilayered Wood Flooring from the People's
Republic of China: Initiation and Preliminary Results of Antidumping
and Countervailing Duty Changed Circumstances Reviews, 82 FR 9561
(February 7, 2017), unchanged in Multilayered Wood Flooring from the
People's Republic of China: Final Results of Changed Circumstances
Reviews, 82 FR 14691 (March 22, 2017).
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AD Methodology
In a CCR, we generally consider a company to be the successor to
another company for AD cash deposit purposes if the operations of the
successor are not materially dissimilar from those of its
predecessor.\16\ In making an AD CCR determination, Commerce examines a
number of factors including, but not limited to, changes in: (1)
Management; (2) production; (3) suppliers; and (4) customer base.\17\
While no one or several of these factors is dispositive, Commerce will
generally consider one company to be the successor to another if its
resulting operation is essentially the same as that of its
predecessor.\18\ Thus, if the evidence demonstrates that, with respect
to the production and sale of the subject merchandise, the new company
operates as the same business entity as the prior company, Commerce
will assign the new company the cash deposit rate of its
predecessor.\19\
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\16\ Id.
\17\ See Initiation and Preliminary Results of Antidumping Duty
Changed Circumstances Review: Multilayered Wood Flooring from the
People's Republic of China, 79 FR 48117,48118 (August 15, 2014),
unchanged in Multilayered Wood Flooring from the People's Republic
of China: Final Results of Changed Circumstances Review, 79 FR 58740
(September 30, 2014).
\18\ Id.
\19\ See, e.g., Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review: Crystalline Silicon
Photovoltaic Cells, Whether or Not Assembled Into Modules, from the
People's Republic of China, 81 FR 76561 (November 3, 2016) (Solar
Cells China 2016), unchanged in Crystalline Silicon Photovoltaic
Cells, Whether or Not Assembled Into Modules, from the People's
Republic of China: Final Results of Changed Circumstances Review, 81
FR 91909 (December 19, 2016).
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In its CCR submissions, Wor-Biz provided evidence demonstrating
that Wor-Biz Industrial's operations are not materially dissimilar from
those of Wor-Biz Trading. Specifically, Wor-Biz Industrial is managed
and operated by the same management teams as those of Wor-Biz
Trading.\20\ Further, Wor-Biz Industrial has not added, or discontinued
use of, production facilities as a result the English name change.\21\
Finally, there have been no material changes to the company's suppliers
or customer base.\22\ Based on the foregoing, we preliminarily
determine that Wor-Biz Industrial is the successor-in-interest to Wor-
Biz Trading and, as such, that it is entitled to Wor-Biz Trading's AD
cash deposit rate with respect to entries of subject merchandise.
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\20\ See Wor-Biz's Second CCR Submission at Exhibits 8-9.
\21\ Id. at 4. Wor-Biz is only a trading company and does not
produce subject merchandise.
\22\ Id. at Exhibits 4-7.
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CVD Methodology
As a general rule, in a CVD CCR, Commerce will make an affirmative
CVD successorship finding (i.e., that the respondent company is the
same subsidized entity for CVD cash deposit purposes as the predecessor
company) where there is no evidence of significant changes in the
respondent's: (1) Operations; (2) ownership; and (3) corporate and
legal structure during the relevant period (i.e., the ``look-back
window'') that could have affected the nature and extent of the
respondent's subsidy levels.\23\ Where Commerce makes an affirmative
CVD successorship finding, the successor's merchandise will be entitled
to enter under the predecessor's cash deposit rate.\24\ Here, we find
no evidence of significant changes between Wor-Biz Industrial's and
Wor-Biz Trading's operations, ownership, or its corporate or legal
structure that could have had an impact on Wor-Biz's subsidy
levels.\25\ Specifically, all record information with respect to Wor-
Biz's trading operations,\26\ shareholders,\27\ and corporate and legal
structure \28\ demonstrates that Wor-Biz Industrial is the same
subsidized entity as its
[[Page 64265]]
predecessor.\29\ Accordingly, we preliminarily determine that Wor-Biz
Industrial is the successor-in-interest to Wor-Biz Trading and, as
such, that it is entitled to Wor-Biz Trading's CVD cash deposit rate
with respect to entries of subject merchandise.
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\23\ See Certain Pasta from Turkey: Preliminary Results of
Countervailing Duty Changed Circumstances Review, 74 FR 47225
(September 15, 2009). Here, the relevant period, or ``look-back
window,'' is December 31, 2016 (end of the period of investigation)
through August 20, 2019 (date of the resubmitted CCR request).
\24\ See Multilayered Wood Flooring from the People's Republic
of China: Initiation and Preliminary Results of Antidumping and
Countervailing Duty Changed Circumstances Reviews, 82 FR 9561
(February 7, 2017).
\25\ See Wor-Biz's Second CCR Submission.
\26\ Id. at Exhibits 4-7.
\27\ Id. at Exhibit 8.
\28\ Id. at Exhibits 1-2.
\29\ See Wor-Biz's Third CCR Submission at 1 and Exhibit S-1.
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Should our final results remain the same as these preliminary
results, we will instruct U.S. Customs and Border Protection to assign
entries of subject merchandise exported by Wor-Biz Industrial the AD
and CVD cash deposit rates applicable to Wor-Biz Trading, effective the
date of publication of the final results.
Public Comment
Any interested party may request a hearing within 14 days of
publication of this notice, in accordance with 19 CFR 351.310(c).
Interested parties may submit case briefs and/or written comments no
later than 14 days after the date of publication of this notice.\30\
Rebuttal briefs and rebuttals to written comments, which must be
limited to issues raised in such briefs or comments, may be filed not
later than 7 days after the case briefs.\31\ Any hearing, if requested,
will normally be held two days after rebuttal briefs/comments are due,
in accordance with 19 CFR 351.310(d)(1). Parties who submit case briefs
or rebuttal briefs in these CCRs are requested to submit with each
argument (1) a statement of the issue, and (2) a brief summary of the
argument with an electronic version included. Consistent with 19 CFR
351.216(e), we will issue the final results of these CCRs no later than
270 days after the date on which these reviews were initiated or within
45 days of publication of these preliminary results if all parties
agree to our preliminary findings.
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\30\ Commerce is exercising its discretion under 19 CFR
351.309(c)(1)(ii) to alter the time limit for the filing of case
briefs.
\31\ Commerce is exercising its discretion under 19 CFR
351.309(d)(1) to alter the time limit for the filing of rebuttal
briefs.
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We are issuing and publishing this initiation and preliminary
results notice in accordance with sections 751(b)(1) and 777(i)(1) of
the Act and 19 CFR 351.216 and 351.221(c)(3).
Dated: November 15, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2019-25263 Filed 11-20-19; 8:45 am]
BILLING CODE 3510-DS-P