Forged Steel Fluid End Blocks From the Federal Republic of Germany: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Postponement of Final Determination, and Extension of Provisional Measures, 44513-44516 [2020-15912]

Download as PDF Federal Register / Vol. 85, No. 142 / Thursday, July 23, 2020 / Notices amount of time will be available for brief oral comments from members of the public attending the meeting. To accommodate as many speakers as possible, the time for public comments will be limited to two (2) minutes per person, with a total public comment period of 15 minutes. Individuals wishing to reserve speaking time during the meeting must contact Mr. Chesebro and submit a brief statement of the general nature of the comments and the name and address of the proposed participant by 5:00 p.m. EDT on Friday, July 31, 2020. If the number of registrants requesting to make statements is greater than can be reasonably accommodated during the meeting, ITA may conduct a lottery to determine the speakers. Any member of the public may submit written comments concerning the CINTAC’s affairs at any time before and after the meeting. Comments may be emailed to Jonathan Chesebro, Senior Nuclear Trade Specialist at the U.S. Department of Commerce’s Office of Energy & Environmental Industries at Jonathan.Chesebro@trade.gov. For consideration during the meeting, and to ensure transmission to the Committee prior to the meeting, comments must be received no later than 5:00 p.m. EDT on Friday, July 31, 2020. Comments received after that date will be distributed to the members but may not be considered at the meeting. Copies of CINTAC meeting minutes will be available within 90 days of the meeting. Dated: July 17, 2020. Man Cho, Deputy Director, Office of Energy and Environmental Industries. [FR Doc. 2020–15885 Filed 7–22–20; 8:45 am] BILLING CODE 3510–DR–P DEPARTMENT OF COMMERCE International Trade Administration [A–428–847] Forged Steel Fluid End Blocks From the Federal Republic of Germany: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Postponement of Final Determination, and Extension of Provisional Measures Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The Department of Commerce (Commerce) preliminarily determines that forged steel fluid end blocks (fluid end blocks) from the Federal Republic of Germany (Germany) are being, or are jbell on DSKJLSW7X2PROD with NOTICES AGENCY: VerDate Sep<11>2014 17:10 Jul 22, 2020 Jkt 250001 likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is October 1, 2018 through September 30, 2019. Interested parties are invited to comment on this preliminary determination. DATES: Applicable July 23, 2020. FOR FURTHER INFORMATION CONTACT: Katherine Johnson or Alexis Cherry, AD/CVD Operations, Office VIII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–4929 or (202) 482–0607, 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 January 15, 2020.1 On March 26, 2020, Commerce postponed the preliminary determination of this investigation, and the revised deadline is now July 16, 2020.2 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. In addition, a complete version of the Preliminary Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/. The signed and the electronic versions of the Preliminary Decision Memorandum are identical in content. Scope of the Investigation The products covered by this investigation are fluid end blocks from Germany, whether in finished or 1 See Forged Steel Fluid End Blocks from the Federal Republic of Germany, India and Italy: Initiation of Less-Than-Fair-Value Investigations, 85 FR 2394 (January 15, 2020) (Initiation Notice). 2 See Forged Steel Fluid End Blocks from the Federal Republic of Germany, India and Italy: Postponement of Preliminary Determinations in the Less-Than-Fair-Value Investigations, 85 FR 17042 (March 26, 2020). 3 See Memorandum, ‘‘Decision Memorandum for the Preliminary Determination in the Less-ThanFair-Value Investigation of Forged Steel Fluid End Blocks from the Federal Republic of Germany,’’ dated concurrently with, and hereby adopted by this notice (Preliminary Decision Memorandum). PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 44513 unfinished form, and which are typically used in the manufacture or service of hydraulic pumps. 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 As discussed herein, Commerce is preliminarily modifying the scope language as it appeared in the Initiation Notice. See the revised scope in Appendix I to this notice. The scope case briefs were originally due on June 25, 2020, 30 days after the publication of Fluid End Blocks CVD Determinations, and scope rebuttal briefs were originally due seven days thereafter on July 2, 2020.7 However, Commerce extended the deadline to submit scope case and rebuttal briefs to July 23, 2020, and July 30, 2020, respectively.8 There will be no further 4 See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997). 5 See Initiation Notice. 6 See Memorandum, ‘‘Forged Steel Fluid End Blocks from the Federal Republic of Germany, India, Italy, and the People’s Republic of China: Scope Comments Decision Memorandum for the Preliminary Determinations,’’ dated May 18, 2020 (Preliminary Scope Decision Memorandum). 7 The scope case and rebuttal briefs were due 30 and 37 days, respectively, after the publication of Forged Steel Fluid End Blocks from the People’s Republic of China: Preliminary Affirmative Countervailing Duty Determination, and Alignment of Final Determination With Final Antidumping Duty Determination, 85 FR 31457 (May 26, 2020); Forged Steel Fluid End Blocks from Germany: Preliminary Affirmative Countervailing Duty Determination, and Alignment of Final Determination With Final Antidumping Duty Determination, 85 FR 31454 (May 26, 2020); Forged Steel Fluid End Blocks from India: Preliminary Affirmative Countervailing Duty Determination, and Alignment of Final Determination With Final Antidumping Duty Determination, 85 FR 31452 (May 26, 2020); Forged Steel Fluid End Blocks from Italy: Preliminary Affirmative Countervailing Duty Determination, and Alignment of Final Determination With Final Antidumping Duty Determination, 85 FR 31460 (May 26, 2020) (collectively, Fluid End Blocks CVD Determinations). See the Preliminary Scope Decision Memorandum at 4. Accordingly, the deadline for the scope case briefs was Thursday, June 25, 2020; and the deadline for the scope rebuttal briefs was Thursday, July 2, 2020. 8 See Memorandum ‘‘Antidumping and Countervailing Duty Investigations on Forged Steel E:\FR\FM\23JYN1.SGM Continued 23JYN1 44514 Federal Register / Vol. 85, No. 142 / Thursday, July 23, 2020 / Notices opportunity for comments on scoperelated issues.9 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. Furthermore, pursuant to sections 776(a) and (b) of the Act, Commerce has preliminarily relied on facts otherwise available, with adverse inferences, for Schmiedewerke Groditz GmbH (SWG) and voestalpine Bohler Group. For a full description of the methodology underlying the preliminary determination, see the Preliminary Decision Memorandum. jbell on DSKJLSW7X2PROD with NOTICES All-Others Rate Section 733(d)(1)(A)(ii) of the Act provides that in the preliminary determination Commerce shall determine an estimated all-others rate for all exporters and producers not individually examined. Pursuant to section 735(c)(5)(A) of the Act, 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. Pursuant to section 735(c)(5)(B) of the Act, if the estimated weighted-average dumping margins established for all exporters and producers individually examined are zero, de minimis or determined based entirely on facts otherwise available, Commerce may use any reasonable method to establish the estimated weighted-average dumping margin for all-other producers or exporters. Commerce has preliminarily determined that the estimated weightedaverage dumping margin for BGH Edelstahl Siegen GmbH (BGH Siegen) is zero. Additionally, Commerce preliminarily assigned a rate based entirely on facts available, under section 776 of the Act, to SWG. Therefore, pursuant to section 735(c)(5)(B) of the Act, we determine that it is reasonable Fluid End Blocks from the Federal Republic of Germany, India, Italy, and the People’s Republic of China: Revision of Schedule for Scope Case Briefs,’’ dated June 25, 2020. 9 Parties were already permitted the opportunity to file scope case and rebuttal briefs. Case briefs, other written comments, and rebuttal briefs submitted in response to this preliminary LTFV determination should not include scope-related issues. See Preliminary Scope Decision Memorandum at 4; see also ‘‘Public Comment’’ section of this notice. VerDate Sep<11>2014 17:10 Jul 22, 2020 Jkt 250001 to calculate the all-others rate based on a simple average of BGH Siegen’s zero percent margin and SWG’s adverse facts available (AFA) margin.10 For a full description of the methodology underlying Commerce’s analysis, see the Preliminary Decision Memorandum. to the company-specific estimated weighted-average dumping margins determined in this preliminary determination; (2) if the exporter is not a respondent identified above, but the producer is, then the cash deposit rate will be equal to the company-specific estimated weighted-average dumping Preliminary Determination margin established for that producer of Commerce preliminarily determines the subject merchandise; and (3) the that the following estimated weightedcash deposit rate for all other producers average dumping margins exist: and exporters will be equal to the allothers estimated weighted-average Estimated dumping margin. These suspension of weightedliquidation instructions will remain in average Exporter/producer effect until further notice. dumping Because the estimated weightedmargin (percent) average dumping margin for BGH Siegen is zero, entries of shipments of 11 0.00 BGH Edelstahl Siegen GmbH .... subject merchandise from this company Schmiedewerke Groditz GmbH .. ** 15.47 voestalpine Bohler Group ........... ** 15.47 will not be subject to suspension of liquidation or cash deposit All-Others ............................. 7.74 requirements. In such situations, Commerce applies the exclusion to the ** Adverse Facts Available (AFA). provisional measures to the producer/ Consistent with section 733(b)(3) of exporter combination that was the Act, Commerce disregards de examined in the investigation. minimis rates. Accordingly, Commerce Accordingly, Commerce is directing preliminarily determines that BGH CBP not to suspend liquidation of Siegen, an individually examined entries of subject merchandise produced respondent with a zero rate, has not and exported by BGH Siegen. Entries of made sales of subject merchandise at shipments of subject merchandise from LTFV. this company in any other producer/ exporter combination, or by third Suspension of Liquidation parties that sourced subject In accordance with section 733(d)(2) merchandise from the excluded of the Act, Commerce will direct U.S. producer/exporter combination, are Customs and Border Protection (CBP) to subject to the provisional measures at suspend liquidation of entries of subject the all-others rate. merchandise, as described in Appendix Should the final estimated weightedI, entered, or withdrawn from average dumping margin be zero or de warehouse, for consumption on or after minimis for the producer/exporter the date of publication of this notice in combination identified above, entries of the Federal Register, except for those shipments of subject merchandise from entries of subject merchandise produced this producer/exporter combination will and exported by BGH Siegen. Because be excluded from the potential the estimated weighted-average antidumping duty order. Such dumping margin for BGH Siegen is zero, exclusions are not applicable to we are not directing CBP to suspend merchandise exported to the United liquidation of entries of the subject States by this respondent in any other merchandise it produced and exported. producer/exporter combinations or by Further, pursuant to section third parties that sourced subject 733(d)(1)(B) of the Act and 19 CFR merchandise from the excluded 351.205(d), where appropriate, producer/exporter combination. Commerce will instruct CBP to require While Commerce normally adjusts a cash deposit equal to the estimated cash deposits for estimated antidumping weighted-average dumping margin or duties by the amount of export subsidies the estimated all-others rate, as follows: countervailed in a companion (1) The cash deposit rate for the countervailing duty (CVD) proceeding respondents listed above will be equal when CVD provisional measures are in effect, we have preliminarily not 10 See, e.g., Heavy Walled Rectangular Welded adjusted the cash deposit rates listed Carbon Steel Pipes and Tubes from the Republic of above because Commerce found no Turkey: Final Determination of Sales at Less Than Fair Value, 81 FR 47355 (July 21, 2016). countervailable export subsidies in the 11 See Memorandum, ‘‘Antidumping Duty preliminary determination of the Investigation of Forged Steel Fluid End Blocks from companion CVD investigation.12 the Republic of Germany: Preliminary Determination Margin Calculation for BGH Edelstahl Siegen GmbH,’’ dated concurrently with, and hereby adopted by, this notice. PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 12 See Forged Steel Fluid End Blocks from the Federal Republic of Germany: Preliminary E:\FR\FM\23JYN1.SGM 23JYN1 Federal Register / Vol. 85, No. 142 / Thursday, July 23, 2020 / Notices Disclosure Commerce intends to disclose its calculations and analysis performed to interested parties in this preliminary determination within five days of any public announcement or, if there is no public announcement, within five days of the date of publication of 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. jbell on DSKJLSW7X2PROD with NOTICES Public Comment Case briefs or other written comments on non-scope issues may be submitted to the Assistant Secretary for Enforcement and Compliance no later than seven days after the date on which the last verification report is issued in this investigation. Rebuttal briefs, limited to issues raised in these case briefs, may be submitted no later than seven days after the deadline date for case briefs.13 Note that Commerce has modified certain of its requirements for serving documents containing business proprietary information until further notice.14 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. 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 a time and date to be determined. Parties should confirm by telephone the date, time, and location of the hearing two days before the scheduled date. Affirmative Countervailing Duty Determination, and Alignment of Final Determination with Final Antidumping Duty Determination, 85 FR 31454 (May 26, 2020), and accompanying Preliminary Decision Memorandum. 13 See 19 CFR 351.309; see also 19 CFR 351.303 (for general filing requirements). 14 See Temporary Rule Modifying AD/CVD Service Requirements Due to COVID–19; Extension of Effective Period, 85 FR 41363 (July 10, 2020). VerDate Sep<11>2014 17:10 Jul 22, 2020 Jkt 250001 44515 Postponement of Final Determination and Extension of Provisional Measures threaten material injury to, the U.S. industry. 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 June 16, and 17, 2020, pursuant to 19 CFR 351.210(e), BGH Siegen and SWG requested, respectively, that Commerce postpone the final determination and that provisional measures be extended to a period not to exceed six months.15 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, pursuant to section 735(a)(2) of the Act. 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). 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, then 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 imports of fluid end blocks from Germany are materially injuring, or 15 See BGH Siegen’s Letter, ‘‘Forged Steel Fluid End Blocks from the Federal Republic of Germany: Request to Extend Final Determination and Provisional Measures,’’ dated June 16, 2020; see also SWG’s Letter, ‘‘Forged Steel Fluid End Blocks from Germany: Request for Extension of Final Determination,’’ dated June 17, 2020. PO 00000 Frm 00017 Fmt 4703 Sfmt 4703 Dated: July 16, 2020. Jeffrey I. Kessler, Assistant Secretary for Enforcement and Compliance. Appendix I Scope of the Investigation The products covered by this investigation are forged steel fluid end blocks (fluid end blocks), whether in finished or unfinished form, and which are typically used in the manufacture or service of hydraulic pumps. The term ‘‘forged’’ is an industry term used to describe the grain texture of steel resulting from the application of localized compressive force. Illustrative forging standards include, but are not limited to, American Society for Testing and Materials (ASTM) specifications A668 and A788. For purposes of this investigation, the term ‘‘steel’’ denotes metal containing the following chemical elements, by weight: (i) Iron greater than or equal to 60 percent; (ii) nickel less than or equal to 8.5 percent; (iii) copper less than or equal to 6 percent; (iv) chromium greater than or equal to 0.4 percent, but less than or equal to 20 percent; and (v) molybdenum greater than or equal to 0.15 percent, but less than or equal to 3 percent. Illustrative steel standards include, but are not limited to, American Iron and Steel Institute (AISI) or Society of Automotive Engineers (SAE) grades 4130, 4135, 4140, 4320, 4330, 4340, 8630, 15–5, 17–4, F6NM, F22, F60, and XM25, as well as modified varieties of these grades. The products covered by this investigation are: (1) Cut-to-length fluid end blocks with an actual height (measured from its highest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 mm), an actual width (measured from its widest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 mm), and an actual length (measured from its longest point) of 11 inches (279.4 mm) to 75 inches (1,905.0 mm); and (2) strings of fluid end blocks with an actual height (measured from its highest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 mm), an actual width (measured from its widest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 mm), and an actual length (measured from its longest point) up to 360 inches (9,144.0 mm). The products included in the scope of this investigation have a tensile strength of at least 70 KSI (measured in accordance with ASTM A370) and a hardness of at least 140 HBW (measured in accordance with ASTM E10). A fluid end block may be imported in finished condition (i.e., ready for incorporation into a pump fluid end assembly without further finishing operations) or unfinished condition (i.e., forged but still requiring one or more finishing operations before it is ready for E:\FR\FM\23JYN1.SGM 23JYN1 44516 Federal Register / Vol. 85, No. 142 / Thursday, July 23, 2020 / Notices incorporation into a pump fluid end assembly). Such finishing operations may include: (1) Heat treating; (2) milling one or more flat surfaces; (3) contour machining to custom shapes or dimensions; (4) drilling or boring holes; (5) threading holes; and/or (6) painting, varnishing, or coating. Excluded from the scope of this investigation are fluid end block assemblies which (1) include (a) plungers and related housings, adapters, gaskets, seals, and packing nuts, (b) valves and related seats, springs, seals, and cover nuts, and (c) a discharge flange and related seals, and (2) are otherwise ready to be mated with the ‘‘power end’’ of a hydraulic pump without the need for installation of any plunger, valve, or discharge flange components, or any other further manufacturing operations. The products included in the scope of this investigation may enter under Harmonized Tariff Schedule of the United States (HTSUS) subheadings 7218.91.0030, 7218.99.0030, 7224.90.0015, 7224.90.0045, 7326.19.0010, 7326.90.8688, or 8413.91.9055. While these HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope of the investigation is dispositive. (202) 482–5131 (this is not a toll-free number) or email at etca@trade.gov. SUPPLEMENTARY INFORMATION: Title III of the Export Trading Company Act of 1982 (15 U.S.C. Sections 4001–21) (‘‘the Act’’) authorizes the Secretary of Commerce to issue Export Trade Certificates of Review. An Export Trade Certificate of Review protects the holder and the members identified in the Certificate from State and Federal government antitrust actions and from private treble damage antitrust actions for the export conduct specified in the Certificate and carried out in compliance with its terms and conditions. The regulations implementing Title III are found at 15 CFR part 325. OTEA is issuing this notice pursuant to 15 CFR 325.6(a), which requires the Secretary of Commerce to publish a summary of the application in the Federal Register, identifying the applicant and each member and summarizing the proposed export conduct. Application No.: 84–31A12. Date Deemed Submitted: July 8, 2020. Proposed Amendment: Northwest Fruit Exporters seeks to amend its Certificate as follows: 1. Add the following company as a new Member of the Certificate within the meaning of section 325.2(l) of the Regulations (15 CFR 325.2(l)) for the following Export Product: Fresh sweet cherries: • Griggs Farms Packing, LLC, Orondo, WA 2. Delete the following companies as Members of the Certificate: • Peshastin Hi-Up Growers, Peshastin, WA • Strand Apples, Inc., Cowiche, WA 3. Change the Export Product coverage for one Member: • Stemilt Growers, LLC changes Export Product coverage from fresh sweet cherries, fresh apples, and fresh pears to fresh sweet cherries and fresh apples (dropping fresh pears) Appendix II Request for Public Comments Interested parties may submit written comments relevant to the determination whether an amended Certificate should be issued. If the comments include any privileged or confidential business information, it must be clearly marked and a nonconfidential version of the comments (identified as such) should be included. Any comments not marked as privileged or confidential business information will be deemed to be nonconfidential. An original and five (5) copies, plus two (2) copies of the nonconfidential version, should be submitted no later than 20 days after the date of this notice to: Office of Trade and Economic Analysis, International Trade Administration, U.S. Department of Commerce, Room 21028, Washington, DC 20230; and to email at etca@ trade.gov. Information submitted by any person is exempt from disclosure under the Freedom of Information Act (5 U.S.C. 552). However, nonconfidential versions of the comments will be made available to the applicant if necessary for determining whether or not to issue the amended Certificate. Comments should refer to this application as ‘‘Export Trade Certificate of Review, application number 84–31A12.’’ A summary of the application follows. Northwest Fruit Exporter’s Proposed Amendment of its Certificate Would Result in the Following Membership List List of Topics Discussed in the Preliminary Decision Memorandum I. Summary II. Background III. Period of Investigation IV. Scope of Investigation V. Application of Facts Available and Use of Adverse Inference VI. Discussion of the Methodology VII. Currency Conversion VIII. Recommendation [FR Doc. 2020–15912 Filed 7–22–20; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [Application No. 84–31A12] Export Trade Certificate of Review Notice of Application for an Amended Export Trade Certificate of Review by Northwest Fruit Exporters, Application No. 84–31A12. ACTION: The Office of Trade and Economic Analysis (‘‘OTEA’’) of the International Trade Administration, Department of Commerce, has received an application for an amended Export Trade Certificate of Review (‘‘Certificate’’). This notice summarizes the proposed amendment and requests comments relevant to whether the amended Certificate should be issued. FOR FURTHER INFORMATION CONTACT: Joseph Flynn, Director, Office of Trade and Economic Analysis, International Trade Administration, by telephone at jbell on DSKJLSW7X2PROD with NOTICES SUMMARY: VerDate Sep<11>2014 17:10 Jul 22, 2020 Jkt 250001 Summary of the Application Applicant: Northwest Fruit Exporters, 105 South 18th Street, Suite 105, Yakima, WA 98901. Contact: Fred Scarlett, Manager, (509) 453–3193. PO 00000 Frm 00018 Fmt 4703 Sfmt 4703 1. Allan Bros., Naches, WA 2. AltaFresh L.L.C. dba Chelan Fresh Marketing, Chelan, WA 3. Apple House Warehouse & Storage, Inc., Brewster, WA 4. Apple King, L.L.C., Yakima, WA 5. Auvil Fruit Co., Inc., Orondo, WA 6. Baker Produce, Inc., Kennewick, WA 7. Blue Bird, Inc., Peshastin, WA 8. Blue Star Growers, Inc., Cashmere, WA 9. Borton & Sons, Inc., Yakima, WA 10. Brewster Heights Packing & Orchards, LP, Brewster, WA 11. Chelan Fruit Cooperative, Chelan, WA 12. Chiawana, Inc. dba Columbia Reach Pack, Yakima, WA 13. CMI Orchards LLC, Wenatchee, WA 14. Columbia Fruit Packers, Inc., Wenatchee, WA 15. Columbia Valley Fruit, L.L.C., Yakima, WA 16. Congdon Packing Co. L.L.C., Yakima, WA 17. Conrad & Adams Fruit L.L.C., Grandview, WA 18. Cowiche Growers, Inc., Cowiche, WA 19. CPC International Apple Company, Tieton, WA 20. Crane & Crane, Inc., Brewster, WA 21. Custom Apple Packers, Inc., Quincy, and Wenatchee, WA 22. Diamond Fruit Growers, Inc., Odell, OR 23. Domex Superfresh Growers LLC, Yakima, WA 24. Douglas Fruit Company, Inc., Pasco, WA 25. Dovex Export Company, Wenatchee, WA 26. Duckwall Fruit, Odell, OR 27. E. Brown & Sons, Inc., Milton-Freewater, OR 28. Evans Fruit Co., Inc., Yakima, WA 29. E.W. Brandt & Sons, Inc., Parker, WA 30. FirstFruits Farms, LLC, Prescott, WA 31. Frosty Packing Co., LLC, Yakima, WA 32. G&G Orchards, Inc., Yakima, WA E:\FR\FM\23JYN1.SGM 23JYN1

Agencies

[Federal Register Volume 85, Number 142 (Thursday, July 23, 2020)]
[Notices]
[Pages 44513-44516]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-15912]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-428-847]


Forged Steel Fluid End Blocks From the Federal Republic of 
Germany: Preliminary Affirmative Determination of Sales at Less Than 
Fair Value, Postponement of Final Determination, and Extension of 
Provisional Measures

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that forged steel fluid end blocks (fluid end blocks) from the Federal 
Republic of Germany (Germany) are being, or are likely to be, sold in 
the United States at less than fair value (LTFV). The period of 
investigation (POI) is October 1, 2018 through September 30, 2019. 
Interested parties are invited to comment on this preliminary 
determination.

DATES: Applicable July 23, 2020.

FOR FURTHER INFORMATION CONTACT: Katherine Johnson or Alexis Cherry, 
AD/CVD Operations, Office VIII, Enforcement and Compliance, 
International Trade Administration, U.S. Department of Commerce, 1401 
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-4929 
or (202) 482-0607, 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 January 15, 
2020.\1\ On March 26, 2020, Commerce postponed the preliminary 
determination of this investigation, and the revised deadline is now 
July 16, 2020.\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. In 
addition, a complete version of the Preliminary Decision Memorandum can 
be accessed directly at http://enforcement.trade.gov/frn/. The signed 
and the electronic versions of the Preliminary Decision Memorandum are 
identical in content.
---------------------------------------------------------------------------

    \1\ See Forged Steel Fluid End Blocks from the Federal Republic 
of Germany, India and Italy: Initiation of Less-Than-Fair-Value 
Investigations, 85 FR 2394 (January 15, 2020) (Initiation Notice).
    \2\ See Forged Steel Fluid End Blocks from the Federal Republic 
of Germany, India and Italy: Postponement of Preliminary 
Determinations in the Less-Than-Fair-Value Investigations, 85 FR 
17042 (March 26, 2020).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Less-Than-Fair-Value Investigation of Forged 
Steel Fluid End Blocks from the Federal Republic of Germany,'' dated 
concurrently with, and hereby adopted by this notice (Preliminary 
Decision Memorandum).
---------------------------------------------------------------------------

Scope of the Investigation

    The products covered by this investigation are fluid end blocks 
from Germany, whether in finished or unfinished form, and which are 
typically used in the manufacture or service of hydraulic pumps. 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\ As 
discussed herein, Commerce is preliminarily modifying the scope 
language as it appeared in the Initiation Notice. See the revised scope 
in Appendix I to this notice.
---------------------------------------------------------------------------

    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice.
    \6\ See Memorandum, ``Forged Steel Fluid End Blocks from the 
Federal Republic of Germany, India, Italy, and the People's Republic 
of China: Scope Comments Decision Memorandum for the Preliminary 
Determinations,'' dated May 18, 2020 (Preliminary Scope Decision 
Memorandum).
---------------------------------------------------------------------------

    The scope case briefs were originally due on June 25, 2020, 30 days 
after the publication of Fluid End Blocks CVD Determinations, and scope 
rebuttal briefs were originally due seven days thereafter on July 2, 
2020.\7\ However, Commerce extended the deadline to submit scope case 
and rebuttal briefs to July 23, 2020, and July 30, 2020, 
respectively.\8\ There will be no further

[[Page 44514]]

opportunity for comments on scope-related issues.\9\
---------------------------------------------------------------------------

    \7\ The scope case and rebuttal briefs were due 30 and 37 days, 
respectively, after the publication of Forged Steel Fluid End Blocks 
from the People's Republic of China: Preliminary Affirmative 
Countervailing Duty Determination, and Alignment of Final 
Determination With Final Antidumping Duty Determination, 85 FR 31457 
(May 26, 2020); Forged Steel Fluid End Blocks from Germany: 
Preliminary Affirmative Countervailing Duty Determination, and 
Alignment of Final Determination With Final Antidumping Duty 
Determination, 85 FR 31454 (May 26, 2020); Forged Steel Fluid End 
Blocks from India: Preliminary Affirmative Countervailing Duty 
Determination, and Alignment of Final Determination With Final 
Antidumping Duty Determination, 85 FR 31452 (May 26, 2020); Forged 
Steel Fluid End Blocks from Italy: Preliminary Affirmative 
Countervailing Duty Determination, and Alignment of Final 
Determination With Final Antidumping Duty Determination, 85 FR 31460 
(May 26, 2020) (collectively, Fluid End Blocks CVD Determinations). 
See the Preliminary Scope Decision Memorandum at 4. Accordingly, the 
deadline for the scope case briefs was Thursday, June 25, 2020; and 
the deadline for the scope rebuttal briefs was Thursday, July 2, 
2020.
    \8\ See Memorandum ``Antidumping and Countervailing Duty 
Investigations on Forged Steel Fluid End Blocks from the Federal 
Republic of Germany, India, Italy, and the People's Republic of 
China: Revision of Schedule for Scope Case Briefs,'' dated June 25, 
2020.
    \9\ Parties were already permitted the opportunity to file scope 
case and rebuttal briefs. Case briefs, other written comments, and 
rebuttal briefs submitted in response to this preliminary LTFV 
determination should not include scope-related issues. See 
Preliminary Scope Decision Memorandum at 4; see also ``Public 
Comment'' section of 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. Furthermore, 
pursuant to sections 776(a) and (b) of the Act, Commerce has 
preliminarily relied on facts otherwise available, with adverse 
inferences, for Schmiedewerke Groditz GmbH (SWG) and voestalpine Bohler 
Group. For a full description of the methodology underlying the 
preliminary determination, see the Preliminary Decision Memorandum.

All-Others Rate

    Section 733(d)(1)(A)(ii) of the Act provides that in the 
preliminary determination Commerce shall determine an estimated all-
others rate for all exporters and producers not individually examined. 
Pursuant to section 735(c)(5)(A) of the Act, 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. Pursuant to 
section 735(c)(5)(B) of the Act, if the estimated weighted-average 
dumping margins established for all exporters and producers 
individually examined are zero, de minimis or determined based entirely 
on facts otherwise available, Commerce may use any reasonable method to 
establish the estimated weighted-average dumping margin for all-other 
producers or exporters.
    Commerce has preliminarily determined that the estimated weighted-
average dumping margin for BGH Edelstahl Siegen GmbH (BGH Siegen) is 
zero. Additionally, Commerce preliminarily assigned a rate based 
entirely on facts available, under section 776 of the Act, to SWG. 
Therefore, pursuant to section 735(c)(5)(B) of the Act, we determine 
that it is reasonable to calculate the all-others rate based on a 
simple average of BGH Siegen's zero percent margin and SWG's adverse 
facts available (AFA) margin.\10\ For a full description of the 
methodology underlying Commerce's analysis, see the Preliminary 
Decision Memorandum.
---------------------------------------------------------------------------

    \10\ See, e.g., Heavy Walled Rectangular Welded Carbon Steel 
Pipes and Tubes from the Republic of Turkey: Final Determination of 
Sales at Less Than Fair Value, 81 FR 47355 (July 21, 2016).
    \11\ See Memorandum, ``Antidumping Duty Investigation of Forged 
Steel Fluid End Blocks from the Republic of Germany: Preliminary 
Determination Margin Calculation for BGH Edelstahl Siegen GmbH,'' 
dated concurrently with, and hereby adopted by, this notice.
---------------------------------------------------------------------------

Preliminary Determination

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

------------------------------------------------------------------------
                                                               Estimated
                                                               weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margin
                                                               (percent)
------------------------------------------------------------------------
BGH Edelstahl Siegen GmbH...................................   \11\ 0.00
Schmiedewerke Groditz GmbH..................................    ** 15.47
voestalpine Bohler Group....................................    ** 15.47
                                                             -----------
    All-Others..............................................        7.74
------------------------------------------------------------------------
** Adverse Facts Available (AFA).

    Consistent with section 733(b)(3) of the Act, Commerce disregards 
de minimis rates. Accordingly, Commerce preliminarily determines that 
BGH Siegen, an individually examined respondent with a zero rate, has 
not made sales of subject merchandise at LTFV.

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, except for those 
entries of subject merchandise produced and exported by BGH Siegen. 
Because the estimated weighted-average dumping margin for BGH Siegen is 
zero, we are not directing CBP to suspend liquidation of entries of the 
subject merchandise it produced and exported.
    Further, pursuant to section 733(d)(1)(B) of the Act and 19 CFR 
351.205(d), where appropriate, Commerce will instruct CBP to require a 
cash deposit equal to the estimated weighted-average dumping margin or 
the estimated all-others rate, as follows: (1) The cash deposit rate 
for the respondents listed above will be equal to the company-specific 
estimated weighted-average dumping margins determined in this 
preliminary determination; (2) if the exporter is not a respondent 
identified above, but the producer is, then the cash deposit rate will 
be equal to the company-specific estimated weighted-average dumping 
margin established for that producer of the subject merchandise; and 
(3) the cash deposit rate for all other producers and exporters will be 
equal to the all-others estimated weighted-average dumping margin. 
These suspension of liquidation instructions will remain in effect 
until further notice.
    Because the estimated weighted-average dumping margin for BGH 
Siegen is zero, entries of shipments of subject merchandise from this 
company will not be subject to suspension of liquidation or cash 
deposit requirements. In such situations, Commerce applies the 
exclusion to the provisional measures to the producer/exporter 
combination that was examined in the investigation. Accordingly, 
Commerce is directing CBP not to suspend liquidation of entries of 
subject merchandise produced and exported by BGH Siegen. Entries of 
shipments of subject merchandise from this company in any other 
producer/exporter combination, or by third parties that sourced subject 
merchandise from the excluded producer/exporter combination, are 
subject to the provisional measures at the all-others rate.
    Should the final estimated weighted-average dumping margin be zero 
or de minimis for the producer/exporter combination identified above, 
entries of shipments of subject merchandise from this producer/exporter 
combination will be excluded from the potential antidumping duty order. 
Such exclusions are not applicable to merchandise exported to the 
United States by this respondent in any other producer/exporter 
combinations or by third parties that sourced subject merchandise from 
the excluded producer/exporter combination.
    While Commerce normally adjusts cash deposits for estimated 
antidumping duties by the amount of export subsidies countervailed in a 
companion countervailing duty (CVD) proceeding when CVD provisional 
measures are in effect, we have preliminarily not adjusted the cash 
deposit rates listed above because Commerce found no countervailable 
export subsidies in the preliminary determination of the companion CVD 
investigation.\12\
---------------------------------------------------------------------------

    \12\ See Forged Steel Fluid End Blocks from the Federal Republic 
of Germany: Preliminary Affirmative Countervailing Duty 
Determination, and Alignment of Final Determination with Final 
Antidumping Duty Determination, 85 FR 31454 (May 26, 2020), and 
accompanying Preliminary Decision Memorandum.

---------------------------------------------------------------------------

[[Page 44515]]

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
within five days of any public announcement or, if there is no public 
announcement, within five days of the date of publication of 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 on non-scope issues may be 
submitted to the Assistant Secretary for Enforcement and Compliance no 
later than seven days after the date on which the last verification 
report is issued in this investigation. Rebuttal briefs, limited to 
issues raised in these case briefs, may be submitted no later than 
seven days after the deadline date for case briefs.\13\ Note that 
Commerce has modified certain of its requirements for serving documents 
containing business proprietary information until further notice.\14\ 
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.
---------------------------------------------------------------------------

    \13\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
    \14\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July 
10, 2020).
---------------------------------------------------------------------------

    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 a time and date to be 
determined. Parties should confirm by telephone the date, time, and 
location of the hearing two days before the scheduled date.

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise, or in the event of a negative 
preliminary determination, a request for such postponement is made by 
the petitioner. 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 June 16, and 17, 2020, pursuant to 19 CFR 351.210(e), BGH Siegen 
and SWG requested, respectively, that Commerce postpone the final 
determination and that provisional measures be extended to a period not 
to exceed six months.\15\ 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, pursuant to 
section 735(a)(2) of the Act.
---------------------------------------------------------------------------

    \15\ See BGH Siegen's Letter, ``Forged Steel Fluid End Blocks 
from the Federal Republic of Germany: Request to Extend Final 
Determination and Provisional Measures,'' dated June 16, 2020; see 
also SWG's Letter, ``Forged Steel Fluid End Blocks from Germany: 
Request for Extension of Final Determination,'' dated June 17, 2020.
---------------------------------------------------------------------------

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, then 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 imports of fluid end blocks from Germany 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: July 16, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The products covered by this investigation are forged steel 
fluid end blocks (fluid end blocks), whether in finished or 
unfinished form, and which are typically used in the manufacture or 
service of hydraulic pumps.
    The term ``forged'' is an industry term used to describe the 
grain texture of steel resulting from the application of localized 
compressive force. Illustrative forging standards include, but are 
not limited to, American Society for Testing and Materials (ASTM) 
specifications A668 and A788.
    For purposes of this investigation, the term ``steel'' denotes 
metal containing the following chemical elements, by weight: (i) 
Iron greater than or equal to 60 percent; (ii) nickel less than or 
equal to 8.5 percent; (iii) copper less than or equal to 6 percent; 
(iv) chromium greater than or equal to 0.4 percent, but less than or 
equal to 20 percent; and (v) molybdenum greater than or equal to 
0.15 percent, but less than or equal to 3 percent. Illustrative 
steel standards include, but are not limited to, American Iron and 
Steel Institute (AISI) or Society of Automotive Engineers (SAE) 
grades 4130, 4135, 4140, 4320, 4330, 4340, 8630, 15-5, 17-4, F6NM, 
F22, F60, and XM25, as well as modified varieties of these grades.
    The products covered by this investigation are: (1) Cut-to-
length fluid end blocks with an actual height (measured from its 
highest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 mm), an 
actual width (measured from its widest point) of 8 inches (203.2 mm) 
to 40 inches (1,016.0 mm), and an actual length (measured from its 
longest point) of 11 inches (279.4 mm) to 75 inches (1,905.0 mm); 
and (2) strings of fluid end blocks with an actual height (measured 
from its highest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 
mm), an actual width (measured from its widest point) of 8 inches 
(203.2 mm) to 40 inches (1,016.0 mm), and an actual length (measured 
from its longest point) up to 360 inches (9,144.0 mm).
    The products included in the scope of this investigation have a 
tensile strength of at least 70 KSI (measured in accordance with 
ASTM A370) and a hardness of at least 140 HBW (measured in 
accordance with ASTM E10).
    A fluid end block may be imported in finished condition (i.e., 
ready for incorporation into a pump fluid end assembly without 
further finishing operations) or unfinished condition (i.e., forged 
but still requiring one or more finishing operations before it is 
ready for

[[Page 44516]]

incorporation into a pump fluid end assembly). Such finishing 
operations may include: (1) Heat treating; (2) milling one or more 
flat surfaces; (3) contour machining to custom shapes or dimensions; 
(4) drilling or boring holes; (5) threading holes; and/or (6) 
painting, varnishing, or coating.
    Excluded from the scope of this investigation are fluid end 
block assemblies which (1) include (a) plungers and related 
housings, adapters, gaskets, seals, and packing nuts, (b) valves and 
related seats, springs, seals, and cover nuts, and (c) a discharge 
flange and related seals, and (2) are otherwise ready to be mated 
with the ``power end'' of a hydraulic pump without the need for 
installation of any plunger, valve, or discharge flange components, 
or any other further manufacturing operations.
    The products included in the scope of this investigation may 
enter under Harmonized Tariff Schedule of the United States (HTSUS) 
subheadings 7218.91.0030, 7218.99.0030, 7224.90.0015, 7224.90.0045, 
7326.19.0010, 7326.90.8688, or 8413.91.9055. While these HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the scope of the investigation is 
dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope of Investigation
V. Application of Facts Available and Use of Adverse Inference
VI. Discussion of the Methodology
VII. Currency Conversion
VIII. Recommendation

[FR Doc. 2020-15912 Filed 7-22-20; 8:45 am]
BILLING CODE 3510-DS-P