Circular Welded Carbon-Quality Steel Pipe From the United Arab Emirates: Notice of Court Decision Not in Harmony With the Results of Antidumping Duty Administrative Review; Notice of Amended Final Results, 77071-77072 [2022-27329]

Download as PDF Federal Register / Vol. 87, No. 241 / Friday, December 16, 2022 / Notices DEPARTMENT OF COMMERCE International Trade Administration [[A–520–807] Circular Welded Carbon-Quality Steel Pipe From the United Arab Emirates: Notice of Court Decision Not in Harmony With the Results of Antidumping Duty Administrative Review; Notice of Amended Final Results Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: On December 8, 2022, the U.S. Court of International Trade (CIT) issued its final judgment in Universal Tube and Plastic Indus., Ltd. v. United States, Court no. 20–03944, sustaining the Department of Commerce (Commerce)’s remand results pertaining to the administrative review of the antidumping duty (AD) order on circular welded carbon-quality steel pipe (CWP) from the United Arab Emirates (UAE) covering the period December 1, 2017, through November 30, 2018. Commerce is notifying the public that the CIT’s final judgment is not in harmony with Commerce’s final results of the administrative review, and that Commerce is amending the final results with respect to the dumping margin assigned to Universal Tube and Plastic Industries, Ltd. (UTP)/THL Tube and Pipe Industries LLC (THL)/KHK Scaffolding and Formwork LLC (KHK) (collectively, Universal). DATES: Applicable December 18, 2022. FOR FURTHER INFORMATION CONTACT: Benjamin A. Luberda, AD/CVD Operations, Office II, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–2185. SUPPLEMENTARY INFORMATION: AGENCY: Background lotter on DSK11XQN23PROD with NOTICES1 On December 1, 2020, Commerce published its Final Results in the 2017– 2018 AD administrative review of CWP from the UAE, in which Commerce calculated a weighted-average dumping margin of 3.79 percent for Universal.1 1 See Circular Welded Carbon-Quality Steel Pipe from the United Arab Emirates: Final Results of Antidumping Duty Administrative Review; 2017– 2018, 85 FR 77159, 77160 (December 1, 2020) (Final Results). In the less-than-fair-value investigation, Commerce found that UTP, Universal Tube and Pipe Industries, LLC, and KHK should be treated as a single entity. See Circular Welded Carbon-Quality Steel Pipe from the United Arab Emirates: Final Determination of Sales at Less Than Fair Value, 81 FR 75030 (October 28, 2016). Further, in the 2016– VerDate Sep<11>2014 20:05 Dec 15, 2022 Jkt 259001 After correcting ministerial errors contained in the Final Results, on January 5, 2021, Commerce published the Amended Final Results and revised the calculated weighted-average dumping margin for Universal to 3.63 percent.2 Universal appealed Commerce’s Final Results/Amended Final Results. On July 15, 2022, the CIT remanded the Final Results/Amended Final Results to Commerce, holding that Commerce: (1) failed to demonstrate that its methodology to determine whether to grant a level of trade (LOT) adjustment and/or a constructed export price (CEP) offset achieved a ‘‘fair comparison’’ between CEP and normal value; and (2) failed to consider certain record evidence in its final finding that neither an LOT adjustment nor CEP offset was warranted for Universal.3 In its final remand redetermination, issued in October 2022, Commerce found that Universal made sales in the home market at two LOTs, and therefore an LOT adjustment was warranted for Universal when comparing its U.S. sales to home market sales made at a more advanced LOT.4 The CIT sustained Commerce’s final redetermination.5 Timken Notice In its decision in Timken,6 as clarified by Diamond Sawblades,7 the Court of Appeals for the Federal Circuit held that, pursuant to section 516A(c) and (e) 2017 administrative review of this order, we determined that THL is the successor-in-interest to Universal Tube and Pipe Industries, LLC. See Circular Welded Carbon-Quality Steel Pipe from the United Arab Emirates: Final Results of Antidumping Duty Administrative Review; 2016– 2017, 84 FR 44845 (August 27, 2019). Absent information to the contrary, Commerce continued to treat Universal as a single entity for the purposes of the 2017–2018 administrative review of this order. See Circular Welded Carbon-Quality Steel Pipe from the United Arab Emirates: Preliminary Results of Antidumping Duty Administrative Review; 2017–2018, 85 FR 7279, 7279 (n. 3) (February 7, 2020), and accompanying Preliminary Decision Memorandum (PDM), unchanged in Final Results and Circular Welded Carbon-Quality Steel Pipe from the United Arab Emirates: Amended Final Results of Antidumping Duty Administrative Review, 86 FR 289 (January 5, 2021) (Amended Final Results). 2 See Amended Final Results. 3 See Universal Tube and Plastic Indus., Ltd. v. United States, Court No. 20–03944, Slip Op. 22–83 (CIT July 15, 2022). 4 See ‘‘Universal Tube and Plastic Indus., Ltd. v. United States, Court No. 20–03944, Slip Op. 22–83 (CIT July 15, 2022) Final Results of Redetermination Pursuant to Court Remand,’’ issued on October 13, 2022. 5 See Universal Tube and Plastic Indus., Ltd. v. United States, Court No. 20–03944, Slip Op. 22–139 (CIT December 8, 2022). 6 See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 1990) (Timken). 7 See Diamond Sawblades Mfrs. Coal. v. United States, 626 F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades). PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 77071 of the Tariff Act of 1930, as amended (the Act), Commerce must publish a notice of court decision that is not ‘‘in harmony’’ with a Commerce determination and must suspend liquidation of entries pending a ‘‘conclusive’’ court decision. The CIT’s December 8, 2022, judgment constitutes a final decision of the CIT that is not in harmony with Commerce’s Final Results. Thus, this notice is published in fulfillment of the publication requirements of Timken. Amended Final Results Because there is now a final court judgment, Commerce is amending the calculated weighted-average dumping margin for Universal as follows: Exporter/producer Weightedaverage dumping margin (percent) Universal Tube and Plastic Industries, Ltd. (UTP)/THL Tube and Pipe Industries LLC (THL)/KHK Scaffolding and Formwork LLC ........................ 1.18 Cash Deposit Requirements Because Universal has a superseding cash deposit rate, i.e., there have been final results published in a subsequent administrative review, we will not issue revised cash deposit instructions to U.S. Customs and Border Protection (CBP). This notice will not affect the current cash deposit rate. Liquidation of Suspended Entries At this time, Commerce remains enjoined by CIT order from liquidating entries that: were produced and exported by Universal, and were entered, or withdrawn from warehouse, for consumption during the period December 1, 2017, through November 30, 2018. These entries will remain enjoined pursuant to the terms of the injunction during the pendency of any appeals process. In the event the CIT’s ruling is not appealed, or, if appealed, upheld by a final and conclusive court decision, Commerce intends to instruct CBP to assess antidumping duties on unliquidated entries of subject merchandise produced and exported by Universal in accordance with 19 CFR 351.212(b). We will instruct CBP to assess antidumping duties on all appropriate entries covered by this review when the importer-specific ad valorem assessment rate is not zero or de minimis. Where an importer-specific ad valorem assessment rate is zero or de E:\FR\FM\16DEN1.SGM 16DEN1 77072 Federal Register / Vol. 87, No. 241 / Friday, December 16, 2022 / Notices minimis,8 we will instruct CBP to liquidate the appropriate entries without regard to antidumping duties. Notification to Interested Parties This notice is issued and published in accordance with sections 516A(c) and (e) and 777(i)(1) of the Act. Dated: December 12, 2022. Lisa W. Wang, Assistant Secretary for Enforcement and Compliance. [FR Doc. 2022–27329 Filed 12–15–22; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–580–829] Stainless Steel Wire Rod From the Republic of Korea: Preliminary Negative Determination of Circumvention of the Antidumping Order and Postponement of Final Determination Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily determines that U.S. imports of stainless steel round wire (SSWire) from the Socialist Republic of Vietnam (Vietnam) are not circumventing the antidumping duty (AD) order on stainless steel wire rod (SSWR) from the Republic of Korea (Korea). DATES: Applicable December 16, 2022. FOR FURTHER INFORMATION CONTACT: Hermes Pinilla or Byeong-hun You, AD/ CVD Operations, Office I, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–3477 or (202) 482–1018, respectively. SUPPLEMENTARY INFORMATION: lotter on DSK11XQN23PROD with NOTICES1 AGENCY: Background On September 15, 1998, Commerce published the order on imports of SSWR from Korea.1 On May 18, 2021, North American Stainless (NAS) requested that Commerce initiate a circumvention inquiry, pursuant to section 781(c) of the Tariff Act of 1930, as amended (the Act), to determine whether SSWire from Vietnam involves a minor alteration to 8 See 19 CFR 351.106(c)(2). Notice of Amendment of Final Determination of Sales at Less Than Fair Value and Antidumping Duty Order: Stainless Steel Wire Rod from Korea, 63 FR 49331 (September 15, 1998) (Order). 1 See VerDate Sep<11>2014 20:05 Dec 15, 2022 Jkt 259001 subject merchandise, such that it should be subject to the Order.2 On February 1, 2022, Commerce initiated a countrywide circumvention inquiry to determine whether U.S. imports of SSWire from Vietnam involves a minor alteration to subject merchandise, such that it should be subject to the order on SSWR from Korea.3 On March 25, 2022, Commerce selected KOS Vietnam Company Ltd., (KOS Vietnam), Kuang Tai Metal (Vietnam) Company, Ltd. (Kuang Tai Metal) and Tengyuan Wire (Vietnam) Company Limited (Tengyuan Wire), as the mandatory respondents in this circumvention inquiry.4 In March 2022, Commerce issued questionnaires to the three respondents.5 In May 2022, all three respondents submitted timely responses.6 Between June and August 2022, we issued multiple supplemental questionnaires to KOS Vietnam, Kuang Tai Metal, and Tengyuan Wire and received timely responses.7 On September 14, 2022, the domestic interested party, North American Stainless (NAS) filed pre-preliminary comments.8 On September 20, 2022, Tengyuan Wire submitted prepreliminary rebuttal comments.9 On September 23, 2022, KOS Vietnam 2 See NAS’s Letter, ‘‘Request for Circumvention Ruling Pursuant to Section 781(c),’’ dated May 18, 2021 (Circumvention Allegation). 3 See Stainless Steel Wire Rod from the Republic of Korea: Initiation of Circumvention Inquiry of Antidumping Duty Order, 87 FR 5468 (February 1, 2022). 4 See Memorandum, ‘‘Respondent Selection,’’ dated March 25, 2022. 5 See Commerce’s Letters, ‘‘Circumvention Inquiry Initial Questionnaire,’’ dated March 29, 2022. 6 See Kuang Tai Metal’s Questionnaire Response, ‘‘Response to questionnaire dated March 29, 2022,’’ submitted on May 13, 2022 (Kuang Tai Metal’s Qre Response); see also KOS Vietnam’s Letter, ‘‘Initial Questionnaire Response,’’ dated May 17, 2022 (KOS Vietnam’s Qre Response); and Teng Yuan Wire’s Questionnaire Response, ‘‘Response to questionnaire dated March 29, 2022,’’ dated May 10, 2022 (Teng Yuan Wire’s Qre Response). 7 See Kuang Tai’s Letter, ‘‘Circumvention Supplemental Questionnaire,’’ dated July 06, 2022 (Kuang Tai Metal SQR); see also KOS Vietnam’s Letter, ‘‘Supplemental Questionnaire Response’’ dated July 13, 2022 (KOS Vietnam SQR); Tengyuan Wire’s’ Letter, ‘‘Circumvention Inquiry Initial Questionnaire,’’ dated July 20, 2022 (Tengyuan SQR); Kuang Tai Metal’s Letter, ‘‘Circumvention Inquiry 2nd Supplemental Questionnaire,’’ dated August 3, 2022 (Kuang Tai Metal 2nd SQR); KOS Vietnam’s Letter, ‘‘Second Supplemental Questionnaire Response, dated August 23, 2022 (KOS Vietnam 2nd SQR); and, Tengyuan Wire’s Letter, ‘‘Circumvention Inquiry Initial Questionnaire,’’ dated August 23, 2022 (Tengyuan Wire 2nd SQR). 8 See NAS’ Letter, ‘‘NAS’s Pre-Preliminary Comments,’’ dated September 15, 2022 (NAS PrePrelim Comments). 9 See Tengyuan Wire’s Letter, ‘‘Pre-Preliminary Rebuttal Comments,’’ dated September 20, 2022 (Tengyuan Wire’s Rebuttal Comments). PO 00000 Frm 00016 Fmt 4703 Sfmt 4703 submitted pre-preliminary rebuttal comments.10 Scope of the Order 11 For a full description of the scope of the Order, see the Preliminary Decision Memorandum.12 Merchandise Subject to the Circumvention Inquiry This circumvention inquiry covers SSWire completed in Vietnam using Korea-origin SSWR and subsequently exported from Vietnam to the United States Statutory and Regulatory Framework Section 781(c) of the Act, provides that Commerce may find circumvention of an AD or CVD order when merchandise of the same class or kind as subject merchandise has been ‘‘altered in form or appearance in minor respects...whether or not included in the same tariff classification.’’ Further, section 781(c)(2) of the Act provides an exception that ‘‘{p}aragraph 1 shall not apply with respect to altered merchandise if the administering authority determines that it would be unnecessary to consider the altered merchandise within the scope of the {order}.’’ While the Act is silent as to what factors to consider in determining whether alterations are properly considered ‘‘minor,’’ the legislative history of this provision indicates that there are certain factors that should be considered before reaching a circumvention determination. In conducting a circumvention inquiry under section 781(c) of the Act, Commerce has generally relied upon ‘‘such criteria as the overall physical characteristics of the merchandise, the expectations of the ultimate users, the use of the merchandise, the channels of marketing and the cost of any modification relative to the total value of the imported products.’’ 13 Concerning the allegation of minor alteration under section 781(c) of the Act, Commerce examines such factors as: (1) overall physical characteristics; 10 See KOS Vietnam’s Letter, ‘‘KOS Vietnam’s Pre-Preliminary Rebuttal Comments,’’ dated September 26, 2022 (KOS Vietnam’s Rebuttal Comments). 11 See Order. 12 See Memorandum, ‘‘Stainless Steel Wire Rod from the Republic of Korea: Preliminary Decision Memorandum for the Circumvention Inquiry on the Antidumping Duty Order,’’ dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum) at 3–4. 13 See Carbon and Certain Alloy Steel Wire Rod from Mexico: Initiation of Anti-Circumvention Inquiry of Antidumping Duty Order, 83 FR 5405 (February 7, 2018) (citing S. rep. No 71, 100th Cong., 1sr Sess. 100 (1987)). E:\FR\FM\16DEN1.SGM 16DEN1

Agencies

[Federal Register Volume 87, Number 241 (Friday, December 16, 2022)]
[Notices]
[Pages 77071-77072]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-27329]



[[Page 77071]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[[A-520-807]


Circular Welded Carbon-Quality Steel Pipe From the United Arab 
Emirates: Notice of Court Decision Not in Harmony With the Results of 
Antidumping Duty Administrative Review; Notice of Amended Final Results

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

SUMMARY: On December 8, 2022, the U.S. Court of International Trade 
(CIT) issued its final judgment in Universal Tube and Plastic Indus., 
Ltd. v. United States, Court no. 20-03944, sustaining the Department of 
Commerce (Commerce)'s remand results pertaining to the administrative 
review of the antidumping duty (AD) order on circular welded carbon-
quality steel pipe (CWP) from the United Arab Emirates (UAE) covering 
the period December 1, 2017, through November 30, 2018. Commerce is 
notifying the public that the CIT's final judgment is not in harmony 
with Commerce's final results of the administrative review, and that 
Commerce is amending the final results with respect to the dumping 
margin assigned to Universal Tube and Plastic Industries, Ltd. (UTP)/
THL Tube and Pipe Industries LLC (THL)/KHK Scaffolding and Formwork LLC 
(KHK) (collectively, Universal).

DATES: Applicable December 18, 2022.

FOR FURTHER INFORMATION CONTACT: Benjamin A. Luberda, AD/CVD 
Operations, Office II, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-2185.

SUPPLEMENTARY INFORMATION: 

Background

    On December 1, 2020, Commerce published its Final Results in the 
2017-2018 AD administrative review of CWP from the UAE, in which 
Commerce calculated a weighted-average dumping margin of 3.79 percent 
for Universal.\1\ After correcting ministerial errors contained in the 
Final Results, on January 5, 2021, Commerce published the Amended Final 
Results and revised the calculated weighted-average dumping margin for 
Universal to 3.63 percent.\2\
---------------------------------------------------------------------------

    \1\ See Circular Welded Carbon-Quality Steel Pipe from the 
United Arab Emirates: Final Results of Antidumping Duty 
Administrative Review; 2017-2018, 85 FR 77159, 77160 (December 1, 
2020) (Final Results). In the less-than-fair-value investigation, 
Commerce found that UTP, Universal Tube and Pipe Industries, LLC, 
and KHK should be treated as a single entity. See Circular Welded 
Carbon-Quality Steel Pipe from the United Arab Emirates: Final 
Determination of Sales at Less Than Fair Value, 81 FR 75030 (October 
28, 2016). Further, in the 2016-2017 administrative review of this 
order, we determined that THL is the successor-in-interest to 
Universal Tube and Pipe Industries, LLC. See Circular Welded Carbon-
Quality Steel Pipe from the United Arab Emirates: Final Results of 
Antidumping Duty Administrative Review; 2016-2017, 84 FR 44845 
(August 27, 2019). Absent information to the contrary, Commerce 
continued to treat Universal as a single entity for the purposes of 
the 2017-2018 administrative review of this order. See Circular 
Welded Carbon-Quality Steel Pipe from the United Arab Emirates: 
Preliminary Results of Antidumping Duty Administrative Review; 2017-
2018, 85 FR 7279, 7279 (n. 3) (February 7, 2020), and accompanying 
Preliminary Decision Memorandum (PDM), unchanged in Final Results 
and Circular Welded Carbon-Quality Steel Pipe from the United Arab 
Emirates: Amended Final Results of Antidumping Duty Administrative 
Review, 86 FR 289 (January 5, 2021) (Amended Final Results).
    \2\ See Amended Final Results.
---------------------------------------------------------------------------

    Universal appealed Commerce's Final Results/Amended Final Results. 
On July 15, 2022, the CIT remanded the Final Results/Amended Final 
Results to Commerce, holding that Commerce: (1) failed to demonstrate 
that its methodology to determine whether to grant a level of trade 
(LOT) adjustment and/or a constructed export price (CEP) offset 
achieved a ``fair comparison'' between CEP and normal value; and (2) 
failed to consider certain record evidence in its final finding that 
neither an LOT adjustment nor CEP offset was warranted for 
Universal.\3\
---------------------------------------------------------------------------

    \3\ See Universal Tube and Plastic Indus., Ltd. v. United 
States, Court No. 20-03944, Slip Op. 22-83 (CIT July 15, 2022).
---------------------------------------------------------------------------

    In its final remand redetermination, issued in October 2022, 
Commerce found that Universal made sales in the home market at two 
LOTs, and therefore an LOT adjustment was warranted for Universal when 
comparing its U.S. sales to home market sales made at a more advanced 
LOT.\4\ The CIT sustained Commerce's final redetermination.\5\
---------------------------------------------------------------------------

    \4\ See ``Universal Tube and Plastic Indus., Ltd. v. United 
States, Court No. 20-03944, Slip Op. 22-83 (CIT July 15, 2022) Final 
Results of Redetermination Pursuant to Court Remand,'' issued on 
October 13, 2022.
    \5\ See Universal Tube and Plastic Indus., Ltd. v. United 
States, Court No. 20-03944, Slip Op. 22-139 (CIT December 8, 2022).
---------------------------------------------------------------------------

Timken Notice

    In its decision in Timken,\6\ as clarified by Diamond Sawblades,\7\ 
the Court of Appeals for the Federal Circuit held that, pursuant to 
section 516A(c) and (e) of the Tariff Act of 1930, as amended (the 
Act), Commerce must publish a notice of court decision that is not ``in 
harmony'' with a Commerce determination and must suspend liquidation of 
entries pending a ``conclusive'' court decision. The CIT's December 8, 
2022, judgment constitutes a final decision of the CIT that is not in 
harmony with Commerce's Final Results. Thus, this notice is published 
in fulfillment of the publication requirements of Timken.
---------------------------------------------------------------------------

    \6\ See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 
1990) (Timken).
    \7\ See Diamond Sawblades Mfrs. Coal. v. United States, 626 F.3d 
1374 (Fed. Cir. 2010) (Diamond Sawblades).
---------------------------------------------------------------------------

Amended Final Results

    Because there is now a final court judgment, Commerce is amending 
the calculated weighted-average dumping margin for Universal as 
follows:

------------------------------------------------------------------------
                                                              Weighted-
                                                               average
                     Exporter/producer                         dumping
                                                                margin
                                                              (percent)
------------------------------------------------------------------------
Universal Tube and Plastic Industries, Ltd. (UTP)/THL Tube         1.18
 and Pipe Industries LLC (THL)/KHK Scaffolding and Formwork
 LLC.......................................................
------------------------------------------------------------------------

Cash Deposit Requirements

    Because Universal has a superseding cash deposit rate, i.e., there 
have been final results published in a subsequent administrative 
review, we will not issue revised cash deposit instructions to U.S. 
Customs and Border Protection (CBP). This notice will not affect the 
current cash deposit rate.

Liquidation of Suspended Entries

    At this time, Commerce remains enjoined by CIT order from 
liquidating entries that: were produced and exported by Universal, and 
were entered, or withdrawn from warehouse, for consumption during the 
period December 1, 2017, through November 30, 2018. These entries will 
remain enjoined pursuant to the terms of the injunction during the 
pendency of any appeals process.
    In the event the CIT's ruling is not appealed, or, if appealed, 
upheld by a final and conclusive court decision, Commerce intends to 
instruct CBP to assess antidumping duties on unliquidated entries of 
subject merchandise produced and exported by Universal in accordance 
with 19 CFR 351.212(b). We will instruct CBP to assess antidumping 
duties on all appropriate entries covered by this review when the 
importer-specific ad valorem assessment rate is not zero or de minimis. 
Where an importer-specific ad valorem assessment rate is zero or de

[[Page 77072]]

minimis,\8\ we will instruct CBP to liquidate the appropriate entries 
without regard to antidumping duties.
---------------------------------------------------------------------------

    \8\ See 19 CFR 351.106(c)(2).
---------------------------------------------------------------------------

Notification to Interested Parties

    This notice is issued and published in accordance with sections 
516A(c) and (e) and 777(i)(1) of the Act.

    Dated: December 12, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2022-27329 Filed 12-15-22; 8:45 am]
BILLING CODE 3510-DS-P
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