Oil Country Tubular Goods From the People's Republic of China: Initiation of Circumvention Inquiry on the Antidumping and Countervailing Duty Orders, 102864-102866 [2024-29911]

Download as PDF 102864 Federal Register / Vol. 89, No. 243 / Wednesday, December 18, 2024 / Notices information to value factors under 19 CFR 351.408(c), or to measure the adequacy of remuneration under 19 CFR 351.511(a)(2), filed pursuant to 19 CFR 351.301(c)(3) and rebuttal, clarification and correction filed pursuant to 19 CFR 351.301(c)(3)(iv); (3) comments concerning the selection of a surrogate country and surrogate values and rebuttal; (4) comments concerning CBP data; and (5) Q&V questionnaires. Under certain circumstances, Commerce may elect to specify a different time limit by which extension requests will be considered untimely for submissions which are due from multiple parties simultaneously. In such a case, Commerce will inform parties in the letter or memorandum setting forth the deadline (including a specified time) by which extension requests must be filed to be considered timely. This policy also requires that an extension request must be made in a separate, standalone submission, and clarifies the circumstances under which Commerce will grant untimely-filed requests for the extension of time limits. Please review the Final Rule, available at https:// www.gpo.gov/fdsys/pkg/FR-2013-09-20/ html/2013-22853.htm, prior to submitting factual information in these segments. These initiations and this notice are in accordance with section 751(a) of the Act (19 U.S.C. 1675(a)) and 19 CFR 351.221(c)(1)(i). Dated: December 12, 2024. Scot Fullerton, Acting Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations. [FR Doc. 2024–30029 Filed 12–17–24; 8:45 am] (USW) (collectively, the requestors), the U.S. Department of Commerce (Commerce) is initiating a country-wide circumvention inquiry to determine whether imports of seamless oil country tubular goods (OCTG) from the People’s Republic of China (China) which are completed in Thailand from steel billets produced in China are circumventing the antidumping (AD) and countervailing duty (CVD) orders on OCTG from China. DATES: Applicable December 18, 2024. FOR FURTHER INFORMATION CONTACT: Barb Rawdon, AD/CVD Office of Policy, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482–0474. SUPPLEMENTARY INFORMATION: Background On July 18, 2024, pursuant to section 781(b) of the Tariff Act of 1930, as amended (the Act), and 19 CFR 351.226(i), the requestors 1 filed a circumvention inquiry request alleging that OCTG completed in Thailand using steel billets manufactured in China, is circumventing the AD and CVD orders on OCTG from China 2 and, accordingly, should be included within the scope of the Orders.3 On August 20, 2024, we extended the deadline to initiate this circumvention inquiry in accordance with 19 CFR 351.226(d)(1).4 On September 6, 2023, we issued a supplemental (deficiency) questionnaire to the requestors, directing them to resubmit their inquiry requests and provide additional information.5 In our request for information, we clarified that BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE International Trade Administration [A–570–943, C–570–944] Oil Country Tubular Goods From the People’s Republic of China: Initiation of Circumvention Inquiry on the Antidumping and Countervailing Duty Orders Enforcement and Compliance, International Trade Administration, Department of Commerce. khammond on DSK9W7S144PROD with NOTICES AGENCY: In response to a request from the Committee on Pipe and Tube Imports Subcommittee for OCTG (the CPTI OCTG Subcommittee) and the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union, AFL–CIO, CLC SUMMARY: VerDate Sep<11>2014 18:09 Dec 17, 2024 Jkt 265001 1 The Requestors are the Committee on Pipe and Tube Imports Subcommittee for OCTG (CPTI OCTG Subcommittee) and the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union, AFL–CIO, CLC (USW). The individual members of the CPTI OCTG Subcommittee are Axis Pipe and Tube, Benteler Steel & Tube Corporation, Borusan Mannesmann Pipe US Inc., PTC Liberty Tubulars LLC, Vallourec Star, and Welded Tube USA, Inc. See Requestors’ Letter, ‘‘Response to Second Request for Information,’’ dated November 12, 2024 (Circumvention Request). 2 See Certain Oil Country Tubular Goods from the People’s Republic of China: Amended Final Determination of Sales at Less Than Fair Value and Antidumping Duty Order, 75 FR 28551 (May 21, 2010); see also Certain Oil Country Tubular Goods from the People’s Republic of China: Amended Final Affirmative Countervailing Duty Determination and Countervailing Duty Order, 75 FR 3203 (January 20, 2010) (collectively, Orders). 3 See Requestor’s Letter, ‘‘Request for Circumvention Inquiry,’’ dated July 18, 2024. 4 See Memorandum, ‘‘Extension of Time to Determine Whether to Initiate Circumvention Inquiry,’’ dated August 20, 2024. 5 See Commerce’s Letter, ‘‘Supplemental Questionnaire,’’ dated September 6, 2024. PO 00000 Frm 00013 Fmt 4703 Sfmt 4703 we issued the request because we had found that the request to conduct the circumvention inquiry was insufficient for purposes of initiation, in accordance with 19 CFR 351.226(d)(1). Additionally, we clarified that the 30day time period for Commerce to consider whether to initiate on the requestors’ circumvention inquiry will begin with the requestors’ response to Commerce’s September 6, 2024, letter.6 On September 25, 2024, the requestors filed their response.7 On October 23, 2024, Commerce issued a second supplemental questionnaire.8 In our request for information, we clarified that we issued the request because we had found that the request to conduct the circumvention inquiry was insufficient for purposes of initiation, in accordance with 19 CFR 351.226(d)(1). Additionally, we clarified that the 30day time period for Commerce to consider whether to initiate on the requestors’ circumvention inquiry will begin with the requestors’ response to Commerce’s October 23, 2024, letter.9 On November 12, 2024, the requestors responded to Commerce’s request for information.10 Thus, we consider the inquiry request to have been filed on November 12, 2024. Scope of the Orders The merchandise covered by the scope of the Orders is OCTG, which are hollow steel products of circular crosssection, including oil well casing and tubing, of iron (other than cast iron) or steel (both carbon and alloy), whether seamless or welded, regardless of end finish. For a full description of the scope of the Orders, see the Circumvention Initiation Checklist.11 Merchandise Subject to the Circumvention Inquiry The circumvention inquiry covers seamless OCTG completed in Thailand using Chinese-produced steel billets, and subsequently exported from Thailand to the United States. Initiation of Circumvention Inquiry Section 351.226(d) of Commerce’s regulations states that if Commerce determines that a request for a circumvention inquiry satisfies the 6 Id. 7 See Requestors’ Letter, ‘‘Request for Circumvention Inquiry,’’ dated September 25, 2024. 8 See Commerce’s Letter, ‘‘Supplemental Questionnaire,’’ dated October 23, 2024. 9 Id. 10 See Circumvention Request. 11 See Initiation Checklist, ‘‘OCTG Completed in Thailand Circumvention Initiation Checklist,’’ dated concurrently with, and hereby adopted by, this notice (Circumvention Initiation Checklist) at Attachment I. E:\FR\FM\18DEN1.SGM 18DEN1 khammond on DSK9W7S144PROD with NOTICES Federal Register / Vol. 89, No. 243 / Wednesday, December 18, 2024 / Notices requirements of 19 CFR 351.226(c), then Commerce ‘‘will accept the request and initiate a circumvention inquiry.’’ Section 351.226(c)(1) of Commerce’s regulations, in turn, requires that each circumvention inquiry request allege ‘‘that the elements necessary for a circumvention determination under section 781 of the Act exist’’ and be ‘‘accompanied by information reasonably available to the interested party supporting these allegations.’’ The requestors alleged circumvention pursuant to section 781(b) of the Act (merchandise completed or assembled in other foreign countries). Section 781(b)(1) of the Act provides that Commerce may find circumvention of an order when merchandise of the same class or kind subject to the order is completed or assembled in a foreign country other than the country to which the order applies. In conducting a circumvention inquiry, under section 781(b)(1) of the Act, Commerce relies on the following criteria: (A) merchandise imported into the United States is of the same class or kind as any merchandise produced in a foreign country that is the subject of an AD or CVD order; (B) before importation into the United States, such imported merchandise is completed or assembled in another foreign country from merchandise which is subject to the order or is produced in the foreign country that is subject to the order; (C) the process of assembly or completion in the foreign country referred to in section (B) is minor or insignificant; (D) the value of the merchandise produced in the foreign country to which the AD or CVD order applies is a significant portion of the total value of the merchandise exported to the United States; and (E) the administering authority determines that action is appropriate to prevent evasion of such order. In determining whether the process of assembly or completion in a foreign country is minor or insignificant under section 781(b)(1)(C) of the Act, section 781(b)(2) of the Act directs Commerce to consider: (A) the level of investment in the foreign country; (B) the level of research and development in the foreign country; (C) the nature of the production process in the foreign country; (D) the extent of production facilities in the foreign country; and (E) whether or not the value of processing performed in the foreign country represents a small proportion of the value of the merchandise imported into the United States. However, no single factor, by itself, controls Commerce’s determination of whether the process of assembly or completion in a foreign VerDate Sep<11>2014 18:09 Dec 17, 2024 Jkt 265001 country is minor or insignificant.12 Accordingly, Commerce will evaluate each of these five factors as they exist in the foreign country, depending on the particular circumvention scenario. In addition, section 781(b)(3) of the Act sets forth additional factors to consider in determining whether to include merchandise assembled or completed in a foreign country within the scope of an AD or CVD order. Specifically, Commerce shall take into account such factors as: (A) the pattern of trade, including sourcing patterns; (B) whether the manufacturer or exporter of the merchandise that was shipped to the foreign country is affiliated with the person who, in the foreign country, uses the merchandise to complete or assemble the merchandise which is subsequently imported into the United States; and (C) whether imports of the merchandise into the foreign country have increased after the initiation of the investigation that resulted in the issuance of such order. Analysis Based on our analysis of the requestors’ circumvention inquiry request, we determine that they have satisfied the criteria under 19 CFR 351.226(c), and thus, pursuant to 19 CFR 351.226(d)(1)(iii), we are initiating the requested circumvention inquiry. For a full discussion of the basis for our decision to initiate this circumvention inquiry, see the Circumvention Initiation Checklist. As explained in the Circumvention Initiation Checklist, the information provided by the requestors warrants initiating this circumvention inquiry on a country-wide basis. Commerce has taken this approach in prior circumvention inquiries, where the facts warranted initiation on a country-wide basis.13 Consistent with the approach in the prior circumvention inquiries that we initiated on a country-wide basis, Commerce intends to issue questionnaires to solicit information from producers and exporters in Thailand concerning their shipments of OCTG made from Chinese-origin steel billets to the United States. Respondent Selection Commerce intends to base respondent selection on responses to quantity and value (Q&V) questionnaires. Commerce intends to identify the companies to 12 See Statement of Administrative Action Accompanying the Uruguay Round Agreements Act, H.R. Doc. 103–316, Vol. 1 (1994), at 893. 13 See, e.g., Hydrofluorocarbon Blends from the People’s Republic of China: Initiation of Circumvention Inquiry on the Antidumping Duty Order, 88 FR 74150 (October 30, 2023). PO 00000 Frm 00014 Fmt 4703 Sfmt 4703 102865 which it will issue the Q&V questionnaire, in part, based on U.S. Customs and Border Protection (CBP) data. Parties to which Commerce does not issue the Q&V questionnaire may also respond to the Q&V questionnaire, which will be available on Enforcement and Compliance’s Antidumping and Countervailing Duty Centralized Electronic Service System (ACCESS), before the applicable deadline. ACCESS is available to registered users at https:// access.trade.gov. Commerce intends to place the CBP data on the record via ACCESS within five days of the publication of this initiation notice. Comments regarding the CBP data and respondent selection should be submitted within seven days after placement of the CBP data on the record of the inquiry. Commerce intends to establish a schedule for questionnaire responses after Commerce selects respondents. A company’s failure to completely respond to Commerce’s requests for information may result in the application of facts available, pursuant to section 776(a) of the Act, which may include adverse inferences, pursuant to section 776(b) of the Act. Suspension of Liquidation Pursuant to 19 CFR 351.226(l)(1), Commerce will notify CBP of this initiation and direct CBP to continue the suspension of liquidation of entries of products subject to the circumvention inquiry that were already subject to the suspension of liquidation under the Orders and to apply the cash deposit rates that would be applicable if the products were determined to be covered by the scope of the Orders. Should Commerce issue affirmative preliminary or final circumvention determinations, Commerce will follow the suspension of liquidation rules under 19 CFR 351.226(l)(2)–(4). Notification to Interested Parties In accordance with 19 CFR 351.226(d) and section 781(b) of the Act, Commerce determines that the requestors’ request for a circumvention inquiry satisfies the requirements of 19 CFR 351.226(c). Accordingly, Commerce is notifying all interested parties of the initiation of this circumvention inquiry to determine whether OCTG from China, which is completed in Thailand from steel billets produced in China, is circumventing the Orders. In addition, we have included a description of the products that are the subject to this inquiry and an explanation of Commerce’s decision to initiate this inquiry as provided in the accompanying Circumvention Initiation E:\FR\FM\18DEN1.SGM 18DEN1 102866 Federal Register / Vol. 89, No. 243 / Wednesday, December 18, 2024 / Notices Checklist.14 In accordance with 19 CFR 351.226(e)(1), Commerce intends to issue its preliminary circumvention determination no later than 150 days from the date of publication of the notice of initiation of this circumvention inquiry in the Federal Register. This notice is published in accordance with section 781(b) of the Act, and 19 CFR 351.226(d)(1)(iii). Dated: December 12, 2024. Abdelali Elouaradia, Deputy Assistant Secretary for Enforcement and Compliance. [FR Doc. 2024–29911 Filed 12–17–24; 8:45 am] BILLING CODE 3510–DS–P DEPARTMENT OF COMMERCE National Oceanic and Atmospheric Administration Request for Information; Data for Marine Spatial Studies Related to Transmission Planning in Texas, Louisiana, Mississippi, and Alabama National Centers for Coastal Ocean Science, National Ocean Service, National Oceanic and Atmospheric Administration (NOAA), Department of Commerce. ACTION: Notice; request for information. AGENCY: NOAA’s National Ocean Service (NOS) National Centers for Coastal Ocean Science (NCCOS), hereafter NOAA, in partnership with the Bureau of Ocean Energy Management (BOEM) and the Department of Energy (DOE) Grid Deployment Office (GDO) and the National Renewable Energy Laboratory (NREL), is working to build on existing spatial planning capacity in the United States (U.S.) Gulf of Mexico region. Through this Request for Information, NOAA is seeking public input to identify coastal and marine spatial data or other critical information to inform spatial analyses for transmission planning in state and Federal waters off Texas, Louisiana, Mississippi, and Alabama. The input we receive from the data development workshop meeting, as well as the responses to the items listed in the SUPPLEMENTARY INFORMATION section of this document, will be used to inform potential coastal and ocean development activities in the U.S. Gulf of Mexico region, such as renewable energy development. DATES: Interested persons are invited to provide input in response to this Request for Information through January khammond on DSK9W7S144PROD with NOTICES SUMMARY: 14 See Circumvention Initiation Checklist at 13. VerDate Sep<11>2014 18:09 Dec 17, 2024 Jkt 265001 24, 2025. Late-filed input will be considered to the extent practicable. Verbal input will be accepted during a public meeting to be held at the InterContinental Hotel in New Orleans, Louisiana on January 14–15, 2025. ADDRESSES: Interested persons are invited to provide input using one of the following methods: • Electronic Submission: Submit electronic written public comments via the Federal e- Rulemaking Portal. Go to https://www.regulations.gov and enter NOAA–NOS–2024–0138 in the Search box. Click on the ‘‘Comment’’ icon, complete the required fields, and enter or attach your comments. All comments received are a part of the public record and will generally be posted for public viewing on www.regulations.gov without change. All personal identifying information (e.g., name, address, etc.), confidential business information, or otherwise sensitive information submitted voluntarily by the sender will be publicly accessible. NOAA will accept anonymous comments (enter ‘‘N/ A’’ in the required fields if you wish to remain anonymous). • Verbal submission: NOAA will accept verbal input at a data development workshop. The meeting will be held at the InterContinental Hotel in New Orleans, Louisiana on Tuesday, January 14, 2025 from 8 a.m. to 5 p.m. Central Standard Time (CST) and Wednesday, January 15, 2025 from 8 a.m. to 5 p.m. CST. There will be a registration window from 8 a.m. to 9 a.m. CST each day before the start of the meeting. Advanced registration is required for the meeting by completing the registration form at https:// forms.gle/BmTDiD5zV3ZuXHuN8 or by providing an RSVP to Joshua Chastain at joshua.chastain@noaa.gov. The registration deadline is Friday, January 3, 2025. Reports of meeting results will also be published and made available to the public in the weeks following the meeting. If you are unable to provide electronic written comments or participate in the meeting, please contact Joshua Chastain at joshua.chastain@noaa.gov or (843) 267– 5641 for alternative submission methods. FOR FURTHER INFORMATION CONTACT: James Morris, NOAA NCCOS, at james.morris@noaa.gov or (252) 666– 7433. SUPPLEMENTARY INFORMATION: I. Background NOAA is an agency of the United States Federal Government that works to conserve and manage coastal and PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 marine ecosystems and resources. NOAA works to make fisheries sustainable and productive, provide safe seafood to consumers, conserve threatened and endangered species and other protected resources, and maintain healthy ecosystems. NOAA has jurisdiction and responsibility for its trust marine resources in the U.S. Gulf of Mexico region as well as significant interest in supporting the resilience of coastal and marine-dependent communities and promoting equity and environmental justice. For these reasons, it is important for NOAA to invest in research that informs marine spatial studies in the U.S. Gulf of Mexico region, including socioeconomic research that ensures meaningful participation of local communities and supports equitable processes for planning and siting of new and existing marine industries and conservation areas. NOAA has been engaged with the Bureau of Ocean Energy Management (BOEM) to support siting and environmental review for offshore wind energy areas in U.S. Federal waters (https://www.boem.gov/renewableenergy) to ensure protection of trust resources in any offshore development activities. II. Purpose of This Request for Information The purpose of this Request for Information is to promote data development to inform coastal and marine spatial studies related to transmission planning in Texas, Louisiana, Mississippi, and Alabama, with an emphasis on data needs for offshore wind and transmission planning. In addition to input received from the public through the electronic and verbal submissions, NOAA aims to inform the public about its coastal and ocean planning processes and capabilities, discuss the current data available for each ocean sector (e.g., national security, fisheries, industry, metocean, natural, cultural, and social resources), and gather ideas for other data sources. NOAA hopes to come out of the meetings with a strengthened relationship with the public and a list of best available data and data gaps. III. Specific Information Requested To Inform Marine Spatial Studies Related to Transmission Planning in Texas, Louisiana, Mississippi, and Alabama Through this Request for Information, NOAA seeks written public input to inform coastal and marine spatial studies related to transmission planning in the U.S. Gulf of Mexico region. NOAA is particularly interested in E:\FR\FM\18DEN1.SGM 18DEN1

Agencies

[Federal Register Volume 89, Number 243 (Wednesday, December 18, 2024)]
[Notices]
[Pages 102864-102866]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-29911]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-943, C-570-944]


Oil Country Tubular Goods From the People's Republic of China: 
Initiation of Circumvention Inquiry on the Antidumping and 
Countervailing Duty Orders

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

SUMMARY: In response to a request from the Committee on Pipe and Tube 
Imports Subcommittee for OCTG (the CPTI OCTG Subcommittee) and the 
United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied 
Industrial and Service Workers International Union, AFL-CIO, CLC (USW) 
(collectively, the requestors), the U.S. Department of Commerce 
(Commerce) is initiating a country-wide circumvention inquiry to 
determine whether imports of seamless oil country tubular goods (OCTG) 
from the People's Republic of China (China) which are completed in 
Thailand from steel billets produced in China are circumventing the 
antidumping (AD) and countervailing duty (CVD) orders on OCTG from 
China.

DATES: Applicable December 18, 2024.

FOR FURTHER INFORMATION CONTACT: Barb Rawdon, AD/CVD Office of Policy, 
Enforcement and Compliance, International Trade Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230; telephone: (202) 482-0474.

SUPPLEMENTARY INFORMATION:

Background

    On July 18, 2024, pursuant to section 781(b) of the Tariff Act of 
1930, as amended (the Act), and 19 CFR 351.226(i), the requestors \1\ 
filed a circumvention inquiry request alleging that OCTG completed in 
Thailand using steel billets manufactured in China, is circumventing 
the AD and CVD orders on OCTG from China \2\ and, accordingly, should 
be included within the scope of the Orders.\3\ On August 20, 2024, we 
extended the deadline to initiate this circumvention inquiry in 
accordance with 19 CFR 351.226(d)(1).\4\
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    \1\ The Requestors are the Committee on Pipe and Tube Imports 
Subcommittee for OCTG (CPTI OCTG Subcommittee) and the United Steel, 
Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial 
and Service Workers International Union, AFL-CIO, CLC (USW). The 
individual members of the CPTI OCTG Subcommittee are Axis Pipe and 
Tube, Benteler Steel & Tube Corporation, Borusan Mannesmann Pipe US 
Inc., PTC Liberty Tubulars LLC, Vallourec Star, and Welded Tube USA, 
Inc. See Requestors' Letter, ``Response to Second Request for 
Information,'' dated November 12, 2024 (Circumvention Request).
    \2\ See Certain Oil Country Tubular Goods from the People's 
Republic of China: Amended Final Determination of Sales at Less Than 
Fair Value and Antidumping Duty Order, 75 FR 28551 (May 21, 2010); 
see also Certain Oil Country Tubular Goods from the People's 
Republic of China: Amended Final Affirmative Countervailing Duty 
Determination and Countervailing Duty Order, 75 FR 3203 (January 20, 
2010) (collectively, Orders).
    \3\ See Requestor's Letter, ``Request for Circumvention 
Inquiry,'' dated July 18, 2024.
    \4\ See Memorandum, ``Extension of Time to Determine Whether to 
Initiate Circumvention Inquiry,'' dated August 20, 2024.
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    On September 6, 2023, we issued a supplemental (deficiency) 
questionnaire to the requestors, directing them to re-submit their 
inquiry requests and provide additional information.\5\ In our request 
for information, we clarified that we issued the request because we had 
found that the request to conduct the circumvention inquiry was 
insufficient for purposes of initiation, in accordance with 19 CFR 
351.226(d)(1). Additionally, we clarified that the 30-day time period 
for Commerce to consider whether to initiate on the requestors' 
circumvention inquiry will begin with the requestors' response to 
Commerce's September 6, 2024, letter.\6\ On September 25, 2024, the 
requestors filed their response.\7\ On October 23, 2024, Commerce 
issued a second supplemental questionnaire.\8\ In our request for 
information, we clarified that we issued the request because we had 
found that the request to conduct the circumvention inquiry was 
insufficient for purposes of initiation, in accordance with 19 CFR 
351.226(d)(1). Additionally, we clarified that the 30-day time period 
for Commerce to consider whether to initiate on the requestors' 
circumvention inquiry will begin with the requestors' response to 
Commerce's October 23, 2024, letter.\9\ On November 12, 2024, the 
requestors responded to Commerce's request for information.\10\ Thus, 
we consider the inquiry request to have been filed on November 12, 
2024.
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    \5\ See Commerce's Letter, ``Supplemental Questionnaire,'' dated 
September 6, 2024.
    \6\ Id.
    \7\ See Requestors' Letter, ``Request for Circumvention 
Inquiry,'' dated September 25, 2024.
    \8\ See Commerce's Letter, ``Supplemental Questionnaire,'' dated 
October 23, 2024.
    \9\ Id.
    \10\ See Circumvention Request.
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Scope of the Orders

    The merchandise covered by the scope of the Orders is OCTG, which 
are hollow steel products of circular cross-section, including oil well 
casing and tubing, of iron (other than cast iron) or steel (both carbon 
and alloy), whether seamless or welded, regardless of end finish. For a 
full description of the scope of the Orders, see the Circumvention 
Initiation Checklist.\11\
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    \11\ See Initiation Checklist, ``OCTG Completed in Thailand 
Circumvention Initiation Checklist,'' dated concurrently with, and 
hereby adopted by, this notice (Circumvention Initiation Checklist) 
at Attachment I.
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Merchandise Subject to the Circumvention Inquiry

    The circumvention inquiry covers seamless OCTG completed in 
Thailand using Chinese-produced steel billets, and subsequently 
exported from Thailand to the United States.

Initiation of Circumvention Inquiry

    Section 351.226(d) of Commerce's regulations states that if 
Commerce determines that a request for a circumvention inquiry 
satisfies the

[[Page 102865]]

requirements of 19 CFR 351.226(c), then Commerce ``will accept the 
request and initiate a circumvention inquiry.'' Section 351.226(c)(1) 
of Commerce's regulations, in turn, requires that each circumvention 
inquiry request allege ``that the elements necessary for a 
circumvention determination under section 781 of the Act exist'' and be 
``accompanied by information reasonably available to the interested 
party supporting these allegations.'' The requestors alleged 
circumvention pursuant to section 781(b) of the Act (merchandise 
completed or assembled in other foreign countries).
    Section 781(b)(1) of the Act provides that Commerce may find 
circumvention of an order when merchandise of the same class or kind 
subject to the order is completed or assembled in a foreign country 
other than the country to which the order applies. In conducting a 
circumvention inquiry, under section 781(b)(1) of the Act, Commerce 
relies on the following criteria: (A) merchandise imported into the 
United States is of the same class or kind as any merchandise produced 
in a foreign country that is the subject of an AD or CVD order; (B) 
before importation into the United States, such imported merchandise is 
completed or assembled in another foreign country from merchandise 
which is subject to the order or is produced in the foreign country 
that is subject to the order; (C) the process of assembly or completion 
in the foreign country referred to in section (B) is minor or 
insignificant; (D) the value of the merchandise produced in the foreign 
country to which the AD or CVD order applies is a significant portion 
of the total value of the merchandise exported to the United States; 
and (E) the administering authority determines that action is 
appropriate to prevent evasion of such order.
    In determining whether the process of assembly or completion in a 
foreign country is minor or insignificant under section 781(b)(1)(C) of 
the Act, section 781(b)(2) of the Act directs Commerce to consider: (A) 
the level of investment in the foreign country; (B) the level of 
research and development in the foreign country; (C) the nature of the 
production process in the foreign country; (D) the extent of production 
facilities in the foreign country; and (E) whether or not the value of 
processing performed in the foreign country represents a small 
proportion of the value of the merchandise imported into the United 
States. However, no single factor, by itself, controls Commerce's 
determination of whether the process of assembly or completion in a 
foreign country is minor or insignificant.\12\ Accordingly, Commerce 
will evaluate each of these five factors as they exist in the foreign 
country, depending on the particular circumvention scenario.
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    \12\ See Statement of Administrative Action Accompanying the 
Uruguay Round Agreements Act, H.R. Doc. 103-316, Vol. 1 (1994), at 
893.
---------------------------------------------------------------------------

    In addition, section 781(b)(3) of the Act sets forth additional 
factors to consider in determining whether to include merchandise 
assembled or completed in a foreign country within the scope of an AD 
or CVD order. Specifically, Commerce shall take into account such 
factors as: (A) the pattern of trade, including sourcing patterns; (B) 
whether the manufacturer or exporter of the merchandise that was 
shipped to the foreign country is affiliated with the person who, in 
the foreign country, uses the merchandise to complete or assemble the 
merchandise which is subsequently imported into the United States; and 
(C) whether imports of the merchandise into the foreign country have 
increased after the initiation of the investigation that resulted in 
the issuance of such order.

Analysis

    Based on our analysis of the requestors' circumvention inquiry 
request, we determine that they have satisfied the criteria under 19 
CFR 351.226(c), and thus, pursuant to 19 CFR 351.226(d)(1)(iii), we are 
initiating the requested circumvention inquiry. For a full discussion 
of the basis for our decision to initiate this circumvention inquiry, 
see the Circumvention Initiation Checklist. As explained in the 
Circumvention Initiation Checklist, the information provided by the 
requestors warrants initiating this circumvention inquiry on a country-
wide basis. Commerce has taken this approach in prior circumvention 
inquiries, where the facts warranted initiation on a country-wide 
basis.\13\
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    \13\ See, e.g., Hydrofluorocarbon Blends from the People's 
Republic of China: Initiation of Circumvention Inquiry on the 
Antidumping Duty Order, 88 FR 74150 (October 30, 2023).
---------------------------------------------------------------------------

    Consistent with the approach in the prior circumvention inquiries 
that we initiated on a country-wide basis, Commerce intends to issue 
questionnaires to solicit information from producers and exporters in 
Thailand concerning their shipments of OCTG made from Chinese-origin 
steel billets to the United States.

Respondent Selection

    Commerce intends to base respondent selection on responses to 
quantity and value (Q&V) questionnaires. Commerce intends to identify 
the companies to which it will issue the Q&V questionnaire, in part, 
based on U.S. Customs and Border Protection (CBP) data. Parties to 
which Commerce does not issue the Q&V questionnaire may also respond to 
the Q&V questionnaire, which will be available on Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (ACCESS), before the applicable deadline. ACCESS is 
available to registered users at https://access.trade.gov.
    Commerce intends to place the CBP data on the record via ACCESS 
within five days of the publication of this initiation notice. Comments 
regarding the CBP data and respondent selection should be submitted 
within seven days after placement of the CBP data on the record of the 
inquiry.
    Commerce intends to establish a schedule for questionnaire 
responses after Commerce selects respondents. A company's failure to 
completely respond to Commerce's requests for information may result in 
the application of facts available, pursuant to section 776(a) of the 
Act, which may include adverse inferences, pursuant to section 776(b) 
of the Act.

Suspension of Liquidation

    Pursuant to 19 CFR 351.226(l)(1), Commerce will notify CBP of this 
initiation and direct CBP to continue the suspension of liquidation of 
entries of products subject to the circumvention inquiry that were 
already subject to the suspension of liquidation under the Orders and 
to apply the cash deposit rates that would be applicable if the 
products were determined to be covered by the scope of the Orders. 
Should Commerce issue affirmative preliminary or final circumvention 
determinations, Commerce will follow the suspension of liquidation 
rules under 19 CFR 351.226(l)(2)-(4).

Notification to Interested Parties

    In accordance with 19 CFR 351.226(d) and section 781(b) of the Act, 
Commerce determines that the requestors' request for a circumvention 
inquiry satisfies the requirements of 19 CFR 351.226(c). Accordingly, 
Commerce is notifying all interested parties of the initiation of this 
circumvention inquiry to determine whether OCTG from China, which is 
completed in Thailand from steel billets produced in China, is 
circumventing the Orders. In addition, we have included a description 
of the products that are the subject to this inquiry and an explanation 
of Commerce's decision to initiate this inquiry as provided in the 
accompanying Circumvention Initiation

[[Page 102866]]

Checklist.\14\ In accordance with 19 CFR 351.226(e)(1), Commerce 
intends to issue its preliminary circumvention determination no later 
than 150 days from the date of publication of the notice of initiation 
of this circumvention inquiry in the Federal Register.
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    \14\ See Circumvention Initiation Checklist at 13.
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    This notice is published in accordance with section 781(b) of the 
Act, and 19 CFR 351.226(d)(1)(iii).

    Dated: December 12, 2024.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2024-29911 Filed 12-17-24; 8:45 am]
BILLING CODE 3510-DS-P

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