Notice2021-14138
Seamless Carbon and Alloy Steel Standard, Line, and Pressure Pipe From the Republic of Korea: Final Affirmative Determination of Sales at Less Than Fair Value
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
July 2, 2021
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The Department of Commerce (Commerce) determines that seamless carbon and alloy steel standard, line, and pressure pipe (seamless pipe) from the Republic of Korea (Korea) is being, or is likely to be, sold in the United States at less than fair value (LTFV). The period of investigation is July 1, 2019, through June 30, 2020.
Full Text
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<title>Federal Register, Volume 86 Issue 125 (Friday, July 2, 2021)</title>
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[Federal Register Volume 86, Number 125 (Friday, July 2, 2021)]
[Notices]
[Pages 35274-35276]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-14138]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-580-909]
Seamless Carbon and Alloy Steel Standard, Line, and Pressure Pipe
From the Republic of Korea: Final Affirmative Determination of Sales at
Less Than Fair Value
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that seamless
carbon and alloy steel standard, line, and pressure pipe (seamless
pipe) from the Republic of Korea (Korea) is being, or is likely to be,
sold in the United States at less than fair value (LTFV). The period of
investigation is July 1, 2019, through June 30, 2020.
DATES: Applicable July 2, 2021.
FOR FURTHER INFORMATION CONTACT: Joshua DeMoss, AD/CVD Operations,
Office VI, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-3362.
SUPPLEMENTARY INFORMATION:
Background
On February 10, 2021, Commerce published the Preliminary
Determination of sales at LTFV of seamless pipe from Korea, in which we
also postponed the final determination to June 25, 2021.\1\ On March
25, 2021, Commerce published its Post-Preliminary Determination with
respect to the particular market situation analysis.\2\ We invited
interested parties to comment on the Preliminary Determination and the
Post-Preliminary Determination. The mandatory respondent in this
investigation is ILJIN Steel Corporation (ILJIN). For a complete
description of the events that followed the Preliminary Determination,
see the Issues and Decision Memorandum.\3\ The Issues and 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 <a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete
version of the Issues and Decision Memorandum can be accessed directly
at <a href="http://enforcement.trade.gov/frn/">http://enforcement.trade.gov/frn/</a>.
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\1\ See Seamless Carbon and Alloy Steel Standard, Line, and
Pressure Pipe from the Republic of Korea: Preliminary Affirmative
Determination of Sales at Less Than Fair Value, Postponement of
Final Determination, and Extension of Provisional Measures, 86 FR
8887 (February 10, 2021) (Preliminary Determination), and
accompanying Preliminary Decision Memorandum (PDM).
\2\ See Memorandum, ``Seamless Carbon and Alloy Steel Standard,
Line, and Pressure Pipe from the Republic of Korea: Post-Preliminary
Analysis of Particular Market Situation Allegations,'' dated March
25, 2021 (Post-Preliminary Determination).
\3\ See Memorandum, ``Issues and Decision Memorandum for the
Final Affirmative Determination in the Less-Than-Fair-Value
Investigation of Seamless Carbon and Alloy Steel Standard, Line, and
Pressure Pipe from the Republic of Korea,'' dated concurrently with,
and hereby adopted by, this notice (Issues and Decision Memorandum).
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Scope of the Investigation
The product covered by this investigation is seamless pipe from
Korea. For a complete description of the scope of this investigation,
see Appendix I.
Scope Comments
We did not receive comments from interested parties on the
Preliminary Scope Decision Memorandum.\4\ As discussed in the
Preliminary Scope Decision Memorandum, Commerce modified the scope
language as it appeared in the Initiation Notice to clarify certain
exclusions. See the scope in Appendix I to this notice.
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\4\ See Memorandum, ``Seamless Carbon and Alloy Steel Standard,
Line, and Pressure Pipe from the Czech Republic, the Republic of
Korea, the Russian Federation, and Ukraine: Preliminary Scope
Decision Memorandum,'' dated January 13, 2021 (Preliminary Scope
Decision Memorandum).
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Analysis of Comments Received
All issues raised in the case and rebuttal briefs by parties in
this investigation are discussed in the Issues and Decision Memorandum.
A list of topics included in the Issues and Decision Memorandum is
included as Appendix II to this notice.
Verification
Commerce was unable to conduct on-site verification of the
information relied upon in making its final determination in this
investigation. However, we took additional steps in lieu of an on-site
verification to verify the information relied upon in making this final
determination, in accordance with section 782(i) of the Tariff Act of
1930, as amended (the Act).\5\
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\5\ See Commerce's Letter, Questionnaire In-Lieu-of-Onsite-
Verification, dated April 9, 2021; see also ILJIN's Letter,
``Seamless Carbon and Alloy Steel Standard, Line, and Pressure Pipe
from the Republic of Korea: In Lieu of On-Site Verification
Questionnaire Response,'' dated April 19, 2021.
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Changes Since the Preliminary Determination
Based on our analysis of the comments received, we made certain
changes to the margin calculations for ILJIN. We have also revised the
all-others rate. For a complete discussion of these changes, see the
Issues and Decision Memorandum.
All-Others Rate
Section 735(c)(5)(A) of the Act provides that the estimated all-
others 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 or de
minimis margins, and margins determined entirely under section 776 of
the Act.
Commerce calculated an individual estimated weighted-average
dumping margin for ILJIN, the only individually examined exporter/
producer in this investigation. Because the only individually
calculated dumping margin is not zero, de minimis, or based entirely on
facts otherwise available, the estimated weighted-average dumping
margin calculated for ILJIN is the margin assigned to all other
producers and exporters, pursuant to section 735(c)(5)(A) of the Act.
Final Determination
The final estimated weighted-average dumping margins are as
follows:
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Cash deposit rate
Estimated weighted- (adjusted for
Exporter/producer average dumping subsidy offset)
margin (percent) (percent) \6\
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ILJIN Steel Corporation......... 4.48 4.44
All Others...................... 4.48 4.44
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[[Page 35275]]
Disclosure
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\6\ In the companion countervailing duty (CVD) investigation,
Commerce calculated a 0.04 percent export subsidy rate for ILJIN
Steel Corporation. See unpublished Federal Register notice titled
``Seamless Carbon and Alloy Steel Standard, Line, and Pressure Pipe
from the Republic of Korea: Final Affirmative Countervailing Duty
Determination,'' dated concurrently with this notice, and
accompanying Issues and Decision Memorandum.
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Commerce intends to disclose to interested parties the calculations
performed for this final 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).
Continuation of Suspension of Liquidation
In accordance with section 735(c)(1)(B) of the Act, we will direct
U.S. Customs and Border Protection (CBP) to continue to suspend
liquidation of all entries of seamless pipe from Korea, as described in
Appendix I of this notice, which were entered, or withdrawn from
warehouse, for consumption on or after February 10, 2021, the date of
publication of the affirmative Preliminary Determination in the Federal
Register.
Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR
351.210(d), we will instruct CBP to require a cash deposit for such
entries of merchandise equal to the following: (1) The cash deposit
rate for the respondent listed in the table above will be equal to the
respondent-specific estimated dumping margin listed for the respondent
in the table; (2) if the exporter is not identified in the table above
but the producer is, then the cash deposit rate will be equal to the
respondent-specific estimated 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 dumping margin listed in the table above. These suspension-
of-liquidation instructions will remain in effect until further notice.
To determine the cash deposit rate, Commerce normally adjusts the
estimated weighted-average dumping margin by the amount of export
subsidies determined in a companion CVD proceeding when CVD provisional
measures are in effect. Accordingly, where Commerce makes an
affirmative determination for export subsidies, Commerce offsets the
calculated estimated weighted-average dumping margin by the appropriate
rate(s). In this case, we have found export subsidies for certain
respondents. However, suspension of liquidation for provisional
measures in the companion CVD case has been discontinued; therefore, we
are not instructing CBP to collect cash deposits based upon the
estimated weighted-average dumping margin adjusted for export subsidies
at this time.
International Trade Commission Notification
In accordance with section 735(d) of the Act, we will notify the
International Trade Commission (ITC) of the final affirmative
determination of sales at LTFV. Because Commerce's final determination
is affirmative, in accordance with section 735(b)(2) of the Act, the
ITC will make its final determinations as to whether the domestic
industry in the United States is materially injured, or threatened with
material injury, by reason of imports, or sales (or the likelihood of
sales) for importation of seamless pipe from Korea no later than 45
days after our final determination. If the ITC determines that such
injury does not exist, these proceedings will be terminated, and all
cash deposits will be refunded. If the ITC determines that such injury
does exist, Commerce will issue an antidumping duty order directing CBP
to assess, upon further instruction by Commerce, antidumping duties on
all imports of the subject merchandise entered, or withdrawn from
warehouse, for consumption on or after the effective date of the
suspension of liquidation, as discussed above in the ``Continuation of
Suspension of Liquidation'' section.
Notification Regarding Administrative Protective Orders
This notice serves as a final reminder to parties subject to an
administrative protective order (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305(a)(3). Timely written
notification of the return or destruction of APO materials, or
conversion to judicial protective order, is hereby requested. Failure
to comply with the regulations and the terms of an APO is a
sanctionable violation.
Notification to Interested Parties
This determination is issued and published in accordance with
sections 735(d) and 777(i)(1) of the Act and 19 CFR 351.210(c).
Dated: June 25, 2021.
James Maeder,
Deputy Assistant Secretary for Antidumping and Countervailing Duty
Operations.
Appendix I--Scope of the Investigation
The merchandise covered by the scope of this investigation is
seamless carbon and alloy steel (other than stainless steel) pipes
and redraw hollows, less than or equal to 16 inches (406.4 mm) in
nominal outside diameter, regardless of wall-thickness,
manufacturing process (e.g., hot-finished or cold-drawn), end finish
(e.g., plain end, beveled end, upset end, threaded, or threaded and
coupled), or surface finish (e.g., bare, lacquered or coated).
Redraw hollows are any unfinished carbon or alloy steel (other than
stainless steel) pipe or ``hollow profiles'' suitable for cold
finishing operations, such as cold drawing, to meet the American
Society for Testing and Materials (ASTM) or American Petroleum
Institute (API) specifications referenced below, or comparable
specifications. Specifically included within the scope are seamless
carbon and alloy steel (other than stainless steel) standard, line,
and pressure pipes produced to the ASTM A-53, ASTM A-106, ASTM A-
333, ASTM A-334, ASTM A-589, ASTM A-795, ASTM A-1024, and the API 51
specifications, or comparable specifications, and meeting the
physical parameters described above, regardless of application, with
the exception of the exclusions discussed below.
Specifically excluded from the scope of the investigation are:
(1) All pipes meeting aerospace, hydraulic, and bearing tubing
specifications, including pipe produced to the ASTM A-822 standard;
(2) all pipes meeting the chemical requirements of ASTM A-335,
whether finished or unfinished; and (3) unattached couplings. Also
excluded from the scope of the investigation are (1) all mechanical,
boiler, condenser and heat exchange tubing, except when such
products conform to the dimensional requirements, i.e., outside
diameter and wall thickness, of ASTM A53, ASTM A-106 or API 51
specifications. Also excluded from the scope of the investigation
are: (1) Oil country tubular goods consisting of drill pipe, casing,
tubing and coupling stock; (2) all pipes meeting the chemical
requirements of ASTM A-335 regardless of their conformity to the
dimensional requirements of ASTM A-53, ASTM A-106 or API 5L; and (3)
the exclusion for ASTM A335 applies to pipes meeting the comparable
specifications GOST 550-75.
Subject seamless standard, line, and pressure pipe are normally
entered under Harmonized Tariff Schedule of the United States
(HTSUS) subheadings 7304.19.1020, 7304.19.1030, 7304.19.1045,
7304.19.1060, 7304.19.5020, 7304.19.5050, 7304.31.6050,
7304.39.0016, 7304.39.0020, 7304.39.0024, 7304.39.0028,
7304.39.0032, 7304.39.0036, 7304.39.0040, 7304.39.0044,
7304.39.0048, 7304.39.0052, 7304.39.0056, 7304.39.0062,
7304.39.0068, 7304.39.0072, 7304.51.5005, 7304.51.5060,
7304.59.6000, 7304.59.8010, 7304.59.8015, 7304.59.8020,
7304.59.8025, 7304.59.8030, 7304.59.8035, 7304.59.8040,
7304.59.8045, 7304.59.8050, 7304.59.8055,
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7304.59.8060, 7304.59.8065, and 7304.59.8070. The HTSUS subheadings
and specifications are provided for convenience and customs
purposes; the written description of the scope is dispositive.
Appendix II--List of Topics Discussed in the Issues and Decision
Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Adjustment for Countervailable Export Subsidies
V. Changes Since the Preliminary Determination
VI. Discussion of the Issues
Comment 1: Whether Commerce Should Continue to Adjust U.S.
Commission Expenses
Comment 2: Whether Commerce Should Revise the Methodology for
Warranty Expenses in the U.S. Price Calculations
Comment 3: Whether Commerce's Adjustment to ILJIN's Costs of
Defective Merchandise is Warranted
Comment 4: Whether Commerce Should Continue to Adjust ILJIN's
G&A Expenses
VII. Recommendation
[FR Doc. 2021-14138 Filed 7-1-21; 8:45 am]
BILLING CODE 3510-DS-P
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