Notice2022-01509
Certain Steel Nails From India, the Sultanate of Oman, Sri Lanka, Thailand, and the Republic of Turkey: Initiation of Countervailing Duty Investigations
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
January 26, 2022
Issuing agencies
Commerce DepartmentInternational Trade Administration
Full Text
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<title>Federal Register, Volume 87 Issue 17 (Wednesday, January 26, 2022)</title>
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[Federal Register Volume 87, Number 17 (Wednesday, January 26, 2022)]
[Notices]
[Pages 3970-3975]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-01509]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-533-905, C-523-817, C-542-805, C-549-845, C-489-847]
Certain Steel Nails From India, the Sultanate of Oman, Sri Lanka,
Thailand, and the Republic of Turkey: Initiation of Countervailing Duty
Investigations
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Applicable January 19, 2022.
FOR FURTHER INFORMATION CONTACT: Genevieve Coen (India); Thomas Martin
(the Sultanate of Oman); Nathan James (Sri Lanka); Charles Doss
(Thailand); or Benjamin Luberda (the Republic of Turkey), AD/CVD
Operations, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-3251; (202) 482-3936;
(202) 482-5305; (202) 482-4474; or (202) 482-2185, respectively.
SUPPLEMENTARY INFORMATION:
Petitions
On December 30, 2021, the U.S. Department of Commerce (Commerce)
received countervailing duty (CVD) petitions concerning imports of
certain steel nails (steel nails) from India, the Sultanate of Oman
(Oman), Sri Lanka, Thailand, and the Republic of Turkey (Turkey), filed
in proper form on behalf of Mid Continent Steel & Wire, Inc. (the
petitioner), a domestic producer of steel nails.\1\ The Petitions were
accompanied by antidumping duty (AD) petitions concerning imports of
steel nails from India, Sri Lanka, Thailand, and Turkey.\2\
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\1\ See Petitioner's Letter, ``Petitions for the Imposition of
Antidumping and Countervailing Duties Pursuant to Sections 701 and
731 of the Tariff Act of 1930, as Amended, on Behalf of Mid
Continent Steel & Wire, Inc.,'' dated December 30, 2021 (Petitions).
\2\ Id.
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Between January 4 and 18, 2022, Commerce requested supplemental
information pertaining to certain aspects of the Petitions.\3\ The
petitioner filed responses to these requests between January 10 and 19,
2022.\4\
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\3\ See Commerce's Letters, ``Supplemental Questions,'' dated
January 4, 2022 (General Issues Questionnaire); ``Petition for the
Imposition of Countervailing Duties on Imports of Certain Steel
Nails from India: Supplemental Questions,'' dated January 4, 2022;
``Petition for the Imposition of Countervailing Duties on Imports of
Certain Steel Nails from Sri Lanka: Supplemental Questions,'' dated
January 4, 2022; ``Petition for the Imposition of Countervailing
Duties on Imports of Certain Steel Nails from the Republic of
Turkey: Supplemental Questions,'' dated January 4, 2022; ``Petition
for the Imposition of Countervailing Duties on Imports of Certain
Steel Nails from Oman: Supplemental Questions,'' dated January 5,
2022; ``Petition for the Imposition of Countervailing Duties on
Imports of Certain Steel Nails from Thailand: Supplemental
Questions,'' dated January 5, 2022; ``Phone Call with Counsel to the
Petitioner,'' dated January 7, 2022 (First Scope Call Memorandum);
``Petition for the Imposition of Countervailing Duties on Imports of
Certain Steel Nails from Thailand: Second Supplemental
Questionnaire,'' dated January 7, 2022; ``Petition for the
Imposition of Countervailing Duties on Imports of Certain Steel
Nails from the Republic of Turkey: Supplemental Questions,'' dated
January 10, 2022; ``Petition for the Imposition of Countervailing
Duties on Imports of Certain Steel Nails from Sri Lanka: Additional
Supplemental Questions,'' January 12, 2022; ``Petition for the
Imposition of Countervailing Duties on Imports of Certain Steel
Nails from Thailand: Third Supplemental Questionnaire,'' dated
January 12, 2022; ``Phone Call with Counsel to the Petitioner,''
dated January 13, 2022 (Second Scope Call Memorandum); and
``Petition for the Imposition of Countervailing Duties on Imports of
Certain Steel Nails from the Republic of Turkey: Supplemental
Questions,'' dated January 18, 2022.
\4\ See Petitioner's Letters, ``Response to Supplemental
Questions for the Petition for the Imposition of Antidumping and
Countervailing Duties on Imports of Certain Steel Nails from India,
Oman, Sri Lanka, Thailand, and Turkey,'' dated January 10, 2022
(First General Issues Supplement); ``Response to Supplemental
Questions--the Petition for the Imposition of Countervailing Duties
on Imports of Certain Steel Nails from India,'' dated January 10,
2022; ``Response to Supplemental Questions--the Petition for the
Imposition of Countervailing Duties on Imports of Certain Steel
Nails from Turkey,'' dated January 10, 2022; ``Response to
Supplemental Questions--the Petition for the Imposition of
Countervailing Duties on Imports of Certain Steel Nails from
Thailand,'' dated January 10, 2022; ``Response to Second
Supplemental Questions--the Petition for the Imposition of
Countervailing Duties on Imports of Certain Steel Nails from
Thailand,'' dated January 11, 2022; ``Response to Third Supplemental
Questionnaire--the Petition for the Imposition of Countervailing
Duties on Imports of Certain Steel Nails from Thailand,'' dated
January 13, 2022; ``Response to Second Supplemental Questionnaire--
the Petition for the Imposition of Countervailing Duties on Imports
of Certain Steel Nails from Turkey,'' dated January 13, 2022;
``Response to Scope Questions for the Petition for the Imposition of
Antidumping and Countervailing Duties on Imports of Certain Steel
Nails from India, Oman, Sri Lanka, Thailand, and Turkey,'' dated
January 14, 2022 (Scope Supplement); ``Response to Second
Supplemental Questionnaire--the Petition for the Imposition of
Countervailing Duties on Imports of Certain Steel Nails from Sri
Lanka,'' dated January 14, 2022; and ``Response to Third
Supplemental Questions--the Petition for the Imposition of
Countervailing Duties on Imports of Certain Steel Nails from
Turkey,'' dated January 19, 2022.
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[[Page 3971]]
In accordance with section 702(b)(1) of the Tariff Act of 1930, as
amended (the Act), the petitioner alleges that the Government of India
(GOI), the Government of Oman (GSO), the Government of Sri Lanka (GSL),
the Royal Thai Government (RTG), and the Government of Turkey (GOT)
(collectively, Governments) are providing countervailable subsidies,
within the meaning of sections 701 and 771(5) of the Act, to producers
of steel nails in India, Oman, Sri Lanka, Thailand, and Turkey, and
that such imports are materially injuring, or threatening material
injury to, the domestic industry producing steel nails in the United
States. Consistent with section 702(b)(1) of the Act and 19 CFR
351.202(b), for those alleged programs on which we are initiating CVD
investigations, the Petitions were accompanied by information
reasonably available to the petitioner supporting its allegations.
Commerce finds that the petitioner filed the Petitions on behalf of
the domestic industry because the petitioner is an interested party, as
defined in section 771(9)(C) of the Act. Commerce also finds that the
petitioner demonstrated sufficient industry support with respect to the
initiation of the requested CVD investigations.\5\
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\5\ See ``Determination of Industry Support for the Petitions''
section, infra.
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Period of Investigation
Because the Petitions were filed on December 30, 2021, the period
of investigation (POI) for these CVD investigations is January 1, 2020,
through December 31, 2020.\6\
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\6\ See 19 CFR 351.204(b)(2).
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Scope of the Investigations
The merchandise covered by these investigations is steel nails from
India, Oman, Sri Lanka, Thailand, and Turkey. For a full description of
the scope of these investigations, see the appendix to this notice.
Comments on Scope of the Investigations
On January 4, 7, and 13, 2022, Commerce requested further
information from the petitioner regarding the proposed scope, to ensure
that the scope language in the Petitions is an accurate reflection of
the products for which the domestic industry is seeking relief.\7\ On
January 10 and 14, 2022, the petitioner revised the scope.\8\ The
description of the merchandise covered by these investigations, as
described in the appendix to this notice, reflects these
clarifications.
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\7\ See General Issues Questionnaire; see also First Scope Call
Memorandum; and Second Scope Call Memorandum.
\8\ See General Issues Supplement at Exhibit GEN-21; see also
Scope Supplement at Exhibit GEN-24.
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As discussed in the Preamble to Commerce's regulations, we are
setting aside a period for interested parties to raise issues regarding
product coverage (scope).\9\ Commerce will consider all comments
received from interested parties and, if necessary, will consult with
interested parties prior to the issuance of the preliminary
determinations. If scope comments include factual information,\10\ all
such factual information should be limited to public information. To
facilitate preparation of its questionnaires, Commerce requests that
all interested parties submit scope comments by 5:00 p.m. Eastern Time
(ET) on February 8, 2022, which is 20 calendar days from the signature
date of this notice. Any rebuttal comments, which may include factual
information, must be filed by 5:00 p.m. ET on February 18, 2022, which
is 10 calendar days from the initial comment deadline.
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\9\ See Antidumping Duties; Countervailing Duties; Final Rule,
62 FR 27323 (May 19, 1997) (Preamble).
\10\ See 19 CFR 351.102(b)(21) (defining ``factual
information'').
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Commerce requests that any factual information the parties consider
relevant to the scope of the investigations be submitted during this
time period. However, if a party subsequently finds that additional
factual information pertaining to the scope of the investigations may
be relevant, the party may contact Commerce and request permission to
submit the additional information. All such comments must be filed on
the records of each of the concurrent AD and CVD investigations.
Filing Requirements
All submissions to Commerce must be filed electronically using
Enforcement and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS), unless an exception
applies.\11\ An electronically filed document must be received
successfully in its entirety by the time and date it is due.
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\11\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and
Compliance; Change of Electronic Filing System Name, 79 FR 69046
(November 20, 2014) for details of Commerce's electronic filing
requirements, effective August 5, 2011. Information on using ACCESS
can be found at <a href="https://access.trade.gov/help.aspx">https://access.trade.gov/help.aspx</a> and a handbook
can be found at <a href="https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf">https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf</a>.
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Consultations
Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce
notified the Governments of the receipt of the Petitions and provided
an opportunity for consultations with respect to the Petitions.\12\
Commerce held consultations with the RTG on January 11, 2022, the GOT,
GSL, and GSO on January 14, 2022, and the GOI on January 18, 2022.\13\
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\12\ See Commerce's Letters, ``Countervailing Duty Petition on
Certain Steel Nails from Sri Lanka; Invitation for Consultations to
Discuss the Countervailing Duty Petition,'' dated January 4, 2022;
``Countervailing Duty Petition on Certain Steel Nails from the
Republic of Turkey; Invitation for Consultations to Discuss the
Countervailing Duty Petition,'' dated January 4, 2022;
``Countervailing Duty Petition on Certain Steel Nails from India;
Invitation for Consultations to Discuss the Countervailing Duty
Petition,'' dated January 5, 2022; ``Countervailing Duty Petition on
Certain Steel Nails from Thailand,'' dated January 5, 2022; and
``Countervailing Duty Petition on Certain Steel Nails from the
Sultanate of Oman: Invitation for Consultations to Discuss the
Countervailing Duty Petition,'' dated January 10, 2022.
\13\ See Memoranda, ``Petition for the Imposition of
Countervailing Duties on Imports of Certain Steel Nails from
Thailand: Teleconference Consultations with the Royal Thai
Government,'' dated January 12, 2022; ``Countervailing Duty Petition
on Certain Steel Nails from the Sultanate of Oman: Consultations
with Officials from the Government of the Sultanate of Oman,'' dated
January 14, 2022; ``Certain Steel Nails from Turkey: Government of
Turkey Consultations,'' dated January 14, 2022; ``Consultations with
the Government of Sri Lanka on the Countervailing Duty Petition
Regarding Certain Steel Nails from Sri Lanka,'' dated January 14,
2022; and ``Petition for the Imposition of Countervailing Duties on
Imports of Certain Steel Nails from India: Consultations with
Officials from the Government of India,'' dated January 18, 2022.
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Determination of Industry Support for the Petitions
Section 702(b)(1) of the Act requires that a petition be filed on
behalf of the domestic industry. Section 702(c)(4)(A) of the Act
provides that a petition meets this requirement if the domestic
producers or workers who support the petition account for: (i) At least
25 percent of the total production of the domestic like product; and
(ii) more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of
the Act provides that, if the petition does not establish support of
domestic producers or workers accounting for
[[Page 3972]]
more than 50 percent of the total production of the domestic like
product, Commerce shall: (i) Poll the industry or rely on other
information in order to determine if there is support for the petition,
as required by subparagraph (A); or (ii) determine industry support
using a statistically valid sampling method to poll the ``industry.''
Section 771(4)(A) of the Act defines the ``industry'' as the
producers as a whole of a domestic like product. Thus, to determine
whether a petition has the requisite industry support, the statute
directs Commerce to look to producers and workers who produce the
domestic like product. The International Trade Commission (ITC), which
is responsible for determining whether ``the domestic industry'' has
been injured, must also determine what constitutes a domestic like
product in order to define the industry. While both Commerce and the
ITC must apply the same statutory definition regarding the domestic
like product,\14\ they do so for different purposes and pursuant to a
separate and distinct authority. In addition, Commerce's determination
is subject to limitations of time and information. Although this may
result in different definitions of the like product, such differences
do not render the decision of either agency contrary to law.\15\
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\14\ See section 771(10) of the Act.
\15\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F.
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
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Section 771(10) of the Act defines the domestic like product as ``a
product which is like, or in the absence of like, most similar in
characteristics and uses with, the article subject to an investigation
under this title.'' Thus, the reference point from which the domestic
like product analysis begins is ``the article subject to an
investigation'' (i.e., the class or kind of merchandise to be
investigated, which normally will be the scope as defined in the
petition).
With regard to the domestic like product, the petitioner does not
offer a definition of the domestic like product distinct from the scope
of the investigations.\16\ Based on our analysis of the information
submitted on the record, we have determined that steel nails, as
defined in the scope, constitute a single domestic like product, and we
have analyzed industry support in terms of that domestic like
product.\17\
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\16\ See Petitions at Volume I at 13-15 and Exhibit GEN-3; see
also General Issues Supplement at 7-10.
\17\ For a discussion of the domestic like product analysis as
applied to these cases and information regarding industry support,
see Countervailing Duty Investigation Initiation Checklists: Certain
Steel Nails from India, the Sultanate of Oman, Sri Lanka, Thailand,
and the Republic of Turkey (Country-Specific CVD Initiation
Checklists) at Attachment II, Analysis of Industry Support for the
Antidumping and Countervailing Duty Petitions Covering Certain Steel
Nails from India, the Sultanate of Oman, Sri Lanka, Thailand, and
the Republic of Turkey (Attachment II). These checklists are dated
concurrently with this notice and on file electronically via ACCESS.
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In determining whether the petitioner has standing under section
702(c)(4)(A) of the Act, we considered the industry support data
contained in the Petitions with reference to the domestic like product
as defined in the ``Scope of the Investigations,'' in the appendix to
this notice. To establish industry support, the petitioner provided the
2020 production of the domestic like product for the U.S. producers
that support the Petitions.\18\ The petitioner estimated the production
of the domestic like product for the remaining U.S. producers of steel
nails based on its knowledge of the industry and production
capabilities and market shares of U.S. producers.\19\ The petitioner
then compared the total production of the supporters of the Petitions
to the estimated total production of the domestic like product for the
entire domestic industry.\20\ We relied on data provided by the
petitioner for purposes of measuring industry support.\21\
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\18\ See Petitions at Volume I at 3-4 and Exhibit GEN-1.
\19\ Id.; see also General Issues Supplement at 6.
\20\ See Petitions at Volume I at 3-4 and Exhibit GEN-1.
\21\ Id.; see also General Issues Supplement at 6. For further
discussion, see Attachment II of the Country-Specific CVD Initiation
Checklists.
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Our review of the data provided in the Petitions, the General
Issues Supplement, and other information readily available to Commerce
indicates that the petitioner has established industry support for the
Petitions.\22\ First, the Petitions established support from domestic
producers (or workers) accounting for more than 50 percent of the total
production of the domestic like product and, as a result, Commerce is
not required to take further action in order to evaluate industry
support (e.g., polling).\23\ Second, the domestic producers (or
workers) have met the statutory criteria for industry support under
section 702(c)(4)(A)(i) of the Act because the domestic producers (or
workers) who support the Petitions account for at least 25 percent of
the total production of the domestic like product.\24\ Finally, the
domestic producers (or workers) have met the statutory criteria for
industry support under section 702(c)(4)(A)(ii) of the Act because the
domestic producers (or workers) who support the Petitions account for
more than 50 percent of the production of the domestic like product
produced by that portion of the industry expressing support for, or
opposition to, the Petitions.\25\ Accordingly, Commerce determines that
the Petitions were filed on behalf of the domestic industry within the
meaning of section 702(b)(1) of the Act.\26\
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\22\ See Attachment II of the Country-Specific CVD Initiation
Checklists.
\23\ Id.; see also section 702(c)(4)(D) of the Act.
\24\ See Attachment II of the Country-Specific CVD Initiation
Checklists.
\25\ Id.
\26\ Id.
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Injury Test
Because India, Oman, Sri Lanka, Thailand, and Turkey are
``Subsidies Agreement Countries'' within the meaning of section 701(b)
of the Act, section 701(a)(2) of the Act applies to these
investigations. Accordingly, the ITC must determine whether imports of
the subject merchandise from India, Oman, Sri Lanka, Thailand, and/or
Turkey materially injure, or threaten material injury to, a U.S.
industry.
Allegations and Evidence of Material Injury and Causation
The petitioner alleges that imports of the subject merchandise are
benefitting from countervailable subsidies and that such imports are
causing, or threaten to cause, material injury to the U.S. industry
producing the domestic like product. In addition, the petitioner
alleges that subject imports exceed the negligibility threshold
provided for under section 771(24)(A) of the Act.\27\
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\27\ See Petitions at 17-19 and Exhibit GEN-9.
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In CVD petitions, section 771(24)(B) of the Act provides that
imports of subject merchandise from developing countries must exceed
the negligibility threshold of four percent. Because Sri Lanka has been
designated as a developing country under section 771(36)(A) of the
Act,\28\ the four percent negligibility threshold applies to imports
from Sri Lanka. While the allegedly subsidized imports from Sri Lanka
may not meet the statutory negligibility threshold of four percent,\29\
the petitioner alleges and provides supporting evidence that: (1) There
is a reasonable indication that data obtained in the ITC's
investigation will establish that imports exceed the negligibility
[[Page 3973]]
threshold; \30\ and (2) there is the potential that imports from Sri
Lanka will imminently exceed the negligibility threshold and,
therefore, they are not negligible for purposes of a threat
determination.\31\ The petitioner's arguments regarding the reasonable
indication that information obtained in the ITC's investigation will
exceed the negligibility threshold are consistent with the SAA.
Furthermore, the petitioner's arguments regarding the potential for
imports to imminently exceed the negligibility threshold are consistent
with the statutory criteria for ``negligibility in threat analysis''
under section 771(24)(A)(iv) of the Act, which provides that imports
shall not be treated as negligible if there is a potential that subject
imports from a country will imminently exceed the statutory
requirements for negligibility.
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\28\ See Designations of Developing and Least-Developed
Countries under the Countervailing Duty Law, 85 FR 7613, 7615-7616
(February 10, 2020).
\29\ When calculated to the hundredth decimal point, imports
from Sri Lanka account for 3.96 percent of the volume of total
imports during the most recent 12-month period for which data are
available. See Petitions at Volume I at 17-18 and Exhibit GEN-9.
\30\ See Petitions at Volume I at 17-18 and Exhibit GEN-9; see
also Statement of Administrative Action Accompanying the Uruguay
Round Agreements Act, H.R. Doc. 103-316, vol. 1 (1994) (SAA) at 857.
\31\ See Petitions at Volume I at 19 and Exhibit GEN-8; see also
section 771(24)(A)(iv) of the Act.
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The petitioner contends that the industry's injured condition is
illustrated by a significant and increasing volume of subject imports;
reduced market share; decline in U.S. shipments and production and low
level of capacity utilization; underselling and price depression and/or
suppression; adverse impact on employment variables; lost sales and
revenues; and declining profitability.\32\ We assessed the allegations
and supporting evidence regarding material injury, threat of material
injury, causation, and negligibility, and we have determined that these
allegations are properly supported by adequate evidence, and meet the
statutory requirements for initiation.\33\
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\32\ See Petitions at Volume I at 19-21, 25-41 and Exhibits GEN-
1, GEN-3, GEN-8 and GEN-11 through GEN-20.
\33\ See Country-Specific CVD Initiation Checklists at
Attachment III, Analysis of Allegations and Evidence of Material
Injury and Causation for the Antidumping and Countervailing Duty
Petitions Covering Certain Steel Nails from India, the Sultanate of
Oman, Sri Lanka, Thailand, and the Republic of Turkey (Attachment
III).
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Initiation of CVD Investigations
Based upon our examination of the Petitions on steel nails from
India, Oman, Sri Lanka, Thailand, and Turkey, including supplemental
information provided by the petitioner, we find that the Petitions meet
the requirements of section 702 of the Act. Therefore, we are
initiating CVD investigations to determine whether imports of steel
nails from India, Oman, Sri Lanka, Thailand, and Turkey benefit from
countervailable subsidies conferred by the Governments. In accordance
with section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), unless
postponed, we will make our preliminary determinations no later than 65
days after the publication date of these initiations.
India
Based on our review of the Petition on Indian steel nails, we find
that there is sufficient information to initiate a CVD investigation on
32 alleged programs. For a full discussion of the basis for our
decision to initiate on each program, see India CVD Initiation
Checklist. A public version of the initiation checklist for this
investigation is available on ACCESS.
Oman
Based on our review of the Petition on Omani steel nails, we find
that there is sufficient information to initiate a CVD investigation on
11 alleged programs. For a full discussion of the basis for our
decision to initiate on each program, see Oman CVD Initiation
Checklist. A public version of the initiation checklist for this
investigation is available on ACCESS.
Sri Lanka
Based on our review of the Petition on Sri Lankan steel nails, we
find that there is sufficient information to initiate a CVD
investigation on 11 alleged programs. For a full discussion of the
basis for our decision to initiate on each program, see Sri Lanka CVD
Initiation Checklist. A public version of the initiation checklist for
this investigation is available on ACCESS.
Thailand
Based on our review of the Petition on Thai steel nails, we find
that there is sufficient information to initiate a CVD investigation on
13 alleged programs. For a full discussion of the basis for our
decision to initiate on each program, see Thailand CVD Initiation
Checklist. A public version of the initiation checklist for this
investigation is available on ACCESS.
Turkey
Based on our review of the Petition on Turkish steel nails, we find
that there is sufficient information to initiate a CVD investigation on
26 alleged programs. For a full discussion of the basis for our
decision to initiate on each program, see Turkey CVD Initiation
Checklist. A public version of the initiation checklist for this
investigation is available on ACCESS.
Respondent Selection
The petitioner named 11 companies in India; four in Oman; five in
Sri Lanka; five in Thailand; and six in Turkey as producers/exporters
of steel nails.\34\ Commerce intends to follow its standard practice in
CVD investigations and calculate company-specific subsidy rates in
these investigations.
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\34\ See Petitions at Volume I at Exhibit GEN-6.
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In the event that Commerce determines that the number of companies
in India, Oman, Sri Lanka, Thailand, or Turkey is large and it cannot
individually examine each company based upon Commerce's resources,
where appropriate, Commerce intends to select respondents based on U.S.
Customs and Border Protection (CBP) data for U.S. imports of steel
nails from India, Oman, Sri Lanka, Thailand, and Turkey during the POI
under the appropriate Harmonized Tariff Schedule of the United States
subheadings listed in the ``Scope of the Investigations,'' in the
appendix.
From January 11 through 13, 2022, Commerce released CBP data for
U.S. imports of steel nails from India, Oman, Sri Lanka, Turkey, and
Thailand under administrative protective order (APO) to all parties
with access to information protected by APO and indicated that
interested parties wishing to comment regarding the CBP data and
respondent selection must do so within three business days of the
publication date of the notice of initiation of these CVD
investigations.\35\ Commerce will not accept rebuttal comments
regarding the CBP data or respondent selection. Interested parties must
submit applications for disclosure under APO in accordance with 19 CFR
351.305(b). Instructions for filing such applications may be found on
the Commerce's website at <a href="http://enforcement.trade.gov/apo">http://enforcement.trade.gov/apo</a>.
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\35\ See Memoranda, ``Countervailing Duty Petition on Certain
Steel Nails from the Republic of Turkey: Release of Customs Data
from U.S. Customs and Border Protection,'' dated January 11, 2022;
``Countervailing Duty Petition on Certain Steel Nails from India:
Release of Customs Data from U.S. Customs and Border Protection,''
dated January 13, 2022; ``Countervailing Duty Petition on Certain
Steel Nails from the Sultanate of Oman: Release of Customs Data from
U.S. Customs and Border Protection,'' dated January 13, 2022;
``Countervailing Duty Petition on Certain Steel Nails from Sri
Lanka: Release of Customs Data from U.S. Customs and Border
Protection,'' dated January 13, 2022; and ``Petition for the
Imposition of Countervailing Duties on Imports of Certain Steel
Nails from Thailand: Release of U.S. Customs and Border Protection
Data,'' dated January 13, 2022.
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Comments on CBP data and respondent selection must be filed
electronically using ACCESS. An electronically-filed document must be
received successfully, in its entirety, by
[[Page 3974]]
ACCESS no later than 5:00 p.m. ET on the specified deadline.
Distribution of Copies of the Petitions
In accordance with section 702(b)(4)(A) of the Act and 19 CFR
351.202(f), a copy of the public version of the Petitions has been
provided to the Governments via ACCESS. To the extent practicable,
Commerce will attempt to provide a copy of the public version of the
Petitions to each exporter named in the Petitions, as provided under 19
CFR 351.203(c)(2).
ITC Notification
Commerce will notify the ITC of our initiation, as required by
section 702(d) of the Act.
Preliminary Determination by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the Petitions were filed, whether there is a reasonable
indication that imports of steel nails from India, Oman, Sri Lanka,
Thailand, and/or Turkey are materially injuring or threatening material
injury to a U.S. industry.\36\ A negative ITC determination for any
country will result in the investigation being terminated with respect
to that country.\37\ Otherwise, the investigations will proceed
according to statutory and regulatory time limits.
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\36\ See section 733(a) of the Act.
\37\ Id.
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Submission of Factual Information
Factual information is defined in 19 CFR 351.102(b)(21) as: (i)
Evidence submitted in response to questionnaires; (ii) evidence
submitted in support of allegations; (iii) publicly available
information to value factors under 19 CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence
placed on the record by Commerce; and (v) evidence other than factual
information described in (i)-(iv). Any party, when submitting factual
information, must specify under which subsection of 19 CFR
351.102(b)(21) the information is being submitted and, if the
information is submitted to rebut, clarify, or correct factual
information already on the record, provide an explanation identifying
the information already on the record that the factual information
seeks to rebut, clarify, or correct.\38\ Time limits for the submission
of factual information are addressed in 19 CFR 351.301, which provides
specific time limits based on the type of factual information being
submitted. Interested parties should review the regulations prior to
submitting factual information in these investigations.
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\38\ See 19 CFR 351.301(b).
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Extensions of Time Limits
Parties may request an extension of time limits before the
expiration of a time limit established under 19 CFR 351.301 or as
otherwise specified by the Secretary. In general, an extension request
will be considered untimely if it is filed after the expiration of the
time limit established under 19 CFR 351.301. For submissions that are
due from multiple parties simultaneously, an extension request will be
considered untimely if it is filed after 10:00 a.m. ET on the due date.
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 a letter or memorandum of the
deadline (including a specified time) by which extension requests must
be filed to be considered timely. An extension request must be made in
a separate, stand-alone submission; under limited circumstances
Commerce will grant untimely-filed requests for the extension of time
limits. Parties should review Commerce's regulations concerning the
extension of time limits prior to submitting extension requests in
these investigations.\39\
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\39\ See 19 CFR 351.301; see also Extension of Time Limits;
Final Rule, 78 FR 57790 (September 20, 2013), available at <a href="http://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm">http://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm</a>.
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Certification Requirements
Any party submitting factual information in an AD or CVD proceeding
must certify to the accuracy and completeness of that information.\40\
Parties must use the certification formats provided in 19 CFR
351.303(g).\41\ Commerce intends to reject factual submissions if the
submitting party does not comply with the applicable certification
requirements.
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\40\ See section 782(b) of the Act.
\41\ See Certification of Factual Information to Import
Administration During Antidumping and Countervailing Duty
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also
frequently asked questions regarding the Final Rule, available at
<a href="http://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf">http://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf</a>.
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Notification to Interested Parties
Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305. Instructions for filing such
applications may be found on the Commerce website at <a href="http://enforcement.trade.gov/apo">http://enforcement.trade.gov/apo</a>. Parties wishing to participate in these
investigations should ensure that they meet the requirements of 19 CFR
351.103(d) (e.g., by filing a letter of appearance). Note that Commerce
has temporarily modified certain of its requirements for serving
documents containing business proprietary information until further
notice.\42\
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\42\ See Temporary Rule Modifying AD/CVD Service Requirements
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July
10, 2020).
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This notice is issued and published pursuant to sections 702 and
777(i) of the Act and 19 CFR 351.203(c).
Dated: January 19, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
Appendix
Scope of the Investigations
The merchandise covered by these investigations is certain steel
nails having a nominal shaft or shank length not exceeding 12
inches. Certain steel nails include, but are not limited to, nails
made from round wire and nails that are cut from flat-rolled steel
or long-rolled flat steel bars. Certain steel nails may be of one
piece construction or constructed of two or more pieces. Examples of
nails constructed of two or more pieces include, but are not limited
to, anchors comprised of an anchor body made of zinc or nylon and a
steel pin or a steel nail; crimp drive anchors; split-drive anchors,
and strike pin anchors. Also included in the scope are anchors of
one piece construction.
Certain steel nails may be produced from any type of steel, and
may have any type of surface finish, head type, shank, point type
and shaft diameter. Finishes include, but are not limited to,
coating in vinyl, zinc (galvanized, including but not limited to
electroplating or hot dipping one or more times), phosphate, cement,
and paint. Certain steel nails may have one or more surface
finishes. Head styles include, but are not limited to, flat,
projection, cupped, oval, brad, headless, double, countersunk, and
sinker. Shank or shaft styles include, but are not limited to,
smooth, barbed, screw threaded, ring shank and fluted.
Screw-threaded nails subject to this proceeding are driven using
direct force and not by turning the nail using a tool that engages
with the head. Point styles include, but are not limited to,
diamond, needle, chisel and blunt or no point. Certain steel nails
may be sold in bulk, or they may be collated in any manner using any
material.
Excluded from the scope are certain steel nails packaged in
combination with one or more non-subject articles, if the total
number of nails of all types, in aggregate regardless of size, is
less than 25. If packaged in combination with one or more non-
subject articles, certain steel nails remain subject merchandise if
the total number of nails of all types, in aggregate regardless of
size, is equal to or greater than 25, unless otherwise excluded
based on the other exclusions below.
[[Page 3975]]
Also excluded from the scope are certain steel nails with a
nominal shaft or shank length of one inch or less that are a
component of an unassembled article, where the total number of nails
is sixty (60) or less, and the imported unassembled article falls
into one of the following eight groupings: (1) Builders' joinery and
carpentry of wood that are classifiable as windows, French-windows
and their frames; (2) builders' joinery and carpentry of wood that
are classifiable as doors and their frames and thresholds; (3)
swivel seats with variable height adjustment; (4) seats that are
convertible into beds (with the exception of those classifiable as
garden seats or camping equipment); (5) seats of cane, osier, bamboo
or similar materials; (6) other seats with wooden frames (with the
exception of seats of a kind used for aircraft or motor vehicles);
(7) furniture (other than seats) of wood (with the exception of (i)
medical, surgical, dental or veterinary furniture; and (ii) barbers'
chairs and similar chairs, having rotating as well as both reclining
and elevating movements); or (8) furniture (other than seats) of
materials other than wood, metal, or plastics (e.g., furniture of
cane, osier, bamboo or similar materials). The aforementioned
imported unassembled articles are currently classified under the
following Harmonized Tariff Schedule of the United States (HTSUS)
subheadings: 4418.10, 4418.20, 9401.30, 9401.40, 9401.51, 9401.59,
9401.61, 9401.69, 9403.30, 9403.40, 9403.50, 9403.60, 9403.81 or
9403.89.
Also excluded from the scope of these investigations are nails
suitable for use in powder-actuated hand tools, whether or not
threaded, which are currently classified under HTSUS subheadings
7317.00.2000 and 7317.00.3000.
Also excluded from the scope of these investigations are nails
suitable for use in gas-actuated hand tools. These nails have a case
hardness greater than or equal to 50 on the Rockwell Hardness C
scale (HRC), a carbon content greater than or equal to 0.5 percent,
a round head, a secondary reduced-diameter raised head section, a
centered shank, and a smooth symmetrical point.
Also excluded from the scope of these investigations are
corrugated nails. A corrugated nail is made up of a small strip of
corrugated steel with sharp points on one side.
Also excluded from the scope of these investigations are thumb
tacks, which are currently classified under HTSUS subheading
7317.00.1000.
Also excluded from the scope are decorative or upholstery tacks.
Certain steel nails subject to these investigations are
currently classified under HTSUS subheadings 7317.00.5501,
7317.00.5502, 7317.00.5503, 7317.00.5505, 7317.00.5507,
7317.00.5508, 7317.00.5511, 7317.00.5518, 7317.00.5519,
7317.00.5520, 7317.00.5530, 7317.00.5540, 7317.00.5550,
7317.00.5560, 7317.00.5570, 7317.00.5580, 7317.00.5590,
7317.00.6530, 7317.00.6560 and 7317.00.7500. Certain steel nails
subject to these investigations also may be classified under HTSUS
subheadings 7318.15.5060, 7318.15.5090, 7907.00.6000, 8206.00.0000
or other HTSUS subheadings. While the HTSUS subheadings are provided
for convenience and customs purposes, the written description of the
scope of these investigations is dispositive.
[FR Doc. 2022-01509 Filed 1-25-22; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on January 26, 2022.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.