Notice2022-04490

Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel From India: Preliminary Results of Countervailing Duty Administrative Review; 2020

Primary source

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Published
March 3, 2022

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of certain cold-drawn mechanical tubing of carbon and alloy steel (cold-drawn mechanical tubing) from India during the period of review, January 1, 2020, through December 31, 2020. Interested parties are invited to comment on these preliminary results.

Full Text

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<title>Federal Register, Volume 87 Issue 42 (Thursday, March 3, 2022)</title>
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[Federal Register Volume 87, Number 42 (Thursday, March 3, 2022)]
[Notices]
[Pages 12084-12086]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-04490]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-533-874]


Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel 
From India: Preliminary Results of Countervailing Duty Administrative 
Review; 2020

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that countervailable subsidies are being provided to producers and 
exporters of certain cold-drawn mechanical tubing of carbon and alloy 
steel (cold-drawn mechanical tubing) from India during the period of 
review, January 1, 2020, through December 31, 2020. Interested parties 
are invited to comment on these preliminary results.

DATES: Applicable March 3, 2022.

FOR FURTHER INFORMATION CONTACT: Eliza Siordia or Eric Hawkins, AD/CVD 
Operations, Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-3878 or (202) 482-1988, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On April 1, 2021, Commerce published a notice of initiation of an 
administrative review of the countervailing duty order on cold-drawn 
mechanical tubing from India.\1\ On October 5, 2021, Commerce extended 
the time period for issuing these preliminary results by 117 days, in 
accordance with section 751(a)(3)(A) of the Tariff Act of 1930, as 
amended (the Act).\2\ The revised deadline for these preliminary 
results is now February 25, 2022.
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    \1\ See Initiation and Countervailing Duty Administrative 
Reviews, 86 FR 17124 (April 1, 2021); see also Certain Cold-Drawn 
Mechanical Tubing of Carbon and Alloy Steel from the People's 
Republic of China and India: Countervailing Duty Orders, 83 FR 4637 
(February 1, 2018) (Order).
    \2\ See Memorandum, ``Certain Cold-Drawn Mechanical Tubing of 
Carbon and Alloy Steel from India: Extension of Deadline for 
Preliminary Results of Countervailing Duty Administrative Review, 
2020,'' dated October 5, 2021.
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    For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\3\ 
A list of topics discussed in the Preliminary Decision Memorandum is 
included at the appendix to this notice. The Preliminary Decision 
Memorandum is a public document and is on file electronically via 
Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (ACCESS). ACCESS is available to 
registered users at <a href="http://access.trade.gov">http://access.trade.gov</a>. In addition, a complete 
version of the Preliminary Decision Memorandum can be accessed directly 
at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
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    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of Countervailing Duty Administrative Review: Certain Cold-
Drawn Mechanical Tubing of Carbon and Alloy Steel from India; 
2020,'' dated concurrently with, and hereby adopted by, this notice 
(Preliminary Decision Memorandum).
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Scope of the Order

    The merchandise covered by the Order is cold-drawn mechanical 
tubing from India. For a complete description of the scope of the 
Order, see the Preliminary Decision Memorandum.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(A) of the Act. For each of the subsidy programs found 
countervailable, we preliminarily find that there is a subsidy, i.e., a 
financial contribution that gives rise to a benefit to the recipient, 
and the subsidy is specific.\4\

[[Page 12085]]

For a full description of the methodology underlying our conclusions, 
see the Preliminary Decision Memorandum.
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    \4\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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Companies Not Selected for Individual Review

    The Act and Commerce's regulations do not directly address the 
subsidy rate to be applied to companies not selected for individual 
examination where Commerce limits its examination in an administrative 
review pursuant to section 777A(e)(2) of the Act. However, Commerce 
normally determines the rates for non-selected companies in reviews in 
a manner that is consistent with section 705(c)(5) of the Act, which 
provides instructions for calculating the all-others rate in an 
investigation. Section 777A(e)(2) of the Act provides that ``the 
individual countervailable subsidy rates determined under subparagraph 
(A) shall be used to determine the all-others rate under section 
705(c)(5) {of the Act{time} .'' Section 705(c)(5)(A) of the Act states 
that for companies not investigated, in general, we will determine an 
all-others rate by weight-averaging the countervailable subsidy rates 
established for each of the companies individually investigated, 
excluding zero and de minimis rates or any rates based solely on the 
facts available.
    Accordingly, to determine the rate for companies not selected for 
individual examination, Commerce's practice is to weight average the 
net subsidy rates for the selected mandatory companies, excluding rates 
that are zero, de minimis, or based entirely on facts available.\5\ We 
preliminarily determine that Goodluck India Limited (Goodluck) and Tube 
Investments of India Ltd. (TII) received countervailing subsidies that 
are above de minimis and are not based entirely on facts available. 
Therefore, we preliminarily determine to apply the weighted-average of 
the net subsidy rates calculated for Goodluck and TII using publicly 
ranged sales data submitted by those respondents to the non-selected 
companies.\6\ The following companies are companies for which a review 
was requested, and which were not selected as mandatory respondents or 
found to be cross-owned with a mandatory respondent: KLT Automotive and 
Tubular Products Limited; Metamorphosis Engitech India Private Limited; 
and Pennar Industries Limited India.
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    \5\ See, e.g., Certain Pasta from Italy: Final Results of the 
13th (2008) Countervailing Duty Administrative Review, 75 FR 37386, 
37387 (June 29, 2010).
    \6\ See Memorandum, ``Calculation of Subsidy Rate for Non-
Selected Companies Under Review,'' dated February 25, 2022.
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Preliminary Results of Review

    For the period January 1, 2020, through December 31, 2020, we 
preliminarily find that the following net subsidy rates exist:
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    \7\ Entries for Goodluck India Limited may have been made under 
the following company names: Goodluck India Limited (formerly Good 
Luck Steel Tubes Limited); Good Luck Steel Tubes Limited Good Luck 
House; and Good Luck Industries.
    \8\ Tube Investments of India Ltd. is also known as Tube 
Investments of India Limited.

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
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Goodluck India Limited \7\..............................            3.30
Tube Investments of India Ltd.\8\.......................            5.57
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                      Review-Specific Average Rate
                       Applicable to the Following
------------------------------------------------------------------------
KLT Automotive and Tubular Products Limited.............            3.96
Metamorphosis Engitech India Private Limited............            3.96
Pennar Industries Limited India.........................            3.96
------------------------------------------------------------------------

Assessment Rate

    Consistent with section 751(a)(2)(C) of the Act, upon issuance of 
the final results, Commerce shall determine, and U.S. Customs and 
Border Protection (CBP) shall assess, countervailing duties on all 
appropriate entries in accordance with the final results of this 
review. If the assessment rate calculated in the final results is zero 
or de minimis, we will instruct CBP to liquidate all appropriate 
entries without regard to countervailing duties. Commerce intends to 
issue assessment instructions to CBP no earlier than 35 days after the 
date of publication of the final results of this review in the Federal 
Register. If a timely summons is filed at the U.S. Court of 
International Trade, the assessment instructions will direct CBP not to 
liquidate relevant entries until the time for parties to file a request 
for a statutory injunction has expired (i.e., within 90 days of 
publication).

Cash Deposit Requirements

    Pursuant to section 751(a)(2)(C) of the Act, Commerce intends to 
instruct CBP to collect cash deposits of estimated countervailing 
duties in the amounts indicated above, except, where the rate 
calculated in the final results is de minimis, no cash deposit will be 
required on shipments of subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of the 
final results of this review. For all non-reviewed firms, we will 
instruct CBP to continue to collect cash deposits of estimated 
countervailing duties at the most recent company-specific or all-others 
rate applicable to the company, as appropriate. These cash deposit 
instructions, when imposed, shall remain in effect until further 
notice.

Disclosure and Public Comment

    We will disclose to parties to this proceeding the calculations 
performed in reaching the preliminary results within five days of the 
date of publication of these preliminary results.\9\ Pursuant to 19 CFR 
351.309(c), interested parties may submit case briefs no later than 30 
days after the date of publication of this notice. Rebuttal briefs, 
limited to issues raised in the case briefs, may be filed not later 
than seven days after the date for filing case briefs.\10\ Parties who 
submit case briefs or rebuttal briefs in this proceeding are encouraged 
to submit with each argument: (1) A statement of the issue; (2) a brief 
summary of the argument; and (3) a table of authorities.\11\ Case and 
rebuttal briefs should be filed using ACCESS \12\ and must be served on 
interested parties.\13\ Executive summaries should be limited to five 
pages total, including footnotes. Note that Commerce has temporarily 
modified certain of its requirements for serving documents containing 
business proprietary information, until further notice.\14\
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    \9\ See 19 CFR 351.224(b).
    \10\ See 19 CFR 351.309(c)(1)(ii) and 351.309(d)(1); see also 
Temporary Rule Modifying AD/CVD Service Requirements Due to COVID-
19; Extension of Effective Period, 85 FR 41363 (July 10, 2020) 
(Temporary Rule).
    \11\ See 19 CFR 351.309(c)(2) and (d)(2).
    \12\ See generally 19 CFR 351.303.
    \13\ See 19 CFR 351.303(f).
    \14\ See Temporary Rule.
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    Interested parties who wish to request a hearing must do so within 
30 days of publication of these preliminary results by submitting a 
written request to the Assistant Secretary for Enforcement and 
Compliance using Enforcement and Compliance's ACCESS system.\15\ 
Requests should contain the party's name, address, and telephone 
number, the number of participants, and a list of the issues to be 
discussed. Issues raised in the hearing will be limited to those raised 
in the respective case and rebuttal briefs.\16\ If a request for a 
hearing is made, Commerce intends to hold the hearing at a time and 
date to be determined. Parties should confirm the date and time of the 
hearing two

[[Page 12086]]

days before the scheduled date. Parties are reminded that all briefs 
and hearing requests must be filed electronically using ACCESS and 
received successfully in their entirety by 5:00 p.m. Eastern Time on 
the due date.
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    \15\ See 19 CFR 351.310(c).
    \16\ See 19 CFR 351.310.
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Final Results of Review

    Unless the deadline is extended pursuant to section 751(a)(3)(A) of 
the Act, Commerce intends to issue the final results of this 
administrative review, including the results of our analysis of the 
issues raised by the parties in their comments, within 120 days after 
publication of these preliminary results.

Notification to Interested Parties

    This administrative review and notice are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 
351.213.

    Dated: February 24, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Period of Review
V. Rate for Non-Examined Companies
VI. Subsidies Valuation Information
VII. Benchmarks and Interest Rates
VIII. Analysis of Programs
IX. Recommendation

[FR Doc. 2022-04490 Filed 3-2-22; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on March 3, 2022.

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