Notice2022-16720

Certain Steel Nails From Thailand: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Postponement of Final Determination, and Extension of Provisional Measures

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Published
August 4, 2022

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) preliminarily determines that certain steel nails (steel nails) from Thailand are being, or are likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is October 1, 2020, through September 30, 2021. Interested parties are invited to comment on this preliminary determination.

Full Text

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<title>Federal Register, Volume 87 Issue 149 (Thursday, August 4, 2022)</title>
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[Federal Register Volume 87, Number 149 (Thursday, August 4, 2022)]
[Notices]
[Pages 47708-47711]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-16720]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-549-844]


Certain Steel Nails From Thailand: Preliminary Affirmative 
Determination of Sales at Less Than Fair Value, Postponement of Final 
Determination, and Extension of Provisional Measures

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that certain steel nails (steel nails) from Thailand are 
being, or are likely to be, sold in the United States at less than fair 
value (LTFV). The period of investigation (POI) is October 1, 2020, 
through September 30, 2021. Interested parties are invited to comment 
on this preliminary determination.

DATES: Applicable August 4, 2022.

[[Page 47709]]


FOR FURTHER INFORMATION CONTACT: Laurel LaCivita or Matthew Palmer, AD/
CVD Operations, Office III, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-4243 or (202) 
482-1678, respectively.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on January 26, 
2022.\1\ On May 20, 2022, Commerce postponed the preliminary 
determination of this investigation until July 28, 2022.\2\ For a 
complete description of the events that followed the initiation of this 
investigation, see the Preliminary Decision Memorandum.\3\ A list of 
topics included in the Preliminary Decision Memorandum is included as 
Appendix II 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="https://access.trade.gov">https://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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    \1\ See Certain Steel Nails from India, Sri Lanka, Thailand, and 
the Republic of Turkey: Initiation of Less-Than-Fair Value 
Investigations, 87 FR 3965 (January 26, 2022) (Initiation Notice).
    \2\ See Certain Steel Nails from India, Sri Lanka, Thailand, and 
the Republic of Turkey: Postponement of Preliminary Determinations 
in the Less-Than-Fair Value Investigations, 87 FR 30868 (May 20, 
2022).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Less-Than-Fair-Value Investigation of Certain 
Steel Nails from Thailand,'' dated concurrently with, and hereby 
adopted by, this notice (Preliminary Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation are steel nails from 
Thailand. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\4\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage, (i.e., scope).\5\ Certain interested 
parties commented on the scope of this investigation as it appeared in 
the Initiation Notice. On July 5, 2022, Commerce issued its preliminary 
determination regarding the scope of the investigation.\6\ For a 
summary of the product coverage comments and rebuttal responses 
submitted to the record for this investigation, and accompanying 
analysis of all comments timely received, see the Preliminary Scope 
Decision Memorandum. Based on an analysis of the comments received, 
Commerce preliminarily determined to make no change to the scope 
language from the Initiation Notice, as reflected in Appendix I.\7\ 
Commerce established a separate briefing schedule for interested 
parties to address the preliminary scope determination.\8\
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice, 87 FR at 3966.
    \6\ See Memorandum, ``Antidumping Duty Investigations of Certain 
Steel Nails from India, Sri Lanka, Thailand, and Turkey and 
Countervailing Duty Investigations of Certain Steel Nails from 
India, Oman, Sri Lanka, Thailand, and Turkey: Preliminary Scope 
Decision Memorandum,'' dated July 5, 2022 (Preliminary Scope 
Decision Memorandum).
    \7\ Though Commerce preliminarily determined to make no change 
to the language of the scope in response to interested parties' 
comments, we note that the scope language as listed in Appendix I 
omits a Harmonized Tariff Schedule of the United States (HTSUS) 
subheading (7318.15.5060) originally included in the scope language 
from the Initiation Notice, because Commerce determined that the 
HTSUS subheading does not exist. Id. at 15.
    \8\ Id. at 4-5.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Commerce has calculated export prices in 
accordance with section 772(a) of the Act. Normal value is calculated 
in accordance with section 773 of the Act. For a full description of 
the methodology underlying the preliminary determination, see the 
Preliminary Decision Memorandum.

All-Others Rate

    Section 733(d)(1)(ii) of the Act provides that in the preliminary 
determination, Commerce shall determine an estimated all-others rate 
for all exporters and producers not individually examined. Pursuant to 
section 735(c)(5)(A) of the Act, this 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 and de minimis margins, and any margins determined 
entirely under section 776 of the Act. In this investigation, Commerce 
assigned a rate based entirely on facts available to Jinhai Hardware 
Co., Ltd. (Jinhai). Therefore, the only rate that is not zero, de 
minimis, or based entirely on facts otherwise available is the rate 
calculated for Come Best Co., Ltd. (Come Best). Consequently, the rate 
calculated for Come Best is also assigned as the rate for all other 
producers and exporters.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                               Estimated
                                                               weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margin
                                                               (percent)
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Come Best (Thailand) Co. Ltd................................   \9\ 17.12
Jinhai Hardware Co., Ltd....................................  \10\ 65.87
All Others..................................................  \11\ 17.12
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Suspension of Liquidation
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    \9\ See Memorandum, ``Antidumping Duty Investigation of Certain 
Steel Nails from Thailand: Analysis of the Preliminary Determination 
Margin Calculations for Come Best Co., Ltd.,'' dated concurrently 
with this notice.
    \10\ See Preliminary Decision Memorandum at section VI., ``Use 
of Facts Available with Adverse Inferences.''
    \11\ Id. at section VII., ``All-Others Rate.''
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    In accordance with section 733(d)(2) of the Act, Commerce will 
direct U.S. Customs and Border Protection (CBP) to suspend liquidation 
of entries of subject merchandise, as described in Appendix I, entered, 
or withdrawn from warehouse, for consumption on or after the date of 
publication of this notice in the Federal Register. Further, pursuant 
to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d), Commerce will 
instruct CBP to require a cash deposit equal to the estimated weighted-
average dumping margin or the estimated all-others rate, as follows: 
(1) the cash deposit rate for the respondents listed above will be 
equal to the company-specific estimated weighted-average dumping 
margins determined in this preliminary determination; (2) if the 
exporter is not a respondent identified above, but the producer is, 
then the cash deposit rate will be equal to the company-specific 
estimated weighted-average 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 
weighted-average dumping margin.
    To determine the cash deposit rate, pursuant to section 
772(c)(1)(C) of the Act, Commerce normally adjusts the

[[Page 47710]]

estimated weighted-average dumping margin by the amount of export 
subsidies determined in a companion countervailing duty (CVD) 
proceeding when CVD provisional measures are in effect. However, 
Commerce did not find countervailable export subsidies in the 
preliminary determination of the companion CVD investigation.\12\ 
Accordingly, we have not made any adjustment to offset for export 
subsidies. These suspension of liquidation instructions will remain in 
effect until further notice.
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    \12\ See Certain Steel Nails from Thailand: Preliminary Negative 
Countervailing Duty Determination, 87 FR 34651 (June 7, 2022), and 
accompanying Preliminary Decision Memorandum.
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Disclosure

    Commerce intends to disclose the calculations performed in 
connection with this preliminary determination to interested parties 
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).

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments on non-scope issues may be 
submitted to the Assistant Secretary for Enforcement and 
Compliance.\13\ Interested parties will be notified of the timeline for 
the submission of such case briefs and written comments at a later 
date. Rebuttal briefs may be submitted no later than seven days after 
the deadline for case briefs.\14\ Pursuant to 19 CFR 351.309(c)(2) and 
(d)(2), parties who submit case or rebuttal briefs in this 
investigation 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. Note that Commerce has temporarily modified 
certain of its requirements for serving documents containing business 
proprietary information, until further notice.\15\
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    \13\ Case briefs, other written comments, and rebuttal briefs 
submitted by parties in response to this preliminary LTFV 
determination should not include scope-related issues. The scope 
case briefs deadline was July 19, 2022. See Preliminary Scope 
Decision Memorandum at 4.
    \14\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
    \15\ 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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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce, within 30 days 
after the date of publication of this notice in the Federal Register. 
Requests should contain the party's name, address, and telephone 
number, the number of participants, whether any participant is a 
foreign national, and a list of the issues to be discussed. 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 by telephone 
the date, time, and location of the hearing two days before the 
scheduled date.

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise, or in the event of a negative 
preliminary determination, a request for such postponement is made by 
the petitioner. Section 351.210(e)(2) of Commerce's regulations 
requires that a request by exporters for postponement of the final 
determination be accompanied by a request for extension of provisional 
measures from a four-month period to a period not more than six months 
in duration.
    On July 6 and 11, 2022, pursuant to 19 CFR 351.210(e), Come Best 
and Jinhai Hardware, respectively, requested Commerce to postpone the 
final determination to the maximum of 135 days after the date of the 
publication of the preliminary determination, and to extend provisional 
measures to a period not to exceed six months, in the event that 
Commerce issued an affirmative preliminary antidumping determination in 
this proceeding.\16\ On July 14, 2022, Mid Continent Steel & Wire, Inc. 
(the petitioner) similarly requested that Commerce postpone the final 
determination for a period not to exceed 135 days after the date of the 
publication of the preliminary determination in this proceeding, in the 
event that it issued a negative preliminary determination.\17\ The 
petitioner stated further that it supports the respondents' requests to 
extend any provisional measures from a four-month period not to exceed 
a six-month period in the investigation, should Commerce reach an 
affirmative preliminary determination and should the deadline for a 
final determination be fully extended.\18\
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    \16\ See Come Best's Letter, ``Certain Steel Nails from 
Thailand; Request to Extend Final Determination,'' dated July 6, 
2022; see also Jinhai Hardware's Letter, ``Certain Steel Nails from 
Thailand: Request to Postpone the Final Determination of the 
Investigation,'' dated July 11, 2022.
    \17\ See Petitioner's Letter, ``Certain Steel Nails from India, 
Sri Lanka and Thailand--Petitioner's Request for Postponement Final 
Determination,'' dated July 14, 2022.
    \18\ Id.
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    In accordance with section 735(a)(2)(A) of the Act and 19 CFR 
351.210(b)(2)(ii), because: (1) the preliminary determination is 
affirmative; (2) the requesting exporters account for a significant 
proportion of exports of the subject merchandise; and (3) no compelling 
reasons for denial exist, Commerce is postponing the final 
determination and extending the provisional measures from a four-month 
period to a period not greater than six months. Accordingly, Commerce 
will make its final determination no later than 135 days after the date 
of publication of this preliminary determination.

U.S. International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the U.S. International Trade Commission (ITC) of its preliminary 
determination. If the final determination is affirmative, the ITC will 
determine before the later of 120 days after the date of this 
preliminary determination or 45 days after the final determination 
whether imports of steel nails from Thailand are materially injuring, 
or threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This preliminary determination is issued and published in 
accordance with sections 733(f) and 777(i)(1) of the Act and 19 CFR 
351.205(c).

    Dated: July 28, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The merchandise covered by this investigation 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

[[Page 47711]]

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.
    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, Frenchwindows 
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 this investigation 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 this investigation 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 this investigation 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 this investigation 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 this investigation 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 this 
investigation also may be classified under HTSUS subheadings 
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 this investigation is dispositive.

Appendix II--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Affiliation
V. Use of Facts Available with Adverse Inferences
VI. Discussion of the Methodology
VII. Currency Conversion
VIII. Recommendation

[FR Doc. 2022-16720 Filed 8-3-22; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on August 4, 2022.

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