Notice2022-20794
Certain Carbon Steel Butt-Weld Pipe Fittings From the People's Republic of China: Notice of Covered Merchandise Referral and Initiation of Covered Merchandise Inquiry
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
September 26, 2022
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) has received a covered merchandise referral from U.S. Customs and Border Protection (CBP) in connection with a CBP investigation concerning alleged evasion of the antidumping duty (AD) order on certain carbon steel butt-weld pipe fittings (butt-weld pipe fittings) from the People's Republic of China (China). Commerce is initiating a covered merchandise inquiry to determine whether the merchandise described in the referral is subject to the AD order on butt-weld pipe fittings from China. Interested parties are invited to comment and submit factual information addressing this initiation.
Full Text
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<title>Federal Register, Volume 87 Issue 185 (Monday, September 26, 2022)</title>
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[Federal Register Volume 87, Number 185 (Monday, September 26, 2022)]
[Notices]
[Pages 58310-58311]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-20794]
[[Page 58310]]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-814]
Certain Carbon Steel Butt-Weld Pipe Fittings From the People's
Republic of China: Notice of Covered Merchandise Referral and
Initiation of Covered Merchandise Inquiry
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) has received a
covered merchandise referral from U.S. Customs and Border Protection
(CBP) in connection with a CBP investigation concerning alleged evasion
of the antidumping duty (AD) order on certain carbon steel butt-weld
pipe fittings (butt-weld pipe fittings) from the People's Republic of
China (China). Commerce is initiating a covered merchandise inquiry to
determine whether the merchandise described in the referral is subject
to the AD order on butt-weld pipe fittings from China. Interested
parties are invited to comment and submit factual information
addressing this initiation.
DATES: Applicable September 26, 2022.
FOR FURTHER INFORMATION CONTACT: Rachel Jennings or Miranda Bourdeau,
AD/CVD Operations, Office V, Enforcement & Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230; telephone: (202) 482-1110 or (202)
482-2021, respectively.
SUPPLEMENTARY INFORMATION:
Background
Section 517(b)(4)(A)(i) of the Tariff Act of 1930, as amended (the
Act), provides a procedure whereby if, during the course of an Enforce
and Protect Act (EAPA) investigation, CBP is unable to determine
whether the merchandise at issue is covered merchandise within the
meaning of section 517(a)(3) of the Act, it shall refer the matter to
Commerce to make such a determination. Section 517(a)(3) of the Act
defines covered merchandise as merchandise that is subject to an AD
order issued under section 736 of the Act or a countervailing duty
order issued under section 706 of the Act. Section 517(b)(4)(B) of the
Act states that Commerce, after receiving a covered merchandise
referral from CBP, shall determine whether the merchandise is covered
merchandise and promptly transmit its determination to CBP. Commerce's
regulations at 19 CFR 351.227 establish procedures for covered
merchandise referrals that Commerce receives from CBP in connection
with an EAPA investigation.\1\
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\1\ See Regulations to Improve Administration and Enforcement of
Antidumping and Countervailing Duty Laws, 86 FR 52300, 52354-62
(September 20, 2021) (final rule promulgating the regulation
establishing procedures for covered merchandise referrals).
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On September 6, 2022, Commerce received a sufficient covered
merchandise referral from CBP regarding CBP EAPA Investigation No.
7335,\2\ which concerns the AD order on butt-weld pipe fittings from
China.\3\ Specifically, CBP explained that an allegation was filed by
Allied Group alleging that Norca Industrial Company, LLC (Norca) and
International Piping & Procurement Group, LP (IPPG), imported butt-weld
pipe fittings from China into the United States that were transshipped
through the Socialist Republic of Vietnam (Vietnam).\4\ CBP informed
Commerce that CBP is unable to determine whether certain merchandise is
covered merchandise subject to the Order. Thus, CBP requested that
Commerce issue a determination as to whether: (1) Chinese-origin rough
fittings that only underwent the final stage of three production stages
\5\ (i.e., finishing processes) in Vietnam are within the scope of the
Order; and (2) whether Chinese-origin rough fittings that underwent
both the second and third stages of production in Vietnam are within
the scope of the Order.
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\2\ See CBP's Letter, ``Covered Merchandise Referral Request for
Merchandise Under EAPA Consolidated Case Number 7335 (Remand Number
7717), Imported by Norca Industrial Company, LLC and International
Piping & Procurement Group, LP: Antidumping Duty Order on Certain
Carbon Steel Butt-Weld Pipe Fittings from the People's Republic of
China,'' dated September 6, 2022 (Covered Merchandise Referral
Request). The covered merchandise referral and any supporting
documents will be made available on Enforcement and Compliance's
Antidumping Duty and Countervailing Duty Centralized Electronic
Service System (ACCESS).
\3\ See Antidumping Duty Order and Amendment to the Final
Determination of Sales at Less Than Fair Value; Certain Carbon Steel
Butt-Weld Pipe Fittings from the People's Republic of China, 57 FR
29702 (July 6, 1992) (Order).
\4\ See Covered Merchandise Referral Request at 1-2.
\5\ CBP's referral states that subject merchandise typically
undergoes three production processes to convert seamless pipe into
butt-weld pipe fittings: (1) converting seamless pipe ``into the
rough shape of an elbow, tee, reducer, etc., through a cold- or hot-
forming (or forging) process; (2) reforming or sizing the rough
fitting so that the fitting will match the pipe it is destined to be
welded to; and (3) a finishing process such as ``shot blasting, or
other cleaning, machine beveling, boring and tapering, grinding, die
stamping, inspection, and painting.''
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Initiation of Covered Merchandise Inquiry
Commerce is hereby notifying interested parties that it is
initiating a covered merchandise inquiry to determine whether the
merchandise subject to the referral is covered merchandise within the
meaning of section 517(a)(3) of the Act. Additionally, Commerce intends
to provide interested parties with the opportunity to participate in
this segment of the proceeding, including through the submission of
comments and factual information, and, if appropriate, verification.
In accordance with 19 CFR 351.227(d)(1), within 30 days of the date
of publication of this notice, interested parties are permitted one
opportunity to submit comments and factual information addressing the
initiation. Within 14 days of the filing of such comments, any
interested party is permitted one opportunity to submit comments and
factual information to rebut, clarify, or correct factual information
submitted by the other interested parties.
In accordance with 19 CFR 351.227(d)(2), following initiation of a
covered merchandise inquiry, Commerce may also issue questionnaires and
verify submissions received, where appropriate. Commerce may limit
issuance of questionnaires to a reasonable number of respondents.
Questionnaire responses are due on the date specified by Commerce.
Within 14 days after a questionnaire response has been filed with
Commerce, an interested party other than the original submitter is
permitted one opportunity to submit comments and factual information to
rebut, clarify, or correct factual information contained in the
questionnaire response. Within seven days of the filing of such
rebuttal, clarification, or correction, the original submitter is
permitted one opportunity to submit comments and factual information to
rebut, clarify, or correct factual information submitted in the
interested party's rebuttal, clarification, or correction.
In certain circumstances, Commerce may issue a preliminary
determination as to whether there is a reasonable basis to believe or
suspect that the product that is subject to the covered merchandise
inquiry is covered by the scope of the order. Pursuant to 19 CFR
351.227(c), Commerce intends to issue a final determination within 120
days of the publication of this notice (this deadline may be extended
if Commerce determines that good cause exists to warrant an extension).
Promptly after
[[Page 58311]]
publication of Commerce's final determination, Commerce will convey a
copy of the final determination in the manner prescribed by section
516A(a)(2)(A)(ii) of the Act to all parties to the proceeding and
Commerce will transmit its final determination to CBP in accordance
with section 517(b)(4)(B) of the Act.\6\
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\6\ See 19 CFR 351.227(e)(2).
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Pursuant to 19 CFR 351.227(d)(5), during the pendency of this
proceeding, Commerce may rescind, in whole or in part, a covered
merchandise inquiry. Situations in which Commerce may rescind a covered
merchandise inquiry include if CBP withdraws its covered merchandise
referral or if Commerce determines that it can address CBP's covered
merchandise referral in another segment of the proceeding. In
accordance with 19 CFR 351.227(c)(3), Commerce may align the deadlines
of this covered merchandise inquiry with the deadlines of another
segment of the proceeding if it determines it is appropriate to do so.
Parties are hereby notified that this may be the only notice that
Commerce publishes in the Federal Register concerning this covered
merchandise referral. Except as indicated below, interested parties
that wish to participate in this segment of the proceeding and receive
notice of the final determination must submit their letters of
appearance as discussed below. Further, any representative of an
interested party desiring access to business proprietary information in
this segment of the proceeding must file an application for access to
business proprietary information under administrative protective order
(APO), as discussed below.
Scope of the Order
The merchandise covered by the Order consists of certain carbon
steel butt-weld pipe fittings, having an inside diameter of less than
14 inches, imported in either finished or unfinished form. These formed
or forged pipe fittings are used to join sections in piping systems
where conditions require permanent, welded connections, as
distinguished from fittings based on other fastening methods (e.g.,
threaded, grooved, or bolted fittings). Carbon steel butt-weld pipe
fittings are currently classified under subheading 7307.93.30 of the
HTSUS. The HTSUS subheading is provided for convenience and customs
purposes. The written product description remains dispositive.
Merchandise Subject to the Covered Merchandise Inquiry
The covered merchandise inquiry will address whether the scope
covers rough fittings originating in China and processed into butt-weld
pipe fittings through two production scenarios in Vietnam.\7\ Pursuant
to 19 CFR 351.227(m)(1), Commerce will consider, based on the available
record evidence, whether the final determination in the covered
merchandise inquiry should be applied on a: (i) producer-specific,
exporter-specific, importer-specific basis, or some combination
thereof; or (ii) on a country-wide basis, regardless of the producer,
exporter, or importer, to all products from the same country with the
same relevant physical characteristics as the product at issue.
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\7\ Specifically, CBP requests that Commerce address rough
fittings that were shipped from China to Vietnam and were either:
(1) reformed or sized (so that the fitting will match the pipe it is
destined to be welded to) and finished (i.e., shot blasted, or other
cleaning, machine beveling, boring and tapering, grinding, die
stamping, inspection, and painting) prior to shipping to the United
States; or (2) finished prior to shipping to the United States.
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Filing Requirements
All submissions to Commerce must be filed electronically via
ACCESS, unless an exception applies.\8\ An electronically filed
document must be received successfully in its entirety by the
applicable deadline. Note that Commerce has temporarily modified
certain of its requirements for serving documents containing business
proprietary information, until further notice.\9\ Each submission must
be placed on the record of the segment of the proceeding for the Order
(A-570-814), ACCESS Covered Merchandise Inquiry segment ``CBP EAPA Inv.
No. 7335.''
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\8\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011), as amended in 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 help 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%20on%20Electronic%20Filing%20Procedures.pdf">https://access.trade.gov/help/Handbook%20on%20Electronic%20Filing%20Procedures.pdf</a>.
\9\ See Temporary Rule Modifying AD/CVD Service Requirements Due
to COVID19; Extension of Effective Period, 85 FR 41363 (July 10,
2020).
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Suspension of Liquidation
In accordance with 19 CFR 351.227(l)(1), Commerce will notify CBP
of the initiation of the covered merchandise inquiry and direct CBP to
continue to suspend liquidation of entries of products subject to the
covered merchandise inquiry that were already subject to the suspension
of liquidation, and to apply the cash deposit rate that would be
applicable if the product were determined to be covered by the scope of
the Order. Should Commerce issue preliminary or final covered
merchandise determinations, Commerce will follow the suspension of
liquidation rules under 19 CFR 351.227(l)(2)-(4). In accordance with 19
CFR 351.227(l)(5), nothing in this section affects CBP's authority to
take any additional action with respect to the suspension of
liquidation or related measures.
Notification to Interested Parties
Interested parties that wish to participate in this segment of the
proceeding and be added to the public service list(s) for this segment
of the proceeding must file a letter of appearance in accordance with
19 CFR 351.103(d)(1), with one exception: the relevant parties to CBP's
EAPA investigation publicly identified by CBP in the covered
merchandise referral referenced above are not required to submit a
letter of appearance, and will be added to the public service list for
this segment of the proceeding by Commerce.
Commerce placed an APO on the record on September 19, 2022.\10\
Commerce intends to place the business proprietary versions of the
documents (if any) contained in the covered merchandise referral on the
record of this proceeding in ACCESS.
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\10\ See Administrative Protective Order, ``Request for
Establishment of Administrative Protective Order: Certain Carbon
Steel Butt-Weld Pipe Fittings from the People's Republic of China
(A-570-814),'' dated September 19, 2022.
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Representatives of interested parties must submit applications for
disclosure under the APO in accordance with the procedures outlined in
Commerce's regulations at 19 CFR 351.305. Those procedures apply to
this segment of the proceeding, with one exception: APO applicants
representing the parties that have been identified by CBP as an
importer in the covered merchandise referral (referenced above) are
exempt from the additional filing requirements for importers pursuant
to 19 CFR 351.305(d).
This notice is issued and published pursuant to section 517(b)(4)
of the Act and 19 CFR 351.227(b).
Dated: September 20, 2022.
James Maeder,
Deputy Assistant Secretary for Antidumping and Countervailing Duty
Operations.
[FR Doc. 2022-20794 Filed 9-23-22; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on September 26, 2022.
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