Certain Oil Country Tubular Goods From the Republic of Korea: Notice of Court Decision Not in Harmony With the Results of Antidumping Duty Administrative Review; Notice of Amended Final Results
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Abstract
On December 18, 2023, the U.S. Court of International Trade (the Court or CIT) issued its final judgment in Hyundai Steel Company v. United States, Consol. Court No. 22-00138, Slip Op. 23-183, sustaining the U.S. Department of Commerce's (Commerce) remand results pertaining to the administrative review of the antidumping duty (AD) order on certain oil country tubular goods (OCTG) from the Republic of Korea (Korea) covering the period September 1, 2019, through August 31, 2020. Commerce is notifying the public that the CIT's final judgment is not in harmony with Commerce's Final Results of the administrative review, and that Commerce is amending the Final Results with respect to the dumping margin assigned to AJU Besteel Co., Ltd. (AJU Besteel), Husteel Co., Ltd. (Husteel), Hyundai Steel Company (Hyundai Steel), and NEXTEEL Co., Ltd. (NEXTEEL).
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<title>Federal Register, Volume 88 Issue 247 (Wednesday, December 27, 2023)</title>
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[Federal Register Volume 88, Number 247 (Wednesday, December 27, 2023)]
[Notices]
[Pages 89370-89371]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-28526]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-580-870]
Certain Oil Country Tubular Goods From the Republic of Korea:
Notice of Court Decision Not in Harmony With the Results of Antidumping
Duty Administrative Review; Notice of Amended Final Results
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: On December 18, 2023, the U.S. Court of International Trade
(the Court or CIT) issued its final judgment in Hyundai Steel Company
v. United States, Consol. Court No. 22-00138, Slip Op. 23-183,
sustaining the U.S. Department of Commerce's (Commerce) remand results
pertaining to the administrative review of the antidumping duty (AD)
order on certain oil country tubular goods (OCTG) from the Republic of
Korea (Korea) covering the period September 1, 2019, through August 31,
2020. Commerce is notifying the public that the CIT's final judgment is
not in harmony with Commerce's Final Results of the administrative
review, and that Commerce is amending the Final Results with respect to
the dumping margin assigned to AJU Besteel Co., Ltd. (AJU Besteel),
Husteel Co., Ltd. (Husteel), Hyundai Steel Company (Hyundai Steel), and
NEXTEEL Co., Ltd. (NEXTEEL).
DATES: Applicable December 18, 2023.
FOR FURTHER INFORMATION CONTACT: Mike Heaney or Mark Flessner, AD/CVD
Operations, Office VI, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-4475 or (202) 482-6312,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On April 8, 2022, Commerce published its Final Results in the 2019-
2020 AD administrative review of OCTG from Korea.\1\ In this
administrative review, Commerce selected two mandatory respondents for
individual examination: Hyundai Steel and SeAH Steel Corporation
(SeAH). Commerce calculated weighted-average dumping margins of 19.54
percent for Hyundai Steel, 3.85 percent for SeAH, and 11.70 percent for
the non-examined companies in the Final Results.\2\ Hyundai Steel, AJU
Besteel, Husteel, and NEXTEEL challenged the Final Results on multiple
grounds.\3\
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\1\ See Certain Oil Country Tubular Goods from the Republic of
Korea: Final Results of Antidumping Duty Administrative Review and
Final Determination of No Shipments; 2019-2020, 87 FR 20815 (April
8, 2022) (Final Results), and accompanying Issues and Decision
Memorandum (IDM).
\2\ Id., 87 FR at 20816.
\3\ See Hyundai Steel Company v. United States, 639 F. Supp. 3d
1325 (CIT 2023) (Remand Order).
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In its Remand Order, the Court sustained Commerce's determination
with respect to three issues: the use of proprietary third-country
sales information pertaining to SeAH in calculations related to Hyundai
Steel; \4\ adjustments of reported general and administrative expenses
of Hyundai Steel and its U.S. affiliate, Hyundai Steel USA, Inc.; \5\
and the application of neutral facts available to adjust Hyundai
Steel's reported further manufacturing costs to account for yield
loss.\6\ However, the Court remanded three of Commerce's determinations
for Commerce to reconsider the issues and reexamine the administrative
record:
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\4\ Id. at 11-14.
\5\ Id. at 16-20.
\6\ Id. at 21-24.
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1. The calculation of Hyundai Steel's constructed export price
(CEP) profit (for which Commerce requested a voluntary remand).\7\
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\7\ Id. at 16.
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2. The calculation of Hyundai Steel's constructed value (CV) profit
and selling expenses.\8\
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\8\ Id.
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3. The calculation of Hyundai Steel's CV profit cap.\9\
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\9\ Id.
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In its final results of redetermination pursuant to the Remand
Order issued on July 16, 2021, Commerce reconsidered the three
determinations listed above.\10\ In the Redetermination, Commerce:
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\10\ See Final Results of Redetermination Pursuant to Court
Remand, Hyundai Steel Co. et al. v. United States, Consolidated
Court No. 22-00138, Slip Op. 23-87 (CIT June 9, 2023), dated August
15, 2023 (Redetermination).
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1. Revised the methodology of calculation of CEP profit to rely on
Hyundai Steel's actual sales data.\11\
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\11\ Id. at 7-10 and 20-21.
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2. Continued to use SeAH's third-country market sales to Kuwait in
calculating the CV profit and selling expenses.\12\
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\12\ Id. at 10-16 and 21-32.
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3. Continued to use SeAH's third-country market sales to Kuwait in
calculating the CV profit cap.\13\
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\13\ Id. at 17-19 and 33-40.
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As a result, Commerce recalculated the weighted-average dumping
margin for Hyundai Steel, which changed from 19.54 percent to 9.63
percent.\14\ Consequently, the dumping margin applicable to the non-
examined companies AJU Besteel, Husteel, and NEXTEEL changed from 11.70
percent to 6.74 percent.\15\
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\14\ Id. at 40.
\15\ Id.
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On December 18, 2023, the CIT issued its final judgment in Hyundai
Steel Company v. United States, Consol. Court No. 22-00138, Slip Op.
23-183, fully sustaining Commerce's Redetermination.\16\
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\16\ See Hyundai Steel Company v. United States, Consol. Court
No. 22-00138, Slip Op. 23-183 (CIT December 18, 2023).
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Timken Notice
In its decision in Timken,\17\ as clarified by Diamond
Sawblades,\18\ the
[[Page 89371]]
U.S. Court of Appeals for the Federal Circuit held that, pursuant to
section 516A(e) of the Tariff Act of 1930, as amended (the Act),
Commerce must publish a notice of a court decision not ``in harmony''
with a Commerce determination and must suspend liquidation of entries
pending a ``conclusive'' court decision. The Court's December 18, 2023,
judgment sustaining the Redetermination constitutes a final decision of
the Court that is not in harmony with Commerce's Final Results. This
notice is published in fulfillment of the publication requirement of
Timken.
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\17\ See Timken Co. v. United States, 893 F.2d 337, 341 (Fed.
Cir. 1990) (Timken).
\18\ See Diamond Sawblades Mfrs. Coalition v. United States, 626
F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades).
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Amended Final Results
Because there is now a final court decision, Commerce is amending
the Final Results with respect to AJU Besteel, Husteel, Hyundai Steel,
and NEXTEEL for the period September 1, 2019, through August 31, 2020.
The revised dumping margins are as follows:
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Weighted-
average
Exporter or producer dumping
margin
(percent)
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Hyundai Steel Company....................................... 9.63
AJU Besteel Co., Ltd........................................ 6.74
Husteel Co., Ltd............................................ 6.74
NEXTEEL Co., Ltd............................................ 6.74
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Cash Deposit Requirements
Because AJU Besteel, Husteel, Hyundai Steel, and NEXTEEL have each
had a superseding cash deposit rate, i.e., there have been final
results published in a subsequent administrative review, we will not
issue revised cash deposit instructions to U.S. Customs and Border
Protection (CBP). This notice will not affect the current cash deposit
rates.
Liquidation of Suspended Entries
At this time, Commerce remains enjoined by CIT order from
liquidating entries that were produced and exported by AJU Besteel,
Husteel, Hyundai Steel, or NEXTEEL, and were entered, or withdrawn from
warehouse, for consumption during the period September 1, 2019, through
August 31, 2020. Liquidation of these entries will remain enjoined
pursuant to the terms of the injunction during the pendency of any
appeals process.
In the event the CIT's ruling is not appealed, or, if appealed,
upheld by a final and conclusive court decision, Commerce intends to
instruct CBP to assess ADs on unliquidated entries of subject
merchandise produced and exported by AJU Besteel, Husteel, Hyundai
Steel, or NEXTEEL, in accordance with 19 CFR 351.212(b). We will
instruct CBP to assess ADs on all appropriate entries covered by this
review when the importer-specific ad valorem assessment rate is not
zero or de minimis. Where an importer-specific ad valorem assessment
rate is zero or de minimis,\19\ we will instruct CBP to liquidate the
appropriate entries without regard to ADs.
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\19\ See 19 CFR 351.106(c)(2).
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Notification to Interested Parties
This notice is issued and published in accordance with sections
516(A)(c) and (e) and 777(i)(1) of the Act.
Dated: December 21, 2023.
James Maeder,
Deputy Assistant Secretary for Antidumping and Countervailing Duty
Operations.
[FR Doc. 2023-28526 Filed 12-26-23; 8:45 am]
BILLING CODE 3510-DS-P
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