Notice2023-28526

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

Primary source

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Published
December 27, 2023

Issuing agencies

Commerce DepartmentInternational Trade Administration

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).

Full Text

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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:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                    Exporter or producer                        dumping
                                                                margin
                                                               (percent)
------------------------------------------------------------------------
Hyundai Steel Company.......................................        9.63
AJU Besteel Co., Ltd........................................        6.74
Husteel Co., Ltd............................................        6.74
NEXTEEL Co., Ltd............................................        6.74
------------------------------------------------------------------------

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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Indexed from Federal Register on December 27, 2023.

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