Notice2024-08450

Final Affirmative Determination in the Less-Than-Fair-Value Investigation of Certain Non-Refillable Steel Cylinders From India

Primary source

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Published
April 22, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that certain non-refillable steel cylinders (cylinders) from the India are being, or are likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is April 1, 2022, through March 31, 2023.

Full Text

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<title>Federal Register, Volume 89 Issue 78 (Monday, April 22, 2024)</title>
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[Federal Register Volume 89, Number 78 (Monday, April 22, 2024)]
[Notices]
[Pages 29294-29296]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-08450]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-912]


Final Affirmative Determination in the Less-Than-Fair-Value 
Investigation of Certain Non-Refillable Steel Cylinders From India

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
certain non-refillable steel cylinders (cylinders) from the India are 
being, or are likely to be, sold in the United States at less than fair 
value (LTFV). The period of investigation (POI) is April 1, 2022, 
through March 31, 2023.

DATES: Applicable April 22, 2024.

FOR FURTHER INFORMATION CONTACT: Benito Ballesteros or Samuel Evans, 
AD/CVD Operations, Office IX, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-7425 or (202) 
482-2420, respectively.

SUPPLEMENTARY INFORMATION:

Background

    Commerce selected two companies, Bhiwadi Cylinders Pvt. Ltd./
Sapphire (India) Pvt. Ltd. (collectively Bhiwadi/Sapphire) \1\ and Inox 
India Limited (Inox) as the mandatory respondents, in this 
investigation. On December 1, 2023, Commerce published in the Federal 
Register the Preliminary Determination, in which it also postponed the 
final determination until not later than 135 days after the date of 
publication of the Preliminary Determination (i.e., April 15, 2024).\2\ 
We invited parties to comment on the Preliminary Determination.
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    \1\ Commerce determined that it was appropriate to collapse 
Bhiwadi and Sapphire and treat these companies as a single entity. 
See Memorandum, ``Preliminary Determination Affiliation and Single 
Entity Memorandum,'' dated November 24, 2023.
    \2\ See Certain Non-Refillable Steel Cylinders from India: 
Preliminary Affirmative Determination of Sales at Less Than Fair 
Value, Postponement of Final Determination, and Extension of 
Provisional Measures, 88 FR 83906 (December 1, 2023) (Preliminary 
Determination), and accompanying Preliminary Decision Memorandum 
(PDM).
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    In March 2024, we received case briefs from Worthington Industries 
(the petitioner) and Bhiwadi/Sapphire,\3\ and rebuttal briefs from the 
petitioner, Bhiwadi/Sapphire, and Inox.\4\ For a complete description 
of the events that occurred since the Preliminary Determination, see 
the Issues and Decision Memorandum.\5\ The Issues and 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 Issues and 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 Petitioner's Letter, ``Petitioner's Case Brief for Inox 
India, Ltd,'' dated March 20, 2024; Petitioner's Letter, 
``Petitioner's Case Brief for Bhiwadi Cylinders Private Limited,'' 
dated March 20, 2024; and Bhiwadi/Sapphire's Letter, ``Bhiwadi's 
Revised Case Brief,'' dated March 26, 2024.
    \4\ See Petitioner's Letter, ``Petitioner's Rebuttal Brief for 
Bhiwadi Cylinders Private Limited,'' dated March 26, 2024; Bhiwadi/
Sapphire's Letter, ``Bhiwadi's Rebuttal Case Brief,'' dated March 
26, 2024; and Inox's Letter, ``Rebuttal Brief,'' dated March 26, 
2024.
    \5\ See Memorandum, ``Decision Memorandum for the Final 
Affirmative Determination in the Less-Than-Fair-Value Investigation 
of Certain Non-Refillable Steel Cylinders from India,'' dated 
concurrently with, and hereby adopted by, this notice (Issues and 
Decision Memorandum).
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Scope of the Investigation

    The merchandise covered by the scope of this investigation is 
cylinders from India. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    No interested party commented on the scope of the investigation as 
it appeared in the Preliminary Determination. Therefore, no changes 
were made to the scope of the investigation.

Verification

    Commerce conducted verification of the information relied upon in 
making its final determination in this investigation, in accordance 
with section 782(i) of the Tariff Act of 1930, as amended (the Act). 
Specifically, we conducted on-site verifications of Bhiwadi/Sapphire 
and Inox in December 2023 and January 2024 using standard verification 
procedures, including an examination of relevant sales and accounting 
records, and original source documents provided by the respondents.\6\
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    \6\ See Memorandum, ``Verification of the Cost Response of 
Bhiwadi Cylinders Private Limited and Sapphire (India) Private 
Limited,'' dated February 8, 2024; Memorandum, ``Verification of the 
Cost Response of Inox India Ltd.,'' dated February 29, 2024; 
Memorandum, ``Verification of the Sales Response of Inox India 
Limited,'' dated March 11, 2024; and Memorandum, ``Verification of 
the Sales Response of Bhiwadi Cylinders Private Limited and Sapphire 
(India) Private Limited,'' dated March 12, 2024.

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[[Page 29295]]

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs are addressed in 
the Issues and Decision Memorandum. A list of the issues that parties 
raised, and to which we responded in the Issues and Decision 
Memorandum, is attached to this notice in Appendix II.

Changes Since the Preliminary Determination

    We made certain changes to the margin calculations for Bhiwadi/
Sapphire and Inox since the Preliminary Determination. See the Issues 
and Decision Memorandum for a discussion of these changes.

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated 
weighted-average dumping margin for all other producers and exporters 
not individually investigated shall be equal to the weighted average of 
the estimated weighted-average dumping margins established for 
individually investigated exporters and producers, excluding rates that 
are zero, de minimis, or determined entirely under section 776 of the 
Act.
    In this investigation, Commerce calculated a zero rate for Inox. 
Therefore, the only rate that is not zero, de minimis, or based 
entirely on facts otherwise available is the rate calculated for 
Bhiwadi/Sapphire. Consequently, the rate calculated for Bhiwadi/
Sapphire is also assigned as the rate for all other producers and 
exporters.

Final Determination

    The final estimated weighted-average dumping margins are listed 
below for the period October 1, 2021, through September 30, 2022:

------------------------------------------------------------------------
                                                       Cash deposit rate
                                   Weighted-average      (adjusted for
        Exporter/producer           dumping margin    subsidy offset(s))
                                       (percent)           (percent)
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Bhiwadi Cylinders Private                       6.27                4.13
 Limited; Sapphire (India)
 Private Limited................
Inox India Limited..............                0.00                0.00
All Others......................                6.27                4.13
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Disclosure

    Commerce intends to disclose the calculations performed in 
connection with this final 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 final 
determination in the Federal Register, in accordance with 19 CFR 
351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, Commerce will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all entries of cylinders from India, as 
described in Appendix I of this notice, which were entered or withdrawn 
from warehouse for consumption on or after December 1, 2023, the date 
of publication of the Preliminary Determination of this investigation 
in the Federal Register, with the exception of entries of subject 
merchandise that were produced and exported by Inox. Because the 
estimated weighted-average dumping margin for Inox is zero, entries of 
shipments of subject merchandise produced and exported by Inox will not 
be subject to suspension of liquidation or cash deposit requirements. 
In such situations, Commerce applies the exclusion to the provisional 
measures to the producer/exporter combination that was examined in the 
investigation. Accordingly, Commerce is directing CBP not to suspend 
liquidation of entries of merchandise produced and exported by Inox. 
However, entries of subject merchandise in any other producer/exporter 
combination, e.g., merchandise produced by a third party and exported 
by Inox or produced by Inox and exported by a third party, are subject 
to the cash deposit requirements at the all-others rate.
    Furthermore, other than for entries produced and exported by Inox, 
pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 351.210(d), 
upon the publication of this notice, we will instruct CBP to require a 
cash deposit for estimated antidumping duties for such entries of 
merchandise as follows: (1) the cash deposit rate for the respondents 
listed in the table above will be equal to the company-specific 
estimated weighted-average dumping margin determined in this final 
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 listed in 
the table above.
    Commerce normally adjusts cash deposits for estimated antidumping 
duties by the amount of export subsidies countervailed in a companion 
countervailing duty (CVD) proceeding, when CVD provisional measures are 
in effect. Accordingly, where Commerce made an affirmative 
determination for countervailable export subsidies, Commerce has offset 
the estimated weighted-average dumping margin by the appropriate CVD 
rate. Any such adjusted cash deposit rate may be found in the ``Final 
Determination'' section above.
    Should provisional measures in the companion CVD investigation 
expire prior to the expiration of provisional measures in this LTFV 
investigation, Commerce will direct CBP to begin collecting estimated 
antidumping duty cash deposits unadjusted for countervailed export 
subsidies at the time that the provisional CVD measures expire.
    These suspension of liquidation instructions will remain in effect 
until further notice.

U.S. International Trade Commission Notification

    In accordance with section 735(d) of the Act, Commerce will notify 
the U.S. International Trade Commission (ITC) of its final affirmative 
determination of sales at LTFV. Because the final determination in this 
investigation is affirmative, in accordance with section 735(b)(2) of 
the Act, the ITC will make its final determination as to whether the 
domestic industry in the United States is materially injured or 
threatened with material injury by reason of imports of cylinders from 
India no later than 45 days after our final determination. If the ITC 
determines that such injury does not exist, this proceeding will be 
terminated, all cash deposits posted will be refunded, and suspension 
of liquidation will be lifted. If the ITC determines that such injury 
does exist, Commerce will issue an antidumping

[[Page 29296]]

duty order directing CBP to assess, upon further instruction by 
Commerce, antidumping duties on all imports of the subject merchandise 
entered or withdrawn from warehouse for consumption on or after the 
effective date of the suspension of liquidation, as discussed in the 
``Continuation of Suspension of Liquidation'' section.

Administrative Protective Order

    This notice also serves as a reminder to parties subject to an 
administrative protective order (APO) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely 
written notification of the return or destruction of APO materials, or 
conversion to judicial protective order, is hereby requested. Failure 
to comply with the regulations and terms of an APO is a violation which 
is subject to sanction.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act and 19 CFR 351.210(c).

    Dated: April 15, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The merchandise covered by this investigation is certain seamed 
(welded or brazed), non-refillable steel cylinders meeting the 
requirements of, or produced to meet the requirements of, U.S. 
Department of Transportation specification 39, TransportCanada 
specification 39M, or United Nations pressure receptacle standard 
ISO 11118 and otherwise meeting the description provided below (non-
refillable steel cylinders). The subject non-refillable steel 
cylinders are portable and range from 100-cubic inch (1.6 liter) 
water capacity to 1,526-cubic inch (25 liter) water capacity. 
Subject non-refillable steel cylinders may be imported with or 
without a valve and/or pressure release device and are unfilled at 
the time of importation. Non-refillable steel cylinders filled with 
pressurized air otherwise meeting the physical description above are 
covered by this investigation.
    Specifically excluded are seamless non-refillable steel 
cylinders.
    The merchandise subject to this investigation is properly 
classified under statistical reporting numbers 7311.00.0060 and 
7311.00.0090 of the Harmonized Tariff Schedule of the United States 
(HTSUS). The merchandise may also enter under HTSUS statistical 
reporting numbers 7310.29.0030 and 7310.29.0065. Although the HTSUS 
statistical reporting numbers are provided for convenience and 
customs purposes, the written description of the merchandise is 
dispositive.

Appendix II--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Changes Since the Preliminary Determination
V. Discussion of the Issues
    Comment 1: Whether to Apply Adverse Facts Available to Bhiwadi/
Sapphire
    Comment 2: Whether to Adjust Bhiwadi/Sapphire's Export Prices 
for Average Annual Warranty Expenses
    Comment 3: Whether to Adjust Bhiwadi/Sapphire's Financial 
Expense Ratio
    Comment 4: Whether Certain of Bhiwadi/Sapphire's Cost 
Reallocations Should be Reversed
    Comment 5: Whether to Include the Purchase Cost of Semi-Finished 
Cylinders in Bhiwadi/Sapphire's Cost of Manufacturing (COM)
    Comment 6: Whether to Adjust Bhiwadi/Sapphire's Reported Costs 
for Freight Inward and Loading and Unloading Expenses
    Comment 7: Whether to Make Certain Revisions to SIPL's Reported 
COM
    Comment 8: Whether to Remove Raw Material Offsets Related to 
Profit Earned on Sales of Raw Materials Between BCPL and SIPL
    Comment 9: Whether Inox's Cost Reconciliation is Misstated for 
both the Merchandise Under Consideration (MUC) and Non-MUC
    Comment 10: Whether Inox's Direct Material Costs Are 
Unreconciled and Unsupported by Record Evidence
    Comment 11: Whether Inox Understated its Reported Direct 
Material Costs
    Comment 12: Whether Commerce Should Revise Inox's Scrap Offset
    Comment 13: Whether Commerce Should Revise Inox's General and 
Administrative Expense Ratio
VI. Recommendation

[FR Doc. 2024-08450 Filed 4-19-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on April 22, 2024.

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