Notice2024-16637
Circular Welded Carbon-Quality Steel Pipe From the United Arab Emirates: Notice of Initiation and Preliminary Results of Antidumping Duty Changed Circumstances Review
Primary source
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Published
July 29, 2024
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) is initiating and issuing preliminary results of a changed circumstances review (CCR) of the antidumping duty (AD) order on circular welded carbon-quality steel pipe (CWP) from the United Arab Emirates (UAE) to determine whether Universal Tube and Pipe Industries FZE (Universal Tube and Pipe), is the successor-in-interest to Universal Tube and Plastic Industries Limited (UTP). Based on information on the record, we preliminarily determine that Universal Tube and Pipe is the successor-in-interest to UTP and should be assigned UTP's cash deposit rate for purposes of the AD order. Interested parties are invited to comment on these preliminary results.
Full Text
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<title>Federal Register, Volume 89 Issue 145 (Monday, July 29, 2024)</title>
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[Federal Register Volume 89, Number 145 (Monday, July 29, 2024)]
[Notices]
[Pages 60863-60866]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-16637]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-520-807]
Circular Welded Carbon-Quality Steel Pipe From the United Arab
Emirates: Notice of Initiation and Preliminary Results of Antidumping
Duty Changed Circumstances Review
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) is initiating and
issuing preliminary results of a changed circumstances review (CCR) of
the antidumping duty (AD) order on circular welded carbon-quality steel
pipe (CWP) from the United Arab Emirates (UAE) to determine whether
Universal Tube and Pipe Industries FZE (Universal Tube and Pipe), is
the successor-in-interest to Universal Tube and Plastic Industries
Limited (UTP). Based on information on the record, we preliminarily
determine that Universal Tube and Pipe is the successor-in-interest to
UTP and should be assigned UTP's cash deposit rate for purposes of the
AD order. Interested parties are invited to comment on these
preliminary results.
DATES: Applicable July 29, 2024.
FOR FURTHER INFORMATION CONTACT: Genevieve Coen, AD/CVD Operations,
Office II, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-3251.
SUPPLEMENTARY INFORMATION:
Background
On December 19, 2016, Commerce published in the Federal Register
the AD order on CWP from the UAE.\1\ On June 7, 2024, Universal Tube
and Pipe requested that Commerce conduct an expedited CCR of the Order
to determine that Universal Tube and Pipe is the successor-in-interest
to UTP, and publish the preliminary results of the review
simultaneously with the
[[Page 60864]]
initiation of the CCR.\2\ No interested parties filed comments
concerning the CCR request. On July 22, 2024, Commerce tolled certain
deadlines in this administrative proceeding by seven days.\3\ The
deadline for the initiation is now July 29, 2024.
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\1\ See Circular Welded Carbon-Quality Steel Pipe from the
Sultanate of Oman, Pakistan, and the United Arab Emirates: Amended
Final Affirmative Antidumping Duty Determination and Antidumping
Duty Orders, 81 FR 91906 (December 19, 2016) (Order).
\2\ See Universal Tube and Pipe's Letter, ``Request for Changed
Circumstances Review and Successor-in-Interest Determination,''
dated June 7, 2024 (CCR Request).
\3\ See Memorandum, ``Tolling of Deadlines for Antidumping and
Countervailing Duty Proceedings,'' dated July 22, 2024.
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Scope of the Order
The products covered by the Order are CWP from the UAE. For a
complete description of the scope of the Order, see the appendix to
this notice.
Initiation of CCR
Pursuant to section 751(b)(1) of the Tariff Act of 1930, as amended
(the Act), and 19 CFR 351.216(d), Commerce will conduct a CCR of an
order upon receipt of information concerning, or a request from an
interested party for a review of, an order which shows changed
circumstances sufficient to warrant a review of the order. In the past,
Commerce has used CCRs to address the applicability of cash deposit
rates after there have been changes in the name or structure of a
respondent, such as a merger or spinoff (``successor-in-interest'' or
``successorship'' determinations).\4\ Commerce finds that the
information submitted by Universal Tube and Pipe demonstrates changed
circumstances sufficient to warrant such a review. Therefore, in
accordance with section 751(b)(1) of the Act and 19 CFR 351.216(d),
Commerce is initiating a CCR based on the information contained in
Universal Tube and Pipe's request that Commerce determine whether
Universal Tube and Pipe is the successor-in-interest to UTP for
purposes of the Order and AD liability.
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\4\ See, e.g., Diamond Sawblades and Parts Thereof from the
People's Republic of China: Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review, 82 FR 51605, 51606
(November 7, 2017) (Diamond Sawblades from China Preliminary),
unchanged in Diamond Sawblades and Parts Thereof from the People's
Republic of China: Final Results of Antidumping Duty Changed
Circumstances Review, 82 FR 60177 (December 19, 2017) (Diamond
Sawblades from China Final).
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Preliminary Results of CCR
If we conclude that an expedited action is warranted, we may
combine the notices of initiation and preliminary results of a CCR
under 19 CFR 351.221(c)(3)(ii). Commerce has combined the notice of
initiation and preliminary results in successor-in-interest cases when
sufficient documentation has been provided supporting the request to
make a preliminary determination.\5\ In this instance, we have the
necessary information on the record to make a preliminary finding.
Thus, we find that expedited action is warranted and have combined the
notices of initiation and preliminary results pursuant to 19 CFR
351.221(c)(3)(ii).
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\5\ See, e.g., Diamond Sawblades from Prelim Preliminary,
unchanged in Diamond Sawblades from China Final; see also Certain
Frozen Warmwater Shrimp from India: Initiation and Preliminary
Results of Antidumping Duty Changed Circumstances Review, 83 FR
37784 (August 2, 2018), unchanged in Certain Frozen Warmwater Shrimp
from India: Notice of Final Results of Antidumping Duty Changed
Circumstances Review, 83 FR 49909 (October 3, 2018).
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In making a successor-in-interest determination for purposes of AD
liability, Commerce examines several factors including, but not limited
to, changes in the following: (1) management and ownership; (2)
production facilities; (3) supplier relationships; and (4) customer
base.\6\ While no single factor or combination of these factors will
necessarily provide a dispositive indication of a successor-in-interest
relationship, Commerce will generally consider the new company to be
the successor to the previous company if the new company's operations
are not materially dissimilar to those of its predecessor.\7\ Thus, if
the evidence demonstrates that, with respect to the production and
sales of the subject merchandise, the new company operates as
essentially the same business entity as the former company, Commerce
will assign the new company the cash deposit rate of its
predecessor.\8\
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\6\ See, e.g., Initiation and Preliminary Results of Antidumping
Duty Changed Circumstances Review: Multilayered Wood Flooring from
the People's Republic of China, 79 FR 48117 (August 15, 2014),
unchanged in Multilayered Wood Flooring from the People's Republic
of China: Final Results of Changed Circumstances Review, 79 FR 58740
(September 30, 2014).
\7\ Id.
\8\ Id.; see also, e.g., Notice of Initiation and Preliminary
Results of Antidumping Duty Changed Circumstances Review: Certain
Frozen Warmwater Shrimp from India, 77 FR 64953 (October 24, 2012),
unchanged in Final Results of Antidumping Duty Changed Circumstances
Review: Certain Frozen Warmwater Shrimp from India, 77 FR 73619
(December 11, 2012).
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In its CCR request, Universal Tube and Pipe provided: (1) a table
demonstrating the continuity of ownership and management of managers
before and after the takeover; (2) previously registered and newly
transferred factory licenses from UTP to Universal Tube and Pipe; (3) a
list of suppliers before and after the takeover; (4) a list of
customers before and after the takeover; and (5) a corporate
organizational structure chart before and after the takeover.\9\ The
information submitted by Universal Tube and Pipe, discussed below,
demonstrates that its request is based solely on a change in the name
of the company from ``Universal Tube and Plastic Industries Limited''
to ``Universal Tube and Pipe Industries FZE.''
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\9\ Id.
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1. Management and Ownership
There have been no material changes in management and ultimate
ownership resulting from the name change. In its CCR Request, Universal
Tube and Pipe includes two lists of officers and directors from before
and after the name change showing that all existing officers and
directors from UTP hold identical positions at Universal Tube and
Pipe.\10\ Additionally, while UTP was a Bahamas-based company, and
Universal Tube and Pipe is a UAE-based company, both the intermediate
owner and ultimate individual shareholders of both companies are the
same.\11\
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\10\ See CCR Request at 6-7 and Exhibit 2.
\11\ Id. at 6-7 and Exhibit 7.
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2. Products and Production Facilities
There have been no changes in production facilities between
Universal Tube and Pipe and UTP.\12\ The production facilities used to
produce CWP at UTP are the same as those used to produce CWP at
Universal Tube and Pipe.\13\
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\12\ Id. at 7.
\13\ Id. at Exhibit 3.
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3. Supplier Relationships
Universal Tube and Pipe provided a list of suppliers related to the
production of CWP following the name change and other supporting
evidence to demonstrate that it maintained the same suppliers as
UTP.\14\ The top suppliers of the main raw material inputs used in CWP
production under UTP from January to February 2024 (i.e., before the
name change), remained the same as the top suppliers of Universal Tube
and Pipe in March 2024 (i.e., after the name change).\15\ Accordingly,
Universal Tube and Pipe has demonstrated that supplier relationships
have not markedly changed following the reorganization.
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\14\ Id. at 8 and Exhibit 4.
\15\ Id. at Exhibit 4.
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4. Customer Base
Universal Tube and Pipe states that there were no material changes
in the customer base of UTP as a result of restructuring.\16\ Universal
Tube and Pipe provided a list demonstrating that
[[Page 60865]]
it maintained the same domestic and foreign customers before and after
the name change.\17\
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\16\ Id. at 8.
\17\ Id. at Exhibit 5.
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Based on the foregoing, we preliminarily determine that Universal
Tube and Pipe is the successor-in-interest to UTP and that Universal
Tube and Pipe should receive the same AD cash deposit rate with respect
to subject merchandise as its predecessor, UTP.
Should our final results remain unchanged from these preliminary
results, we will instruct U.S. Customs and Border Protection to assign
entries of subject merchandise exported by Universal Tube and Pipe the
AD cash deposit rate applicable to UTP.
Public Comment
In accordance with 19 CFR 351.309(c)(1)(ii), interested parties may
submit case briefs no later than 14 days after the date of publication
of this notice.\18\ Rebuttal briefs, limited to issues raised in case
briefs, may be filed not later than five days after the due date for
case briefs, in accordance with 19 CFR 351.309(d).\19\ Interested
parties who submit case or rebuttal briefs in this proceeding must
submit: (1) a table of contents listing each issue; and (2) a table of
authorities.\20\ All briefs must be filed electronically using
Enforcement and Compliance's Antidumping and Countervailing Duty
Centralized Electronic Service System (ACCESS) and must also be served
on interested parties. An electronically filed document must be
received successfully in its entirety in ACCESS by 5:00 p.m. Eastern
Time on the established deadline. Note that Commerce has amended
certain of its requirements pertaining to the service of documents in
19 CFR 351.303(f).\21\
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\18\ Commerce is exercising its discretion under 19 CFR
351.309(c)(1)(ii) to alter the time limit for the filing of case
briefs.
\19\ See 19 CFR 351.309(d); see also Administrative Protective
Order, Service, and Other Procedures in Antidumping and
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29,
2023) (APO and Final Service Rule).
\20\ See 19 CFR 351.309(c)(2) and (d)(2).
\21\ See APO and Final Service Rule.
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As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior
proceedings we have encouraged interested parties to provide an
executive summary of their brief that should be limited to five pages
total, including footnotes. In this CCR, we instead request that
interested parties provide at the beginning of their briefs a public,
executive summary for each issue raised in their briefs.\22\ Further,
we request that interested parties limit their public executive summary
of each issue to no more than 450 words, not including citations. We
intend to use the public executive summaries as the basis of the
comment summaries included in the issues and decision memorandum that
will accompany the final determination in this CCR. We request that
interested parties include footnotes for relevant citations in the
public executive summary of each issue.
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\22\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
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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 14 days
after the date of publication of this notice.\23\ 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.
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\23\ Commerce is exercising its discretion under 19 CFR
351.310(c) to alter the time limit for the filing a request for a
hearing.
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Final Results
Consistent with 19 CFR 351.216(e), we intend to issue the final
results of this CCR no later than 270 days after the date on which this
review was initiated, or within 45 days of publication of these
preliminary results, if all parties agree to the preliminary findings,
unless the deadline is extended.
Notification to Interested Parties
We are issuing and publishing this initiation and preliminary
results notice in accordance with section 751(b)(1) and 777(i)(1) of
the Act, and 19 CFR 351.216(b) and 351.221(c)(3).
Dated: July 23, 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
The merchandise covered by this Order is welded carbon-quality
steel pipes and tube, of circular cross-section, with an outside
diameter (O.D.) not more than nominal 16 inches (406.4 mm),
regardless of wall thickness, surface finish (e.g., black,
galvanized, or painted), end finish (plain end, beveled end,
grooved, threaded, or threaded and coupled), or industry
specification (e.g., American Society for Testing and Materials
International (ASTM), proprietary, or other), generally known as
standard pipe, fence pipe and tube, sprinkler pipe, and structural
pipe (although subject product may also be referred to as mechanical
tubing). Specifically, the term ``carbon quality'' includes products
in which:
(a) iron predominates, by weight, over each of the other
contained elements;
(b) the carbon content is 2 percent or less, by weight; and
(c) none of the elements listed below exceeds the quantity, by
weight, as indicated:
(i) 1.80 percent of manganese;
(ii) 2.25 percent of silicon;
(iii) 1.00 percent of copper;
(iv) 0.50 percent of aluminum;
(v) 1.25 percent of chromium;
(vi) 0.30 percent of cobalt;
(vii) 0.40 percent of lead;
(viii) 1.25 percent of nickel;
(ix) 0.30 percent of tungsten;
(x) 0.15 percent of molybdenum;
(xi) 0.10 percent of niobium;
(xii) 0.41 percent of titanium;
(xiii) 0.15 percent of vanadium; or
(xiv) 0.15 percent of zirconium.
Covered products are generally made to standard O.D. and wall
thickness combinations. Pipe multi-stenciled to a standard and/or
structural specification and to other specifications, such as
American Petroleum Institute (API) API-5L specification, may also be
covered by the scope of this order. In particular, such multi-
stenciled merchandise is covered when it meets the physical
description set forth above, and also has one or more of the
following characteristics: is 32 feet in length or less; is less
than 2.0 inches (50 mm) in outside diameter; has a galvanized and/or
painted (e.g., polyester coated) surface finish; or has a threaded
and/or coupled end finish.
Standard pipe is ordinarily made to ASTM specifications A53,
A135, and A795, but can also be made to other specifications.
Structural pipe is made primarily to ASTM specifications A252 and
A500. Standard and structural pipe may also be produced to
proprietary specifications rather than to industry specifications.
Sprinkler pipe is designed for sprinkler fire suppression
systems and may be made to industry specifications such as ASTM A53
or to proprietary specifications.
Fence tubing is included in the scope regardless of
certification to a specification listed in the exclusions below, and
can also be made to the ASTM A513 specification. Products that meet
the physical description set forth above but are made to the
following nominal outside diameter and wall thickness combinations,
which are recognized by the industry as typical for fence tubing,
are included despite being certified to ASTM mechanical tubing
specifications:
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Wall thickness
O.D. in inches (nominal) in inches Gage
(nominal)
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1.315................................... 0.035 20
1.315................................... 0.047 18
[[Page 60866]]
1.315................................... 0.055 17
1.315................................... 0.065 16
1.315................................... 0.072 15
1.315................................... 0.083 14
1.315................................... 0.095 13
1.660................................... 0.055 17
1.660................................... 0.065 16
1.660................................... 0.083 14
1.660................................... 0.095 13
1.660................................... 0.109 12
1.900................................... 0.047 18
1.900................................... 0.055 17
1.900................................... 0.065 16
1.900................................... 0.072 15
1.900................................... 0.095 13
1.900................................... 0.109 12
2.375................................... 0.047 18
2.375................................... 0.055 17
2.375................................... 0.065 16
2.375................................... 0.072 15
2.375................................... 0.095 13
2.375................................... 0.109 12
2.375................................... 0.120 11
2.875................................... 0.109 12
2.875................................... 0.165 8
3.500................................... 0.109 12
3.500................................... 0.165 8
4.000................................... 0.148 9
4.000................................... 0.165 8
4.500................................... 0.203 7
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The scope of this Order does not include:
(a) pipe suitable for use in boilers, superheaters, heat
exchangers, refining furnaces and feedwater heaters, whether or not
cold drawn, which are defined by standards such as ASTM A178 or ASTM
A192;
(b) finished electrical conduit, i.e., Electrical Rigid Steel
Conduit (also known as Electrical Rigid Metal Conduit and Electrical
Rigid Metal Steel Conduit), Finished Electrical Metallic Tubing, and
Electrical Intermediate Metal Conduit, which are defined by
specifications such as American National Standard (ANSI) C80.1-2005,
ANSI C80.3-2005, or ANSI C80.6-2005, and Underwriters Laboratories
Inc. (UL) UL-6, UL-797, or UL-1242;
(c) finished scaffolding, i.e., component parts of final,
finished scaffolding that enter the United States unassembled as a
``kit.'' A kit is understood to mean a packaged combination of
component parts that contains, at the time of importation, all of
the necessary component parts to fully assemble final, finished
scaffolding;
(d) tube and pipe hollows for redrawing;
(e) oil country tubular goods produced to API specifications;
(f) line pipe produced to only API specifications, such as API
5L, and not multi-stenciled; and
(g) mechanical tubing, whether or not cold-drawn, other than
what is included in the above paragraphs.
The products subject to this Order are currently classifiable in
Harmonized Tariff Schedule of the United States (HTSUS) statistical
reporting numbers 7306.19.1010, 7306.19.1050, 7306.19.5110,
7306.19.5150, 7306.30.1000, 7306.30.5015, 7306.30.5020,
7306.30.5025, 7306.30.5032, 7306.30.5040, 7306.30.5055,
7306.30.5085, 7306.30.5090, 7306.50.1000, 7306.50.5030,
7306.50.5050, and 7306.50.5070. The HTSUS subheadings above are
provided for convenience and U.S. Customs purposes only. The written
description of the scope of the Order is dispositive.
[FR Doc. 2024-16637 Filed 7-26-24; 8:45 am]
BILLING CODE 3510-DS-P
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