Notice2025-17463

Large Diameter Welded Pipe From the Republic of Korea: Preliminary Results and Partial Rescission of the Countervailing Duty Administrative Review; 2023

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 11, 2025

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to certain producers and exporters of large diameter welded pipe (welded pipe) from the Republic of Korea (Korea). The period of review (POR) is January 1, 2023, through December 31, 2023. Additionally, we are rescinding this review with respect to 16 companies. Interested parties are invited to comment on these preliminary results of review.

Full Text

<html>
<head>
<title>Federal Register, Volume 90 Issue 174 (Thursday, September 11, 2025)</title>
</head>
<body><pre>
[Federal Register Volume 90, Number 174 (Thursday, September 11, 2025)]
[Notices]
[Pages 44017-44019]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-17463]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[C-580-898]


Large Diameter Welded Pipe From the Republic of Korea: 
Preliminary Results and Partial Rescission of the Countervailing Duty 
Administrative Review; 2023

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that countervailable subsidies are being provided to certain 
producers and exporters of large diameter welded pipe (welded pipe) 
from the Republic of Korea (Korea). The period of review (POR) is 
January 1, 2023, through December 31, 2023. Additionally, we are 
rescinding this review with respect to 16 companies. Interested parties 
are invited to comment on these preliminary results of review.

DATES: Applicable September 11, 2025.

FOR FURTHER INFORMATION CONTACT: Brandon James, AD/CVD Operations, 
Office VIII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-7472.

SUPPLEMENTARY INFORMATION:

Background

    On May 2, 2019, Commerce published a countervailing duty (CVD) 
order on welded pipe from Korea.\1\ On July 5, 2024, Commerce initiated 
an administrative review of the Order.\2\ Commerce selected Hyundai RB 
Co., Ltd. (Hyundai RB) and SeAH Steel Corporation (SeAH Steel) as the 
mandatory respondents in this administrative review.\3\ On July 22, 
2024, Commerce tolled certain deadlines in this administrative 
proceeding by seven days.\4\ On December 9, 2024, Commerce tolled the 
deadline to issue the preliminary results in this administrative review 
by an additional 90 days.\5\ On April 3, 2025, Commerce extended the 
deadline for these preliminary results to no later than September 5, 
2025.\6\
---------------------------------------------------------------------------

    \1\ See Large Diameter Welded Pipe from the Republic of Korea: 
Countervailing Duty Order, 84 FR 18773 (May 2, 2019) (Order).
    \2\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 89 FR 55567 (July 5, 2024) (Initiation 
Notice).
    \3\ See Memorandum, ``Respondent Selection,'' dated August 5, 
2024.
    \4\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated July 22, 2024.
    \5\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated December 9, 2024.
    \6\ See Memorandum, ``Extension of Deadline for Preliminary 
Results of Countervailing Duty Administrative Review,'' dated April 
3, 2025.
---------------------------------------------------------------------------

    For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\7\ 
A list of topics discussed in the Preliminary Decision Memorandum is 
included in Appendix I to this notice. The Preliminary 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 Preliminary Decision Memorandum can be accessed directly 
at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
---------------------------------------------------------------------------

    \7\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Administrative Review of the Countervailing Duty 
Order on Large Diameter Welded Pipe from the Republic of Korea; 
2023,'' dated concurrently with, and hereby adopted by, this notice 
(Preliminary Decision Memorandum).
---------------------------------------------------------------------------

Scope of the Order

    The merchandise covered by the Order is welded pipe. For a complete 
description of the scope of the Order, see the Preliminary Decision 
Memorandum.

Rescission of Administrative Review, in Part

    It is Commerce's practice to rescind an administrative review of a 
CVD order, pursuant to 19 CFR 351.213(d)(3), when there are no 
reviewable entries of subject merchandise during the POR for which 
liquidation is suspended.\8\ Normally, upon completion of an 
administrative review, the suspended entries are liquidated at the CVD 
assessment rate calculated for the review period.\9\ Therefore, for an 
administrative review of a company to be conducted, there must be a 
reviewable, suspended entry that Commerce can instruct CBP to liquidate 
at the CVD assessment rate calculated for the POR.\10\
---------------------------------------------------------------------------

    \8\ See, e.g., Lightweight Thermal Paper from the People's 
Republic of China: Notice of Rescission of Countervailing Duty 
Administrative Review; 2015, 82 FR 14349 (March 20, 2017); see also 
Circular Welded Carbon Quality Steel Pipe from the People's Republic 
of China: Rescission of Countervailing Duty Administrative Review; 
2017, 84 FR 14650 (April 11, 2019).
    \9\ See 19 CFR 351.212(b)(2).
    \10\ See 19 CFR 351.213(d)(3).
---------------------------------------------------------------------------

    On August 21, 2024, Commerce notified interested parties that it 
intended to rescind this administrative review with respect to the 16 
companies, listed in Appendix II, in the absence of suspended entries 
of subject merchandise during the POR.\11\ No party commented on our 
Intent to Rescind Memorandum and there is no other information on the 
record indicating that these companies had POR entries of the subject 
merchandise. Absent any evidence of shipments placed on the record, 
pursuant to 19 CFR 351.213(d)(3), we are rescinding the administrative 
review of these companies (see Appendix II).
---------------------------------------------------------------------------

    \11\ See Memorandum, ``Notice of Intent to Rescind Review, In 
Part,'' dated August 21, 2024 (Intent to Rescind Memorandum).

---------------------------------------------------------------------------

[[Page 44018]]

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(l)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found countervailable, we preliminarily 
determine that there is a subsidy, i.e., a government-provided 
financial contribution by an ``authority'' that confers a benefit to 
the recipient, and that the subsidy is specific.\12\ For a full 
description of the methodology underlying our conclusions, see the 
Preliminary Decision Memorandum.
---------------------------------------------------------------------------

    \12\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
---------------------------------------------------------------------------

Preliminary Rate for Non-Selected Companies

    The statute and Commerce's regulations do not directly address the 
countervailing duty rates to be applied to companies not selected for 
individual examination where Commerce limited its examination in an 
administrative review pursuant to section 777A(e)(2) of the Act. 
However, Commerce normally determines the rates for non-selected 
companies in reviews in a manner that is consistent with section 
705(c)(5) of the Act, which provides instructions for calculating the 
all-others rate in an investigation. Section 777A(e)(2) of the Act 
provides that ``the individual countervailable subsidy rates determined 
under subparagraph (A) shall be used to determine the all-others rate 
under section 705(c)(5) {of the Act{time} .'' Section 705(c)(5)(A) of 
the Act states that for companies not investigated, in general, we will 
determine an all-others rate by weight averaging the countervailable 
subsidy rates established for each of the companies individually 
investigated, excluding zero and de minimis rates or any rates based 
solely on the facts available.
    Commerce initiated this administrative review with respect to 26 
producers/exporters. We are rescinding the review with respect to the 
16 companies listed in Appendix II. Commerce selected two mandatory 
respondents, Hyundai RB and SeAH Steel, for individual examination. For 
the remaining non-selected companies subject to this review, i.e., (1) 
AJU Besteel Co., Ltd.; (2) Chang Won Bending Co., Ltd.; (3) Dong Yang 
Steel Pipe Co., Ltd.; (4) EEW Korea Co., Ltd.; (5) Histeel Co., Ltd.; 
(6) Husteel Co., Ltd., (7) Hyundai Steel Company; and (8) Nexteel Co., 
Ltd., because the rate calculated for mandatory respondent, Hyundai RB, 
is above de minimis and not based entirely on facts available, we are 
applying a preliminary subsidy rate based on net subsidy rate 
calculated for Hyundai RB to the non-selected companies under review. 
This methodology is consistent with our practice for establishing an 
all-others subsidy rate pursuant to section 705(c)(5)(A) of the Act.

Preliminary Results of the Review

    In accordance with 19 CFR 351.221(b)(4)(i), Commerce preliminarily 
calculated the following net countervailable subsidy rates for the 
period January 1, 2023, through December 31, 2023:

------------------------------------------------------------------------
                                               Subsidy rate (percent ad
                  Company                              valorem)
------------------------------------------------------------------------
Hyundai RB Co., Ltd. \13\..................  0.79
SeAH Steel Corporation \14\................  0.41 (de minimis)
------------------------------------------------------------------------
      Review-Specific Average Rate for Non-Selected Companies \15\
------------------------------------------------------------------------
AJU Besteel Co., Ltd.......................  0.79
Chang Won Bending Co., Ltd.................  0.79
Dong Yang Steel Pipe Co., Ltd..............  0.79
EEW Korea Co., Ltd.........................  0.79
HiSteel Co., Ltd...........................  0.79
Husteel Co., Ltd.\16\......................  0.79
Hyundai Steel Company \17\.................  0.79
Nexteel Co,. Ltd...........................  0.79
------------------------------------------------------------------------

Disclosure
---------------------------------------------------------------------------

    \13\ Commerce previously found Shinchang Construction Co., Ltd. 
to be cross-owned with Hyundai RB. See Large Diameter Welded Pipe 
from the Republic of Korea: Preliminary Results and Partial 
Rescission of the Countervailing Duty Administrative Review; 2021, 
88 FR 37200 (June 7, 2023), and accompanying Preliminary Decision 
Memorandum at 6-7, unchanged in Large Diameter Welded Pipe from the 
Republic of Korea: Final Results of Countervailing Duty 
Administrative Review; 2021, 88 FR 85236 (December 7, 2023), and 
accompanying Issues and Decision Memorandum.
    \14\ Commerce finds SeAH Steel Holdings Corporation to be cross-
owned with SeAH Steel. See Preliminary Decision Memorandum at 7.
    \15\ This rate is based on the rates for the respondents that 
were selected for individual review, excluding rates that are zero, 
de minimis, or based entirely on facts available. See section 
735(c)(5)(A) of the Act.
    \16\ Subject merchandise both produced and exported by Husteel 
Co., Ltd. (Husteel) is excluded from the order. See Large Diameter 
Welded Pipe from the Republic of Korea: Countervailing Duty Order, 
84 FR 18773 (May 2, 2019). Thus, Husteel's inclusion in this 
administrative review is limited to entries for which Husteel was 
not both the producer and exporter of the subject merchandise.
    \17\ Subject merchandise both produced and exported by Hyundai 
Steel Company (Hyundai Steel) and subject merchandise produced by 
Hyundai Steel and exported by Hyundai Corporation are excluded from 
the countervailing duty order. See Order, 84 FR at 18773. Thus, 
Hyundai Steel's inclusion in this administrative review is limited 
to entries for which Hyundai Steel was not the producer and exporter 
of the subject merchandise and for which Hyundai Steel was not the 
producer and Hyundai Corporation was not the exporter of subject 
merchandise.
---------------------------------------------------------------------------

    Commerce intends to disclose its calculations performed to 
interested parties for these preliminary results within five days of 
any public announcement or, if there is no public announcement, within 
five days of the date of publication of this notice in accordance with 
19 CFR 351.224(b).

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance.\18\ Pursuant to 19 
CFR 351.309(c)(1)(ii), we have modified the deadline for interested 
parties to submit case briefs to Commerce no later than 21 days after 
the date of the publication of this notice. Rebuttal briefs, limited to 
issues raised in the case briefs, may be filed not later than five days 
after the date for filing case briefs.\19\ Interested

[[Page 44019]]

parties who submit case briefs or rebuttal briefs in this proceeding 
must submit: (1) a table of contents listing each issue; and (2) a 
table of authorities.\20\
---------------------------------------------------------------------------

    \18\ See 19 CFR 351.309(c)(1)(ii).
    \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 Service Final Rule).
    \20\ See 19 CFR 351.309(c)(2) and (d)(2).
---------------------------------------------------------------------------

    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 briefs that should be limited to five pages 
total, including footnotes. In this review, we instead request that 
interested parties provide at the beginning of their briefs a public, 
executive summary for each issue raised in their briefs.\21\ Further, 
we request that interested parties limit their executive summary of 
each issue to no more than 450 words, not including citations. We 
intend to use the executive summaries as the basis of the comment 
summaries included in the issues and decision memorandum that will 
accompany the final results in this administrative review. We request 
that interested parties include footnotes for relevant citations in the 
executive summary of each issue. Note that Commerce has amended certain 
of its requirements pertaining to the service of documents in 19 CFR 
351.303(f).\22\
---------------------------------------------------------------------------

    \21\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \22\ See APO and Service Final Rule.
---------------------------------------------------------------------------

    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, filed electronically via 
ACCESS. Requests should contain: (1) the party's name, address, and 
telephone number; (2) the number of participants and whether any of the 
participants are foreign nationals; and (3) a list of issues to be 
discussed. Issues raised in the hearing will be limited to those raised 
in the respective case briefs. An electronically filed hearing request 
must be received successfully in its entirety by Commerce's electronic 
records system, ACCESS, by 5 p.m. Eastern Time within 30 days after the 
date of publication of this notice.

Final Results

    Unless the deadline is extended, we intend to issue the final 
results of this administrative review, which will include the results 
of our analysis of the issues raised in the case briefs, within 120 
days of publication of these preliminary results in the Federal 
Register, pursuant to section 751(a)(3)(A) of the Act and 19 CFR 
351.213(h).

Assessment Rates

    In accordance with 19 CFR 351.221(b)(4)(i), we preliminarily 
assigned subsidy rates in the amounts shown above for the producers/
exporters shown above. Upon completion of the administrative review, 
consistent with section 751(a)(1) of the Act and 19 CFR 351.212(b)(2), 
Commerce shall determine, and U.S. Customs and Border Protection (CBP) 
shall assess, countervailing duties on all appropriate entries covered 
by this review.
    For the companies for which this review is rescinded, we will 
instruct CBP to assess countervailing duties on all appropriate entries 
at a rate equal to the cash deposit of estimated countervailing duties 
required at the time of entry, or withdrawal from warehouse, for 
consumption, during the period January 1, 2023, through December 31, 
2023, in accordance with 19 CFR 351.212(c)(l)(i). We intend to issue 
assessment instructions to CBP for these companies no earlier than 35 
days after the date of publication of the preliminary results of this 
review in the Federal Register.
    For the companies remaining in the review, we intend to issue 
assessment instructions to CBP no earlier than 35 days after the date 
of publication of the final results of this review in the Federal 
Register. If a timely summons is filed at the U.S. Court of 
International Trade, the assessment instructions will direct CBP not to 
liquidate relevant entries until the time for parties to file a request 
for a statutory injunction has expired (i.e., within 90 days of 
publication).

Cash Deposit Rate

    In accordance with section 751(a)(2)(C) of the Act, Commerce 
intends, upon publication of the final results, to instruct CBP to 
collect cash deposits of estimated countervailing duties in the amounts 
calculated in the final results for each of the reviewed companies 
listed above on shipments of subject merchandise entered, or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of this review, except, where the rate calculated in 
the final results is zero or de minimis, no cash deposit will be 
required. For all non-reviewed firms, we will instruct CBP to continue 
to collect cash deposits of estimated countervailing duties at the all-
others rate as established in the Order (i.e., 9.29 percent) \23\ or 
the most recent company-specific rate applicable to the company, as 
appropriate. These cash deposit instructions, when imposed, shall 
remain in effect until further notice.
---------------------------------------------------------------------------

    \23\ See Order, 84 FR at 18775.
---------------------------------------------------------------------------

Notification to Interested Parties

    These preliminary results of review are issued and published 
pursuant to sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 
351.213(d)(4) and 351.221(b)(4).

    Dated: September 5, 2025.
Christopher Abbott,
Deputy Assistant Secretary for Policy and Negotiations, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Diversification of Korea's Economy
V. Subsidies Valuation Information
VI. Benchmarks and Interest Rates
VII. Analysis of Programs
VIII. Recommendation

Appendix II

Companies Rescinded From Review

1. Daiduck Piping Co., Ltd.
2. Dongbu Incheon Steel Co., Ltd.
3. EEW KHPC Co., Ltd.
4. Hansol Metal Co., Ltd.
5. Il Jin Nts Co. Ltd.
6. Iljin Nts Co. Ltd.
7. Kem Solutions Co., Ltd.
8. Kiduck Industries Co., Ltd.
9. Kum Kang Kind. Co., Ltd.
10. Kumsoo Connecting Co., Ltd.
11. POSCO International Corporation
12. Samkang M&T Co., Ltd.
13. Seonghwa Industrial Co., Ltd.
14. SIN-E B&P Co., Ltd.
15. Steel Flower Co., Ltd.
16. WELTECH Co., Ltd.

[FR Doc. 2025-17463 Filed 9-10-25; 8:45 am]
BILLING CODE 3510-DS-P


</pre></body>
</html>
Indexed from Federal Register on September 11, 2025.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.