[Federal Register: January 20, 2010 (Volume 75, Number 12)]
[Notices]
[Page 3203-3205]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr20ja10-39]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-944]
Certain Oil Country Tubular Goods From the People's Republic of
China: Amended Final Affirmative Countervailing Duty Determination and
Countervailing Duty Order
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
SUMMARY: Based on affirmative final determinations by the Department of
Commerce (``the Department'') and the International Trade Commission
(``ITC''), the Department is issuing a countervailing duty order on
certain oil country tubular goods (``OCTG'') from the People's Republic
of China (``PRC''). Also, as explained in this notice, the Department
is amending its final determination to correct certain ministerial
errors.
DATES: Effective Date: January 20, 2010.
FOR FURTHER INFORMATION CONTACT: David Neubacher or Shane Subler, AD/
CVD Operations, Office 1, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
5823 and (202) 482-0189, respectively.
Background
The Department published its final determination on December 7,
2009. See Certain Oil Country Tubular Goods From the People's Republic
of China: Final Affirmative Countervailing Duty Determination, Final
Negative Critical Circumstances Determination, 74 FR 64045 (December 7,
2009) (``Final Determination'').
On January 13, 2010, the ITC notified the Department of its final
determination pursuant to sections 705(b)(1)(A)(ii) and 705(d) of the
Tariff Act of 1930, as amended (``the Act''), that an industry in the
United States is threatened with material injury by reason of
subsidized imports of subject merchandise from the PRC. See Certain Oil
Country Tubular Goods from China, USITC Investigation No. 701-TA-463
(Final), USITC Publication 4124 (January 2010). Pursuant to section
706(a) of the Act, the Department is publishing a countervailing duty
order on the subject merchandise.
Scope of the Order
The scope of this order consists of certain oil country tubular
goods (``OCTG''), which are hollow steel
[[Page 3204]]
products of circular cross-section, including oil well casing and
tubing, of iron (other than cast iron) or steel (both carbon and
alloy), whether seamless or welded, regardless of end finish (e.g.,
whether or not plain end, threaded, or threaded and coupled) whether or
not conforming to American Petroleum Institute (``API'') or non-API
specifications, whether finished (including limited service OCTG
products) or unfinished (including green tubes and limited service OCTG
products), whether or not thread protectors are attached. The scope of
the order also covers OCTG coupling stock. Excluded from the scope of
the order are: casing or tubing containing 10.5 percent or more by
weight of chromium; drill pipe; unattached couplings; and unattached
thread protectors.
The merchandise subject to this order is currently classified in
the Harmonized Tariff Schedule of the United States (``HTSUS'') under
item numbers: 7304.29.10.10, 7304.29.10.20, 7304.29.10.30,
7304.29.10.40, 7304.29.10.50, 7304.29.10.60, 7304.29.10.80,
7304.29.20.10, 7304.29.20.20, 7304.29.20.30, 7304.29.20.40,
7304.29.20.50, 7304.29.20.60, 7304.29.20.80, 7304.29.31.10,
7304.29.31.20, 7304.29.31.30, 7304.29.31.40, 7304.29.31.50,
7304.29.31.60, 7304.29.31.80, 7304.29.41.10, 7304.29.41.20,
7304.29.41.30, 7304.29.41.40, 7304.29.41.50, 7304.29.41.60,
7304.29.41.80, 7304.29.50.15, 7304.29.50.30, 7304.29.50.45,
7304.29.50.60, 7304.29.50.75, 7304.29.61.15, 7304.29.61.30,
7304.29.61.45, 7304.29.61.60, 7304.29.61.75, 7305.20.20.00,
7305.20.40.00, 7305.20.60.00, 7305.20.80.00, 7306.29.10.30,
7306.29.10.90, 7306.29.20.00, 7306.29.31.00, 7306.29.41.00,
7306.29.60.10, 7306.29.60.50, 7306.29.81.10, and 7306.29.81.50.
The OCTG coupling stock covered by the order may also enter under
the following HTSUS item numbers: 7304.39.00.24, 7304.39.00.28,
7304.39.00.32, 7304.39.00.36, 7304.39.00.40, 7304.39.00.44,
7304.39.00.48, 7304.39.00.52, 7304.39.00.56, 7304.39.00.62,
7304.39.00.68, 7304.39.00.72, 7304.39.00.76, 7304.39.00.80,
7304.59.60.00,, 7304.59.80.15, 7304.59.80.20, 7304.59.80.25,
7304.59.80.30, 7304.59.80.35, 7304.59.80.40, 7304.59.80.45,
7304.59.80.50, 7304.59.80.55, 7304.59.80.60, 7304.59.80.65,
7304.59.80.70, and 7304.59.80.80.
The HTSUS subheadings are provided for convenience and customs
purposes only. The written description of the scope of this order is
dispositive.
Amendment to the Final Determination
On December 14, 2009, petitioners United States Steel Corporation
(``U.S. Steel'') and TMK IPSCO et al.\1\ (collectively,
``Petitioners'') \2\ filed timely allegations that the Department made
three ministerial errors in its Final Determination. No interested
party filed a rebuttal to Petitioners' allegations.
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\1\ TMK IPSCO, V&M Star L.P., Wheatland Tube Corp., Evraz Rocky
Mountain Steel, and The United Steelworkers.
\2\ Maverick Tube Corporation is also a petitioner in this
investigation, but the company did not file any ministerial error
allegations.
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After analyzing the allegations, we have determined, in accordance
with 19 CFR 351.224(e), that we made these three ministerial errors in
the calculations.\3\ We have also corrected an additional ministerial
error.
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\3\ See generally Memorandum to Susan Kuhbach, Director, Office
1, AD/CVD Operations, from Nancy Decker, Program Manager, Office 1,
``Countervailing Duty Investigation: Certain Oil Country Tubular
Goods from the People's Republic of China: Ministerial Errors for
Final Determination'' (December 28, 2009) (``Ministerial Error
Allegations Memo'').
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In summary, U.S. Steel alleged that the Department made errors in
the calculation of the electricity subsidy rate for Wuxi Seamless Oil
Pipe Co., Ltd. (``WSP'') and applied incorrect benchmark interest and
inflation rates to certain WSP loans in the policy lending program
calculation. TMK IPSCO et al. alleged that the Department omitted the
electricity subsidy rate from Jiangsu Changbao Steel Tube Co., Ltd.'s
(``Changbao'') overall subsidy rate. We agree with Petitioners that
these errors constitute ministerial errors. Also, we identified a
ministerial error in the benefit calculation for the policy lending
program for Tianjin Pipe (Group) Co. (``TPCO''). We are correcting
these errors with this notice. See Ministerial Error Allegations Memo
at pages 2-3.
As a result of these corrections, WSP's countervailing duty rate
changed from 14.61 percent to 14.95 percent, Changbao's rate changed
from 11.98 percent to 12.46 percent, and TPCO's rate changed from 10.36
percent to 10.49 percent. The countervailing duty rate for Zhejiang
Jianli Enterprise Co., Ltd. is unchanged. The countervailing duty rate
for all others changed from 13.20 percent to 13.41 percent. In
accordance with 19 CFR 351.224(e), we are amending the Final
Determination to reflect these changes.
Countervailing Duty Order
In accordance with section 706(a)(1) of the Act, the Department
will direct U.S. Customs and Border Protection (``CBP'') to assess,
upon further instruction by the Department, countervailing duties equal
to the amount of the net countervailable subsidy for all relevant
entries of OCTG from the PRC.
According to section 706(b)(2) of the Act, duties shall be assessed
on subject merchandise entered, or withdrawn from warehouse, for
consumption on or after the date of publication of the ITC's notice of
final determination if that determination is based upon the threat of
material injury. Section 706(b)(1) of the Act states, ``If the
Commission, in its final determination under section 705(b), finds
material injury or threat of material injury which, but for the
suspension of liquidation under section 703(d)(2), would have led to a
finding of material injury, then entries of the merchandise subject to
the countervailing duty order, the liquidation of which has been
suspended under section 703(d)(2), shall be subject to the imposition
of countervailing duties under section 701(a).'' In addition, section
706(b)(2) of the Act requires CBP to refund any cash deposits or bonds
of estimated countervailing duties posted since the Department's
preliminary countervailing duty determination, if the ITC's final
determination is threat-based. Because the ITC's final determination in
this case is based on the threat of material injury and is not
accompanied by a finding that injury would have resulted but for the
imposition of suspension of liquidation of entries since the
Department's Preliminary Determination \4\ was published in the Federal
Register, section 706(b)(2) of the Act is applicable.
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\4\ See Certain Oil Country Tubular Goods From the People's
Republic of China: Preliminary Affirmative Countervailing Duty
Determination, Preliminary Negative Critical Circumstances
Determination, 74 FR 47210 (September 15, 2009) (``Preliminary
Determination'').
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Therefore, the Department will direct CBP to reinstitute suspension
of liquidation,\5\ and to assess, upon further
[[Page 3205]]
instruction from the Department, countervailing duties on all
unliquidated entries of OCTG from the PRC entered, or withdrawn from
warehouse, for consumption on or after the date of publication of the
ITC's notice of final determination of threat of material injury in the
Federal Register.
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\5\ The Department instructed CBP to discontinue the suspension
of liquidation on January 13, 2010, in accordance with section
703(a) of the Act. Section 703(d) states that the suspension of
liquidation pursuant to a preliminary determination may not remain
in effect for more than four months. Entries of OCTG from the PRC
made on or after January 13, 2010, and prior to the date of
publication of the ITC's final determination in the Federal Register
are not liable for the assessment of countervailing duties because
of the Department's discontinuation, effective January 13, 2010, of
the suspension of liquidation.
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Cash Deposit Requirements
Effective on the date of publication of the ITC's notice of final
determination in the Federal Register, CBP will require, at the same
time as importers would normally deposit estimated duties, cash
deposits for the subject merchandise equal to the net subsidy rates
listed below. See section 706(a)(3) of the Act. The all-others rate
applies to all producers and exporters of subject merchandise not
specifically listed.
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Net subsidy rate
Exporter/manufacturer (percent)
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Jiangsu Changbao Steel Tube Co. and Jiangsu Changbao 12.46
Precision Steel Tube Co., Ltd......................
Tianjin Pipe (Group) Co., Tianjin Pipe Iron 10.49
Manufacturing Co., Ltd., Tianguan Yuantong Pipe
Product Co., Ltd., Tianjin Pipe International
Economic and Trading Co., Ltd., and TPCO Charging
Development Co., Ltd...............................
Wuxi Seamless Pipe Co, Ltd., Jiangsu Fanli Steel 14.95
Pipe Co, Ltd., Tuoketuo County Mengfeng Special
Steel Co., Ltd.....................................
Zhejiang Jianli Enterprise Co., Ltd., Zhejiang 15.78
Jianli Steel Steel Tube Co., Ltd., Zhuji Jiansheng
Machinery Co., Ltd., and Zhejiang Jianli Industry
Group Co., Ltd.....................................
All Others.......................................... 13.41
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Termination of the Suspension of Liquidation
The Department will also instruct CBP to terminate the suspension
of liquidation for entries of OCTG from the PRC entered, or withdrawn
from warehouse, for consumption prior to the publication of the ITC's
notice of final determination. The Department will also instruct CBP to
refund any cash deposits made and release any bonds posted between
September 15, 2009 (i.e., the date of publication of the Department's
Preliminary Determination) and the date of publication of the ITC's
final determination in the Federal Register.
This notice constitutes the countervailing duty order with respect
to OCTG from the PRC, pursuant to section 706(a) of the Act. Interested
parties may contact the Department's Central Records Unit, Room 1117 of
the main Commerce Building, for copies of an updated list of
countervailing duty orders currently in effect.
This order is issued and published in accordance with section
706(a) of the Act and 19 CFR 351.211(b).
Dated: January 15, 2010.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import Administration.
[FR Doc. 2010-1056 Filed 1-19-10; 8:45 am]
BILLING CODE 3510-DS-P