[Federal Register Volume 75, Number 217 (Wednesday, November 10, 2010)]
[Notices]
[Pages 69050-69052]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-28402]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-957]
Certain Seamless Carbon and Alloy Steel Standard, Line, and
Pressure Pipe 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 seamless carbon and alloy steel standard, line, and pressure
pipe (``seamless pipe'') 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: November 10, 2010.
FOR FURTHER INFORMATION CONTACT: Shane Subler, Joseph Shuler, and
Matthew Jordan, 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) 482-0189, (202) 482-1293, and (202) 482-1540, respectively.
Background
On September 21, 2010, the Department published its final
determination that countervailable subsidies are being provided to
producers and exporters of seamless pipe from the PRC. See Certain
Seamless Carbon and Alloy Steel Standard, Line, and Pressure Pipe from
the People's Republic of China: Final Affirmative Countervailing Duty
Determination, Final Affirmative Critical Circumstances Determination,
75 FR 57444 (September 21, 2010) (``Final Determination'').
On November 4, 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. The ITC also
determined that critical circumstances do not exist. See Certain
Seamless Carbon and Alloy Steel Standard, Line,
[[Page 69051]]
and Pressure Pipe from China, USITC Investigation Nos. 701-TA-469 and
731-TA-1168, USITC Publication 4190 (November 2010).
Scope of the Order
The scope of this order consists of certain seamless carbon and
alloy steel (other than stainless steel) pipes and redraw hollows, less
than or equal to 16 inches (406.4 mm) in outside diameter, regardless
of wall-thickness, manufacturing process (e.g., hot-finished or cold-
drawn), end finish (e.g., plain end, beveled end, upset end, threaded,
or threaded and coupled), or surface finish (e.g., bare, lacquered or
coated). Redraw hollows are any unfinished carbon or alloy steel (other
than stainless steel) pipe or ``hollow profiles'' suitable for cold
finishing operations, such as cold drawing, to meet the American
Society for Testing and Materials (``ASTM'') or American Petroleum
Institute (``API'') specifications referenced below, or comparable
specifications. Specifically included within the scope are seamless
carbon and alloy steel (other than stainless steel) standard, line, and
pressure pipes produced to the ASTM A-53, ASTM A-106, ASTM A-333, ASTM
A-334, ASTM A-589, ASTM A-795, ASTM A-1024, and the API 5L
specifications, or comparable specifications, and meeting the physical
parameters described above, regardless of application, with the
exception of the exclusion discussed below.
Specifically excluded from the scope of the order are: (1) All
pipes meeting aerospace, hydraulic, and bearing tubing specifications;
(2) all pipes meeting the chemical requirements of ASTM A-335, whether
finished or unfinished; and (3) unattached couplings. Also excluded
from the scope of the order are all mechanical, boiler, condenser and
heat exchange tubing, except when such products conform to the
dimensional requirements, i.e., outside diameter and wall thickness of
ASTM A-53, ASTM A-106 or API 5L specifications.
The merchandise covered by the order is currently classified in the
Harmonized Tariff Schedule of the United States (``HTSUS'') under item
numbers: 7304.19.1020, 7304.19.1030, 7304.19.1045, 7304.19.1060,
7304.19.5020, 7304.19.5050, 7304.31.6050, 7304.39.0016, 7304.39.0020,
7304.39.0024, 7304.39.0028, 7304.39.0032, 7304.39.0036, 7304.39.0040,
7304.39.0044, 7304.39.0048, 7304.39.0052, 7304.39.0056, 7304.39.0062,
7304.39.0068, 7304.39.0072, 7304.51.5005, 7304.51.5060, 7304.59.6000,
7304.59.8010, 7304.59.8015, 7304.59.8020, 7304.59.8025, 7304.59.8030,
7304.59.8035, 7304.59.8040, 7304.59.8045, 7304.59.8050, 7304.59.8055,
7304.59.8060, 7304.59.8065, and 7304.59.8070.
Although the HTSUS subheadings are provided for convenience and
customs purposes, our written description of the merchandise subject to
this scope is dispositive.
Amendment to the Final Determination
On September 27, 2010, a petitioner in this case, United States
Steel Corporation (``U.S. Steel''), filed timely allegations that the
Department made two ministerial errors in its Final Determination. In
summary, U.S. Steel alleged that the Department made errors in the
summary rate table for respondent Hengyang \1\ and made errors in the
calculation of the electricity subsidy rate for Hengyang. No interested
party filed a rebuttal to U.S. Steel's allegations.
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\1\ For the complete list of companies that ``Hengyang''
comprises, please see the ``Suspension of Liquidation'' section,
below.
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After analyzing the allegations, we have determined, in accordance
with 19 CFR 351.224(e), that we made the two alleged ministerial errors
in our calculations. See generally Memorandum to Susan Kuhbach,
Director, Office 1, AD/CVD Operations, from Matthew Jordan,
International Trade Compliance Analyst, AD/CVD Operations, Office 1,
``Countervailing Duty Investigation: Certain Seamless Carbon and Alloy
Steel Standard, Line, and Pressure Pipe (``Seamless Pipe'') from the
People's Republic of China (``PRC''): Ministerial Errors for Final
Determination'' (October 14, 2010).
Our corrected calculation to the ``Provision of Electricity for
Less Than Adaquate Remuneration Program'' found an ad valorem subsidy
rate of 5.46 percent for Hengyang. The previously calculated rate had
been 4.22 percent ad valorem. As a result of the corrections,
Hengyang's total countervailing duty rate changed from 53.65 percent to
56.67 percent. The countervailing duty rate for the other respondent in
the seamless pipe investigation, TPCO,\2\ did not change. As a result
of the correction to Hengyang's rate, the countervailing duty rate for
all others changed from 33.66 percent to 35.17 percent. In accordance
with 19 CFR 351.224(e), we are amending the Final Determination to
reflect these changes.
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\2\ For the complete list of companies that ``TPCO'' comprises,
please see the ``Suspension of Liquidation'' section, below.
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Countervailing Duty Order
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, ``{i{time} f 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 U.S. Customs and Border Protection
(``CBP'') to refund any cash deposits or bonds of estimated
countervailing duties posted before the date of publication of the
ITC's final affirmative determination, if the ITC's final determination
is based on threat other than the threat described in section 706(b)(1)
of the Act. 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
\3\ was published in the Federal Register, section 706(b)(2) of the Act
is applicable.
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\3\ See Certain Seamless Carbon and Alloy Steel Standard, Line,
and Pressure Pipe From the People's Republic of China: Preliminary
Affirmative Countervailing Duty Determination, Preliminary
Affirmative Critical Circumstances Determination, 75 FR 9163 (March
1, 2010) (``Preliminary Determination'').
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As a result of the ITC's determination and in accordance with
section 706(a)(1) of the Act, the Department will direct 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 seamless pipe from the PRC. In accordance with section 706
of the Act, the Department will direct CBP to reinstitute suspension of
liquidation,\4\
[[Page 69052]]
effective on the date of publication of the ITC's notice of final
determination in the Federal Register, and to require a cash deposit
for each entry of subject merchandise in an amount equal to the net
countervailable 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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\4\ The Department instructed CBP to discontinue the suspension
of liquidation on June 29, 2010, in accordance with section 703(d)
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 seamless pipe from the PRC made on
or after June 29, 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 June 29, 2010, of the suspension of
liquidation.
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Net subsidy
Exporter/Manufacturer rate
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Tianjin Pipe (Group) Corp., Tianjin Pipe Iron 13.66
Manufacturing Co., Ltd., Tianguan Yuantong Pipe Product
Co., Ltd., Tianjin Pipe International Economic and
Trading Co., Ltd., and TPCO Charging Development Co.,
Ltd....................................................
Hengyang Steel Tube Group Int'l Trading, Inc., Hengyang 56.67
Valin Steel Tube Co., Ltd., Hengyang Valin MPM Tube
Co., Ltd., Xigang Seamless Steel Tube Co., Ltd., Wuxi
Seamless Special Pipe Co., Ltd., Wuxi Resources Steel
Making Co., Ltd., Jiangsu Xigang Group Co., Ltd., Hunan
Valin Xiangtan Iron & Steel Co., Ltd., Wuxi Sifang
Steel Tube Co., Ltd., Hunan Valin Steel Co., Ltd.,
Hunan Valin Iron & Steel Group Co., Ltd................
All Others.............................................. 35.17
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Termination of the Suspension of Liquidation
As a result of our affirmative critical circumstances finding on
Hengyang and all companies other than TPCO, CBP suspended liquidation
and collected cash deposits or bonds on all entries by these companies
made 90 days prior to our affirmative Preliminary Determination.
Entries for TPCO were suspended and cash deposits or bonds were
collected as of March 1, 2010 (i.e., the date of publication of our
Preliminary Determination).
The Department will instruct CBP to terminate the suspension of
liquidation for entries of seamless pipe 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
with respect to entries of seamless pipe entered, or withdrawn from
warehouse, for consumption on or after December 1, 2009 (i.e., 90 days
prior to the date of publication of the Preliminary Determination), but
before the date of publication of the ITC's final determination in the
Federal Register.
This notice constitutes the countervailing duty order with respect
to seamless pipe from the PRC, pursuant to section 706(a) of the Act.
Interested parties may contact the Department's Central Records Unit,
Room 7046 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, 19 CFR 351.224(e) and 19 CFR 351.211(b).
Dated: November 5, 2010
Edward C. Yang,
Acting Deputy Assistant Secretary for Import Administration.
[FR Doc. 2010-28402 Filed 11-9-10; 8:45 am]
BILLING CODE 3510-DS-P