81 FR 12871 - Countervailing Duty Investigation of Welded Stainless Pressure Pipe From India: Preliminary Affirmative Determination and Alignment of Final Determination With Final Antidumping Duty Determination

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 81, Issue 48 (March 11, 2016)

Page Range12871-12873
FR Document2016-05575

The Department of Commerce (``Department'') preliminarily determines that countervailable subsidies are being provided to producers and exporters of welded stainless pressure pipe (``welded stainless pipe'') from India. The period of investigation is January 1, 2014, through December 31, 2014. We invite interested parties to comment on this preliminary determination.

Federal Register, Volume 81 Issue 48 (Friday, March 11, 2016)
[Federal Register Volume 81, Number 48 (Friday, March 11, 2016)]
[Notices]
[Pages 12871-12873]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-05575]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-533-868]


Countervailing Duty Investigation of Welded Stainless Pressure 
Pipe From India: Preliminary Affirmative Determination and Alignment of 
Final Determination With Final Antidumping Duty Determination

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

SUMMARY: The Department of Commerce (``Department'') preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of welded stainless pressure pipe (``welded 
stainless pipe'') from India. The period of investigation is January 1, 
2014, through December 31, 2014. We invite interested parties to 
comment on this preliminary determination.

DATES: Effective Date: March 11, 2016.

FOR FURTHER INFORMATION CONTACT: Andrew Medley at (202) 482-4987, or 
Amanda Mallott at (202) 482-6430, AD/

[[Page 12872]]

CVD Operations, Office III, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230.

SUPPLEMENTARY INFORMATION:

Scope of the Investigation

    The merchandise covered by this investigation is circular welded 
austenitic stainless pressure pipe not greater than 14 inches in 
outside diameter, from India. For a complete description of the scope 
of this investigation, see Appendix II.

Methodology

    The Department is conducting this countervailing duty (``CVD'') 
investigation in accordance with section 701 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 financial contribution by an ``authority'' that gives rise to a 
benefit to the recipient, and that the subsidy is specific.\1\ For a 
full description of the methodology underlying our preliminary 
conclusions, see the Preliminary Decision Memorandum.\2\ The 
Preliminary Decision Memorandum is a public document and is on file in 
the Central Records Unit (``CRU''), Room B8024 of the main Department 
of Commerce building, as well as electronically via Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (``ACCESS''). ACCESS is available to registered users at 
https://access.trade.gov and it is available to all parties in the CRU. 
In addition, a complete version of the Preliminary Decision Memorandum 
can be accessed directly at http://enforcement.trade.gov/frn/. The 
signed Preliminary Decision Memorandum and the electronic versions of 
the Preliminary Decision Memorandum are identical in content.
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    \1\ 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.
    \2\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance, 
``Countervailing Duty Investigation of Welded Stainless Pressure 
Pipe from India: Decision Memorandum for the Preliminary 
Determination'' (``Preliminary Decision Memorandum''), dated 
concurrently with, and hereby adopted by, this notice.
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New Subsidy Allegations

    On January 20, 2016, Bristol Metals, LLC, Felker Brothers Corp, 
Outokumpu Stainless Pipe, Inc., and Marcegaglia USA (collectively, 
``Petitioners'') submitted a request that the Department expand its 
investigation to include 16 additional subsidy programs.\3\ Based upon 
the information contained in Petitioner's New Subsidy Allegations and 
the Petition,\4\ the Department is initiating an investigation of 15 
additional subsidy programs concurrently with this preliminary 
determination.\5\ For these 15 programs, we have determined that 
Petitioners alleged the necessary elements of a subsidy, i.e., 
financial contribution, benefit, and specificity in accordance with 
sections 771(5)(B) and 771(5A) of the Act. We also find that these 
allegations are supported by reasonably available information 
sufficient to warrant an investigation of these subsidy programs, in 
accordance with section 702(b)(1) of the Act. We intend to examine 
these programs after the preliminary determination.
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    \3\ See Letter from Petitioners, ``Welded Stainless Pressure 
Pipe from India: New Subsidy Allegations'' (``New Subsidy 
Allegations'') dated January 20, 2016.
    \4\ See ``Petition for the Imposition of Antidumping and 
Countervailing Duties: Welded Stainless Pressure Pipe from India,'' 
dated September 30, 2015 (``Petition'').
    \5\ See Memorandum to Brendan Quinn, Acting Director, Office 
III, ``Certain Welded Stainless Steel Pressure Pipe from India: New 
Subsidy Allegations Initiation Memorandum,'' dated concurrently 
with, and hereby adopted by, this notice.
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Preliminary Determination and Suspension of Liquidation \6\
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    \6\ As explained in the memorandum from the Acting Assistant 
Secretary for Enforcement and Compliance, the Department has 
exercised its discretion to toll all administrative deadlines due to 
the recent closure of the Federal Government. See Memorandum to the 
Record from Ron Lorentzen, Acting A/S for Enforcement & Compliance, 
regarding ``Tolling of Administrative Deadlines As a Result of the 
Government Closure During Snowstorm Jonas,'' dated January 27, 2016. 
All deadlines in this segment of the proceeding have been extended 
by four business days. The revised deadline for the preliminary 
determination of this administrative review is now March 4, 2016.
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    In accordance with section 703(d)(1)(A)(i) of the Act, we 
calculated an individual rate for each producer/exporter of the subject 
merchandise individually investigated. In accordance with sections 
703(d) and 705(c)(5)(A) of the Act, for companies not individually 
examined, we apply an ``all-others'' rate, which is normally calculated 
by weighting the subsidy rates of the individual companies as 
respondents by those companies' exports of the subject merchandise to 
the United States. Under section 705(c)(5)(A)(i) of the Act, the all-
others rate should exclude zero and de minimis rates or any rates based 
entirely on facts otherwise available pursuant to section 776 of the 
Act. Accordingly, in these preliminary results, we have calculated the 
``all-others'' rate by weight-averaging the calculated subsidy rates of 
the two individually investigated respondents, using the respondent's 
publicly-ranged sales data for exports of subject merchandise to the 
United States.\7\
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    \7\ See Memorandum to the File, ``Countervailing Duty 
Investigation of Welded Stainless Pressure Pipe from India: 
Preliminary Determination Margin Calculation for All-Others,'' dated 
concurrently with this memorandum.
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    We preliminarily determine the countervailable subsidy rates to be:

------------------------------------------------------------------------
                  Company                           Subsidy rate
------------------------------------------------------------------------
Steamline Industries Limited..............  2.96 percent.
Sunrise Stainless Private Limited, Sun      6.21 percent.
 Mark Stainless Pvt. Ltd., and Shah Foils
 Ltd. (collectively, ``Sunrise Group'').
All-Others................................  4.55 percent.
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    In accordance with sections 703(d)(1)(B) and (d)(2) of the Act, we 
are directing U.S. Customs and Border Protection to suspend liquidation 
of all entries of welded stainless pipe from India that are entered, or 
withdrawn from warehouse, for consumption on or after the date of the 
publication of this notice in the Federal Register, and to require a 
cash deposit for such entries of merchandise in the amounts indicated 
above.

Verification

    As provided in section 782(i)(1) of the Act, we intend to verify 
the information submitted in response to the Department's 
questionnaires prior to making our final determination.

Alignment

    On February 9, 2016, in accordance with section 705(a)(1) of the 
Act, Petitioners requested an alignment of the final CVD determination 
with the final antidumping duty (``AD'') determination of welded 
stainless pipe from India.\8\ Therefore, in accordance with section 
705(a)(1) of the Act and 19 CFR 351.210(b)(4), we are aligning the 
final CVD determination in this investigation with the final AD 
determination. Consequently, the final CVD determination will be issued 
on the same date as the final AD determination, which is currently 
scheduled to be issued no later than July 18, 2016, unless postponed.
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    \8\ See Letter from Petitioners, ``Welded Stainless Pressure 
Pipe from India: Request for Alignment,'' dated February 9, 2016.
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Disclosure and Public Comment

    The Department intends to disclose calculations performed for this

[[Page 12873]]

preliminary determination to the parties within five days of the date 
of public announcement of this determination in accordance with 19 CFR 
351.224(b). Case briefs or other written comments may be submitted to 
the Assistant Secretary for Enforcement and Compliance no later than 
seven days after the date on which the final verification report is 
issued in this proceeding, and rebuttal briefs, limited to issues 
raised in case briefs, may be submitted no later than five days after 
the deadline date for case briefs.\9\ A table of contents, list of 
authorities used, and an executive summary of issues should accompany 
any briefs submitted to the Department, pursuant to 19 CFR 
351.309(c)(2) and (d)(2). This summary should be limited to five pages 
total, including footnotes.
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    \9\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    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, U.S. Department of Commerce, 
filed electronically using ACCESS. An electronically-filed request must 
be received successfully, and in its entirety, by ACCESS by 5:00 p.m. 
Eastern Time, within 30 days after the date of publication of this 
notice. Requests should contain the party's name, address, and 
telephone number; the number of participants; and a list of the issues 
to be discussed. If a request for a hearing is made, the Department 
intends to hold the hearing at the U.S. Department of Commerce, 14th 
Street and Constitution Avenue NW., Washington, DC 20230, at a date, 
time, and specific location to be determined. Parties will be notified 
of the date, time, and location of any hearing. Parties should confirm 
by telephone the date, time, and location of the hearing two days 
before the scheduled date.

International Trade Commission Notification

    In accordance with section 703(f) of the Act, we will notify the 
International Trade Commission (``ITC'') of our determination. In 
addition, we are making available to the ITC all non-privileged and 
non-proprietary information relating to this investigation. We will 
allow the ITC access to all privileged and business proprietary 
information in our files, provided the ITC confirms that it will not 
disclose such information, either publicly or under an administrative 
protective order, without the written consent of the Assistant 
Secretary for Enforcement and Compliance.
    In accordance with section 705(b)(2) of the Act, if our final 
determination is affirmative, the ITC will make its final determination 
within 45 days after the Department makes its final determination.
    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act and 19 CFR 351.205(c).

    Dated: March 4, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Alignment
VI. Injury Test
VII. Subsidies Valuation
VIII. Analysis of Programs
IX. Calculation of the All-Others Rate
X. ITC Notification
XI. Disclosure and Public Comment
XII. Verification
XIII. Conclusion

Appendix II

Scope of the Investigation

    The merchandise covered by this investigation is circular welded 
austenitic stainless pressure pipe not greater than 14 inches in 
outside diameter. References to size are in nominal inches and 
include all products within tolerances allowed by pipe 
specifications. This merchandise includes, but is not limited to, 
the American Society for Testing and Materials (``ASTM'') A-312 or 
ASTM A-778 specifications, or comparable domestic or foreign 
specifications. ASTM A-358 products are only included when they are 
produced to meet ASTM A-312 or ASTM A-778 specifications, or 
comparable domestic or foreign specifications.
    Excluded from the scope of the investigation are: (1) Welded 
stainless mechanical tubing, meeting ASTM A-554 or comparable 
domestic or foreign specifications; (2) boiler, heat exchanger, 
superheater, refining furnace, feedwater heater, and condenser 
tubing, meeting ASTM A-249, ASTM A-688 or comparable domestic or 
foreign specifications; and (3) specialized tubing, meeting ASTM A-
269, ASTM A-270 or comparable domestic or foreign specifications.
    The subject imports are normally classified in subheadings 
7306.40.5005, 7306.40.5040, 7306.40.5062, 7306.40.5064, and 
7306.40.5085 of the Harmonized Tariff Schedule of the United States 
(``HTSUS''). They may also enter under HTSUS subheadings 
7306.40.1010, 7306.40.1015, 7306.40.5042, 7306.40.5044, 
7306.40.5080, and 7306.40.5090. The HTSUS subheadings are provided 
for convenience and customs purposes only; the written description 
of the scope of this investigation is dispositive.

[FR Doc. 2016-05575 Filed 3-10-16; 8:45 am]
 BILLING CODE 3510-DS-P


Current View
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ContactAndrew Medley at (202) 482-4987, or Amanda Mallott at (202) 482-6430, AD/ CVD Operations, Office III, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230.
FR Citation81 FR 12871 

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