81 FR 36884 - Circular Welded Carbon-Quality Steel Pipe From the Socialist Republic of Vietnam: Affirmative Preliminary Determination of Sales at Less Than Fair Value and Postponement of Final Determination

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 81, Issue 110 (June 8, 2016)

Page Range36884-36887
FR Document2016-13484

The Department of Commerce (Department) preliminarily determines that circular welded carbon-quality steel pipe (CWP) from the Socialist Republic of Vietnam (Vietnam) is being, or is likely to be, sold in the United States at less than fair value (LTFV), as provided in section 733(b) of the Tariff Act of 1930, as amended (the Act). The period of investigation (POI) is April 1, 2015, through September 30, 2015. The estimated weighted-average dumping margins of sales at LTFV are shown in the ``Preliminary Determination'' section of this notice. Interested parties are invited to comment on this preliminary determination.

Federal Register, Volume 81 Issue 110 (Wednesday, June 8, 2016)
[Federal Register Volume 81, Number 110 (Wednesday, June 8, 2016)]
[Notices]
[Pages 36884-36887]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-13484]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-552-820]


Circular Welded Carbon-Quality Steel Pipe From the Socialist 
Republic of Vietnam: Affirmative Preliminary Determination of Sales at 
Less Than Fair Value and Postponement of Final Determination

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

SUMMARY: The Department of Commerce (Department) preliminarily 
determines that circular welded carbon-quality steel pipe (CWP) from 
the Socialist Republic of Vietnam (Vietnam) is being, or is likely to 
be, sold in the United States at less than fair value (LTFV), as 
provided in section 733(b) of the Tariff Act of 1930, as amended (the 
Act). The period of investigation (POI) is April 1, 2015, through 
September 30, 2015. The estimated weighted-average dumping margins of 
sales at LTFV are shown in the ``Preliminary Determination'' section of 
this notice. Interested parties are invited to comment on this 
preliminary determination.

DATES: Effective June 8, 2016.

FOR FURTHER INFORMATION CONTACT: Nancy Decker or Andrew Huston, AD/CVD 
Operations, Office VII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
0196 or (202) 482-4261, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The Department initiated this investigation on November 17, 
2015.\1\ For a complete description of the events that followed the 
initiation of this investigation, see the memorandum that is dated 
concurrently with this determination and hereby adopted by this 
notice.\2\ 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 https://access.trade.gov, 
and to all parties in the Central Records Unit, room B8024 of the main 
Department of Commerce building. In addition, a complete version of the 
Preliminary Decision Memorandum can be found at http://enforcement.trade.gov/frn/. The signed Preliminary Decision Memorandum 
and the electronic version of the Preliminary Decision Memorandum are 
identical in content.
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    \1\ See Circular Welded Carbon-Quality Steel Pipe From the 
Sultanate of Oman, Pakistan, the Philippines, the United Arab 
Emirates, and the Socialist Republic of Vietnam: Initiation of Less-
Than-Fair-Value Investigations, 80 FR 73708 (November 25, 2015) 
(Initiation Notice).
    \2\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance, 
entitled ``Decision Memorandum for the Preliminary Determination in 
the Antidumping Duty Investigation of Circular Welded Carbon-Quality 
Steel Pipe From the Socialist Republic of Vietnam'' (Preliminary 
Decision Memorandum), dated concurrently with this notice.
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Scope of the Investigation

    The product covered by this investigation is CWP from Vietnam. 
Interested parties filed comments regarding the scope of the 
investigation, which resulted in one clarification to the scope 
language and are addressed, in detail, in the Department's Preliminary 
Scope Decision Memorandum.\3\ For a full description of the scope of 
this investigation, see the ``Scope of the Investigation,'' in Appendix 
II of this notice.
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    \3\ See Department Memorandum, ``Antidumping Duty Investigations 
of Circular Welded Carbon-Quality Steel Pipe from the Sultanate of 
Oman, Pakistan, the United Arab Emirates, and the Socialist Republic 
of Vietnam and Countervailing Duty Investigation of Circular Welded 
Carbon-Quality Steel Pipe form Pakistan; Scope Comments Decision 
Memorandum for the Preliminary Determination,'' dated concurrently 
with and hereby adopted by this notice (Preliminary Scope Decision 
Memorandum).
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Methodology

    The Department is conducting this investigation in accordance with 
section 731 of the Act. Constructed export prices have been calculated 
in accordance with section 772(b) of the Act. Because Vietnam is a non-
market economy within the meaning of section 771(18) of the Act, we 
calculated normal value (NV) in accordance with section 773(c) of the 
Act. For a full description of the methodology underlying our 
preliminary conclusions, see the Preliminary Decision Memorandum.

Combination Rates

    In the Initiation Notice, the Department stated that it would

[[Page 36885]]

calculate combination rates for the respondents that are eligible for a 
separate rate in this investigation. Policy Bulletin 05.1 describes 
this practice.\4\
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    \4\ See Enforcement and Compliance's Policy Bulletin No. 05.1, 
regarding, ``Separate-Rates Practice and Application of Combination 
Rates in Antidumping Investigations involving Non-Market Economy 
Countries,'' (April 5, 2005) (Policy Bulletin 05.1), available on 
the Department's Web site at http://enforcement.trade.gov/policy/bull05-1.pdf.
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Preliminary Determination

    The Department preliminarily determines that the following 
weighted-average dumping margins exist:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
            Exporter                     Producer         dumping margin
                                                             (percent)
------------------------------------------------------------------------
SeAH Steel VINA Corporation....  SeAH Steel VINA                    0.00
                                  Corporation.
Vietnam Haiphong Hongyuan        Vietnam Haiphong                 * 1.19
 Machinery Manufactory Co., Ltd.  Hongyuan Machinery
                                  Manufactory Co., Ltd.
Hoa Phat Steel Pipe Co.........  Hoa Phat Steel Pipe Co.          * 0.38
Vietnam-Wide Entity............  .......................          113.18
------------------------------------------------------------------------
* de minimis.

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, we will direct 
U.S. Customs and Border Protection (CBP) to suspend liquidation of all 
entries of CWP from Vietnam, as described in the scope of the 
investigation section entered, or withdrawn from warehouse, for 
consumption on or after the date of publication of this notice in the 
Federal Register except for those produced and exported by Hoa Phat 
Steel Pipe Co. (Hoa Phat), SeAH Steel VINA Corporation (SeAH), and 
Vietnam Haiphong Hongyuan Machinery Manufactory Co., Ltd. (Hongyuan). 
Because the estimated weighted-average dumping margins for Hoa Phat, 
SeAH, and Hongyuan are zero or de minimis, we are not directing CBP to 
suspend liquidation of entries of the merchandise they produced and 
exported.
    Pursuant to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d), 
the Department will instruct CBP to require a cash deposit \5\ equal to 
the weighted-average amount by which the NV exceeds U.S. price as 
follows: (1) The cash-deposit rate for the exporter/producer 
combination listed in the table above will be the rate identified for 
that combination in the table; (2) for all combinations of Vietnam 
exporters/producers of merchandise under consideration that have not 
received their own separate rate above, the cash-deposit rate will be 
the cash-deposit rate established for the Vietnam-wide entity, 113.18 
percent; and (3) for all non-Vietnam exporters of the merchandise under 
consideration which have not received their own separate rate above, 
the cash-deposit rate will be the cash-deposit rate applicable to the 
Vietnam exporter/producer combination that supplied that non-Vietnam 
exporter. These suspension of liquidation instructions will remain in 
effect until further notice.
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    \5\ See Modification of Regulations Regarding the Practice of 
Accepting Bonds During the Provisional Measures Period in 
Antidumping and Countervailing Duty Investigations, 76 FR 61042 
(October 3, 2011).
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Disclosure

    We will disclose the calculations performed to interested parties 
in this proceeding within five days of the announcement of this 
preliminary determination in accordance with 19 CFR 351.224(b).

Verification

    As provided in section 782(i) of the Act, we intend to verify the 
information relied upon prior to making our final determination.

Public Comment

    Interested parties are invited to comment on this preliminary 
determination. Case briefs or other written comments concerning scope 
issues may be submitted to the Assistant Secretary for Enforcement and 
Compliance no later than 30 days from the publication of this notice, 
and rebuttal briefs, limited to scope issue raised in the case briefs, 
may be submitted no later than five days after the deadline date for 
scope case briefs. Scope-related briefs/comments must be filed on the 
record of this investigation and the concurrent antidumping and 
countervailing duty CWP investigations.
    Case briefs or other written comments on non-scope issues 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 
non-scope issues raised in case briefs, may be submitted no later than 
five days after the deadline date for case briefs.\6\ Pursuant to 19 
CFR 351.309(c)(2) and (d)(2), parties who submit case briefs or 
rebuttal briefs in this proceeding are encouraged to submit with each 
argument: (1) A statement of the issue; (2) a brief summary of the 
argument; and (3) a table of authorities.
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    \6\ See 19 CFR 351.309.
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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. 
All documents must be filed electronically using ACCESS. An 
electronically-filed request must be received successfully 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 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.

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of an 
affirmative preliminary determination, a request for such postponement 
is made by exporters who account for a significant proportion of 
exports of the subject merchandise. 19

[[Page 36886]]

CFR 351.210(e)(2) requires that requests by respondents for 
postponement of a final determination be accompanied by a request for 
extension of provisional measures from a four-month period to a period 
not more than six months in duration.
    Respondents Hongyuan and SeAH, both requested that, in the event of 
an affirmative preliminary determination in this investigation, the 
Department postpone its final determination by 60 days (i.e., to 135 
days after publication of the preliminary determination), and agreed to 
extend the application of the provisional measures prescribed under 
section 733(d) of the Act and 19 CFR 351.210(e)(2), from a four-month 
period to a period not to exceed six months.\7\
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    \7\ See Letter from Vietnam Haiphong Hongyuan Machinery 
Manufactory Co., Ltd, ``Circular Welded Carbon-Quality Steel Pipe 
from Vietnam; Request for Extension of Time for the Final 
Determination,'' dated April 28, 2016 and letter from SeAH Steel 
VINA Corporation ``Circular Welded Carbon-Quality Steel Pipe from 
Vietnam; Request for Extension of Deadline for the Department's 
Final Determination,'' dated May 2, 2016.
---------------------------------------------------------------------------

    In accordance with section 735(a)(2)(A) of the Act and 19 CFR 
351.210(b)(2)(ii), because (1) our preliminary determination is 
affirmative; (2) the requesting exporters account for a significant 
proportion of exports of the subject merchandise; (3) the requesting 
exporters have requested extension of provisional measures to a period 
not more than six months; and (4) no compelling reasons for denial 
exist, we are postponing the final determination until no later than 
135 days after the publication of this notice in the Federal Register 
and extending the provisional measures from a four-month period to a 
period not greater than six months. Accordingly, we will issue our 
final determination no later than 135 days after the date of 
publication of this preliminary determination, pursuant to section 
735(a)(2) of the Act.\8\
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    \8\ See 19 CFR 351.210(b)(2) and (e).
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International Trade Commission (ITC) Notification

    In accordance with section 733(f) of the Act, we will notify the 
ITC of our affirmative preliminary determination of sales at LTFV. If 
our final determination is affirmative, the ITC will determine before 
the later of 120 days after the date of this preliminary determination 
or 45 days after our final determination whether these imports are 
materially injuring, or threaten material injury to, the U.S. industry.
    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

    Dated: May 31, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I--List of Topics Discussed in the Preliminary Decision 
Memorandum

1. Summary
2. Background
3. Period of Investigation
4. Postponement of Final Determination and Extension of Provisional 
Measures
5. Scope Comments
6. Discussion of the Methodology
    a. Non-Market Economy Country
    b. Surrogate Country and Surrogate Values Comments
    c. Separate Rates
    d. The Vietnam-Wide Entity
    e. Date of Sale
    f. Comparisons to Fair Value
7. Currency Conversion
8. Disclosure and Public Comment
9. Verification
10. Conclusion

Appendix II--Scope of the Investigation

    This investigation covers 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 these investigations. 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:

------------------------------------------------------------------------
                                          Wall thickness
        O.D. in inches (nominal)             in inches         Gage
                                             (nominal)
------------------------------------------------------------------------
1.315...................................           0.035              20
1.315...................................           0.047              18
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
------------------------------------------------------------------------

    The scope of this investigation 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

[[Page 36887]]

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 investigation 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 investigation is 
dispositive.

[FR Doc. 2016-13484 Filed 6-7-16; 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
DatesEffective June 8, 2016.
ContactNancy Decker or Andrew Huston, AD/CVD Operations, Office VII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482- 0196 or (202) 482-4261, respectively.
FR Citation81 FR 36884 

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