82_FR_44746 82 FR 44562 - Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel From the People's Republic of China: Preliminary Affirmative Countervailing Duty Determination

82 FR 44562 - Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel From the People's Republic of China: Preliminary Affirmative Countervailing Duty Determination

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 82, Issue 184 (September 25, 2017)

Page Range44562-44564
FR Document2017-20413

The Department of Commerce (the Department) preliminarily determines that countervailable subsidies are being provided to producers and exporters of certain cold-drawn mechanical tubing of carbon and alloy steel (cold-drawn mechanical tubing) from the People's Republic of China (PRC). The period of investigation is January 1, 2016, through December 31, 2016.

Federal Register, Volume 82 Issue 184 (Monday, September 25, 2017)
[Federal Register Volume 82, Number 184 (Monday, September 25, 2017)]
[Notices]
[Pages 44562-44564]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-20413]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-059]


Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel 
From the People's Republic of China: Preliminary Affirmative 
Countervailing Duty Determination

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

SUMMARY: The Department of Commerce (the Department) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of certain cold-drawn mechanical tubing of 
carbon and alloy steel (cold-drawn mechanical tubing) from the People's 
Republic of China (PRC). The period of investigation is January 1, 
2016, through December 31, 2016.

DATES: Applied September 25, 2017.

FOR FURTHER INFORMATION CONTACT: Shanah Lee at (202) 482-6386 or Laurel 
LaCivita at (202) 482-4243, AD/CVD Operations, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 1401 Constitution Avenue NW., Washington, DC 20230.

SUPPLEMENTARY INFORMATION: 

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). The Department 
published the notice of initiation of this investigation on May 16, 
2017.\1\ On June 23, 2017, the Department postponed the preliminary 
determination of this investigation and the revised deadline is now 
September 18, 2017.\2\ For a complete description of the events that 
followed the initiation of this investigation, see the Preliminary 
Decision Memorandum.\3\ A list of topics discussed in the Preliminary 
Decision Memorandum is included as Appendix II 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 http://access.trade.gov, and 
is available 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 accessed directly 
at http://enforcement.trade.gov/frn/. The signed and electronic 
versions of the Preliminary Decision Memorandum are identical in 
content.
---------------------------------------------------------------------------

    \1\ See Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy 
Steel from India and the People's Republic of China: Initiation of 
Countervailing Duty Investigations, 82 FR 22486 (May 16, 2017) 
(Initiation Notice).
    \2\ See Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy 
Steel from India and the People's Republic of China: Postponement of 
Preliminary Determinations of Countervailing Duty Investigations, 82 
FR 28641 (June 23, 2017).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Affirmative Determination: Countervailing Duty Investigation of 
Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel from 
the People's Republic of China,'' dated concurrently with, and 
hereby adopted by, this notice (Preliminary Decision Memorandum).
---------------------------------------------------------------------------

Scope of the Investigation

    The product covered by this investigation is cold-drawn mechanical 
tubing from the PRC. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    In accordance with the preamble to the Department's regulations,\4\ 
the Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage, (i.e., scope).\5\ Certain interested 
parties commented on the scope of the investigation as it appeared in 
the Initiation Notice, as well as additional language proposed by the 
Department. The Department intends to issue its preliminary decision 
regarding comments concerning the scope of the antidumping duty (AD) 
and countervailing duty (CVD) investigations in the preliminary 
determination of the companion AD investigation.
---------------------------------------------------------------------------

    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice, 82 FR at 22486, 22487.
---------------------------------------------------------------------------

Methodology

    The Department is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found 
countervailable, the Department preliminarily determines 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.\6\
---------------------------------------------------------------------------

    \6\ 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.
---------------------------------------------------------------------------

    The Department notes that in making these findings, it relied, in 
part, on facts available and, because it finds that one or more 
respondents did not act to the best of their ability to respond to the 
Department's requests for information, it drew an adverse inference 
where appropriate in selecting from among the facts otherwise 
available.\7\ For further information, see ``Use of Facts Otherwise 
Available and Adverse Inferences'' in the Preliminary Decision 
Memorandum.
---------------------------------------------------------------------------

    \7\ See sections 776(a) and (b) of the Act.
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that in the 
preliminary determination, the Department shall determine an estimated 
all-others rate for companies not individually examined. This rate 
shall be an amount equal to the weighted average of the estimated 
subsidy rates established for those companies individually examined, 
excluding any zero and de minimis rates and any rates based entirely 
under section 776 of the Act. In this investigation, the Department 
calculated individual estimated countervailable subsidy rates for 
Jiangsu Hongyi Steel Pipe Co., Ltd. (Hongyi) and Zhangjiagang Huacheng 
Import & Export Co., Ltd. (Huacheng I&E) that are not zero, de minimis, 
or based entirely on facts otherwise available. The Department 
calculated the all-others'' rate using a simple average of the 
individual estimated subsidy rates calculated for the examined 
respondents.\8\
---------------------------------------------------------------------------

    \8\ With two respondents under examination, the Department 
normally calculates (A) a weighted-average of the estimated subsidy 
rates calculated for the examined respondents; (B) a simple average 
of the estimated subsidy rates calculated for the examined 
respondents; and (C) a weighted-average of the estimated subsidy 
rates calculated for the examined respondents using each company's 
publicly-ranged values for the merchandise under consideration. The 
Department then compares (B) and (C) to (A) and selects the rate 
closest to (A) as the most appropriate rate for all other producers 
and exporters. See, e.g., Ball Bearings and Parts Thereof from 
France, Germany, Italy, Japan, and the United Kingdom: Final Results 
of Antidumping Duty Administrative Reviews, Final Results of 
Changed-Circumstances Review, and Revocation of an Order in Part, 75 
FR 53661, 53663 (September 1, 2010). As complete publicly ranged 
sales data was available, the Department based the all-others rate 
on the publicly ranged sales data of the mandatory respondents. For 
a complete analysis of the data, please see the All-Others'' Rate 
Calculation Memorandum.

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[[Page 44563]]

Preliminary Determination

    The Department preliminarily determines that the following 
estimated countervailable subsidy rates exist:

------------------------------------------------------------------------
                                                                Subsidy
                           Company                              rate (%)
------------------------------------------------------------------------
Jiangsu Hongyi Steel Pipe Co., Ltd \9\.......................      35.69
Zhangjiagang Huacheng Import & Export Co., Ltd \10\..........      33.31
All-Others...................................................       34.5
------------------------------------------------------------------------

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

    \9\ As discussed in the Preliminary Decision Memorandum, the 
Department finds the following companies to be cross-owned with 
Hongyi: Jiangsu Hongren Precision Pipe Manufacturing Co., Ltd. and 
Changzhou Kemeng Mechanical Equipment Co., Ltd.
    \10\ As discussed in the Preliminary Decision Memorandum, the 
Department finds the following companies to be cross-owned with 
Huacheng I&E: Zhangjiagang Huacheng Industry Pipe Making 
Corporation, Zhangjiagang Salem Fine Tubing Co., Ltd., Zhangjiagang 
Huacheng Investment Holding Co., Ltd., Zhangjiagang HZB Special 
Material Technology Co., Ltd. and Zhangjiagang Huacheng Special 
Materials Corporation.
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Suspension of Liquidation

    In accordance with section 703(d)(1)(B) and (d)(2) of the Act, the 
Department will direct U.S. Customs and Border Protection (CBP) to 
suspend liquidation of entries of subject merchandise 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. Further, pursuant to 19 CFR 351.205(d), 
the Department will instruct CBP to require a cash deposit equal to the 
rates indicated above.

Disclosure

    The Department intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
within five days of its public announcement, or if there is no public 
announcement, within five days of the date of this notice in accordance 
with 19 CFR 351.224(b).

Verification

    As provided in section 782(i)(1) of the Act, the Department intends 
to verify the information relied upon in making its final 
determination.

Public Comment

    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 last verification report is issued in 
this investigation. Rebuttal briefs, limited to issues raised in case 
briefs, may be submitted no later than five days after the deadline 
date for case briefs.\11\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2), 
parties who submit case briefs or rebuttal briefs in this investigation 
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.
---------------------------------------------------------------------------

    \11\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
---------------------------------------------------------------------------

    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce, 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, 1401 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.

International Trade Commission Notification

    In accordance with section 703(f) of the Act, the Department will 
notify the International Trade Commission (ITC) of its determination. 
If the 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 the final determination.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act and 19 CFR 351.205(c).

    Dated: September 18, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations performing the non-exclusive duties of the Assistant 
Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The scope of this investigation covers cold-drawn mechanical 
tubing of carbon and alloy steel (cold-drawn mechanical tubing) of 
circular cross-section, in actual outside diameters less than 331 
mm, and regardless of wall thickness, surface finish, end finish or 
industry specification. The subject cold-drawn mechanical tubing is 
a tubular product with a circular cross-sectional shape that has 
been cold-drawn or otherwise cold-finished after the initial tube 
formation in a manner that involves a change in the diameter or wall 
thickness of the tubing, or both. The subject cold-drawn mechanical 
tubing may be produced from either welded (e.g., electric resistance 
welded, continuous welded, etc.) or seamless (e.g. , pierced, 
pilgered or extruded, etc.) carbon or alloy steel tubular products. 
It may also be heat treated after cold working. Such heat treatments 
may include, but are not limited to, annealing, normalizing, 
quenching and tempering, stress relieving or finish annealing. 
Typical cold-drawing methods for subject merchandise include, but 
are not limited to, drawing over mandrel, rod drawing, plug drawing, 
sink drawing and similar processes that involve reducing the outside 
diameter of the tubing with a die or similar device, whether or not 
controlling the inside diameter of the tubing with an internal 
support device such as a mandrel, rod, plug or similar device.
    Subject cold-drawn mechanical tubing is typically certified to 
meet industry specifications for cold-drawn tubing including but not 
limited to:
    (1) American Society for Testing and Materials (ASTM) or 
American Society of Mechanical Engineers (ASME) specifications ASTM 
A-512, ASTM A-513 Type 3 (ASME SA513 Type 3), ASTM A-513 Type 4 
(ASME SA513 Type 4), ASTM A-513 Type 5 (ASME SA513 Type 5), ASTM A-
513 Type 6 (ASME SA513 Type 6), ASTM A-519 (cold-finished);
    (2) SAE International (Society of Automotive Engineers) 
specifications SAE J524, SAE J525, SAE J2833, SAE J2614, SAE J2467, 
SAE J2435, SAE J2613;
    (3) Aerospace Material Specification (AMS) AMS T-6736 (AMS 
6736), AMS 6371, AMS 5050, AMS 5075, AMS 5062, AMS 6360, AMS 6361, 
AMS 6362, AMS 6371, AMS 6372, AMS 6374, AMS 6381, AMS 6415;
    (4) United States Military Standards (MIL) MIL-T-5066 and MIL-T-
6736;
    (5) foreign standards equivalent to one of the previously listed 
ASTM, ASME, SAE, AMS or MIL specifications including but not limited 
to:
    (a) German Institute for Standardization (DIN) specifications 
DIN 2391-2, DIN 2393-2, DIN 2394-2);
    (b) European Standards (EN) EN 10305-1, EN 10305-2, EN 10305-4, 
EN 10305-6 and

[[Page 44564]]

European national variations on those standards (e.g., British 
Standard (BS EN), Irish Standard (IS EN) and German Standard (DIN 
EN) variations, etc.);
    (c) Japanese Industrial Standard (JIS) JIS G 3441 and JIS G 
3445; and
    (6) proprietary standards that are based on one of the above-
listed standards.
    The subject cold-drawn mechanical tubing may also be dual or 
multiple certified to more than one standard. Pipe that is multiple 
certified as cold-drawn mechanical tubing and to other 
specifications not covered by this scope, is also covered by the 
scope of this investigation when it meets the physical description 
set forth above.
    Steel products included in the scope of this investigation are 
products in which:
    (1) Iron predominates, by weight, over each of the other 
contained elements; and
    (2) the carbon content is 2 percent or less by weight.
    For purposes of this scope, the place of cold-drawing determines 
the country of origin of the subject merchandise. Subject 
merchandise that is subject to minor working in a third country that 
occurs after drawing in one of the subject countries including, but 
not limited to, heat treatment, cutting to length, straightening, 
nondestruction testing, deburring or chamfering, remains within the 
scope of the investigation.
    All products that meet the written physical description are 
within the scope of this investigation unless specifically excluded 
or covered by the scope of an existing order. Merchandise that meets 
the physical description of cold-drawn mechanical tubing above is 
within the scope of the investigation even if it is also dual or 
multiple certified to an otherwise excluded specification listed 
below. The following products are outside of, and/or specifically 
excluded from, the scope of this investigation:
    (1) Cold-drawn stainless steel tubing, containing 10.5 percent 
or more of chromium by weight and not more than 1.2 percent of 
carbon by weight;
    (2) products certified to one or more of the ASTM, ASME or 
American Petroleum Institute (API) specifications listed below:
     ASTM A-53;
     ASTM A-106;
     ASTM A-179 (ASME SA 179);
     ASTM A-192 (ASME SA 192);
     ASTM A-209 (ASME SA 209);
     ASTM A-210 (ASME SA 210);
     ASTM A-213 (ASME SA 213);
     ASTM A-334 (ASME SA 334);
     ASTM A-423 (ASME SA 423);
     ASTM A-498;
     ASTM A-496 (ASME SA 496);
     ASTM A-199;
     ASTM A-500;
     ASTM A-556;
     ASTM A-565;
     API 5L; and
     API 5CT

except that any cold-drawn tubing product certified to one of the 
above excluded specifications will not be excluded from the scope if 
it is also dual-or multiple-certified to any other specification 
that otherwise would fall within the scope of this investigation.
    The products subject to the investigation are currently 
classified in the Harmonized Tariff Schedule of the United States 
(HTSUS) under item numbers: 7304.31.3000, 7304.31.6050, 
7304.51.1000, 7304.51.5005, 7304.51.5060, 7306.30.5015, 
7306.30.5020, 7306.50.5030. Subject merchandise may also enter under 
numbers 7306.30.1000 and 7306.50.1000. The HTSUS subheadings above 
are provided for convenience and customs purposes only. The written 
description of the scope of the investigation is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope Comments
IV. Scope of the Investigation
V. Injury Test
VI. Application of the CVD Law to Imports from the PRC
VII. Subsidies Valuation
VIII. Benchmarks and Interest Rates
IX. Use of Facts Otherwise Available and Adverse Inferences
X. Analysis of Programs
XI. ITC Notification
XII. Disclosure and Public Comment
XIII. Verification
XIV. Conclusion

[FR Doc. 2017-20413 Filed 9-22-17; 8:45 am]
BILLING CODE 3510-DS-P



                                                    44562                     Federal Register / Vol. 82, No. 184 / Monday, September 25, 2017 / Notices

                                                    information disclosed under the APO,                    notice of initiation of this investigation             countervailing duty (CVD)
                                                    which continues to govern business                      on May 16, 2017.1 On June 23, 2017, the                investigations in the preliminary
                                                    proprietary information in this segment                 Department postponed the preliminary                   determination of the companion AD
                                                    of the proceeding. Timely written                       determination of this investigation and                investigation.
                                                    notification of the return or destruction               the revised deadline is now September                  Methodology
                                                    of APO materials or conversion to                       18, 2017.2 For a complete description of
                                                    judicial protective order is hereby                     the events that followed the initiation of               The Department is conducting this
                                                    requested. Failure to comply with the                   this investigation, see the Preliminary                investigation in accordance with section
                                                    regulations and terms of an APO is a                    Decision Memorandum.3 A list of topics                 701 of the Act. For each of the subsidy
                                                    violation subject to sanction.                          discussed in the Preliminary Decision                  programs found countervailable, the
                                                                                                            Memorandum is included as Appendix                     Department preliminarily determines
                                                    Notification to Interested Parties                                                                             that there is a subsidy, i.e., a financial
                                                                                                            II to this notice. The Preliminary
                                                      We intend to issue and publish these                  Decision Memorandum is a public                        contribution by an ‘‘authority’’ that
                                                    results in accordance with sections                     document and is on file electronically                 gives rise to a benefit to the recipient,
                                                    751(a)(1) and 777(i)(1) of the Act and 19               via Enforcement and Compliance’s                       and that the subsidy is specific.6
                                                    CFR 351.213(h) and 351.221(b)(5).                       Antidumping and Countervailing Duty                      The Department notes that in making
                                                                                                            Centralized Electronic Service System                  these findings, it relied, in part, on facts
                                                      Dated: September 19, 2017.
                                                                                                            (ACCESS). ACCESS is available to                       available and, because it finds that one
                                                    Gary Taverman,                                                                                                 or more respondents did not act to the
                                                    Deputy Assistant Secretary for Antidumping              registered users at http://
                                                                                                            access.trade.gov, and is available to all              best of their ability to respond to the
                                                    and Countervailing Duty Operations,                                                                            Department’s requests for information, it
                                                    performing the non-exclusive functions and              parties in the Central Records Unit,
                                                                                                            room B8024 of the main Department of                   drew an adverse inference where
                                                    duties of the Assistant Secretary for
                                                                                                                                                                   appropriate in selecting from among the
                                                    Enforcement and Compliance.                             Commerce building. In addition, a
                                                                                                                                                                   facts otherwise available.7 For further
                                                    [FR Doc. 2017–20401 Filed 9–22–17; 8:45 am]             complete version of the Preliminary
                                                                                                                                                                   information, see ‘‘Use of Facts
                                                    BILLING CODE 3510–DS–P                                  Decision Memorandum can be accessed
                                                                                                                                                                   Otherwise Available and Adverse
                                                                                                            directly at http://enforcement.trade.gov/
                                                                                                                                                                   Inferences’’ in the Preliminary Decision
                                                                                                            frn/. The signed and electronic versions
                                                                                                                                                                   Memorandum.
                                                    DEPARTMENT OF COMMERCE                                  of the Preliminary Decision
                                                                                                            Memorandum are identical in content.                   All-Others Rate
                                                    International Trade Administration
                                                                                                            Scope of the Investigation                               Sections 703(d) and 705(c)(5)(A) of
                                                    [C–570–059]                                                                                                    the Act provide that in the preliminary
                                                                                                              The product covered by this
                                                                                                                                                                   determination, the Department shall
                                                    Certain Cold-Drawn Mechanical Tubing                    investigation is cold-drawn mechanical                 determine an estimated all-others rate
                                                    of Carbon and Alloy Steel From the                      tubing from the PRC. For a complete                    for companies not individually
                                                    People’s Republic of China:                             description of the scope of this                       examined. This rate shall be an amount
                                                    Preliminary Affirmative Countervailing                  investigation, see Appendix I.                         equal to the weighted average of the
                                                    Duty Determination                                      Scope Comments                                         estimated subsidy rates established for
                                                    AGENCY:  Enforcement and Compliance,                       In accordance with the preamble to                  those companies individually
                                                    International Trade Administration,                     the Department’s regulations,4 the                     examined, excluding any zero and de
                                                    Department of Commerce.                                                                                        minimis rates and any rates based
                                                                                                            Initiation Notice set aside a period of
                                                                                                                                                                   entirely under section 776 of the Act. In
                                                    SUMMARY: The Department of Commerce                     time for parties to raise issues regarding
                                                                                                                                                                   this investigation, the Department
                                                    (the Department) preliminarily                          product coverage, (i.e., scope).5 Certain
                                                                                                                                                                   calculated individual estimated
                                                    determines that countervailable                         interested parties commented on the
                                                                                                                                                                   countervailable subsidy rates for Jiangsu
                                                    subsidies are being provided to                         scope of the investigation as it appeared
                                                                                                                                                                   Hongyi Steel Pipe Co., Ltd. (Hongyi) and
                                                    producers and exporters of certain cold-                in the Initiation Notice, as well as
                                                                                                                                                                   Zhangjiagang Huacheng Import & Export
                                                    drawn mechanical tubing of carbon and                   additional language proposed by the
                                                                                                                                                                   Co., Ltd. (Huacheng I&E) that are not
                                                    alloy steel (cold-drawn mechanical                      Department. The Department intends to
                                                                                                                                                                   zero, de minimis, or based entirely on
                                                    tubing) from the People’s Republic of                   issue its preliminary decision regarding
                                                                                                                                                                   facts otherwise available. The
                                                    China (PRC). The period of investigation                comments concerning the scope of the
                                                                                                                                                                   Department calculated the all-others’’
                                                    is January 1, 2016, through December                    antidumping duty (AD) and
                                                                                                                                                                   rate using a simple average of the
                                                    31, 2016.                                                                                                      individual estimated subsidy rates
                                                                                                               1 See Certain Cold-Drawn Mechanical Tubing of
                                                    DATES: Applied September 25, 2017.                                                                             calculated for the examined
                                                                                                            Carbon and Alloy Steel from India and the People’s
                                                    FOR FURTHER INFORMATION CONTACT:                        Republic of China: Initiation of Countervailing Duty   respondents.8
                                                    Shanah Lee at (202) 482–6386 or Laurel                  Investigations, 82 FR 22486 (May 16, 2017)
                                                    LaCivita at (202) 482–4243, AD/CVD                      (Initiation Notice).                                     6 See sections 771(5)(B) and (D) of the Act
                                                                                                               2 See Certain Cold-Drawn Mechanical Tubing of
                                                    Operations, Enforcement and                                                                                    regarding financial contribution; section 771(5)(E)
                                                                                                            Carbon and Alloy Steel from India and the People’s     of the Act regarding benefit; and section 771(5A) of
                                                    Compliance, International Trade                         Republic of China: Postponement of Preliminary         the Act regarding specificity.
                                                    Administration, U.S. Department of                      Determinations of Countervailing Duty                    7 See sections 776(a) and (b) of the Act.

                                                    Commerce, 1401 Constitution Avenue                      Investigations, 82 FR 28641 (June 23, 2017).
asabaliauskas on DSKBBXCHB2PROD with NOTICES




                                                                                                                                                                     8 With two respondents under examination, the
                                                                                                               3 See Memorandum, ‘‘Decision Memorandum for
                                                    NW., Washington, DC 20230.                                                                                     Department normally calculates (A) a weighted-
                                                                                                            the Preliminary Affirmative Determination:             average of the estimated subsidy rates calculated for
                                                    SUPPLEMENTARY INFORMATION:                              Countervailing Duty Investigation of Certain Cold-     the examined respondents; (B) a simple average of
                                                                                                            Drawn Mechanical Tubing of Carbon and Alloy            the estimated subsidy rates calculated for the
                                                    Background                                              Steel from the People’s Republic of China,’’ dated     examined respondents; and (C) a weighted-average
                                                                                                            concurrently with, and hereby adopted by, this         of the estimated subsidy rates calculated for the
                                                       This preliminary determination is                    notice (Preliminary Decision Memorandum).              examined respondents using each company’s
                                                    made in accordance with section 703(b)                     4 See Antidumping Duties; Countervailing Duties,
                                                                                                                                                                   publicly-ranged values for the merchandise under
                                                    of the Tariff Act of 1930, as amended                   Final Rule, 62 FR 27296, 27323 (May 19, 1997).         consideration. The Department then compares (B)
                                                    (the Act). The Department published the                    5 See Initiation Notice, 82 FR at 22486, 22487.     and (C) to (A) and selects the rate closest to (A) as



                                               VerDate Sep<11>2014   19:45 Sep 22, 2017   Jkt 241001   PO 00000   Frm 00008   Fmt 4703   Sfmt 4703   E:\FR\FM\25SEN1.SGM   25SEN1


                                                                              Federal Register / Vol. 82, No. 184 / Monday, September 25, 2017 / Notices                                                44563

                                                    Preliminary Determination                               the information relied upon in making                   Dated: September 18, 2017.
                                                      The Department preliminarily                          its final determination.                              Gary Taverman,
                                                    determines that the following estimated                                                                       Deputy Assistant Secretary for Antidumping
                                                                                                            Public Comment                                        and Countervailing Duty Operations
                                                    countervailable subsidy rates exist:
                                                                                                                                                                  performing the non-exclusive duties of the
                                                                                                                  Case briefs or other written comments           Assistant Secretary for Enforcement and
                                                                                               Subsidy         may be submitted to the Assistant
                                                                     Company                    rate                                                              Compliance.
                                                                                                 (%)           Secretary for Enforcement and
                                                                                                               Compliance no later than seven days                Appendix I
                                                    Jiangsu Hongyi Steel Pipe Co.,                             after the date on which the last                   Scope of the Investigation
                                                       Ltd 9 ........................................... 35.69 verification report is issued in this                 The scope of this investigation covers cold-
                                                    Zhangjiagang Huacheng Import &                             investigation. Rebuttal briefs, limited to         drawn mechanical tubing of carbon and alloy
                                                       Export Co., Ltd 10 ......................         33.31                                                    steel (cold-drawn mechanical tubing) of
                                                                                                               issues raised in case briefs, may be
                                                    All-Others ......................................     34.5                                                    circular cross-section, in actual outside
                                                                                                               submitted no later than five days after
                                                                                                               the deadline date for case briefs.11               diameters less than 331 mm, and regardless
                                                                                                                                                                  of wall thickness, surface finish, end finish
                                                                                                               Pursuant to 19 CFR 351.309(c)(2) and               or industry specification. The subject cold-
                                                    Suspension of Liquidation                                  (d)(2), parties who submit case briefs or          drawn mechanical tubing is a tubular
                                                       In accordance with section                              rebuttal briefs in this investigation are          product with a circular cross-sectional shape
                                                    703(d)(1)(B) and (d)(2) of the Act, the                    encouraged to submit with each                     that has been cold-drawn or otherwise cold-
                                                    Department will direct U.S. Customs                        argument: (1) A statement of the issue;            finished after the initial tube formation in a
                                                    and Border Protection (CBP) to suspend (2) a brief summary of the argument;                                   manner that involves a change in the
                                                    liquidation of entries of subject                                                                             diameter or wall thickness of the tubing, or
                                                                                                               and (3) a table of authorities.                    both. The subject cold-drawn mechanical
                                                    merchandise as described in the scope                                                                         tubing may be produced from either welded
                                                                                                                  Pursuant to 19 CFR 351.310(c),
                                                    of the investigation section entered, or                                                                      (e.g., electric resistance welded, continuous
                                                    withdrawn from warehouse, for                              interested  parties who wish to request a
                                                                                                               hearing, limited to issues raised in the           welded, etc.) or seamless (e.g. , pierced,
                                                    consumption on or after the date of                                                                           pilgered or extruded, etc.) carbon or alloy
                                                    publication of this notice in the Federal case and rebuttal briefs, must submit a                             steel tubular products. It may also be heat
                                                    Register. Further, pursuant to 19 CFR                      written request to the Assistant                   treated after cold working. Such heat
                                                    351.205(d), the Department will instruct Secretary for Enforcement and                                        treatments may include, but are not limited
                                                    CBP to require a cash deposit equal to                     Compliance, U.S. Department of                     to, annealing, normalizing, quenching and
                                                    the rates indicated above.                                 Commerce, within 30 days after the date            tempering, stress relieving or finish
                                                                                                               of publication of this notice. Requests            annealing. Typical cold-drawing methods for
                                                    Disclosure                                                                                                    subject merchandise include, but are not
                                                                                                               should contain the party’s name,                   limited to, drawing over mandrel, rod
                                                       The Department intends to disclose                      address, and telephone number, the                 drawing, plug drawing, sink drawing and
                                                    its calculations and analysis performed                    number of participants, and a list of the          similar processes that involve reducing the
                                                    to interested parties in this preliminary                  issues to be discussed. If a request for           outside diameter of the tubing with a die or
                                                    determination within five days of its                      a hearing is made, the Department                  similar device, whether or not controlling the
                                                    public announcement, or if there is no                     intends to hold the hearing at the U.S.            inside diameter of the tubing with an internal
                                                    public announcement, within five days                                                                         support device such as a mandrel, rod, plug
                                                                                                               Department of Commerce, 1401
                                                    of the date of this notice in accordance                                                                      or similar device.
                                                                                                               Constitution Avenue NW., Washington,                  Subject cold-drawn mechanical tubing is
                                                    with 19 CFR 351.224(b).                                    DC 20230, at a time and date to be                 typically certified to meet industry
                                                    Verification                                               determined. Parties should confirm by              specifications for cold-drawn tubing
                                                                                                                                                                  including but not limited to:
                                                       As provided in section 782(i)(1) of the telephone the date, time, and location of
                                                                                                               the hearing two days before the                       (1) American Society for Testing and
                                                    Act, the Department intends to verify                                                                         Materials (ASTM) or American Society of
                                                                                                               scheduled date.
                                                                                                                                                                  Mechanical Engineers (ASME) specifications
                                                    the most appropriate rate for all other producers       International Trade Commission                        ASTM A–512, ASTM A–513 Type 3 (ASME
                                                    and exporters. See, e.g., Ball Bearings and Parts                                                             SA513 Type 3), ASTM A–513 Type 4 (ASME
                                                    Thereof from France, Germany, Italy, Japan, and         Notification
                                                    the United Kingdom: Final Results of Antidumping
                                                                                                                                                                  SA513 Type 4), ASTM A–513 Type 5 (ASME
                                                    Duty Administrative Reviews, Final Results of              In accordance with section 703(f) of               SA513 Type 5), ASTM A–513 Type 6 (ASME
                                                    Changed-Circumstances Review, and Revocation of         the Act, the Department will notify the               SA513 Type 6), ASTM A–519 (cold-finished);
                                                    an Order in Part, 75 FR 53661, 53663 (September                                                                  (2) SAE International (Society of
                                                    1, 2010). As complete publicly ranged sales data
                                                                                                            International Trade Commission (ITC) of               Automotive Engineers) specifications SAE
                                                    was available, the Department based the all-others      its determination. If the final                       J524, SAE J525, SAE J2833, SAE J2614, SAE
                                                    rate on the publicly ranged sales data of the           determination is affirmative, the ITC                 J2467, SAE J2435, SAE J2613;
                                                    mandatory respondents. For a complete analysis of       will determine before the later of 120                   (3) Aerospace Material Specification (AMS)
                                                    the data, please see the All-Others’’ Rate
                                                    Calculation Memorandum.                                 days after the date of this preliminary               AMS T–6736 (AMS 6736), AMS 6371, AMS
                                                       9 As discussed in the Preliminary Decision           determination or 45 days after the final              5050, AMS 5075, AMS 5062, AMS 6360,
                                                                                                                                                                  AMS 6361, AMS 6362, AMS 6371, AMS
                                                    Memorandum, the Department finds the following          determination.
                                                    companies to be cross-owned with Hongyi: Jiangsu                                                              6372, AMS 6374, AMS 6381, AMS 6415;
                                                    Hongren Precision Pipe Manufacturing Co., Ltd.          Notification to Interested Parties                       (4) United States Military Standards (MIL)
                                                                                                                                                                  MIL–T–5066 and MIL–T–6736;
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                                                    and Changzhou Kemeng Mechanical Equipment
                                                    Co., Ltd.                                                 This determination is issued and                       (5) foreign standards equivalent to one of
                                                       10 As discussed in the Preliminary Decision
                                                                                                            published pursuant to sections 703(f)                 the previously listed ASTM, ASME, SAE,
                                                    Memorandum, the Department finds the following                                                                AMS or MIL specifications including but not
                                                    companies to be cross-owned with Huacheng I&E:          and 777(i) of the Act and 19 CFR
                                                                                                                                                                  limited to:
                                                    Zhangjiagang Huacheng Industry Pipe Making              351.205(c).                                              (a) German Institute for Standardization
                                                    Corporation, Zhangjiagang Salem Fine Tubing Co.,
                                                    Ltd., Zhangjiagang Huacheng Investment Holding                                                                (DIN) specifications DIN 2391–2, DIN 2393–
                                                    Co., Ltd., Zhangjiagang HZB Special Material                                                                  2, DIN 2394–2);
                                                    Technology Co., Ltd. and Zhangjiagang Huacheng             11 See 19 CFR 351.309; see also 19 CFR 351.303        (b) European Standards (EN) EN 10305–1,
                                                    Special Materials Corporation.                          (for general filing requirements).                    EN 10305–2, EN 10305–4, EN 10305–6 and



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                                                    44564                     Federal Register / Vol. 82, No. 184 / Monday, September 25, 2017 / Notices

                                                    European national variations on those                   Tariff Schedule of the United States (HTSUS)             Background: The Committee was
                                                    standards (e.g., British Standard (BS EN),              under item numbers: 7304.31.3000,                     established under the discretionary
                                                    Irish Standard (IS EN) and German Standard              7304.31.6050, 7304.51.1000, 7304.51.5005,             authority of the Secretary of Commerce
                                                    (DIN EN) variations, etc.);                             7304.51.5060, 7306.30.5015, 7306.30.5020,             and in accordance with the Federal
                                                       (c) Japanese Industrial Standard (JIS) JIS G         7306.50.5030. Subject merchandise may also
                                                    3441 and JIS G 3445; and                                enter under numbers 7306.30.1000 and
                                                                                                                                                                  Advisory Committee Act (5 U.S.C.
                                                       (6) proprietary standards that are based on          7306.50.1000. The HTSUS subheadings                   App.). It provides advice to the
                                                    one of the above-listed standards.                      above are provided for convenience and                Secretary of Commerce on the necessary
                                                       The subject cold-drawn mechanical tubing             customs purposes only. The written                    elements of a comprehensive policy
                                                    may also be dual or multiple certified to               description of the scope of the investigation         approach to supply chain
                                                    more than one standard. Pipe that is multiple           is dispositive.                                       competitiveness designed to support
                                                    certified as cold-drawn mechanical tubing                                                                     U.S. export growth and national
                                                    and to other specifications not covered by              Appendix II
                                                                                                                                                                  economic competitiveness, encourage
                                                    this scope, is also covered by the scope of             List of Topics Discussed in the Preliminary           innovation, facilitate the movement of
                                                    this investigation when it meets the physical           Decision Memorandum
                                                    description set forth above.                                                                                  goods, and improve the competitiveness
                                                       Steel products included in the scope of this         I. Summary                                            of U.S. supply chains for goods and
                                                    investigation are products in which:                    II. Background                                        services in the domestic and global
                                                       (1) Iron predominates, by weight, over each          III. Scope Comments                                   economy; and provides advice to the
                                                    of the other contained elements; and                    IV. Scope of the Investigation                        Secretary on regulatory policies and
                                                       (2) the carbon content is 2 percent or less          V. Injury Test                                        programs and investment priorities that
                                                    by weight.                                              VI. Application of the CVD Law to Imports
                                                                                                                                                                  affect the competitiveness of U.S.
                                                       For purposes of this scope, the place of                   from the PRC
                                                                                                            VII. Subsidies Valuation
                                                                                                                                                                  supply chains. For more information
                                                    cold-drawing determines the country of
                                                                                                            VIII. Benchmarks and Interest Rates                   about the Committee visit: http://
                                                    origin of the subject merchandise. Subject
                                                    merchandise that is subject to minor working            IX. Use of Facts Otherwise Available and              trade.gov/td/services/oscpb/
                                                    in a third country that occurs after drawing                  Adverse Inferences                              supplychain/acscc/.
                                                    in one of the subject countries including, but          X. Analysis of Programs                                  Matters to Be Considered: Committee
                                                    not limited to, heat treatment, cutting to              XI. ITC Notification                                  members are expected to continue to
                                                    length, straightening, nondestruction testing,          XII. Disclosure and Public Comment                    discuss the major competitiveness-
                                                    deburring or chamfering, remains within the             XIII. Verification                                    related topics raised at the previous
                                                    scope of the investigation.                             XIV. Conclusion                                       Committee meetings, including trade
                                                       All products that meet the written physical          [FR Doc. 2017–20413 Filed 9–22–17; 8:45 am]           and competitiveness; freight movement
                                                    description are within the scope of this                                                                      and policy; trade innovation; regulatory
                                                                                                            BILLING CODE 3510–DS–P
                                                    investigation unless specifically excluded or
                                                    covered by the scope of an existing order.
                                                                                                                                                                  issues; finance and infrastructure; and
                                                    Merchandise that meets the physical                                                                           workforce development. The
                                                    description of cold-drawn mechanical tubing             DEPARTMENT OF COMMERCE                                Committee’s subcommittees will report
                                                    above is within the scope of the investigation                                                                on the status of their work regarding
                                                    even if it is also dual or multiple certified to        International Trade Administration                    these topics. The agenda may change to
                                                    an otherwise excluded specification listed                                                                    accommodate other Committee
                                                    below. The following products are outside of,           Advisory Committee on Supply Chain                    business. The Office of Supply Chain,
                                                    and/or specifically excluded from, the scope            Competitiveness; Notice of Public                     Professional & Business Services will
                                                    of this investigation:                                  Meetings                                              post the final detailed agendas on its
                                                       (1) Cold-drawn stainless steel tubing,
                                                                                                            AGENCY: International Trade                           Web site, http://trade.gov/td/services/
                                                    containing 10.5 percent or more of chromium
                                                    by weight and not more than 1.2 percent of              Administration, U.S. Department of                    oscpb/supplychain/acscc/, at least one
                                                    carbon by weight;                                       Commerce.                                             week prior to the meeting.
                                                       (2) products certified to one or more of the         ACTION: Notice of open meetings.                         The meetings will be open to the
                                                    ASTM, ASME or American Petroleum                                                                              public and press on a first-come, first-
                                                    Institute (API) specifications listed below:            SUMMARY:   This notice sets forth the                 served basis. Space is limited. The
                                                       • ASTM A–53;                                         schedule and proposed topics of                       public meetings are physically
                                                       • ASTM A–106;                                        discussion for public meetings of the                 accessible to people with disabilities.
                                                       • ASTM A–179 (ASME SA 179);                          Advisory Committee on Supply Chain                    Individuals requiring accommodations,
                                                       • ASTM A–192 (ASME SA 192);                          Competitiveness (Committee).                          such as sign language interpretation or
                                                       • ASTM A–209 (ASME SA 209);                                                                                other ancillary aids, are asked to notify
                                                       • ASTM A–210 (ASME SA 210);                          DATES: The meetings will be held on
                                                       • ASTM A–213 (ASME SA 213);                          October 18, 2017, from 12:00 p.m. to                  Mr. Richard Boll, at (202) 482–1135 or
                                                       • ASTM A–334 (ASME SA 334);                          3:00 p.m., and October 19, 2017, from                 richard.boll@trade.gov five (5) business
                                                       • ASTM A–423 (ASME SA 423);                          9:00 a.m. to 4:00 p.m., Eastern Standard              days before the meeting.
                                                       • ASTM A–498;                                        Time (EST).                                              Interested parties are invited to
                                                       • ASTM A–496 (ASME SA 496);                          ADDRESSES: The meetings on October 18
                                                                                                                                                                  submit written comments to the
                                                       • ASTM A–199;                                                                                              Committee at any time before and after
                                                                                                            and 19 will be held at the U.S.
                                                       • ASTM A–500;                                                                                              the meeting. Parties wishing to submit
                                                       • ASTM A–556;                                        Department of Commerce, 1401
                                                                                                            Constitution Avenue NW., Research                     written comments for consideration by
                                                       • ASTM A–565;                                                                                              the Committee in advance of this
                                                       • API 5L; and                                        Library (Room 1894), Washington, DC
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                                                                                                                                                                  meeting must send them to the Office of
                                                       • API 5CT                                            20230.
                                                                                                                                                                  Supply Chain, Professional & Business
                                                    except that any cold-drawn tubing product               FOR FURTHER INFORMATION CONTACT:                      Services, 1401 Constitution Ave. NW.,
                                                    certified to one of the above excluded                  Richard Boll, Office of Supply Chain,
                                                    specifications will not be excluded from the
                                                                                                                                                                  Room 11014, Washington, DC 20230, or
                                                                                                            Professional & Business Services                      email to richard.boll@trade.gov.
                                                    scope if it is also dual-or multiple-certified to
                                                    any other specification that otherwise would
                                                                                                            (OSCPBS), International Trade                            For consideration during the
                                                    fall within the scope of this investigation.            Administration. (Phone: (202) 482–1135                meetings, and to ensure transmission to
                                                       The products subject to the investigation            or Email: richard.boll@trade.gov.                     the Committee prior to the meetings,
                                                    are currently classified in the Harmonized              SUPPLEMENTARY INFORMATION:                            comments must be received no later


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Document Created: 2018-10-24 14:42:01
Document Modified: 2018-10-24 14:42:01
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
DatesApplied September 25, 2017.
ContactShanah Lee at (202) 482-6386 or Laurel LaCivita at (202) 482-4243, AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW., Washington, DC 20230.
FR Citation82 FR 44562 

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