82 FR 50377 - Carbon and Alloy Steel Wire Rod From Turkey: Preliminary Affirmative Determination of Sales at Less Than Fair Value, and Preliminary Negative Determination of Critical Circumstances

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 82, Issue 209 (October 31, 2017)

Page Range50377-50379
FR Document2017-23647

The Department of Commerce (the Department) preliminarily determines that certain carbon and alloy steel wire rod (wire rod) from the Republic of Turkey (Turkey) is being, or is likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is January 1, 2016, through December 31, 2016.

Federal Register, Volume 82 Issue 209 (Tuesday, October 31, 2017)
[Federal Register Volume 82, Number 209 (Tuesday, October 31, 2017)]
[Notices]
[Pages 50377-50379]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-23647]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-489-831]


Carbon and Alloy Steel Wire Rod From Turkey: Preliminary 
Affirmative Determination of Sales at Less Than Fair Value, and 
Preliminary Negative Determination of Critical Circumstances

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

SUMMARY: The Department of Commerce (the Department) preliminarily 
determines that certain carbon and alloy steel wire rod (wire rod) from 
the Republic of Turkey (Turkey) is being, or is likely to be, sold in 
the United States at less than fair value (LTFV). The period of 
investigation (POI) is January 1, 2016, through December 31, 2016.

DATES: Applicable October 31, 2017.

FOR FURTHER INFORMATION CONTACT: Ryan Mullen or Ian Hamilton, AD/CVD 
Operations, Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW., Washington, DC 20230; telephone: (202) 482-5260 or (202) 482-4798, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
733(b) of the Tariff Act of 1930, as amended (the Act). The Department 
published the notice of initiation of this investigation on April 26, 
2017.\1\ On August 21, 2017, the Department postponed the preliminary 
determination of this investigation until October 24, 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 
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 accessed directly at http://enforcement.trade.gov/frn/. The signed 
Preliminary Decision Memorandum and the electronic version are 
identical in content.
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    \1\ See Carbon and Alloy Steel Wire Rod from Belarus, Italy, the 
Republic of Korea, the Russian Federation, South Africa, Spain, the 
Republic of Turkey, Ukraine, United Arab Emirates, and United 
Kingdom: Initiation of Less-Than-Fair Value Investigations, 82 FR 
19207 (April 26, 2017) (Initiation Notice).
    \2\ See Carbon and Alloy Steel Wire Rod from Italy, the Republic 
of Korea, the Republic of South Africa, Spain, the Republic of 
Turkey, Ukraine and the United Kingdom: Postponement of Preliminary 
Determinations in the Less-Than-Fair-Value Investigations, 82 FR 
39564 (August 21, 2017).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination and Negative Determination of Critical Circumstances 
in the Less Than Fair Value Investigation of Carbon and Alloy Steel 
Wire Rod from Turkey,'' dated concurrently with, and hereby adopted 
by, this notice (Preliminary Decision Memorandum).
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Scope of the Investigation

    The products covered by this investigation are wire rod from 
Turkey. 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 (scope).\5\ Certain interested 
parties commented on the scope of the investigation as it appeared in 
the Initiation Notice. For a summary of the product coverage comments 
and rebuttal responses submitted to the record for this investigation, 
and accompanying discussion and analysis of all comments timely 
received, see the Preliminary Scope Decision Memorandum.\6\ Since the 
issuance of the Preliminary Scope Decision Memorandum, certain parties 
submitted scope case briefs or scope rebuttal briefs.\7\ The Department 
will issue a final scope decision on the records of the wire rod 
investigations after considering those comments submitted in scope case 
and rebuttal briefs.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice, 82 FR at 19207-08.
    \6\ See Memorandum, ``Carbon and Alloy Steel Wire Rod from 
Belarus, Italy, the Republic of Korea, the Russian Federation, South 
Africa, Spain, the Republic of Turkey, Ukraine, the United Arab 
Emirates, and the United Kingdom: Scope Comments Decision Memorandum 
for the Preliminary Determinations,'' dated August 7, 2017 
(Preliminary Scope Decision Memorandum).
    \7\ See Preliminary Decision Memorandum.
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Methodology

    The Department is conducting this investigation in accordance with 
section 731 of the Act. The Department has calculated export prices in 
accordance with section 772(a) of the Act. Normal value (NV) is 
calculated in accordance with section 773 of the Act. For a full 
description of the methodology underlying the preliminary conclusions, 
see the Preliminary Decision Memorandum.

Preliminary Negative Determination of Critical Circumstances

    On July 6, 2017, the petitioners filed a critical circumstances 
allegation with respect to imports of wire rod from Turkey.\8\ In 
accordance with section 733(e) of the Act and 19 CFR 351.206, we 
preliminarily find that critical circumstances do not exist with 
respect to imports of wire rod from Turkey for Habas Sinai ve Tibbi 
Gazlar Istihsal Endustrisi A.S. (Habas), Icdas Celik Enerji Tersane ve 
Ulasim Sanayi A.S. (Icdas), and all-other exporters/producers of wire 
rod from Turkey. For a full description of the methodology and results 
of the Department's critical circumstances analysis, see the 
Preliminary Decision Memorandum.
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    \8\ See Letter to the Secretary from Nucor re: Carbon and Alloy 
Steel Wire Rod from Russia, South Africa, Spain, Turkey, and the 
United Kingdom: Critical Circumstances Allegations, dated July 6, 
2017.
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All-Others Rate

    Sections 733(d)(1)(A)(ii) of the Act provides that in the 
preliminary determination the Department shall determine an estimated 
all-others rate for all exporters and producers not individually 
investigated in accordance with section 735(c)(5) of the Act. Section 
735(c)(5)(A) of the Act states that generally this rate shall be an 
amount equal to the weighted average of the estimated weighted-average 
dumping margins established for

[[Page 50378]]

exporters and producers individually investigated, excluding any zero 
and de minimis margins, and any margins determined entirely under 
section 776 of the Act.
    In this investigation, the Department calculated estimated 
weighted-average dumping margins for Habas and Icdas 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 
estimated weighted-average dumping margins calculated for the examined 
respondents.\9\
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    \9\ With two respondents under examination, the Department 
normally calculates (A) a weighted-average of the estimated 
weighted-average dumping margins calculated for the examined 
respondents; (B) a simple average of the estimated weighted-average 
dumping margins calculated for the examined respondents; and (C) a 
weighted-average of the estimated weighted-average dumping margins 
calculated for the examined respondents using each company's 
publicly-ranged U.S. sale quantities 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 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). For a complete analysis of the 
data, please see the All-Others' Rate Calculation Memorandum, dated 
concurrently with this notice.
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Preliminary Determination

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

------------------------------------------------------------------------
                                             Weighted-     Cash deposit
                                              average      rate adjusted
            Exporter/producer                 margins       for subsidy
                                             (percent)        offset
------------------------------------------------------------------------
Habas Sinai ve Tibbi Gazlar Istihsal                2.80            2.70
 Endustrisi A.S.........................
Icdas Celik Enerji Tersane ve Ulasim                8.01            8.01
 Sanayi A.S.............................
All-Others..............................            5.41            5.31
------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 733(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 Appendix 
I, entered, or withdrawn from warehouse, for consumption on or after 
the date of publication of this notice in the Federal Register. 
Further, 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 
equal to the estimated weighted-average dumping margin or the estimated 
all-others rate, as follows: (1) The cash deposit rate for the 
respondents listed above will be equal to the company-specific 
estimated weighted-average dumping margins determined in this 
preliminary determination; (2) if the exporter is not a respondent 
identified above, but the producer is, then the cash deposit rate will 
be equal to the company-specific estimated weighted-average dumping 
margin established for that producer of the subject merchandise; and 
(3) the cash deposit rate for all other producers and exporters will be 
equal to the all-others estimated weighted-average dumping margin.
    The Department normally adjusts cash deposits for estimated 
antidumping duties by the amount of export subsidies countervailed in a 
companion countervailing duty (CVD) proceeding, when CVD provisional 
measures are in effect. Accordingly, where the Department preliminarily 
made an affirmative determination for countervailable export subsidies, 
the Department offset the estimated weighted-average dumping margin by 
the appropriate CVD rate. The adjusted cash deposit rate may be found 
in the Preliminary Determination section above. Should provisional 
measures in the companion CVD investigation expire prior to the 
expiration of provisional measures in this LTFV investigation, the 
Department will direct CBP to begin collecting estimated antidumping 
duty cash deposits unadjusted for countervailed export subsidies at the 
time that the provisional CVD measures expire. These suspension of 
liquidation instructions will remain in effect until further notice.

Disclosure

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

Verification

    As provided in section 782(i) 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 final 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.\10\ 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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    \10\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, 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, whether any participant is a foreign national, 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.

Final Determination

    Section 735(a)(1) of the Act and 19 CFR 351.210(b)(1) provide that 
the Department will issue the final determination within 75 days after 
the date of its preliminary determination. Accordingly, the Department 
will make its final determination no later than 75 days after the 
signature date of this preliminary determination.

[[Page 50379]]

International Trade Commission Notification

    In accordance with section 733(f) of the Act, the Department will 
notify the International Trade Commission (ITC) of its preliminary 
affirmative 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 
whether these imports are materially injuring, or threaten material 
injury to, the U.S. industry.

Notification to Interested Parties

    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: October 24, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The products covered by this investigation are certain hot-
rolled products of carbon steel and alloy steel, in coils, of 
approximately round cross section, less than 19.00 mm in actual 
solid cross-sectional diameter. Specifically excluded are steel 
products possessing the above-noted physical characteristics and 
meeting the Harmonized Tariff Schedule of the United States (HTSUS) 
definitions for (a) stainless steel; (b) tool steel; (c) high-nickel 
steel; (d) ball bearing steel; or (e) concrete reinforcing bars and 
rods. Also excluded are free cutting steel (also known as free 
machining steel) products (i.e., products that contain by weight one 
or more of the following elements: 0.1 percent or more of lead, 0.05 
percent or more of bismuth, 0.08 percent or more of sulfur, more 
than 0.04 percent of phosphorous, more than 0.05 percent of 
selenium, or more than 0.01 percent of tellurium). All products 
meeting the physical description of subject merchandise that are not 
specifically excluded are included in this scope.
    The products under investigation are currently classifiable 
under subheadings 7213.91.3011, 213.91.3015, 7213.91.3020, 
7213.91.3093; 7213.91.4500, 7213.91.6000, 7213.99.0030, 
7227.20.0030, 7227.20.0080, 7227.90.6010, 7227.90.6020, 
7227.90.6030, and 7227.90.6035 of the HTSUS. Products entered under 
subheadings 7213.99.0090 and 7227.90.6090 of the HTSUS also may be 
included in this scope if they meet the physical description of 
subject merchandise above. Although the HTSUS subheadings are 
provided for convenience and customs purposes, the written 
description of the scope of this proceeding is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope Comments
V. Discussion of the Methodology
    A. Determination of the Comparison Method
    B. Results of the Differential Pricing Analysis
VI. Date of Sale
VII. Product Comparisons
VIII. Export Price
IX. Normal Value
    A. Comparison Market Viability
    B. Affiliated-Party Transactions and Arm's-Length Test
    C. Level of Trade
    D. Cost of Production (COP) Analysis
    1. Calculation of COP
    2. Test of Comparison Market Sales Prices
    3. Results of the COP Test
    E. Calculation of NV Based on Comparison Market Prices
    F. Calculation of NV Based on Constructed Value
X. Preliminary Negative Determination of Critical Circumstances
    A. Legal Framework
    B. Critical Circumstances Allegation
    C. Analysis
XI. Adjustment to Cash Deposit Rate for Export Subsidies
XII. Currency Conversion
XIII. Conclusion

[FR Doc. 2017-23647 Filed 10-30-17; 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
DatesApplicable October 31, 2017.
ContactRyan Mullen or Ian Hamilton, AD/CVD Operations, Office V, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-5260 or (202) 482-4798, respectively.
FR Citation82 FR 50377 

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