83 FR 352 - Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel From the People's Republic of China: Amended Preliminary Affirmative Determination of Sales at Less-Than-Fair Value

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 2 (January 3, 2018)

Page Range352-354
FR Document2017-28403

The Department of Commerce (Commerce) is amending the preliminary determination of the less-than-fair-value (LTFV) investigation of certain cold-drawn mechanical tubing of carbon and alloy steel (cold-drawn mechanical tubing) from the People's Republic of China (China) to correct certain significant ministerial errors.

Federal Register, Volume 83 Issue 2 (Wednesday, January 3, 2018)
[Federal Register Volume 83, Number 2 (Wednesday, January 3, 2018)]
[Notices]
[Pages 352-354]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-28403]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-058]


Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel 
From the People's Republic of China: Amended Preliminary Affirmative 
Determination of Sales at Less-Than-Fair Value

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

SUMMARY: The Department of Commerce (Commerce) is amending the 
preliminary determination of the less-than-fair-value (LTFV) 
investigation of certain cold-drawn mechanical tubing of carbon and 
alloy steel (cold-drawn mechanical tubing) from the People's Republic 
of China (China) to correct certain significant ministerial errors.

DATES: Applicable January 3, 2018.

FOR FURTHER INFORMATION CONTACT: Keith Haynes or Paul Stolz, AD/CVD 
Operations, Office III, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-5139 or, (202) 482-4474, 
respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On November 22, 2017, Commerce published the Preliminary 
Determination.\1\ On November 24, 2017, Commerce disclosed to 
interested parties its calculations for the Preliminary Determination. 
On November 27, 2017, Commerce extended the period to submit 
ministerial error comments to December 1, 2017.\2\ On December 1, 2017, 
Zhangjiagang Huacheng Import & Export Co., Ltd. (Huacheng) alleged 
certain ministerial errors in the Preliminary Determination.\3\ 
Commerce did not receive ministerial error allegations from any other 
interested party.
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    \1\ See Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy 
Steel from the People's Republic of China: Preliminary Affirmative 
Determination of Sales at Less-Than-Fair Value and Preliminary 
Affirmative Determination of Critical Circumstances, in Part, and 
Postponement of Final Determination, 82 FR 55574 (November 22, 2017) 
(Preliminary Determination).
    \2\ See the Department's memorandum, ``Deadline for Ministerial 
Error Comments for the Preliminary Determination,'' dated November 
27, 2017.
    \3\ See Huacheng's letter, ``Certain Cold-Drawn Mechanical 
Tubing of Carbon and Alloy Steel from People's Republic of China: 
Ministerial Error Comments,'' dated December 1, 2017 (Hongyi's 
Ministerial Error Allegation).
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Period of Investigation

    The period of investigation is October 1, 2016, through March 31, 
2017.

Scope of the Investigation

    This investigation covers cold-drawn mechanical tubing from China. 
Since the publication of the Preliminary Determination and preliminary 
scope language contained therein, Commerce has evaluated relevant 
comments and issued its Final Scope Determination Memorandum.\4\ For a 
complete description of the final scope of this investigation, see the 
Appendix to this notice.
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    \4\ See the Department's memorandum, ``Certain Cold-Drawn 
Mechanical Tubing of Carbon and Alloy Steel from the Federal 
Republic of Germany, India, Italy, the Republic of Korea, the 
People's Republic of China, and Switzerland: Scope Comments Decision 
Memorandum for the Final Determinations,'' dated December 4, 2017 
(Scope Comments Decision Memo).
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Analysis of Significant Ministerial Error Allegation

    Commerce will analyze any comments received and, if appropriate, 
correct any significant ministerial error by amending the preliminary 
determination according to 19 CFR 351.224(e). A ministerial error is 
defined in 19 CFR 351.224(f) as ``an error in addition, subtraction, or 
other arithmetic function, clerical error resulting from inaccurate 
copying, duplication, or the like, and any other similar type of 
unintentional error which the Secretary considers ministerial.'' \5\ A 
significant ministerial error is defined as an error, the correction of 
which, singly or in combination with other errors, would result in: (1) 
A change of at least five absolute percentage points in, but not less 
than 25 percent of, the antidumping duty rate calculated in the 
original (erroneous) preliminary determination; or (2) a difference 
between an antidumping duty rate of zero (or de minimis) and an 
antidumping duty rate of greater than de minimis or vice versa.\6\
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    \5\ See Section 735(e) of the Tariff Act of 1930, as amended 
(the ``Act).
    \6\ See 19 CFR 351.224(g).
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    Pursuant to 19 CFR 351.224(e) and (g)(1), Commerce is amending the 
Preliminary Determination to reflect the correction of four ministerial 
errors made in the calculation of the estimated weighted-average 
dumping margin for Huacheng.\7\ These errors are significant 
ministerial errors within the meaning of 19 CFR 351.224(g) because 
Huacheng's margin decreases from 61.59 percent to 24.30 percent as a 
result of correcting these ministerial errors, exceeding the specified 
threshold, i.e., a change of at least five absolute percentage points 
in, but not less than 25 percent of, the antidumping duty rate 
calculated in the original (erroneous) preliminary determination.\8\
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    \7\ See the Department's memorandum, ``Less-Than-Fair-Value 
Investigation of Certain Cold-Drawn Mechanical Tubing of Carbon and 
Alloy Steel from the People's Republic of China: Allegation of 
Ministerial Errors in the Preliminary Determination,'' dated 
concurrently with this notice for the analysis performed 
(Ministerial Error Memorandum). The Department is also correcting an 
additional error made in the calculation of surrogate value ratios.
    \8\ See the Department's memorandum, ``Analysis for the Amended 
Preliminary Determination of the Less-Than-Fair-Value Investigation 
of Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel 
from the People's Republic of China,'' dated concurrently with this 
notice.
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    Huacheng is the only mandatory respondent for which Commerce 
calculated a weighted-average dumping margin. For this reason, we 
assigned Huacheng's calculated rate to the non-examined respondents 
that preliminarily received a separate rate. As part of this amended 
preliminary determination, Commerce will accordingly amend the 
estimated weighted-average dumping margin for each non-examined 
respondent that preliminarily received a separate rate to 24.30 
percent.

[[Page 353]]

Amended Cash Deposits and Suspension of Liquidation

    The collection of cash deposits and suspension of liquidation will 
be revised according to the rates calculated in this amended 
preliminary determination. Because these amended rates result in 
reduced cash deposits, they will be effective retroactively to November 
22, 2017, the date of publication of the Preliminary Determination, and 
parties will be notified of this determination, in accordance with 
section 733(d) and (f) of the Tariff Act of 1930, as amended (the Act).

Amended Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average antidumping duty margins exist:

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                                                                                                   Cash deposit
                                                                                     Weighted-     adjusted for
                   Producer                                 Exporter              average margin  subsidy offset
                                                                                     (percent)       (percent)
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Jiangsu Hongyi Steel Pipe Co., Ltd., and        Jiangsu Hongyi Steel Pipe Co.,            186.89          186.89
 Changzhou Hongren Precision Pipe                Ltd.
 Manufacturing Co., Ltd \9\.
Jiangsu Huacheng Industry Pipe Making           Zhangjiagang Huacheng Import &             24.30           24.27
 Corporation, and Zhangjiagang Salem Fine        Export Co., Ltd.
 Tubing Co., Ltd \10\.
Anji Pengda Steel Pipe Co., Ltd...............  Anji Pengda Steel Pipe Co., Ltd.           24.30           24.29
Changshu Fushilai Steel Pipe Co., Ltd.........  Changshu Fushilai Steel Pipe               24.30           24.29
                                                 Co., Ltd.
Changshu Special Shaped Steel Tube Co., Ltd...  Changshu Special Shaped Steel              24.30           24.29
                                                 Tube Co., Ltd.
Jiangsu Liwan Precision Tube Manufacturing      Suzhou Foster International Co.,           24.30           24.29
 Co., Ltd.                                       Ltd.
Zhangjiagang Precision Tube Manufacturing Co.,  Suzhou Foster International Co.,           24.30           24.29
 Ltd (Zhangjiangang Tube).                       Ltd.
Wuxi Dajin High-Precision Cold-Drawn Steel      Wuxi Huijin International Trade            24.30           24.29
 Tube Co., Ltd.                                  Co., Ltd.
Zhangjiagang Shengdingyuan Pipe-Making Co.,     Zhangjiagang Shengdingyuan Pipe-           24.30           24.29
 Ltd.                                            Making Co., Ltd.
Zhejiang Minghe Steel Pipe Co., Ltd...........  Zhejiang Minghe Steel Pipe Co.,            24.30           24.29
                                                 Ltd.
Zhejiang Dingxin Steel Tube Manufacturing Co.,  Zhejiang Dingxin Steel Tube                24.30           24.29
 Ltd.                                            Manufacturing Co., Ltd.
China-Wide Entity.............................  ................................          186.89          186.89
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Disclosure
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    \9\ In addition to the correction of the ministerial errors 
discussed above, we are correcting in this notice the company names 
listed in the Preliminary Determination to reflect the collapsed 
determinations for the two mandatory respondents. Specifically, in 
the Preliminary Determination, we inadvertently listed only the 
company name for the Huacheng and Hongyi respondent in the relevant 
producer and exporter fields. Herein, we are correcting the company 
name listed in the Preliminary Determination to include all names of 
the companies comprising the collapsed Hongyi and Huacheng entity, 
as appropriate.
    \10\ Id.
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    We intend to disclose the calculations performed to parties in this 
proceeding within five days after publication of the notice of amended 
preliminary determination in the Federal Register in accordance with 19 
CFR 351.224(b).

International Trade Commission Notification

    In accordance with section 733(f) of the Act, we will notify the 
International Trade Commission of our determination.
    This determination is issued and published pursuant to sections 
733(f) and 777(i)(1) of the Act and 19 CFR 351.224(e).

    Dated: December 27, 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

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, 304.8 mm or more in length, in actual 
outside diameters less than 331mm, 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. Other cold-finishing operations that may be 
used to produce subject merchandise include cold-rolling and cold-
sizing the tubing.
    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:

[[Page 354]]

    (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 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, 
nondestructive testing, deburring or chamfering, remains within the 
scope of this 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.

[FR Doc. 2017-28403 Filed 1-2-18; 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 January 3, 2018.
ContactKeith Haynes or Paul Stolz, AD/CVD Operations, Office III, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-5139 or, (202) 482-4474, respectively.
FR Citation83 FR 352 

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