83 FR 43653 - Large Diameter Welded Pipe From India: Preliminary Determination of Sales at Less Than Fair Value

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 166 (August 27, 2018)

Page Range43653-43656
FR Document2018-18485

The Department of Commerce (Commerce) preliminarily determines that large diameter welded pipe (welded pipe) from India 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, 2017, through December 31, 2017. Interested parties are invited to comment on this preliminary determination.

Federal Register, Volume 83 Issue 166 (Monday, August 27, 2018)
[Federal Register Volume 83, Number 166 (Monday, August 27, 2018)]
[Notices]
[Pages 43653-43656]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-18485]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-881]


Large Diameter Welded Pipe From India: Preliminary Determination 
of Sales at Less Than Fair Value

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that large diameter welded pipe (welded

[[Page 43654]]

pipe) from India 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, 2017, through December 31, 2017. Interested parties 
are invited to comment on this preliminary determination.

DATES: Applicable August 27, 2018.

FOR FURTHER INFORMATION CONTACT: Jaron Moore or Kate Johnson, AD/CVD 
Operations, Office VIII, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-3640 or (202) 
482-4929, 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). Commerce 
published the notice of initiation of this investigation on February 
20, 2018.\1\ On June 8, 2018, Commerce postponed the preliminary 
determination of this investigation; the revised deadline is now August 
20, 2018.\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 included 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 and electronic versions of the Preliminary Decision 
Memorandum are identical in content.
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    \1\ See Large Diameter Welded Pipe from Canada, Greece, India, 
the People's Republic of China, the Republic of Korea, and the 
Republic of Turkey: Initiation of Less-Than-Fair-Value 
Investigations, 83 FR 7154 (February 20, 2018) (Initiation Notice).
    \2\ See Large Diameter Welded Pipe from Canada, Greece, India, 
the People's Republic of China, the Republic of Korea, and the 
Republic of Turkey: Postponement of Preliminary Determinations in 
the Less-Than-Fair Value Investigations, 83 FR 27953 (June 15, 
2018).
    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Determination in the Less-Than-Fair-Value Investigation of Large 
Diameter Welded Pipe from India'' dated concurrently with, and 
hereby adopted by, this notice (Preliminary Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is welded pipe from 
India. For a complete description of the scope of this investigation, 
see Appendix I.

Scope Comments

    In accordance with the preamble to Commerce'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. 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\ Commerce is 
preliminarily modifying the scope language as it appeared in the 
Initiation Notice. See the revised scope in Appendix I to this notice.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997).
    \5\ See Initiation Notice.
    \6\ See Memorandum, ``Large Diameter Welded Pipe from Canada, 
Greece, India, the People's Republic of China, the Republic of 
Korea, and the Republic of Turkey: Scope Comments Decision 
Memorandum for the Preliminary Determinations,'' dated June 19, 2018 
(Preliminary Scope Decision Memorandum).
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Furthermore, pursuant to section 776(a) and (b) 
of the Act, we preliminarily have relied upon facts otherwise 
available, with adverse inferences (adverse facts available or AFA), 
for Bhushan Steel (Bhushan) and Welspun Trading Limited (Welspun), the 
respondents selected for individual examination, for their failure to 
cooperate in this investigation. As AFA, we have preliminarily assigned 
the only margin alleged in the Petition of 50.55 percent.\7\ For a full 
description of the methodology underlying the preliminary 
determination, see the Preliminary Decision Memorandum.
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    \7\ See Petitioners' Letter, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties: Large Diameter Welded Pipe 
from Canada, Greece, India, the People's Republic of China, the 
Republic of Korea, and the Republic of Turkey,'' dated January 17, 
2018 (the Petition), Volume IV, at 18.
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All-Others Rate

    Sections 733(d)(1)(ii) and 735(c)(5)(A) of the Act provide that in 
the preliminary determination Commerce shall determine an estimated 
all-others rate for all exporters and producers not individually 
examined. This rate shall be an amount equal to the weighted average of 
the estimated weighted-average dumping margins established for 
exporters and producers individually investigated, excluding any zero 
and de minimis margins, and any margins determined entirely under 
section 776 of the Act.
    In cases where no weighted-average dumping margins other than zero, 
de minimis, or those determined entirely under section 776 of the Act 
have been established for individually examined entities, in accordance 
with section 735(c)(5)(B) of the Act, Commerce may use ``any reasonable 
method to establish the estimated all-others rate for exporters and 
producers not individually investigated, including averaging the 
estimated weighted-average dumping margins determined for the exporters 
and producers individually investigated.'' Our recent practice in these 
circumstances is to average the dumping margins alleged in the petition 
and apply the result to ``all-other'' entities not individually 
examined. In this investigation, Commerce has preliminarily determined 
the estimated weighted-average dumping margin for Bhushan and Welspun 
entirely under section 776 of the Act. Therefore, as the ``all-others'' 
rate, we are assigning the sole margin in the Petition, which is 50.55 
percent. For a full description of the methodology underlying 
Commerce's analysis, see the Preliminary Decision Memorandum.

Preliminary Determination

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

[[Page 43655]]



------------------------------------------------------------------------
                                                           Cash deposit
                                             Estimated    rate (adjusted
                                             weighted-      for export
            Exporter/producer                 average        subsidies
                                          dumping margin      offset)
                                             (percent)       (percent)
------------------------------------------------------------------------
Bhushan Steel...........................           50.55           16.85
Welspun Trading Limited.................           50.55           16.85
All-Others..............................           50.55           16.85
------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, Commerce 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), Commerce will 
instruct CBP to require a cash deposit equal to the estimated weighted-
average dumping margin, or the estimated all-others rate, adjusted for 
export subsidies, as follows: (1) The cash deposit rate for the 
respondents listed above will be equal to the company-specific 
estimated weighted-average dumping margins, adjusted for export 
subsidies, as 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, adjusted for export 
subsidies, as established for that producer of the subject merchandise 
and (3) the cash deposit rate for all other producers or exporters will 
be equal to the all-others estimated weighted-average dumping margin, 
adjusted for export subsidies.
    Commerce normally adjusts the estimated weighted-average dumping 
margin by the amount of export subsidies countervailed in a companion 
countervailing duty (CVD) proceeding, when CVD provisional measures are 
in effect. Accordingly, where Commerce preliminarily made an 
affirmative determination for countervailable export subsidies,\8\ 
Commerce has offset the estimated weighted-average dumping margin by 
the appropriate CVD rate. Any such adjusted rates may be found in the 
Preliminary Determination section above.
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    \8\ See the Preliminary Decision Memorandum for further 
discussion.
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    Should provisional measures in the companion CVD investigation 
expire prior to the expiration of provisional measures in this LTFV 
investigation, Commerce will direct CBP to begin collecting estimated 
antidumping cash deposits unadjusted for countervailed export subsidies 
at the time the CVD provisional measures expire. These suspension of 
liquidation instructions will remain in effect until further notice.

Disclosure

    Normally, Commerce discloses to interested parties the calculations 
performed in connection with a preliminary determination within five 
days of its public announcement or, if there is no public announcement, 
within five days of the date of publication of this notice of 
preliminary determination in the Federal Register, in accordance with 
19 CFR 351.224(b). However, because Commerce preliminarily applied AFA 
to the mandatory respondents Bhushan and Welspun in this investigation, 
and the applied AFA rate is based solely on the Petition, in accordance 
with section 776 of the Act, there are no calculations to disclose.

Verification

    Because none of the mandatory respondents in this investigation 
responded to our requests for information, verification will not be 
conducted.

Public Comment

    Case briefs or other written comments regarding non-scope issues 
may be submitted to the Assistant Secretary for Enforcement and 
Compliance no later than 30 days after the date of publication of the 
preliminary determination. Rebuttal briefs, limited to issues raised in 
case briefs, may be submitted no later than five days after the 
deadline date for case briefs.\9\ Pursuant to 19 CFR 351.309(c)(2) and 
(d)(2), parties who submit case briefs or rebuttal briefs on any issues 
raised 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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    \9\ See 19 CFR 351.309; see also 19 CFR 351.303 (for general 
filing requirements).
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    Additionally, case briefs regarding scope issues may be submitted 
within 10 days after the date of publication of this notice in the 
Federal Register. Rebuttal briefs regarding scope issues, limited to 
those issues in the scope case briefs, may be submitted no later than 
five days after the deadline date for scope case briefs. All scope case 
and rebuttal briefs must be filed identically on the records of this 
investigation and the concurrent LTFV and CVD investigations of welded 
pipe.
    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, 
Commerce 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 the date, time, and 
location of the hearing two days before the scheduled date.

International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the International Trade Commission (ITC) of its preliminary 
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.

Final Determination

    Section 735(a)(1) of the Act and 19 CFR 351.210(b)(1) provide that 
Commerce will issue the final

[[Page 43656]]

determination within 75 days after the date of its preliminary 
determination. Accordingly, Commerce will make its final determination 
no later than 75 days after the signature date of this preliminary 
determination.

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: August 20, 2018.
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 merchandise covered by this investigation is welded carbon 
and alloy steel pipe (including stainless steel pipe), more than 
406.4 mm (16 inches) in nominal outside diameter (large diameter 
welded pipe), regardless of wall thickness, length, surface finish, 
grade, end finish, or stenciling. Large diameter welded pipe may be 
used to transport oil, gas, slurry, steam, or other fluids, liquids, 
or gases. It may also be used for structural purposes, including, 
but not limited to, piling. Specifically, not included is large 
diameter welded pipe produced only to specifications of the American 
Water Works Association (AWWA) for water and sewage pipe.
    Large diameter welded pipe used to transport oil, gas, or 
natural gas liquids is normally produced to the American Petroleum 
Institute (API) specification 5L. Large diameter welded pipe may 
also be produced to American Society for Testing and Materials 
(ASTM) standards A500, A252, or A53, or other relevant domestic 
specifications, grades and/or standards. Large diameter welded pipe 
can be produced to comparable foreign specifications, grades and/or 
standards or to proprietary specifications, grades and/or standards, 
or can be non-graded material. All pipe meeting the physical 
description set forth above is covered by the scope of this 
investigation, whether or not produced according to a particular 
standard.
    Subject merchandise also includes large diameter welded pipe 
that has been further processed in a third country, including but 
not limited to coating, painting, notching, beveling, cutting, 
punching, welding, or any other processing that would not otherwise 
remove the merchandise from the scope of the investigation if 
performed in the country of manufacture of the in-scope large 
diameter welded pipe.
    The large diameter welded pipe that is subject to this 
investigation is currently classifiable in the Harmonized Tariff 
Schedule of the United States (HTSUS) under subheadings 
7305.11.1030, 7305.11.1060, 7305.11.5000, 7305.12.1030, 
7305.12.1060, 7305.12.5000, 7305.19.1030, 7305.19.1060, 
7305.19.5000, 7305.31.4000, 7305.31.6010, 7305.31.6090, 7305.39.1000 
and 7305.39.5000. While the HTSUS subheadings are provided for 
convenience and customs purposes, the written description of the 
scope of this investigation 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. Application of Facts Available and Use of Adverse Inference
    A. Application of Facts Available
    B. Application of Facts Available With an Adverse Inference
    C. Preliminary Estimated Weighted-Average Dumping Margin Based 
on Adverse Facts Available
    D. Corroboration of Secondary Information
VI. All-Others Rate
VII. Adjustments to Cash Deposit Rates for Export Subsidies
VIII. Conclusion

[FR Doc. 2018-18485 Filed 8-24-18; 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 August 27, 2018.
ContactJaron Moore or Kate Johnson, AD/CVD Operations, Office VIII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-3640 or (202) 482-4929, respectively.
FR Citation83 FR 43653 

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