83 FR 50892 - Heavy Walled Rectangular Welded Carbon Steel Pipes and Tubes From the Republic of Korea: Preliminary Results of Antidumping Duty Administrative Review and Preliminary Determination of No Shipments; 2016-2017

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 196 (October 10, 2018)

Page Range50892-50894
FR Document2018-21980

The Department of Commerce (Commerce) preliminarily determines that sales of heavy walled rectangular welded carbon steel pipes and tubes (HWR pipes and tubes) from the Republic of Korea (Korea) have been made below normal value. Additionally, Commerce preliminarily determines that a company for which we initiated a review had no shipments during the period of review (POR). We invite interested parties to comment on these preliminary results.

Federal Register, Volume 83 Issue 196 (Wednesday, October 10, 2018)
[Federal Register Volume 83, Number 196 (Wednesday, October 10, 2018)]
[Notices]
[Pages 50892-50894]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-21980]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-880]


Heavy Walled Rectangular Welded Carbon Steel Pipes and Tubes From 
the Republic of Korea: Preliminary Results of Antidumping Duty 
Administrative Review and Preliminary Determination of No Shipments; 
2016-2017

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that sales of heavy walled rectangular welded carbon steel pipes and 
tubes (HWR pipes and tubes) from the Republic of Korea (Korea) have 
been made below normal value. Additionally, Commerce preliminarily 
determines that a company for which we initiated a review had no 
shipments during the period of review (POR). We invite interested 
parties to comment on these preliminary results.

DATES: Applicable October 10, 2018.

FOR FURTHER INFORMATION CONTACT: Alice Maldonado or Whitley Herndon, 
AD/CVD Operations, Office II, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-4682 or (202) 
482-6274, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    Commerce is conducting an administrative review of the antidumping 
duty order on HWR pipes and tubes from Korea. The notice of initiation 
of this administrative review was published on November 13, 2017.\1\ 
This review covers 14 producers and exporters of the subject 
merchandise. The period of review is March 1, 2016 through August 31, 
2017. Commerce selected two mandatory respondents for individual 
examination: Dong-A Steel Company (DOSCO) and HiSteel Co., Ltd 
(HiSteel). In May 2018, Commerce extended the preliminary results of 
this review to no later than October 3, 2018.\2\
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 82 FR 52268 (November 13, 2017).
    \2\ See Memorandum, ``Heavy Walled Rectangular Welded Carbon 
Steel Pipes and Tubes from the Republic of Korea: Extension of 
Deadline for Preliminary Results of Antidumping Duty Administrative 
Review,'' dated May 10, 2018. In this memorandum, we noted that 
Commerce exercised its discretion to toll all deadlines affected by 
the closure of the Federal Government from January 20 through 
January 22, 2018. See Memorandum, ``Deadlines Affected by the 
Shutdown of the Federal Government,'' dated January 23, 2018. As a 
result, the revised deadline for the preliminary results became 
October 3, 2018.
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Scope of the Order

    The merchandise subject to the order is certain heavy walled 
rectangular welded steel pipes and tubes of rectangular (including 
square) cross section, having a nominal wall thickness of not less than 
4 mm.\3\ The merchandise includes, but is not limited to, the American 
Society for Testing and Materials (ASTM) A-500, grade B specifications, 
or comparable domestic or foreign specifications. Included products are 
those in which: (1) Iron predominates, by weight, over each of the 
other contained elements; (2) the carbon content is 2 percent or less, 
by weight; and (3) none of the elements below exceeds the quantity, by 
weight, respectively indicated:
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    \3\ For a complete description of the scope of the Order, see 
Memorandum, ``Decision Memorandum for the Preliminary Results of the 
2016-2017 Administrative Review of the Antidumping Duty Order on 
Heavy Walled Rectangular Welded Carbon Steel Pipes and Tubes from 
Korea,'' dated concurrently with, and hereby adopted by, this notice 
(Preliminary Decision Memorandum).
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     2.50 percent of manganese, or
     3.30 percent of silicon, or
     1.50 percent of copper, or
     1.50 percent of aluminum, or
     1.25 percent of chromium, or
     0.30 percent of cobalt, or
     0.40 percent of lead, or
     2.0 percent of nickel, or
     0.30 percent of tungsten, or
     0.80 percent of molybdenum, or
     0.10 percent of niobium (also called columbium), or
     0.30 percent of vanadium, or
     0.30 percent of zirconium.
    The product is currently classified under following Harmonized 
Tariff Schedule of the United States (HTSUS) item numbers 7306.61.1000. 
Subject merchandise may also be classified under 7306.61.3000. Although 
the HTSUS numbers and ASTM specification are provided for convenience 
and for customs purposes, the written product description remains 
dispositive.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(B) and (2) of the Tariff Act of 1930, as amended (the Act). 
Export price and constructed export price are calculated in accordance 
with section 772 of the Act. Normal value is calculated in accordance 
with section 773 of the Act.
    For a full description of the methodology underlying our 
conclusions, see the Preliminary

[[Page 50893]]

Decision Memorandum. 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 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. A list of the 
topics discussed in the Preliminary Decision Memorandum is attached as 
an Appendix to this notice.

Preliminary Determination of No Shipments

    Among the companies under review, one company, SeAH Steel 
Corporation (SeAH), properly filed a statement reporting that it made 
no shipments of subject merchandise to the United States during the 
POR. Based on the certification submitted by SeAH and our analysis of 
U.S. Customs and Border Protection (CBP) information, we preliminarily 
determine that SeAH had no shipments during the POR.\4\ Consistent with 
its practice, Commerce finds that it is not appropriate to 
preliminarily rescind the review with respect to this company but, 
rather, to complete the review with respect to it and issue appropriate 
instructions to CBP based on the final results of this review.
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    \4\ See SeAH's Letter re: Administrative Review of the 
Antidumping Order on Heavy Walled Rectangular Welded Carbon Steel 
Pipes and Tubes from the Republic of Korea for the 2016-17 Review 
Period--No Shipments Letter, dated December 13, 2017.
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Preliminary Results of the Review

    As a result of this review, we preliminarily determine that 
weighted-average dumping margins exist for the respondents for the 
period March 1, 2016, through August 31, 2017, as follows:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                    Exporter/producer                         dumping
                                                              margin
                                                             (percent)
------------------------------------------------------------------------
Dong-A Steel Company....................................           30.61
HiSteel Co., Ltd........................................            5.64
------------------------------------------------------------------------

    Review-Specific Average Rate Applicable to the Following Companies: 
\5\
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    \5\ This rate is based on the rates for the respondents that 
were selected for individual review, excluding rates that are zero, 
de minimis or based entirely on facts available. See section 
735(c)(5)(A) of the Act.

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                    Exporter/Producer                         dumping
                                                              margin
                                                             (percent)
------------------------------------------------------------------------
Ahshin Pipe & Tube Company..............................           18.86
Bookook Steel Co., Ltd..................................           18.86
Dongbu Steel Co., Ltd...................................           18.86
Husteel Co., Ltd........................................           18.86
Hyundai Steel Pipe Company..............................           18.86
Hyundai Steel Co........................................           18.86
Miju Steel Manufacturing Co., Ltd.......................           18.86
NEXTEEL Co., Ltd........................................           18.86
Sam Kang Industries Co., Ltd............................           18.86
SeAH Steel Corporation..................................               *
Kukje Steel Co., Ltd....................................           18.86
Yujin Steel Industry Co. Ltd............................           18.86
------------------------------------------------------------------------
* No shipments or sales subject to this review.

Disclosure and Public Comment

    Commerce intends to disclose the calculations performed in 
connection with these preliminary results to interested parties within 
five days after the date of publication of this notice.\6\ Interested 
parties may submit case briefs to Commerce no later than 30 days after 
the date of publication of this notice.\7\ Rebuttal briefs, limited to 
issues raised in the case briefs, may be filed no later than five days 
after the time limit for filing case briefs.\8\ 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.\9\ Case and rebuttal 
briefs should be filed using ACCESS.\10\
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    \6\ See 19 CFR 351.224(b).
    \7\ See 19 CFR 351.309(c).
    \8\ See 19 CFR 351.309(d).
    \9\ See 19 CFR 351.309(c)(2) and (d)(2).
    \10\ See 19 CFR 351.303.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, filed electronically via 
ACCESS. An electronically-filed document must be received successfully 
in its entirety by ACCESS by 5 p.m. Eastern Time within 30 days after 
the date of publication of this notice.\11\ Hearing requests should 
contain: (1) The party's name, address, and telephone number; (2) the 
number of participants; and (3) a list of issues to be discussed. 
Issues raised in the hearing will be limited to issues raised in the 
briefs. If

[[Page 50894]]

a request for a hearing is made, parties will be notified of the time 
and date for the hearing to be held at the U.S. Department of Commerce, 
1401 Constitution Avenue NW, Washington, DC 20230.\12\
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    \11\ See 19 CFR 351.310(c).
    \12\ See 19 CFR 351.310(d).
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    Commerce intends to issue the final results of this administrative 
review, including the results of its analysis raised in any written 
briefs, not later than 120 days after the publication date of this 
notice, pursuant to section 751(a)(3)(A) of the Act, unless otherwise 
extended.\13\
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    \13\ See Section 751(a)(3)(A) of the Act.
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Assessment Rates

    Upon completion of the administrative review, Commerce shall 
determine, and CBP shall assess, antidumping duties on all appropriate 
entries.
    Pursuant to 19 CFR 351.212(b)(1), where DOSCO and HiSteel reported 
the entered value of their U.S. sales, we calculated importer-specific 
ad valorem duty assessment rates based on the ratio of the total amount 
of dumping calculated for the examined sales to the total entered value 
of the sales for which entered value was reported. Where the 
respondents did not report entered value, we calculated the entered 
value in order to calculate the assessment rate. Where either the 
respondent's weighted-average dumping margin is zero or de minimis 
within the meaning of 19 CFR 351.106(c)(1), or an importer-specific 
rate is zero or de minimis, we will instruct CBP to liquidate the 
appropriate entries without regard to antidumping duties. We intend to 
instruct CBP to take into account the ``provisional measures deposit 
cap,'' in accordance with 19 CFR 351.212(d).
    For the companies which were not selected for individual review, we 
will assign an assessment rate based on the average \14\ of the cash 
deposit rates calculated for DOSCO and HiSteel, excluding any which are 
de minimis or determined entirely based on adverse facts available. The 
final results of this review shall be the basis for the assessment of 
antidumping duties on entries of merchandise covered by the final 
results of this review and for future deposits of estimated duties, 
where applicable.
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    \14\ This rate was calculated as discussed in footnote 4, above.
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    Commerce's ``automatic assessment'' practice will apply to entries 
of subject merchandise during the POR produced by companies included in 
these final results of review for which the reviewed companies did not 
know that the merchandise they sold to the intermediary (e.g., a 
reseller, trading company, or exporter) was destined for the United 
States. In such instances, we will instruct CBP to liquidate unreviewed 
entries at the all-others rate if there is no rate for the intermediate 
company(ies) involved in the transaction.\15\
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    \15\ For a full discussion of this practice, see Antidumping and 
Countervailing Duty Proceedings: Assessment of Antidumping Duties, 
68 FR 23954 (May 6, 2003).
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    We intend to issue liquidation instructions to CBP 15 days after 
publication of the final results of this review.

Cash Deposit Requirements

    The following deposit requirements will be effective for all 
shipments of the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the publication date of the 
final results of this administrative review, as provided by section 
751(a)(2)(C) of the Act: (1) The cash deposit rate for the exporters 
listed above will be that established in the final results of this 
review, except if the rate is less than 0.50 percent and, therefore, de 
minimis within the meaning of 19 CFR 351.106(c)(1), in which case the 
cash deposit rate will be zero; (2) for previously investigated 
companies not participating in this review, the cash deposit will 
continue to be the company-specific rate published for the most 
recently completed segment; (3) if the exporter is not a firm covered 
in this review, or the original less-than-fair-value (LTFV) 
investigation, but the manufacturer is, the cash deposit rate will be 
the rate established for the most recent segment for the manufacturer 
of the merchandise; and (4) the cash deposit rate for all other 
manufacturers or exporters will continue to be 3.24 percent, the all-
others rate made effective by the LTFV investigation.\16\ These deposit 
requirements, when imposed, shall remain in effect until further 
notice.
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    \16\ See Heavy Walled Rectangular Welded Carbon Steel Pipes and 
Tubes from the Republic of Korea, Mexico, and the Republic of 
Turkey: Antidumping Duty Orders, 81 FR 62865, 62866 (September 13, 
2016).
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Notification to Importers

    This notice also serves as a preliminary reminder to importers of 
their responsibility under 19 CFR 351.402(f) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this review period. Failure to comply 
with this requirement could result in Commerce's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    We are issuing and publishing these results in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.221(b)(4).

    Dated: October 3, 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--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Companies Not Selected for Individual Examination
V. Discussion of the Methodology
    a. Date of Sale
    b. Determination of Comparison Method
    c. Results of Differential Pricing Analysis
    d. Product Comparisons
    e. Export Price/Constructed Export Price
    f. Normal Value
    i. Particular Market Situation
    ii. Home Market Viability and Comparison Market
    iii. Level of Trade
    iv. Affiliated-Party Transactions and Arm's-Length Test
    v. Cost of Production Analysis
    1. Cost Averaging Methodology
    a. Significant of Cost Changes
    b. Linkage Between Sales and Cost Information
    2. Calculation of COP
    3. Test of Comparison Market Sales Prices
    4. Results of the COP Test
    vi. Calculation of Normal Value Based on Comparison Market 
Prices
    vii. Calculation of Normal Value Based on Constructed Value
VI. Currency Conversion
VII. Recommendation

[FR Doc. 2018-21980 Filed 10-9-18; 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 October 10, 2018.
ContactAlice Maldonado or Whitley Herndon, AD/CVD Operations, Office II, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-4682 or (202) 482-6274, respectively.
FR Citation83 FR 50892 

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