[Federal Register Volume 77, Number 151 (Monday, August 6, 2012)]
[Notices]
[Pages 46713-46715]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-19168]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-489-502]


Circular Welded Carbon Steel Pipes and Tubes From Turkey: Final 
Results of Countervailing Duty Administrative Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

SUMMARY: On April 2, 2012, the Department of Commerce (the Department) 
published in the Federal Register its preliminary results of 
administrative review of the countervailing duty (CVD) order on certain 
welded carbon steel standard pipe from Turkey for the January 1, 2010, 
through December 31, 2010, period of review (POR).\1\ The Department 
preliminarily found that the following producers/exporters of subject 
merchandise covered by this review had de minimis net subsidy rates for 
the POR: (1) Borusan Group, Borusan Mannesmann Boru Sanayi ve Ticaret 
A.S. (BMB), and Borusan Istikbal Ticaret T.A.S. (Istikbal) 
(collectively, Borusan); and (2) Tosyali dis Ticaret A.S. (Tosyali) and 
Toscelik Profil ve Sac Endustrisi

[[Page 46714]]

A.S. (Toscelik Profil), (collectively, Toscelik).\2\ The Department has 
now completed the administrative review in accordance with section 
751(a) of the Tariff of 1930, as amended (the Act). Based on our 
analysis of comments received, the Department has not revised the net 
subsidy rate for Borusan and Toscelik. Further discussion of our 
analysis of the comments received is provided in the accompanying 
issues and decision memorandum.\3\ The final net subsidy rate for 
Borusan and Toscelik is listed below in the ``Final Results of Review'' 
section.
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    \1\ See Certain Welded Carbon Steel Standard Pipe From Turkey: 
Preliminary Results of Countervailing Duty Administrative Review, 77 
FR 19623 (April 2, 2012) (Preliminary Results).
    \2\ The review of Erbosan Erciyas Boru Sanayi ve Ticaret A.S. 
(Erbosan) was rescinded. See Certain Welded Carbon Steel Standard 
Pipe and Tube from Turkey: Notice of Rescission of Countervailing 
Duty Administrative Review, In Part, 77 FR 6542 (February 8, 2012).
    \3\ See Issues and Decision Memorandum from Christian Marsh, 
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, to Paul Piquado, Assistant Secretary for Import 
Administration, concerning the Final Results of Administrative 
Review of the Countervailing Duty Order on Certain Welded Carbon 
Steel Standard Pipe from Turkey (Decision Memorandum).

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DATES: Effective Date: August 6, 2012.

FOR FURTHER INFORMATION CONTACT: Jolanta Lawska at 202-482-8362 (for 
Borusan) and Gayle Longest at 202-482-3338 (for Toscelik), AD/CVD 
Operations, Office 3, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230.

SUPPLEMENTARY INFORMATION:

Background

    On March 7, 1986, the Department published in the Federal Register 
the CVD order on certain welded carbon steel pipe and tube products 
from Turkey.\4\ On April 2, 2012, the Department published in the 
Federal Register the preliminary results for this review.\5\ In the 
Preliminary Results, we invited interested parties to submit case 
briefs commenting on the preliminary results or to request a 
hearing.\6\ On April 20, 2012, we issued Memorandum to the File from 
Jolanta Lawska, Trade Analyst, AD/CVD Operations, Office 3, regarding 
``Case and Rebuttal Briefs Schedule,'' (April 20, 2012). On May 18, 
2012, we received case briefs from Borusan, Toscelik and Wheatland Tube 
Company (Wheatland). On May 23, 2012, we received rebuttal briefs from 
United States Steel Corporation (U.S. Steel) and Wheatland. We did not 
hold a hearing in this review, as one was not requested.
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    \4\ See Countervailing Duty Order: Certain Welded Carbon Steel 
Pipe and Tube Products From Turkey, 51 FR 7984 (March 7, 1986).
    \5\ See Preliminary Results, 77 FR 19623.
    \6\ Petitioners in this review are Wheatland Tube Company, 
Allied Tube and Conduit Corporation and TMK IPSCO, and United States 
Steel Corporation (collectively, Petitioners).
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Scope of Order

    The products covered by this order are certain welded carbon steel 
pipe and tube with an outside diameter of 0.375 inch or more, but not 
over 16 inches, of any wall thickness (pipe and tube) from Turkey. 
These products are currently provided for under the Harmonized Tariff 
Schedule of the United States (HTSUS) as item numbers 7306.30.10, 
7306.30.50, and 7306.90.10. Although the HTSUS subheadings are provided 
for convenience and customs purposes, the written description of the 
merchandise is dispositive.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this administrative review are addressed in the Decision Memorandum, 
dated concurrently with this notice and which is hereby adopted by this 
notice. A list of the issues which parties have raised, and to which we 
have responded in the Decision Memorandum, is attached to this notice 
as an Appendix. The Decision Memorandum is a public document and is on 
file electronically via Import Administration's Antidumping and 
Countervailing Duty Centralized Electronic Service System (IA ACCESS). 
IA ACCESS is available in the Central Records Unit, main Commerce 
Building, Room 7046. In addition, a complete version of the Decision 
Memorandum can be accessed directly on the Web at http://ia.ita.doc.gov/frn/. The signed Decision Memorandum and electronic 
version of the Decision Memorandum are identical in content.

Final Results of Review

    As noted above, the Department received comments concerning the 
preliminary results. Consistent with the Preliminary Results, we 
continue to find that Borusan and Toscelik had de minimis net 
countervailable subsidy rates for the POR. In accordance with section 
751(a)(1)(A) of the Act, we calculated a total net countervailable 
subsidy rate of 0.22 percent ad valorem for Borusan and 0.35 percent 
for Toscelik. Pursuant to 19 CFR 351.106(c), these calculated rates are 
de minimis.

Assessment Rates/Cash Deposits

    The Department intends to issue assessment instructions to U.S. 
Customs and Border Protection (CBP) 15 days after the date of 
publication of these final results, to liquidate shipments of subject 
merchandise by Borusan and Toscelik entered, or withdrawn from 
warehouse, for consumption on or after January 1, 2010, through 
December 31, 2010, without regard to countervailing duties because a de 
minimis subsidy rate was calculated for each company. We will also 
instruct CBP not to collect cash deposits of estimated countervailing 
duties on shipments of the subject merchandise by Borusan and Toscelik 
entered, or withdrawn from warehouse, for consumption on or after the 
date of publication of the final results of this review.
    For all non-reviewed companies, we will instruct CBP to continue to 
collect cash deposits at the most recent company-specific or country-
wide rate applicable to the company. Accordingly, the cash deposit 
rates that will be applied to companies covered by this order, but not 
examined in this review, are those established in the most recently 
completed administrative proceeding for each company. The cash deposit 
rates for all companies not covered by this review are not changed by 
the results of this review, and remain in effect until further notice.

Return or Destruction of Proprietary Information

    This notice also serves as a reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of the return/destruction of APO materials or conversion 
to judicial protective order is hereby requested. Failure to comply 
with the regulations and the terms of an APO is a sanctionable 
violation.
    We are issuing and publishing these final results in accordance 
with sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: July 30, 2012.
Paul Piquado,
Assistant Secretary for Import Administration.

Appendix I

Methodology and Background Information

Subsidies Valuation Information

    A. Attribution of Subsidies.
    B. Benchmark Interest Rates.

Analysis of Programs

I. Programs Determined To Be Countervailable

    A. Deduction from Taxable Income for Export Revenue.
    B. Foreign Trade Companies Short-Term Export Credits.
    C. Pre-Export Credits.
    D. Pre-Shipment Export Credits.

[[Page 46715]]

    E. Short-Term Pre-Shipment Rediscount Program.
    F. Law 5084: Withholding of Income Tax on Wages and Salaries.
    G. Law 5084: Incentive for Employers' Share in Insurance 
Premiums.
    H. Law 5084: Allocation of Free Land.
    I. Law 5084: Energy Support.
    J. OIZ: Exemption from Property Tax.

II. Programs Determined To not Confer Countervailable Benefits

    A. Inward Processing Certificate Exemption.
    B. Investment Encouragement Program (IEP): Customs Duty 
Exemptions.

III. Programs Determined To not Be Used

    A. Post-Shipment Export Loans.
    B. Export Credit Bank of Turkey Buyer Credits.
    C. Subsidized Turkish Lira Credit Facilities.
    D. Subsidized Credit for Proportion of Fixed Expenditures.
    E. Subsidized Credit in Foreign Currency.
    F. Regional Subsidies.
    G. VAT Support Program (Incentive Premium on Domestically 
Obtained Goods).
    H. IEP: VAT Exemptions.
    I. IEP: Reductions in Corporate Taxes.
    J. IEP: Interest Support.
    K. IEP: Social Security Premium Support.
    L. IEP: Land Allocation.
    M. National Restructuring Program.
    N. Regional Incentive Scheme: Reduced Corporate Tax Rates.
    O. Regional Incentive Scheme: Social Security Premium 
Contribution for Employees.
    P. Regional Incentive Scheme: Allocation of State Land.
    Q. Regional Incentive Scheme: Interest Support.
    R. OIZ: Waste Water Charges.
    S. OIZ: Exemptions From Customs Duties, VAT, and Payments for 
Public Housing Fund, for Investments for Which an Income Certificate 
Is Received.
    T. OIZ: Credits for Research and Development Investments, 
Environmental Investments, Certain Technology Investments, Certain 
``Regional Development'' Investments, and Investments Moved From 
Developed Regions to ``Regions of Special Purpose''.
    U. Provision of Buildings and Land Use Rights for Less Than 
Adequate Remuneration Under the Free Zones Law.
    V. Corporate Income Tax Exemption Under the Free Zones Law.
    W. Stamp Duties and Fees Exemptions Under the Free Zones Law.
    X. Customs Duties Exemptions Under the Free Zones Law.
    Y. Value-Added Tax Exemptions Under the Free Zones Law.
    Z. OIZ: Exemption From Building and Construction Charges.
    AA. OIZ: Exemption From Amalgamation and Allotment Transaction 
Charges.

Analysis of Comments

Borusan

    Comment 1: Whether the Department Should Grant an Offset to the 
Gross Subsidy Found on Turkish Eximbank Loans for the Bank Guarantee 
Fees.

Toscelik

    Comment 2: Whether the Denominator for Benefits at the Osmaniye 
Plant Should Include Sale of Billets.
    Comment 3: Whether the GOT's Energy Subsidies Under Law 5084 
Were Properly Attributed to the Subject Merchandise.
    Comment 4: Whether the Benchmark Price Used to Calculate 
Toscelik's Benefit from the Provision of Land for Less Than Adequate 
Remuneration in the Organized Industrial Zone (OIZ) Should be 
Revised.
    Comment 5: Whether the Department Correctly Attributed Subsidies 
Received by Toscelik in the OIZ to Subject Merchandise and Should 
Continue To Do So in the Final Results.

[FR Doc. 2012-19168 Filed 8-3-12; 8:45 am]
BILLING CODE 3510-DS-P