[Federal Register Volume 79, Number 37 (Tuesday, February 25, 2014)]
[Notices]
[Pages 10475-10477]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-04119]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-944]


Certain Oil Country Tubular Goods From the People's Republic of 
China: Partial Rescission and Preliminary Results of Countervailing 
Duty Administrative Review; 2012

AGENCY: Enforcement and Compliance, formerly Import Administration, 
International Trade Administration, Department of Commerce.
SUMMARY: The Department of Commerce (the Department) is conducting an 
administrative review of the countervailing duty order on certain oil 
country tubular goods (OCTG) from the People's Republic of China (PRC). 
The period of review (POR) is January 1, 2012, through December 31, 
2012. We preliminarily determine that Wuxi Seamless Oil Pipe Co., Ltd. 
(Wuxi) and Jiangsu Chengde Steel Tube Share Co., Ltd. (Jiangsu Chengde) 
received countervailable subsidies during the POR. We invite interested 
parties to comment on these preliminary results.

DATES: Effective Date: February 25, 2014.

FOR FURTHER INFORMATION CONTACT: Christopher Siepmann, Joseph Shuler, 
or Sergio Balbontin, AD/CVD Operations, Office I, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue NW., Washington, DC 
20230; telephone: (202) 482-7958, (202) 482-1293, (202) 482-6478, 
respectively.

Scope of the Order

    The scope of the order consists of OCTG.\1\ The merchandise subject 
to the order is currently classified in the Harmonized Tariff Schedule 
of the United States (HTSUS) under item numbers: 7304.29.10.10, 
7304.29.10.20, 7304.29.10.30, 7304.29.10.40, 7304.29.10.50, 
7304.29.10.60, 7304.29.10.80, 7304.29.20.10, 7304.29.20.20, 
7304.29.20.30, 7304.29.20.40, 7304.29.20.50, 7304.29.20.60, 
7304.29.20.80, 7304.29.31.10, 7304.29.31.20, 7304.29.31.30, 
7304.29.31.40, 7304.29.31.50, 7304.29.31.60, 7304.29.31.80, 
7304.29.41.10, 7304.29.41.20, 7304.29.41.30, 7304.29.41.40, 
7304.29.41.50, 7304.29.41.60, 7304.29.41.80, 7304.29.50.15, 
7304.29.50.30, 7304.29.50.45, 7304.29.50.60, 7304.29.50.75, 
7304.29.61.15, 7304.29.61.30, 7304.29.61.45, 7304.29.61.60, 
7304.29.61.75, 7305.20.20.00, 7305.20.40.00, 7305.20.60.00, 
7305.20.80.00, 7306.29.10.30, 7306.29.10.90, 7306.29.20.00, 
7306.29.31.00, 7306.29.41.00, 7306.29.60.10, 7306.29.60.50, 
7306.29.81.10, and 7306.29.81.50.
---------------------------------------------------------------------------

    \1\ On 02/07/2014, the Department issued a final scope 
determination that seamless unfinished OCTG that are produced in the 
PRC and further processed into certain grades of finished OCTG by 
particular finishing processes (indicated below) are within the 
scopes of the antidumping and countervailing duty orders on OCTG 
from the PRC, regardless of the country in which the further 
processing occurs. Because the imported finished products do not 
undergo any significant physical and chemical changes from, and are 
of the same class or kind of merchandise as seamless unfinished OCTG 
produced in the PRC, the Department found these products to be 
within the scope of the order. Specifically, the Department found 
seamless unfinished OCTG manufactured in the PRC and finished in 
countries other than the United States and the PRC (i.e., third 
countries) are within the scope of the order where (a) the finishing 
consists of heat treatment by quenching and tempering, upsetting and 
threading (with integral joint), or threading and coupling; and (b) 
the products are made to the following specifications and grades: 
API specification 5CT, grades P-110, T-95 and Q-125.
---------------------------------------------------------------------------

    The OCTG coupling stock covered by the order may also enter under 
the following HTSUS item numbers: 7304.39.00.24, 7304.39.00.28, 
7304.39.00.32, 7304.39.00.36, 7304.39.00.40, 7304.39.00.44, 
7304.39.00.48, 7304.39.00.52, 7304.39.00.56, 7304.39.00.62, 
7304.39.00.68, 7304.39.00.72, 7304.39.00.76, 7304.39.00.80, 
7304.59.60.00,, 7304.59.80.15, 7304.59.80.20, 7304.59.80.25, 
7304.59.80.30, 7304.59.80.35, 7304.59.80.40, 7304.59.80.45, 
7304.59.80.50, 7304.59.80.55, 7304.59.80.60, 7304.59.80.65, 
7304.59.80.70, and 7304.59.80.80.
    Although the HTSUS subheadings are provided for convenience and 
customs purposes, the written description, available in Certain Oil 
Country Tubular Goods From the People's Republic of China: Amended 
Final Affirmative Countervailing Duty Determination and Countervailing 
Duty Order, 75 FR 3203 (January 20, 2010), remains dispositive.
    A full description of the scope of the order is contained in the 
memorandum from Christian Marsh, Deputy Assistant Secretary for 
Antidumping and Countervailing Duty Operations to Paul Piquado, 
Assistant Secretary for Enforcement and Compliance, ``Decision 
Memorandum for Preliminary Results of Countervailing Duty 
Administrative Review: Certain Oil Country Tubular Goods from the 
People's Republic of China,'' dated concurrently with this notice 
(Preliminary Decision Memorandum), which is hereby adopted by 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 (IA ACCESS). 
IA ACCESS is available to registered users at http://iaaccess.trade.gov 
and in the Central Records Unit, room 7046 of the main Department of 
Commerce building. In addition, a complete version of the Preliminary 
Decision Memorandum can be accessed directly on the internet at http://www.trade.gov/enforcement/. The signed Preliminary Decision Memorandum 
and the electronic versions of the Preliminary Decision Memorandum are 
identical in content.

[[Page 10476]]

Partial Rescission of the 2012 Administrative Review

    On May 29, 2013, United States Steel Corporation timely withdrew 
its request for the 2012 administrative review with respect to all 
companies except Wuxi and Jiangsu Chengde.\2\ This withdrawal affects 
over 525 PRC producers/exporters of the subject merchandise covered in 
the Initiation Notice.\3\ In accordance with 19 CFR 351.213(d)(1),\4\ 
and consistent with our practice,\5\ we are rescinding this review in 
its entirety with the exception of Wuxi and Jiangsu Chengde.
---------------------------------------------------------------------------

    \2\ See letter from Petitioner, ``Certain Oil Country Tubular 
Goods from the People's Republic of China: Partial Withdrawal of 
Request for Administrative Review'' dated May 29, 2013.
    \3\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews and Request for Revocation in Part, 78 FR 
13631 (February 28, 2013) (Initiation Notice).
    \4\ In accordance with 19 CFR 351.213(d)(1), the Department will 
rescind an administrative review ``if a party that requested the 
review withdraws the request within 90 days of the date of 
publication of notice of initiation of the requested review.'' The 
instant review was initiated on February 28, 2013. Therefore, the 
deadline to withdraw review requests was May 29, 2013. Thus, 
Petitioners' withdrawal request is timely.
    \5\ See, e.g., Brass Sheet and Strip from Germany: Notice of 
Rescission of Antidumping Duty Administrative Review, 73 FR 49170 
(August 20, 2008); see also Certain Lined Paper Products from India: 
Notice of Partial Rescission of Antidumping Duty Administrative 
Review and Extension of Time Limit for the Preliminary Results of 
Antidumping Duty Administrative Review, 74 FR 21781 (May 11, 2009).
---------------------------------------------------------------------------

Methodology

    The Department has conducted this review in accordance with section 
751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found countervailable, we preliminarily 
determine that there is a subsidy, i.e., a government-provided 
financial contribution by an ``authority'' that gives rise to a benefit 
to the recipient, and that the subsidy is specific.\6\
---------------------------------------------------------------------------

    \6\ See sections 771(5)(B)and (D) of the Act regarding financial 
contribution; section 771(5)(E) of the Act regarding benefit; and, 
section 771(5A) of the Act regarding specificity.
---------------------------------------------------------------------------

    In making these findings, we relied, in part, on facts available 
and, because one or more respondents did not act to the best of their 
ability to respond to the Department's requests for information, we 
have drawn an adverse inference in selecting from among the facts 
otherwise available.\7\ For further information, see ``Use of Facts 
Otherwise Available and Adverse Inferences'' in the Preliminary 
Decision Memorandum.
---------------------------------------------------------------------------

    \7\ See sections 776(a) and (b) of the Act.
---------------------------------------------------------------------------

    Finally, the Department was not able to make a preliminary 
determination of countervailability for certain programs because it 
requires additional information.\8\ We intend to seek that information 
prior to our final results, and issue a post-preliminary determination 
with the Department's findings with regard to those programs.
---------------------------------------------------------------------------

    \8\ See Preliminary Decision Memorandum at ``Analysis of 
Programs--II. Programs For Which More Information is Required.''
---------------------------------------------------------------------------

    For a full description of the methodology underlying our 
conclusions, see Preliminary Decision Memorandum.

Preliminary Results of the Review

    In accordance with 19 CFR 351.221(b)(4)(i), we calculated 
individual subsidy rates for Wuxi and Jiangsu Chengde for the period 
January 1, 2012, through December 31, 2012.
    We preliminarily find the net subsidy rates for the producers/
exporters under review to be as follows:

------------------------------------------------------------------------
                                                                  Net
                                                                subsidy
                      Producer/exporter                          rate
                                                               (percent)
------------------------------------------------------------------------
Wuxi Seamless Oil Pipe Co., Ltd.; Bazhou Seamless Oil Pipes        31.78
 Co. Ltd.; Liaoyang Seamless Oil Pipes Co. Ltd.; Mengfeng
 Special Steel Co. Ltd.; Songyuan Seamless Oil Pipes Co. Ltd
Jiangsu Chengde Steel Tube Share Co., Ltd...................        1.49
------------------------------------------------------------------------

Disclosure and Public Comment

    The Department will disclose to parties to this proceeding the 
calculations performed in reaching the preliminary results within five 
days of the date of publication of these preliminary results.\9\ Due to 
the anticipated timing of the release of post-preliminary analysis 
memoranda, interested parties may submit written comments (case briefs) 
for this administrative review no later than one week after the 
issuance of the last post-preliminary analysis memorandum, and rebuttal 
comments (rebuttal briefs) within five days after the time limit for 
filing case briefs.\10\ Pursuant to 19 CFR 351.309(d)(2), rebuttal 
briefs must be limited to issues raised in the case briefs. Parties who 
submit arguments are requested to submit with the argument: (1) A 
statement of the issue; (2) a brief summary of the argument; and (3) a 
table of authorities.
---------------------------------------------------------------------------

    \9\ See 19 CFR 351.224(b).
    \10\ See 19 CFR 351.309(c)(1)(ii) and 351.309(d)(1).
---------------------------------------------------------------------------

    Interested parties who wish to request a hearing, or to participate 
if one is requested, 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.\11\ 
Requests should contain the party's name, address, and telephone 
number, the number of participants, and a list of the issues to be 
discussed. If a request for a hearing is made, we will inform parties 
of the scheduled date for the hearing which will be held at the U.S. 
Department of Commerce, 14th Street and Constitution Avenue NW, 
Washington, DC 20230, at a time and location to be determined.\12\ 
Parties should confirm by telephone the date, time, and location of the 
hearing.
---------------------------------------------------------------------------

    \11\ See 19 CFR 351.310(c).
    \12\ See 19 CFR 351.310.
---------------------------------------------------------------------------

    Parties are reminded that briefs and hearing requests are to be 
filed electronically using IA ACCESS and that electronically filed 
documents must be received successfully in their entirety by 5 p.m. 
Eastern Time on the due date.
    Unless the deadline is extended pursuant to section 751(a)(3)(A) of 
the Act, the Department will issue the final results of this 
administrative review, including the results of our analysis of the 
issues raised by the parties in their comments, within 120 days after 
issuance of these preliminary results.

Assessment Rates

    For the rescinded companies, countervailing duties shall be 
assessed at rates equal to the cash deposit of estimated countervailing 
duties required at the time of entry, or withdrawal from warehouse, for 
consumption, during the period January 1, 2012, through December 31, 
2012, in accordance with 19 CFR 351.212(c)(1)(i). The Department 
intends to issue appropriate assessment instructions directly to U.S. 
Customs and Border Protection (CBP) 15 days after publication of this 
notice.
    For Wuxi and Jiangsu Chengde, consistent with section 751(a)(1) of 
the Act, upon issuance of the final results, the Department shall 
determine, and CBP shall assess, countervailing duties on all 
appropriate entries covered by this review. We intend to issue 
instructions to CBP 15 days after publication of the final results of 
this review.

Cash Deposit Requirements

    If the final results of this review are the same as these 
preliminary results, the Department also intends to instruct CBP to 
collect cash deposits of estimated countervailing duties in the amounts 
shown above for Wuxi and Jiangsu Chengde. For all non-reviewed firms, 
we will instruct CBP to continue to collect cash deposits of estimated

[[Page 10477]]

countervailing duties at the most recent company-specific or all-others 
rate applicable to the company. These cash deposit requirements, when 
imposed, shall remain in effect until further notice.
    This administrative review and notice are in accordance with 
sections 751(a)(1) and 777(i) of the Act and 19 CFR 351.213.

    Dated: February 18, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix

    List of Topics Discussed in the Preliminary Decision Memorandum:

1. Scope of the Order
2. Use of Facts Otherwise Available and Adverse Inferences
3. Subsidies Valuation Information
4. Analysis of Programs

[FR Doc. 2014-04119 Filed 2-24-14; 8:45 am]
BILLING CODE 3510-DS-P