[Federal Register Volume 79, Number 248 (Monday, December 29, 2014)]
[Notices]
[Pages 78037-78038]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-30384]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-965; C-570-966]
Drill Pipe From the People's Republic of China: Notice of Court
Decision Not in Harmony With International Trade Commission's Injury
Determination, Revocation of Antidumping and Countervailing Duty Orders
Pursuant to Court Decision, and Discontinuation of Countervailing Duty
Administrative Review
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: On November 10, 2014, the Court of International Trade (CIT)
entered its final judgment sustaining the International Trade
Commission's (ITC) remand redetermination that imports of drill pipe
from the People's Republic of China (PRC) do not materially injure or
threaten to materially injure the United States domestic industry. As a
result, we are notifying the public that this court decision is not in
harmony with the ITC's original affirmative determination that the
domestic industry was threatened with material injury by reason of
imports of drill pipe from the PRC, and pursuant to the ITC's
publication of its negative remand redetermination in the Federal
Register, we are hereby revoking these orders.
DATES: Effective Date: November 20, 2014.
FOR FURTHER INFORMATION CONTACT: Julia Hancock or Kristen Johnson, AD/
CVD Operations, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue NW., Washington, DC 20230; Telephone: (202) 482-
1394 or (202) 482-4793, respectively.
SUPPLEMENTARY INFORMATION:
Background
On March 3, 2011, the Department of Commerce (the Department)
published antidumping and countervailing duty orders on imports of
drill pipe from the PRC, based, in part, on the final affirmative
determination of the ITC that the domestic industry was threatened with
material injury by reason of imports of drill pipe from the PRC.\1\
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\1\ See Drill Pipe from the People's Republic of China:
Antidumping Duty Order, 76 FR 11757 (March 3, 2011); Drill Pipe from
the People's Republic of China: Countervailing Duty Order, 76 FR
11758 (March 3, 2011); Drill Pipe and Drill Collars from China,
Investigation Nos. 701-TA-474 and 731-TA-1176 (Final), USITC
Publication 4213 (February 2011).
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[[Page 78038]]
The respondent, Downhole Pipe, a Chinese producer of subject
merchandise, subsequently challenged the ITC's final injury
determination in Downhole Pipe v. United States, CIT No. 11-00080, and
the ITC reversed its injury determination on remand, finding no
material injury or threat thereof. On November 10, 2014, the CIT
affirmed the ITC's remand and entered judgment in the case.\2\
Therefore, there is now a final CIT decision in the case sustaining the
ITC's negative injury determination concerning drill pipe from the PRC.
The November 10, 2014, decision by the CIT in Downhole Pipe constitutes
a final CIT decision that is not in harmony with the ITC's original
affirmative injury determination.
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\2\ See Downhole Pipe v. United States, CIT No. 11-00080, Slip
Op. 14-130 (November 10, 2014).
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Statutory Notice
In its decision in Timken Co. v. United States, 893 F.2d 337, 341
(Fed. Cir. 1990), the Court of Appeals for the Federal Circuit (CAFC)
held that, pursuant to section 516A of the Tariff Act of 1930, as
amended (the Act), the Department must publish a notice of a court
decision that is not ``in harmony'' with an ITC determination and must
suspend liquidation of entries pending a ``conclusive'' court
decision.\3\ The November 10, 2014, decision by the CIT in Downhole
Pipe constitutes a final CIT decision that is not in harmony with the
ITC's original affirmative injury determination on drill pipe from the
PRC. Thus, this notice is published in fulfillment of the publication
requirement in Timken and section 516A of the Act.
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\3\ See sections 516A(c)(1) and (e) of the Act.
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Accordingly, the Department intends to issue instructions to U.S.
Customs and Border Protection (CBP) to suspend liquidation of all
unliquidated entries of subject merchandise which are entered, or
withdrawn from warehouse, for consumption after November 20, 2014,
which is ten days after the court's decision in accordance with section
516A of the Act. Pursuant to Timken, all entries entered, or withdrawn
from warehouse, for consumption after November 20, 2014, that remains
unliquidated, will be suspended during the pendency of the appeals
process so that they may be liquidated in accordance with the
``conclusive'' court decision.
Revocation of the Antidumping and Countervailing Duty Orders and
Discontinuation of Countervailing Duty Administrative Review
The ITC published notice of its negative determination in the
Federal Register, pursuant to sections 705(d) and 735(d) of the Tariff
Act of 1930, as amended (the Act).\4\ See International Trade
Commission, Investigation Nos. 701-TA-474 and 731-TA-1176 (Final
Remand): Drill Pipe and Drill Collars from China, 79 FR 75592 (December
18, 2014); sections 705(d) and 735(d) of the Act (``. . . the
Commission . . . shall publish notice of its determination in the
Federal Register.'').
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\4\ See Diamond Sawblades Mfrs. Coalition v. United States, 626
F.3d 1374, 1381-82 (Fed. Cir. 2010).
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Pursuant to sections 705(c)(2) and 735(c)(2) of the Act, ``the
investigation shall be terminated upon publication of that negative
determination'' and the Department shall ``terminate the suspension of
liquidation'' and ``release any bond or other security, and refund any
cash deposit.'' Sections 705(c)(2)(A) and (B) of the Act; sections
735(c)(2)(A) and (B) of the Act. As a result of the ITC's publication,
the Department is hereby revoking the antidumping and countervailing
duty orders and releasing any bonds or other security and refunding
cash deposits.
While sections 705(c)(2)(A) and 735(c)(2)(A) of the Act instruct
the Department to terminate suspension of liquidation, here, because
suspension of liquidation must continue during the pendency of the
appeals process (in accordance with Timken and as discussed above), we
will instruct CBP at this time to (A) continue suspension at a cash
deposit rate of 0.0 percent until instructed otherwise; and (B) release
any bond or other security, and refund any cash deposit made pursuant
to Drill Pipe from the People's Republic of China: Antidumping Duty
Order, 76 FR 11757 (March 3, 2011); Drill Pipe from the People's
Republic of China: Countervailing Duty Order, 76 FR 11758 (March 3,
2011). In the event the court's ruling in Downhole Pipe is not
appealed, or if appealed and upheld by the CAFC, the Department will
instruct CBP to terminate the suspension of liquidation and to
liquidate those entries of subject merchandise without regard to
antidumping or countervailing duties. Notwithstanding the continued
suspension described above, the antidumping and countervailing duty
orders on drill pipe from the PRC are hereby revoked. As a result of
this revocation, the Department is discontinuing the ongoing
administrative review of the countervailing duty order covering the
period January 1, 2013, through December 31, 2013,\5\ and will not
initiate any new administrative reviews of the antidumping and
countervailing duty orders.
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\5\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews and Request for Revocation in Part, 79 FR
24398 (April 30, 2014). The Department received a request to conduct
a countervailing duty administrative review from Shanxi Yida Special
Steel Imp. & Exp. Co., Ltd., a Chinese exporter of drill pipe.
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This notice is published pursuant to section 516A of the Act. See
sections 516A(c)(1) and (e).
Dated: December 18, 2014.
Ronald K. Lorentzen,
Acting Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2014-30384 Filed 12-24-14; 8:45 am]
BILLING CODE 3510-DS-P