[Federal Register Volume 60, Number 22 (Thursday, February 2, 1995)]
[Notices]
[Pages 6515-6516]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-2617]
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DEPARTMENT OF COMMERCE
[A-475-816]
Notice of Preliminary Determination of Sales at Less Than Fair
Value: Oil Country Tubular Goods From Italy
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
EFFECTIVE DATE: February 2, 1995.
FOR FURTHER INFORMATION CONTACT: Bill Crow or Lisa Girardi, Office of
Antidumping Investigations, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, N.W., Washington, D.C., 20230; telephone (202)
482-0116 or (202) 482-4105, respectively.
Preliminary Determination
We preliminarily determine that oil country tubular goods (OCTG)
from Italy are being, or are likely to be, sold in the United States at
less than fair value, as provided in section 733(b) of the Tariff Act
of 1930, as amended (the Act) (19 U.S.C. 1673b).
Case History
Since the initiation of this investigation on July 20, 1994 (59 FR
37962, July 26, 1994), the following events have occurred.
On August 15, 1994, the U.S. International Trade Commission (ITC)
issued an affirmative preliminary determination.
In July 1994, the Department requested information regarding
manufacturers or exporters of the subject merchandise from the U.S.
Embassy in Rome. The Embassy informed the Department that Dalmine
S.p.A. (Dalmine) and Acciaierie Tubificio Arvedi S.p.A. (Arvedi) were
the main exporters of the subject merchandise.
On August 26, 1994, based on statements from the petitioners and
information from Metal Bulletin Books, Ltd., Iron and Steel Works of
the World (10th ed. 1991), the Department issued a full antidumping
questionnaire to Dalmine, and antidumping surveys to five other
potential respondents: Alessio Tubi S.p.A., Tubimar Ancona S.p.A., Seta
Tubi Srl, Arvedi, and General Sider Europa S.p.A. (General Sider). On
September 8, 1994, we received a response from Tubimar Ancona S.p.A.
stating that it did not export the subject merchandise during the POI.
On September 13, 1994, we received a similar response from Alessio Tubi
S.p.A. and a response from Seta Tubi Srl that it is no longer in
existence. On September 22, 1994, we received volume and value
information from Arvedi. We did not receive any response from General
Sider, although we confirmed with the express delivery service that
General Sider had received our survey on August 30, 1994 (see, the
September 30, 1994, memorandum from Krysten Jenci to the file). To
ensure that it understood our request for information, we sent General
Sider another survey, containing additional explanation, on October 7,
1994. We confirmed with the express delivery service that General Sider
received the survey on October 11, 1994 (see, the October 20, 1994,
memorandum from Richard W. Moreland to Barbara R. Stafford).
On October 7, 1994, Arvedi notified the Department that it would
not participate in the investigation. On October 20, 1994, after the
Department had still not received a response from General Sider, we
selected Dalmine, Arvedi, and General Sider as mandatory respondents in
this investigation. Based on information on the record, the Department
believes that these three companies account for at least 60 percent of
exports of OCTG from Italy during the period of investigation (see, the
October 3, 1994, memorandum from David L. Binder to Richard W. Moreland
and the October 20, 1994, memorandum from Richard W. Moreland to
Barbara R. Stafford).
On September 26, 1994, Dalmine submitted its response to section A
of our August 26, 1994, questionnaire. In this response, Dalmine
claimed that its home market was not viable, and that it should report
third country sales data as a basis for foreign market value (FMV). In
October 1994, Dalmine and the petitioners submitted comments on the
home market viability issue.
On November 4, 1994, the Department determined that the home market
was viable, and instructed Dalmine to report home market sales (see
November 4, 1994 memorandum from Richard W. Moreland to Barbara R.
Stafford). As a result of this decision, on November 30, 1994, Dalmine
informed the Department that it would no longer participate in this
investigation.
On November 10, 1994, North Star Steel Ohio (a division of North
Star Steel Company) (the petitioners), timely requested that the
Department postpone the preliminary determination in accordance with
section 733(c)(1) of the Act (19 U.S.C. 1673b(c)(1)), and 19 CFR
353.15(c). We did so on November 15, 1994 (59 FR 60130, November 30,
1994).
Scope of Investigation
For purposes of this investigation, OCTG are hollow steel products
of circular cross-section, including oil well casing, tubing, and drill
pipe, of iron (other than cast iron) or steel (both carbon and alloy),
whether seamless or welded, whether or not conforming to American
Petroleum Institute (API) or non-API specifications, whether finished
or unfinished (including green tubes and limited service OCTG
products). This scope does not cover casing, tubing, or drill pipe
containing
[[Page 6516]]
10.5 percent or more of chromium. The OCTG subject to this
investigation are currently classified in the Harmonized Tariff
Schedule of the United States (HTSUS) under item numbers:
7304.20.10.00, 7304.20.10.10, 7304.20.10.20, 7304.20.10.30,
7304.20.10.40, 7304.20.10.50, 7304.20.10.60, 7304.20.10.80,
7304.20.20.00, 7304.20.20.10, 7304.20.20.20, 7304.20.20.30,
7304.20.20.40, 7304.20.20.50, 7304.20.20.60, 7304.20.20.80,
7304.20.30.00, 7304.20.30.10, 7304.20.30.20, 7304.20.30.30,
7304.20.30.40, 7304.20.30.50, 7304.20.30.60, 7304.20.30.80,
7304.20.40.00, 7304.20.40.10, 7304.20.40.20, 7304.20.40.30,
7304.20.40.40, 7304.20.40.50, 7304.20.40.60, 7304.20.40.80,
7304.20.50.10, 7304.20.50.15, 7304.20.50.30, 7304.20.50.45,
7304.20.50.50, 7304.20.50.60, 7304.20.50.75, 7304.20.60.10,
7304.20.60.15, 7304.20.60.30, 7304.20.60.45, 7304.20.60.50,
7304.20.60.60, 7304.20.60.75, 7304.20.70.00, 7304.20.80.00,
7304.20.80.30, 7304.20.80.45, 7304.20.80.60, 7305.20.20.00,
7305.20.40.00, 7305.20.60.00, 7305.20.80.00, 7306.20.10.30,
7306.20.10.90, 7306.20.20.00, 7306.20.30.00, 7306.20.40.00,
7306.20.60.10, 7306.20.60.50, 7306.20.80.10, and 7306.20.80.50.
Although the HTSUS subheadings are provided for convenience and
customs purposes, our written description of the scope of this
investigation is dispositive.
Period of Investigation
The period of investigation (POI) is January 1, 1994, to June 30,
1994.
Applicable Statute and Regulations
Unless otherwise indicated, all citations to the Statute and to the
Department's regulations are in reference to the provisions as they
existed on December 31, 1994.
Best Information Available
We have determined, in accordance with section 776(c) of the Act
(19 U.S.C. 1677e(c)), that the use of best information available (BIA)
is appropriate for sales of the subject merchandise in this
investigation. In deciding whether to use BIA, section 776(c) provides
that the Department shall use BIA when a respondent refuses to produce
information requested in a timely manner and in the form required. In
this case, Dalmine and Arvedi chose not to participate in this
investigation, and General Sider did not respond to our requests for
information.
In determining what to use as BIA, the Department follows a two-
tiered methodology, whereby the Department normally assigns lower
margins to those respondents who cooperate in an investigation, and
margins based on more adverse assumptions for those respondents who do
not cooperate in an investigation. If the Department deems a respondent
to be non-cooperative, that respondent's preliminary margin for the
relevant class or kind of merchandise is the higher of either (1) The
highest margin in the petition, or (2) the highest calculated margin of
any respondent (see, Antifriction Bearings (Other Than Tapered Roller
Bearings) and Parts Thereof From the Federal Republic of Germany: Final
Determination of Sales at Less Than Fair Value (54 FR 18992, 19033, May
3, 1989)). The Department's two-tier methodology for assigning BIA
based on the degree of respondents' cooperation has been upheld by the
U.S. Court of Appeals for the Federal Circuit. (See Allied-Signal
Aerospace Co. v. the United States, Slip Op. 93-1049 (Fed Cir. June 22,
1993); see also Krupp Stahl AG. et al v. the United States, Slip Op.
93-84 (CIT May 26, 1993).)
In the present case, the mandatory respondents have refused to
cooperate with the Department's investigation. Therefore, in accordance
with our standard practice, the Department has assigned the highest
margin in the petition to all respondents.
Suspension of Liquidation
In accordance with section 733(d)(1) (19 U.S.C. 1673b(d)(1)) of the
Act, we are directing the Customs Service to suspend liquidation of all
entries of OCTG from Italy, as defined in the ``Scope of
Investigation'' section of this notice, that are entered, or withdrawn
from warehouse, for consumption on or after the date of publication of
this notice in the Federal Register. The Customs Service shall require
a cash deposit or posting of a bond equal to the estimated preliminary
dumping margin, as shown below. The suspension of liquidation will
remain in effect until further notice.
------------------------------------------------------------------------
Weighted-
average
Manufacturer/producer/exporter margin
percent
------------------------------------------------------------------------
Dalmine S.p.A.............................................. 49.78
Acciaierie Tubificio Arvedi S.p.A.......................... 49.78
General Sider Europa S.p.A................................. 49.78
All others................................................. 49.78
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ITC Notification
In accordance with section 733(f) (19 U.S.C. 1673b(f)) of the Act,
we have notified the ITC of our preliminary determination.
Public Comment
In accordance with 19 CFR 353.38, case briefs or other written
comments in at least ten copies must be submitted to the Assistant
Secretary for Import Administration by no later than March 1, 1995, and
rebuttal briefs by no later than March 8, 1995. In accordance with 19
CFR 353.38(b), we will hold a public hearing, if requested, to give
interested parties an opportunity to comment on arguments raised in
case or rebuttal briefs. Tentatively, the hearing will be held on March
10, 1995, at 10:00 a.m. at the U.S. Department of Commerce, Room 3708,
14th Street and Constitution Avenue, N.W., Washington, D.C. 20230.
Parties should confirm by telephone, the time, date, and place of the
hearing 48 hours before the scheduled time.
Interested parties who wish to request a hearing must submit a
written request to the Assistant Secretary for Import Administration,
U.S. Department of Commerce, Room B-099, within ten days of the
publication of this notice in the Federal Register. Requests should
contain: (1) The party's name, address, and telephone number; (2) the
number of participants; and (3) a list of the issues to be discussed.
In accordance with 19 CFR 353.38(b), oral presentations will be limited
to issues raised in the briefs.
This notice is published pursuant to section 733(f) of the Act (19
U.S.C. 1673b(f)) and 19 CFR 353.15(a)(4).
Dated: January 26, 1995.
Susan G. Esserman,
Assistant Secretary for Import Administration.
[FR Doc. 95-2617 Filed 2-1-95; 8:45 am]
BILLING CODE 3510-DS-P