[Federal Register Volume 68, Number 1 (Thursday, January 2, 2003)]
[Notices]
[Pages 81-83]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-33134]


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

DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-827]


Notice of Final Rescission of Antidumping Duty Administrative 
Review: Certain Large Diameter Carbon and Alloy Seamless Standard, Line 
and Pressure Pipe from Mexico

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

ACTION: Notice of Final Rescission of Antidumping Duty Administrative 
Review.

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

SUMMARY: We have determined that the first administrative review of 
Tubos de Acero de Mexico, S.A. (``TAMSA'') should be rescinded.

EFFECTIVE DATE: (Insert date of publication in the Federal Register).

FOR FURTHER INFORMATION CONTACT: James Terpstra, Mark Young, or George 
McMahon, AD/CVD Enforcement, Office 6, Group II, Import Administration, 
International Trade Administration, U.S. Department of Commerce, 14th 
Street and Constitution Avenue, NW, Washington, DC 20230; telephone: 
(202) 482-3965, (202) 482-6397, or (202) 482-1167, respectively.

SUPPLEMENTARY INFORMATION:

The Applicable Statute and Regulations

    Unless otherwise indicated, all citations to the statute are 
references to the provisions effective January 1, 1995, the effective 
date of the amendments made to the Tariff Act of 1930 (``the Act'') by 
the Uruguay Round Agreements Act (``URAA''). In addition, unless 
otherwise indicated, all citations to the Department regulations refer 
to the regulations codified at 19 CFR part 351 (April 2001).

Case History

    On September 4, 2002, the Department published the preliminary 
notice of intent to rescind this administrative review of the 
antidumping duty order on certain large diameter carbon and alloy 
seamless standard, line, and pressure pipe (``SLP'') from Mexico, with 
respect to Tubos de Acero de Mexico, S.A. (``TAMSA''). See Certain 
Large Diameter Carbon and Alloy Seamless Standard, Line and Pressure 
Pipe from Mexico: Preliminary Notice of Intent to Rescind 
Administrative Review, 67 FR 56531 (September 4, 2002). As discussed in 
the preliminary notice, this review is intended to cover shipments of 
subject merchandise by TAMSA, during the period of review (``POR'') 
February 4, 2000, through July 31, 2001. However, based upon our 
shipment data query and examination of entry documents, we determined 
that TAMSA was a non-shipper for the purpose of this review in our 
preliminary results. We invited parties to comment on our preliminary 
results (67 FR at 56533). However, interested parties did not submit 
case briefs or request a hearing. In summary, there have been no 
changes since the Department published its preliminary notice of intent 
to rescind this administrative review.

Scope of the Review

    The products covered are large diameter seamless carbon and alloy 
(other than stainless) steel standard, line, and pressure pipes 
produced, or equivalent, to the American Society for Testing and 
Materials (``ASTM'') A-53,

[[Page 82]]

ASTM A-106, ASTM A-333, ASTM A-334, ASTM A-589, ASTM A-795, and the 
American Petroleum Institute (``API'') 5L specifications and meeting 
the physical parameters described below, regardless of application, 
with the exception of the exclusions discussed below. The scope of this 
review also includes all other products used in standard, line, or 
pressure pipe applications and meeting the physical parameters 
described below, regardless of specification, with the exception of the 
exclusions discussed below. Specifically included within the scope of 
this review are seamless pipes greater than 4.5 inches (114.3 mm) up to 
and including 16 inches (406.4 mm) in outside diameter, regardless of 
wall-thickness, manufacturing process (hot finished or cold-drawn), end 
finish (plain end, beveled end, upset end, threaded, or threaded and 
coupled), or surface finish.
    The seamless pipes subject to this review are currently 
classifiable under the subheadings 7304.10.10.30, 7304.10.10.45, 
7304.10.10.60, 7304.10.50.50, 7304.31.60.50, 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, 
7304.51.50.60, 7304.59.60.00, 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, and 7304.59.80.70 of the Harmonized 
Tariff Schedule of the United States (``HTSUS'').
    Specifications, Characteristics, and Uses: Large diameter seamless 
pipe is used primarily for line applications such as oil, gas, or water 
pipeline, or utility distribution systems. Seamless pressure pipes are 
intended for the conveyance of water, steam, petrochemicals, chemicals, 
oil products, natural gas and other liquids and gasses in industrial 
piping systems. They may carry these substances at elevated pressures 
and temperatures and may be subject to the application of external 
heat. Seamless carbon steel pressure pipe meeting the ASTM A-106 
standard may be used in temperatures of up to 1000 degrees Fahrenheit, 
at various American Society of Mechanical Engineers (``ASME'') code 
stress levels. Alloy pipes made to ASTM A-335 standard must be used if 
temperatures and stress levels exceed those allowed for ASTM A-106. 
Seamless pressure pipes sold in the United States are commonly produced 
to the ASTM A-106 standard.
    Seamless standard pipes are most commonly produced to the ASTM A-53 
specification and generally are not intended for high temperature 
service. They are intended for the low temperature and pressure 
conveyance of water, steam, natural gas, air and other liquids and 
gasses in plumbing and heating systems, air conditioning units, 
automatic sprinkler systems, and other related uses. Standard pipes 
(depending on type and code) may carry liquids at elevated temperatures 
but must not exceed relevant ASME code requirements. If exceptionally 
low temperature uses or conditions are anticipated, standard pipe may 
be manufactured to ASTM A-333 or ASTM A-334 specifications.
    Seamless line pipes are intended for the conveyance of oil and 
natural gas or other fluids in pipe lines. Seamless line pipes are 
produced to the API 5L specification.
    Seamless water well pipe (ASTM A-589) and seamless galvanized pipe 
for fire protection uses (ASTM A-795) are used for the conveyance of 
water.
    Seamless pipes are commonly produced and certified to meet ASTM A-
106, ASTM A-53, API 5L-B, and API 5L-X42 specifications. To avoid 
maintaining separate production runs and separate inventories, 
manufacturers typically triple or quadruple certify the pipes by 
meeting the metallurgical requirements and performing the required 
tests pursuant to the respective specifications. Since distributors 
sell the vast majority of this product, they can thereby maintain a 
single inventory to service all customers.
    The primary application of ASTM A-106 pressure pipes and triple or 
quadruple certified pipes in large diameters is for use as oil and gas 
distribution lines for commercial applications. A more minor 
application for large diameter seamless pipes is for use in pressure 
piping systems by refineries, petrochemical plants, and chemical 
plants, as well as in power generation plants and insome oil field uses 
(on shore and off shore) such as for separator lines, gathering lines 
and metering runs. These applications constitute the majority of the 
market for the subject seamless pipes. However, ASTM A-106 pipes may be 
used in some boiler applications.
    The scope of this review includes all seamless pipe meeting the 
physical parameters described above and produced to one of the 
specifications listed above, regardless of application, with the 
exception of the exclusions discussed below, whether or not also 
certified to a non-covered specification. Standard, line, and pressure 
applications and the above-listed specifications are defining 
characteristics of the scope of this investigation. Therefore, seamless 
pipes meeting the physical description above, but not produced to the 
ASTM A-53, ASTM A-106, ASTM A-333, ASTM A-334, ASTM A-589, ASTM A-795, 
and API 5L specifications shall be covered if used in a standard, line, 
or pressure application, with the exception of the specific exclusions 
discussed below.
    For example, there are certain other ASTM specifications of pipe 
which, because of overlapping characteristics, could potentially be 
used in ASTM A-106 applications. These specifications generally include 
ASTM A-161, ASTM A-192, ASTM A-210, ASTM A-252, ASTM A-501, ASTM A-523, 
ASTM A-524, and ASTM A-618. When such pipes are used in a standard, 
line, or pressure pipe application, such products are covered by the 
scope of this review.
    Specifically excluded from the scope of this review are:
    A. Boiler tubing and mechanical tubing, if such products are not 
produced to ASTM A-53, ASTM A-106, ASTM A-333, ASTM A-334, ASTM A-589, 
ASTM A-795, and API 5L specifications and are not used in standard, 
line, or pressure pipe applications.
    B. Finished and unfinished oil country tubular goods (``OCTG''), if 
covered by the scope of another antidumping duty order from the same 
country. If not covered by such an OCTG order, finished and unfinished 
OCTG are included in this scope when used in standard, line or pressure 
applications.
    C. Products produced to the A-335 specification unless they are 
used in an application that would normally utilize ASTM A-53, ASTM A-
106, ASTM A-333, ASTM A-334, ASTM A-589, ASTM A-795, and API 5L 
specifications.
    D. Line and riser pipe for deepwater application,  i.e., line and 
riser pipe that is (1) used in a deepwater application, which means for 
use in water depths of 1,500 feet or more; (2) intended for use in and 
is actually used for a specific deepwater project; (3) rated for a 
specified minimum yield strength of not less than 60,000 psi; and (4) 
not identified or certified through the use of a monogram, stencil, or 
otherwise marked with an API specification (e.g., ``API 5L'').
    With regard to the excluded products listed above, the Department 
will not instruct Customs to require end-use certification until such 
time as petitioner or other interested parties provide to the 
Department a reasonable basis to believe or suspect that the products 
are being utilized in a covered

[[Page 83]]

application. If such information is provided, the Department will 
require end-use certification only for the product(s) (or 
specification(s)) for which evidence is provided that such products are 
being used in a covered application as described above. For example, 
if, based on evidence provided by petitioner, the Department finds a 
reasonable basis to believe or suspect that seamless pipe produced to 
the A-335 specification is being used in an A-106 application, it will 
require end-use certifications for imports of that specification. 
Normally the Department will require only the importer of record to 
certify to the end-use of the imported merchandise. If it later proves 
necessary for adequate implementation, the Department may also require 
producers who export such products to the United States to provide such 
certification on invoices accompanying shipments to the United States.
    Although the HTSUS subheadings are provided for convenience and 
U.S. Customs Service (``Customs'') purposes, the written description of 
the merchandise subject to this scope is dispositive.

Rescission of First Administrative Review

    We provided interested parties with an opportunity to comment on 
the preliminary results. As noted above, however, we received no 
comments from any party. As discussed in detail in the preliminary 
results, because TAMSA made no entries, exports or sales of the subject 
merchandise to the U.S. during the POR, we determined that it was a 
non-shipper. In accordance with 19 CFR 351.213(d)(3) and consistent 
with Department practice, we are rescinding our review of TAMSA (see, 
e.g., Certain Non-Frozen Apple Juice Concentrate from the People's 
Republic of China: Final Results of 1999-2001 Administrative Review and 
Partial Rescission of Review, 67 FR 68987 (November 14, 2002); see 
also, Frozen Concentrated Orange Juice From Brazil: Final Results and 
Partial Rescission of Antidumping Duty Administrative Review, 67 FR 
40913 (June 14, 2002)).
    This notice also serves as a reminder to parties subject to an 
administrative protective order (``APO'') of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305. Timely notification of 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 are sanctionable violations.
    This determination is issued and published pursuant to sections 
751(a) and 777(i) of the Act.

    Dated: December 24, 2002.
Holly A. Kuga,
Acting Deputy Assistant Secretary for Import Administration.
[FR Doc. 02-33134 Filed 12-31-02; 8:45 am]
BILLING CODE 3510-DS-S