[Federal Register Volume 71, Number 134 (Thursday, July 13, 2006)]
[Notices]
[Pages 39659-39661]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-11061]


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

DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-827]


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

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

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rescinded.

DATES: Effective Date: July 13, 2006.

FOR FURTHER INFORMATION CONTACT: Victoria Cho or George McMahon, AD/CVD 
Operations, Office 3, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
5075, or (202) 482-1167, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On August 1, 2005, the Department of Commerce (``the Department'') 
published in the Federal Register the notice of ``Opportunity to 
Request Administrative Review'' of the antidumping duty order on 
certain large diameter carbon and alloy seamless standard, line, and 
pressure pipe (``SLP'') from Mexico, for the period August 1, 2004, 
through July 31, 2005. See Notice of Opportunity to Request an 
Administrative Review of Antidumping or Countervailing Duty Order, 
Finding, or Suspended Investigation, 70 FR 44085 (August 1, 2005).
    On August 31, 2005, we received a request from the petitioner \1\ 
to review TAMSA. On September 28, 2005, we published the notice of 
initiation of this antidumping duty administrative review with respect 
to TAMSA. See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews and Request for Revocation in Part, 70 FR 56631 
(September 28, 2005). On October 27, 2005, TAMSA submitted a letter 
certifying that neither TAMSA, nor its U.S. affiliate, Tenaris Global 
Services USA (``Tenaris''), directly or indirectly, exported or sold 
for consumption in the United States any subject merchandise during the 
period of review (``POR'').
    On April 3, 2006, the Department published in the Federal Register, 
Certain Large Diameter Carbon and Alloy Seamless Standard, Line and 
Pressure Pipe from Mexico: Notice of Intent to Rescind Administrative 
Review, 71 FR 16556 (April 3, 2006) (``Notice of Intent to Rescind''), 
and invited comments from interested parties. The Department did not 
receive comments from any interested party.
---------------------------------------------------------------------------

    \1\ The petitioner is United States Steel Corporation.
---------------------------------------------------------------------------

Scope of the Order

    The products covered are large diameter seamless carbon and alloy 
(other than stainless) steel standard, line, and pressure pipes 
produced, or

[[Page 39660]]

equivalent, to the American Society for Testing and Materials 
(``ASTM'') A-53, 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 order 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 order 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 order 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 in some 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 order 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 review. 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 order.
    Specifically excluded from the scope of this order 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 U.S. Customs and Border Protection to require end-use 
certification until such time as

[[Page 39661]]

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 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 
customs purposes, the written description of the merchandise subject to 
this scope is dispositive.

Rescission of Administrative Review

    On April 3, 2006, the Department published in the Federal Register 
its intent to rescind the administrative review. See Notice of Intent 
to Rescind, 71 FR 16556. In that notice we stated that, based on our 
shipment data query and examination of entry documents (see Memorandum 
dated November 9, 2005, entitled ``Memorandum to File: Internal Customs 
Data Query''), we should treat TAMSA as a non-shipper and, in 
accordance with section 351.213(d)(3) of the Department's regulations, 
rescind this review. We invited interested parties to comment on our 
intent to rescind the administrative review. No comments were 
submitted.
    Consequently, the Department continues to treat TAMSA as a non-
shipper for the purpose of this review. Therefore, in accordance with 
section 351.213(d)(3) of the Department's regulations, and consistent 
with our practice, we are rescinding this review because TAMSA was the 
only company for which a review was requested and we have determined 
that TAMSA did not have entries of subject merchandise manufactured, 
produced or exported by TAMSA during the POR. See, e.g., 
Polychloroprene Rubber from Japan: Notice of Rescission of Antidumping 
Duty Administrative Review, 66 FR 45005 (August 27, 2001).
    We are issuing this notice in accordance with section 751(a)(1)(4) 
of the Tariff Act of 1930, as amended, and section 351.213(d) of the 
Department's regulations.

    Dated: July 7, 2006.
Stephen J. Claeys,
Deputy Assistant Secretary for Import Administration.
[FR Doc. E6-11061 Filed 7-12-06; 8:45 am]
BILLING CODE 3510-DS-P