[Federal Register Volume 72, Number 96 (Friday, May 18, 2007)]
[Notices]
[Pages 28026-28027]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-9636]



[[Page 28026]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-428-820]


Continuation of Antidumping Duty Order on Certain Small Diameter 
Carbon and Alloy Seamless Standard, Line and Pressure Pipe from Germany

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: As a result of the determinations by the Department of 
Commerce (``the Department'') and the International Trade Commission 
(``ITC'') that revocation of the antidumping duty order on certain 
small diameter carbon and alloy seamless standard, line and pressure 
pipe (``seamless line pipe'') from Germany would likely to lead to 
continuation or recurrence of dumping and of material injury to an 
industry in the United States, the Department is publishing this notice 
of continuation of this antidumping duty order.

EFFECTIVE DATE: May 18, 2007.

FOR FURTHER INFORMATION CONTACT: Dena Crossland or Dana Mermelstein, 
AD/CVD Operations, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
3362 or (202) 482-1391, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On June 1, 2006, the Department initiated and the ITC instituted 
sunset reviews of the antidumping duty orders on seamless line pipe 
from Argentina, Brazil, and Germany pursuant to section 751(c) of the 
Tariff Act of 1930, as amended (``the Act''). See Initiation of Five-
Year (``Sunset'') Reviews, 71 FR 31153 (June 1, 2006). As a result of 
its sunset reviews, the Department found that revocation of the 
antidumping duty orders would be likely to lead to continuation or 
recurrence of dumping and notified the ITC of the magnitude of the 
margins likely to prevail were the orders to be revoked. See Certain 
Small Diameter Carbon and Alloy Seamless Standard, Line, and Pressure 
Pipe from Argentina, Brazil and Germany: Final Results of the Expedited 
Sunset Reviews of the Antidumping Duty Orders, 71 FR 59079 (October 6, 
2006).
    On May 2, 2007, the ITC determined that revocation of the 
antidumping duty order on seamless line pipe from Germany would likely 
lead to continuation or recurrence of material injury to an industry in 
the United States within a reasonably foreseeable time. See Certain 
Seamless Carbon and Alloy Steel Standard, Line, and Pressure Pipe from 
Argentina, Brazil, and Germany, 72 FR 26153 (May 8, 2007), and ITC 
Publication 3918 (May 2007), Investigation No. 731-TA-707-709 (Second 
Review).

Scope of the Order

    The scope of this order includes small diameter seamless carbon and 
alloy standard, line and pressure pipes (seamless pipes) produced to 
the ASTM A-335, ASTM A-106, ASTM A-53 and API 5L specifications and 
meeting the physical parameters described below, regardless of 
application. The scope of this order also includes all products used in 
standard, line, or pressure pipe applications and meeting the physical 
parameters below, regardless of specification.
    For purposes of this order, seamless pipes are seamless carbon and 
alloy (other than stainless) steel pipes, of circular cross-section, 
not more than 114.3 mm (4.5 inches) in outside diameter, regardless of 
wall thickness, manufacturing process (hot-finished or cold-drawn), end 
finish (plain end, bevelled end, upset end, threaded, or threaded and 
coupled), or surface finish. These pipes are commonly known as standard 
pipe, line pipe or pressure pipe, depending upon the application. They 
may also be used in structural applications. Pipes produced in non-
standard wall thicknesses are commonly referred to as tubes.
    The seamless pipes subject to this order are currently classifiable 
under subheadings 7304.19.10.20, 7304.19.50.20, 7304.31.60.50, 
7304.39.00.16, 7304.39.00.20, 7304.39.00.24, 7304.39.00.28, 
7304.39.00.32, 7304.51.50.05, 7304.51.50.60, 7304.59.60.00, 
7304.59.80.10, 7304.59.80.15, 7304.59.80.20, and 7304.59.80.25 of the 
Harmonized Tariff Schedule of the United States (HTSUS).
    The following information further defines the scope of this order, 
which covers pipes meeting the physical parameters described above:
    Specifications, Characteristics and Uses: 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 American 
Society for Testing and Materials (ASTM) standard A-106 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 standard A-335 must be used if temperatures and stress 
levels exceed those allowed for A-106 and the ASME codes. 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.
    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 pipes are commonly produced and certified to meet ASTM A-
106, ASTM A-53 and API 5L specifications. Such triple certification of 
pipes is common because all pipes meeting the stringent A-106 
specification necessarily meet the API 5L and ASTM A-53 specifications. 
Pipes meeting the API 5L specification necessarily meet the ASTM A-53 
specification. However, pipes meeting the A-53 or API 5L specifications 
do not necessarily meet the A-106 specification. To avoid maintaining 
separate production runs and separate inventories, manufacturers triple 
certify the pipes. 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 
certified pipes is in pressure piping systems by refineries, 
petrochemical plants and chemical plants. Other applications are in 
power generation plants (electrical-fossil fuel or nuclear), and in 
some oil field uses (on shore and off shore) such as for separator 
lines, gathering lines and metering runs. A minor application of this 
product is for use as oil and gas distribution lines for commercial 
applications. These applications constitute the majority of the market 
for the subject seamless pipes. However, A-106 pipes may be used in 
some boiler applications.
    The scope of this order includes all seamless pipe meeting the 
physical

[[Page 28027]]

parameters described above and produced to one of the specifications 
listed above, regardless of application, and 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 order. Therefore, seamless pipes 
meeting the physical description above, but not produced to the A-335, 
A-106, A-53, or API 5L standards shall be covered if used in a 
standard, line or pressure application.
    For example, there are certain other ASTM specifications of pipe 
which, because of overlapping characteristics, could potentially be 
used in A-106 applications. These specifications generally include A-
162, A-192, A-210, A-333, and A-524. 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 this order are boiler tubing and 
mechanical tubing, if such products are not produced to A-335, A-106, 
A-53 or API 5L specifications and are not used in standard, line or 
pressure applications. In addition, finished and unfinished OCTG are 
excluded from the scope of this order, 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. Finally, 
also excluded from this order are redraw hollows for cold-drawing when 
used in the production of cold-drawn pipe or tube.
    Although the HTSUS subheadings are provided for convenience and 
customs purposes, our written description of the scope of this order is 
dispositive.

Continuation of Antidumping Duty Order

    As a result of the determinations by the Department and the ITC 
that revocation of this antidumping duty order would be likely to lead 
to continuation or recurrence of dumping and material injury to an 
industry in the United States, pursuant to section 751(d)(2) of the 
Act, the Department hereby orders the continuation of the antidumping 
duty order on seamless line pipe from Germany. U.S. Customs and Border 
Protection will continue to collect antidumping duty cash deposits at 
the rates in effect at the time of entry for all imports of subject 
merchandise. The effective date of continuation of this order will be 
the date of publication in the Federal Register of this Notice of 
Continuation. Pursuant to sections 751(c)(2) and 751(c)(6) of the Act, 
the Department intends to initiate the next five-year review of this 
order not later than April 2012.
    This notice also serves as the only reminder to parties subject to 
administrative protective order (``APO'') of their responsibility 
concerning the return/destruction or conversion to judicial protective 
order of proprietary information disclosed under APO in accordance with 
19 CFR 351.305(a)(3). Failure to comply is a violation of the APO which 
may be subject to sanctions.
    This five-year (sunset) review and notice are in accordance with 
section 751(c) of the Act and published pursuant to section 777(i)(1) 
of the Act.

    Dated: May 11, 2007.
David M. Spooner,
Assistant Secretary for Import Administration.
[FR Doc. E7-9636 Filed 5-17-07; 8:45 am]
BILLING CODE 3510-DS-S