[Federal Register Volume 73, Number 110 (Friday, June 6, 2008)]
[Notices]
[Pages 32291-32292]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-12751]



[[Page 32291]]

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DEPARTMENT OF COMMERCE

International Trade Administration

A-533-809


Certain Forged Stainless Steel Flanges from India; Preliminary 
Intent to Rescind New Shipper Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) is conducting a 
new shipper review of the antidumping duty order on certain forged 
stainless steel flanges (stainless steel flanges) from India 
manufactured by Hotmetal Forge (India) Pvt., Ltd. (Hotmetal). The 
period of review (POR) is February 1, 2007, through July 31, 2007. We 
preliminarily determine that Hotmetal had no bona fide U.S. sales 
during the period of review (POR), and therefore intend to rescind the 
review.
    We invite interested parties to comment on this preliminary intent 
to rescind. Parties who submit argument in these proceedings are 
requested to submit with the argument: (1) a statement of the issues; 
and (2) a brief summary of the argument.

EFFECTIVE DATE: June 6, 2008.

FOR FURTHER INFORMATION CONTACT: Fred Baker or Robert James, AD/CVD 
Operations, Office 7, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
2924 or (202) 482-0649, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On February 9, 1994, the Department published the antidumping duty 
order on stainless steel flanges from India. See Amended Final 
Determination and Antidumping Duty Order; Certain Forged Stainless 
Steel Flanges from India, 59 FR 5994 (February 9, 1994) (Amended Final 
Determination). On August 31, 2007, we received a request for a new 
shipper review from Hotmetal for the period February 1, 2007 through 
July 31, 2007. On October 4, 2007, we initiated the new shipper review. 
See Forged Stainless Steel Flanges from India: Notice of Initiation of 
Antidumping Duty New Shipper Review, 72 FR 56723 (October 4, 2007).\1\
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    \1\ Based on the spelling Hotmetal's request for new shipper 
review, we spelled the respondent's name ``Hot Metal Forge (India) 
Pvt. Ltd.'' in the initiation notice. However, subsequent 
submissions indicate ``Hotmetal'' is properly one word.
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    On October 4, 2007, the Department issued its questionnaire to 
Hotmetal. Hotmetal submitted its section A response on November 2, 
2007, and its section B and C responses on November 16, 2007.

Scope of the order

    The products covered by this order are certain forged stainless 
steel flanges, both finished and not finished, generally manufactured 
to specification ASTM A-182, and made in alloys such as 304, 304L, 316, 
and 316L. The scope includes five general types of flanges. They are 
weld-neck, used for butt-weld line connection; threaded, used for 
threaded line connections; slip-on and lap joint, used with stub-ends/
butt-weld line connections; socket weld, used to fit pipe into a 
machined recession; and blind, used to seal off a line. The sizes of 
the flanges within the scope range generally from one to six inches; 
however, all sizes of the above-described merchandise are included in 
the scope. Specifically excluded from the scope of this order are cast 
stainless steel flanges. Cast stainless steel flanges generally are 
manufactured to specification ASTM A-351. The flanges subject to this 
order are currently classifiable under subheadings 7307.21.1000 and 
7307.21.5000 of the Harmonized Tariff Schedule (HTS). Although the HTS 
subheading is provided for convenience and customs purposes, the 
written description of the merchandise under review is dispositive of 
whether or not the merchandise is covered by the scope of the order.

Intent to Rescind

    As indicated above, we have preliminarily determined that 
Hotmetal's sales to the United States during the POR were not bona fide 
sales. We based our determination on the following factors: (1) the 
U.S. price and expenses associated with the sale were unusually high; 
(2) the sale involved a method of shipping not standard for the 
industry; (3) the shipment did not enter U.S. customs territory as a 
dumping entry; and (4) there were unusual circumstances surrounding the 
resale of the subject merchandise by Hotmetal's U.S. customer. For 
further information, see the Memorandum to the File, ``Bona Fide Nature 
of the Sale in the New Shipper Review of Hotmetal Forge (India) Pvt., 
Ltd.,'' dated May 29, 2008, for a complete explanation of our analysis. 
Based on these factors, we preliminarily intend to rescind this new 
shipper review.

Public Comment

    Interested parties are invited to comment on this preliminary 
intent to rescind. Pursuant to 19 CFR 351.309( c)(1)(ii), interested 
parties may submit case briefs no later than 30 days after the date of 
publication of this notice. Pursuant to 19 CFR 351.309(d), rebuttal 
briefs, limited to issues raised in the case briefs and comments, may 
be filed no later than 5 days after the time limit for filing the case 
briefs. Parties who submit argument in these proceedings are requested 
to submit with the argument: (1) a statement of the issue; (2) a brief 
summary of the argument; and (3) a table of authorities. Further, the 
Department requests parties submitting written comments to provide the 
Department with an additional copy of the public version of any such 
comments on diskette.

Assessment Rates

    At the completion of this new shipper review, if a final rescission 
notice is published, a cash deposit rate of 162.14 percent ad valorem 
shall continue to be collected for any entries produced by Hotmetal. 
Should the Department reach a final result other than a rescission, we 
will calculate an appropriate antidumping duty rate for both assessment 
and cash deposit purposes. The Department intends to issue assessment 
instructions to CBP 15 days after the date of publication of the final 
rescission or final results of review.
    The Department clarified its ``automatic assessment'' regulation on 
May 6, 2003. See Notice of Policy Concerning Assessment of Antidumping 
Duties, 68 FR 23954 (May 6, 2003) (Assessment Policy Notice). This 
clarification will apply to entries of subject merchandise during the 
POR produced by Hotmetal for which Hotmetal did not know that the 
merchandise it sold to an intermediary (e.g., a reseller, trading 
company, or exporter) was destined for the United States. In such 
instances, we will instruct CBP to liquidate unreviewed entries at the 
162.14 percent all-others rate established in the original less than 
fair value (LTFV) investigation if there is no rate for the 
intermediary involved in the transaction. See Assessment Policy Notice 
for a full discussion of this clarification.

Notification to Interested Parties

    This notice also serves as a preliminary reminder to importers of 
their responsibility under 19 CFR 351.402(f) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this review period. Failure to comply 
with this requirement could result in the Secretary's presumption that

[[Page 32292]]

reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    We are issuing and publishing this notice in accordance with 
sections 751(a)(1) and 777(i)(1) of the Tariff Act and 19 CFR 
351.221(b)(4).

    Dated: May 29, 2008.
Stephen J. Claeys,
Deputy Assistant Secretary for Import Administration.
[FR Doc. E8-12751 Filed 6-5-08; 8:45 am]
BILLING CODE 3510-DR-S