[Federal Register Volume 79, Number 86 (Monday, May 5, 2014)]
[Notices]
[Pages 25572-25574]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-10240]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-990]


Final Determination of Sales at Less Than Fair Value: Prestressed 
Concrete Steel Rail Tie Wire From the People's Republic of China

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

DATES: Effective Date: May 5, 2014.

SUMMARY: The Department of Commerce (the Department) determines that 
imports of prestressed concrete steel rail tie wire (PC tie wire) from 
the People's Republic of China (PRC) are being, or likely to be, sold 
in the United States at less than fair value (LTFV), as provided in 
section 735 of the Tariff Act of 1930, as amended (the Act). The final 
weighted-average dumping margins for this investigation are listed in 
the ``Final Determination Margins'' section below.

FOR FURTHER INFORMATION CONTACT: Brian Smith or Stephanie Arthur, AD/
CVD Operations, Office II, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
1766 or (202) 482-2181.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the preliminary determination in the LTFV 
investigation of PC tie wire from the

[[Page 25573]]

PRC on December 12, 2013.\1\ The following events occurred since the 
preliminary determination was issued. Between January 8 and 14, 2014, 
the Department conducted verification of the mandatory respondent 
Silvery Dragon Group Technology and Trading Co., Ltd. Tianjin and its 
affiliated producers, Silvery Dragon Prestressed Materials Co., Ltd. 
Tianjin and Silvery Dragon Prestressed Materials Co., Ltd. Tianjin--
Hejian Branch (collectively ``Silvery Dragon'').\2\ On March 18, 2014, 
the petitioners\3\ withdrew their January 3, 2014, request for a 
hearing.\4\ As no other party in this proceeding requested a hearing, 
no hearing was held. On March 21, 2014, Silvery Dragon and the 
petitioners submitted case briefs.\5\ On March 28, 2014, both 
interested parties submitted rebuttal briefs.\6\
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    \1\ See Prestressed Concrete Steel Rail Tie Wire From the 
People's Republic of China: Preliminary Determination of Sales at 
Less Than Fair Value and Postponement of Final Determination, 78 FR 
75545 (December 12, 2013) (Preliminary Determination).
    \2\ See the ``Verification'' section below.
    \3\ The petitioners are Davis Wire Corporation and Insteel Wire 
Products Company.
    \4\ See Letter from the petitioners to the Secretary of 
Commerce, ``Investigation of Prestressed Concrete Steel Rail Tie 
Wire from the People's Republic of China--Request for Rebuttal Brief 
Extension and Withdrawal of Hearing Request,'' dated March 18, 2014.
    \5\ See Letter from Silvery Dragon to the Secretary of Commerce, 
``Silvery Dragon Case Brief: Antidumping Duty Investigation of 
Prestressed Concrete Steel Rail Tie Wire from the People's Republic 
of China,'' dated March 21, 2014; see also Letter from the 
Petitioners to the Secretary of Commerce, ``Investigation of 
Prestressed Concrete Steel Rail Tie Wire from the People's Republic 
of China: Petitioners' Case Brief,'' dated March 21, 2014.
    \6\ See Letter from Silvery Dragon to the Secretary of Commerce, 
``Silvery Dragon Rebuttal Case Brief: Antidumping Duty Investigation 
of Prestressed Concrete Steel Rail Tie Wire from the People's 
Republic of China,'' dated March 28, 2014; see also Letter from the 
Petitioners to the Secretary of Commerce, ``Investigation of 
Prestressed Concrete Steel Rail Tie Wire from the People's Republic 
of China: Petitioners' Rebuttal Case Brief,'' dated March 28, 2014.
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Period of Investigation

    The period of investigation (POI) is October 1, 2012, through March 
31, 2013. This period corresponds to the two most recent fiscal 
quarters prior to the month of the filing of the petition, which was 
April 2013.\7\
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    \7\ See 19 CFR 351.204(b)(1).
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Scope of the Investigation

    The product covered by the scope of this investigation is high 
carbon steel wire; stress relieved or low relaxation; indented or 
otherwise deformed; meeting at a minimum the physical, mechanical, and 
chemical requirements of the American Society of Testing Materials 
(ASTM) A881/A881M specification; regardless of shape, size or alloy 
element levels; suitable for use as prestressed tendons in concrete 
railroad ties (PC tie wire). High carbon steel is defined as steel that 
contains 0.6 percent or more of carbon by weight.
    PC tie wire is classified under the Harmonized Tariff Schedule of 
the United States (HTSUS) subheading 7217.10.8045, but may also be 
classified under subheadings 7217.10.7000, 7217.10.8025, 7217.10.8030, 
7217.10.8090, 7217.10.9000, 7229.90.1000, 7229.90.5016, 7229.90.5031, 
7229.90.5051, 7229.90.9000, and 7312.10.3012. Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the scope of the investigation is dispositive.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this investigation are addressed in the Issues and Decision 
Memorandum.\8\ A list of the issues which the parties raised and to 
which the Department responded in the Issues and Decision Memorandum is 
attached to this notice as an Appendix. The Issues and Decision 
Memorandum is a public document and is on file electronically via 
Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (IA ACCESS). IA ACCESS is 
available to registered users at http://iaaccess.trade.gov and it is 
available to all parties in the Central Records Unit, room 7046 of the 
main Department of Commerce building. In addition, a complete version 
of the Issues and Decision Memorandum can be accessed directly at 
http://enforcement.trade.gov/frn/. The signed and electronic versions 
of the Issues and Decision Memorandum are identical in content.
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    \8\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance, 
``Prestressed Concrete Steel Rail Tie Wire from the People's 
Republic of China: Issues and Decision Memorandum for the Final 
Determination of Sales at Less Than Fair Value,'' dated concurrently 
with this notice (Issues and Decision Memorandum).
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Changes Since the Preliminary Determination

    Based on the Department's analysis of the comments received and our 
findings at verification, we made certain changes to the margin 
calculations. For a discussion of these changes, see the ``Margin 
Calculations'' section of the Issues and Decision Memorandum.

Verification

    As provided in section 782(i) of the Act and 19 CFR 
351.307(b)(1)(i), in January 2014, the Department verified the 
information submitted by Silvery Dragon for use in the final 
determination. The Department used standard verification procedures, 
including examination of relevant accounting and production records and 
original source documents provided by Silvery Dragon.\9\
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    \9\ See Memorandum to the File through James Maeder, Office 
Director, AD/CVD Operations, Office 2 and Irene Darzenta Tzafolias, 
Program Manager, AD/CVD Operations, Office 2, from Brian Smith, 
Senior International Trade Analyst, AD/CVD Operations, Office 2 and 
Stephanie Arthur, Senior Accountant, Office of Accounting, 
``Verification of the Sales and Factors Response of Silvery Dragon 
Group Technology and Trading Co., Ltd., Silvery Dragon Prestressed 
Materials Co., Ltd. Tianjin, and Silvery Dragon Prestressed 
Materials Co., Ltd. Tianjin--Hejian Branch in the Antidumping Duty 
Investigation of Prestressed Concrete Steel Rail Tie Wire from the 
People's Republic of China (PRC),'' dated March 13, 2014 
(Verification Report).
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Final Determination Margins

    The Department determines that the following weighted-average 
dumping margins exist for the period October 1, 2012, through March 31, 
2013.

------------------------------------------------------------------------
                                                       Weighted-average
            Exporter                   Producer         dumping margin
                                                           (percent)
------------------------------------------------------------------------
Silvery Dragon Group Technology   Silvery Dragon                   31.40
 and Trading Co., Ltd. Tianjin.    Prestressed
                                   Materials Co.,
                                   Ltd. Tianjin.
PRC-wide Entity \10\............  ..................               35.31
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[[Page 25574]]

Disclosure

    We intend to disclose to parties the calculations performed in this 
proceeding within five days of the date of publication of this notice 
in accordance with 19 CFR 351.224(b).
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    \10\ The PRC-wide entity includes Wuxi Jinyang Metal Products 
Co., Ltd. and Shanxi New-Mile International Trade Co., Ltd. Each of 
these entities withheld necessary information within the meaning of 
section 776(a) of the Tariff Act of 1930, as amended (the Act), and 
failed to act to the best of its ability to comply with the 
Department's requests for information within the meaning of section 
776(b) of the Act. Therefore, we applied adverse facts available, 
determining that these entities were part of the PRC-wide entity. 
See Issues and Decision Memorandum for further discussion.
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Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, the Department 
will instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all appropriate entries of PC tie wire from the 
PRC as described in the ``Scope of the Investigation'' section, which 
were entered, or withdrawn from warehouse, for consumption on or after 
December 12, 2013, the date of publication of the Preliminary 
Determination in the Federal Register. Further, the Department will 
instruct CBP to require a cash deposit equal to the weighted-average 
amount by which the normal value exceeds U.S. price as follows: (1) For 
the exporter/producer combination listed in the table above, the cash 
deposit rate will be equal to the dumping margin which the Department 
determined in this final determination; (2) for all combinations of PRC 
exporters/producers of merchandise under consideration which have not 
received their own separate rate above, the cash deposit rate will be 
equal to the dumping margin established for the PRC-wide entity; and 
(3) for all non-PRC exporters of merchandise under consideration which 
have not received their own separate rate above, the cash deposit rate 
will be equal to the cash deposit rate applicable to the PRC exporter/
producer combination that supplied that non-PRC exporter. These 
suspension-of-liquidation instructions will remain in effect until 
further notice.

ITC Notification

    In accordance with section 735(d) of the Act, we notified the 
International Trade Commission (ITC) of the final affirmative 
determination of sales at LTFV. As the Department's final determination 
is affirmative, in accordance with section 735(b)(2) of the Act, the 
ITC will determine, within 45 days, whether the domestic industry in 
the United States is materially injured, or threatened with material 
injury, by reason of imports of subject merchandise, or sales (or the 
likelihood of sales) for importation, of the subject merchandise. If 
the ITC determines that such injury does not exist, this proceeding 
with be terminated and all securities posted will be refunded or 
canceled. If the ITC determines that such injury does exist, the 
Department will issue an antidumping duty order directing CBP to 
assess, upon further instruction by the Department, antidumping duties 
on all imports of the subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the effective date of the 
suspension of liquidation.

Return or Destruction of Proprietary Information

    This notice also serves as a reminder to the parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition of propriety information disclosed under APO 
in accordance with 19 CFR 351.305. Timely written notification of 
return or destruction of APO materials or conversion to judicial 
protective order is hereby requested. Failure to comply with the 
regulations and terms of an APO is a sanctionable violation,
    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act.

     Dated: April 28, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix--Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of Investigation
IV. Scope Comments
V. Use of Adverse Facts Available
VI. Margin Calculations
VII. Discussion of Issues
    1. Value Added Tax
    2. Withdrawal of Targeted Dumping Regulation and Application of 
Differential Pricing Analysis
    3. Inclusion of Brokerage and Handling Expenses in the 
Calculation of Input Surrogate Values
    4. Truck Freight Surrogate Value
    5. Weight Adjustment Made to the Brokerage and Handling 
Surrogate Value
    6. Marine Insurance Surrogate Value
    7. Polypropylene Fabric Surrogate Value
    8. Electricity Surrogate Value
    9. Electricity Consumption Factor Adjustment
    10. Treatment of Social Security/Workman's Compensation in 
Surrogate Financial Ratio Calculations
    11. Treatment of Transportation Expenses in Surrogate Financial 
Ratio Calculations

[FR Doc. 2014-10240 Filed 5-2-14; 8:45 am]
BILLING CODE 3510-DS-P