[Federal Register Volume 82, Number 221 (Friday, November 17, 2017)]
[Notices]
[Pages 54322-54324]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-24965]


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

DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-836]


Light-Walled Rectangular Pipe and Tube From Mexico: Initiation 
and Expedited Preliminary Results of Changed Circumstances Review

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

SUMMARY: The Department of Commerce (Department) is simultaneously 
initiating and issuing the preliminary results of a changed 
circumstances review (CCR) of the antidumping duty order on light-
walled rectangular pipe and tube (LWRPT) from Mexico, consistent with 
section 751(b) of the Tariff Act of 1930, as amended (the Act) and 19 
CFR 351.216 and 351.221(c)(3)(ii). Based on the information on the 
record, we preliminarily determine that Perfiles LM, S.A. de C.V. 
(Perfiles) is the successor-in-interest to Perfiles y Herrajes LM, S.A. 
de C.V. (Perfiles y Herrajes). Interested parties are invited to 
comment on these preliminary results.

DATES: Applicable November 17, 2017.

FOR FURTHER INFORMATION CONTACT: Madeline R. Heeren, AD/CVD Operations, 
Office VI, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW., Washington, DC 20230; telephone: (202) 482-9179.

SUPPLEMENTARY INFORMATION: 

Background

    On August 5, 2008, the Department published the antidumping duty 
order on LWRPT from Mexico.\1\ On July 31, 2017, Perfiles y Herrajes 
informed the Department that, effective July 11, 2017, it had changed 
its name to '' Perfiles LM, S.A. de C.V.,'' (i.e., Perfiles) and 
requested that the Department conduct a CCR under 19 CFR 351.216(b) to 
determine that Perfiles is the successor-in-interest to Perfiles y 
Herrajes for purposes of determining Perfiles' antidumping duty cash 
deposits and liabilities.\2\
---------------------------------------------------------------------------

    \1\ See Light-Walled Rectangular Pipe and Tube from Mexico, the 
People's Republic of China, and the Republic of Korea: Antidumping 
Duty Orders; Light-Walled Rectangular Pipe and Tube from the 
Republic of Korea: Notice of Amended Final Determination of Sales at 
Less Than Fair Value, 73 FR 45403 (August 5, 2008) (Order).
    \2\ See Letter, ``Light-Walled Rectangular Pipe and Tube from 
Mexico--Notice of Change in Company Name,'' dated July 31, 2017 (CCR 
Request).
---------------------------------------------------------------------------

    On August 17, 2017, the Department declined to initiate the CCR 
that Perfiles y Herrajes requested, citing the need for additional 
information pertaining to any changes in management, production 
facilities, customers, and suppliers.\3\ Therefore, the Department 
issued Perfiles y Herrajes a questionnaire. On October 2, 2017, 
Perfiles y Herrajes filed its response, in which it provided additional 
information to support its request.\4\ We have received no comments 
from any other interested party.
---------------------------------------------------------------------------

    \3\ See Letter, ``Light-Walled Rectangular Pipe and Tube from 
Mexico: Antidumping Duty Changed Circumstances Review Deficiency 
Questionnaire,'' dated August 17, 2017 (CCR Questionnaire).
    \4\ See Letter, ``Light-Walled Rectangular Pipe and Tube from 
Mexico--Response to August 17 Questionnaire,'' dated October 2, 2017 
(CCR Questionnaire Response).
---------------------------------------------------------------------------

Scope of the Review

    The merchandise subject to this order is certain welded carbon-
quality light-walled steel pipe and tube, of rectangular (including 
square) cross section, having a wall thickness of less than 4 mm.
    The term carbon-quality steel includes both carbon steel and alloy 
steel which contains only small amounts of alloying elements. 
Specifically, the term carbon-quality includes products in which none 
of the elements listed below exceeds the quantity by weight 
respectively indicated: 1.80 percent of manganese, or 2.25 percent of 
silicon, or 1.00 percent of copper, or 0.50 percent of aluminum, or 
1.25 percent of chromium, or 0.30 percent of cobalt, or 0.40 percent of 
lead, or 1.25 percent of nickel, or 0.30 percent of tungsten, or 0.10 
percent of molybdenum, or 0.10 percent of niobium, or 0.15 percent 
vanadium, or 0.15 percent of zirconium.
    The description of carbon-quality is intended to identify carbon-
quality products within the scope. The welded carbon-quality 
rectangular pipe and tube subject to this order is currently classified 
under the Harmonized Tariff Schedule of the United States (HTSUS) 
subheadings 7306.61.50.00 and 7306.61.70.60. While HTSUS subheadings 
are provided for convenience and customs purposes, our written 
description of the scope of this order is dispositive.\5\
---------------------------------------------------------------------------

    \5\ For a complete description of the scope of the order, see 
Memorandum, ``Light-Walled Rectangular Pipe and Tube from Mexico: 
Initiation and Expedited Preliminary Results of Changed 
Circumstances Review,'' dated concurrently with, and hereby adopted 
by, these preliminary results (Preliminary Decision Memorandum).

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

[[Page 54323]]

Initiation of Changed Circumstances Review

    Pursuant to section 751(b)(1) of the Act and the Department's 
regulations (19 CFR 351.216 and 351.221(c)(3)), the Department will 
conduct a CCR upon receipt of information concerning, or a request from 
an interested party for a review of, an order which shows changed 
circumstances sufficient to warrant a review of the order. Generally, 
in the past, the Department has used CCRs to address the applicability 
of cash deposit rates after there have been changes in the name or 
structure of a respondent, such as a merger or spinoff (i.e., 
successor-in-interest, or successorship determinations).\6\
---------------------------------------------------------------------------

    \6\ See, e.g., Crystalline Silicon Photovoltaic Cells, Whether 
or Not Assembled Into Modules, from the People's Republic of China: 
Final Results of Changed Circumstances Review, 81 FR 91909 (December 
19, 2016) (Solar Cells PRC 2016 CCR Final).
---------------------------------------------------------------------------

    Perfiles y Herrajes states that, effective July 11, 2017, Perfiles 
y Herrajes changed its name to Perfiles.\7\ Consistent with Department 
practice, as further discussed in the Preliminary Decision Memorandum, 
we find that the information submitted by Perfiles y Herrajes 
demonstrates changed circumstances sufficient to warrant a review.\8\ 
Therefore, in accordance with section 751(b)(1) of the Act and 19 CFR 
351.216(d), the Department is initiating a CCR to determine whether 
Perfiles is the successor-in-interest to Perfiles y Herrajes.
---------------------------------------------------------------------------

    \7\ See CCR Request at 1.
    \8\ See 19 CFR 351.216(d).
---------------------------------------------------------------------------

Preliminary Results

    When it concludes that expedited action is warranted, the 
Department may publish the notice of initiation and preliminary results 
of a CCR in a single notice.\9\ The Department has combined the notice 
of initiation and preliminary results in successor-in-interest cases 
when sufficient documentation has been provided supporting the request 
to make a preliminary determination.\10\ In this instance, because the 
record contains information necessary to support the request for a 
preliminary determination, we find that expedited action is warranted, 
and we are combining the notice of initiation and the notice of 
preliminary results, in accordance with 19 CFR 351.221(c)(3)(ii).
---------------------------------------------------------------------------

    \9\ See 19 CFR 351.221(c)(3)(ii).
    \10\ See, e.g., Initiation and Preliminary Results of 
Antidumping Duty Changed Circumstances Review: Crystalline Silicon 
Photovoltaic Cells, Whether or Not Assembled Into Modules, from the 
People's Republic of China, 81 FR 76561 (November 3, 2016), 
unchanged in Solar Cells PRC 2016 CCR Final.
---------------------------------------------------------------------------

    In a CCR, we generally consider a company to be the successor-in-
interest to another company for antidumping cash deposit purposes if 
the operations of the successor-in-interest are not materially 
dissimilar from those of its predecessor.\11\ In making this 
determination, the Department examines a number of factors including, 
but not limited to, changes in: (1) Management; (2) production 
facilities; (3) suppliers; and (4) customer base.\12\ While no one or 
several of these factors will necessarily provide a dispositive 
indication of succession, the Department will generally consider one 
company to be the successor-in-interest to another company if its 
resulting operation is essentially the same as that of its 
predecessor.\13\ Thus, if the evidence demonstrates that, with respect 
to the production and sale of the subject merchandise, the new company 
operates as the same business entity as the prior company, the 
Department will assign the new company the cash deposit rate of its 
predecessor.\14\
---------------------------------------------------------------------------

    \11\ Id.
    \12\ See Initiation and Preliminary Results of Antidumping Duty 
Changed Circumstances Review: Multilayered Wood Flooring from the 
People's Republic of China, 79 FR 48117, 48118 (August 15, 2014), 
unchanged in Multilayered Wood Flooring from the People's Republic 
of China: Final Results of Changed Circumstances Review, 79 FR 58740 
(September 30, 2014).
    \13\ Id.
    \14\ See Solar Cells PRC 2016 CCR Final, 81 FR at 91910.
---------------------------------------------------------------------------

    In its CCR Questionnaire Response, Perfiles y Herrajes provided 
evidence demonstrating that Perfiles' operations are not materially 
dissimilar from those of its predecessor, Perfiles y Herrajes.\15\ 
Specifically, the record indicates that there have not been any 
material changes to management,\16\ production facilities,\17\ 
suppliers,\18\ or customer base.\19\ Based on the foregoing findings, 
which are explained in greater detail in the Preliminary Decision 
Memorandum,\20\ the Department preliminarily determines that Perfiles 
is the successor-in-interest to Perfiles y Herrajes and, as such, it is 
entitled to Perfiles y Herrajes' antidumping cash deposit rate with 
respect to entries of subject merchandise. Should our final results 
remain the same as these preliminary results, we will instruct U.S. 
Customs and Border Protection to suspend liquidation of entries of 
LWRPT produced and/or exported by Perfiles and apply the antidumping 
cash deposit rate applicable to Perfiles y Herrajes, effective the date 
of publication of the final results.
---------------------------------------------------------------------------

    \15\ See Letter, ``Light-Walled Rectangular Pipe and Tube from 
Mexico--Response to August 17 Questionnaire,'' dated October 2, 2017 
(CCR Questionnaire Response).
    \16\ Id. at 5-6, Appendices A-3-A, A-3-B, A-4-A, and A-4-B.
    \17\ Id. at 9-10, Appendices A-7-A, A-7-B, and A-7-C.
    \18\ Id. at 11, Appendices A-8-A, and A-8-B.
    \19\ Id. at 8, Appendices A-6-A, and A-6-B.
    \20\ See Preliminary Decision Memorandum.
---------------------------------------------------------------------------

Public Comment

    Interested parties may submit case briefs not later than 30 days 
after the date of publication of this notice.\21\ Rebuttal briefs, 
limited to issues raised in the case briefs, may be filed by no later 
than five days after the deadline for filing case briefs.\22\ Parties 
who submit case or rebuttal briefs in this CCR are requested to submit 
with each argument: (1) A statement of the issue; and (2) a brief 
summary of the argument with an electronic version included.\23\
---------------------------------------------------------------------------

    \21\ See 19 CFR 321.309(c)(1)(ii).
    \22\ See 19 CFR 351.309(d)(1).
    \23\ See 19 CFR 351.309(c)(2) and (d)(2).
---------------------------------------------------------------------------

    Any interested party may request a hearing within 30 days of 
publication of this notice.\24\ Hearing requests should contain the 
following information: (1) The party's name, address, and telephone 
number; (2) the number of participants; and (3) a list of the issues to 
be discussed. Oral presentations at the hearing will be limited to 
issues raised in the briefs. If a request for a hearing is made, 
parties will be notified of the time and date for the hearing to be 
held at the U.S. Department of Commerce, 1401 Constitution Avenue NW., 
Washington, DC 20230 in a room to be determined.\25\
---------------------------------------------------------------------------

    \24\ See 19 CFR 351.310(c).
    \25\ See 19 CFR 351.310(d).
---------------------------------------------------------------------------

    All submissions, with limited exceptions, must be filed 
electronically using Enforcement and Compliance's Antidumping and 
Countervailing Duty Centralized Electronic Service System (ACCESS). An 
electronically filed document must be received successfully in its 
entirety by 5 p.m. Eastern Time (ET) on the due date. Documents 
excepted from the electronic submission requirements must be filed 
manually (i.e., in paper form) with the APO/Dockets Unit in Room 18022 
and stamped with the date and time of receipt by 5 p.m. ET on the due 
date.\26\
---------------------------------------------------------------------------

    \26\ See Antidumping and Countervailing Duty Proceedings: 
Electronic Filing Procedures: Administrative Protective Order 
Procedures, 76 FR 39263 (July 6, 2011).
---------------------------------------------------------------------------

    Unless extended, consistent with 19 CFR 351.216(e), we intend to 
issue the final results of this CCR no later than 270 days after the 
date on which this review was initiated or within 45 days if all 
parties agree to the outcome of the review. We intend to issue and 
publish this initiation and preliminary results

[[Page 54324]]

notice in accordance with sections 751(b)(1) and 777(i)(1) of the Act 
---------------------------------------------------------------------------
and 19 CFR 351.216 and 351.221(c)(3) of the Department's regulations.

    Dated: November 13, 2017.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2017-24965 Filed 11-16-17; 8:45 am]
 BILLING CODE 3510-DS-P