[Federal Register Volume 83, Number 227 (Monday, November 26, 2018)]
[Notices]
[Pages 60396-60397]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-25704]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-068]


Forged Steel Fittings From the People's Republic of China: 
Countervailing Duty Order

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: Based on affirmative final determinations by the Department of 
Commerce (Commerce) and the International Trade Commission (ITC), 
Commerce is issuing a countervailing duty order on forged steel 
fittings from the People's Republic of China (China).

DATES: Applicable November 26, 2018.

FOR FURTHER INFORMATION CONTACT: Brian Smith or Janae Martin, AD/CVD 
Operations, Office VIII, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone (202) 482-1766 or (202) 482-
0238, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On October 5, 2018, Commerce published its final determination in 
the countervailing duty investigation of forged steel fittings from 
China.\1\ On November 19, 2018, the ITC notified Commerce of its final 
determination, pursuant to section 705(d) of the Act, that an industry 
in the United States is materially injured within the meaning of 
section 705(b)(1)(A)(i) of the Act, by reason of subsidized imports of 
forged steel fittings from China.\2\
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    \1\ See Forged Steel Fittings from the People's Republic of 
China: Final Affirmative Countervailing Duty Determination, 83 FR 
50342 (October 5, 2018) (Final Determination).
    \2\ See ITC Notification Letter to the Deputy Assistant 
Secretary for Enforcement and Compliance, referencing ITC 
Investigation Nos. 701-TA-589 and 731-TA-1394-95, dated November 19, 
2018 (ITC Notification).
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Scope of the Order \3\
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    \3\ See Memorandum to the File, ``Placing Carbon Steel Butt Weld 
Pipe Fitting Scope Ruling on the Record, dated September 19, 2018.
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    The products covered by this order are forged steel fittings from 
China. For a complete description of the scope of this order, see the 
Appendix to this notice.

Countervailing Duty Order

    On November 19, 2018, in accordance with section 705(d) of the Act, 
the ITC notified Commerce of its final determination in this 
investigation, in which it found that imports of forged steel fittings 
are materially injuring a U.S. industry.\4\ Therefore, in accordance 
with section 705(c)(2) of the Act, we are publishing this 
countervailing duty order.
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    \4\ See ITC Notification; see also Forged Steel Fittings from 
China and Italy (Inv. Nos. 701-TA-589 and 731-TA-1394-1395 (Final), 
USITC Publication 4850, November 2018).
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    As a result of the ITC's final determination, in accordance with 
section 706(a) of the Act, Commerce will direct U.S. Customs and Border 
Protection (CBP) to assess, upon further instruction by Commerce, 
countervailing duties on unliquidated entries of subject merchandise 
from China entered, or withdrawn from warehouse, for consumption on or 
after March 14, 2018, the date on which Commerce published its 
preliminary countervailing duty determination in the Federal 
Register,\5\ and before July 11, 2018, the effective date on which 
Commerce instructed CBP to discontinue the suspension of liquidation in 
accordance with section 703(d) of the Act. Section 703(d) of the Act 
states that the suspension of liquidation pursuant to a preliminary 
determination may not remain in effect for more than four months. 
Therefore, entries of subject merchandise from China made on or after 
July 11, 2018, and prior to the date of publication of the ITC's final 
determination in the Federal Register are not liable for the assessment 
of countervailing duties due to Commerce's discontinuation of the 
suspension of liquidation.
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    \5\ See Forged Steel Fittings from the People's Republic of 
China: Preliminary Affirmative Countervailing Duty Determination and 
Alignment of Final Determination with Final Antidumping Duty 
Determination, 83 FR 11170 (March 14, 2018).
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Suspension of Liquidation

    In accordance with section 706 of the Act, Commerce will direct CBP 
to reinstitute the suspension of liquidation of subject merchandise 
from China, effective the date of publication of the ITC's notice of 
final determination in the Federal Register, and to assess, upon 
further instruction by Commerce pursuant to section 706(a)(1) of the 
Act, countervailing duties for each entry of the subject merchandise in 
an amount based on the net countervailable subsidy rates for the 
subject merchandise. On or after the date of publication of the ITC's 
final injury determination in the Federal Register, we will instruct 
CBP to require, at the same time as importers would normally deposit 
estimated duties on this merchandise, cash deposits for each entry of 
subject merchandise equal to the rates noted below. These instructions 
suspending liquidation will remain in effect until further notice. The 
all others rate applies to all producers or exporters not specifically 
listed, as appropriate.

------------------------------------------------------------------------
                                                                Subsidy
                           Company                               rate
                                                               (percent)
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Both-Well (Taizhou) Steel Fittings, Co., Ltd................       13.41
All-Others..................................................       13.41
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Notifications to Interested Parties

    This notice constitutes the countervailing duty order with respect 
to forged steel fittings from China pursuant to section 706(a) of the 
Act. Interested parties can find a list of countervailing duty orders 
currently in

[[Page 60397]]

effect at http://enforcement.trade.gov/stats/iastatsl.html.
    This order is issued and published in accordance with section 
706(a) of the Act and 19 CFR 351.211(b).

    Dated: November 20, 2018.
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.

Appendix

Scope of the Order

    The merchandise covered by this order is carbon and alloy forged 
steel fittings, whether unfinished (commonly known as blanks or 
rough forgings) or finished. Such fittings are made in a variety of 
shapes including, but not limited to, elbows, tees, crosses, 
laterals, couplings, reducers, caps, plugs, bushings, unions, and 
outlets. Forged steel fittings are covered regardless of end finish, 
whether threaded, socket-weld or other end connections.
    While these fittings are generally manufactured to 
specifications ASME B16.11, MSS SP-79, MSS SP-83, MSS SP-97, ASTM 
A105, ASTM A350, and ASTM A182, the scope is not limited to fittings 
made to these specifications.
    The term forged is an industry term used to describe a class of 
products included in applicable standards and does not reference an 
exclusive manufacturing process. Forged steel fittings are not 
manufactured from casting. Pursuant to the applicable 
specifications, subject fittings may also be machined from bar stock 
or machined from seamless pipe and tube.
    All types of fittings are included in the scope regardless of 
nominal pipe size (which may or may not be expressed in inches of 
nominal pipe size), pressure rating (usually, but not necessarily 
expressed in pounds of pressure/PSI, e.g., 2,000 or 2M; 3,000 or 3M; 
6,000 or 6M; 9,000 or 9M), wall thickness, and whether or not heat 
treated.
    Excluded from this scope are all fittings entirely made of 
stainless steel. Also excluded are flanges, butt weld fittings, butt 
weld outlets, nipples, and all fittings that have a maximum pressure 
rating of 300 pounds of pressure/PSI or less.
    Also excluded are fittings certified or made to the following 
standards, so long as the fittings are not also manufactured to the 
specifications of ASME B16.11, MSS SP-79, MSS SP-83, MSS SP-97, ASTM 
A105, ASTM A350, and ASTM A182:

 American Petroleum Institute (API) API 5CT, API 5L, or API 
11B
 Society of Automotive Engineering (SAE) SAE J476, SAE J514, 
SAE J516, SAE J517, SAE J518, SAE J1026, SAE J1231, SAE J1453, SAE 
J1926, J2044 or SAE AS 35411
 Underwriter's Laboratories (UL) certified electrical 
conduit fittings
 ASTM A153, A536, A576, or A865
 Casing Conductor Connectors 16-42 inches in diameter made 
to proprietary specifications
 Military Specification (MIL) MIL-C-4109F and MIL-F-3541
 International Organization for Standardization (ISO) 
ISO6150-B
    To be excluded from the scope, products must have the 
appropriate standard or pressure markings and/or accompanied by 
documentation showing product compliance to the applicable standard 
or pressure, e.g., ``API 5CT'' mark and/or a mill certification 
report.

    Subject carbon and alloy forged steel fittings are normally 
entered under Harmonized Tariff Schedule of the United States 
(HTSUS) 7307.99.1000, 7307.99.3000, 7307.99.5045, and 7307.99.5060. 
They also may be entered under HTSUS 7307.92.3010, 7307.92.3030, 
7307.92.9000, and 7326.19.0010. The HTSUS subheadings and 
specifications are provided for convenience and customs purposes; 
the written description of the scope is dispositive.

[FR Doc. 2018-25704 Filed 11-23-18; 8:45 am]
 BILLING CODE 3510-DS-P