[Federal Register Volume 84, Number 203 (Monday, October 21, 2019)]
[Notices]
[Pages 56173-56174]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-22870]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-489-502]


Circular Welded Carbon Steel Pipes and Tubes From the Republic of 
Turkey: Final Results of Countervailing Duty Administrative Review and 
Rescission of Countervailing Duty Administrative Review, in Part; 
Calendar Year 2017

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that 
countervailable subsidies are being provided to Borusan Holding A.S. 
(Borusan Holding), Borusan Mannesmann Boru Sanayi ve Ticaret A.S. 
(Borusan), and Borusan Istikbal Ticaret T.A.S. (Borusan Istikbal) 
(collectively the Borusan Companies) and Tos[ccedil]elik Profil ve Sac 
End[uuml]strisi A.[Scedil]. (Tos[ccedil]elik Profil), Tosyali Dis 
Ticaret A.S. (TDT), Tosyali Holding, Tos[ccedil]elik Toyo Celik 
(Tos[ccedil]elik Toyo), Tosyali Filmasin ve Insaat Demir (Tosyali 
Filmasin), Tos[ccedil]elik Spiral Boru (Tos[ccedil]elik Spiral), 
Tosyali Demir Celik San A.S. (TDC), Tos[ccedil]elik Granul San A.S. 
(Toselik Granul), and Tosyali Celik Ticaret A.S. (TCT) (collectively, 
the Tos[ccedil]elik Companies), producers/exporters of circular welded 
carbon steel pipes and tubes (pipes and tubes) from Turkey for the 
period of review (POR) January 1, 2017, through December 31, 2017.

DATES: Applicable October 21, 2019.

FOR FURTHER INFORMATION CONTACT: John Conniff (the Tos[ccedil]elik 
Companies) at 202-482-1009, or Jolanta Lawska (the Borusan Companies) 
at 202-482-8362, AD/CVD Operations, Office III, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.

SUPPLEMENTARY INFORMATION: 

Background

    On May 14, 2019, Commerce published the preliminary results of this 
administrative review.\1\ On August 29, 2019, Commerce extended the 
deadline for the final results to October 11, 2019.\2\ For a summary of 
events that occurred since the Preliminary Results, see the Issues and 
Decision Memorandum.\3\
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    \1\ See Circular Welded Carbon Steel Pipes and Tubes From the 
Republic of Turkey: Preliminary Results of Countervailing Duty 
Administrative Review and Intent To Rescind the Review, in Part; 
Calendar Year 2017, 84 FR 21327 (May 14, 2019) (Preliminary 
Results), and accompanying Preliminary Decision Memorandum.
    \2\ See Memorandum, ``Circular Welded Carbon Steel Pipes and 
Tubes from Turkey: Extension of Deadline for Final Results of 
Countervailing Duty Administrative Review,'' dated August 29, 2019.
    \3\ See Memorandum, ``Issues and Decision memorandum for the 
Final Results of Countervailing Duty Administrative Review: Circular 
Welded Carbon Steel Pipes and Tubes from the Republic of Turkey; 
2017,'' dated concurrently with, and hereby adopted by, this notice 
(Issues and Decision Memorandum).
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Scope of the Order

    The merchandise covered by the countervailing duty order is 
circular welded carbon steel pipes and tubes from Turkey. For a 
complete description of the scope of the order, see the accompanying 
Issues and Decision Memorandum.

Rescission of the 2017 Administrative Review, in Part

    On May 14, 2018, Erbosan Erciyas Boru Sanayi ve Ticaret A.S. 
(Erbosan) timely filed a no shipments certification.\4\ Additionally, 
on June 1, 2018, Borusan submitted a letter to Commerce timely 
certifying that Borusan Istikbal, Borusan Birlesik Boru Fabrikalair San 
ve Tic. (Borusan Birlesik), Borusan Gemlik Boru Tesisleri A.S. (Borusan 
Gemlik), Borusan Ithicat ve Dagitim A.S. (Borusan Ithicat), Borusan 
Ihacat Ithalat ve Dagitim A.S. (Borusan Ithalat), and Tubeco Pipe and 
Steel Corporation (Borusan Tubeco) had no entries, exports, or sales of 
subject merchandise during the POR.\5\ With the exception of Borusan 
Istikbal, a company that Commerce has found to be cross-owned with 
Borusan during the POR, Commerce transmitted no-shipment inquiries to 
CBP regarding whether subject merchandise produced and/or exported by 
these companies entered the United States during the POR.
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    \4\ See Erbosan's Letter, ``No Shipment Certification of Erbosan 
Erciyas Boru Sanayi ve Ticaret A.S. (Erbosan) in the 2017 
Administrative Review of the Countervailing Duty Order Involving 
Certain Welded Carbon Steel Standard Pipe from Turkey,'' dated May 
14, 2018.
    \5\ See Borusan's Letter, ``Circular Welded Carbon Steel Pines 
and Tubes from Turkey. Case No. C-489-502: No Shipment Letter,'' 
dated June 1, 2018.
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    Commerce did not receive any information from interested parties or 
U.S. Customs and Border Protection (CBP) that was contrary to the 
claims of Erbosan, Borusan Birlesik, Borusan Gemlik, Borusan Ithicat, 
Borusan Ithalat, and Borusan Tubeco. Accordingly, based on record 
evidence, we determine that Erbosan, Borusan Birlesik, Borusan Gemlik, 
Borusan Ithicat, Borusan Ithalat, and Borusan Tubeco did not ship 
subject merchandise to the United States during the POR. Therefore, in 
accordance with 19 CFR 351.213(d)(3), and consistent with our 
practice,\6\ we are rescinding the review for Erbosan, Borusan 
Birlesik, Borusan Gemlik, Borusan Ithicat, Borusan Ithalat, and Borusan 
Tubeco. Because we have found Borusan Istikbal to be cross-owned with 
Borusan during the POR, we are not rescinding the review with respect 
to Borusan Istikbal and are assigning it Borusan's rate.
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    \6\ See, e.g., Aluminum Extrusions from the People's Republic of 
China: Notice of Partial Rescission of Countervailing Duty 
Administrative Review, 79 FR 2635 (January 15, 2014).
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Analysis of Comments Received

    We addressed all issues raised in the case and rebuttal briefs in 
the Issues and Decision Memorandum, which is hereby adopted with this 
notice. The issues are identified in the Appendix to this notice. 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 (ACCESS). 
ACCESS is available to registered users at https://access.trade.gov and 
is available to all parties in the Central Records Unit, Room B8024 of 
the main Commerce building. In addition, a complete version of the 
Issues and Decision Memorandum can be accessed directly on the internet 
at http://enforcement.trade.gov/frn/. The signed Issues and Decision 
Memorandum and the electronic versions of the Issues and Decision 
Memorandum are identical in content.

Methodology

    Commerce conducted this review in accordance with section 
751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found countervailable during the POR, we 
determine that there is a subsidy, i.e., a government-provided 
financial contribution that confers a benefit to the recipient, and 
that the subsidy is specific.\7\ For a complete description of the 
methodology underlying all of

[[Page 56174]]

Commerce's conclusions, see the Issues and Decision Memorandum.
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    \7\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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Changes Since the Preliminary Results

    Based on the comments received, we made changes to the net subsidy 
rates calculated for the Borusan Companies. For a discussion of these 
issues, see the Issues and Decision Memorandum.

Final Results of the Review

    In accordance with 19 CFR 351.221(b)(5), we calculated individual 
subsidy rates for the Borusan Companies and the Tos[ccedil]elik 
Companies. For the period January 1, 2017, through December 31, 2017, 
we determine that the following net subsidy rates for the producers/
exporters under review to be as follows:

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            ad valorem
                                                             (percent)
------------------------------------------------------------------------
Borusan Holding A.S., Borusan Mannesmann Yatirim                    0.82
 Holding, Borusan Mannesmann Boru Sanayi ve Ticaret A.S.
 (Borusan), and Borusan Istikbal Ticaret T.A.S.
 (Istikbal) (collectively, the Borusan Companies).......
Tos[ccedil]elik Profil ve Sac Endustrisi A.S.                       1.53
 (Tos[ccedil]elik Profil), Tosyali Dis Ticaret A.S.
 (TDT), Tosyali Holding, Tos[ccedil]elik Toyo Celik
 (Tos[ccedil]elik Toyo), Tosyali Filmasin ve Insaat
 Demir (Tosyali Filmasin), Tos[ccedil]elik Spiral Boru
 (Tos[ccedil]elik Spiral), Tosyali Demir Celik San A.S.
 (TDC), Tos[ccedil]elik Granul San A.S. (Toselik
 Granul), and Tosyali Celik Ticaret A.S. (TCT)
 (collectively, the Tos[ccedil]elik Companies)..........
Cagil Makina Sanayi ve Ticaret A.S......................            1.18
Cayirova Boru Sanayi ve Ticaret A.S.....................            1.18
Cimtas Boru Imalatlari ve Ticaret Sirketi...............            1.18
Eksen Makina............................................            1.18
Guner Eksport...........................................            1.18
Guven Steel Pipe (also known as Guven Celik Born San. Ve            1.18
 Tic. Ltd.).............................................
MTS Lojistik ve Tasimacilik Hizmetleri TIC A.S. Istanbul            1.18
Net Boru Sanayi ve Dis Ticaret Koll. Sti................            1.18
Tos[ccedil]elik Metal Ticaret A.S.......................            1.18
Umran Celik Born Sanayii A.S., also known as Umran Steel            1.18
 Pipe Inc...............................................
Yucel Boru ve Profil Endustrisi A.S.....................            1.18
Yucelboru Ihracat Ithalat ve Pazarlama A.S..............            1.18
------------------------------------------------------------------------

Assessment Rates

    In accordance with 19 CFR 351.212(b)(2), Commerce intends to issue 
assessment instructions to U.S. Customs and Border Protection (CBP) 15 
days after the date of publication of these final results of review to 
liquidate shipments of subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after January 1, 2017, through 
December 31, 2017.
    For the companies for which this review is rescinded, Commerce will 
instruct CBP to assess countervailing duties on all appropriate entries 
at a rate equal to the cash deposit of estimated countervailing duties 
required at the time of entry, or withdrawal from warehouse, for 
consumption, during the period January 1, 2017, through December 31, 
2017, in accordance with 19 CFR 351.212(c)(1)(i).

Cash Deposit Requirements

    Pursuant to section 751(a)(1) of the Act, upon issuance of the 
final results, Commerce also intends to instruct CBP to collect cash 
deposits of estimated countervailing duties for each of the companies 
listed above on shipments of subject merchandise entered, or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of this administrative review, except, where the rate 
calculated in the final results is zero or de minimis, no cash deposit 
will be required. For all non-reviewed firms, we will instruct CBP to 
continue to collect cash deposits of estimated countervailing duties at 
the most recent company-specific or all-others rate applicable to the 
company, as appropriate. These cash deposit requirements, when imposed, 
shall remain in effect until further notice.

Disclosure

    We will disclose to the parties in this proceeding the calculations 
performed for these final results within five days of the date of 
publication of this notice in the Federal Register.\8\
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    \8\ See 19 CFR 351.224(b).
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Administrative Protective Order

    This notice also serves as a reminder to parties subject to an 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3), which continues to govern 
business proprietary information in this segment of proceeding. Timely 
written notification of the return/destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and the terms of an APO is a sanctionable 
violation which is subject to sanction.
    These final results are issued and published in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act, 19 CFR 351.213(d)(4), and 
19 CFR 351.221(b)(5).

    Dated: October 11, 2019.
Christian Marsh,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix

I. Summary
II. Background
III. Scope of the Order
IV. Period of Review
V. Subsidies Valuation Information
VI. Non-Selected Rate
VII. Analysis of Programs
VIII. Analysis of Comments
IX. Recommendation

[FR Doc. 2019-22870 Filed 10-18-19; 8:45 am]
 BILLING CODE 3510-DS-P