[Federal Register Volume 84, Number 222 (Monday, November 18, 2019)]
[Notices]
[Pages 63615-63617]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-24900]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-580-870]
Certain Oil Country Tubular Goods From the Republic of Korea:
Preliminary Results of Antidumping Duty Administrative Review; 2017-
2018
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines
that certain oil country tubular goods (OCTG) from the Republic of
Korea (Korea) are being sold in the United States at prices below
normal value. The period of review (POR) is September 1, 2017 through
August 31, 2018. Interested parties are invited to comment on these
preliminary results.
DATES: Applicable November 18, 2019.
FOR FURTHER INFORMATION CONTACT: Davina Friedmann or Julie Geiger, 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) 482-0698 or (202)
482-2057, respectively.
SUPPLEMENTARY INFORMATION:
Background
These preliminary results are made in accordance with section
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce
published the notice of initiation of this administrative review on
November 15, 2018.\1\ Commerce exercised its discretion to toll all
deadlines affected by the partial federal government closure from
December 22, 2018 through the resumption of operations on January 29,
2019.\2\ Commerce selected Hyundai Steel Company (Hyundai Steel) and
SeAH Steel Corporation (SeAH) as the two mandatory respondents in this
review.\3\ Commerce extended the time limit for completing the
preliminary results of this administrative review, and the revised
deadline is now November 8, 2019.\4\ On August 6, 2019, Commerce
received a timely filed allegation that a particular market situation
(PMS) existed with respect to Hyundai Steel's and SeAH's costs of
production of
[[Page 63616]]
OCTG in Korea during the POR. \5\ For a complete description of the
events that followed the initiation of this investigation, see the
Preliminary Decision Memorandum, dated concurrently with these
preliminary results and hereby adopted by this notice.\6\
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\1\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 83 FR 57411 (November 15, 2018) (Initiation
Notice).
\2\ See Memorandum to the Record from 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, ``Deadlines
Affected by the Partial Shutdown of the Federal Government,'' dated
January 28, 2019. All deadlines in this segment of the proceeding
have been extended by 40 days.
\3\ See Memorandum, ``2017-2018 Administrative Review of the
Antidumping Duty Order on Oil Country Tubular Goods from the
Republic of Korea: Respondent Selection,'' dated February 15, 2019.
\4\ See Memoranda, ``Certain Oil Country Tubular Goods from the
Republic of Korea: Extension of Time Limit for Preliminary Results
of Antidumping Duty Administrative Review'' dated July 1, 2019;
``Certain Oil Country Tubular Goods from the Republic of Korea:
Extension of Time Limit for Preliminary Results of Antidumping Duty
Administrative Review,'' dated September 6, 2019; and ``Certain Oil
Country Tubular Goods from the Republic of Korea: Extension of Time
Limit for Preliminary Results of Antidumping Duty Administrative
Review,'' dated October 31, 2019.
\5\ See Domestic Interested Parties' Letter, ``Oil Country
Tubular Goods from the Republic of Korea: Particular Market
Situation Allegation,'' dated August 6, 2019 (PMS Allegation).
\6\ See Memorandum, ``Decision Memorandum for the Preliminary
Results in the 2017-2018 Administrative Review of Oil Country
Tubular Goods from the Republic of Korea'' dated concurrently with,
and hereby adopted by, this notice (Preliminary Decision
Memorandum).
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A list of topics included in the Preliminary Decision Memorandum is
included as Appendix I to this notice. The Preliminary 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 to all parties in the
Central Records Unit, room B8024 of the main Commerce building. In
addition, a complete version of the Preliminary Decision Memorandum can
be accessed directly at http://enforcement.trade.gov/frn/. The signed
and the electronic versions of the Preliminary Decision Memorandum are
identical in content.
Scope of the Order
The product covered by the Order \7\ is OCTG from Korea. For a
complete description of the scope of the Order, see the Preliminary
Decision Memorandum.
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\7\ See Certain Oil Country Tubular Goods from India, the
Republic of Korea, Taiwan, the Republic of Turkey, and the Socialist
Republic of Vietnam: Antidumping Duty Orders; and Certain Oil
Country Tubular Goods from the Socialist Republic of Vietnam:
Amended Final Determination of Sales at Less Than Fair Value, 79 FR
53691 (September 10, 2014) (Order).
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Methodology
Commerce is conducting this administrative review in accordance
with section 751(a)(2) of the Act. Commerce has calculated export
prices in accordance with section 772(a) of the Act. Constructed export
prices have been calculated in accordance with section 772(b) of the
Act. Normal value (NV) is calculated in accordance with section 773 of
the Act. For the reasons more fully explained in the proprietary PMS
Memorandum, Commerce preliminarily finds that a cost-based PMS existed
in Korea during the POR concerning the cost of hot-rolled coil (HRC) as
a component of the cost of production for the OCTG that Hyundai Steel
and SeAH produced.\8\ Specifically, we quantified the impact of the PMS
on the material cost of HRC, and derived a corresponding adjustment
factor that, when applied to the costs of HRC, accounts for the
distortions induced by the observed PMS.\9\ For a full description of
the methodology underlying our conclusions, see the Preliminary
Decision Memorandum.
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\8\ For a complete discussion, see Memorandum, ``2017-2018
Administrative Review of Antidumping Duty Order on Certain Oil
Country Tubular Goods from the Republic of Korea: Decisions on
Particular Market Situation Allegations,'' dated concurrently with
this Federal Register Notice (PMS Memorandum).
\9\ See PMS Memorandum.
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Rates for Non-Examined Companies
The statute and Commerce's regulations do not address the
establishment of a rate to be applied to companies not selected for
examination when Commerce limits its examination in an administrative
review pursuant to section 777A(c)(2) of the Act. Generally, Commerce
looks to section 735(c)(5) of the Act, which provides instructions for
calculating the all-others rate in a market economy investigation, for
guidance when calculating the rate for companies which were not
selected for individual examination in an administrative review. Under
section 735(c)(5)(A) of the Act, the all-others rate is normally ``an
amount equal to the weighted average of the estimated weighted-average
dumping margins established for exporters and producers individually
investigated, excluding any zero or de minimis margins, and any margins
determined entirely {on the basis of facts available{time} .''
In this review, we have preliminarily calculated weighted-average
dumping margins for Hyundai Steel and SeAH that are not zero, de
minimis, or determined entirely on the basis of facts available.
Accordingly, Commerce preliminarily has assigned to the companies not
individually examined (see Appendix II for a full list of these
companies) a margin of 13.16 percent, which is the weighted average of
Hyundai Steel's and SeAH's calculated weighted-average dumping
margins.\10\
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\10\ For more information regarding the calculation of this
margin, see Memorandum, ``Preliminary Results of the 2017-2018
Administrative Review of Certain Oil Country Tubular Goods from the
Republic of Korea; Calculation of the Margin for Non-Examined
Companies,'' dated concurrently with this memorandum. As the
weighting factor, we relied on the publicly ranged sales data
reported in Hyundai Steel's and SeAH's quantity and value charts.
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Preliminary Results of Review
Commerce preliminarily determines that, for the period September 1,
2017 through August 31, 2018, the following weighted-average dumping
margins exist:
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Estimated
weighted-
Exporter/producer average
dumping margin
(percent)
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Hyundai Steel Company................................... 0.77
SeAH Steel Corporation.................................. 17.04
Non-examined companies.................................. 13.16
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Disclosure, Public Comment, and Opportunity To Request a Hearing
We intend to disclose the calculations performed for these
preliminary results of review to interested parties within five days of
the date of publication of this notice in accordance with 19 CFR
351.224(b). Pursuant to 19 CFR 351.309(c), interested parties may
submit case briefs no later than 30 days after the date of publication
of this notice. Rebuttal briefs, the content of which is limited to
issues raised in the case briefs, may be filed no later than five days
after the date for filing case briefs.\11\ Parties who submit case
briefs or rebuttal briefs in this proceeding are encouraged to submit
with each argument: (1) A statement of the issue; (2) a brief summary
of the argument; and (3) a table of authorities.\12\ Case and rebuttal
briefs should be filed using ACCESS \13\ and must be served on
interested parties.\14\ Executive summaries should be limited to five
pages total, including footnotes.
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\11\ See 19 CFR 351.309(d).
\12\ See 19 CFR 351.309(c)(2) and (d)(2).
\13\ See generally 19 CFR 351.303.
\14\ See 19 CFR 351.303(f).
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing must submit a written request to the Assistant
Secretary for Enforcement and Compliance, filed electronically via
Commerce's electronic records system, ACCESS. An electronically filed
request must be received successfully in its entirety by 5:00 p.m.
Eastern Time within 30 days of the date of publication of this
notice.\15\ Requests should contain: (1) The party's name, address and
telephone number; (2) the number of participants; and (3) a list of
issues parties intend to discuss. Issues raised in the hearing will be
limited to those raised in the respective case and rebuttal briefs. If
a request for a hearing is made, Commerce intends to hold the hearing
at the U.S. Department of
[[Page 63617]]
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230, at a date
and time to be determined.\16\ Parties should confirm the date, time,
and location of the hearing two days before the scheduled date.
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\15\ See 19 CFR 351.310(c).
\16\ See 19 CFR 351.310(d).
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Commerce intends to issue the final results of this administrative
review, including the results of its analysis of the issues raised in
any case or rebuttal briefs, no later than 120 days after the date of
publication of this notice, unless extended.\17\
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\17\ See section 751(a)(3)(A) of the Act and 19 CFR 351.213(h).
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Assessment Rates
Upon completion of this administrative review, Commerce shall
determine, and CBP shall assess, antidumping duties on all appropriate
entries. We intend to issue liquidation instructions to CBP 15 days
after publication of the final results of this review.
For any individually examined respondent whose weighted-average
dumping margin is not zero or de minimis (i.e., less than 0.5 percent)
in the final results of this review, if the respondent reported
reliable entered values, we will calculate importer-specific ad valorem
assessment rates for the merchandise based on the ratio of the total
amount of dumping calculated for the examined sales made to each
importer and the total entered value of those same sales, in accordance
with 19 CFR 351.212(b)(1). If the respondent has not reported reliable
entered values, we will calculate a per-unit assessment rate for each
importer by dividing the total amount of dumping calculated for the
examined sales made to that importer by the total sales quantity
associated with those transactions. Where an importer-specific ad
valorem assessment rate is zero or de minimis in the final results of
review, we will instruct CBP to liquidate the appropriate entries
without regard to antidumping duties in accordance with 19 CFR
351.106(c)(2). If a respondent's weighted-average dumping margin is
zero or de minimis in the final results of review, we will instruct CBP
not to assess duties on any of its entries in accordance with the Final
Modification for Reviews, i.e., ``{w{time} here the weighted-average
margin of dumping for the exporter is determined to be zero or de
minimis, no antidumping duties will be assessed.'' \18\
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\18\ See Antidumping Proceedings: Calculation of the Weighted-
Average Dumping Margin and Assessment Rate in Certain Antidumping
Proceedings: Final Modification, 77 FR 8101, 8102 (February 14,
2012) (Final Modification for Reviews).
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For entries of subject merchandise during the POR produced by
Hyundai Steel or SeAH for which the producer did not know its
merchandise was destined for the United States, or for any respondent
for which we have a final determination of no shipments, we will
instruct CBP to liquidate unreviewed entries at the all-others rate if
there is no rate for the intermediate company(ies) involved in the
transaction.\19\
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\19\ See Antidumping and Countervailing Duty Proceedings:
Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003).
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Cash Deposit Requirements
The following cash deposit requirements will be effective upon
publication of the notice of final results of this administrative
review for all shipments of the subject merchandise entered, or
withdrawn from warehouse, for consumption on or after the date of
publication, as provided by section 751(a)(2) of the Act: (1) The cash
deposit rate for the companies listed in the final results of review
will be equal to the weighted-average dumping margin established in the
final results of this administrative review; (2) for merchandise
exported by producers or exporters not covered in this review but
covered in a prior segment of the proceeding, the cash deposit rate
will continue to be the company-specific rate published for the most
recently completed segment of this proceeding in which they were
reviewed; (3) if the exporter is not a firm covered in this review, a
prior review, or the original investigation but the producer is, then
the cash deposit rate will be the rate established for the most
recently completed segment of this proceeding for the producer of the
merchandise; (4) the cash deposit rate for all other producers or
exporters will continue to be 5.24 percent,\20\ the all-others rate
established in the less-than-fair-value investigation. These cash
deposit requirements, when imposed, shall remain in effect until
further notice.
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\20\ See Certain Oil Country Tubular Goods from the Republic of
Korea: Notice of Court Decision Not in Harmony With Final
Determination, 81 FR 59603 (August 30, 2016).
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Notification to Importers
This notice serves as a preliminary reminder to importers of their
responsibility under 19 CFR 351.402(f)(2) to file a certificate
regarding the reimbursement of antidumping duties prior to liquidation
of the relevant entries during this POR. Failure to comply with this
requirement could result in Commerce's presumption that reimbursement
of antidumping duties occurred and the subsequent assessment of double
antidumping duties.
Notification to Interested Parties
The results of this review are issued and published in accordance
with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR
351.221(b)(4).
Dated: November 8, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix I
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Rates for Non-Examined Companies
V. Duty Absorption
VI. Affiliation
VII. Discussion of the Methodology
VIII. Currency Conversion
IX. Recommendation
Appendix II
List of Companies Not Individually Examined
AJU Besteel Co., Ltd.
BDP International
Daewoo America
Daewoo International Corporation
Dong Yang Steel Pipe.
Dong-A Steel Co. Ltd.
Dongbu Incheon Steel.
DSEC.
Emdtebruecker Eisenwerk and Company
Hansol Metal.
Husteel Co., Ltd.
Hyundai RB
ILJIN Steel Corporation.
Jim And Freight Co., Ltd.
Kia Steel Co. Ltd.
KSP Steel Company
Kukje Steel
Kumkang Kind Co., Ltd.
Kurvers
NEXTEEL Co., Ltd.
POSCO Daewoo America
POSCO Daewoo Corporation
Samsung
Samsung C and T Corporation.
SeAH Besteel Corporation
Steel Canada
Sumintomo Corporation
TGS Pipe
Yonghyun Base Materials
ZEECO Asia
[FR Doc. 2019-24900 Filed 11-15-19; 8:45 am]
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