[Federal Register Volume 85, Number 10 (Wednesday, January 15, 2020)]
[Notices]
[Pages 2385-2390]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-00490]


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

DEPARTMENT OF COMMERCE

International Trade Administration

[C-428-848, C-533-894, C-475-841, C-570-116]


Forged Steel Fluid End Blocks From the Federal Republic of 
Germany, India, Italy and the People's Republic of China: Initiation of 
Countervailing Duty Investigations

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

DATES: Applicable January 8, 2020.

FOR FURTHER INFORMATION CONTACT: Robert Palmer at (202) 482-9068 
(Germany), Ethan Talbot at (202) 482-1030 (India and Italy), and Janae 
Martin at (202) 482-0238 (China), AD/CVD Operations, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.

SUPPLEMENTARY INFORMATION: 

The Petitions

    On December 19, 2019, the U.S. Department of Commerce (Commerce) 
received countervailing duty (CVD) petitions concerning imports of 
forged steel fluid end blocks (fluid end blocks) from the Federal 
Republic of Germany (Germany), India, Italy and the People's Republic 
of China (China), filed in proper form on behalf of the FEB Fair Trade 
Coalition, Ellwood Group,\1\ and Finkl Steel \2\ (collectively, the 
petitioners), domestic producers of fluid end blocks.\3\ The Petitions 
were accompanied by antidumping duty (AD) petitions concerning imports 
of fluid end blocks from Germany, India and Italy.\4\
---------------------------------------------------------------------------

    \1\ Ellwood City Forge Company, Ellwood Quality Steels Company, 
and Ellwood National Steel Company (collectively, the Ellwood 
Group).
    \2\ A. Finkl & Sons (Finkl Steel).
    \3\ See Petitioners' Letter, ``Petitions for the Imposition of 
Antidumping and Countervailing Duties: Forged Steel Fluid End Blocks 
from China, Germany, India, and Italy,'' dated December 19, 2019 
(the Petitions).
    \4\ Id.
---------------------------------------------------------------------------

    On December 23, 2019 and January 2, 2020, Commerce requested 
supplemental information pertaining to certain aspects of the Petitions 
in separate supplemental questionnaires.\5\

[[Page 2386]]

The petitioners filed responses to the supplemental questionnaires on 
December 30, 2019 through January 6, 2020.\6\ On January 6 and 7, 2020, 
the Governments of India and Italy, respectively, filed comments 
regarding the programs alleged in the Petitions.\7\
---------------------------------------------------------------------------

    \5\ See Commerce's Letters, ``Petitions for the Imposition of 
Antidumping Duties on Imports of Forged Steel Fluid End Blocks from 
the Federal Republic of Germany, India, and Italy and Countervailing 
Duties on Imports from the People's Republic of China, the Federal 
Republic of Germany, India, and Italy: Supplemental Questions,'' 
(General Issues Supplemental); ``Petition for the Imposition of 
Countervailing Duties on Imports of Forged Steel Fluid End Blocks 
from the People's Republic of China: Supplemental Questions;'' 
``Petition for the Imposition of Countervailing Duties on Imports of 
Forged Steel Fluid End Blocks from the Federal Republic of Germany: 
Supplemental Questions;'' ``Petition for the Imposition of 
Countervailing Duties on Imports of Forged Steel Fluid End Blocks 
from India: Supplemental Questions;'' and ``Petition for the 
Imposition of Countervailing Duties on Imports of Forged Steel Fluid 
End Blocks from Italy: Supplemental Questions,'' all dated December 
23, 2019; see also Memorandum, ``Phone Call with Counsel to the 
Petitioners,'' dated January 2, 2020 (Phone Memo).
    \6\ See Petitioners' Letters, ``Fluid End Blocks from China, 
Germany, India and Italy: Amendment of Petitions and Response to 
Commerce's Supplemental Questions,'' dated December 30, 2019 
(Petition Supplement); ``Fluid End Blocks from China, Germany, India 
and Italy: Second Amendment of Petitions,'' dated January 3, 2020; 
and ``Fluid End Blocks from China, Germany, India and Italy: Third 
Amendment of Petitions,'' dated January 6, 2020.
    \7\ See the Government of Italy's Letter dated January 7, 2020; 
see also the Government of India's Letter, ``Pre-Initiation 
Consultation Note on the Petition for Initiation of Countervailing 
Duty Investigation on Forged Steel Fluid End Blocks from India,'' 
dated January 6, 2020.
---------------------------------------------------------------------------

    In accordance with section 702(b)(1) of the Tariff Act of 1930, as 
amended (the Act), the petitioners allege that the Governments of 
Germany, India, Italy and China are providing countervailable 
subsidies, within the meaning of sections 701 and 771(5) of the Act, to 
producers of fluid end blocks in Germany, India, Italy, and China, and 
that imports of such products are materially injuring, or threatening 
material injury to, the domestic fluid end blocks industry in the 
United States. Consistent with section 702(b)(1) of the Act and 19 CFR 
351.202(b), for those alleged programs on which we are initiating CVD 
investigations, the Petitions are accompanied by information reasonably 
available to the petitioners supporting their allegations.
    Commerce finds that the petitioners filed the Petitions on behalf 
of the domestic industry, because the petitioners are interested 
parties, as defined in sections 771(9)(C) and (F) of the Act. Commerce 
also finds that the petitioners demonstrated sufficient industry 
support necessary for the initiation of the requested CVD 
investigations.\8\
---------------------------------------------------------------------------

    \8\ See infra, section on ``Determination of Industry Support 
for the Petition.''
---------------------------------------------------------------------------

Periods of Investigation

    Because the Petitions were filed on December 19, 2019, the periods 
of investigation (POI) are January 1, 2018 through December 31, 2018, 
or the most recently completed fiscal year for the foreign governments 
and all of the companies under investigation, provided the foreign 
governments and the companies have the same fiscal year.

Scope of the Investigations

    The products covered by these investigations are fluid end blocks 
from Germany, India, Italy and China. For a full description of the 
scope of these investigations, see the Appendix to this notice.

Comments on the Scope of the Investigations

    During our review of the Petitions, we contacted the petitioners 
regarding the proposed scope to ensure that the scope language in the 
Petitions is an accurate reflection of the products for which the 
domestic industry is seeking relief.\9\ As a result, the scope of the 
Petitions was modified to clarify the description of the merchandise 
covered by the Petitions.\10\ The description of the merchandise 
covered by these investigations, as described in the Appendix to this 
notice, reflects these clarifications.
---------------------------------------------------------------------------

    \9\ See General Issues Supplemental.
    \10\ See Petition Supplement.
---------------------------------------------------------------------------

    As discussed in the Preamble to Commerce's regulations, we are 
setting aside a period for interested parties to raise issues regarding 
product coverage (scope).\11\ Commerce will consider all comments 
received from interested parties and, if necessary, will consult with 
interested parties prior to the issuance of the preliminary 
determinations. If scope comments include factual information,\12\ all 
such factual information should be limited to public information. To 
facilitate preparation of its questionnaires, Commerce requests that 
all interested parties submit such comments by 5:00 p.m. Eastern Time 
(ET) on January 28, 2020, which is 20 calendar days from the signature 
date of this notice. Any rebuttal comments, which may include factual 
information, must be filed by 5:00 p.m. ET on February 7, 2020, which 
is 10 calendar days from the initial comment deadline.\13\
---------------------------------------------------------------------------

    \11\ See Antidumping Duties; Countervailing Duties; Final Rule, 
62 FR 27296, 27323 (May 19, 1997) (Preamble).
    \12\ See 19 CFR 351.102(b) (21) (defining ``factual 
information'').
    \13\ See 19 CFR 351.303(b).
---------------------------------------------------------------------------

    Commerce requests that any factual information parties consider 
relevant to the scope of the investigations be submitted during this 
period. However, if a party subsequently finds that additional factual 
information pertaining to the scope of the investigations may be 
relevant, the party may contact Commerce and request permission to 
submit the additional information. All such submissions must be filed 
on the records of the concurrent AD and CVD investigations.

Filing Requirements

    All submissions to Commerce must be filed electronically via 
Enforcement and Compliance's Antidumping Duty and Countervailing Duty 
Centralized Electronic Service System (ACCESS).\14\ An electronically 
filed document must be received successfully in its entirety by the 
time and date it is due. Documents exempted from the electronic 
submission requirements must be filed manually (i.e., in paper form) 
with Enforcement and Compliance's APO/Dockets Unit, Room 18022, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230, and stamped with the date and time of receipt by the applicable 
deadlines.
---------------------------------------------------------------------------

    \14\ See Antidumping and Countervailing Duty Proceedings: 
Electronic Filing Procedures; Administrative Protective Order 
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and 
Compliance: Change of Electronic Filing System Name, 79 FR 69046 
(November 20, 2014) for details of Commerce's electronic filing 
requirements, which went into effect on August 5, 2011. Information 
on help using ACCESS can be found at https://access.trade.gov/help.aspx, and a handbook can be found at https://access.trade.gov/help/Handbook%20on%20Electronic%20Filling%20Procedures.pdf.
---------------------------------------------------------------------------

Consultations

    Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce 
notified representatives of the Governments of Germany, India, Italy 
and China of the receipt of the Petitions and provided them the 
opportunity for consultations with respect to the Petitions.\15\ 
Consultations were held with the Government of India on January 6, 
2020, and with the Governments of Germany and Italy on January 8, 
2020.\16\ The

[[Page 2387]]

Government of China did not request consultations.
---------------------------------------------------------------------------

    \15\ See Commerce's Letters, ``Countervailing Duty Petition on 
Forged Steel Fluid End Blocks from the People's Republic of China: 
Invitation for Consultations'' and ``Countervailing Duty Petition on 
Forged Steel Fluid End Blocks from the Federal Republic of Germany: 
Invitation for Consultations,'' both dated December 19, 2019; see 
also ``Countervailable Duty Petition on Forged Steel Fluid End 
Blocks from Italy: Invitations for Consultations to Discuss the 
Countervailing Duty Petition'' and ``Countervailable Duty Petition 
on Forged Steel Fluid End Blocks from India: Invitations for 
Consultations to Discuss the Countervailing Duty Petition,'' both 
dated December 20, 2019.
    \16\ See Memoranda, ``Consultations with Government Officials 
from India on the Countervailing Duty Petition on Forged Steel Fluid 
End Blocks from India,'' dated January 6, 2020, ``Consultations with 
Government Officials from the Federal Republic of Germany and the 
European Union on the Countervailing Duty Petition on Forged Steel 
Fluid End Blocks from the Federal Republic of Germany,'' dated 
January 8, 2020, and ``Consultations with Government Officials from 
Italy and the European Union on the Countervailing Duty Petition on 
Forged Steel Fluid End Blocks from Italy,'' dated January 8, 2020.
---------------------------------------------------------------------------

Determination of Industry Support for the Petitions

    Section 702(b)(1) of the Act requires that a petition be filed on 
behalf of the domestic industry. Section 702(c)(4)(A) of the Act 
provides that a petition meets this requirement if the domestic 
producers or workers who support the petition account for: (i) At least 
25 percent of the total production of the domestic like product; and 
(ii) more than 50 percent of the production of the domestic like 
product produced by that portion of the industry expressing support 
for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of 
the Act provides that, if the petition does not establish support of 
domestic producers or workers accounting for more than 50 percent of 
the total production of the domestic like product, Commerce shall: (i) 
Poll the industry or rely on other information in order to determine if 
there is support for the petition, as required by subparagraph (A); or 
(ii) determine industry support using a statistically valid sampling 
method to poll the ``industry.''
    Section 771(4)(A) of the Act defines the ``industry'' as the 
producers, as a whole, of a domestic like product. Thus, to determine 
whether a petition has the requisite industry support, the statute 
directs Commerce to look to producers and workers who produce the 
domestic like product. The International Trade Commission (ITC), which 
is responsible for determining whether ``the domestic industry'' has 
been injured, must also determine what constitutes a domestic like 
product in order to define the industry. While both Commerce and the 
ITC must apply the same statutory definition regarding the domestic 
like product,\17\ they do so for different purposes and pursuant to a 
separate and distinct authority. In addition, Commerce's determination 
is subject to limitations of time and information. Although this may 
result in different definitions of the like product, such differences 
do not render the decision of either agency contrary to law.\18\
---------------------------------------------------------------------------

    \17\ See section 771(10) of the Act.
    \18\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT 
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F. 
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
---------------------------------------------------------------------------

    Section 771(10) of the Act defines the domestic like product as ``a 
product which is like, or in the absence of like, most similar in 
characteristics and uses with, the article subject to an investigation 
under this title.'' Thus, the reference point from which the domestic 
like product analysis begins is ``the article subject to an 
investigation'' (i.e., the class or kind of merchandise to be 
investigated, which normally will be the scope as defined in the 
petition).
    With regard to the domestic like product, the petitioners do not 
offer a definition of the domestic like product distinct from the scope 
of the investigations.\19\ Based on our analysis of the information 
submitted on the record, we have determined that fluid end blocks, as 
defined in the scope, constitute a single domestic like product, and we 
have analyzed industry support in terms of that domestic like 
product.\20\
---------------------------------------------------------------------------

    \19\ See Volume I of the Petitions, at 26-28; see also Petition 
Supplement, at 5-7.
    \20\ For a discussion of the domestic like product analysis as 
applied to these cases and information regarding industry support, 
see Countervailing Duty Investigation Initiation Checklist: Forged 
Steel Fluid End Blocks from the People's Republic of China (China 
CVD Initiation Checklist), at Attachment II, Analysis of Industry 
Support for the Antidumping and Countervailing Duty Petitions 
Covering Forged Steel Fluid End Blocks the People's Republic of 
China, the Federal Republic of Germany, India, and Italy (Attachment 
II); see also Countervailing Duty Investigation Initiation 
Checklist: Forged Steel Fluid End Blocks from the Federal Republic 
of Germany (Germany CVD Initiation Checklist), at Attachment II; 
Countervailing Duty Investigation Initiation Checklist: Forged Steel 
Fluid End Blocks from India (India CVD Initiation Checklist), at 
Attachment II; and Countervailing Duty Investigation Initiation 
Checklist: Forged Steel Fluid End Blocks from Italy (Italy CVD 
Initiation Checklist), at Attachment II. These checklists are dated 
concurrently with this notice and on file electronically via ACCESS. 
Access to documents filed via ACCESS is also available in the 
Central Records Unit, Room B8024 of the main Department of Commerce 
building.
---------------------------------------------------------------------------

    In determining whether the petitioners have standing under section 
702(c)(4)(A) of the Act, we considered the industry support data 
contained in the Petitions with reference to the domestic like product 
as defined in the ``Scope of the Investigations,'' in the Appendix to 
this notice. To establish industry support, the petitioners provided 
the 2018 production of the domestic like product for the U.S. producers 
that support the Petitions.\21\ The petitioners estimated the 
production of the domestic like product for the entire domestic 
industry based on shipment/sales data, because shipments/sales and 
production of fluid end blocks correlate with one another and 
shipments/sales are a reasonable proxy for production in the fluid end 
blocks industry.\22\ The petitioners compared the production of the 
companies supporting the Petitions to the estimated total shipments/
sales of the domestic like product for the entire domestic 
industry.\23\ We relied on data provided by the petitioners for 
purposes of measuring industry support.\24\
---------------------------------------------------------------------------

    \21\ See Volume I of the Petitions, at 4-5 and Exhibit GEN-7.
    \22\ See Volume I of the Petitions, at 4-5 and Exhibits GEN-1 
and GEN-2; see also Petition Supplement, at 8.
    \23\ See Volume I of the Petitions, at 4-5 and Exhibits GEN-1, 
GEN-2, GEN-3 and GEN-7; see also Petition Supplement, at 8.
    \24\ See Volume I of the Petitions, at 4-5 and Exhibits GEN-1, 
GEN-2, GEN-3 and GEN-7; see also Petition Supplement, at 8. For 
further discussion, see China CVD Initiation Checklist, at 
Attachment II; see also Germany CVD Initiation Checklist, at 
Attachment II; India CVD Initiation Checklist, at Attachment II; and 
Italy CVD Initiation Checklist, at Attachment II.
---------------------------------------------------------------------------

    Our review of the data provided in the Petitions, the Petition 
Supplement, and other information readily available to Commerce 
indicates that the petitioners have established industry support for 
the Petitions.\25\ First, the Petitions established support from 
domestic producers (or workers) accounting for more than 50 percent of 
the total production of the domestic like product and, as such, 
Commerce is not required to take further action in order to evaluate 
industry support (e.g., polling).\26\ Second, the domestic producers 
(or workers) have met the statutory criteria for industry support under 
section 702(c)(4)(A)(i) of the Act because the domestic producers (or 
workers) who support the Petitions account for at least 25 percent of 
the total production of the domestic like product.\27\ Finally, the 
domestic producers (or workers) have met the statutory criteria for 
industry support under section 702(c)(4)(A)(ii) of the Act because the 
domestic producers (or workers) who support the Petitions account for 
more than 50 percent of the production of the domestic like product 
produced by that portion of the industry expressing support for, or 
opposition to, the Petitions.\28\ Accordingly, Commerce

[[Page 2388]]

determines that the Petitions were filed on behalf of the domestic 
industry, within the meaning of section 702(b)(1) of the Act.\29\
---------------------------------------------------------------------------

    \25\ See China CVD Initiation Checklist, at Attachment II; see 
also Germany CVD Initiation Checklist, at Attachment II; India CVD 
Initiation Checklist, at Attachment II; and Italy CVD Initiation 
Checklist, at Attachment II.
    \26\ See section 702(c)(4)(D) of the Act; see also China CVD 
Initiation Checklist, at Attachment II; Germany CVD Initiation 
Checklist, at Attachment II; India CVD Initiation Checklist, at 
Attachment II; and Italy CVD Initiation Checklist, at Attachment II.
    \27\ See China CVD Initiation Checklist, at Attachment II; see 
also Germany CVD Initiation Checklist, at Attachment II; India CVD 
Initiation Checklist, at Attachment II; and Italy CVD Initiation 
Checklist, at Attachment II.
    \28\ See China CVD Initiation Checklist, at Attachment II; see 
also Germany CVD Initiation Checklist, at Attachment II; India CVD 
Initiation Checklist, at Attachment II; and Italy CVD Initiation 
Checklist, at Attachment II.
    \29\ See China CVD Initiation Checklist, at Attachment II; see 
also Germany CVD Initiation Checklist, at Attachment II; India CVD 
Initiation Checklist, at Attachment II; and Italy CVD Initiation 
Checklist, at Attachment II.
---------------------------------------------------------------------------

Injury Test

    Because China, Germany, India, and Italy are ``Subsidies Agreement 
Countries'' within the meaning of section 701(b) of the Act, section 
701(a)(2) of the Act applies to these investigations. Accordingly, the 
ITC must determine whether imports of the subject merchandise from 
China, Germany, India and/or Italy materially injure, or threaten 
material injury to, a U.S. industry.

Allegations and Evidence of Material Injury and Causation

    The petitioners allege that imports of the subject merchandise are 
benefitting from countervailable subsidies and that such imports are 
causing, or threaten to cause, material injury to the U.S. industry 
producing the domestic like product. In addition, the petitioners 
allege that subject imports exceed the negligibility threshold provided 
for under section 771(24)(A) of the Act.\30\ In CVD petitions, section 
771(24)(B) of the Act provides that imports of subject merchandise from 
developing and least developed countries must exceed the negligibility 
threshold of four percent. The petitioners also demonstrate that 
subject imports from India, which has been designated as a developing 
country under section 771(36)(A) of the Act, exceed the negligibility 
threshold of four percent.\31\
---------------------------------------------------------------------------

    \30\ See Volume I of the Petitions, at 29-30 and Exhibit GEN-2.
    \31\ Id.
---------------------------------------------------------------------------

    The petitioners contend that the industry's injured condition is 
illustrated by a significant and increasing volume of subject imports; 
reduced market share; underselling and price depression or suppression; 
lost sales and revenues; and a decline in the domestic industry's 
financial performance and profitability.\32\ We have assessed the 
allegations and supporting evidence regarding material injury, threat 
of material injury, causation, as well as cumulation, and we have 
determined that these allegations are properly supported by adequate 
evidence, and meet the statutory requirements for initiation.\33\
---------------------------------------------------------------------------

    \32\ See Volume I of the Petitions, at 1, 25-26, 29-45 and 
Exhibits GEN-2, GEN-50, and GEN-51; see also Petition Supplement, at 
9 and Exhibit SUP-GEN-1.
    \33\ See China CVD Initiation Checklist, at Attachment III, 
Analysis of Allegations and Evidence of Material Injury and 
Causation for the Antidumping and Countervailing Duty Petitions 
Covering Forged Steel Fluid End Blocks from the People's Republic of 
China, the Federal Republic of Germany, India, and Italy (Attachment 
III); see also Germany CVD Initiation Checklist, at Attachment III; 
India CVD Initiation Checklist, at Attachment III; and Italy CVD 
Initiation Checklist, at Attachment III.
---------------------------------------------------------------------------

Initiation of CVD Investigations

    Based on the examination of the Petitions and supplemental 
responses, we find that they meet the requirements of section 702 of 
the Act. Therefore, we are initiating CVD investigations to determine 
whether imports of fluid end blocks from China, Germany, India, and 
Italy benefit from countervailable subsidies conferred by the 
Governments of China, Germany, India, and Italy. In accordance with 
section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), unless 
postponed, we will make our preliminary determinations no later than 65 
days after the date of this initiation.

China

    Based on our review of the Petition for China, we find that there 
is sufficient information to initiate a CVD investigation on all of the 
24 alleged programs. For a full discussion of the basis for our 
decision to initiate on each program, see China CVD Initiation 
Checklist. A public version of the initiation checklist for this 
investigation is available on ACCESS.

Germany

    Based on our review of the Petition for Germany, we find that there 
is sufficient information to initiate a CVD investigation on all of 
the16 alleged programs. For a full discussion of the basis for our 
decision to initiate on each program, see Germany CVD Initiation 
Checklist. A public version of the initiation checklist for this 
investigation is available on ACCESS.

India

    Based on our review of the Petition for India, we find that there 
is sufficient information to initiate a CVD investigation on 25 of the 
29 alleged programs. For a full discussion of the basis for our 
decision to initiate (or not initiate) on each program, see India CVD 
Initiation Checklist. A public version of the initiation checklist for 
this investigation is available on ACCESS.

Italy

    Based on our review of the Petition for Italy, we find that there 
is sufficient information to initiate a CVD investigation on 18 of the 
20 alleged programs. For a full discussion of the basis for our 
decision to initiate (or not initiate) on each program, see Italy CVD 
Initiation Checklist. A public version of the initiation checklist for 
this investigation is available on ACCESS.

Respondent Selection

    In the Petitions, the petitioner named 38 companies in China, five 
companies in Germany, two companies in India, and 18 companies in 
Italy, as producers/exporters of fluid end blocks.\34\
---------------------------------------------------------------------------

    \34\ See Volume I of the Petitions, at 14-20.
---------------------------------------------------------------------------

    In the event Commerce determines that the number of companies in 
each country is large and it cannot individually examine each company 
based upon Commerce's resources, where appropriate, Commerce intends to 
select mandatory respondents based on quantity and value (Q&V) 
questionnaires issued to potential respondents. Commerce normally 
selects mandatory respondents in CVD investigations using U.S. Customs 
and Border Protection (CBP) entry data for imports under the 
appropriate Harmonized Tariff Schedule of the United States (HTSUS) 
numbers listed in the scope of the investigations. However, for these 
investigations, the HTSUS numbers under which the subject merchandise 
would enter (7218.91.0030, 7218.99.0030, 7224.90.0015, 7224.90.0045, 
7326.19.0010, 7326.90.8688, or 8413.91.9055) are basket categories 
containing a wide variety of manufactured steel products unrelated to 
fluid end blocks. We, therefore, cannot rely on CBP entry data in 
selecting respondents. Except as noted below for India, we instead 
intend to issue Q&V questionnaires to each potential respondent for 
which the petitioners have provided a complete address.
    Exporters and producers of fluid end blocks from China, Germany and 
Italy that do not receive Q&V questionnaires by mail may still submit a 
response to the Q&V questionnaire and can obtain a copy of the Q&V 
questionnaire from the Enforcement and Compliance website, at http://trade.gov/enforcement/news.asp. Responses to the Q&V questionnaire must 
be submitted by the relevant Chinese, German and Italian exporters/
producers no later than 5:00 p.m. ET on January 21, 2020. All Q&V

[[Page 2389]]

responses must be filed electronically via ACCESS.
    For India, the petitioner identified two companies as producers/
exporters of fluid end blocks (i.e., Bharat Forge Limited and Ultra 
Engineers) and provided independent, third-party information as 
support.\35\ We currently know of no additional producers/exporters of 
fluid end blocks from India. Accordingly, Commerce intends to examine 
all known producers/exporters in the investigation for India (i.e., the 
companies cited above).
---------------------------------------------------------------------------

    \35\ See Volume I of the Petitions, at 19 and Exhibit GEN-2; see 
also Petition Supplement, at 1 and Exhibit SUP-GEN-1.
---------------------------------------------------------------------------

    Parties wishing to comment on respondent selection for India must 
do so within three business days of the publication of this notice in 
the Federal Register. Comments must be filed electronically using 
ACCESS. An electronically filed document must be received successfully, 
in its entirety, by ACCESS no later than 5:00 p.m. ET on the specified 
deadline.

Distribution of Copies of the Petitions

    In accordance with section 702(b)(4)(A)(i) of the Act and 19 CFR 
351.202(f), copies of the public version of the Petitions have been 
provided to the governments of Germany, India, Italy and China via 
ACCESS. To the extent practicable, we will attempt to provide a copy of 
the public version of the CVD Petitions to each exporter named in the 
CVD Petitions, as provided under 19 CFR 351.203(c)(2).

ITC Notification

    We will notify the ITC of our initiation, as required by section 
702(d) of the Act.

Preliminary Determinations by the ITC

    The ITC will preliminarily determine, within 45 days after the date 
on which the CVD Petitions were filed, whether there is a reasonable 
indication that imports of fluid end blocks from Germany, India, Italy, 
and/or China are materially injuring, or threatening material injury 
to, a U.S. industry.\36\ A negative ITC determination in any country 
will result in the investigation being terminated with respect to that 
country.\37\ Otherwise, these CVD investigations will proceed according 
to statutory and regulatory time limits.
---------------------------------------------------------------------------

    \36\ See section 703(a)(2) of the Act.
    \37\ See section 703(a)(1) of the Act.
---------------------------------------------------------------------------

Submission of Factual Information

    Factual information is defined in 19 CFR 351.102(b)(21) as: (i) 
Evidence submitted in response to questionnaires; (ii) evidence 
submitted in support of allegations; (iii) publicly available 
information to value factors under 19 CFR 351.408(c) or to measure the 
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence 
placed on the record by Commerce; and (v) evidence other than factual 
information described in (i)-(iv). Section 351.301(b) of Commerce's 
regulations requires any party, when submitting factual information, to 
specify under which subsection of 19 CFR 351.102(b)(21) the information 
is being submitted \38\ and, if the information is submitted to rebut, 
clarify, or correct factual information already on the record, to 
provide an explanation identifying the information already on the 
record that the factual information seeks to rebut, clarify, or 
correct.\39\ Time limits for the submission of factual information are 
addressed in 19 CFR 351.301, which provides specific time limits based 
on the type of factual information being submitted. Interested parties 
should review the regulations prior to submitting factual information 
in these investigations.
---------------------------------------------------------------------------

    \38\ See 19 CFR 351.301(b).
    \39\ See 19 CFR 351.301(b)(2).
---------------------------------------------------------------------------

Extensions of Time Limits

    Parties may request an extension of time limits before the 
expiration of a time limit established under 19 CFR 351.301, or as 
otherwise specified by the Secretary. In general, an extension request 
will be considered untimely if it is filed after the expiration of the 
time limit established under 19 CFR 351.301. For submissions that are 
due from multiple parties simultaneously, an extension request will be 
considered untimely if it is filed after 10:00 a.m. ET on the due date. 
Under certain circumstances, we may elect to specify a different time 
limit by which extension requests will be considered untimely for 
submissions which are due from multiple parties simultaneously. In such 
a case, we will inform parties in the letter or memorandum of the 
deadline (including a specified time) by which extension requests must 
be filed to be considered timely. An extension request must be made in 
a separate, stand-alone submission; under limited circumstances we will 
grant untimely-filed requests for the extension of time limits. Parties 
should review Extension of Time Limits; Final Rule, 78 FR 57790 
(September 20, 2013), available at http://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm, prior to submitting factual information 
in these investigations.

Certification Requirements

    Any party submitting factual information in an AD or CVD proceeding 
must certify to the accuracy and completeness of that information.\40\ 
Parties must use the certification formats provided in 19 CFR 
351.303(g).\41\ Commerce intends to reject factual submissions if the 
submitting party does not comply with the applicable certification 
requirements.
---------------------------------------------------------------------------

    \40\ See section 782(b) of the Act.
    \41\ See Certification of Factual Information to Import 
Administration During Antidumping and Countervailing Duty 
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also 
frequently asked questions regarding the Final Rule, available at 
http://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf.
---------------------------------------------------------------------------

Notification to Interested Parties

    Interested parties must submit applications for disclosure under 
APO in accordance with 19 CFR 351.305. On January 22, 2008, Commerce 
published Antidumping and Countervailing Duty Proceedings: Documents 
Submission Procedures; APO Procedures, 73 FR 3634 (January 22, 2008). 
Parties wishing to participate in these investigations should ensure 
that they meet the requirements of these procedures (e.g., the filing 
of letters of appearance as discussed at 19 CFR 351.103(d)).
    This notice is issued and published pursuant to sections 702(c)(2) 
and 777(i) of the Act and 19 CFR 351.203(c).

    Dated: January 8, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix

Scope of the Investigations

    The products covered by these investigations are forged steel 
fluid end blocks (fluid end blocks), whether in finished or 
unfinished form, and which are typically used in the manufacture or 
service of hydraulic pumps.
    The term ``forged'' is an industry term used to describe the 
grain texture of steel resulting from the application of localized 
compressive force. Illustrative forging standards include, but are 
not limited to, American Society for Testing and Materials (ASTM) 
specifications A668 and A788.
    For purposes of these investigations, the term ``steel'' denotes 
metal containing the following chemical elements, by weight: (i) 
Iron greater than or equal to 60 percent; (ii) nickel less than or 
equal to 8.5 percent; (iii) copper less than or equal to 6 percent; 
(iv) chromium greater than or equal to 0.4 percent, but less than or 
equal to 20 percent; and (v) molybdenum greater than or equal to 
0.15 percent, but less than or equal to 3 percent. Illustrative 
steel standards include, but are not limited to, American Iron and 
Steel Institute (AISI) or Society of

[[Page 2390]]

Automotive Engineers (SAE) grades 4130, 4135, 4140, 4320, 4330, 
4340, 8630, 15-5, 17-4, F6NM, F22, F60, and XM25, as well as 
modified varieties of these grades.
    The products covered by these investigations are: (1) Cut-to-
length fluid end blocks with an actual height (measured from its 
highest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 mm), an 
actual width (measured from its widest point) of 8 inches (203.2 mm) 
to 40 inches (1,016.0 mm), and an actual length (measured from its 
longest point) of 11 inches (279.4 mm) to 75 inches (1,905.0 mm); 
and (2) strings of fluid end blocks with an actual height (measured 
from its highest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 
mm), an actual width (measured from its widest point) of 8 inches 
(203.2 mm) to 40 inches (1,016.0 mm), and an actual length (measured 
from its longest point) up to 360 inches (9,144.0 mm).
    The products included in the scope of these investigations have 
a tensile strength of at least 70 KSI (measured in accordance with 
ASTM A370) and a hardness of at least 140 HBW (measured in 
accordance with ASTM E10).
    A fluid end block may be imported in finished condition (i.e., 
ready for incorporation into a pump fluid end assembly without 
further finishing operations) or unfinished condition (i.e., forged 
but still requiring one or more finishing operations before it is 
ready for incorporation into a pump fluid end assembly). Such 
finishing operations may include: (1) Heat treating; (2) milling one 
or more flat surfaces; (3) contour machining to custom shapes or 
dimensions; (4) drilling or boring holes; (5) threading holes; and/
or (6) painting, varnishing, or coating.
    The products included in the scope of these investigations may 
enter under Harmonized Tariff Schedule of the United States (HTSUS) 
subheadings 7218.91.0030, 7218.99.0030, 7224.90.0015, 7224.90.0045, 
7326.19.0010, 7326.90.8688, or 8413.91.9055. While these HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the scope of the investigations is 
dispositive.

[FR Doc. 2020-00490 Filed 1-14-20; 8:45 am]
 BILLING CODE 3510-DS-P