[Federal Register Volume 85, Number 32 (Tuesday, February 18, 2020)]
[Notices]
[Pages 8818-8820]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-03049]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-887]


Carbon and Alloy Steel Threaded Rod From India: Final Affirmative 
Determination of Sales at Less Than Fair Value

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

SUMMARY: The Department of Commerce (Commerce) determines that carbon 
and alloy steel threaded rod (steel threaded rod) from India is being, 
or is likely to be, sold in the United States at less than fair value 
(LTFV).

DATES: Applicable February 18, 2020.

FOR FURTHER INFORMATION CONTACT: Annathea Cook or Jerry Huang, AD/CVD 
Operations, Office V, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-0250 or (202) 482-4047, 
respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On September 25, 2019, Commerce published the Preliminary 
Determination in this LTFV investigation.\1\ On January 9, 2020, we 
issued a Post-Preliminary Determination with respect to the 
petitioner's particular market situation allegation.\2\ We invited 
interested parties to comment on the Preliminary Determination and 
Post-Preliminary Determination. A summary of the events that occurred 
since Commerce published the Preliminary Determination, as well as a 
full discussion of the issues raised by parties for this final 
determination, may be found in the Issues and Decision Memorandum.\3\
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    \1\ See Carbon and Alloy Steel Threaded Rod from India: 
Preliminary Affirmative Determination of Sales at Less Than Fair 
Value, Postponement of Final Determination, and Extension of 
provisional Measures, 84 FR 50376 (September 25, 2019) (Preliminary 
Determination), and accompanying Preliminary Decision Memorandum.
    \2\ See Memorandum, ``Antidumping Duty Investigation of Carbon 
and Alloy Steel Threaded Rod from India: Decision on Particular 
Market Situation Allegation,'' dated January 9, 2020 (Post-
Preliminary Determination).
    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Determination in the Less-Than-Fair-Value Investigation of 
Carbon and Alloy Steel Threaded Rod from India,'' dated concurrently 
with, and hereby adopted by, this notice (Issues and Decision 
Memorandum).

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[[Page 8819]]

    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 register users at http://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 Issues and 
Decision Memorandum can be access directly at http://enforcement.trade.gov. The signed and electronic versions of the Issues 
and Decision Memorandum are identical in content.

Period of Investigation

    The period of investigation is January 1, 2018 through December 31, 
2018.

Scope of the Investigation

    The products covered by this investigation are steel threaded rods 
from India. For a complete description of the scope of this 
investigation, see Appendix I.

Scope Comments

    During the course of this investigation and the concurrent 
countervailing duty (CVD) investigation of steel threaded rod from 
India, the concurrent antidumping duty (AD) and CVD investigations of 
steel threaded rod from the People's Republic of China, and the 
concurrent AD investigations of steel threaded rod from Taiwan and 
Thailand, certain interested parties commented on the scope of the 
investigations as it appeared in the Initiation Notices.\4\
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    \4\ See Carbon and Alloy Steel Threaded Rod from India, Taiwan, 
Thailand, and the People's Republic of China: Initiation of Less-
Than-Fair-Value Investigations, 84 FR 10034 (March 19, 2019); Carbon 
and Alloy Steel Threaded Rod from India and the People's Republic of 
China: Initiation of Countervailing Duty Investigations, 84 FR 10040 
(March 19, 2019) (collectively, Initiation Notices).
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    On July 22, 2019, we issued a Preliminary Scope Memorandum.\5\ 
Interested parties' scope-related case briefs were due on August 28, 
2019.\6\ Because we did not receive any comments on the Preliminary 
Scope Memorandum, we are adopting the proposed scope language in this 
final determination, see Appendix I.
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    \5\ See Memorandum, ``Carbon and Alloy Steel Threaded Rod from 
India, Taiwan, Thailand, and the People's Republic of China: Scope 
Comments Decision Memorandum for the Preliminary Determinations,'' 
dated July 22, 2019.
    \6\ See Preliminary Scope Decision Memorandum at 3.
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs submitted by 
interested parties in this investigation are addressed in the Issues 
and Decision Memorandum. For a list of these issues, see Appendix II.

Verification

    Between October and December 2019, we conducted verification of the 
sales and cost of production data reported by the participating 
respondent in this investigation, Mangal Steel Enterprises (Mangal), as 
well as the sales data reported by Mangal's U.S. affiliate, North 
American Steel Connection, in accordance with section 783(i) of Tariff 
Act of 1930, as amended (the Act).\7\
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    \7\ See Memorandum, ``Verification of Cost Response of Mangal 
Steel Enterprises Ltd. in the Antidumping Duty Investigation of 
Carbon and Alloy Steel Threaded Rod from India,'' dated December 10, 
2019; Memorandum, ``Verification of the Sales Response of Mangal 
Steel Enterprise Limited in the Antidumping Duty Investigation of 
Carbon and Alloy Steel Threaded Rod from India,'' dated January 3, 
2020; and Memorandum, ``Verification of the Constructed Export Price 
(CEP) Sales Response of North American Steel Connection in the 
Antidumping Duty Investigation of Carbon and Alloy Steel Threaded 
Rod from India,'' dated January 3, 2020.
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Changes Since the Preliminary Determination

    Based on our analysis of the comments received and our findings at 
verification, we made certain changes to the margin calculations for 
Mangal since the Preliminary Determination. For a discussion of these 
changes, see the Issues and Decision Memorandum.
    Additionally, for purposes of this final determination, Commerce 
determined Daksh Fasteners' margin on the basis of adverse facts 
available (AFA), pursuant to sections 776(a)(2)(A)-(C) and 776(b) of 
the Act. For further information, see the Issues and Decision 
Memorandum.

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated 
weighted-average dumping margin for all other producers and exporters 
not individually investigated shall be equal to the weighted average of 
the estimated weighted-average dumping margins established for 
individually investigated exporters and producers, excluding any 
margins that are zero, de minimis, or determined entirely under section 
776 of the Act. Because the final rate determined for Daksh Fasteners 
is based entirely on AFA, we based the all-others rate on the rate 
calculated for Mangal.

Final Determination

    Commerce determines that the weighted-average dumping margins are 
as follows:

------------------------------------------------------------------------
                                                       Cash deposit rate
                                        Estimated        (adjusted for
         Exporter/producer           weighted-average    export subsidy
                                      dumping margin     offset(s)) \8\
                                        (percent)          (percent)
------------------------------------------------------------------------
Daksh Fasteners \9\...............              28.34              22.86
Mangal Steel Enterprise Limited...               2.47               0.00
All Others........................               2.47               0.00
------------------------------------------------------------------------

Continuation of Suspension of Liquidation
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    \8\ As noted in the ``Continuation of Suspension of 
Liquidation'' section, we are adjusting the cash deposit rates to 
take into account the export subsidy rates found in the companion 
CVD investigation. Specifically, for Mangal and all others, we 
adjusted the cash deposit rates by the export contingent subsidy 
rate calculated for Mangal in that investigation (i.e., 5.48 
percent). We also adjusted the cash deposit rate for Daksh Fasteners 
by the export contingent subsidy rate for Mangal, because it is the 
lowest export subsidy rate determined for any party in the companion 
CVD proceeding.
    \9\ As explained in the Issues and Decision Memorandum, this 
company is receiving a rate based on total AFA because it did not 
respond to our AD questionnaire.
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    In accordance with section 735(c)(1)(B) of the Act, Commerce will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all appropriate entries of steel threaded rod 
from India, as described in Appendix I of this notice, which are 
entered or withdrawn from warehouse for consumption on or after 
September 25, 2019, the date of

[[Page 8820]]

publication in the Federal Register of the affirmative Preliminary 
Determination.
    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), we will instruct CBP to require a cash deposit for entries 
of subject merchandise equal to the estimated weighted-average dumping 
margin as follows: (1) The cash deposit rate for the respondents listed 
above will be equal to the company-specific estimated weighted-average 
dumping margins determined in this final determination; (2) if the 
exporter is not a respondent identified above, but the producer is, 
then the cash deposit rate will be equal to the company-specific 
estimated weighted-average dumping margin established for that producer 
of the subject merchandise; and (3) the cash deposit rate for all other 
producers and exporters will be equal to the all-others estimated 
weighted-average dumping margin, i.e., 2.47 percent. These suspension 
of liquidation instructions will remain in effect until further notice.
    In the event that a CVD order is issued, and suspension of 
liquidation is resumed in the companion CVD investigation on steel 
threaded rod from India, Commerce will instruct CBP to require cash 
deposits adjusted by the amount of export subsidies, as appropriate. 
These adjustments are reflected in the final column of the rate chart 
above. Until such suspension of liquidation is resumed in the companion 
CVD investigation, and so long as suspension of liquidation continues 
under this AD investigation, the cash deposit rates for this AD 
investigation will be the rates identified in the estimated weighted-
average dumping margin column in the rate chart above.

Disclosure

    Commerce will disclose to interested parties the calculations 
performed in connection with a final determination within five days of 
any public announcement or, if there is no public announcement, within 
five days of the date of publication of the notice of final 
determination in the Federal Register, in accordance with 19 CFR 
351.224(b).

International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
U.S. International Trade Commission (ITC) of the final affirmative 
determination of sales at LTFV. Because the final determination in this 
proceeding is affirmative, in accordance with section 735(b)(2) of the 
Act, the ITC will make its final determination as to whether the 
domestic industry in the United States is materially injured, or 
threatened with material injury, by reason of imports of steel threaded 
rod from India no later than 45 days after this final determination. If 
the ITC determines that material injury, or threat of material injury, 
does not exist, the proceeding will be terminated, and all cash 
deposits will be refunded. If the ITC determines that such injury does 
exist, Commerce will issue an AD duty order directing CBP to assess, 
upon further instruction by Commerce, AD duties on all imports of the 
subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after the effective date of the suspension of 
liquidation.

Notification Regarding Administrative Protective Order

    This notice 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). Timely notification of the 
return or 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.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act, and 19 CFR 351.210(c).

    Dated: February 7, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by the scope of this investigation is 
carbon and alloy steel threaded rod. Steel threaded rod is certain 
threaded rod, bar, or studs, of carbon or alloy steel, having a 
solid, circular cross section of any diameter, in any straight 
length. Steel threaded rod is normally drawn, cold-rolled, threaded, 
and straightened, or it may be hot-rolled. In addition, the steel 
threaded rod, bar, or studs subject to these investigations are non-
headed and threaded along greater than 25 percent of their total 
actual length. A variety of finishes or coatings, such as plain oil 
finish as a temporary rust protectant, zinc coating (i.e., 
galvanized, whether by electroplating or hot-dipping), paint, and 
other similar finishes and coatings, may be applied to the 
merchandise.
    Steel threaded rod is normally produced to American Society for 
Testing and Materials (ASTM) specifications ASTM A36, ASTM A193 B7/
B7m, ASTM A193 B16, ASTM A307, ASTM A320 L7/L7M, ASTM A320 L43, ASTM 
A354 BC and BD, ASTM A449, ASTM F1554-36, ASTM F1554-55, ASTM F1554 
Grade 105, American Society of Mechanical Engineers (ASME) 
specification ASME B18.31.3, and American Petroleum Institute (API) 
specification API 20E. All steel threaded rod meeting the physical 
description set forth above is covered by the scope of these 
investigations, whether or not produced according to a particular 
standard.
    Subject merchandise includes material matching the above 
description that has been finished, assembled, or packaged in a 
third country, including by cutting, chamfering, coating, or 
painting the threaded rod, by attaching the threaded rod to, or 
packaging it with, another product, or any other finishing, 
assembly, or packaging operation that would not otherwise remove the 
merchandise from the scope of the investigation if performed in the 
country of manufacture of the threaded rod.
    Carbon and alloy steel threaded rod are also included in the 
scope of the investigation whether or not imported attached to, or 
in conjunction with, other parts and accessories such as nuts and 
washers. If carbon and alloy steel threaded rod are imported 
attached to, or in conjunction with, such non-subject merchandise, 
only the threaded rod is included in the scope.
    Excluded from the scope of the investigation are: (1) Threaded 
rod, bar, or studs which are threaded only on one or both ends and 
the threading covers 25 percent or less of the total actual length; 
and (2) stainless steel threaded rod, defined as steel threaded rod 
containing, by weight, 1.2 percent or less of carbon and 10.5 
percent or more of chromium, with our without other elements.
    Specifically excluded from the scope of the investigation is 
threaded rod that is imported as part of a package of hardware in 
conjunction with a ready-to-assemble piece of furniture. Steel 
threaded rod is currently classifiable under subheadings 
7318.15.5051, 7318.15.5056, and 7318.15.5090 of the Harmonized 
Tariff Schedule of the United States (HTSUS). Subject merchandise 
may also enter under subheading 7318.15.2095 and 7318.19.0000 of the 
HTSUS. The HTSUS subheadings are provided for convenience and U.S. 
Customs purposes only. The written description of the scope is 
dispositive.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Margin Calculations
V. Discussion of the Issues
    Comment 1: Calculation of Constructed Value Profit and Selling 
Expense Ratios
    Comment 2: Excluded Electricity Costs
    Comment 3: Mangal Steel Enterprise's General and Administrative 
Expenses
    Comment 4: Adverse Facts Available for Daksh Fasteners
VI. Recommendation

[FR Doc. 2020-03049 Filed 2-14-20; 8:45 am]
 BILLING CODE 3510-DS-P