[Federal Register Volume 85, Number 239 (Friday, December 11, 2020)]
[Notices]
[Pages 80016-80018]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-27305]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-533-892]


Forged Steel Fittings from India: 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 India.

DATES: Applicable December 11, 2020.

FOR FURTHER INFORMATION CONTACT: Lauren Caserta, AD/CVD Operations, 
Office VII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-4737.

SUPPLEMENTARY INFORMATION:

Background

    In accordance with section 705(d) of the Tariff Act of 1930, as 
amended (the Act), on October 20, 2020, Commerce published its 
affirmative final determination that countervailable subsidies are 
being provided to producers and exporters of forged steel fittings from 
India.\1\ On November 25, 2020, the ITC notified Commerce of its 
affirmative determination 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 subject merchandise from 
India.\2\
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    \1\ See Forged Steel Fittings from India: Final Affirmative 
Countervailing Duty Determination, 85 FR 66535 (October 20, 2020).
    \2\ See ITC's Letter, ``Notification of ITC Final 
Determinations,'' dated November 25, 2020.
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Scope of the Order

    The scope of this order covers forged steel fittings from India. 
For a complete description of the scope, see the Appendix to this 
notice.

Countervailing Duty Order

    On November 25, 2020, in accordance with sections 705(b)(1)(A)(i) 
and 705(d) of the Act, the ITC notified Commerce of its final 
determination in this investigation, in which it found that an industry 
in the United States is materially injured by reason of imports of 
forged steel fittings from India. Therefore, in accordance with section 
705(c)(2) of the Act, Commerce is issuing this countervailing duty 
order. Because the ITC determined that imports of forged steel fittings 
from India are materially injuring a U.S. industry, unliquidated 
entries of such merchandise from India, entered or withdrawn from 
warehouse for consumption, are subject to the assessment of 
countervailing duties.
    Therefore, 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 for all relevant 
entries of forged steel fittings from India. Countervailing duties will 
be assessed on unliquidated entries of forged steel fittings from India 
entered, or withdrawn from warehouse, for consumption on or after March 
30, 2020, the date of publication of the Preliminary Determination,\3\ 
but will not include entries occurring after the expiration of the 
provisional measures period and before publication of the ITC's final 
injury determination, as further described below.
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    \3\ See Forged Steel Fittings from India: Preliminary 
Affirmative Countervailing Duty Determination, and Alignment of 
Final Determination with Final Antidumping Duty Determination, 85 FR 
17536 (March 30, 2020) (Preliminary Determination).
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Suspension of Liquidation

    In accordance with section 706 of the Act, Commerce will instruct 
CBP to

[[Page 80017]]

reinstitute the suspension of liquidation of forged steel fittings from 
India. We will also instruct CBP to require, 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. These instructions 
suspending liquidation will remain in effect until further notice.
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    \4\ Commerce has found Shakti Forge Industries Pvt. Ltd. and 
Shakti Forge to be cross-owned, pursuant to 19 CFR 
351.525(b)(6)(vi).

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                            ad valorem
                                                             (percent)
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Shakti Forge Industries Pvt. Ltd \4\....................            2.64
Nikoo Forge Pvt. Ltd., Pan International, Patton                  300.77
 International Limited, Sage Metals Limited, Kirtanlal
 Steel Private Limited, Disha Auto Components Private
 Limited, Dynamic Flow Products, Sara Sae Private
 Limited, and Parveen Industries Private Limited........
All Others..............................................            2.64
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Provisional Measures

    Section 703(d) of the Act states that instructions issued pursuant 
to an affirmative preliminary determination may not remain in effect 
for more than four months. In the underlying investigation, Commerce 
published the Preliminary Determination on March 30, 2020. Therefore, 
the four-month period beginning on the date of the publication of the 
Preliminary Determinations ended on July 27, 2020.
    In accordance with section 703(d) of the Act and our practice, we 
instructed CBP to terminate the suspension of liquidation and to 
liquidate, without regard to countervailing duties, unliquidated 
entries of forged steel fittings from India entered, or withdrawn from 
warehouse, for consumption on or after July 28, 2020, the day after the 
date the provisional measures expired, until and through the day 
preceding the date of publication of the ITC's final injury 
determination in the Federal Register. Suspension of liquidation will 
resume on the date of publication of the ITC's final determination in 
the Federal Register.

Notifications to Interested Parties

    This notice constitutes the countervailing duty order with respect 
to forged steel fittings from India pursuant to sections 706(a) of the 
Act. Interested parties can find a list of countervailing duty orders 
currently in effect at https://enforcement.trade.gov/stats/iastats1.html.
    This order is issued and published in accordance with section 
706(a) of the Act and 19 CFR 351.211(b).

    Dated: December 4, 2020.
Jeffrey I. Kessler,
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 
(including hammer unions), and outlets. Forged steel fittings are 
covered regardless of end finish, whether threaded, socket-weld or 
other end connections. The scope includes integrally reinforced 
forged branch outlet fittings, regardless of whether they have one 
or more ends that is a socket welding, threaded, butt welding end, 
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 it does not reference 
an exclusive manufacturing process. Forged steel fittings are not 
manufactured from casings. Pursuant to the applicable standards, 
fittings may also be machined from bar stock or machined from 
seamless pipe and tube.
    All types of forged steel 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 class rating (expressed in 
pounds of pressure, 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, nipples, and all 
fittings that have a maximum pressure rating of 300 pounds per 
square inch/PSI or less.
    Also excluded from the scope 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) 5CT, API 5L, or API 11B;
 American Society of Mechanical Engineers (ASME) B16.9;
 Manufacturers Standardization Society (MSS) SP-75;
 Society of Automotive Engineering (SAE) J476, SAE J514, SAE 
J516, SAE J517, SAE J518, SAE J1026, SAE J1231, SAE J1453, SAE 
J1926, J2044 or SAE AS 35411;
 Hydraulic hose fittings (e.g., fittings used in high 
pressure water cleaning applications, in the manufacture of 
hydraulic engines, to connect rubber dispensing hoses to a 
dispensing nozzle or grease fitting) made to ISO 12151-1, 12151-2, 
12151-3, 12151-4, 12151-5, or 12151-6;
 Underwriter's Laboratories (UL) certified electrical 
conduit fittings;
 ASTM A153, A536, A576, or A865;
 Casing conductor connectors made to proprietary 
specifications;
 Machined steel parts (e.g., couplers) that are not 
certified to any specifications in this scope description and that 
are not for connecting steel pipes for distributing gas and liquids;
 Oil country tubular goods (OCTG) connectors (e.g., forged 
steel tubular connectors for API 5L pipes or OCTG for offshore oil 
and gas drilling and extraction);
 Military Specification (MIL) MIL-C-4109F and MIL-F-3541; 
and
 International Organization for Standardization (ISO) 
ISO6150-B.

    Also excluded from the scope are assembled or unassembled hammer 
unions that consist of a nut and two subs. To qualify for this 
exclusion, the hammer union must meet each of the following 
criteria: (1) The face of the nut of the hammer union is permanently 
marked with one of the following markings: ``FIG 100,'' ``FIG 110,'' 
``FIG 100C,'' ``FIG 200,'' ``FIG 200C,'' ``FIG 201,'' ``FIG 202,'' 
``FIG 206,'' ``FIG 207,'' ``FIG 211,'' ``FIG 300,'' ``FIG 301,'' 
``FIG 400,'' ``FIG 600,'' ``FIG 602,'' ``FIG 607,'' ``FIG 1002,'' 
``FIG 1003,'' ``FIG 1502,'' ``FIG 1505,'' ``FIG 2002,'' or ``FIG 
2202''; (2) the hammer union does not bear any of the following 
markings: ``Class 3000,'' ``Class 3M,'' ``Class 6000,'' ``Class 
6M,'' ``Class 9000,'' or ``Class 9M''; and (3) the nut and both subs 
of the hammer union are painted.
    Also excluded from the scope are subs or wingnuts made to ASTM 
A788, marked with ``FIG 1002,'' ``FIG 1502,'' or ``FIG 2002,'' and 
with a pressure rating of 10,000 PSI or greater. These parts are 
made from AISI/SAE 4130, 4140, or 4340 steel and are 100 percent 
magnetic particle inspected before shipment.
    Also excluded from the scope are tee, elbow, cross, adapter (or 
``crossover''), blast joint (or ``spacer''), blind sub, swivel joint 
and pup joint which have wing nut or not. To qualify for this 
exclusion, these products must meet each of the following criteria: 
(1) Manufacturing and Inspection standard is API 6A or API 16C; and, 
(2) body or wing nut is permanently marked with one of the following 
markings: ``FIG 2002,'' ``FIG 1502,'' ``FIG 1002,'' ``FIG 602,'' 
``FIG 206,'' or ``FIG any other number'' or MTR (Material Test 
Report) shows these FIG numbers.
    To be excluded from the scope, products must have the 
appropriate standard or pressure markings and/or be 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

[[Page 80018]]

States (HTSUS) 7307.92.3010, 7307.92.3030, 7307.92.9000, 
7307.99.1000, 7307.99.3000, 7307.99.5045, and 7307.99.5060. They may 
also be entered under HTSUS 7307.93.3010, 7307.93.3040, 
7307.93.6000, 7307.93.9010, 7307.93.9040, 7307.93.9060, 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. 2020-27305 Filed 12-10-20; 8:45 am]
BILLING CODE 3510-DS-P