[Federal Register Volume 86, Number 57 (Friday, March 26, 2021)]
[Notices]
[Pages 16186-16189]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-06298]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-067]


Forged Steel Fittings From the People's Republic of China: 
Preliminary Results of Antidumping Duty Administrative Review and 
Preliminary Determination of No Shipments; 2018-2019

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that Both-Well (Taizhou) Steel Fittings Co., Ltd., an exporter of 
forged steel fittings from the People's Republic of China (China), did 
not sell subject merchandise in the United States at prices below 
normal value (NV) during the period of review (POR) May 17, 2018, 
through October 31, 2019. We also preliminarily find that Ningbo 
Zhongan Forging Co., Ltd. (Ningbo Zhongan) is not eligible for a 
separate rate and is, therefore, part of the China-wide entity. 
Interested parties are invited to comment on these preliminary results.

DATES: Applicable March 26, 2021.

FOR FURTHER INFORMATION CONTACT: Jinny Ahn, AD/CVD Operations, Office 
VIII, Enforcement and Compliance, International Trade Administration, 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230; telephone: (202) 482-0339.

SUPPLEMENTARY INFORMATION:

Background

    This administrative review is being conducted in accordance with 
section 751(a) of the Tariff Act of 1930, as amended (the Act). On 
January 17, 2020, Commerce published the notice of initiation of this 
administrative review, covering 26 companies.\1\ On February 13, 2020, 
Commerce selected as mandatory respondents Both-Well (Taizhou) Steel 
Fittings Co., Ltd. (Both-Well) and Ningbo Zhongan Forging Co., Ltd. 
(Ningbo Zhongan), the two companies accounting for the largest volume 
of U.S. entries of subject merchandise into the United States as 
reported by U.S. Customs and Border Protection (CBP).\2\ On February 
18, 2020, Commerce issued the non-market economy (NME) antidumping duty 
(AD) questionnaire to Both-Well and Ningbo Zhongan. On March 4, 2020, 
Ningbo Zhongan notified Commerce that it did not intend to respond to 
the NME AD questionnaire.\3\
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 85 FR 3014 (January 17, 2020) (Initiation 
Notice). We note that the Initiation Notice identifies 27 companies 
initiated for review, but for purposes of respondent selection, we 
considered two of the initiated companies as the same company: Both-
Well (Taizhou) Steel Fittings Co., Ltd. and Both-Well Taizhou Steel 
Fittings Co., Ltd. See Memorandum, ``Antidumping Duty Administrative 
Review of Forged Steel Fittings from the People's Republic of China: 
Selection of Respondents for Individual Examination,'' dated 
February 13, 2020 (Respondent Selection Memo).
    \2\ See Respondent Selection Memo.
    \3\ See Ningbo Zhongan's Letter, ``Ningbo Zhongan Notice of No 
Intent to Respond to Questionnaire for Administrative Review of the 
Antidumping Duty Order on Forged Steel Fittings from the People's 
Republic of China,'' dated March 4, 2020.

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[[Page 16187]]

    On April 24, 2020, Commerce tolled all deadlines in administrative 
reviews by 50 days.\4\ On July 21, 2020, Commerce tolled all deadlines 
in administrative reviews by an additional 60 days.\5\ On November 3, 
2020, Commerce extended the preliminary results deadline by 60 days.\6\ 
On January 4, 2021, Commerce extended the preliminary results deadline 
by an additional 60 days until March 19, 2021. For a complete 
description of the events that followed the initiation of this 
administrative review, see the Preliminary Decision Memorandum.\7\
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    \4\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews in Response to 
Operational Adjustments Due to COVID-19,'' dated April 24, 2020.
    \5\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews,'' dated July 21, 2020.
    \6\ See Memorandum, ``Forged Steel Fittings from the People's 
Republic of China: Extension of Deadline for Preliminary Results of 
the First Antidumping Duty Administrative Review,'' dated November 
3, 2020.
    \7\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of Antidumping Duty Administrative Review and Preliminary 
Determination of No Shipments: Forged Steel Fittings from the 
People's Republic of China; 2018-2019,'' dated concurrently with, 
and hereby adopted by, this notice (Preliminary Decision 
Memorandum).
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Scope of the Order 8
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    \8\ See Forged Steel Fittings From Italy and the People's 
Republic of China: Antidumping Duty Orders, 83 FR 60397, dated 
November 26, 2018 (Order).
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    The merchandise covered by the Order is carbon and alloy forged 
steel fittings, whether unfinished (commonly known as blanks or rough 
forgings) or finished. Subject carbon and alloy forged steel fittings 
are normally entered under Harmonized Tariff Schedule of the United 
States (HTSUS) subheadings 7307.99.1000, 7307.99.3000, 7307.99.5045, 
and 7307.99.5060. They also may be entered under HTSUS subheadings 
7307.92.3010, 7307.92.3030, 7307.92.9000, and 7326.19.0010. The HTSUS 
subheadings and specifications are provided for convenience and customs 
purposes; the written description of the scope is dispositive. For a 
complete description of the scope of the Order, see the Preliminary 
Decision Memorandum.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(B) of the Act and 19 CFR 351.213. We calculated export prices 
in accordance with section 772 of the Act. Because China is an NME 
country within the meaning of section 771(18) of the Act, NV has been 
calculated in accordance with section 773(c) of the Act.
    For a full description of the methodology underlying our 
conclusions, see the Preliminary Decision Memorandum. A list of the 
topics included in the Preliminary Decision Memorandum is included in 
Appendix I to this notice. The Preliminary Decision Memorandum is a 
public document and is made available to the public 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. In addition, a complete version of the 
Preliminary Decision Memorandum is available at http://enforcement.trade.gov/frn/.

Preliminary Determination of No Shipments

    Based on our analysis of CBP information and the no-shipment 
certifications submitted by Dalian Guangming Pipe Fittings Co., Ltd., 
Jiangsu Forged Pipe Fittings Co., Ltd., Lianfa Stainless Steel Pipes & 
Valves (Qingyun) Co., Ltd., and Qingdao Bestflow Industrial Co., Ltd., 
Commerce preliminarily determines that these four companies had no 
shipments of subject merchandise during the POR. For additional 
information regarding this determination, see the Preliminary Decision 
Memorandum.
    Consistent with our practice, we are not rescinding this review 
with respect to these companies but, instead, intend to complete the 
review and issue appropriate instructions to CBP based on the final 
results of the review.\9\
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    \9\ See Non-Market Economy Antidumping Proceedings: Assessment 
of Antidumping Duties, 76 FR 65694, 65694-95 (October 24, 2011) (NME 
Assessment of Duties).
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Separate Rates

    Commerce preliminary finds that Ningbo Zhongan has not established 
its eligibility for a separate rate. Moreover, Commerce preliminarily 
finds that 14 other companies for which a review was initiated did not 
establish their eligibility for a separate rate because they failed to 
provide a separate rate application, a separate rate certification, or 
a no-shipment certification if they were already eligible for a 
separate rate.\10\ As such, we preliminarily determine that Ningbo 
Zhongan and these 14 companies are part of the China-wide entity.
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    \10\ See Appendix II of this notice which identifies these 14 
companies along with Ningbo Zhongan.
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    Additionally, Commerce preliminarily finds that the information 
placed on the record by six companies in addition to Both-Well 
demonstrates that these companies are eligible for a separate rate. 
These six companies are: Ningbo Long Teng Metal Manufacturing Co., 
Ltd.; Ningbo Save Technology Co., Ltd.; Q.C. Witness International Co., 
Ltd.; Xin Yi International Trade Co., Limited; Yingkou Guangming 
Pipeline Industry Co., Ltd.; and Yuyao Wanlei Pipe Fitting 
Manufacturing Co., Ltd. For additional information, see the Preliminary 
Decision Memorandum.

Dumping Margin for Non-Individually Examined Companies Granted a 
Separate Rate

    In these preliminary results, because the only participating 
mandatory respondent (i.e., Both-Well) eligible for a separate rate has 
received a weighted-average dumping margin of zero percent, we look to 
section 753(c)(5)(B) of the Act for guidance, which instructs Commerce 
to use any ``reasonable method'' to determine the rate for exporters 
that are not being individually examined and found to be entitled to a 
separate rate. Accordingly, for these preliminary results, we find it 
appropriate to assign the calculated weighted-average dumping margin of 
the sole participating mandatory respondent, Both-Well (i.e., zero 
percent) as the weighted-average dumping margin for the non-selected, 
separate rate respondents. For additional information, see the 
Preliminary Decision Memorandum.

The China-Wide Entity

    Commerce's policy regarding conditional review of the China-wide 
entity applies to this administrative review.\11\ Under this policy, 
the China-wide entity will not be under review unless a party 
specifically requests, or Commerce self-initiates, a review of the 
China-wide entity.\12\ Because no party requested a review of the 
China-wide entity in this review, the China-wide entity is not under 
review and the China-wide entity's rate (i.e., 142.72 percent) is not 
subject to change.\13\ For additional information, see the Preliminary 
Decision Memorandum.
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    \11\ See Antidumping Proceedings: Announcement of Change in 
Department Practice for Respondent Selection in Antidumping 
Proceedings and Conditional Review of the Nonmarket Economy Entity 
in NME Antidumping Duty Proceedings, 78 FR 65963 (November 4, 2013).
    \12\ Id.
    \13\ See Order, 83 FR at 60397.

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[[Page 16188]]

Preliminary Results of the Review

    Commerce preliminarily determines that the following weighted-
average dumping margins exist for the POR:

------------------------------------------------------------------------
                                                       Weighted- average
                       Exporter                          dumping margin
                                                           (percent)
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Both-Well (Taizhou) Steel Fittings Co., Ltd..........               0.00
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       Review-Specific Rate Applicable to the Following Companies
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Ningbo Long Teng Metal Manufacturing Co., Ltd........               0.00
Ningbo Save Technology Co., Ltd......................               0.00
Q.C. Witness International Co., Ltd..................               0.00
Yingkou Guangming Pipeline Industry Co., Ltd.........               0.00
Yuyao Wanlei Pipe Fitting Manufacturing Co., Ltd.....               0.00
Xin Yi International Trade Co., Limited..............               0.00
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Disclosure and Public Comment

    Commerce intends to disclose the calculations performed for these 
preliminary results to the 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)(ii), interested parties may submit 
case briefs no later than 30 days after the date of publication of this 
notice. 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. Rebuttal briefs, limited to issues raised in the case 
briefs, may be filed no later than seven days after the case briefs are 
filed.\14\
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    \14\ See 19 CFR 351.309(d).
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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 within 30 days of the date of 
publication of this notice. 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.\15\ If a request for a hearing is made, Commerce will 
announce the date and time of the hearing.
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    \15\ See 19 CFR 351.310(c).
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    All submissions to Commerce must be filed electronically using 
Enforcement and Compliance's electronic records system, ACCESS,\16\ and 
must also be served on interested parties.\17\ An electronically filed 
document must be received successfully in its entirety by ACCESS, by 5 
p.m. Eastern Time (ET) on the date that the document is due. Note that 
Commerce has temporarily modified certain of its requirements for 
serving documents containing business proprietary information, until 
further notice.\18\
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    \16\ See 19 CFR 351.303.
    \17\ See 19 CFR 351.303(f).
    \18\ See Temporary Rule Modifying AD/CVD Service Requirements 
Due to COVID-19, 85 FR 41363 (July 10, 2020).
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    Unless otherwise extended, Commerce intends to issue the final 
results of this administrative review, which will include the results 
of its analysis of issues raised in any briefs, within 120 days of 
publication of these preliminary results, pursuant to section 
751(a)(3)(A) of the Act.

Assessment Rates

    In accordance with section 751(a)(2)(C) of the Act, the final 
results of this review shall be the basis for the assessment of 
antidumping duties on entries of merchandise covered by this review. 
Upon issuance of the final results, Commerce will determine, and CBP 
shall assess, antidumping duties on all appropriate entries covered by 
this review.\19\ Commerce intends to issue assessment instructions to 
CBP no earlier than 35 days after the date of publication of the final 
results of this review. If a timely summons is filed at the U.S. Court 
of International Trade, the assessment instructions will direct CBP not 
to liquidate relevant entries until the time for parties to file a 
request for a statutory injunction has expired (i.e., within 90 days of 
publication).
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    \19\ See 19 CFR 351.212(b)(1).
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    We will instruct CBP to assess antidumping duties on all 
appropriate entries covered by this review when the company-specific 
weighted-average dumping margin is not zero or de minimis, and, for 
Both-Well, when the importer-specific assessment rate calculated in the 
final results of this review is not zero or de minimis (i.e., less than 
0.50 percent). Where either a company's weighted-average dumping margin 
is zero or de minimis, or an importer-specific assessment rate is zero 
or de minimis,\20\ we will instruct CBP to liquidate the appropriate 
entries without regard to antidumping duties. If Both-Well's weighted-
average dumping margin is not zero or de minimis in the final results 
of this review, Commerce will instruct CBP to collect the appropriate 
duties at the time of liquidation, in accordance with 19 CFR 
351.212(b)(1).\21\
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    \20\ See 19 CFR 351.106(c)(2).
    \21\ Commerce will apply the assessment rate calculation method 
adopted in Antidumping Proceedings: Calculation of the Weighted-
Average Dumping Margin and Assessment Rate in Certain Antidumping 
Proceedings: Final Modification, 77 FR 8101 (February 14, 2012).
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    We intend to instruct CBP to take into account the ``provisional 
measures deposit cap,'' in accordance with 19 CFR 351.212(d).
    For the respondents that were not selected for individual 
examination in this administrative review but qualified for a separate 
rate, the assessment rate will be equal to the weighted-average dumping 
margin assigned to Both-Well in the final results of this review.
    For the final results, if we continue to find that Ningbo Zhongan 
and the 14 companies, identified in Appendix II, are ineligible for a 
separate rate and are, therefore, considered part of the China-wide 
entity, we will instruct CBP to apply an assessment rate of 147.72 
percent (the China-wide entity rate) to all entries of subject 
merchandise during the POR which were exported by those companies.

[[Page 16189]]

    For entries that were not reported in the U.S. sales data submitted 
by Both-Well during this review, Commerce will instruct CBP to 
liquidate such entries at the rate for the China-wide entity.\22\ 
Additionally, if Commerce determines that an exporter under review had 
no shipments of the subject merchandise, any suspended entries that 
entered under that exporter's case number (i.e., at that exporter's 
cash deposit rate) will be liquidated at the rate for the China-wide 
entity.
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    \22\ See NME Assessment of Duties, 76 FR, at 65694-65695, for a 
full discussion of this practice.
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Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of the final results of this administrative review for 
shipments of the subject merchandise from China entered, or withdrawn 
from warehouse, for consumption on or after the publication date, as 
provided by section 751(a)(2)(C) of the Act: (1) For each company 
listed in the final results of this review, the cash deposit rate will 
be equal to the weighted-average dumping margin established in the 
final results of this review (except, if the rate is de minimis, then 
the cash deposit rate will be zero); (2) for previously examined 
Chinese and non-Chinese exporters not listed above that received a 
separate rate in a prior completed segment of this proceeding, the cash 
deposit rate will continue to be the existing exporter-specific cash 
deposit rate; (3) for all Chinese exporters of subject merchandise that 
have not been found to be entitled to a separate rate, the cash deposit 
rate will be the rate for the China-wide entity (i.e., 147.72 percent); 
and (4) for all non-Chinese exporters of subject merchandise which have 
not received their own separate rate, the cash deposit rate will be the 
rate applicable to the Chinese exporter that supplied that non-Chinese 
exporter.
    These cash deposit requirements, when imposed, shall remain in 
effect until further notice.

Notification to Importers

    This notice also 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

    This administrative review and notice are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act, 19 CFR 
351.213, and 19 CFR 351.221(b)(4).

    Dated: March 19, 2021.
Christian Marsh,
Acting 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. Discussion of the Methodology
V. Date of Sale
VI. Comparisons to Normal Value
VII. U.S. Price
VIII. Normal Value
IX. Currency Conversion
X. Adjustment Under Section 777A(f) of the Act
XI. Recommendation

Appendix II

Companies Preliminarily Not Eligible for a Separate Rate and Treated as 
Part of China-Wide Entity

1. Cixi Baicheng Hardware Tools, Ltd.
2. Eaton Hydraulics (Luzhou) Co., Ltd.
3. Eaton Hydraulics (Ningbo) Co., Ltd.
4. Jiangsu Haida Pipe Fittings Group Co.
5. Jinan Mech Piping Technology Co., Ltd.
6. Jining Dingguan Precision Parts Manufacturing Co., Ltd.
7. Luzhou City Chengrun Mechanics Co., Ltd.
8. Ningbo HongTe Industrial Co., Ltd.
9. Ningbo Zhongan Forging Co., Ltd.
10. Shanghai Lon Au Stainless Steel Materials Co., Ltd.
11. Witness International Co., Ltd.
12. Yancheng Boyue Tube Co., Ltd.
13. Yancheng Haohui Pipe Fittings Co., Ltd.
14. Yancheng Jiuwei Pipe Fittings Co., Ltd.
15. Yancheng Manda Pipe Industry Co., Ltd

[FR Doc. 2021-06298 Filed 3-25-21; 8:45 am]
BILLING CODE 3510-DS-P