[Federal Register Volume 86, Number 105 (Thursday, June 3, 2021)]
[Notices]
[Pages 29754-29756]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-11680]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-489-502]


Circular Welded Carbon Steel Pipes and Tubes From the Republic of 
Turkey: Preliminary Results of Countervailing Duty Administrative 
Review and Intent To Rescind the Review, in Part; Calendar Year 2019

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that exporters/producers of circular welded carbon steel pipes and 
tubes from the Republic of Turkey (Turkey) received countervailable 
subsidies during the period of review (POR), January 1, 2019, through 
December 31, 2019.

DATES: Applicable June 3, 2021.

FOR FURTHER INFORMATION CONTACT: Jolanta Lawska, AD/CVD Operations, 
Office III, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-8362.

SUPPLEMENTARY INFORMATION:

Background

    On March 7, 1986, Commerce published in the Federal Register the 
countervailing duty order on circular welded carbon steel pipes and 
tubes from Turkey.\1\ On May 6, 2020, Commerce published a notice of 
initiation of an administrative review of the Order covering 37 
companies.\2\ On June 2, 2020, Commerce selected the Borusan Companies 
\3\ as the sole mandatory respondent for individual examination in this 
administrative review.\4\ On July 21, 2020, Commerce tolled all 
deadlines in administrative reviews by 60 days.\5\ On December 7, 2020, 
Commerce extended the due date of the preliminary results of this 
administrative review until May 28, 2021.\6\
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    \1\ See Countervailing Duty Order; Certain Welded Carbon Steel 
Pipe and Tube Products from Turkey, 51 FR 7984 (March 7, 1986) 
(Order).
    \2\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 85 FR 26931 (May 6, 2020) (Initiation).
    \3\ The Borusan Companies are Borusan Holding A.S. (also 
referred to as Borusan Holding), Borusan Mannesmann Boru Yatirim 
Holding (BMBY), Borusan Mannesmann Boru Sanayi ve Ticaret A.S. 
(Borusan), and Borusan Istikbal Ticaret T.A.S. (Borusan Istikbal).
    \4\ See Memorandum, ``Selection of Respondents for Individual 
Examination,'' dated June 2, 2020 (Respondent Selection Memorandum).
    \5\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews,'' dated July 21, 2020.
    \6\ See Memorandum, ``Circular Welded Carbon Steel Pipes and 
Tubes from Turkey: Extension of Deadline for Preliminary Results of 
Countervailing Duty Administrative Review,'' dated December 7, 2020.
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    For a complete description of the events that followed the 
initiation of this review, see the Preliminary Decision Memorandum.\7\ 
A list of topics discussed in the Preliminary Decision Memorandum is 
included in the appendix to this notice. The Preliminary Decision 
Memorandum is a public document and is on file electronically via 
Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System

[[Page 29755]]

(ACCESS). ACCESS is available to registered users at https://access.trade.gov. In addition, a complete version of the Preliminary 
Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/.
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    \7\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of the Countervailing Duty Administrative Review: Certain 
Welded Carbon Steel Pipe and Tube Products from the Republic of 
Turkey; 2019,'' dated concurrently with, and hereby adopted by, this 
notice (Preliminary Decision Memorandum).
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Scope of the Order

    The merchandise covered by the Order is circular welded carbon 
steel pipes and tubes from Turkey. 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)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found to be countervailable, we preliminarily 
determine that there is a subsidy, i.e., a financial contribution by an 
``authority'' that confers a benefit to the recipient, and that the 
subsidy is specific.\8\ For a full description of the methodology 
underlying our conclusions, see the accompanying Preliminary Decision 
Memorandum.
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    \8\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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Intent To Rescind Administrative Review, in Part

    On May 11, 2020, Erbosan Erciyas Boru Sanayi ve Ticaret A.S. 
(Erbosan) timely filed a no-shipments certification.\9\ On May 18, 
2020, Toscelik Profil ve Sac Endustrisi A.S., Tosyali Dis Ticaret A.S., 
and Toscelik Metal Ticaret A.S. (collectively, the Tos[ccedil]elik 
Companies), timely submitted a no-shipments certification.\10\ On May 
20, 2020, Cayirova Boru Sanayi ve Ticaret A.S., Yucel Boru ve Profil 
Endustrisi A.S. and Yucelboru Ihracat Ithalat ve Pazarlama A.S. 
(collectively, the Yucel Companies) timely filed a no-shipments 
certification.\11\ On June 15, 2020, Cinar Boru Profil Sanayi ve 
Ticaret Anonim Sirketi (Cinar Boru) submitted a claim of no 
shipment.\12\ Based on information received from U.S. Customs and 
Border Protection (CBP),\13\ as well as CBP's responses to our further 
inquiries,\14\ we intend to rescind the administrative review with 
regard to Toscelik Companies, the Yucel Companies, and Cinar Boru in 
accordance with 19 CFR 351.213(d)(3) in the final results of review.
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    \9\ See Erbosan's Letter, ``No Shipment Certification of Erbosan 
Erciyas Boru Sanayi ve Ticaret A.S. (Erbosan) in the 2019 
Administrative Review of the Countervailing Duty Order Involving 
Certain Welded Carbon Steel Standard Pipe from Turkey,'' dated May 
11, 2020.
    \10\ See Toscelik Companies' Letter, ``Circular Welded Carbon 
Steel Pipe from Turkey; Tos[ccedil]elik No Shipments Letter,'' dated 
May 18, 2020.
    \11\ See Yucel Companies' Letter, ``Circular Welded Carbon Steel 
Pipe from Turkey; Yucel No Shipments Letter,'' dated May 20, 2020.
    \12\ See Cinar Boru's Letter, ``Circular Welded Carbon Steel 
Pipes and Tubes from Turkey (C-489-502),'' dated June 15, 2020.
    \13\ See Memorandum, ``Results of Customs and Border Protection 
Query Results,'' dated May 11, 2020 (CBP Query Memorandum).
    \14\ See Memorandum, ``Circular Welded Carbon Steel Pipes and 
Tubes from the Republic of Turkey (C-489-502): Cinar Boru,'' dated 
July 9, 2020; Memorandum, ``Circular Welded Carbon Steel Pipes and 
Tubes from the Republic of Turkey (C-489-502): Certain Borusan 
Companies,'' dated July 9, 2020; and Memorandum, ``Circular Welded 
Carbon Steel Pipes and Tubes from the Republic of Turkey (C-489-
502): Yucel Companies and Toscelik Companies,'' dated September 15, 
2020. We collectively refer to these memoranda as the No Shipment 
Memoranda for Various Companies.
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    Additionally, on June 8, 2020, the Borusan Companies submitted a 
letter to Commerce timely certifying that Borusan Istikbal, Borusan 
Birlesik Boru Fabrikalari San ve Tic. (Borusan Fabrikalari), Borusan 
Gemlik Boru Tesisleri A.S. (Borusan Gemlik), Borusan Ihracat Ithalat ve 
Dagitim A.S. (Borusan Dagitim), Tubeco Pipe and Steel Corporation 
(Tubeco), and Borusan Lojistik Dagitim Depolama Tasimacilik ve Ticaret 
A.S. (Borusan Lojistik) had no entries, exports, or sales of subject 
merchandise during the POR.\15\ Based on information from CBP, we 
intend to rescind the administrative review with regard to Borusan 
Fabrikalari, Borusan Gemlik, Borusan Dagitim, Tubeco, and Borusan 
Lojistik in accordance with 19 CFR 351.213(d)(3).\16\ We do not intend 
to rescind the review for Istikbal, because we preliminarily determine 
that it is part of the cross-owned entity referred to as the Borusan 
Companies, the mandatory respondent in this review.
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    \15\ See Borusan Companies' Letter, ``Circular Welded Carbon 
Steel Pines and Tubes from Turkey. Case No. C-489-502: No Shipment 
Letter,'' dated June 5, 2020.
    \16\ See No Shipment Memoranda for Various Companies.
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    Regarding Erbosan, the results of the query Commerce performed on 
the trade database maintained by CBP indicated that shipments produced 
and/or exported by Erbosan entered the United States during the 
POR.\17\ Consistent with Commerce's findings in the Respondent 
Selection Memorandum,\18\ we preliminarily determine that subject 
merchandise produced and/or exported by Erbosan entered the United 
States during the POR,. Therefore, we are not rescinding the review 
with regard to Erbosan.
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    \17\ See CBP Query Memorandum.
    \18\ See Respondent Selection Memorandum at 5.
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Preliminary Results of the Review

    In accordance with section 751(a)(1)(A) of the Act and 19 CFR 
351.221(b)(4), for the period January 1, 2019, through December 31, 
2019, we determine that the net subsidy rates for the producers/
exporters under review to be as follows:

------------------------------------------------------------------------
                                                            Net subsidy
                         Company                          rate (percent)
------------------------------------------------------------------------
Borusan Holding A.S., Borusan Mannesmann Boru Yatirim               0.83
 Holding, Borusan Mannesmann Boru Sanayi ve Ticaret
 A.S., and Borusan Istikbal Ticaret T.A.S.
 (collectively, the Borusan Companies)..................
Borusan Mannesmann......................................            0.83
Borusan Ithicat ve Dagitim A.S..........................            0.83
Borusan Mannesmann Pipe US, Inc.........................            0.83
Cagil Makina Sanayi ve Ticaret A.S......................            0.83
Cimtas Boru Imalatlari ve Ticaret Sirketi...............            0.83
Eksen Makina............................................            0.83
Erbosan Erciyas Boru Sanayi ve Ticaret A.S..............            0.83
Guner Eksport...........................................            0.83
Guven Celik Boru San. Ve Tic. Ltd. (also known as Guven             0.83
 Steel Pipe)............................................
HDM Celik Boru Sanayi ve Ticaret Ltd. Sti...............            0.83
Kale Baglanti Teknolojileri San ve Tic. A.S.............            0.83
Kalibre Boru Sanayi ve Ticaret A.S......................            0.83
MTS Lojistik ve Tasimacilik Hizmetleri TIC A.S. Istanbul            0.83
Net Boru Sanayi ve Dis Ticaret Koll. Sti................            0.83
Noksel Celik Boru Sanayi A.S............................            0.83
Perfektup Ambalaj San. ve Tic. A.S......................            0.83
Schenker Arkas Nakliyat ve Ticaret A.S..................            0.83
Umran Celik Boru Sanayii A.S. (also known as Umran Steel            0.83
 Pipe Inc.).............................................
Vespro Muhendislik Mimarlik Danismanlik Sanayi ve                   0.83
 Ticaret A.S............................................
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Assessment Rates

    Consistent with section 751(a)(2)(C) of the Act and 19 CFR 
351.212(b)(2), upon issuance of the final results, Commerce shall 
determine, and CBP shall assess, countervailing duties on all 
appropriate entries covered by this review. For the companies for which 
we intend to rescind this review, upon issuance of the final 
rescission, Commerce will instruct CBP to assess countervailing duties 
on all appropriate entries at a rate

[[Page 29756]]

equal to the cash deposit of estimated countervailing duties required 
at the time of entry, or withdrawal from warehouse, for consumption, 
during the period January 1, 2019, through December 31, 2019, in 
accordance with 19 CFR 351.212(c)(1)(i). 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 in the Federal 
Register. 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).

Cash Deposit Requirements

    Pursuant to section 751(a)(2)(C) of the Act, upon issuance of the 
final results, Commerce also intends to instruct CBP to collect cash 
deposits of estimated countervailing duties for each of the companies 
listed above on shipments of subject merchandise entered, or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of this administrative review, except, where the rate 
calculated in the final results is zero or de minimis, no cash deposit 
will be required. For all non-reviewed firms, we will instruct CBP to 
continue to collect cash deposits of estimated countervailing duties at 
the most recent company-specific or all-others rate applicable to the 
company, as appropriate. These cash deposit requirements, when imposed, 
shall remain in effect until further notice.

Disclosure and Public Comment

    We will disclose to parties to this proceeding the calculations 
performed in reaching the preliminary results within five days of the 
date of publication of these preliminary results.\19\ Interested 
parties may submit written arguments (case briefs) within 30 days of 
publication of the preliminary results and rebuttal comments (rebuttal 
briefs) within seven days after the time limit for filing the case 
briefs.\20\ Pursuant to 19 CFR 351.309(d)(2), rebuttal briefs may 
respond only to issues raised in the case briefs. Parties who submit 
arguments are requested to submit with the argument: (1) A statement of 
the issue; (2) a brief summary of the argument; and (3) a table of 
authorities.\21\ Note that Commerce has temporarily modified certain of 
its requirements for serving documents containing business proprietary 
information, until further notice.\22\
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    \19\ See 19 CFR 351.224(b).
    \20\ See 19 CFR 351.309(c)(1)(ii) and 351.309(d)(1); see also 
Temporary Rule Modifying AD/CVD Service Requirements Due to COVID-
19; Extension of Effective Period, 85 FR 41363 (July 10, 2020) 
(Temporary Rule).
    \21\ See 19 CFR 351.309(c)(2) and 351.309(d)(2).
    \22\ See Temporary Rule.
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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, U.S. Department of Commerce, 
within 30 days after the date of publication of this notice.\23\ 
Requests should contain the party's name, address, and telephone 
number, the number of participants, and a list of the issues to be 
discussed. Issues addressed during the hearing will be limited to those 
raised in the briefs.\24\ If a request for a hearing is made, Commerce 
intends to hold the hearing at a time and date to be determined.\25\ 
Parties should confirm by telephone the date, time, and location of the 
hearing two days before the scheduled date.
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    \23\ See 19 CFR 351.310(c).
    \24\ See 19 CFR 351.310(c).
    \25\ See 19 CFR 351.310.
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    Parties are reminded that briefs and hearing requests are to be 
filed electronically using ACCESS and that electronically filed 
documents must be received successfully in their entirety by 5:00 p.m. 
Eastern Time on the due date.
    Unless the deadline is extended pursuant to section 751(a)(3)(A) of 
the Act, Commerce will issue the final results of this administrative 
review, including the results of our analysis of the issues raised by 
parties in their comments, within 120 days after issuance of these 
preliminary results.

Notification to Interested Parties

    These preliminary results are issued and published in accordance 
with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 
351.221(b)(4).

    Dated: May 27, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Review
IV. Scope of the Order
V. Subsidies Valuation Information
VI. No-Shipment Claims and Intent to Rescind
VII. Non-Selected Rate
VIII. Analysis of Programs
IX. Recommendation

[FR Doc. 2021-11680 Filed 6-2-21; 8:45 am]
BILLING CODE 3510-DS-P