[Federal Register Volume 86, Number 119 (Thursday, June 24, 2021)]
[Notices]
[Pages 33228-33231]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-13204]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-552-831]
Seamless Refined Copper Pipe and Tube From the Socialist Republic
of Vietnam: Final Affirmative Determination of Sales at Less Than Fair
Value and Final Negative Determination of Critical Circumstances
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily determines
that imports of seamless refined copper pipe and tube (copper pipe and
tube) from the Socialist Republic of Vietnam (Vietnam) are being, or
are likely to be, sold in the United States at less than fair value
(LTFV). The period of investigation (POI) is October 1, 2019, through
March 31, 2020. Further, Commerce finds that critical circumstances do
not exist.
DATES: Applicable June 24, 2021.
FOR FURTHER INFORMATION CONTACT: Ariela Garvett, AD/CVD Operations,
Office IV, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-3609.
SUPPLEMENTARY INFORMATION:
Background
On February 1, 2021, Commerce published the Preliminary
Determination in the LTFV investigation of copper pipe and tube from
Vietnam.\1\ On February 8, 2021, Commerce postponed the final
determination of this investigation to June 16, 2021.\2\ The
petitioners in this investigation are the American Copper Tube
Coalition and its individual constituent members (collectively, the
petitioners).\3\ The sole mandatory respondent in this investigation is
Hailiang (Vietnam) Copper Manufacturing Company Limited (Hailiang
Vietnam),\4\ and in the Preliminary Determination, Commerce determined
that Hailiang Vietnam and Hongkong Hailiang Metal Trading Limited (also
known as Hong Kong Hailiang Metal Trading Limited) (Hongkong Hailiang)
should be treated as a single entity, collectively, Hailiang Vietnam/
Hongkong Hailiang.\5\ We invited interested parties to comment on the
Preliminary Determination.\6\ A summary of the events that occurred
since Commerce published the Preliminary Determination may be found in
the Issues and Decision Memorandum.\7\
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\1\ See Seamless Refined Copper Pipe and Tube from the Socialist
Republic of Vietnam: Preliminary Affirmative Determination of Sales
at Less Than Fair Value and Preliminary Negative Determination of
Critical Circumstances, 86 FR 7698 (February 1, 2021) (Preliminary
Determination), and accompanying Preliminary Decision Memorandum.
\2\ See Seamless Refined Copper Pipe and Tube from the Socialist
Republic of Vietnam: Postponement of Final Determination in the
Less-Than-Fair-Value Investigation, 86 FR 8588 (February 8, 2021).
\3\ The members of the American Copper Tube Coalition are
Mueller Copper Tube Products, Inc.; Mueller Copper Tube West Co.;
Mueller Copper Tube Company, Inc.; Howell Metal Company; and
Linesets, Inc. and Cerro Flow Products, LLC.
\4\ See Memorandum, ``Selection of Mandatory Respondents for
Individual Examination,'' dated September 8, 2020
\5\ See Memorandum, ``Affiliation and Single Entity Treatment
Memorandum,'' dated January 26, 2021.
\6\ See Preliminary Determination.
\7\ See Memorandum, ``Issues and Decision Memorandum for the
Final Affirmative Determination in the Less-Than-Fair-Value
Investigation of Seamless Refined Copper Pipe and Tube from the
Socialist Republic of Vietnam,'' dated concurrently with, and hereby
adopted by, this notice (Issues and Decision Memorandum).
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The Issues and Decision Memorandum is a public document and is on
file electronically via Enforcement and Compliance's Antidumping and
[[Page 33229]]
Countervailing Duty Centralized Electronic Service System (ACCESS).
ACCESS is available to registered users at http://access.trade.gov. In
addition, a complete version of the Issues and Decision Memorandum can
be accessed directly at http://enforcement.trade.gov/frn/.
Scope of the Investigation
The products covered by this investigation are copper pipe and tube
from Vietnam. For a full description of the scope of this
investigation, see Appendix I.
Scope Comments
Commerce received no comments from interested parties regarding the
scope of this investigation. Accordingly, Commerce has not modified the
scope language from the Preliminary Determination.
Analysis of Comments Received
All issues raised in the case and rebuttal briefs that were
submitted by parties in this investigation are addressed in the Issues
and Decision Memorandum. A list of the issues addressed in the Issues
and Decision Memorandum is attached to this notice at Appendix II.
Verification
Commerce was unable to conduct on-site verification of the
information relied upon in making its final determination in this
investigation. However, we took additional steps in lieu of an on-site
verification to verify the information relied upon in making this final
determination, in accordance with section 782(i) of the Tariff Act of
1930, as amended (the Act).\8\
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\8\ See Commerce's Letter, Remote Verification Questionnaire,
dated February 22, 2021.
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Methodology
Commerce conducted this investigation in accordance with section
731 of the Act. Export price was calculated in accordance with section
772(a) of the Act. Constructed export price was calculated in
accordance with section 772(b) of the Act. Because Vietnam is a non-
market economy within the meaning of section 771(18) of the Act, normal
value was calculated in accordance with section 773(c) of the Act. For
a full description of the methodology underlying Commerce's
determination, see the Preliminary Decision Memorandum; see also the
Issues and Decision Memorandum.
Changes Since the Preliminary Determination
Based on our analysis of the comments received, the information
received in lieu of on-site verification, and our analysis of the
ministerial error allegations,\9\ we made certain changes to the margin
calculations for Hailiang Vietnam/Hongkong Hailiang. For a discussion
of these changes, see the Issues and Decision Memorandum and the Final
Analysis Memorandum.\10\ In light of these changes to the margin
calculations and the resulting revised estimated weighted-average
dumping margin for Hailiang Vietnam/Hongkong Hailiang, we have also
revised the rates assigned to companies eligible for a separate rate
and to the Vietnam-wide entity.\11\
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\9\ See Memorandum, ``Allegation of Ministerial Errors in the
Preliminary Determination,'' dated February 22, 2021.
\10\ See Memorandum, ``Final Determination Calculations for
Hailiang Vietnam/Hongkong Hailiang,'' dated concurrently with this
memorandum (Final Analysis Memorandum).
\11\ See Preliminary Determination Preliminary Decision
Memorandum at 28.
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Final Negative Determination of Critical Circumstances
Commerce preliminarily determined that critical circumstances did
not exist for Hailiang Vietnam/Hongkong Hailiang, the non-individually
investigated companies qualifying for a separate rate, and the Vietnam-
wide entity.\12\ No parties submitted comments regarding our negative
preliminary critical circumstances determination. For this final
determination, Commerce revised its surge analysis to include all
months for which U.S. import data are available. For the final
determination, in accordance with section 735(a)(3) of the Act and 19
CFR 351.206, Commerce continues to find that critical circumstances do
not exist for Hailiang Vietnam/Hongkong Hailiang, the non-individually
investigated companies qualifying for a separate rate, and the Vietnam-
wide entity. For a full description of the methodology and results of
Commerce's critical circumstances analysis, see the Issues and Decision
Memorandum and the Final Critical Circumstances Surge Analysis
Memorandum.\13\
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\12\ See Preliminary Determination.
\13\ See Memorandum, ``Final Critical Circumstances Surge
Analysis,'' dated concurrently with this memorandum (Final Critical
Circumstances Surge Analysis Memorandum).
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Separate Rates
No party commented on our preliminary separate rate determinations
with respect to the mandatory respondent and the non-individually
examined companies. Thus, there is no basis to reconsider the
Preliminary Determination with respect to separate rate status for this
final determination.
Combination Rates
As explained in the Initiation Notice and implemented in the
Preliminary Determination, we have continued to calculate producer/
exporter combination rates for the respondents that are eligible for a
separate rate.\14\ Policy Bulletin 05.1 describes this practice.\15\
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\14\ Id.; see also Seamless Refined Copper Pipe and Tube from
the Socialist Republic of Vietnam: Initiation of Less-Than-Fair-
Value Investigation, 85 FR 47181 (August 4, 2020) (Initiation
Notice).
\15\ See Enforcement and Compliance's Policy Bulletin No. 05.1,
regarding, ``Separate-Rates Practice and Application of Combination
Rates in Antidumping Investigations involving Non-Market Economy
Countries,'' (April 5, 2005) (Policy Bulletin 05.1), available on
Commerce's website at http://enforcement.trade.gov/policy/bull05-1.pdf.
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Final Determination
The final estimated weighted-average dumping margins are as
follows:
------------------------------------------------------------------------
Estimated
weighted-
Producer Exporter average
dumping margin
(Percent)
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Hailiang (Vietnam) Copper Hailiang (Vietnam) 8.35
Manufacturing Company Limited/ Copper Manufacturing
Hongkong Hailiang Metal Company Limited/
Trading Limited (aka Hong Kong Hongkong Hailiang
Hailiang Metal Trading Metal Trading Limited
Limited). (aka Hong Kong
Hailiang Metal Trading
Limited).
Jintian Copper Industrial Jintian Copper 8.35
(Vietnam) Company Limited. Industrial (Vietnam)
(aka Jintian Copper Industrial Company Limited. (aka
(Vietnam) Co., Ltd). Jintian Copper
Industrial (Vietnam)
Co., Ltd).
Toan Phat Copper Tube Joint Toan Phat Copper Tube 8.35
Stock Company. Joint Stock Company.
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[[Page 33230]]
Vietnam-Wide Entity 8.35
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Disclosure
Commerce intends to disclose to interested parties under
Administrative Protective Order (APO), the calculations performed in
connection with this final determination within five days of its 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).
Continuation of Suspension of Liquidation
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 copper pipe and tube
from Vietnam, as described in Appendix I of this notice, which are
entered, or withdrawn from warehouse, for consumption on or after
February 1, 2021, the date of publication of the Preliminary
Determination in the Federal Register.
Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR
351.210(d), upon publication of this notice, Commerce will instruct CBP
to require a cash deposit for estimated antidumping duties for such
entries as follows: (1) For the exporter/producer combinations listed
in the table above, the cash deposit rate is equal to the estimated
weighted-average dumping margin listed for that combination in the
table; (2) for all combinations of Vietnamese exporters/producers not
listed in the above table, the cash deposit rate is equal to the
estimated weighted-average dumping margin listed in the table for the
Vietnam-wide entity; and (3) for all third-country exporters, the cash
deposit rate is equal to the cash deposit rate applicable to the
Vietnamese exporter/producer combination (or the Vietnam-wide entity)
that supplied that third-country exporter.
These suspension of liquidation instructions will remain in effect
until further notice.
International Trade Commission (ITC) Notification
In accordance with section 735(d) of the Act, we will notify the
ITC of the final affirmative determination of sales at LTFV. Because
the final determination 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 or
sales (or the likelihood of sales) for importation of subject copper
pipe and tube, no later than 45 days after this final determination. If
the ITC determines that such injury does not exist, this proceeding
will be terminated, and all cash deposited for antidumping duties will
be refunded. If the ITC determines that such injury does exist,
Commerce will issue an antidumping duty order directing CBP to assess,
upon further instruction by Commerce, antidumping 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, as discussed above in the ``Continuation of Suspension of
Liquidation'' section.
Notification Regarding APO
This notice serves as a reminder to the parties subject to APO of
their responsibility concerning the disposition of propriety
information disclosed under APO in accordance with 19 CFR
351.305(a)(3). Timely written notification of the return or destruction
of APO materials or, alternatively, conversion to judicial protective
order, is hereby requested. Failure to comply with the regulations and
terms of an APO is a violation that is subject to sanction.
Notification to Interested Parties
This determination is issued and published pursuant to sections
735(d) and 777(i)(1) of the Act, and 19 CFR 351.210(c).
Dated: June 16, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.
Appendix I--Scope of the Investigation
The products covered by this investigation are all seamless
circular refined copper pipes and tubes, including redraw hollows,
greater than or equal to 6 inches (152.4 mm) in actual length and
measuring less than 12.130 inches (308.102 mm) in actual outside
diameter (OD), regardless of wall thickness, bore (e.g., smooth,
enhanced with inner grooves or ridges), manufacturing process (e.g.,
hot finished, cold-drawn, annealed), outer surface (e.g., plain or
enhanced with grooves, ridges, fins, or gills), end finish (e.g.,
plain end, swaged end, flared end, expanded end, crimped end,
threaded), coating (e.g., plastic, paint), insulation, attachments
(e.g., plain, capped, plugged, with compression or other fitting),
or physical configuration (e.g., straight, coiled, bent, wound on
spools).
The scope of this investigation covers, but is not limited to,
seamless refined copper pipe and tube produced or comparable to the
American Society for Testing and Materials (ASTM) ASTM-B42, ASTM-
B68, ASTM-B75, ASTM-B88, ASTM-B88M, ASTM-B188, ASTM-B251, ASTM-
B251M, ASTM-B280, ASTM-B302, ASTM-B306, ASTM-B359, ASTM-B743, ASTM-
B819, and ASTM-B903 specifications and meeting the physical
parameters described therein.
Also included within the scope of this investigation are all
sets of covered products, including ``line sets'' of seamless
refined copper tubes (with or without fittings or insulation)
suitable for connecting an outdoor air conditioner or heat pump to
an indoor evaporator unit. The phrase ``all sets of covered
products'' denotes any combination of items put up for sale that is
comprised of merchandise subject to the scope.
``Refined copper'' is defined as: (1) Metal containing at least
99.85 percent by actual weight of copper; or (2) metal containing at
least 97.5 percent by actual weight of copper, provided that the
content by actual weight of any other element does not exceed the
following limits:
------------------------------------------------------------------------
Limiting
content
Element percent by
weight
------------------------------------------------------------------------
Ag--Silver.................................................. 0.25
As--Arsenic................................................. 0.5
Cd--Cadmium................................................. 1.3
Cr--Chromium................................................ 1.4
Mg--Magnesium............................................... 0.8
Pb--Lead.................................................... 1.5
S--Sulfur................................................... 0.7
Sn--Tin..................................................... 0.8
Te--Tellurium............................................... 0.8
Zn--Zinc.................................................... 1.0
Zr--Zirconium............................................... 0.3
Other elements (each)....................................... 0.3
------------------------------------------------------------------------
Excluded from the scope of this investigation are all seamless
circular hollows of refined copper less than 12 inches in actual
length whose actual OD exceeds its actual length.
The products subject to this investigation are currently
classifiable under subheadings 7411.10.1030 and 7411.10.1090 of the
Harmonized Tariff Schedule of the United
[[Page 33231]]
States (HTSUS). Products subject to the investigation may also enter
under HTSUS subheadings 7407.10.1500, 7419.99.5050, 8415.90.8065,
and 8415.90.8085. Although the HTSUS subheadings are provided for
convenience and customs purposes, the written description of the
scope of the investigation is dispositive.
Appendix II--List of Topics Discussed in the Issues and Decision
Memorandum
I. Summary
II. Background
III. Period of Investigation
IV. Scope of the Investigation
V. Final Negative Determination of Critical Circumstances
VI. Changes Since the Preliminary Determination
VII. Discussion of the Issues
Comment 1: Hailiang America Corporation's (Hailiang America)
Credit and Rebate Expenses
Comment 2: General and Administrative (GNA) Expenses and
Financial (INTEX) Expenses for Further Manufacturing Costs
Comment 3: Whether To Continue To Use Factors of Production
(FOP) Database ``Hailiangfop04a''
Comment 4: Surrogate Value (SV) for Nitrogen
Comment 5: SV for Electricity
Comment 6: SV for Insulation Material Polyethylene (Insulation
MPE)
Comment 7: Whether To Apply Partial Adverse Facts Available
(AFA) to Copper and Electricity Usage Rates
Comment 8: Use of Sagardeep Alloys Limited's (Sagardeep) and
Bhagyanagar India Limited's (Bhagyanagar) Financial Statements To
Calculate the Surrogate Financial Ratios
VIII. Recommendation
[FR Doc. 2021-13204 Filed 6-23-21; 8:45 am]
BILLING CODE 3510-DS-P