[Federal Register Volume 89, Number 145 (Monday, July 29, 2024)]
[Notices]
[Pages 60863-60866]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-16637]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-520-807]


Circular Welded Carbon-Quality Steel Pipe From the United Arab 
Emirates: Notice of Initiation and Preliminary Results of Antidumping 
Duty Changed Circumstances Review

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

SUMMARY: The U.S. Department of Commerce (Commerce) is initiating and 
issuing preliminary results of a changed circumstances review (CCR) of 
the antidumping duty (AD) order on circular welded carbon-quality steel 
pipe (CWP) from the United Arab Emirates (UAE) to determine whether 
Universal Tube and Pipe Industries FZE (Universal Tube and Pipe), is 
the successor-in-interest to Universal Tube and Plastic Industries 
Limited (UTP). Based on information on the record, we preliminarily 
determine that Universal Tube and Pipe is the successor-in-interest to 
UTP and should be assigned UTP's cash deposit rate for purposes of the 
AD order. Interested parties are invited to comment on these 
preliminary results.

DATES: Applicable July 29, 2024.

FOR FURTHER INFORMATION CONTACT: Genevieve Coen, AD/CVD Operations, 
Office II, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-3251.

SUPPLEMENTARY INFORMATION:

Background

    On December 19, 2016, Commerce published in the Federal Register 
the AD order on CWP from the UAE.\1\ On June 7, 2024, Universal Tube 
and Pipe requested that Commerce conduct an expedited CCR of the Order 
to determine that Universal Tube and Pipe is the successor-in-interest 
to UTP, and publish the preliminary results of the review 
simultaneously with the

[[Page 60864]]

initiation of the CCR.\2\ No interested parties filed comments 
concerning the CCR request. On July 22, 2024, Commerce tolled certain 
deadlines in this administrative proceeding by seven days.\3\ The 
deadline for the initiation is now July 29, 2024.
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    \1\ See Circular Welded Carbon-Quality Steel Pipe from the 
Sultanate of Oman, Pakistan, and the United Arab Emirates: Amended 
Final Affirmative Antidumping Duty Determination and Antidumping 
Duty Orders, 81 FR 91906 (December 19, 2016) (Order).
    \2\ See Universal Tube and Pipe's Letter, ``Request for Changed 
Circumstances Review and Successor-in-Interest Determination,'' 
dated June 7, 2024 (CCR Request).
    \3\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated July 22, 2024.
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Scope of the Order

    The products covered by the Order are CWP from the UAE. For a 
complete description of the scope of the Order, see the appendix to 
this notice.

Initiation of CCR

    Pursuant to section 751(b)(1) of the Tariff Act of 1930, as amended 
(the Act), and 19 CFR 351.216(d), Commerce will conduct a CCR of an 
order upon receipt of information concerning, or a request from an 
interested party for a review of, an order which shows changed 
circumstances sufficient to warrant a review of the order. In the past, 
Commerce has used CCRs to address the applicability of cash deposit 
rates after there have been changes in the name or structure of a 
respondent, such as a merger or spinoff (``successor-in-interest'' or 
``successorship'' determinations).\4\ Commerce finds that the 
information submitted by Universal Tube and Pipe demonstrates changed 
circumstances sufficient to warrant such a review. Therefore, in 
accordance with section 751(b)(1) of the Act and 19 CFR 351.216(d), 
Commerce is initiating a CCR based on the information contained in 
Universal Tube and Pipe's request that Commerce determine whether 
Universal Tube and Pipe is the successor-in-interest to UTP for 
purposes of the Order and AD liability.
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    \4\ See, e.g., Diamond Sawblades and Parts Thereof from the 
People's Republic of China: Initiation and Preliminary Results of 
Antidumping Duty Changed Circumstances Review, 82 FR 51605, 51606 
(November 7, 2017) (Diamond Sawblades from China Preliminary), 
unchanged in Diamond Sawblades and Parts Thereof from the People's 
Republic of China: Final Results of Antidumping Duty Changed 
Circumstances Review, 82 FR 60177 (December 19, 2017) (Diamond 
Sawblades from China Final).
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Preliminary Results of CCR

    If we conclude that an expedited action is warranted, we may 
combine the notices of initiation and preliminary results of a CCR 
under 19 CFR 351.221(c)(3)(ii). Commerce has combined the notice of 
initiation and preliminary results in successor-in-interest cases when 
sufficient documentation has been provided supporting the request to 
make a preliminary determination.\5\ In this instance, we have the 
necessary information on the record to make a preliminary finding. 
Thus, we find that expedited action is warranted and have combined the 
notices of initiation and preliminary results pursuant to 19 CFR 
351.221(c)(3)(ii).
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    \5\ See, e.g., Diamond Sawblades from Prelim Preliminary, 
unchanged in Diamond Sawblades from China Final; see also Certain 
Frozen Warmwater Shrimp from India: Initiation and Preliminary 
Results of Antidumping Duty Changed Circumstances Review, 83 FR 
37784 (August 2, 2018), unchanged in Certain Frozen Warmwater Shrimp 
from India: Notice of Final Results of Antidumping Duty Changed 
Circumstances Review, 83 FR 49909 (October 3, 2018).
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    In making a successor-in-interest determination for purposes of AD 
liability, Commerce examines several factors including, but not limited 
to, changes in the following: (1) management and ownership; (2) 
production facilities; (3) supplier relationships; and (4) customer 
base.\6\ While no single factor or combination of these factors will 
necessarily provide a dispositive indication of a successor-in-interest 
relationship, Commerce will generally consider the new company to be 
the successor to the previous company if the new company's operations 
are not materially dissimilar to those of its predecessor.\7\ Thus, if 
the evidence demonstrates that, with respect to the production and 
sales of the subject merchandise, the new company operates as 
essentially the same business entity as the former company, Commerce 
will assign the new company the cash deposit rate of its 
predecessor.\8\
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    \6\ See, e.g., Initiation and Preliminary Results of Antidumping 
Duty Changed Circumstances Review: Multilayered Wood Flooring from 
the People's Republic of China, 79 FR 48117 (August 15, 2014), 
unchanged in Multilayered Wood Flooring from the People's Republic 
of China: Final Results of Changed Circumstances Review, 79 FR 58740 
(September 30, 2014).
    \7\ Id.
    \8\ Id.; see also, e.g., Notice of Initiation and Preliminary 
Results of Antidumping Duty Changed Circumstances Review: Certain 
Frozen Warmwater Shrimp from India, 77 FR 64953 (October 24, 2012), 
unchanged in Final Results of Antidumping Duty Changed Circumstances 
Review: Certain Frozen Warmwater Shrimp from India, 77 FR 73619 
(December 11, 2012).
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    In its CCR request, Universal Tube and Pipe provided: (1) a table 
demonstrating the continuity of ownership and management of managers 
before and after the takeover; (2) previously registered and newly 
transferred factory licenses from UTP to Universal Tube and Pipe; (3) a 
list of suppliers before and after the takeover; (4) a list of 
customers before and after the takeover; and (5) a corporate 
organizational structure chart before and after the takeover.\9\ The 
information submitted by Universal Tube and Pipe, discussed below, 
demonstrates that its request is based solely on a change in the name 
of the company from ``Universal Tube and Plastic Industries Limited'' 
to ``Universal Tube and Pipe Industries FZE.''
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    \9\ Id.
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1. Management and Ownership

    There have been no material changes in management and ultimate 
ownership resulting from the name change. In its CCR Request, Universal 
Tube and Pipe includes two lists of officers and directors from before 
and after the name change showing that all existing officers and 
directors from UTP hold identical positions at Universal Tube and 
Pipe.\10\ Additionally, while UTP was a Bahamas-based company, and 
Universal Tube and Pipe is a UAE-based company, both the intermediate 
owner and ultimate individual shareholders of both companies are the 
same.\11\
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    \10\ See CCR Request at 6-7 and Exhibit 2.
    \11\ Id. at 6-7 and Exhibit 7.
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2. Products and Production Facilities

    There have been no changes in production facilities between 
Universal Tube and Pipe and UTP.\12\ The production facilities used to 
produce CWP at UTP are the same as those used to produce CWP at 
Universal Tube and Pipe.\13\
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    \12\ Id. at 7.
    \13\ Id. at Exhibit 3.
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3. Supplier Relationships

    Universal Tube and Pipe provided a list of suppliers related to the 
production of CWP following the name change and other supporting 
evidence to demonstrate that it maintained the same suppliers as 
UTP.\14\ The top suppliers of the main raw material inputs used in CWP 
production under UTP from January to February 2024 (i.e., before the 
name change), remained the same as the top suppliers of Universal Tube 
and Pipe in March 2024 (i.e., after the name change).\15\ Accordingly, 
Universal Tube and Pipe has demonstrated that supplier relationships 
have not markedly changed following the reorganization.
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    \14\ Id. at 8 and Exhibit 4.
    \15\ Id. at Exhibit 4.
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4. Customer Base

    Universal Tube and Pipe states that there were no material changes 
in the customer base of UTP as a result of restructuring.\16\ Universal 
Tube and Pipe provided a list demonstrating that

[[Page 60865]]

it maintained the same domestic and foreign customers before and after 
the name change.\17\
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    \16\ Id. at 8.
    \17\ Id. at Exhibit 5.
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    Based on the foregoing, we preliminarily determine that Universal 
Tube and Pipe is the successor-in-interest to UTP and that Universal 
Tube and Pipe should receive the same AD cash deposit rate with respect 
to subject merchandise as its predecessor, UTP.
    Should our final results remain unchanged from these preliminary 
results, we will instruct U.S. Customs and Border Protection to assign 
entries of subject merchandise exported by Universal Tube and Pipe the 
AD cash deposit rate applicable to UTP.

Public Comment

    In accordance with 19 CFR 351.309(c)(1)(ii), interested parties may 
submit case briefs no later than 14 days after the date of publication 
of this notice.\18\ Rebuttal briefs, limited to issues raised in case 
briefs, may be filed not later than five days after the due date for 
case briefs, in accordance with 19 CFR 351.309(d).\19\ Interested 
parties who submit case or rebuttal briefs in this proceeding must 
submit: (1) a table of contents listing each issue; and (2) a table of 
authorities.\20\ All briefs must be filed electronically using 
Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (ACCESS) and must also be served 
on interested parties. An electronically filed document must be 
received successfully in its entirety in ACCESS by 5:00 p.m. Eastern 
Time on the established deadline. Note that Commerce has amended 
certain of its requirements pertaining to the service of documents in 
19 CFR 351.303(f).\21\
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    \18\ Commerce is exercising its discretion under 19 CFR 
351.309(c)(1)(ii) to alter the time limit for the filing of case 
briefs.
    \19\ See 19 CFR 351.309(d); see also Administrative Protective 
Order, Service, and Other Procedures in Antidumping and 
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29, 
2023) (APO and Final Service Rule).
    \20\ See 19 CFR 351.309(c)(2) and (d)(2).
    \21\ See APO and Final Service Rule.
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    As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior 
proceedings we have encouraged interested parties to provide an 
executive summary of their brief that should be limited to five pages 
total, including footnotes. In this CCR, we instead request that 
interested parties provide at the beginning of their briefs a public, 
executive summary for each issue raised in their briefs.\22\ Further, 
we request that interested parties limit their public executive summary 
of each issue to no more than 450 words, not including citations. We 
intend to use the public executive summaries as the basis of the 
comment summaries included in the issues and decision memorandum that 
will accompany the final determination in this CCR. We request that 
interested parties include footnotes for relevant citations in the 
public executive summary of each issue.
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    \22\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce within 14 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, whether any participant is a foreign national, and a list 
of the issues to be discussed. If a request for a hearing is made, 
Commerce intends to hold the hearing at a time and date to be 
determined. Parties should confirm by telephone the date, time, and 
location of the hearing two days before the scheduled date.
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    \23\ Commerce is exercising its discretion under 19 CFR 
351.310(c) to alter the time limit for the filing a request for a 
hearing.
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Final Results

    Consistent with 19 CFR 351.216(e), we intend to issue the final 
results of this CCR no later than 270 days after the date on which this 
review was initiated, or within 45 days of publication of these 
preliminary results, if all parties agree to the preliminary findings, 
unless the deadline is extended.

Notification to Interested Parties

    We are issuing and publishing this initiation and preliminary 
results notice in accordance with section 751(b)(1) and 777(i)(1) of 
the Act, and 19 CFR 351.216(b) and 351.221(c)(3).

    Dated: July 23, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance.

Appendix

    The merchandise covered by this Order is welded carbon-quality 
steel pipes and tube, of circular cross-section, with an outside 
diameter (O.D.) not more than nominal 16 inches (406.4 mm), 
regardless of wall thickness, surface finish (e.g., black, 
galvanized, or painted), end finish (plain end, beveled end, 
grooved, threaded, or threaded and coupled), or industry 
specification (e.g., American Society for Testing and Materials 
International (ASTM), proprietary, or other), generally known as 
standard pipe, fence pipe and tube, sprinkler pipe, and structural 
pipe (although subject product may also be referred to as mechanical 
tubing). Specifically, the term ``carbon quality'' includes products 
in which:
    (a) iron predominates, by weight, over each of the other 
contained elements;
    (b) the carbon content is 2 percent or less, by weight; and
    (c) none of the elements listed below exceeds the quantity, by 
weight, as indicated:
    (i) 1.80 percent of manganese;
    (ii) 2.25 percent of silicon;
    (iii) 1.00 percent of copper;
    (iv) 0.50 percent of aluminum;
    (v) 1.25 percent of chromium;
    (vi) 0.30 percent of cobalt;
    (vii) 0.40 percent of lead;
    (viii) 1.25 percent of nickel;
    (ix) 0.30 percent of tungsten;
    (x) 0.15 percent of molybdenum;
    (xi) 0.10 percent of niobium;
    (xii) 0.41 percent of titanium;
    (xiii) 0.15 percent of vanadium; or
    (xiv) 0.15 percent of zirconium.
    Covered products are generally made to standard O.D. and wall 
thickness combinations. Pipe multi-stenciled to a standard and/or 
structural specification and to other specifications, such as 
American Petroleum Institute (API) API-5L specification, may also be 
covered by the scope of this order. In particular, such multi-
stenciled merchandise is covered when it meets the physical 
description set forth above, and also has one or more of the 
following characteristics: is 32 feet in length or less; is less 
than 2.0 inches (50 mm) in outside diameter; has a galvanized and/or 
painted (e.g., polyester coated) surface finish; or has a threaded 
and/or coupled end finish.
    Standard pipe is ordinarily made to ASTM specifications A53, 
A135, and A795, but can also be made to other specifications. 
Structural pipe is made primarily to ASTM specifications A252 and 
A500. Standard and structural pipe may also be produced to 
proprietary specifications rather than to industry specifications.
    Sprinkler pipe is designed for sprinkler fire suppression 
systems and may be made to industry specifications such as ASTM A53 
or to proprietary specifications.
    Fence tubing is included in the scope regardless of 
certification to a specification listed in the exclusions below, and 
can also be made to the ASTM A513 specification. Products that meet 
the physical description set forth above but are made to the 
following nominal outside diameter and wall thickness combinations, 
which are recognized by the industry as typical for fence tubing, 
are included despite being certified to ASTM mechanical tubing 
specifications:

------------------------------------------------------------------------
                                          Wall thickness
        O.D. in inches (nominal)             in inches         Gage
                                             (nominal)
------------------------------------------------------------------------
1.315...................................           0.035              20
1.315...................................           0.047              18

[[Page 60866]]

 
1.315...................................           0.055              17
1.315...................................           0.065              16
1.315...................................           0.072              15
1.315...................................           0.083              14
1.315...................................           0.095              13
1.660...................................           0.055              17
1.660...................................           0.065              16
1.660...................................           0.083              14
1.660...................................           0.095              13
1.660...................................           0.109              12
1.900...................................           0.047              18
1.900...................................           0.055              17
1.900...................................           0.065              16
1.900...................................           0.072              15
1.900...................................           0.095              13
1.900...................................           0.109              12
2.375...................................           0.047              18
2.375...................................           0.055              17
2.375...................................           0.065              16
2.375...................................           0.072              15
2.375...................................           0.095              13
2.375...................................           0.109              12
2.375...................................           0.120              11
2.875...................................           0.109              12
2.875...................................           0.165               8
3.500...................................           0.109              12
3.500...................................           0.165               8
4.000...................................           0.148               9
4.000...................................           0.165               8
4.500...................................           0.203               7
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    The scope of this Order does not include:
    (a) pipe suitable for use in boilers, superheaters, heat 
exchangers, refining furnaces and feedwater heaters, whether or not 
cold drawn, which are defined by standards such as ASTM A178 or ASTM 
A192;
    (b) finished electrical conduit, i.e., Electrical Rigid Steel 
Conduit (also known as Electrical Rigid Metal Conduit and Electrical 
Rigid Metal Steel Conduit), Finished Electrical Metallic Tubing, and 
Electrical Intermediate Metal Conduit, which are defined by 
specifications such as American National Standard (ANSI) C80.1-2005, 
ANSI C80.3-2005, or ANSI C80.6-2005, and Underwriters Laboratories 
Inc. (UL) UL-6, UL-797, or UL-1242;
    (c) finished scaffolding, i.e., component parts of final, 
finished scaffolding that enter the United States unassembled as a 
``kit.'' A kit is understood to mean a packaged combination of 
component parts that contains, at the time of importation, all of 
the necessary component parts to fully assemble final, finished 
scaffolding;
    (d) tube and pipe hollows for redrawing;
    (e) oil country tubular goods produced to API specifications;
    (f) line pipe produced to only API specifications, such as API 
5L, and not multi-stenciled; and
    (g) mechanical tubing, whether or not cold-drawn, other than 
what is included in the above paragraphs.
    The products subject to this Order are currently classifiable in 
Harmonized Tariff Schedule of the United States (HTSUS) statistical 
reporting numbers 7306.19.1010, 7306.19.1050, 7306.19.5110, 
7306.19.5150, 7306.30.1000, 7306.30.5015, 7306.30.5020, 
7306.30.5025, 7306.30.5032, 7306.30.5040, 7306.30.5055, 
7306.30.5085, 7306.30.5090, 7306.50.1000, 7306.50.5030, 
7306.50.5050, and 7306.50.5070. The HTSUS subheadings above are 
provided for convenience and U.S. Customs purposes only. The written 
description of the scope of the Order is dispositive.

[FR Doc. 2024-16637 Filed 7-26-24; 8:45 am]
BILLING CODE 3510-DS-P