[Federal Register Volume 89, Number 159 (Friday, August 16, 2024)]
[Notices]
[Pages 66678-66680]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-18417]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-475-841]


Forged Steel Fluid End Blocks From Italy: Final Results of 
Countervailing Duty Administrative Review; 2022

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
certain producers and exporters of forged steel fluid end blocks (fluid 
end blocks) from Italy received countervailable subsidies during the 
period of review (POR) January 1, 2022, through December 31, 2022.

[[Page 66679]]


DATES: Applicable August 16, 2024.

FOR FURTHER INFORMATION CONTACT: Nicholas Czajkowski or Claudia Cott, 
AD/CVD Operations, Office I, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-1395 or (202) 
482-4270, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On February 6, 2024, Commerce published in the Federal Register the 
Preliminary Results of this administrative review and invited comments 
from interested parties.\1\ For a detailed description of the events 
that occurred since the Preliminary Results, see the Issues and 
Decision Memorandum.\2\ On May 3, 2024, in accordance with section 
751(a)(3)(A) of the Tariff Act of 1930, as amended (the Act), Commerce 
extended the deadline for issuing the final results until August 2, 
2024.\3\ On July 22, 2024, Commerce tolled certain deadlines in this 
administrative review by seven days.\4\ The deadline for the final 
results of review is now August 9, 2024.
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    \1\ See Forged Steel Fluid End Blocks from Italy: Preliminary 
Results of Countervailing Duty Administrative Review and Rescission 
of Administrative Review, in Part; 2022, 89 FR 8145 (February 6, 
2024) (Preliminary Results), and accompanying Preliminary Decision 
Memorandum (PDM).
    \2\ See Memorandum, ``Decision Memorandum for the Final Results 
of the Countervailing Duty Administrative Review of Forged Steel 
Fluid End Blocks from Italy; 2022,'' dated concurrently with, and 
hereby adopted by, this notice (Issues and Decision Memorandum).
    \3\ See Memorandum, ``Extension of Deadline for Final Results of 
Countervailing Duty Administrative Review,'' dated May 3, 2024.
    \4\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated July 22, 2024.
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Scope of the Order 5
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    \5\ See Forged Steel Fluid End Blocks from the People's Republic 
of China, the Federal Republic of Germany, India, and Italy: 
Countervailing Duty Orders, and Amended Final Affirmative 
Countervailing Duty Determination for the People's Republic of 
China, 86 FR 7535 (January 29, 2021); see also Forged Steel Fluid 
End Blocks from the People's Republic of China, the Federal Republic 
of Germany, India, and Italy: Correction to Countervailing Duty 
Orders, 86 FR 10244 (February 19, 2021) (Order).
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    The products covered by the scope of the Order are forged steel 
fluid end blocks from Italy. For a full description of the scope of the 
Order, see the Issues and Decision Memorandum.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs submitted by 
interested parties in this review are addressed in the Issues and 
Decision Memorandum. The topics discussed and the issues raised by 
interested parties to which we responded in the Issues and Decision 
Memorandum are listed in the appendix to this notice. The Issues and 
Decision Memorandum is a public document and is on file electronically 
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 Issues and Decision Memorandum can be accessed directly 
at https://access.trade.gov/public/FRNoticesListLayout.aspx.

Changes Since the Preliminary Results

    Based on comments received from interested parties, we revised the 
calculation of the net countervailable subsidy rates for Lucchini Mame 
Forge S.p.A. (Lucchini) and Metalcam S.p.A. (Metalcam). For a 
discussion of these changes, see the Issues and Decision Memorandum.

Methodology

    Commerce conducted this administrative review in accordance with 
section 751(a)(1)(A) of the Act. For each of the subsidy programs found 
to be countervailable, we determine that there is a subsidy, i.e., a 
government-provided financial contribution that gives rise to a benefit 
to the recipient, and that the subsidy is specific.\6\ For a complete 
description of the methodology underlying all of Commerce's 
conclusions, including our reliance, in part, on facts otherwise 
available, including adverse facts available, pursuant to sections 
776(a) and (b) of the Act, see the Issues and Decision Memorandum.
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    \6\ 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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Companies Not Selected for Individual Review

    The statute and Commerce's regulations do not address the 
establishment of a rate to be applied to companies not selected for 
individual examination when Commerce limits its examination in an 
administrative review pursuant to section 777A(e)(2) of the Act. 
However, Commerce normally determines the rates for non-selected 
companies in reviews in a manner that is consistent with section 
705(c)(5) of the Act, which provides the basis for calculating the all-
others rate in an investigation. Section 705(c)(5)(A)(i) of the Act 
instructs Commerce, as a general rule, to calculate the all-others rate 
equal to the weighted average of the countervailable subsidy rates 
established for exporters and producers individually investigated, 
excluding any zero or de minimis countervailable subsidy rates, and any 
rates determined entirely on the basis of facts available.
    There are two companies (i.e., Officine Meccaniche Roselli S.r.l. 
and Cogne Acciai Speciali S.p.A.) for which a review was requested and 
not rescinded, and which were not selected as mandatory respondents or 
found to be cross-owned with a mandatory respondent. In this review, 
the rates for Lucchini and Metalcam were above de minimis and not based 
entirely on facts available. Therefore, we are applying to the non-
selected companies the average of the net subsidy rates calculated for 
Lucchini and Metalcam in these final results, which we calculated using 
the publicly-ranged sales data submitted by Lucchini and Metalcam.\7\
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    \7\ With two respondents under examination, Commerce normally 
calculates: (A) a weighted-average of the estimated subsidy rates 
calculated for the examined respondents; (B) a simple average of the 
estimated subsidy rates calculated for the examined respondents; and 
(C) a weighted average of the estimated subsidy rates calculated for 
the examined respondents using each company's publicly-ranged U.S. 
sale quantities for the merchandise under consideration. Commerce 
then compares (B) and (C) to (A) and selects the rate closest to (A) 
as the most appropriate rate for all other producers and exporters. 
See, e.g., Ball Bearings and Parts Thereof from France, Germany, 
Italy, Japan, and the United Kingdom: Final Results of Antidumping 
Duty Administrative Reviews, Final Results of Changed-Circumstances 
Review, and Revocation of an Order in Part, 75 FR 53661, 53663 
(September 1, 2010).
    \8\ Commerce finds the following companies to be cross-owned 
with Lucchini: Lucchini RS S.p.A.; Lucchini Industries Srl; and 
Bicomet S.p.A.
    \9\ Commerce finds the following companies to be cross-owned 
with Metalcam: Adamello Meccanica S.r.l.; and B.S. S.r.l.
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Final Results of the Administrative Review

    We find the following net countervailable subsidy rates exist for 
the period January 1, 2022, through December 31, 2022:

------------------------------------------------------------------------
                                                                Subsidy
                                                                 rate
                           Company                             (percent
                                                                  ad
                                                               >valorem)
------------------------------------------------------------------------
Lucchini Mame Forge S.p.A.\8\...............................        6.80
Metalcam S.p.A.\9\..........................................        3.28
Review-Specific Average Rate Applicable to the Following
 Companies:
  Officine Meccaniche Roselli S.r.l.........................        5.04
  Cogne Acciai Speciali S.p.A...............................        5.04
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[[Page 66680]]

Disclosure

    Commerce intends to disclose calculations and analysis performed 
for these final results of review within five days after the date of 
publication of this notice in the Federal Register in accordance with 
19 CFR 351.224(b).

Assessment Requirements

    In accordance with section 751(a)(2)(C) of the Act and 19 CFR 
351.212(b)(2), Commerce has determined, and U.S. Customs and Border 
Protection (CBP) shall assess, countervailing duties on all appropriate 
entries covered by this review. Commerce intends to issue assessment 
instructions to CBP no earlier than 35 days after 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

    In accordance with section 751(a)(1) of the Act, Commerce also 
intends to instruct CBP to collect cash deposits of estimated 
countervailing duties in the amounts shown for the companies listed 
above for shipments of subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of these 
final results of this administrative review. For all non-reviewed 
firms, we will instruct CBP to continue to collect cash deposits of 
estimated countervailing duties at the all-others rate or the most 
recent company-specific rate applicable to the company, as appropriate. 
These cash deposit requirements, when imposed, shall remain in effect 
until further notice.

Administrative Protective Order

    This notice also serves as a final reminder to parties subject to 
an administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary 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 
conversion to judicial protective order, is hereby requested. Failure 
to comply with the regulations and terms of an APO is a violation 
subject to sanction.

Notification to Interested Parties

    The final 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)(5).

    Dated: August 9, 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

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Non-Selected Rate
V. Subsidies Valuation
VI. Use of Facts Otherwise Available and Adverse Inferences
VII. Analysis of Programs
VIII. Discussion of the Issues
    Comment 1: Whether to Adjust Lucchini's Benefits Under the 
Electricity Purchases Through the Interconnector Program
    Comment 2: Whether Commerce Should Calculate Lucchini's Benefit 
Amount for the Gas Interruptibility Program on an Entity-Specific 
Basis
    Comment 3: Whether Commerce Correctly Calculated Lucchini's 
Benefits Under the Free Allocation of European Union Emissions 
Trading System Program
    Comment 4: Whether Commerce Should Countervail Certain 
Additional Energy Subsidies in this Review
    Comment 5: Whether Respondents Received Benefits Under the 
Industrial Exemptions for General Electricity Network Costs 
(Energivori) Program
    Comment 6: Whether Commerce Should Adjust Lucchini's Denominator
    Comment 7: Whether Commerce Should Countervail the Energy 
Interruptibility Contracts Program
    Comment 8: Whether the Aid for Economic Growth Program is 
Specific
    Comment 9: Whether Commerce Should Countervail the Super-
Ammortamento, Iper-Ammortamento and Patent Box Deductions Programs
    Comment 10: Whether Commerce Should Countervail Certain Sgravi 
Programs
IX. Recommendation

[FR Doc. 2024-18417 Filed 8-15-24; 8:45 am]
BILLING CODE 3510-DS-P