[Federal Register Volume 60, Number 38 (Monday, February 27, 1995)]
[Notices]
[Pages 10562-10563]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-4722]



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DEPARTMENT OF COMMERCE.
[A-307-812]


Notice of Final Determination of Sales at Less Than Fair Value: 
Certain Carbon Steel Butt-Weld Pipe Fittings From Venezuela

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

EFFECTIVE DATE: February 27, 1995.

FOR FURTHER INFORMATION CONTACT: Sue Strumbel, Office of Countervailing 
Investigations, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC. 20230; telephone (202) 482-
1442.

Final Determination

    The Department of Commerce (the Department) determines that certain 
carbon steel butt-weld pipe fittings (pipe fittings) are being, or are 
likely to be, sold in the United States at less than fair value, as 
provided in section 733 of the Tariff Act of 1930, as amended (the Act) 
(19 U.S.C. 1673b). The estimated margins are shown in the ``Suspension 
of Liquidation'' section of this notice.

Scope of the Investigation

    The products covered by this investigation are certain carbon steel 
butt-weld pipe fittings having an inside diameter of less than fourteen 
inches (355 millimeters), imported in either finished or unfinished 
condition. Pipe fittings are formed or forged steel products used to 
join pipe sections in piping systems where conditions require permanent 
welded connections, as distinguished from fittings based on other 
methods of fastening (e.g., threaded, grooved, or bolted fittings). 
Butt-weld fittings come in a variety of shapes which include 
``elbows,'' ``tees,'' ``caps,'' and ``reducers.'' The edges of finished 
pipe fittings are beveled, so that when a fitting is placed against the 
end of a pipe (the ends of which have also been beveled), a shallow 
channel is created to accommodate the ``bead'' of the weld which joins 
the fitting to the pipe. These pipe fittings are currently classifiable 
under subheading 7307.93.3000 of the Harmonized Tariff 
[[Page 10563]] Schedule of the United States (``HTSUS''). Although the 
HTSUS subheading is provided for convenience and Customs purposes, our 
written description of the scope of this investigation is dispositive.

Period of Investigation

    The period of investigation (``POI'') is September 1, 1993, through 
February 28, 1994.

Case History

    Since our preliminary determination (50 FR 50561, October 4, 1994) 
the following events have occurred. On October 14, 1994 the respondents 
requested a postponement of the final determination. This request was 
granted (59 FR 56461, November 14, 1994), and the final was postponed 
by the Department until no later than February 16, 1995. On January 23, 
1995, both parties submitted case briefs. On January 23, 1995 
petitioner submitted its rebuttal brief.

Best Information Available

    In accordance with section 776(c) of the Act, we have determined 
that the use of best information available (BIA) is appropriate for all 
companies. Given that neither of the two named companies responded to 
the Department's questionnaire, we find that no respondents have 
cooperated in this investigation.
    The Department's usual practice under these circumstances would be 
to assign respondents the highest margin alleged in the petition as 
BIA. See Final Determination of Sales at Less Than Fair Value: 
Antifriction Bearings (Other Than Tapered Roller Bearings) and Parts 
Thereof From the Federal Republic of Germany (54 FR 19033, May 3, 
1989). In this case, however, a fundamental flaw in the petition 
calculation methodology has led the Department to reject the use of the 
highest margin alleged in the petition as BIA. Unlike the other Certain 
Carbon Steel Butt-Weld Pipe Fittings investigations, petitioner was 
unable to obtain U.S. price quotes for purposes of the initiation. 
Rather, U.S. price was based upon an average of U.S. Customs import 
statistics which did not take into account the relationship between the 
size of the fitting and its value per pound. Moreover, there is no 
record information which would allow us to make this adjustment to USP. 
Therefore, we have weight averaged the FMVs of all size fittings in the 
petition, and compared that average FMV to the average customs U.S. 
import value in the petition. This yields a single margin for use as 
BIA of 203.63%. This margin will be assigned to each of the 
respondents. (See, Memorandum on File Dated: February 16, 1995).

Suspension of Liquidation

    In accordance with section 733(d)(1) (19 U.S.C. 1673b(d)(1)) of the 
Act, we are directing the U.S. Customs Service to continue to suspend 
liquidation of all entries of certain carbon butt-weld pipe fittings 
from Venezuela, as defined in the ``Scope of Investigation'' section of 
this notice, that are entered, or withdrawn from warehouse, for 
consumption on or after the date of publication of this notice in the 
Federal Register. The Customs Service shall require a cash deposit or 
posting of a bond equal to the estimated margin amount by which the 
foreign market value of the subject merchandise exceeds the United 
States price as shown below. The suspension of liquidation will remain 
in effect until further notice.

------------------------------------------------------------------------
                                                                Weighted
                                                                average 
                Manufacturer/producer/exporter                   margin 
                                                                percent 
------------------------------------------------------------------------
All Companies................................................     203.63
------------------------------------------------------------------------

International Trade Commission (ITC) Notification

    In accordance with section 735(d) of the Act, we have notified the 
ITC of our determination. As our final determination is affirmative, 
the ITC will determine whether imports of the subject merchandise are 
materially injuring, or threaten material injury to, the U.S. industry 
within 45 days.
    If the ITC determines that material injury or threat of material 
injury does not exist, the proceedings will be terminated and all 
securities posted as a result of the suspension of liquidation will be 
refunded or cancelled. However, if the ITC determines that such injury 
does exist, we will issue an antidumping duty order directing Customs 
officers to assess an antidumping duty on certain carbon steel butt-
weld pipe fittings from Venezuela entered or withdrawn from warehouse, 
for consumption on or after the date of suspension of liquidation.

Notification to Interested Parties

    This notice serves as the only reminder to parties subject to 
administrative protective order (APO) in this investigation of their 
responsibility covering the return or destruction of proprietary 
information disclosed under APO in accordance with 19 CFR 353.34(d). 
Failure to comply is a violation of the APO.
    This determination is published pursuant to section 735(d) of the 
Act (19 U.S.C. 1673d(d)) and 19 CFR 353.20(a)(4).

    Dated: February 16, 1995.
Barbara R. Stafford,
Acting Assistant Secretary for Import Administration.
[FR Doc. 95-4722 Filed 2-24-95; 8:45 am]
BILLING CODE 3510-DS-P