[Federal Register Volume 65, Number 155 (Thursday, August 10, 2000)]
[Notices]
[Pages 48963-48965]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-20252]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-485-805]
Notice of Amended Final Determination of Sales at Less Than Fair
Value and Antidumping Duty Order: Certain Small Diameter Carbon and
Alloy Seamless Standard, Line and Pressure Pipe From Romania
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
EFFECTIVE DATE: August 10, 2000.
FOR FURTHER INFORMATION CONTACT: Magd Zalok or Charles Riggle, Group
II, Office 5, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW, Washington, DC 20230; telephone: (202) 482-
4162, (202) 482-0650, respectively.
The Applicable Statute and Regulations
Unless otherwise indicated, all citations to the statute are
references to the provisions effective January 1, 1995, the effective
date of the amendments made to the Tariff Act of 1930 (the Act) by the
Uruguay Round Agreements Act (URAA). In addition, unless otherwise
indicated, all citations to the Department of Commerce (the Department)
regulations refer to the regulations codified at 19 CFR part 351 (April
1999).
Scope of Order
The products covered by this order are seamless carbon and alloy
(other than stainless) steel standard, line, and pressure pipes and
redraw hollows produced, or equivalent, to the ASTM A-53, ASTM A-106,
ASTM A-333, ASTM A-334, ASTM A-335, ASTM A-589, ASTM A-795, and the API
5L specifications and meeting the physical parameters described below,
regardless of application. The scope of this order also includes all
products used in standard, line, or pressure pipe applications and
meeting the physical parameters described below, regardless of
specification. Specifically included within the scope of this order is
seamless pipes and redraw hollows, less than or equal to 4.5 inches
(114.3 mm) in outside diameter, regardless of wall-thickness,
manufacturing process (hot finished or cold-drawn), end finish (plain
end, beveled end, upset end, threaded, or threaded and coupled), or
surface finish.
The seamless pipes subject to this order is currently classifiable
under the subheadings 7304.10.10.20, 7304.10.50.20, 7304.31.30.00,
7304.31.60.50, 7304.39.00.16, 7304.39.00.20, 7304.39.00.24,
7304.39.00.28, 7304.39.00.32, 7304.51.50.05, 7304.51.50.60,
7304.59.60.00, 7304.59.80.10, 7304.59.80.15, 7304.59.80.20, and
7304.59.80.25 of the HTSUS.
Specifications, Characteristics, and Uses: Seamless pressure pipes
are intended for the conveyance of water, steam, petrochemicals,
chemicals, oil products, natural gas and other liquids and gasses in
industrial piping systems. They may carry these substances at elevated
pressures and temperatures and may be subject to the application of
external heat. Seamless carbon steel pressure pipe meeting the ASTM A-
106 standard may be used in temperatures of up to 1000 degrees
Fahrenheit, at various ASME code stress levels. Alloy pipes made to
ASTM A-335 standard must be used if temperatures and stress levels
exceed those allowed for ASTM A-106. Seamless pressure pipes sold in
the United States are commonly produced to the ASTM A-106 standard.
Seamless standard pipes are most commonly produced to the ASTM A-53
specification and generally are not intended for high temperature
service. They are intended for the low temperature and pressure
conveyance of water, steam, natural gas, air and other liquids and
gasses in plumbing and heating systems, air conditioning units,
automatic sprinkler systems, and other related uses. Standard pipes
(depending on type and code) may carry liquids at elevated temperatures
but must not exceed relevant ASME code requirements. If exceptionally
low temperature uses or conditions are anticipated, standard pipe may
be manufactured to ASTM A-333 or ASTM A-334 specifications.
Seamless line pipes are intended for the conveyance of oil and
natural gas or other fluids in pipe lines. Seamless line
[[Page 48964]]
pipes are produced to the API 5L specification.
Seamless water well pipe (ASTM A-589) and seamless galvanized pipe
for fire protection uses (ASTM A-795) are used for the conveyance of
water.
Seamless pipes are commonly produced and certified to meet ASTM A-
106, ASTM A-53, API 5L-B, and API 5L-X42 specifications. To avoid
maintaining separate production runs and separate inventories,
manufacturers typically triple or quadruple certify the pipes by
meeting the metallurgical requirements and performing the required
tests pursuant to the respective specifications. Since distributors
sell the vast majority of this product, they can thereby maintain a
single inventory to service all customers.
The primary application of ASTM A-106 pressure pipes and triple or
quadruple certified pipes is in pressure piping systems by refineries,
petrochemical plants, and chemical plants. Other applications are in
power generation plants (electrical-fossil fuel or nuclear), and in
some oil field uses (on shore and off shore) such as for separator
lines, gathering lines and metering runs. A minor application of this
product is for use as oil and gas distribution lines for commercial
applications. These applications constitute the majority of the market
for the subject seamless pipes. However, ASTM A-106 pipes may be used
in some boiler applications.
Redraw hollows are any unfinished pipe or ``hollow profiles'' of
carbon or alloy steel transformed by hot rolling or cold drawing/
hydrostatic testing or other methods to enable the material to be sold
under ASTM A-53, ASTM A-106, ASTM A-333, ASTM A-334, ASTM A-335, ASTM
A-589, ASTM A-795, and API 5L specifications.
The scope of this order includes all seamless pipe meeting the
physical parameters described above and produced to one of the
specifications listed above, regardless of application, with the
exception of the specific exclusions discussed below, and whether or
not also certified to a non-covered specification. Standard, line, and
pressure applications and the above-listed specifications are defining
characteristics of the scope of this order. Therefore, seamless pipes
meeting the physical description above, but not produced to the ASTM A-
53, ASTM A-106, ASTM A-333, ASTM A-334, ASTM A-335, ASTM A-589, ASTM A-
795, and API 5L specifications shall be covered if used in a standard,
line, or pressure application, with the exception of the specific
exclusions discussed below.
For example, there are certain other ASTM specifications of pipe
which, because of overlapping characteristics, could potentially be
used in ASTM A-106 applications. These specifications generally include
ASTM A-161, ASTM A-192, ASTM A-210, ASTM A-252, ASTM A-501, ASTM A-523,
ASTM A-524, and ASTM A-618. When such pipes are used in a standard,
line, or pressure pipe application, with the exception of the specific
exclusions discussed below, such products are covered by the scope of
this order.
Specifically excluded from the scope of this order is boiler tubing
and mechanical tubing, if such products are not produced to ASTM A-53,
ASTM A-106, ASTM A-333, ASTM A-334, ASTM A-335, ASTM A-589, ASTM A-795,
and API 5L specifications and are not used in standard, line, or
pressure pipe applications. In addition, finished and unfinished OCTG
are excluded from the scope of this order, if covered by the scope of
another antidumping duty order from the same country. If not covered by
such an OCTG order, finished and unfinished OCTG are included in this
scope when used in standard, line or pressure applications.
With regard to the excluded products listed above, the Department
will not instruct Customs to require end-use certification until such
time as petitioner or other interested parties provide to the
Department a reasonable basis to believe or suspect that the products
are being used in a covered application. If such information is
provided, we will require end-use certification only for the product(s)
(or specification(s)) for which evidence is provided that such products
are being used in covered applications as described above. For example,
if, based on evidence provided by petitioner, the Department finds a
reasonable basis to believe or suspect that seamless pipe produced to
the A-161 specification is being used in a standard, line or pressure
application, we will require end-use certifications for imports of that
specification. Normally we will require only the importer of record to
certify to the end use of the imported merchandise. If it later proves
necessary for adequate implementation, we may also require producers
who export such products to the United States to provide such
certification on invoices accompanying shipments to the United States.
Although the HTSUS subheadings are provided for convenience and
customs purposes, our written description of the merchandise subject to
this scope is dispositive.
Amended Final Determination
In accordance with section 735(a) of the Act, on June 23, 2000, the
Department published its affirmative final determination of the
antidumping duty investigation of certain small diameter carbon and
alloy seamless standard, line and pressure pipe from Romania (Final
Determination of Sales at Less Than Fair Value: Certain Small Diameter
Carbon and Alloy Seamless Standard, Line and Pressure Pipe from
Romania, 65 FR 39125). On June 29, 2000, we received ministerial error
allegations, timely filed pursuant to section 351.224(c)(2) of the
Department's regulations, from the petitioners \1\ and the respondents
\2\ regarding the Department's final margin calculations. On July 5,
2000, we received rebuttal comments from both parties.
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\1\ The petitioners in this investigation are Koppel Steel
Corporation, Sharon Tube Company, U.S. Steel Group, Lorain Tubular
Co. LLC (formally USS Kobe), Vision Metals, Inc. (Gulf States Tube
Division) and the United Steel Workers of America.
\2\ The respondents in this investigation are Sota
Communications Company (Sota) and Metal Business International
S.R.L. (MBI). Sota and MBI's respective suppliers, S.C. Silcotub,
S.A. (Silcotub) and S.C. Petrotub, S.A. (Petrotub) are the Romanian
producers of the subject merchandise.
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The petitioners allege that the Department should recalculate the
surrogate profit ratio by adding back to profit an amount equal to the
foreign exchange losses excluded from the Department's calculation of
general and administrative expenses. The respondents argue that the
Department erroneously valued lacquer using U.S. dollars instead of
German Deutschemarks (DM). Furthermore, the respondents allege that the
Department should not rely on the submitted machine timetable for
calculating Petrotub's electricity and gas factors and that for the
factory overhead calculation, the category of ``Spare Parts and
Auxiliary Materials'' should be excluded.
In accordance with section 735(e) of the Act, we have determined
that a ministerial error in the calculation of the German lacquer value
was made in our final margin calculation. This determination is based
on the information provided in the respondent's January 27, 2000,
submission, which includes an invoice indicating that the purchase was
made in DM. We have determined that all other allegations of
ministerial errors made by both parties are methodological and not
ministerial, as defined in section 735(e) of the Act. For a more
detailed discussion of the ministerial error allegations, see the July
21, 2000
[[Page 48965]]
memorandum, Amended Final Determination in the Antidumping Duty
Investigation of Certain Small Diameter Carbon and Alloy Seamless
Standard, Line and Pressure Pipe from Romania: Clerical Error
Allegations. We are amending the final determination of the antidumping
duty investigation of certain small diameter carbon and alloy seamless
standard, line and pressure pipe from Romania to correct the
ministerial error. The revised final weighted-average dumping margins
are as follows:
------------------------------------------------------------------------
Weighted-
average
Exporter/manufacturer margin
percentage
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Sota Communication Company................................. 15.15
Metal Business International S.R.L......................... 11.08
Romania-Wide Rate.......................................... 13.06
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The Romania-wide rate applies to all entries of the subject
merchandise except for entries from exporters/producers that are
identified individually above.
Antidumping Duty Order
On August 3, 2000, in accordance with section 735(d) of the Act,
the International Trade Commission (ITC) notified the Department that a
U.S. industry is materially injured within the meaning of section
735(b)(1)(A) of the Act by reason of imports of certain small diameter
carbon and alloy seamless standard, line and pressure pipe from
Romania.
Therefore, in accordance with section 736(a)(1) of the Act, the
Department will direct the United States Customs Service (U.S. Customs)
to assess, upon further advice by the Department, antidumping duties
equal to the amount by which the normal value of the merchandise
exceeds the export price or constructed export price of the merchandise
for all relevant entries of small diameter carbon and alloy seamless
standard, line and pressure pipe from Romania. This antidumping duty
will be assessed on all unliquidated entries of imports of the subject
merchandise that are entered, or withdrawn from warehouse, for
consumption on or after February 4, 2000, the date of publication of
the Department's preliminary determination in the Federal Register (65
FR 5594). On or after the date of publication of this notice in the
Federal Register, U.S. Customs officers must require, at the same time
as importers would normally deposit estimated duties, cash deposits
based on the rates listed below:
------------------------------------------------------------------------
Weighted-
average
Exporter/manufacturer margin
percentage
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Sota Communication Company................................. 15.15
Metal Business International S.R.L......................... 11.08
Romania-Wide Rate.......................................... 13.06
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This notice constitutes the antidumping duty order with respect to
certain small diameter carbon and alloy seamless standard, line and
pressure pipe from Romania, pursuant to section 736(a) of the Act.
Interested parties may contact the Central Records Unit, Room B-099 of
the main Commerce building, for copies of an updated list of
antidumping duty orders currently in effect.
This order is issued and published in accordance with section
736(a) of the Act and 19 CFR 351.211.
Dated: August 4, 2000.
Troy H. Cribb,
Acting Assistant Secretary for Import Administration.
[FR Doc. 00-20252 Filed 8-9-00; 8:45 am]
BILLING CODE 3510-DS-P