[Federal Register Volume 65, Number 249 (Wednesday, December 27, 2000)]
[Notices]
[Pages 81827-81830]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-32980]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-583-816]
Certain Stainless Steel Butt-Weld Pipe Fittings From Taiwan:
Final Results of Antidumping Duty Administrative Review
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
ACTION: Notice of final results in the antidumping duty administrative
review of certain stainless steel butt-weld pipe fittings from Taiwan
and intent not to revoke in part.
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SUMMARY: On July 6, 2000, the Department of Commerce (``Department'')
published the preliminary results of the administrative review of the
antidumping duty order on certain stainless steel butt-weld pipe
fittings from Taiwan. This review covers one manufacturer/exporter of
the subject merchandise. The period of review (``POR'') is June 1, 1998
through May 31, 1999.
We gave interested parties an opportunity to comment on the
preliminary results. Based upon our verification of the data and
analysis of the comments received, we have made changes in the margin
calculation. Therefore, the final results differ from the preliminary
results of this review. The final weighted-average dumping margin is
listed below in the section titled ``Final Results of the Review.''
EFFECTIVE DATE: December 27, 2000.
FOR FURTHER INFORMATION CONTACT: Jim Doyle or Alex Villanueva,
Enforcement Group III, Office 9, Import Administration, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue, NW., Washington, DC 20230, telephone 202-482-0159 (Doyle) or
202-482-6412 (Villanueva), fax 202-482-1388.
SUPPLEMENTARY INFORMATION:
Applicable Statute
Unless otherwise indicated, all citations to the Tariff Act of 1930
(``Act'') are references to the provisions effective January 1, 1995,
the effective date of the amendments made to the Act by the Uruguay
Round Agreements Act (``URAA''). In addition, unless otherwise
indicated, all citations to the Department's regulations are to the
regulations at 19 CFR Part 351 (1999).
Background
On June 16, 1993, the Department published the antidumping duty
order
[[Page 81828]]
on certain stainless steel butt-weld pipe fittings from Taiwan. See
Certain Welded Stainless Steel Butt-Weld Pipe Fittings From Taiwan:
Final Determination and Antidumping Order, 58 FR 33250 (June 16, 1993).
On June 9, 1999, the Department published a notice of opportunity to
request administrative review of this order for the period June 1, 1998
through May 31, 1999. See Antidumping or Countervailing Duty Order,
Finding, or Suspended Investigation; Opportunity to Request
Administrative Review, 64 FR 30962 (June 9, 1999). Both Ta Chen
Stainless Steel Pipe Co., Ltd. (``Ta Chen''), a Taiwan producer and
exporter of subject merchandise, and Petitioners, Markovitz
Enterprises, Inc. (Flowline Division), Alloy Piping Products, Inc.,
Gerlin, Inc., and Taylor Forge, (collectively ``Petitioners''), timely
requested that the Department conduct an administrative review of Ta
Chen's sales. On July 29, 1999, in accordance with section 751(a) of
the Act, the Department published in the Federal Register a notice of
initiation of this antidumping duty administrative review for the
period June 1, 1998 through May 31, 1999. See Initiation of Antidumping
and Countervailing Duty Administrative Review and requests for
revocation in part, 64 FR 41075 (July 29, 1999). On July 6, 2000, the
Department published the preliminary results of the administrative
review in the Federal Register. See Certain Stainless Steel Butt-Weld
Pipe Fittings from Taiwan: Preliminary Results of Antidumping Duty
Administrative Review and Intent to Not Revoke in Part, 65 FR 41629
(July 6, 2000) (``Preliminary Results''). On September 11, 2000 through
September 15, 2000, the Department conducted verification of Ta Chen's
home market data at Ta Chen's headquarters in Tainan, Taiwan. On
September 16, 2000 through September 17, 2000, the Department conducted
verification of Ta Chen's U.S. sales data at the Long Beach, California
office of Ta Chen's U.S. affiliate, Ta Chen International Corp.
(``TCI''). We gave interested parties an opportunity to comment on our
Preliminary Results. Ta Chen and Petitioners filed briefs on October
16, 2000. On October 18, 2000, Ta Chen and Petitioners filed rebuttal
briefs. No hearing was requested or held. The date for issuing the
final results of the review was November 3, 2000. In order to provide
parties an opportunity to comment on the issue of reimbursement, which
arose late in the proceeding, the Department extended the time limit
for the final results by 42 days in accordance with section 751 (a)(3)
of the Act. See November 3, 2000 memorandum from Edward Yang to Joseph
Spetrini: Extension of Time Limit for the Administrative Review of
Certain Stainless Steel Butt-Weld Pipe Fittings from Taiwan.
Accordingly, on November 9, 2000, the Department published a notice of
postponement of the final results of antidumping duty administrative
review in the Federal Register. See Certain Stainless Steel Butt-Weld
Pipe Fittings from Taiwan: Notice of Postponement of Final Results of
Antidumping Duty Adminstrative Review, 65 FR 67348 (November 9, 2000).
The date for issuing the final results was moved from November 3, 2000
to December 15, 2000. Interested parties were provided an opportunity
to comment on the issue of reimbursement. On November 20, 2000 and
again on November 30, 2000 the Department received comments from
counsel for respondents and petitioners. The Department has conducted
and completed the administrative review in accordance with section 751
of the Act.
Scope of the Review
The merchandise subject to this administrative review is certain
stainless steel butt-weld pipe fittings (``SSBWPF'') whether finished
or unfinished, under 14 inches inside diameter. Certain SSBWPF are used
to connect pipe sections in piping systems where conditions require
welded connections. The subject merchandise is used where one or more
of the following conditions is a factor in designing the piping system:
(1) Corrosion of the piping system will occur if material other than
stainless steel is used; (2) contamination of the material in the
system by the system itself must be prevented; (3) high temperatures
are present; (4) extreme low temperatures are present; and (5) high
pressures are contained within the system.
Pipe fittings come in a variety of shapes, with the following five
shapes the most basic: ``elbows'', ``tees'', ``reducers'', ``stub-
ends'', and ``caps.'' The edges of finished pipe fittings are beveled.
Threaded, grooved, and bolted fittings are excluded from this review.
The pipe fittings subject to this review are classifiable under
subheading 7307.23.00 of the Harmonized Tariff Schedule of the United
States (``HTSUS'').
Although the HTSUS subheading is provided for convenience and
customs purposes, our written description of the scope of the review is
dispositive. Pipe fittings manufactured to American Society of Testing
and Materials specification A774 are included in the scope of this
order.
Analysis of Comments Received
All issues raised in the case briefs, as well as the Department's
findings, in this administrative review are addressed in the Issues and
Decision Memorandum for the Administrative Review of Certain Stainless
Steel Butt-Weld Pipe Fittings from Taiwan: June 1, 1998, through May
31, 1999 (``Decision Memorandum''), from Joseph A. Spetrini, Deputy
Assistant Secretary, Import Administration, to Troy H. Cribb, Assistant
Secretary for Import Administration (December 15, 2000), which is
hereby adopted by this notice. A list of the issues raised and to which
we have responded, all of which are in the Decision Memorandum, and a
list of our changes, is attached to this notice as an Appendix. Parties
can find a complete discussion of all issues raised in this review and
the corresponding recommendations in this public memorandum which is on
file at the U.S. Department of Commerce, in the Central Records Unit,
in room B-099. In addition, a complete version of the Decision
Memorandum can be accessed directly on the Web at http://www.ita.doc.gov/import_admin/records/frn. The paper copy and electronic
version of the public version of the Decision Memorandum are identical
in content.
Sales Below Cost in the Home Market
As discussed in more detail in the Preliminary Results, the
Department disregarded home market below-cost sales that failed the
cost test in the final results of review.
Level of Trade
As discussed in more detail in the Preliminary Results, the
Department determined that all sales in the home market and the U.S.
market were made at the same level of trade. Therefore, we have not
made a level of trade adjustment because all price comparisons are at
the same level of trade and an adjustment pursuant to section
773(a)(7)(A) of the Act is not appropriate.
Request for Revocation
Under section 351.222(b) of the Department's regulations, the
Department may partially revoke an order with respect to a company if
that producer or exporter has sold the merchandise at not less than
normal value for a period of at least three consecutive years and it is
not likely that the producer or exporter will sell subject merchandise
at less than normal value in the future. On June 30, 1999, Ta Chen
submitted a request, in accordance with 19 CFR 351.222(e), that
[[Page 81829]]
the Department revoke the antidumping duty order on SSBWPF from Taiwan
with respect to Ta Chen. In accordance with 19 CFR 351.222(e)(1), Ta
Chen stated that it sold the subject merchandise at not less than
normal value for a period of at least three years, including the
current period under administrative review, and that it sold the
subject merchandise in commercially significant quantities to the
United States during each of these three years. Ta Chen also stated
that it would not sell the subject merchandise at less than normal
value to the United States in the future and agreed to reinstatement of
the order against Ta Chen, as long as any exporter or producer is
subject to the order, if the Department concludes that Ta Chen sold the
subject merchandise at less than normal value, subsequent to the
revocation.
On May 26, 2000, the Department requested that Ta Chen provide
volume and value data on its exports and sales of subject merchandise
for the past three consecutive years. Ta Chen provided data in a June
5, 2000 submission.
The three review periods on which Ta Chen is basing its request for
revocation consist of: (1) The period for 6/1/96 through 5/31/97, for
which the Department found a de minimis margin of 0.34 percent; (2) the
period for 6/1/97 through 5/31/98, for which no administrative review
was conducted; and (3) the period for 6/1/98 through 5/31/99, for which
the Department is currently conducting an administrative review.
The Department considered Ta Chen's request for revocation and
reviewed the relevant information. Because we did not find a de minimis
margin for the final results, we conclude that the criteria for
revocation have not been satisfied, and we are not revoking the order
with regard to Ta Chen.
Changes Since the Preliminary Results
Based on our verification and analysis of the comments received, we
have made certain changes in the margin calculation, as discussed in
the Decision Memorandum, accessible in B-099. The public version of
this Decision Memorandum is also available on the Web at http://www.ita.doc.gov/import_admin/records/frn. In addition, we have
corrected certain clerical errors in the margin calculation: (1) The
incorrect formatting of the U.S. sales' date of entry (computer
variable ENTRYDTU); and (2) an incorrect definition of constructed
export price sales in the model match program as being sales within the
window period (instead of within the POR).
Reimbursement
As a result of the Sales and Cost Verification of Ta Chen and TCI
on September 11, 2000 through September 19, 2000 and the submissions
leading to verification, the Department has applied 19 CFR
351.402(f)(1)(i)(B), which states that ``in calculating the export
price (or constructed export price), the Secretary will deduct the
amount of any antidumping duty or countervailing duty, which the
exporter or producer * * * reimbursed to the importer.'' See Decision
Memorandum at ``Changes since the Preliminary Results.'' Therefore,
based on our findings of reimbursement of antidumping duties by Ta Chen
to TCI in this administrative review, we have determined that the
dumping margin should be doubled.
Final Results of the Review
We determine that the following percentage weighted-average margin
exists for the period June 1, 1998 through May 31, 1999 (this margin
has been doubled to reflect the Department's reimbursement
determination):
Certain Welded Stainless Steel Pipe
------------------------------------------------------------------------
Weighted-
average
Producer/Manufacturer/Exporter margin
(percent)
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Ta Chen.................................................... 12.84
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The Department shall determine, and the U.S. Customs Service
(``Customs'') shall assess, antidumping duties on all appropriate
entries. In accordance with 19 CFR 351.212(b), we have calculated
exporter/importer-specific assessment rates. With respect to the
constructed export price sales, we divided the total dumping margins
for the reviewed sales by the total entered value of those reviewed
sales for each importer. We will direct Customs to assess any resulting
non-de minimis percentage margins against the entered Customs values
for the subject merchandise on each of that importer's entries during
the review period.
The Department's decision applies to all entries of subject
merchandise produced and exported by Ta Chen, entered, or withdrawn
from warehouse, for consumption on or after June 1, 1998 and before May
31, 1999. The Department will order the suspension of liquidation ended
for all such entries and will instruct Customs to release any cash
deposits or bonds.
Cash Deposit Requirements
The following deposit requirements will be effective upon
publication of this notice of final results of administrative review
for all shipments of certain SSBWPF from Taiwan entered, or withdrawn
from warehouse, for consumption on or after the date of publication, as
provided by section 751(a)(1) of the Act: (1) The cash deposit rate for
Ta Chen will be the rate shown above; (2) for previously reviewed or
investigated companies not listed above, the cash deposit rate will
continue to be the company-specific rate published for the most recent
period; (3) if the exporter is not a firm covered in this review, a
prior review, or the original less-than-fair-value (LTFV)
investigation, but the manufacturer is, the cash deposit rate will be
the rate established for the most recent period for the manufacturer of
the merchandise; and (4) if neither the exporter nor the manufacturer
is a firm covered in these or any previous reviews conducted by the
Department, the cash deposit rate will be the ``all others'' rate,
which is 51.01 percent.
The cash deposit rate has been determined on the basis of the
selling price to the first unaffiliated U.S. customer. These deposit
requirements shall remain in effect until publication of the final
results of the next administrative review.
This notice also serves as the only reminder to parties subject to
administrative protective orders (``APO'') of their responsibility
concerning the return or destruction of proprietary information
disclosed under APO in accordance with 19 CFR 351.305 or conversion to
judicial protective order is hereby requested. Failure to comply with
the regulations and terms of an APO is a violation which is subject to
sanction.
We are issuing and publishing this determination and notice in
accordance with sections 751(a)(1) and 777(i) of the Act.
Dated: December 15, 2000.
Troy H. Cribb,
Assistant Secretary for Import Administration.
Appendix
Changes Since The Preliminary Results
1. Reimbursement of Antidumping Duties
2. Treatment of U.S. Repacking Expense
3. Calculation of Constructed Export Price (``CEP'') Adjustments
4. Minor Corrections to Database from Verification
a. Foreign Inland Freight
b. Manufacturer
c. U.S. Warehousing Expense
d. U.S. Bank Charges
[[Page 81830]]
e. Ocean Freight and U.S. Brokerage Charges
f. U.S. Repacking Expense for Tampa Warehouse
5. Correction of Ministerial Errors in SAS Program
a. Reformatting of Entry Date
b. Definition of CEP Sales
Discussion of the Issues:
1. Resales of Purchased Fittings
2. CEP Profit Adjustment Calculation
3. Reclassification of Export Price Sales to CEP Sales
4. Short-Term Interest Rate Used in Calculation of U.S. Credit and
Inventory Carrying Costs
5. U.S. Indirect Selling Expenses
6. Decision Not to Revoke the Order in Part
[FR Doc. 00-32980 Filed 12-26-00; 8:45 am]
BILLING CODE 3510-DS-P