MESSAGE NO: 8339201 DATE: 12/4/2008

CATEGORY: ADA TYPE: PRE

REFERENCE: REFERENCE DATE:

CASES: A-570-935

PERIOD COVERED: 11/06/2008

LIQ SUSPENSION DATE:

TO: DIRECTORS OF FIELD OPERATIONS, PORT DIRECTORS

FROM: DIRECTOR, SPECIAL ENFORCEMENT

RE: NOTICE OF A PRELIMINARY DETERMINATION IN AN ANTIDUMPING, DUTY
INVESTIGATION OF CIRCULAR WELDED CARBON QUALITY, STEEL LINE PIPE FROM
CHINA (A-570-935-000 THRU 008)

1\. ON NOVEMBER 6, 2008, THE DEPARTMENT OF COMMERCE WILL PUBLISH

IN THE FEDERAL REGISTER ITS PRELIMINARY DETERMINATION OF SALES AT

LESS THAN FAIR VALUE AND THE POSTPONEMENT OF THE FINAL

DETERMINATION IN THE ANTIDUMPING DUTY INVESTIGATION OF CIRCULAR

WELDED CARBON QUALITY STEEL LINE PIPE FROM THE PEOPLES REPUBLIC

OF CHINA.

2\. THE MERCHANDISE COVERED BY THIS INVESTIGATION IS CIRCULAR

WELDED CARBON QUALITY STEEL PIPE OF A KIND USED FOR OIL AND GAS

PIPELINES (WELDED LINE PIPE), NOT MORE THAN 406.4 MM (16

INCHES)

IN OUTSIDE DIAMETER, REGARDLESS OF WALL THICKNESS, LENGTH,

SURFACE FINISH, END FINISH OR STENCILING.

THE TERM CARBON QUALITY STEEL INCLUDES BOTH CARBON STEEL AND

CARBON STEEL MIXED WITH SMALL AMOUNTS OF ALLOYING ELEMENTS THAT

MAY EXCEED THE INDIVIDUAL WEIGHT LIMITS FOR NONALLOY STEELS

IMPOSED IN THE HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES

(HTSUS). SPECIFICALLY, THE TERM CARBON QUALITY INCLUDES PRODUCTS

IN WHICH (1) IRON PREDOMINATES BY WEIGHT OVER EACH OF THE OTHER

CONTAINED ELEMENTS, (2) THE CARBON CONTENT IS 2 PERCENT OR LESS

BY WEIGHT AND (3) NONE OF THE ELEMENTS LISTED BELOW EXCEEDS THE

QUANTITY BY WEIGHT RESPECTIVELY INDICATED:

2.00 PERCENT OF MANGANESE,

2.25 PERCENT OF SILICON,

1.00 PERCENT OF COPPER,

0.50 PERCENT OF ALUMINUM,

1.25 PERCENT OF CHROMIUM,

0.30 PERCENT OF COBALT,

0.40 PERCENT OF LEAD,

1.25 PERCENT OF NICKEL,

0.30 PERCENT OF TUNGSTEN,

0.012 PERCENT OF BORON,

0.50 PERCENT OF MOLYBDENUM,

0.15 PERCENT OF NIOBIUM,

0.41 PERCENT OF TITANIUM,

0.15 PERCENT OF VANADIUM, OR

0.15 PERCENT OF ZIRCONIUM.

WELDED LINE PIPE IS NORMALLY PRODUCED TO SPECIFICATIONS PUBLISHED

BY THE AMERICAN PETROLEUM INSTITUTE (API) (OR COMPARABLE FOREIGN

SPECIFICATIONS) INCLUDING API A-25, 5LA, 5LB, AND X GRADES FROM

42 AND ABOVE, AND/OR ANY OTHER PROPRIETARY GRADES OR NON-GRADED

MATERIAL. NEVERTHELESS, ALL PIPE MEETING THE PHYSICAL DESCRIPTION

SET FORTH ABOVE THAT IS OF A KIND USED IN OIL AND GAS PIPELINES,

INCLUDING ALL MULTIPLE-STENCILED PIPE WITH AN API LINE PIPE

STENCIL IS COVERED BY THE SCOPE OF THIS INVESTIGATION.

EXCLUDED FROM THIS SCOPE ARE PIPES OF A KIND USED FOR OIL AND GAS

PIPELINES THAT ARE MULTIPLE-STENCILED TO A STANDARD AND/OR

STRUCTURAL SPECIFICATION AND HAVE 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 SURFACE FINISH;OR HAS A THREADED AND/OR COUPLED END

FINISH. (THE TERM PAINTED DOES NOT INCLUDE COATINGS TO INHIBIT

RUST IN TRANSIT, SUCH AS VARNISH, BUT INCLUDES COATINGS SUCH AS

POLYESTER.)

THE LINE PIPE PRODUCTS THAT ARE THE SUBJECT OF THESE

INVESTIGATIONS ARE CURRENTLY CLASSIFIABLE IN THE HTSUS UNDER

SUBHEADINGS 7306.19.10. 10, 7306.19.10.50, 7306.19.51.10, AND

7306.19.51.50. WHILE HTSUS SUBHEADINGS ARE PROVIDED FOR

CONVENIENCE AND CUSTOMS PURPOSES, THE WRITTEN DESCRIPTION OF THE

SCOPE OF THESE INVESTIGATIONS IS DISPOSITIVE.

3\. FOR FURTHER REPORTING PURPOSES THIS CASE HAS BEEN ASSIGNED

INVESTIGATION NUMBER A-570-935.

4\. FOR IMPORTS OF CIRCULAR WELDED CARBON QUALITY STEEL LINE PIPE

FROM THE PEOPLES REPUBLIC OF CHINA, U.S. CUSTOMS AND BORDER

PROTECTION (CBP) SHALL SUSPEND LIQUIDATION OF SUCH SHIPMENTS

ENTERED OR WITHDRAWN FROM WAREHOUSE, FOR CONSUMPTION ON OR AFTER

11/06/2008. EFFECTIVE 11/06/2008 CUSTOMS SHALL REQUIRE, FOR

ENTRIES OF CIRCULAR WELDED CARBON QUALITY STEEL LINE PIPE FROM

THE EXPORTER/PRODUCER COMBINATIONS LISTED BELOW, A CASH DEPOSIT

OR THE POSTING OF A BOND EQUAL TO THE ANTIDUMPING DUTY MARGINS

SHOWN BELOW:

EXPORTER: HULUDAO STEEL PIPE INDUSTRIAL CO., LTD./ HULUDAO CITY

STEEL PIPE INDUSTRIAL CO., LTD.

PRODUCER: HULUDAO STEEL PIPE INDUSTRIAL CO., LTD./ HULUDAO CITY

STEEL PIPE INDUSTRIAL CO., LTD.

CASE NUMBER: (A-570-935-001)

CASH DEPOSIT RATE: 67.83%

EXPORTER: SHANGHAI METALS AND MINERALS IMPORT AND EXPORT CORP.

D/B/A SHANGHAI MINMETALS MATERIALS AND PRODUCTS CORP.

PRODUCER: HULUDAO STEEL PIPE INDUSTRIAL CO., LTD.

CASE NUMBER: (A-570-935-002)

CASH DEPOSIT RATE: 81.52%

EXPORTER: SHANGHAI METALS AND MINERALS IMPORT AND EXPORT CORP.

D/B/A SHANGHAI MINMETALS MATERIALS AND PRODUCTS CORP.

PRODUCER: BENXI NORTHERN PIPES CO., LTD.

CASE NUMBER: (A-570-935-003)

CASH DEPOSIT RATE: 81.52%

EXPORTER: BENXI NORTHERN PIPES CO., LTD.

PRODUCER: BENXI NORTHERN PIPES CO., LTD.

CASE NUMBER: (A-570-935-004)

CASH DEPOSIT RATE: 74.68%

EXPORTER: BENXI NORTHERN PIPES CO., LTD.

PRODUCER: TIANJIN LIANZHONG STEEL PIPE CO., LTD.

CASE NUMBER: (A-570-935-005)

CASH DEPOSIT RATE: 74.68%

EXPORTER: PANGANG GROUP BEIHAI STEEL PIPE CORPORATION

PRODUCER: PANGANG GROUP BEIHAI STEEL PIPE CORPORATION

CASE NUMBER: (A-570-935-006)

CASH DEPOSIT RATE: 74.68%

EXPORTER: JIANGSU YULONG STEEL PIPE CO., LTD

PRODUCER: JIANGSU YULONG STEEL PIPE CO., LTD

CASE NUMBER: (A-570-935-007)

CASH DEPOSIT RATE: 74.68%

EXPORTER: TIANJIN XINGYUDA IMPORT AND EXPORT CO., LTD.

PRODUCER: TIANJIN LIFENGYUANDA STEEL PIPE GROUP CO., LTD.

CASE NUMBER: (A-570-935-008)

CASH DEPOSIT RATE: 74.68%

EXPORTER: PRC-WIDE RATE

PRODUCER: PRC-WIDE RATE

CASE NUMBER: (A-570-935-000)

CASH DEPOSIT RATE: 81.52%

6\. FOR ALL OTHER ENTRIES OF CIRCULAR WELDED CARBON QUALITY STEEL

LINE PIPE, THE FOLLOWING CASH DEPOSIT/BONDING INSTRUCTIONS

APPLY:

A. FOR ALL PRC EXPORTERS OF CIRCULAR WELDED CARBON QUALITY STEEL

LINE PIPE, WHICH HAVE NOT RECEIVED THEIR OWN RATE, THE

CASH-DEPOSIT OR BONDING RATE WILL BE THE PRC-WIDE RATE.

B. FOR ALL NON-PRC EXPORTERS OF CIRCULAR WELDED CARBON QUALITY

STEEL LINE PIPE WHICH HAVE NOT RECEIVED THEIR OWN RATE, THE

CASH-DEPOSIT OR BONDING RATE WILL BE THE RATE APPLICABLE TO THE

PRODUCER/EXPORTER COMBINATIONS THAT SUPPLIED THAT NON-PRC

EXPORTER.

7\. IN ACCORDANCE WITH T.D. 85-145, AT THE DISCRETION OF CBP,

CUSTOMS OFFICERS MAY ACCEPT EITHER A SINGLE-ENTRY BASIC

IMPORTATION AND ENTRY BOND OR A CONTINUOUS BASIC IMPORTATION AND

ENTRY BOND ONLY IF THE AMOUNT OF THE ESTIMATED ANTIDUMPING OR

COUNTERVAILING DUTY IS LESS THAN FIVE PERCENT AD VALOREM (OR THE

EQUIVALENT). OTHERWISE, WHERE THE IMPORTER HAS THE OPTION TO POST

A BOND FOR ESTIMATED ANTIDUMPING OR COUNTERVAILING DUTIES,

CUSTOMS OFFICERS MUST REQUIRE A SINGLE-ENTRY BASIC IMPORTATION

AND ENTRY BOND PURSUANT TO T.D. 85-145. YOU ARE INSTRUCTED TO

ADHERE TO THE REQUIREMENTS OF T.D. 85-145 WITH RESPECT TO THESE

BONDING REQUIREMENTS.

8\. IF THERE ARE ANY QUESTIONS REGARDING THIS MATTER BY CBP

OFFICERS, THE IMPORTING PUBLIC OR INTERESTED PARTIES, PLEASE

CONTACT DAVINA HASHMI OR RON TRENTHAM AT OFFICE OF AD/CVD

OPERATIONS, IMPORT ADMINISTRATION, INTERNATIONAL TRADE

ADMINISTRATION, U.S. DEPARTMENT OF COMMERCE, AT (202) 482-0984 OR

\(202\) 482-3577 RESPECTIVELY (GENERATED BY O4: RP).

9\. THERE ARE NO RESTRICTIONS ON THE RELEASE OF THIS INFORMATION.

DAVID M. GENOVESE