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 Department of Commerce International Trade Administration [A-533-881]
 AGENCY: Enforcement and Compliance, International Trade Administration, Department of Commerce.
 SUMMARY: The Department of Commerce (Commerce) preliminarily determines that large diameter welded pipe (welded 
                        ( print page 43654)
                        pipe) from India is being, or is likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is January 1, 2017, through December 31, 2017. Interested parties are invited to comment on this preliminary determination.
 DATES: Applicable August 27, 2018.
 FOR FURTHER INFORMATION CONTACT: Jaron Moore or Kate Johnson, AD/CVD Operations, Office VIII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-3640 or (202) 482-4929, respectively.


SUPPLEMENTARY INFORMATION: Background This preliminary determination is made in accordance with section 733(b) of the Tariff Act of 1930, as amended (the Act). Commerce published the notice of initiation of this investigation on February 20, 2018.[1]
                    
                     On June 8, 2018, Commerce postponed the preliminary determination of this investigation; the revised deadline is now August 20, 2018.[2]
                    
                     For a complete description of the events that followed the initiation of this investigation, 
                    *see*
                     the Preliminary Decision Memorandum.[3]
                    
                     A list of topics included in the Preliminary Decision Memorandum is included as Appendix II to this notice. The Preliminary 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,*
                     and to all parties in the Central Records Unit, Room B8024 of the main Department of Commerce building. In addition, a complete version of the Preliminary Decision Memorandum can be accessed directly at 
                    *http://enforcement.trade.gov/​frn/​*. The signed and electronic versions of the Preliminary Decision Memorandum are identical in content. Scope of the Investigation The product covered by this investigation is welded pipe from India. For a complete description of the scope of this investigation, 
                    *see*
                     Appendix I. Scope Comments In accordance with the preamble to Commerce's regulations,[4]
                    
                     the 
                    *Initiation Notice*
                     set aside a period of time for parties to raise issues regarding product coverage (
                    *i.e.,*
                     scope).[5]
                    
                     Certain interested parties commented on the scope of the investigation as it appeared in the 
                    *Initiation Notice*. For a summary of the product coverage comments and rebuttal responses submitted to the record for this investigation, and accompanying discussion and analysis of all comments timely received, 
                    *see*
                     the Preliminary Scope Decision Memorandum.[6]
                    
                     Commerce is preliminarily modifying the scope language as it appeared in the 
                    *Initiation Notice. See*
                     the revised scope in Appendix I to this notice. Methodology Commerce is conducting this investigation in accordance with section 731 of the Act. Furthermore, pursuant to section 776(a) and (b) of the Act, we preliminarily have relied upon facts otherwise available, with adverse inferences (adverse facts available or AFA), for Bhushan Steel (Bhushan) and Welspun Trading Limited (Welspun), the respondents selected for individual examination, for their failure to cooperate in this investigation. As AFA, we have preliminarily assigned the only margin alleged in the Petition of 50.55 percent.[7]
                    
                     For a full description of the methodology underlying the preliminary determination, see the Preliminary Decision Memorandum. All-Others Rate Sections 733(d)(1)(ii) and 735(c)(5)(A) of the Act provide that in the preliminary determination Commerce shall determine an estimated all-others rate for all exporters and producers not individually examined. This rate shall be an amount equal to the weighted average of the estimated weighted-average dumping margins established for exporters and producers individually investigated, excluding any zero and 
                    *de minimis*
                     margins, and any margins determined entirely under section 776 of the Act. In cases where no weighted-average dumping margins other than zero, 
                    *de minimis,*
                     or those determined entirely under section 776 of the Act have been established for individually examined entities, in accordance with section 735(c)(5)(B) of the Act, Commerce may use “any reasonable method to establish the estimated all-others rate for exporters and producers not individually investigated, including averaging the estimated weighted-average dumping margins determined for the exporters and producers individually investigated.” Our recent practice in these circumstances is to average the dumping margins alleged in the petition and apply the result to “all-other” entities not individually examined. In this investigation, Commerce has preliminarily determined the estimated weighted-average dumping margin for Bhushan and Welspun entirely under section 776 of the Act. Therefore, as the “all-others” rate, we are assigning the sole margin in the Petition, which is 50.55 percent. For a full description of the methodology underlying Commerce's analysis, see the Preliminary Decision Memorandum. Preliminary Determination Commerce preliminarily determines that the following estimated weighted-average dumping margins exist:
                    ( print page 43655) Exporter/producer
Estimated weighted-
                             average 
                             dumping 
                             margin 
                             (percent)
Cash deposit rate
                             (adjusted 
                             for export 
                             subsidies 
                             offset) 
                             (percent)Bhushan Steel
50.55
16.85Welspun Trading Limited
50.55
16.85All-Others
50.55
16.85
 Suspension of Liquidation In accordance with section 733(d)(2) of the Act, Commerce will direct U.S. Customs and Border Protection (CBP) to suspend liquidation of entries of subject merchandise, as described in Appendix I, entered, or withdrawn from warehouse, for consumption on or after the date of publication of this notice in the 
                    **Federal Register**
                    . Further, pursuant to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d), Commerce will instruct CBP to require a cash deposit equal to the estimated weighted-average dumping margin, or the estimated all-others rate, adjusted for export subsidies, as follows: (1) The cash deposit rate for the respondents listed above will be equal to the company-specific estimated weighted-average dumping margins, adjusted for export subsidies, as determined in this preliminary determination; (2) if the exporter is not a respondent identified above, but the producer is, then the cash deposit rate will be equal to the company-specific estimated weighted-average dumping margin, adjusted for export subsidies, as established for that producer of the subject merchandise and (3) the cash deposit rate for all other producers or exporters will be equal to the all-others estimated weighted-average dumping margin, adjusted for export subsidies. Commerce normally adjusts the estimated weighted-average dumping margin by the amount of export subsidies countervailed in a companion countervailing duty (CVD) proceeding, when CVD provisional measures are in effect. Accordingly, where Commerce preliminarily made an affirmative determination for countervailable export subsidies,[8]
                    
                     Commerce has offset the estimated weighted-average dumping margin by the appropriate CVD rate. Any such adjusted rates may be found in the Preliminary Determination section above. Should provisional measures in the companion CVD investigation expire prior to the expiration of provisional measures in this LTFV investigation, Commerce will direct CBP to begin collecting estimated antidumping cash deposits unadjusted for countervailed export subsidies at the time the CVD provisional measures expire. These suspension of liquidation instructions will remain in effect until further notice. Disclosure Normally, Commerce discloses to interested parties the calculations performed in connection with a preliminary determination within five days of its public announcement or, if there is no public announcement, within five days of the date of publication of this notice of preliminary determination in the 
                    **Federal Register**
                    , in accordance with 19 CFR 351.224(b). However, because Commerce preliminarily applied AFA to the mandatory respondents Bhushan and Welspun in this investigation, and the applied AFA rate is based solely on the Petition, in accordance with section 776 of the Act, there are no calculations to disclose. Verification Because none of the mandatory respondents in this investigation responded to our requests for information, verification will not be conducted. Public Comment Case briefs or other written comments regarding non-scope issues may be submitted to the Assistant Secretary for Enforcement and Compliance no later than 30 days after the date of publication of the preliminary determination. Rebuttal briefs, limited to issues raised in case briefs, may be submitted no later than five days after the deadline date for case briefs.[9]
                    
                     Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who submit case briefs or rebuttal briefs on any issues raised in this proceeding are encouraged to submit with each argument: (1) A statement of the issue; (2) a brief summary of the argument; and (3) a table of authorities. Additionally, case briefs regarding scope issues may be submitted within 10 days after the date of publication of this notice in the 
                    **Federal Register**
                    . Rebuttal briefs regarding scope issues, limited to those issues in the scope case briefs, may be submitted no later than five days after the deadline date for scope case briefs. All scope case and rebuttal briefs must be filed identically on the records of this investigation and the concurrent LTFV and CVD investigations of welded pipe. Pursuant to 19 CFR 351.310(c), interested parties who wish to request a hearing, limited to issues raised in the case and rebuttal briefs, must submit a written request to the Assistant Secretary for Enforcement and Compliance, U.S. Department of Commerce, within 30 days after the date of publication of this notice. Requests should contain the party's name, address, and telephone number, the number of participants, whether any participant is a foreign national, and a list of the issues to be discussed. If a request for a hearing is made, Commerce intends to hold the hearing at the U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230, at a time and date to be determined. Parties should confirm the date, time, and location of the hearing two days before the scheduled date. International Trade Commission Notification In accordance with section 733(f) of the Act, Commerce will notify the International Trade Commission (ITC) of its preliminary determination. If the final determination is affirmative, the ITC will determine before the later of 120 days after the date of this preliminary determination or 45 days after the final determination whether these imports are materially injuring, or threaten material injury to, the U.S. industry. Final Determination Section 735(a)(1) of the Act and 19 CFR 351.210(b)(1) provide that Commerce will issue the final 
                    ( print page 43656)
                    determination within 75 days after the date of its preliminary determination. Accordingly, Commerce will make its final determination no later than 75 days after the signature date of this preliminary determination. Notification to Interested Parties This determination is issued and published in accordance with sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c). Dated: August 20, 2018. Gary Taverman, Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance.
 Appendix I Scope of the Investigation The merchandise covered by this investigation is welded carbon and alloy steel pipe (including stainless steel pipe), more than 406.4 mm (16 inches) in nominal outside diameter (large diameter welded pipe), regardless of wall thickness, length, surface finish, grade, end finish, or stenciling. Large diameter welded pipe may be used to transport oil, gas, slurry, steam, or other fluids, liquids, or gases. It may also be used for structural purposes, including, but not limited to, piling. Specifically, not included is large diameter welded pipe produced only to specifications of the American Water Works Association (AWWA) for water and sewage pipe. Large diameter welded pipe used to transport oil, gas, or natural gas liquids is normally produced to the American Petroleum Institute (API) specification 5L. Large diameter welded pipe may also be produced to American Society for Testing and Materials (ASTM) standards A500, A252, or A53, or other relevant domestic specifications, grades and/or standards. Large diameter welded pipe can be produced to comparable foreign specifications, grades and/or standards or to proprietary specifications, grades and/or standards, or can be non-graded material. All pipe meeting the physical description set forth above is covered by the scope of this investigation, whether or not produced according to a particular standard. Subject merchandise also includes large diameter welded pipe that has been further processed in a third country, including but not limited to coating, painting, notching, beveling, cutting, punching, welding, or any other processing that would not otherwise remove the merchandise from the scope of the investigation if performed in the country of manufacture of the in-scope large diameter welded pipe. The large diameter welded pipe that is subject to this investigation is currently classifiable in the Harmonized Tariff Schedule of the United States (HTSUS) under subheadings 7305.11.1030, 7305.11.1060, 7305.11.5000, 7305.12.1030, 7305.12.1060, 7305.12.5000, 7305.19.1030, 7305.19.1060, 7305.19.5000, 7305.31.4000, 7305.31.6010, 7305.31.6090, 7305.39.1000 and 7305.39.5000. While the HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope of this investigation is dispositive. Appendix II List of Topics Discussed in the Preliminary Decision Memorandum I. Summary II. Background III. Period of Investigation IV. Scope Comments V. Application of Facts Available and Use of Adverse Inference A. Application of Facts Available B. Application of Facts Available With an Adverse Inference C. Preliminary Estimated Weighted-Average Dumping Margin Based on Adverse Facts Available D. Corroboration of Secondary Information VI. All-Others Rate VII. Adjustments to Cash Deposit Rates for Export Subsidies VIII. Conclusion


# Footnotes

1.
    
                         
                        *See Large Diameter Welded Pipe from Canada, Greece, India, the People's Republic of China, the Republic of Korea, and the Republic of Turkey: Initiation of Less-Than-Fair-Value Investigations,*83 FR 7154 (February 20, 2018) (
                        *Initiation Notice*). Back to Citation
 2.
    
                         
                        *See Large Diameter Welded Pipe from Canada, Greece, India, the People's Republic of China, the Republic of Korea, and the Republic of Turkey: Postponement of Preliminary Determinations in the Less-Than-Fair Value Investigations,*83 FR 27953 (June 15, 2018). Back to Citation
 3.
    
                         
                        *See*
                         Memorandum, “Decision Memorandum for the Preliminary Determination in the Less-Than-Fair-Value Investigation of Large Diameter Welded Pipe from India” dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum). Back to Citation
 4.
    
                         
                        *See Antidumping Duties; Countervailing Duties, Final Rule,*62 FR 27296, 27323 (May 19, 1997). Back to Citation
 5.
    
                         
                        *See Initiation Notice*. Back to Citation
 6.
    
                         
                        *See*
                         Memorandum, “Large Diameter Welded Pipe from Canada, Greece, India, the People's Republic of China, the Republic of Korea, and the Republic of Turkey: Scope Comments Decision Memorandum for the Preliminary Determinations,” dated June 19, 2018 (Preliminary Scope Decision Memorandum). Back to Citation
 7.
    
                         
                        *See*
                         Petitioners' Letter, “Petitions for the Imposition of Antidumping and Countervailing Duties: Large Diameter Welded Pipe from Canada, Greece, India, the People's Republic of China, the Republic of Korea, and the Republic of Turkey,” dated January 17, 2018 (the Petition), Volume IV, at 18. Back to Citation
 8.
    
                         
                        *See*
                         the Preliminary Decision Memorandum for further discussion. Back to Citation
 9.
    
                         
                        *See*19 CFR 351.309; 
                        *see also*19 CFR 351.303 (for general filing requirements). Back to Citation


[FR Doc. 2018-18485 Filed 8-24-18; 8:45 am] BILLING CODE 3510-DS-P