Federal Register / Vol. 87, No. 109 / Tuesday, June 7, 2022 / Notices 34645 

1See Certain Steel Nails from India, the Sultanate 

of Oman, Sri Lanka, Thailand, and the Republic of 

Turkey: Initiation of Countervailing Duty 

Investigations, 87 FR 3970 (January 26, 2022) 

(Initiation Notice). 

2See Certain Steel Nails from India, the Sultanate 

of Oman, Sri Lanka, Thailand, and the Republic of 

Turkey: Postponement of Preliminary 

Determinations in the Countervailing Duty 

Investigations, 87 FR 12080 (March 3, 2022). 

3See Memorandum, ‘‘Decision Memorandum for 

the Preliminary Determination in the 

Countervailing Duty Investigation of Certain Steel 

Nail from Sri Lanka,’’ dated concurrently with, and 

hereby adopted by, this notice (Preliminary 

Decision Memorandum). 

4See Antidumping Duties; Countervailing Duties, 

Final Rule, 62 FR 27296, 27323 (May 19, 1997). 

5See Initiation Notice. 

6See Certain Steel Nails from India, Sri Lanka, 

Thailand, and the Republic of Turkey: 

Postponement of Preliminary Determinations in the 

Less-Than-Fair-Value Investigations, 87 FR 30868 

(May 20, 2022). 

7See sections 771(5)(B) and (D) of the Act 

regarding financial contribution; section 771(5)(E) 

of the Act regarding benefit; and section 771(5A) of 

the Act regarding specificity. 

DEPARTMENT OF COMMERCE 

International Trade Administration 

[C–542–805] 

Certain Steel Nails From Sri Lanka: 

Preliminary Affirmative Countervailing 

Duty Determination 

AGENCY: Enforcement and Compliance, 

International Trade Administration, 

Department of Commerce. 

SUMMARY: The U.S. Department of 

Commerce (Commerce) preliminarily 

determines that countervailable 

subsidies are being provided to 

producers and exporters of certain steel 

nails (steel nails) from Sri Lanka. The 

period of investigation is January 1, 

2020, through December 31, 2020. 

Interested parties are invited to 

comment on this preliminary 

determination. 

DATES: Applicable June 7, 2022. 

FOR FURTHER INFORMATION CONTACT: 

Nathan James, AD/CVD Operations, 

Office V, Enforcement and Compliance, 

International Trade Administration, 

U.S. Department of Commerce, 1401 

Constitution Avenue NW, Washington, 

DC 20230; telephone: (202) 482–5305. 

SUPPLEMENTARY INFORMATION: 

Background 

This preliminary determination is 

made in accordance with section 703(b) 

of the Tariff Act of 1930, as amended 

(the Act). On January 26, 2022, we 

published the notice of initiation of a 

countervailing duty (CVD) investigation 

on steel nails from Sri Lanka.1 On 

March 3, 2022, Commerce postponed 

the preliminary determination of this 

investigation until May 31, 2022.2 For a 

complete description of the events that 

followed the initiation of this 

investigation, see the Preliminary 

Decision Memorandum.3 A list of topics 

discussed 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 http://

access.trade.gov. In addition, a complete 

version of the Preliminary Decision 

Memorandum can be accessed directly 

at https://access.trade.gov/public/ 

FRNoticesListLayout.aspx. 

Scope of the Investigation 

The products covered by this 

investigation are steel nails from Sri 

Lanka. 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 We received 

several comments concerning the scope 

of the antidumping duty (AD) and CVD 

investigations of steel nails as it 

appeared in the Initiation Notice. We 

are currently evaluating the scope 

comments filed by the interested 

parties. We intend to issue our 

preliminary decision regarding the 

scope of the AD and CVD investigations 

on or before the preliminary 

determinations of the companion AD 

investigations, the deadline for which is 

July 28, 2022.6 We will incorporate the 

scope decisions from the AD 

investigations into the scope of the final 

CVD determination for this investigation 

after considering any relevant comments 

submitted in scope case and rebuttal 

briefs. The deadline for interested 

parties to submit scope case and rebuttal 

briefs will be established in the 

preliminary scope decision 

memorandum. 

Methodology 

Commerce is conducting this 

investigation in accordance with section 

701 of the Act. For each of the subsidy 

programs found to be countervailable, 

Commerce preliminarily determines 

that there is a subsidy, i.e., a financial 

contribution by an ‘‘authority’’ that 

gives rise to a benefit to the recipient, 

and that the subsidy is specific.7

All-Others Rate 

Sections 703(d) and 705(c)(5)(A) of 

the Act provide that, in the preliminary 

determination, Commerce shall 

determine an estimated all-others rate 

for companies not individually 

examined. This rate shall be an amount 

equal to the weighted average of the 

estimated subsidy rates established for 

those companies individually 

examined, excluding any zero and de 

minimis rates and any rates based 

entirely under section 776 of the Act. 

In this investigation, Commerce 

calculated an estimated countervailable 

subsidy rate for Trinity Steel Private 

Limited (Trinity Steel), the only 

individually-examined exporter/ 

producer in this investigation. Because 

the only individually calculated rate is 

not zero, de minimis, or based entirely 

on facts otherwise available, the rate 

calculated for Trinity Steel is the rate 

assigned to all other producers and 

exporters. 

Preliminary Determination 

Commerce preliminarily determines 

that the following estimated 

countervailable subsidy rates exist: 

Company Subsidy rate 

(percent) 

Trinity Steel Private Limited 4.12 

All Others .............................. 4.12 

Suspension of Liquidation 

In accordance with sections 

703(d)(1)(B) and (d)(2) of the Act, 

Commerce will direct U.S. Customs and 

Border Protection (CBP) to suspend 

liquidation of entries of subject 

merchandise entered, or withdrawn 

from warehouse, for consumption on or 

after the date of publication of this 

notice in the Federal Register. Further, 

pursuant to 19 CFR 351.205(d), 

Commerce will instruct CBP to require 

a cash deposit equal to the rates 

indicated above. 

Disclosure 

Commerce intends to disclose its 

calculations and analysis performed to 

interested parties in this preliminary 

determination within five days of its 

public announcement, or if there is no 

public announcement, within five days 

of the date of this notice, in accordance 

with 19 CFR 351.224(b). 

Verification 

As provided in section 782(i)(1) of the 

Act, Commerce intends to verify the 

information relied upon in making its 

final determination. 


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34646 Federal Register / Vol. 87, No. 109 / Tuesday, June 7, 2022 / Notices 

8See 19 CFR 351.309; see also 19 CFR 351.303 

(for general filing requirements). 

9See Temporary Rule Modifying AD/CVD Service 

Requirements Due to COVID–19; Extension of 

Effective Period, 85 FR 41363 (July 10, 2020). 

Public Comment 

Case briefs or other written comments 

may be submitted to the Assistant 

Secretary for Enforcement and 

Compliance no later than seven days 

after the deadline for the verification 

questionnaire response in this 

investigation. Rebuttal briefs, limited to 

issues raised in case briefs, may be 

submitted no later than seven days after 

the deadline date for case briefs.8 Note 

that Commerce has temporarily 

modified certain of its requirements for 

serving documents containing business 

proprietary information, until further 

notice.9 Pursuant to 19 CFR 

351.309(c)(2) and (d)(2), parties who 

submit case briefs or rebuttal briefs in 

this investigation 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. 

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 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 a time and 

date to be determined. Parties should 

confirm by telephone the date, time, and 

location of the hearing two days before 

the scheduled date. 

International Trade Commission 

Notification 

In accordance with section 703(f) of 

the Act, Commerce will notify the U.S. 

International Trade Commission (ITC) of 

its 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 imports of steel 

nails from Sri Lanka are materially 

injuring, or threaten material injury to, 

the U.S. industry. 

Notification to Interested Parties 

This determination is issued and 

published pursuant to sections 703(f) 

and 777(i) of the Act, and 19 CFR 

351.205(c). 

Dated: May 31, 2022. 

Lisa W. Wang, 

Assistant Secretary for Enforcement and 

Compliance. 

Appendix I 

Scope of the Investigation 

The merchandise covered by this 

investigation is certain steel nails having a 

nominal shaft or shank length not exceeding 

12 inches. Certain steel nails include, but are 

not limited to, nails made from round wire 

and nails that are cut from flat-rolled steel or 

long-rolled flat steel bars. Certain steel nails 

may be of one piece construction or 

constructed of two or more pieces. Examples 

of nails constructed of two or more pieces 

include, but are not limited to, anchors 

comprised of an anchor body made of zinc 

or nylon and a steel pin or a steel nail; crimp 

drive anchors; split-drive anchors, and strike 

pin anchors. Also included in the scope are 

anchors of one piece construction. 

Certain steel nails may be produced from 

any type of steel, and may have any type of 

surface finish, head type, shank, point type 

and shaft diameter. Finishes include, but are 

not limited to, coating in vinyl, zinc 

(galvanized, including but not limited to 

electroplating or hot dipping one or more 

times), phosphate, cement, and paint. Certain 

steel nails may have one or more surface 

finishes. Head styles include, but are not 

limited to, flat, projection, cupped, oval, 

brad, headless, double, countersunk, and 

sinker. Shank or shaft styles include, but are 

not limited to, smooth, barbed, screw 

threaded, ring shank and fluted. 

Screw-threaded nails subject to this 

proceeding are driven using direct force and 

not by turning the nail using a tool that 

engages with the head. Point styles include, 

but are not limited to, diamond, needle, 

chisel and blunt or no point. Certain steel 

nails may be sold in bulk, or they may be 

collated in any manner using any material. 

Excluded from the scope are certain steel 

nails packaged in combination with one or 

more non-subject articles, if the total number 

of nails of all types, in aggregate regardless 

of size, is less than 25. If packaged in 

combination with one or more non-subject 

articles, certain steel nails remain subject 

merchandise if the total number of nails of 

all types, in aggregate regardless of size, is 

equal to or greater than 25, unless otherwise 

excluded based on the other exclusions 

below. 

Also excluded from the scope are certain 

steel nails with a nominal shaft or shank 

length of one inch or less that are a 

component of an unassembled article, where 

the total number of nails is sixty (60) or less, 

and the imported unassembled article falls 

into one of the following eight groupings: (1) 

Builders’ joinery and carpentry of wood that 

are classifiable as windows, French-windows 

and their frames; (2) builders’ joinery and 

carpentry of wood that are classifiable as 

doors and their frames and thresholds; (3) 

swivel seats with variable height adjustment; 

(4) seats that are convertible into beds (with 

the exception of those classifiable as garden 

seats or camping equipment); (5) seats of 

cane, osier, bamboo or similar materials; (6) 

other seats with wooden frames (with the 

exception of seats of a kind used for aircraft 

or motor vehicles); (7) furniture (other than 

seats) of wood (with the exception of (i) 

medical, surgical, dental or veterinary 

furniture; and (ii) barbers’ chairs and similar 

chairs, having rotating as well as both 

reclining and elevating movements); or (8) 

furniture (other than seats) of materials other 

than wood, metal, or plastics (e.g., furniture 

of cane, osier, bamboo or similar materials). 

The aforementioned imported unassembled 

articles are currently classified under the 

following Harmonized Tariff Schedule of the 

United States (HTSUS) subheadings: 4418.10, 

4418.20, 9401.30, 9401.40, 9401.51, 9401.59, 

9401.61, 9401.69, 9403.30, 9403.40, 9403.50, 

9403.60, 9403.81 or 9403.89. 

Also excluded from the scope of this 

investigation are nails suitable for use in 

powder-actuated hand tools, whether or not 

threaded, which are currently classified 

under HTSUS subheadings 7317.00.2000 and 

7317.00.3000. 

Also excluded from the scope of this 

investigation are nails suitable for use in gasactuated hand tools. These nails have a case 

hardness greater than or equal to 50 on the 

Rockwell Hardness C scale (HRC), a carbon 

content greater than or equal to 0.5 percent, 

a round head, a secondary reduced-diameter 

raised head section, a centered shank, and a 

smooth symmetrical point. 

Also excluded from the scope of this 

investigation are corrugated nails. A 

corrugated nail is made up of a small strip 

of corrugated steel with sharp points on one 

side. 

Also excluded from the scope of this 

investigation are thumb tacks, which are 

currently classified under HTSUS 

subheading 7317.00.1000. 

Also excluded from the scope are 

decorative or upholstery tacks. 

Certain steel nails subject to this 

investigation are currently classified under 

HTSUS subheadings 7317.00.5501, 

7317.00.5502, 7317.00.5503, 7317.00.5505, 

7317.00.5507, 7317.00.5508, 7317.00.5511, 

7317.00.5518, 7317.00.5519, 7317.00.5520, 

7317.00.5530, 7317.00.5540, 7317.00.5550, 

7317.00.5560, 7317.00.5570, 7317.00.5580, 

7317.00.5590, 7317.00.6530, 7317.00.6560 

and 7317.00.7500. Certain steel nails subject 

to this investigation also may be classified 

under HTSUS subheadings 7318.15.5090, 

7907.00.6000, 8206.00.0000 or other HTSUS 

subheadings. 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. Injury Test 

IV. Scope Comments 

V. Scope of the Investigation 

VI. Subsidies Valuation 

VII. Analysis of Programs 

VIII. Recommendation 

[FR Doc. 2022–12189 Filed 6–6–22; 8:45 am] 

BILLING CODE 3510–DS–P 


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