[Federal Register Volume 60, Number 38 (Monday, February 27, 1995)]
[Notices]
[Pages 10551-10552]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-4719]



=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE.

International Trade Administration
[A-580-824]


Notice of Final Determination of Sales at Less Than Fair Value: 
Certain Carbon Steel Butt-Weld Pipe Fittings From South Korea

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

EFFECTIVE DATE: February 27, 1995.

FOR FURTHER INFORMATION CONTACT: Peter Wilkniss, Office of 
Countervailing Investigations, Import Administration, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, N.W., Washington, D.C. 20230; telephone (202) 482-
0588.

Final Determination

    The Department of Commerce (the Department) determines that certain 
carbon steel butt-weld pipe fittings (``pipe fittings'') from South 
Korea are being, or are likely to be, sold in the United States at less 
than fair value, as provided in section 735 of the Tariff Act of 1930, 
as amended (the Act) (19 U.S.C. 1673d). The estimated margins are shown 
in the ``Suspension of Liquidation'' section of this notice.

Scope of Investigation

    The merchandise covered by this investigation are certain carbon 
steel butt-weld pipe fittings (``pipe fittings'') having an inside 
diameter of less than fourteen inches (355 millimeters), imported in 
either finished or unfinished condition. Pipe fittings are formed or 
forged steel products used to join pipe sections in piping systems 
where conditions require permanent welded connections, as distinguished 
from fittings based on other methods of fastening (e.g., threaded, 
grooved, or bolted fittings). Butt-Weld fittings come in a variety of 
shapes which include ``elbows,'' ``tees,'' ``caps,'' and ``reducers.'' 
The edges of finished pipe fittings are beveled, so that when a fitting 
is placed against the end of a pipe (the ends of which have also been 
beveled), a shallow channel is created to accomodate the ``bead'' of 
the weld which joins the fitting to the pipe. These pipe fittings are 
currently classifiable under subheading 7307.93.3000 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 this 
proceeding is dispositive.

Period of Investigation

    The period of investigation (POI) is September 1, 1994, through 
February 28, 1994.

Case History

    Since the announcement of the preliminary determination on 
September 27, 1994, the following events have occurred.
    On October 4, 1994, we published the notice of preliminary 
determination in the Federal Register (59 FR 50560).
    On October 13, 1994, pursuant to section 353.20(b)(1) of the 
Department's regulations, the Embassy of the Republic of Korea, on 
behalf of the South Korean producers and exporters of pipe fittings, 
requested that the final determination in this case be postponed. On 
November 14, 1994, we published the postponement of final determination 
in the Federal Register (59 FR 56461).
    Petitioner was the only interested party to file a case brief in 
this investigation. Petitioner did so on January 23, 1995.

Best Information Available

    In accordance with section 776(c) of the Act, we have determined 
that the [[Page 10552]] use of best information available (BIA) is 
appropriate for Taekwang Bend Ind. Co., Inc. (Taekwang), the South 
Korean company which accounts for more than 60 percent of all exports 
of the subject merchandise to the U.S. during the POI. Because Taekwang 
did not respond to the Department's questionnaire, we find that it did 
not cooperate in this investigation.
    Our BIA methodology for uncooperative respondents is to assign the 
higher of the highest margin alleged in the petition or the highest 
rate calculated for another respondent. Accordingly, as BIA, we are 
assigning the highest margin among the margins alleged in the petition 
and subsequent amendments to the petition, adjusted for methodological 
errors as explained in the Department's initiation notice. See Final 
Determination of Sales At Less Than Fair Value: Antifriction Bearings 
(Other Than Tapered Roller Bearings) and Parts Thereof From the Federal 
Republic of Germany (54 FR 18992, 19033, May 3, 1989). The Department's 
methodology for assigning BIA has been upheld by the U.S. Court of 
Appeals of the Federal Circuit. (see Allied Signal Aerospace Co. v. 
United States, 996 F.2d 1185 (Fed. Cir. 1993)); see also Krupp Stahl, 
AG et al. v. United States, 822 F. Supp. 789 (CIT 1993)). The assigned 
BIA margin is the same margin that was assigned for the preliminary 
determination.
Suspension of Liquidation

    In accordance with section 733(d)(1) of the Act, (19 U.S.C. 
1673b(d)(1)), we are directing the U.S. Customs Service to continue to 
suspend liquidation of all entries of pipe fittings from South Korea, 
as defined in the ``Scope of Investigation'' section of this notice, 
that are entered, or withdrawn from warehouse, for consumption on or 
after the date of publication of this notice in the Federal Register. 
The Customs Service shall require a cash deposit or posting of a bond 
equal to the estimated amount by which the foreign market value of the 
subject merchandise exceeds the United States price as shown below. The 
suspension of liquidation will remain in effect until further notice.

------------------------------------------------------------------------
                                                                Weighted
                                                                average 
                Manufacturer/Producer/Exporter                   margin 
                                                                percent 
------------------------------------------------------------------------
All Companies................................................     207.89
------------------------------------------------------------------------

International Trade Commission (ITC) Notification

    In accordance with section 735(d) of the Act, we have notified the 
ITC of our determination. As our final determination is affirmative, 
the ITC will determine whether imports of the subject merchandise are 
materially injuring, or threaten material injury to, the U.S. industry 
within 45 days.
    If the ITC determines that material injury or threat of material 
injury does not exist, the proceedings will be terminated and all 
securities posted as a result of the suspension of liquidation will be 
refunded or cancelled. However, if the ITC determines that such injury 
does exist, we will issue an antidumping duty order directing Customs 
officers to assess an antidumping duty on pipe fittings from South 
Korea entered or withdrawn from warehouse, for consumption on or after 
the date of suspension of liquidation.

Notification to Interested Parties

    This notice serves as the only reminder to parties subject to 
administrative protective order (APO) in this investigation of their 
responsibility covering the return or destruction of proprietary 
information disclosed under APO in accordance with 19 CFR 353.34(d). 
Failure to comply is a violation of the APO.
    This determination is published pursuant to section 735(d) of the 
Act (19 U.S.C. 1673d(d)) and 19 CFR 353.20(a)(4).

    Dated: February 16, 1995.
Barbara R. Stafford,
Acting Assistant Secretary for Import Administration.
[FR Doc. 95-4719 Filed 2-24-95; 8:45 am]
BILLING CODE 3510-DS-P