[Federal Register Volume 82, Number 193 (Friday, October 6, 2017)]
[Notices]
[Pages 46767-46768]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-21585]



[[Page 46767]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[C-489-817]


Oil Country Tubular Goods From the Republic of Turkey: 
Preliminary Results of Countervailing Duty Administrative Review and 
Rescission of Countervailing Duty Administrative Review, in Part

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: The Department of Commerce (the Department) is conducting an 
administrative review of the countervailing duty (CVD) order on Oil 
Country Tubular Goods (OCTG) from the Republic of Turkey (Turkey). The 
period of review (POR) is January 1, 2015, through December 31, 2015. 
The Department initiated this administrative review with respect to the 
following producers/exporters of subject merchandise: Borusan 
Mannesmann Boru Sanayi ve Ticaret A.S. and Borusan Istikbal Ticaret 
(collectively, Borusan); and Tos[ccedil]elik Profil ve Sac Endustrisi 
A.[Scedil]. and Tosyali Di[scedil] Ticaret A. [Scedil]. (collectively, 
Toscelik). We preliminarily find that Borusan received countervailable 
subsidies at de minimis levels during the POR. Additionally, as a 
result of the final and conclusive decision by the Court of Appeals for 
the Federal Circuit related to the underlying CVD investigation of OCTG 
from Turkey, which resulted in Toscelik being excluded from the CVD 
order, we are rescinding the administrative review with respect to 
Toscelik. Interested parties are invited to comment on these 
preliminary results.

DATES: Applicable October 6, 2017.

FOR FURTHER INFORMATION CONTACT: Jennifer Shore or Aimee Phelan, AD/CVD 
Operations, Office I, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW., Washington, DC 20230; telephone: (202) 482-2778 or (202) 482-0697, 
respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On September 8, 2016, the Department published a notice of 
opportunity to request an administrative review of the CVD order on 
OCTG from Turkey for the period January 1, 2015, through December 31, 
2015.\1\ On September 30, 2016, the Department received review requests 
from Borusan and Toscelik.\2\ On November 9, 2016, the Department 
published a notice of initiation of administrative review for this CVD 
order.\3\ On May 17, 2017, the Department postponed the deadline for 
issuing the preliminary results of this administrative review until 
October 2, 2017.\4\ On September 27, 2017, the Department amended the 
CVD order on OCTG from Turkey to exclude Toscelik.\5\
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    \1\ See Antidumping or Countervailing Duty Order, Finding, or 
Suspended Investigation; Opportunity To Request Administrative 
Review, 81 FR 62096 (September 8, 2016).
    \2\ See Letter from Borusan, ``Oil Country Tubular Goods from 
the Turkey, Case No. C-489-817: Request for Countervailing Duty 
Administrative Review,'' dated September 30, 2016; and Letter from 
Toscelik, ``OCTG from Turkey; Tos[ccedil]elik request for 
administrative review,'' dated September 30, 2016.
    \3\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 81 FR 78778 (November 9, 2016).
    \4\ See Department Memorandum, Extension of Deadline of 
Preliminary Results, dated May 17, 2017.
    \5\ See Oil Country Tubular Goods from the Republic of Turkey: 
Amendment of Countervailing Duty Order, signed on September 27, 2017 
(OCTG Amended Order).
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Scope of the Order

    The merchandise covered by the order is certain OCTG, which are 
hollow steel products of circular cross-section, including oil well 
casing and tubing, of iron (other than cast iron) or steel (both carbon 
and alloy), whether seamless or welded, regardless of end finish (e.g., 
whether or not plain end, threaded, or threaded and coupled) whether or 
not conforming to American Petroleum Institute (API) or non-API 
specifications, whether finished (including limited service OCTG 
products) or unfinished (including green tubes and limited service OCTG 
products), whether or not thread protectors are attached. The scope of 
the order also covers OCTG coupling stock. A full description of the 
scope of the Order is contained in the Preliminary Decision Memorandum, 
which is hereby adopted by this notice.\6\
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    \6\ See Memorandum, ``Decision Memorandum for the Preliminary 
Results of 2015 Countervailing Duty Administrative Review and 
Partial Rescission: Oil Country Tubular Goods from the Republic of 
Turkey,'' dated concurrently with this notice (Preliminary Decision 
Memorandum).
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Methodology

    We are conducting this administrative review in accordance with 
section 751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). 
For each of the subsidy programs found to be countervailable, we 
preliminarily find 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\ For a full description 
of the methodology underlying our conclusions, see the Preliminary 
Decision Memorandum. 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 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 on the 
internet at http://enforcement.trade.gov/frn/. The signed Preliminary 
Decision Memorandum and the electronic version of the Preliminary 
Decision Memorandum are identical in content. A list of topics 
discussed in the Preliminary Decision Memorandum is provided in the 
Appendix to this notice.
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    \7\ See 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.
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Partial Rescission of Administrative Review

    As stated above, the Department initiated an administrative review 
of Toscelik for the period January 1, 2015 through December 31, 
2015.\8\ However, subsequent to the final and conclusive decision by 
the Court of Appeals for the Federal Circuit related to the underlying 
CVD investigation of OCTG from Turkey,\9\ Toscelik was excluded from 
the CVD order. On September 27, 2017, the Department amended the CVD 
order on OCTG from Turkey to exclude Toscelik.\10\ Accordingly, we are 
rescinding this administrative review with respect to Toscelik.
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    \8\ The Department determined that Toscelik Profil ve Sac 
Endustrisi A.S. and Tosyali Dis Ticaret A.S. are cross-owned. See 
OCTG Amended Order.
    \9\ See Maverick Tube Corporation v. United States, 857 F.3d 
1353 (Fed. Cir. 2017).
    \10\ See OCTG Amended Order.
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Preliminary Results of the Review

    We preliminarily find that the following net countervailable 
subsidy rate for the mandatory respondent, Borusan, for the period 
January 1, 2015 through December 31, 2015:
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    \11\ The Department has determined that Borusan Mannesmann Boru 
Sanayi ve Ticaret A.S. and Borusan Istikbal Ticaret are cross-owned. 
See Preliminary Decision Memorandum.

[[Page 46768]]



------------------------------------------------------------------------
                                                         Subsidy rate ad
                        Company                              valorem
                                                            (percent)
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Borusan Mannesmann Boru Sanayi ve Ticaret A.S., and               *0.48
 Borusan Istikbal Ticaret \11\.........................
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* De Minimis.

Assessment Rates

    Consistent with section 751(a)(1) of the Act and 19 CFR 
351.212(b)(2), upon issuance of the final results, the Department will 
determine, and U.S. Customs and Border Protection (CBP) shall assess, 
countervailing duties on all appropriate entries covered by this 
review. We intend to issue instructions to CBP 15 days after 
publication of the final results of this review.
    As a result of Toscelik's exclusion from the CVD order on OCTG from 
Turkey, the Department will instruct CBP to terminate the suspension of 
liquidation of entries of subject merchandise where Toscelik acted as 
both the producer and exporter during the period January 1, 2015, 
through December 31, 2015, and to liquidate, without regard to 
countervailing duties, all entries of OCTG produced and exported by 
Toscelik currently suspended. Entries of subject merchandise exported 
to the United States by any other producer and exporter combination 
involving Toscelik are not entitled to this exclusion from suspension 
of liquidation and are subject to the cash deposit rate for the ``all 
others'' entity. The Department intends to issue appropriate assessment 
instructions directly to CBP 15 days after publication of this notice 
in the Federal Register.

Cash Deposit Requirements

    In accordance with section 751(a)(2)(C) of the Act, the Department 
intends to instruct CBP to collect cash deposits of estimated 
countervailing duties in the amount shown above for Borusan, should the 
final results of this administrative review remain the same as these 
preliminary results; if the rate is zero or de minimis, then zero cash 
deposit will be required. For all non-reviewed firms, we will instruct 
CBP to continue to collect cash deposits at the most recent company 
specific or all-others rate applicable to the company. These cash 
deposit requirements, when imposed, shall remain in effect until 
further notice.

Disclosure and Public Comment

    We will disclose to parties in this review the calculations 
performed in reaching the preliminary results within five days of 
publication of these preliminary results.\12\ Interested parties may 
submit written comments (case briefs) on the preliminary results no 
later than 30 days from the date of publication of this Federal 
Register notice, and rebuttal comments (rebuttal briefs) within five 
days after the time limit for filing case briefs.\13\ Pursuant to 19 
CFR 351.309(d)(2), rebuttal briefs must be limited to issues raised in 
the case briefs. Parties who submit arguments are requested to submit 
with the argument: (1) A statement of the issue; (2) a brief summary of 
the argument; and (3) a table of authorities.\14\
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    \12\ See 19 CFR 351.224(b).
    \13\ See 19 CFR 351.309(c)(1)(ii); 351.309(d)(1); and 19 CFR 
351.303 (for general filing requirements).
    \14\ See 19 CFR 351.309(c)(2) and (d)(2).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, filed electronically via 
ACCESS by 5 p.m. Eastern Time within 30 days after the date of 
publication of this notice.\15\ Hearing requests should contain: (1) 
The party's name, address, and telephone number; (2) the number of 
participants; and (3) a list of the issues to be discussed. Issues 
addressed at the hearing will be limited to those raised in the briefs. 
If a request for a hearing is made, parties will be notified of the 
date and time for the hearing to be held at the U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.\16\ The 
Department intends to issue the final results of this administrative 
review, including the results of our analysis of the issues raised by 
the parties in their comments, no later than 120 days after the date of 
publication of this notice, pursuant to section 751(a)(3)(A) of the Act 
and 19 CFR 351.213(h), unless this deadline is extended.
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    \15\ See 19 CFR 351.310(c).
    \16\ See 19 CFR 351.310(d).
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    These preliminary results and notice are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 
351.221(b)(4).

    Dated: October 2, 2017.
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

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Rescission of the 2015 Administrative Review, in Part
V. Subsidies Valuation Information
VI. Analysis of Programs
VII. Recommendation

[FR Doc. 2017-21585 Filed 10-5-17; 8:45 am]
 BILLING CODE 3510-DS-P