[Federal Register Volume 59, Number 209 (Monday, October 31, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-26887]
[[Page Unknown]]
[Federal Register: October 31, 1994]
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DEPARTMENT OF COMMERCE
International Trade Administration
A-588-602
Certain Carbon Steel Butt-Weld Pipe Fittings From Japan;
Initiation of Anti-Circumvention Inquiry on Antidumping Duty Order
AGENCY: International Trade Administration/Import Administration,
Department of Commerce.
ACTION: Notice of initiation of anti-circumvention inquiry.
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SUMMARY: On the basis of a petition filed with the Department of
Commerce, we are initiating an anti-circumvention inquiry to determine
whether producers of carbon steel butt-weld pipe fittings from Japan
are circumventing the antidumping duty order on carbon steel butt-weld
pipe fittings.
Effective Date: October 31, 1994.
FOR FURTHER INFORMATION CONTACT: Donald Little or Maureen Flannery,
Office of Antidumping Compliance, International Trade Administration,
U.S. Department of Commerce, 14th Street and Constitution Avenue, N.W.,
Washington, D.C. 20230; telephone: (202) 482-4733.
SUPPLEMENTARY INFORMATION:
Background
On March 22, 1994, the Department of Commerce (the Department)
received a petition filed by the U.S. Fittings Group (the petitioner)
requesting that the Department conduct an anti-circumvention inquiry on
the antidumping duty order on Certain Carbon Steel Butt-Weld Pipe
Fittings from Japan (52 FR 4167 (February 10, 1987)). The U.S. Fittings
Group is an ad hoc trade association of domestic producers of carbon
steel butt-weld pipe fittings (pipe fittings) whose members currently
consist of Hackney, Inc., Ladish Co., Mill Iron Works, Inc., and Tube
Forgings of America, Inc.
Petitioner alleges that unfinished pipe fittings from Japan are
being finished in Thailand by Awaji Sangyo (Thailand) Co. (AST), and
thereafter imported into the United States free of any antidumping
duties. Petitioner asserts that all the elements necessary for an
affirmative determination under Section 781(b) of the Tariff Act of
1930, as amended, (the Tariff Act) are present.
The Department received a letter from AST on March 31, 1994,
stating that petitioner's request should be denied because unfinished
pipe fittings from Japan, as imported by AST, are not included in the
scope of the Japanese order.
Initiation of Anti-Circumvention Proceeding
Section 781(b) of the Tariff Act allows the Department to include
merchandise within the scope of an existing order if the following
conditions are met: (1) The merchandise entering the United States must
be of the same class or kind as the merchandise subject to the
antidumping duty order; (2) prior to importation into the United
States, the merchandise must be completed or assembled in a third
country from subject merchandise or merchandise produced in the country
subject to the order; and (3) the difference in value of the imported
merchandise and the value of such merchandise completed or assembled in
a third country must be ``small.''
Our analysis of petitioner's submission according to the above
criteria leads us to conclude that: (1) there is evidence that the
merchandise entered into the United States is of the same class or kind
as that covered by the Japanese order; (2) there is public evidence
that AST imported unfinished pipe fittings from Japan, performed
finishing operations, and then exported these finished pipe fittings to
the United States; and (3) the difference in value between the imported
finished pipe fittings and the unfinished Japanese pipe fittings
finished by AST is most likely ``small.'' In addition to the criteria
discussed above, the statute also lists other factors to consider in
determining whether to include such merchandise in the antidumping duty
order. These are: (1) The pattern of trade; (2) whether a relationship
exists between the manufacturer or exporter and the third-country
assembler of the product; and (3) whether imports into the foreign
country of the product have increased after the issuance of the order.
Our analysis of the information in the petitioner's submission leads us
to conclude that: (1) U.S. import statistics evidence a shift in the
pattern of trade subsequent to the Japanese order; (2) there is no
relationship between the manufacturer or exporter and the third-country
assembler; and (3) the data with respect to any increase of imports
into the foreign country are inconclusive. For further analysis, see
Memorandum from Joseph A. Spetrini to Susan G. Esserman, dated October
21, 1994. Based on this information, we are initiating an anti-
circumvention inquiry on carbon steel butt-weld pipe fittings from
Japan, case number A-588-602.
The Department will not suspend liquidation at this time. However,
the Department will instruct the U.S. Customs Service to suspend
liquidation in the event of an affirmative preliminary determination of
circumvention.
This notice is published in accordance with section 781(b) of the
Tariff Act (19 U.S.C. 1677j(b)) and 19 CFR 353.29.
Dated: October 21, 1994.
Susan G. Esserman,
Assistant Secretary for Import Administration.
[FR Doc. 94-26887 Filed 10-28-94; 8:45 am]
BILLING CODE 3510-DS-P
