2023-06793. Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel From the People's Republic of China: Final Results of Expedited First Sunset Review of Antidumping Duty Order

AGENCY:

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

SUMMARY:

As a result of this sunset review, the U.S. Department of Commerce (Commerce) finds that revocation of the countervailing duty (CVD) order on certain cold-drawn mechanical tubing of carbon and alloy steel (cold-drawn mechanical tubing) from the People's Republic of China (China) would be likely to lead to continuation or recurrence of countervailable subsidies at the levels as indicated in the “Final Results of Sunset Review” section of this notice.

DATES:

Applicable April 3, 2023.

FOR FURTHER INFORMATION CONTACT:

Matthew Palmer, AD/CVD Operations, Office III, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: [phone].

SUPPLEMENTARY INFORMATION:

Background

On January 3, 2023, Commerce published the notice of initiation of the first sunset review of the Order,^[1] pursuant to section 751(c) of the Tariff Act of 1930, as amended (the Act).^[2] On January 18, 2023, ArcelorMittal Tubular Products, Michigan Seamless Tube, LLC, PTC Alliance Corp., Webco Industries, Inc., and Zekelman Industries, Inc. (collectively, domestic interested parties), timely notified Commerce of their intent to participate within the deadline specified in 19 CFR 351.218(d)(1)(i).^[3] On February 2, 2023, Commerce received a complete substantive response from the domestic interested parties within the 30-day period specified in 19 CFR 351.218(d)(3)(i).^[4] Commerce received no substantive responses from respondent interested parties. Based on the notice of intent to participate and adequate response filed by the domestic interested parties, and the lack of response from any respondent interested party, Commerce conducted an expedited sunset review of the Order, pursuant to section 751(c)(3)(B) of the Act and 19 CFR 351.218(e)(1)(ii)(C)(2).

Scope of the Order

The scope of the Order covers cold-drawn mechanical tubing of carbon and alloy steel. For a complete description of the scope, see the Issues and Decision Memorandum.^[5]

Analysis of Comments Received

A complete discussion of all issues raised in this sunset review is provided in the accompanying Issues and Decision Memorandum, which is hereby adopted by this notice. The issues discussed in the Issues and Decision Memorandum include the likelihood of continuation or recurrence of countervailable subsidies, the magnitude of the countervailable subsidies likely to prevail if the Order were revoked, and the nature of the subsidies. The Issues and 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. In addition, a complete version of the Issues and Decision Memorandum can be accessed at https://access.trade.gov/​public/​FRNoticesListLayout.aspx.

Final Results of the Sunset Review

Pursuant to sections 751(c)(1) and 752(b) of the Act, Commerce determines that revocation of the Order would be likely to lead to a continuation or recurrence of countervailable subsidies at the following rates:

Producer/exporter	Net countervailable subsidy rate (percent)
Jiangsu Hongyi Steel Pipe Co., Ltd	21.41
Zhangjiagang Huacheng Import & Export Co., Ltd	18.27
All-Others	19.84

Notification Regarding Administrative Protective Order

This notice also serves as the only reminder to parties subject to administrative protective order (APO) of their responsibility concerning the return or destruction of proprietary information disclosed under APO in accordance with 19 CFR 351.305. Timely notification of the return or destruction of APO materials or conversion to judicial protective order is hereby requested. Failure to comply with the regulations and terms of an APO is a violation which is subject to sanction.

Notification to Interested Parties

Commerce is issuing and publishing these final results and this notice in accordance with sections 751(c), 752(b), and 777(i)(1) of the Act, and 19 CFR 351.218.

Dated: March 24, 2023.

Lisa W. Wang,

Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary

II. Background

III. Scope of the Order

IV. History of the Order

V. Legal Framework

VI. Discussion of the Issues

1. Likelihood of Continuation or Recurrence of a Countervailable Subsidy

2. Net Countervailable Subsidy Likely to Prevail

3. Nature of the Subsidy

VII. Final Results of the Sunset Review

VIII. Recommendation

Footnotes

1.   See Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel from the People's Republic of China and India: Countervailing Duty Orders,83 FR 4637 (February 1, 2018) ( Order).

2.   See Initiation of Five-Year ( Sunset) Reviews,88 FR 63 (January 3, 2023).

3.   See Domestic Interested Parties' Letter, “Domestic Interested Parties' Notice of Intent to Participate,” dated January 18, 2023.

4.   See Domestic Interested Parties' Letter, “Domestic Interested Parties' Substantive Response,” dated February 2, 2023 (Substantive Response).

5.   See Memorandum, “Issues and Decision Memorandum for the Final Results of the Expedited First Sunset Review of the Countervailing Duty Order on Certain Cold-Drawn Mechanical Tubing of Carbon and Alloy Steel from the People's Republic of China,” dated concurrently with this notice (Issues and Decision Memorandum).