Notice of preliminary determination in the antidumping duty investigation of certain cold-drawn mechanical tubing of carbon and alloy steel from the People s Republic of China (A-570-058)

1. On 11/22/2017, Commerce published in the Federal Register (82 FR 55574) its preliminary determination of sales at less-than-fair value, affirmative determination of critical circumstances, in part, and the postponement of the final determination in the antidumping duty investigation of certain cold-drawn mechanical tubing of carbon and alloy steel (cold-drawn mechanical tubing) from the People's Republic of China (PRC). 2. The revised scope of this investigation covers cold-drawn mechanical tubing of carbon and alloy steel (cold-drawn mechanical tubing) of circular cross-section, 304.8 mm or more in length, in actual outside diameters less than 331mm, and regardless of wall thickness, surface finish, end finish or industry specification. The subject cold-drawn mechanical tubing is a tubular product with a circular cross-sectional shape that has been cold-drawn or otherwise cold-finished after the initial tube formation in a manner that involves a change in the diameter or wall thickness of the tubing, or both. The subject cold-drawn mechanical tubing may be produced from either welded (e.g., electric resistance welded, continuous welded, etc.) or seamless (e.g., pierced, pilgered or extruded, etc.) carbon or alloy steel tubular products. It may also be heat treated after cold working. Such heat treatments may include, but are not limited to, annealing, normalizing, quenching and tempering, stress relieving or finish annealing. Typical cold-drawing methods for subject merchandise include, but are not limited to, drawing over mandrel, rod drawing, plug drawing, sink drawing and similar processes that involve reducing the outside diameter of the tubing with a die or similar device, whether or not controlling the inside diameter of the tubing with an internal support device such as a mandrel, rod, plug or similar device. Other cold-finishing operations that may be used to produce subject merchandise include cold-rolling and cold-sizing the tubing. Subject cold-drawn mechanical tubing is typically certified to meet industry specifications for cold-drawn tubing including but not limited to: (1) American Society for Testing and Materials (ASTM) or American Society of Mechanical Engineers (ASME) specifications ASTM A-512, ASTM A-513 Type 3 (ASME SA513 Type 3), ASTM A-513 Type 4 (ASME SA513 Type 4), ASTM A-513 Type 5 (ASME SA513 Type 5), ASTM A-513 Type 6 (ASME SA513 Type 6), ASTM A-519 (cold-finished); (2) SAE International (Society of Automotive Engineers) specifications SAE J524, SAE J525, SAE J2833, SAE J2614, SAE J2467, SAE J2435, SAE J2613; (3) Aerospace Material Specification (AMS) AMS T-6736 (AMS 6736), AMS 6371, AMS 5050, AMS 5075, AMS 5062, AMS 6360, AMS 6361, AMS 6362, AMS 6371, AMS 6372, AMS 6374, AMS 6381, AMS 6415; (4) United States Military Standards (MIL) MIL-T-5066 and MIL-T-6736; (5) foreign standards equivalent to one of the previously listed ASTM, ASME, SAE, AMS or MIL specifications including but not limited to: (a) German Institute for Standardization (DIN) specifications DIN 2391-2, DIN 2393-2, DIN 2394-2); (b) European Standards (EN) EN 10305-1, EN 10305-2, EN 10305-3, EN 10305-4, EN 10305-6 and European national variations on those standards (e.g., British Standard (BS EN), Irish Standard (IS EN) and German Standard (DIN EN) variations, etc.); (c) Japanese Industrial Standard (JIS) JIS G 3441 and JIS G 3445; and (6) proprietary standards that are based on one of the above-listed standards. The subject cold-drawn mechanical tubing may also be dual or multiple certified to more than one standard. Pipe that is multiple certified as cold-drawn mechanical tubing and to other specifications not covered by this scope, is also covered by the scope of this investigation when it meets the physical description set forth above. Steel products included in the scope of this investigation are products in which: (1) iron predominates, by weight, over each of the other contained elements; and (2) the carbon content is 2 percent or less by weight. For purposes of this scope, the place of cold-drawing determines the country of origin of the subject merchandise. Subject merchandise that is subject to minor working in a third country that occurs after drawing in one of the subject countries including, but not limited to, heat treatment, cutting to length, straightening, nondestruction testing, deburring or chamfering, remains within the scope of this investigation. All products that meet the written physical description are within the scope of this investigation unless specifically excluded or covered by the scope of an existing order. Merchandise that meets the physical description of cold-drawn mechanical tubing above is within the scope of the investigation even if it is also dual or multiple certified to an otherwise excluded specification listed below. The following products are outside of, and/or specifically excluded from, the scope of this investigation: (1) cold-drawn stainless steel tubing, containing 10.5 percent or more of chromium by weight and not more than 1.2 percent of carbon by weight; (2) products certified to one or more of the ASTM, ASME or American Petroleum Institute (API) specifications listed below: • ASTM A-53; • ASTM A-106; • ASTM A-179 (ASME SA 179); • ASTM A-192 (ASME SA 192); • ASTM A-209 (ASME SA 209); • ASTM A-210 (ASME SA 210); • ASTM A-213 (ASME SA 213); • ASTM A-334 (ASME SA 334); • ASTM A-423 (ASME SA 423); • ASTM A-498; • ASTM A-496 (ASME SA 496); • ASTM A-199; • ASTM A-500; • ASTM A-556; • ASTM A-565; • API 5L; and • API 5CT except that any cold-drawn tubing product certified to one of the above excluded specifications will not be excluded from the scope if it is also dual- or multiple-certified to any other specification that otherwise would fall within the scope of this investigation. The products subject to the investigation are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under item numbers: 7304.31.3000, 7304.31.6050, 7304.51.1000, 7304.51.5005, 7304.51.5060, 7306.30.5015, 7306.30.5020, 7306.50.5030. Subject merchandise may also enter under numbers 7306.30.1000 and 7306.50.1000. The HTSUS subheadings above are provided for convenience and customs purposes only. The written description of the scope of the investigation is dispositive. 3. This proceeding has been assigned case number A-570-058. 4. Because Commerce determined that critical circumstances exist for imports of cold-drawn mechanical tubing from the PRC from the exporter/producer combinations listed below, CBP shall suspend liquidation of all appropriate entries of cold-drawn mechanical tubing from the PRC that are entered, or withdrawn from warehouse, for consumption on or after 08/24/2017 which is 90 days before the date of publication of the preliminary determination in the Federal Register. Effective 08/24/2017, for entries of cold-drawn mechanical tubing from the PRC from the exporter/producer combinations listed below, CBP shall require a cash deposit equal to the following dumping margins: Exporter: PRC-Wide Entity Case number: A-570-058-000 Cash deposit rate: 186.89% Exporter: Jiangsu Hongyi Steel Pipe Co., Ltd. Producer: Jiangsu Hongyi Steel Pipe Co., Ltd/Changzhou Hongren Precision Pipe Manufacturing Co., Ltd. Case number: A-570-058-002 Cash deposit rate: 186.89% Note: The Federal Register notice inadvertently listed the wrong name of the producer. Commerce intends to issue a corrected Federal Register notice to list the producer name as Jiangsu Hongyi Steel Pipe Co., Ltd/ Changzhou Hongren Precision Pipe Manufacturing Co., Ltd. Exporter: Anji Pengda Steel Pipe Co., Ltd. Producer: Anji Pengda Steel Pipe Co., Ltd. Case number: A-570-058-003 Cash deposit rate: 61.58% Exporter: Changshu Fushilai Steel Pipe Co., Ltd. Producer: Changshu Fushilai Steel Pipe Co., Ltd. Case number: A-570-058-004 Cash deposit rate: 61.58% Exporter: Changshu Special Shaped Steel Tube Co., Ltd. Producer: Changshu Special Shaped Steel Tube Co., Ltd. Case number: A-570-058-005 Cash deposit rate: 61.58% Exporter: Suzhou Foster International Co., Ltd. Producer: Jiangsu Liwan Precision Tube Manufacturing Co., Ltd. Case number: A-570-058-006 Cash deposit rate: 61.58% Exporter: Suzhou Foster International Co., Ltd. Producer: Zhangjiagang Precision Tube Manufacturing Co., Ltd. (Zhangjiangang Tube) Case number: A-570-058-007 Cash deposit rate: 61.58% Exporter: Wuxi Huijin International Trade Co., Ltd. Producer: Wuxi Dajin High-Precision Cold-Drawn Steel Tube Co., Ltd. Case number: A-570-058-008 Cash deposit rate: 61.58% Exporter: Zhangjiagang Shengdingyuan Pipe-Making Co., Ltd. Producer: Zhangjiagang Shengdingyuan Pipe-Making Co., Ltd. Case number: A-570-058-009 Cash deposit rate: 61.58% Exporter: Zhejiang Minghe Steel Pipe Co., Ltd. Producer: Zhejiang Minghe Steel Pipe Co., Ltd. Case number: A-570-058-010 Cash deposit rate: 61.58% Exporter: Zhejiang Dingxin Steel Tube Manufacturing Co., Ltd. Producer: Zhejiang Dingxin Steel Tube Manufacturing Co., Ltd. Case number: A-570-058-011 Cash deposit rate: 61.58% 5. Commerce found that critical circumstances do not exist for imports of cold-drawn mechanical tubing from the PRC from the exporter/producer combination listed below. For imports of cold-drawn mechanical tubing from the PRC, CBP shall suspend liquidation of such entries which were entered, or withdrawn from warehouse, for consumption on or after 11/22/2017. Effective 11/22/2017, CBP shall require, for entries of cold-drawn mechanical tubing from the PRC from the exporter/producer combination listed below, a cash deposit equal to the antidumping duty cash deposit shown below: Exporter: Zhangjiagang Huacheng Import & Export Co., Ltd. Producer: Jiangsu Huacheng Industry Pipe Making Corporation/ Zhangjiagang Salem Fine Tubing Co., Ltd. Case number: A-570-058-001 Cash deposit rate: 61.57% Note: The Federal Register notice inadvertently listed the wrong name of the producer. Commerce intends to issue a corrected Federal Register notice to list the producer name as Jiangsu Huacheng Industry Pipe Making Corporation/ Zhangjiagang Salem Fine Tubing Co., Ltd. 6. For all other entries of cold-drawn mechanical tubing from the PRC, the following cash deposit instructions apply: A. For all PRC exporters of cold-drawn mechanical tubing from the PRC which have not received their own rate, the cash deposit rate will be the PRC-wide rate. B. For all non-PRC exporters of cold-drawn mechanical tubing from the PRC which have not received their own rate, the cash deposit rate will be the rate applicable to the exporter/producer combinations that supplied that non-PRC exporter. 7. If there are any questions by the importing public regarding this message, please contact the Call Center for the Office of AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce at (202) 482-0984. CBP ports should submit their inquiries through authorized CBP channels only. (This message was generated by O3:PS.) 8. There are no restrictions on the release of this information. Alexander Amdur