Large Diameter Welded Pipe: New AD/CVD Investigations Deadlines & Scope
The Commerce Department issued Federal Register notices on its recently initiated antidumping duty investigations on large diameter welded pipe from Canada (A-122-863), Greece (A-484-803), China (A-570-077), India (A-533-881), South Korea (A-580-897) and Turkey (A-489-833), and its recently initiated countervailing duty investigations on large diameter welded pipe from China (C-570-078), India (C-533-882), South Korea (C-580-898) and Turkey (C-489-834).
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The International Trade Commission will conduct a concurrent investigation to determine whether imports of dumped and illegally subsidized large diameter welded pipe are injuring U.S. industry. If the ITC finds no injury in its preliminary injury determination, due March 5, the investigations will immediately end. If Commerce finds dumping or illegal subsidization in the preliminary determinations of these investigations, currently due in April for CV duties and June for AD duties, it will set AD and/or CV duty cash deposit requirements for imports of merchandise subject to the investigation. If both Commerce and the ITC reach affirmative final determinations, Commerce will issue an AD and/or CV duty order making duties permanent and beginning a process of annual administrative reviews to set final assessments of AD/CV duties on importers and potentially change AD/CV duty cash deposit rates.
If duties are imposed, Chinese producers and exporters who do not demonstrate independence from government control and request eligibility for a "separate rate" will be assigned the "China-wide rate," which can exceed 200% for some products. Separate rate applications from Chinese producers and exporters are due on or about March 22.
AD/CVD Respondent Selection
Commerce said it will pick respondents for all of its AD/CV investigations, except the AD duty investigations on China and Greece, based on CBP import data. For the AD duty investigation on Greece, Commerce intends to investigate the only known Greek exporter, Corinth Pipeworks S.A. For its AD duty investigation on China, Commerce will send quantity and value questionnaires to each potential respondent to the AD duty investigation, and will base respondent selection on the responses it receives. Chinese exporters that don't get a quantity and value questionnaire can still submit one. Quantity and value questionnaires for China will be available on the Commerce website. Responses are due Feb. 23.
Scope of the AD/CVD Investigations
The merchandise covered by these investigations is welded carbon and alloy steel pipe, more than 406.4 mm (16 inches) in nominal outside diameter (large diameter welded pipe), regardless of wall thickness, length, surface finish, grade, end finish, or stenciling. Large diameter welded pipe may be used to transport oil, gas, slurry, steam, or other fluids, liquids, or gases. It may also be used for structural purposes, including, but not limited to, piling. Specifically not included is large diameter welded pipe produced only to specifications of the American Water Works Association (AWWA) for water and sewage pipe.
Large diameter welded pipe used to transport oil, gas or natural gas liquids is normally produced to the American Petroleum Institute (API) specification 5L. Large diameter welded pipe may also be produced to American Society for Testing and Materials (ASTM) standards A500, A252 or A53, or other relevant domestic specifications, grades and/or standards. Large diameter welded pipe can be produced to comparable foreign specifications, grades and/or standards or to proprietary specifications, grades and/or standards, or can be non-graded material. All pipe meeting the physical description set forth above is covered by the scope of these investigations, whether or not produced according to a particular standard.
Subject merchandise also includes large diameter welded pipe that has been further processed in a third country, including but not limited to coating, painting, notching, beveling, cutting, punching, welding, or any other processing that would not otherwise remove the merchandise from the scope of the investigations if performed in the country of manufacture of the in-scope large diameter welded pipe.
Excluded from the scope are any products covered by the existing antidumping duty orders on welded line pipe from the Republic of Korea, welded line pipe from the Republic of Turkey, and welded ASTM A-312 stainless steel pipe from Korea, as well as any products covered by the existing countervailing duty order on welded line pipe from Turkey. See Welded Line Pipe from the Republic of Korea and the Republic of Turkey: Antidumping Duty Orders, 80 FR 75056 (December 1, 2015); Welded ASTM A-312 Stainless Steel Pipe from South Korea: Antidumping Duty Order, 57 FR 62300 (December 30, 1992); and Welded Line Pipe from the Republic of Turkey: Countervailing Duty Order, 80 FR 75054 (December 1, 2015).
The large diameter welded pipe that is subject to these investigations is currently classifiable in the Harmonized Tariff Schedule of the United States (HTSUS) under subheadings 7305.11.1030, 7305.11.1060, 7305.11.5000, 7305.12.1030, 7305.12.1060, 7305.12.5000, 7305.19.1030, 7305.19.1060, 7305.19.5000, 7305.31.4000, 7305.31.6010, 7305.31.6090, 7305.39.1000 and 7305.39.5000. While the HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope of these investigations is dispositive.
Comments on Scope Due March 1
Participants in the AD/CVD investigations may submit comments on product coverage under the scope of the investigations. Comments on the scope are due by March 1
Investigations Timetable
Event | CV Duty | AD Duty |
---|---|---|
Petitions filed | 01/17/18 | 01/17/18 |
DOC initiation date | 02/09/18 | 02/09/18 |
ITC prelim determinations* | 03/05/18 | 03/05/18 |
DOC prelim determinations† | 04/16/18 | 06/29/18 |
DOC final determinations† | 07/02/18 | 09/12/18 |
ITC final determinations‡ | 08/13/18 | 10/29/18 |
Issuance of orders+ | 08/20/18 | 11/05/18 |
*If the ITC makes a negative determination of injury, the investigations are terminated.
†These deadlines may be extended under the governing statute.
‡This will take place only in the event of Commerce Department final affirmative determinations.
+This will take place only in the event of Commerce and ITC final affirmative determinations.
(See 1706010045 for a summary of the Commerce Department's receipt of the petition underlying the initiation of this investigation.)
The AD duty initiation notice is (here).
The CV duty initiation notice is (here).
The Commerce Department fact sheet on the initiation of these investigations is (here).
(Federal Register 02/20/18)