India Large Diameter Line Pipe: Details of AD/CV Duty Orders, Amended Scope

The orders set permanent antidumping and countervailing duties, which will remain in place unless revoked by Commerce in a sunset or changed circumstances review. Commerce will now begin conducting annual administrative reviews, if requested, to determine final assessments of AD/CV duties on importers and make changes to cash deposit rates.

The order details a "gap period" of no CV duty liability for subject merchandise entered Oct. 26, 2018, through Feb. 4, 2019, and of no AD duty liability for subject merchandise entered Dec. 25, 2018, through Feb. 4, 2019. Commerce may only suspend liquidation for a four-month period after its preliminary CV duty determination, issued June 29, 2018, and for four months after its preliminary AD duty determination (extendable to six months but unextended in this case), issued Aug. 27, 2018. Commerce has ordered CBP to liquidate, without regard to AD or CV duties, any entries during these respective gap periods. Subject merchandise entered during the CV duty gap period but outside the AD duty gap period (i.e., Oct. 26, 2018, through Dec. 24, 2018) will only be assessed AD duties.

Commerce is also issuing AD/CV duty orders on China resulting from its AD/CVD investigations on large diameter welded pipe. As a result of the ITC's split decision in its final injury determination, the AD duty order on China covers line and structural pipe, while the CV duty order on China only covers structural pipe (see 1903070019 and 1903070022). Investigations on large diameter welded pipe from Canada, Greece, South Korea and Turkey are ongoing.

Cash Deposits Refunded for Structural, Stainless Steel Pipe

In its final injury determination, the ITC found only injury to U.S. producers from imports of dumped and illegally subsidized Indian large diameter welded carbon and alloy steel line pipe. Conversely, it found no injury to U.S. producers caused by imports of dumped and illegally subsidized structural or stainless steel pipe from India. As a result, these AD/CV duty orders do not apply to the large diameter structural and stainless steel pipe that was also originally subject to these investigations. Commerce will terminate suspension of liquidation of any entries of structural or stainless steel pipe, and refund any cash deposits collected on entries as a result of these AD/CV duty investigations.

The revised scope of these AD/CV duty orders covering online line pipe is as follows:

The merchandise covered by this order is welded carbon and alloy steel line pipe (other than stainless steel pipe), more than 406.4 mm (16 inches) in nominal outside diameter (large diameter welded line 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.

Large diameter welded line pipe is used to transport oil, gas, or natural gas liquids and is normally produced to the American Petroleum Institute (API) specification 5L. Large diameter welded line 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 line pipe meeting the physical description set forth above, including any dual- or multiple-certified/stenciled pipe with an API (or comparable) welded line pipe certification/stencil, is covered by the scope of this order.

Subject merchandise also includes large diameter welded line 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 order if performed in the country of manufacture of the in-scope large diameter welded line pipe.

Excluded from the scope of this order is structural pipe, which is produced only to American Society for Testing and Materials (ASTM) standards A500, A252 or A53, or other relevant domestic specifications, or comparable foreign specifications, grades and/or standards or to proprietary specifications, grades and/or standards. Also excluded is large diameter welded pipe produced only to specifications of the American Water Works Association (AWWA) for water and sewage pipe.

The large diameter welded line pipe that is subject to this order 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 and 7305.19.5000. Merchandise currently classifiable under subheadings 7305.31.4000, 7305.31.6090, 7305.39.1000 and 7305.39.5000, and that otherwise meets the above scope language, is also covered. While the HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope of this order is dispositive.

AD/CV Suspension of Liq Instructions

Suspension of liquidation resumes for all entries of subject merchandise entered on or after Feb. 5, the date that the final ITC affirmative injury determination was published.

CV Cash Deposit Instructions

Commerce will require importers to pay CV duty cash deposits for all entries on or after Feb. 5 at the following rates:

AD Cash Deposit Instructions

An AD cash deposit requirement is also in effect for subject merchandise entered on or after Feb. 5, equal to the rates listed below:

*As adjusted for export subsidies found in Commerce's concurrent CV duty investigation.

(See the notice for additional details, including the full scope description, etc. See 1811130015 for a summary of the final AD duty determination, and 1811130016 for a summary of the final CV duty determination.)

(Federal Register 03/06/19)