Forged Steel Fluid End Blocks From the Federal Republic of Germany, India, Italy and the People's Republic of China: Initiation of Countervailing Duty Investigations
| Published date | 15 January 2020 |
| Citation | 85 FR 2385 |
| Record Number | 2020-00490 |
| Section | Notices |
| Court | International Trade Administration |
Federal Register, Volume 85 Issue 10 (Wednesday, January 15, 2020)
[Federal Register Volume 85, Number 10 (Wednesday, January 15, 2020)]
[Notices]
[Pages 2385-2390]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-00490]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-428-848, C-533-894, C-475-841, C-570-116]
Forged Steel Fluid End Blocks From the Federal Republic of
Germany, India, Italy and the People's Republic of China: Initiation of
Countervailing Duty Investigations
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Applicable January 8, 2020.
FOR FURTHER INFORMATION CONTACT: Robert Palmer at (202) 482-9068
(Germany), Ethan Talbot at (202) 482-1030 (India and Italy), and Janae
Martin at (202) 482-0238 (China), AD/CVD Operations, Enforcement and
Compliance, International Trade Administration, U.S. Department of
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
The Petitions
On December 19, 2019, the U.S. Department of Commerce (Commerce)
received countervailing duty (CVD) petitions concerning imports of
forged steel fluid end blocks (fluid end blocks) from the Federal
Republic of Germany (Germany), India, Italy and the People's Republic
of China (China), filed in proper form on behalf of the FEB Fair Trade
Coalition, Ellwood Group,\1\ and Finkl Steel \2\ (collectively, the
petitioners), domestic producers of fluid end blocks.\3\ The Petitions
were accompanied by antidumping duty (AD) petitions concerning imports
of fluid end blocks from Germany, India and Italy.\4\
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\1\ Ellwood City Forge Company, Ellwood Quality Steels Company,
and Ellwood National Steel Company (collectively, the Ellwood
Group).
\2\ A. Finkl & Sons (Finkl Steel).
\3\ See Petitioners' Letter, ``Petitions for the Imposition of
Antidumping and Countervailing Duties: Forged Steel Fluid End Blocks
from China, Germany, India, and Italy,'' dated December 19, 2019
(the Petitions).
\4\ Id.
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On December 23, 2019 and January 2, 2020, Commerce requested
supplemental information pertaining to certain aspects of the Petitions
in separate supplemental questionnaires.\5\
[[Page 2386]]
The petitioners filed responses to the supplemental questionnaires on
December 30, 2019 through January 6, 2020.\6\ On January 6 and 7, 2020,
the Governments of India and Italy, respectively, filed comments
regarding the programs alleged in the Petitions.\7\
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\5\ See Commerce's Letters, ``Petitions for the Imposition of
Antidumping Duties on Imports of Forged Steel Fluid End Blocks from
the Federal Republic of Germany, India, and Italy and Countervailing
Duties on Imports from the People's Republic of China, the Federal
Republic of Germany, India, and Italy: Supplemental Questions,''
(General Issues Supplemental); ``Petition for the Imposition of
Countervailing Duties on Imports of Forged Steel Fluid End Blocks
from the People's Republic of China: Supplemental Questions;''
``Petition for the Imposition of Countervailing Duties on Imports of
Forged Steel Fluid End Blocks from the Federal Republic of Germany:
Supplemental Questions;'' ``Petition for the Imposition of
Countervailing Duties on Imports of Forged Steel Fluid End Blocks
from India: Supplemental Questions;'' and ``Petition for the
Imposition of Countervailing Duties on Imports of Forged Steel Fluid
End Blocks from Italy: Supplemental Questions,'' all dated December
23, 2019; see also Memorandum, ``Phone Call with Counsel to the
Petitioners,'' dated January 2, 2020 (Phone Memo).
\6\ See Petitioners' Letters, ``Fluid End Blocks from China,
Germany, India and Italy: Amendment of Petitions and Response to
Commerce's Supplemental Questions,'' dated December 30, 2019
(Petition Supplement); ``Fluid End Blocks from China, Germany, India
and Italy: Second Amendment of Petitions,'' dated January 3, 2020;
and ``Fluid End Blocks from China, Germany, India and Italy: Third
Amendment of Petitions,'' dated January 6, 2020.
\7\ See the Government of Italy's Letter dated January 7, 2020;
see also the Government of India's Letter, ``Pre-Initiation
Consultation Note on the Petition for Initiation of Countervailing
Duty Investigation on Forged Steel Fluid End Blocks from India,''
dated January 6, 2020.
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In accordance with section 702(b)(1) of the Tariff Act of 1930, as
amended (the Act), the petitioners allege that the Governments of
Germany, India, Italy and China are providing countervailable
subsidies, within the meaning of sections 701 and 771(5) of the Act, to
producers of fluid end blocks in Germany, India, Italy, and China, and
that imports of such products are materially injuring, or threatening
material injury to, the domestic fluid end blocks industry in the
United States. Consistent with section 702(b)(1) of the Act and 19 CFR
351.202(b), for those alleged programs on which we are initiating CVD
investigations, the Petitions are accompanied by information reasonably
available to the petitioners supporting their allegations.
Commerce finds that the petitioners filed the Petitions on behalf
of the domestic industry, because the petitioners are interested
parties, as defined in sections 771(9)(C) and (F) of the Act. Commerce
also finds that the petitioners demonstrated sufficient industry
support necessary for the initiation of the requested CVD
investigations.\8\
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\8\ See infra, section on ``Determination of Industry Support
for the Petition.''
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Periods of Investigation
Because the Petitions were filed on December 19, 2019, the periods
of investigation (POI) are January 1, 2018 through December 31, 2018,
or the most recently completed fiscal year for the foreign governments
and all of the companies under investigation, provided the foreign
governments and the companies have the same fiscal year.
Scope of the Investigations
The products covered by these investigations are fluid end blocks
from Germany, India, Italy and China. For a full description of the
scope of these investigations, see the Appendix to this notice.
Comments on the Scope of the Investigations
During our review of the Petitions, we contacted the petitioners
regarding the proposed scope to ensure that the scope language in the
Petitions is an accurate reflection of the products for which the
domestic industry is seeking relief.\9\ As a result, the scope of the
Petitions was modified to clarify the description of the merchandise
covered by the Petitions.\10\ The description of the merchandise
covered by these investigations, as described in the Appendix to this
notice, reflects these clarifications.
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\9\ See General Issues Supplemental.
\10\ See Petition Supplement.
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As discussed in the Preamble to Commerce's regulations, we are
setting aside a period for interested parties to raise issues regarding
product coverage (scope).\11\ Commerce will consider all comments
received from interested parties and, if necessary, will consult with
interested parties prior to the issuance of the preliminary
determinations. If scope comments include factual information,\12\ all
such factual information should be limited to public information. To
facilitate preparation of its questionnaires, Commerce requests that
all interested parties submit such comments by 5:00 p.m. Eastern Time
(ET) on January 28, 2020, which is 20 calendar days from the signature
date of this notice. Any rebuttal comments, which may include factual
information, must be filed by 5:00 p.m. ET on February 7, 2020, which
is 10 calendar days from the initial comment deadline.\13\
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\11\ See Antidumping Duties; Countervailing Duties; Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\12\ See 19 CFR 351.102(b) (21) (defining ``factual
information'').
\13\ See 19 CFR 351.303(b).
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Commerce requests that any factual information parties consider
relevant to the scope of the investigations be submitted during this
period. However, if a party subsequently finds that additional factual
information pertaining to the scope of the investigations may be
relevant, the party may contact Commerce and request permission to
submit the additional information. All such submissions must be filed
on the records of the concurrent AD and CVD investigations.
Filing Requirements
All submissions to Commerce must be filed electronically via
Enforcement and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS).\14\ An electronically
filed document must be received successfully in its entirety by the
time and date it is due. Documents exempted from the electronic
submission requirements must be filed manually (i.e., in paper form)
with Enforcement and Compliance's APO/Dockets Unit, Room 18022, U.S.
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC
20230, and stamped with the date and time of receipt by the applicable
deadlines.
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\14\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and
Compliance: Change of Electronic Filing System Name, 79 FR 69046
(November 20, 2014) for details of Commerce's electronic filing
requirements, which went into effect on August 5, 2011. Information
on help using ACCESS can be found at https://access.trade.gov/help.aspx, and a handbook can be found at https://access.trade.gov/help/Handbook%20on%20Electronic%20Filling%20Procedures.pdf.
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Consultations
Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce
notified representatives of the Governments of Germany, India, Italy
and China of the receipt of the Petitions and provided them the
opportunity for consultations with respect to the Petitions.\15\
Consultations were held with the Government of India on January 6,
2020, and with the Governments of Germany and Italy on January 8,
2020.\16\ The
[[Page 2387]]
Government of China did not request consultations.
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\15\ See Commerce's Letters, ``Countervailing Duty Petition on
Forged Steel Fluid End Blocks from the People's Republic of China:
Invitation for Consultations'' and ``Countervailing Duty Petition on
Forged Steel Fluid End Blocks from the Federal Republic of Germany:
Invitation for Consultations,'' both dated December 19, 2019; see
also ``Countervailable Duty Petition on Forged Steel Fluid End
Blocks from Italy: Invitations for Consultations to Discuss the
Countervailing Duty Petition'' and ``Countervailable Duty Petition
on Forged Steel Fluid End Blocks from India: Invitations for
Consultations to Discuss the Countervailing Duty Petition,'' both
dated December 20, 2019.
\16\ See Memoranda, ``Consultations with Government Officials
from India on the Countervailing Duty Petition on Forged Steel Fluid
End Blocks from India,'' dated January 6, 2020, ``Consultations with
Government Officials from the Federal Republic of Germany and the
European Union on the Countervailing Duty Petition on Forged Steel
Fluid End Blocks from the Federal Republic of Germany,'' dated
January 8, 2020, and ``Consultations with Government Officials from
Italy and the European Union on the Countervailing Duty Petition on
Forged Steel Fluid End Blocks from Italy,'' dated January 8, 2020.
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Determination of Industry Support for the Petitions
Section 702(b)(1) of the Act requires that a petition be filed on
behalf of the domestic industry. Section 702(c)(4)(A) of the Act
provides that a petition meets this requirement if the domestic
producers or workers who support the petition account for: (i) At least
25 percent of the total production of the domestic like product; and
(ii) more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of
the Act provides that, if the petition does not establish support of
domestic producers or workers accounting for more than 50 percent of
the total production of the domestic like product, Commerce shall: (i)
Poll the industry or rely on other information in order to determine if
there is support for the petition, as required by subparagraph (A); or
(ii) determine industry support using a statistically valid sampling
method to poll the ``industry.''
Section 771(4)(A) of the Act defines the ``industry'' as the
producers, as a whole, of a domestic like product. Thus, to determine
whether a petition has the requisite industry support, the statute
directs Commerce to look to producers and workers who produce the
domestic like product. The International Trade Commission (ITC), which
is responsible for determining whether ``the domestic industry'' has
been injured, must also determine what constitutes a domestic like
product in order to define the industry. While both Commerce and the
ITC must apply the same statutory definition regarding the domestic
like product,\17\ they do so for different purposes and pursuant to a
separate and distinct authority. In addition, Commerce's determination
is subject to limitations of time and information. Although this may
result in different definitions of the like product, such differences
do not render the decision of either agency contrary to law.\18\
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\17\ See section 771(10) of the Act.
\18\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F.
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
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Section 771(10) of the Act defines the domestic like product as ``a
product which is like, or in the absence of like, most similar in
characteristics and uses with, the article subject to an investigation
under this title.'' Thus, the reference point from which the domestic
like product analysis begins is ``the article subject to an
investigation'' (i.e., the class or kind of merchandise to be
investigated, which normally will be the scope as defined in the
petition).
With regard to the domestic like product, the petitioners do not
offer a definition of the domestic like product distinct from the scope
of the investigations.\19\ Based on our analysis of the information
submitted on the record, we have determined that fluid end blocks, as
defined in the scope, constitute a single domestic like product, and we
have analyzed industry support in terms of that domestic like
product.\20\
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\19\ See Volume I of the Petitions, at 26-28; see also Petition
Supplement, at 5-7.
\20\ For a discussion of the domestic like product analysis as
applied to these cases and information regarding industry support,
see Countervailing Duty Investigation Initiation Checklist: Forged
Steel Fluid End Blocks from the People's Republic of China (China
CVD Initiation Checklist), at Attachment II, Analysis of Industry
Support for the Antidumping and Countervailing Duty Petitions
Covering Forged Steel Fluid End Blocks the People's Republic of
China, the Federal Republic of Germany, India, and Italy (Attachment
II); see also Countervailing Duty Investigation Initiation
Checklist: Forged Steel Fluid End Blocks from the Federal Republic
of Germany (Germany CVD Initiation Checklist), at Attachment II;
Countervailing Duty Investigation Initiation Checklist: Forged Steel
Fluid End Blocks from India (India CVD Initiation Checklist), at
Attachment II; and Countervailing Duty Investigation Initiation
Checklist: Forged Steel Fluid End Blocks from Italy (Italy CVD
Initiation Checklist), at Attachment II. These checklists are dated
concurrently with this notice and on file electronically via ACCESS.
Access to documents filed via ACCESS is also available in the
Central Records Unit, Room B8024 of the main Department of Commerce
building.
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In determining whether the petitioners have standing under section
702(c)(4)(A) of the Act, we considered the industry support data
contained in the Petitions with reference to the domestic like product
as defined in the ``Scope of the Investigations,'' in the Appendix to
this notice. To establish industry support, the petitioners provided
the 2018 production of the domestic like product for the U.S. producers
that support the Petitions.\21\ The petitioners estimated the
production of the domestic like product for the entire domestic
industry based on shipment/sales data, because shipments/sales and
production of fluid end blocks correlate with one another and
shipments/sales are a reasonable proxy for production in the fluid end
blocks industry.\22\ The petitioners compared the production of the
companies supporting the Petitions to the estimated total shipments/
sales of the domestic like product for the entire domestic
industry.\23\ We relied on data provided by the petitioners for
purposes of measuring industry support.\24\
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\21\ See Volume I of the Petitions, at 4-5 and Exhibit GEN-7.
\22\ See Volume I of the Petitions, at 4-5 and Exhibits GEN-1
and GEN-2; see also Petition Supplement, at 8.
\23\ See Volume I of the Petitions, at 4-5 and Exhibits GEN-1,
GEN-2, GEN-3 and GEN-7; see also Petition Supplement, at 8.
\24\ See Volume I of the Petitions, at 4-5 and Exhibits GEN-1,
GEN-2, GEN-3 and GEN-7; see also Petition Supplement, at 8. For
further discussion, see China CVD Initiation Checklist, at
Attachment II; see also Germany CVD Initiation Checklist, at
Attachment II; India CVD Initiation Checklist, at Attachment II; and
Italy CVD Initiation Checklist, at Attachment II.
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Our review of the data provided in the Petitions, the Petition
Supplement, and other information readily available to Commerce
indicates that the petitioners have established industry support for
the Petitions.\25\ First, the Petitions established support from
domestic producers (or workers) accounting for more than 50 percent of
the total production of the domestic like product and, as such,
Commerce is not required to take further action in order to evaluate
industry support (e.g., polling).\26\ Second, the domestic producers
(or workers) have met the statutory criteria for industry support under
section 702(c)(4)(A)(i) of the Act because the domestic producers (or
workers) who support the Petitions account for at least 25 percent of
the total production of the domestic like product.\27\ Finally, the
domestic producers (or workers) have met the statutory criteria for
industry support under section 702(c)(4)(A)(ii) of the Act because the
domestic producers (or workers) who support the Petitions account for
more than 50 percent of the production of the domestic like product
produced by that portion of the industry expressing support for, or
opposition to, the Petitions.\28\ Accordingly, Commerce
[[Page 2388]]
determines that the Petitions were filed on behalf of the domestic
industry, within the meaning of section 702(b)(1) of the Act.\29\
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\25\ See China CVD Initiation Checklist, at Attachment II; see
also Germany CVD Initiation Checklist, at Attachment II; India CVD
Initiation Checklist, at Attachment II; and Italy CVD Initiation
Checklist, at Attachment II.
\26\ See section 702(c)(4)(D) of the Act; see also China CVD
Initiation Checklist, at Attachment II; Germany CVD Initiation
Checklist, at Attachment II; India CVD Initiation Checklist, at
Attachment II; and Italy CVD Initiation Checklist, at Attachment II.
\27\ See China CVD Initiation Checklist, at Attachment II; see
also Germany CVD Initiation Checklist, at Attachment II; India CVD
Initiation Checklist, at Attachment II; and Italy CVD Initiation
Checklist, at Attachment II.
\28\ See China CVD Initiation Checklist, at Attachment II; see
also Germany CVD Initiation Checklist, at Attachment II; India CVD
Initiation Checklist, at Attachment II; and Italy CVD Initiation
Checklist, at Attachment II.
\29\ See China CVD Initiation Checklist, at Attachment II; see
also Germany CVD Initiation Checklist, at Attachment II; India CVD
Initiation Checklist, at Attachment II; and Italy CVD Initiation
Checklist, at Attachment II.
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Injury Test
Because China, Germany, India, and Italy are ``Subsidies Agreement
Countries'' within the meaning of section 701(b) of the Act, section
701(a)(2) of the Act applies to these investigations. Accordingly, the
ITC must determine whether imports of the subject merchandise from
China, Germany, India and/or Italy materially injure, or threaten
material injury to, a U.S. industry.
Allegations and Evidence of Material Injury and Causation
The petitioners allege that imports of the subject merchandise are
benefitting from countervailable subsidies and that such imports are
causing, or threaten to cause, material injury to the U.S. industry
producing the domestic like product. In addition, the petitioners
allege that subject imports exceed the negligibility threshold provided
for under section 771(24)(A) of the Act.\30\ In CVD petitions, section
771(24)(B) of the Act provides that imports of subject merchandise from
developing and least developed countries must exceed the negligibility
threshold of four percent. The petitioners also demonstrate that
subject imports from India, which has been designated as a developing
country under section 771(36)(A) of the Act, exceed the negligibility
threshold of four percent.\31\
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\30\ See Volume I of the Petitions, at 29-30 and Exhibit GEN-2.
\31\ Id.
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The petitioners contend that the industry's injured condition is
illustrated by a significant and increasing volume of subject imports;
reduced market share; underselling and price depression or suppression;
lost sales and revenues; and a decline in the domestic industry's
financial performance and profitability.\32\ We have assessed the
allegations and supporting evidence regarding material injury, threat
of material injury, causation, as well as cumulation, and we have
determined that these allegations are properly supported by adequate
evidence, and meet the statutory requirements for initiation.\33\
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\32\ See Volume I of the Petitions, at 1, 25-26, 29-45 and
Exhibits GEN-2, GEN-50, and GEN-51; see also Petition Supplement, at
9 and Exhibit SUP-GEN-1.
\33\ See China CVD Initiation Checklist, at Attachment III,
Analysis of Allegations and Evidence of Material Injury and
Causation for the Antidumping and Countervailing Duty Petitions
Covering Forged Steel Fluid End Blocks from the People's Republic of
China, the Federal Republic of Germany, India, and Italy (Attachment
III); see also Germany CVD Initiation Checklist, at Attachment III;
India CVD Initiation Checklist, at Attachment III; and Italy CVD
Initiation Checklist, at Attachment III.
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Initiation of CVD Investigations
Based on the examination of the Petitions and supplemental
responses, we find that they meet the requirements of section 702 of
the Act. Therefore, we are initiating CVD investigations to determine
whether imports of fluid end blocks from China, Germany, India, and
Italy benefit from countervailable subsidies conferred by the
Governments of China, Germany, India, and Italy. In accordance with
section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), unless
postponed, we will make our preliminary determinations no later than 65
days after the date of this initiation.
China
Based on our review of the Petition for China, we find that there
is sufficient information to initiate a CVD investigation on all of the
24 alleged programs. For a full discussion of the basis for our
decision to initiate on each program, see China CVD Initiation
Checklist. A public version of the initiation checklist for this
investigation is available on ACCESS.
Germany
Based on our review of the Petition for Germany, we find that there
is sufficient information to initiate a CVD investigation on all of
the16 alleged programs. For a full discussion of the basis for our
decision to initiate on each program, see Germany CVD Initiation
Checklist. A public version of the initiation checklist for this
investigation is available on ACCESS.
India
Based on our review of the Petition for India, we find that there
is sufficient information to initiate a CVD investigation on 25 of the
29 alleged programs. For a full discussion of the basis for our
decision to initiate (or not initiate) on each program, see India CVD
Initiation Checklist. A public version of the initiation checklist for
this investigation is available on ACCESS.
Italy
Based on our review of the Petition for Italy, we find that there
is sufficient information to initiate a CVD investigation on 18 of the
20 alleged programs. For a full discussion of the basis for our
decision to initiate (or not initiate) on each program, see Italy CVD
Initiation Checklist. A public version of the initiation checklist for
this investigation is available on ACCESS.
Respondent Selection
In the Petitions, the petitioner named 38 companies in China, five
companies in Germany, two companies in India, and 18 companies in
Italy, as producers/exporters of fluid end blocks.\34\
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\34\ See Volume I of the Petitions, at 14-20.
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In the event Commerce determines that the number of companies in
each country is large and it cannot individually examine each company
based upon Commerce's resources, where appropriate, Commerce intends to
select mandatory respondents based on quantity and value (Q&V)
questionnaires issued to potential respondents. Commerce normally
selects mandatory respondents in CVD investigations using U.S. Customs
and Border Protection (CBP) entry data for imports under the
appropriate Harmonized Tariff Schedule of the United States (HTSUS)
numbers listed in the scope of the investigations. However, for these
investigations, the HTSUS numbers under which the subject merchandise
would enter (7218.91.0030, 7218.99.0030, 7224.90.0015, 7224.90.0045,
7326.19.0010, 7326.90.8688, or 8413.91.9055) are basket categories
containing a wide variety of manufactured steel products unrelated to
fluid end blocks. We, therefore, cannot rely on CBP entry data in
selecting respondents. Except as noted below for India, we instead
intend to issue Q&V questionnaires to each potential respondent for
which the petitioners have provided a complete address.
Exporters and producers of fluid end blocks from China, Germany and
Italy that do not receive Q&V questionnaires by mail may still submit a
response to the Q&V questionnaire and can obtain a copy of the Q&V
questionnaire from the Enforcement and Compliance website, at http://trade.gov/enforcement/news.asp. Responses to the Q&V questionnaire must
be submitted by the relevant Chinese, German and Italian exporters/
producers no later than 5:00 p.m. ET on January 21, 2020. All Q&V
[[Page 2389]]
responses must be filed electronically via ACCESS.
For India, the petitioner identified two companies as producers/
exporters of fluid end blocks (i.e., Bharat Forge Limited and Ultra
Engineers) and provided independent, third-party information as
support.\35\ We currently know of no additional producers/exporters of
fluid end blocks from India. Accordingly, Commerce intends to examine
all known producers/exporters in the investigation for India (i.e., the
companies cited above).
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\35\ See Volume I of the Petitions, at 19 and Exhibit GEN-2; see
also Petition Supplement, at 1 and Exhibit SUP-GEN-1.
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Parties wishing to comment on respondent selection for India must
do so within three business days of the publication of this notice in
the Federal Register. Comments must be filed electronically using
ACCESS. An electronically filed document must be received successfully,
in its entirety, by ACCESS no later than 5:00 p.m. ET on the specified
deadline.
Distribution of Copies of the Petitions
In accordance with section 702(b)(4)(A)(i) of the Act and 19 CFR
351.202(f), copies of the public version of the Petitions have been
provided to the governments of Germany, India, Italy and China via
ACCESS. To the extent practicable, we will attempt to provide a copy of
the public version of the CVD Petitions to each exporter named in the
CVD Petitions, as provided under 19 CFR 351.203(c)(2).
ITC Notification
We will notify the ITC of our initiation, as required by section
702(d) of the Act.
Preliminary Determinations by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the CVD Petitions were filed, whether there is a reasonable
indication that imports of fluid end blocks from Germany, India, Italy,
and/or China are materially injuring, or threatening material injury
to, a U.S. industry.\36\ A negative ITC determination in any country
will result in the investigation being terminated with respect to that
country.\37\ Otherwise, these CVD investigations will proceed according
to statutory and regulatory time limits.
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\36\ See section 703(a)(2) of the Act.
\37\ See section 703(a)(1) of the Act.
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Submission of Factual Information
Factual information is defined in 19 CFR 351.102(b)(21) as: (i)
Evidence submitted in response to questionnaires; (ii) evidence
submitted in support of allegations; (iii) publicly available
information to value factors under 19 CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence
placed on the record by Commerce; and (v) evidence other than factual
information described in (i)-(iv). Section 351.301(b) of Commerce's
regulations requires any party, when submitting factual information, to
specify under which subsection of 19 CFR 351.102(b)(21) the information
is being submitted \38\ and, if the information is submitted to rebut,
clarify, or correct factual information already on the record, to
provide an explanation identifying the information already on the
record that the factual information seeks to rebut, clarify, or
correct.\39\ Time limits for the submission of factual information are
addressed in 19 CFR 351.301, which provides specific time limits based
on the type of factual information being submitted. Interested parties
should review the regulations prior to submitting factual information
in these investigations.
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\38\ See 19 CFR 351.301(b).
\39\ See 19 CFR 351.301(b)(2).
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Extensions of Time Limits
Parties may request an extension of time limits before the
expiration of a time limit established under 19 CFR 351.301, or as
otherwise specified by the Secretary. In general, an extension request
will be considered untimely if it is filed after the expiration of the
time limit established under 19 CFR 351.301. For submissions that are
due from multiple parties simultaneously, an extension request will be
considered untimely if it is filed after 10:00 a.m. ET on the due date.
Under certain circumstances, we may elect to specify a different time
limit by which extension requests will be considered untimely for
submissions which are due from multiple parties simultaneously. In such
a case, we will inform parties in the letter or memorandum of the
deadline (including a specified time) by which extension requests must
be filed to be considered timely. An extension request must be made in
a separate, stand-alone submission; under limited circumstances we will
grant untimely-filed requests for the extension of time limits. Parties
should review Extension of Time Limits; Final Rule, 78 FR 57790
(September 20, 2013), available at http://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm, prior to submitting factual information
in these investigations.
Certification Requirements
Any party submitting factual information in an AD or CVD proceeding
must certify to the accuracy and completeness of that information.\40\
Parties must use the certification formats provided in 19 CFR
351.303(g).\41\ Commerce intends to reject factual submissions if the
submitting party does not comply with the applicable certification
requirements.
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\40\ See section 782(b) of the Act.
\41\ See Certification of Factual Information to Import
Administration During Antidumping and Countervailing Duty
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also
frequently asked questions regarding the Final Rule, available at
http://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf.
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Notification to Interested Parties
Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305. On January 22, 2008, Commerce
published Antidumping and Countervailing Duty Proceedings: Documents
Submission Procedures; APO Procedures, 73 FR 3634 (January 22, 2008).
Parties wishing to participate in these investigations should ensure
that they meet the requirements of these procedures (e.g., the filing
of letters of appearance as discussed at 19 CFR 351.103(d)).
This notice is issued and published pursuant to sections 702(c)(2)
and 777(i) of the Act and 19 CFR 351.203(c).
Dated: January 8, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.
Appendix
Scope of the Investigations
The products covered by these investigations are forged steel
fluid end blocks (fluid end blocks), whether in finished or
unfinished form, and which are typically used in the manufacture or
service of hydraulic pumps.
The term ``forged'' is an industry term used to describe the
grain texture of steel resulting from the application of localized
compressive force. Illustrative forging standards include, but are
not limited to, American Society for Testing and Materials (ASTM)
specifications A668 and A788.
For purposes of these investigations, the term ``steel'' denotes
metal containing the following chemical elements, by weight: (i)
Iron greater than or equal to 60 percent; (ii) nickel less than or
equal to 8.5 percent; (iii) copper less than or equal to 6 percent;
(iv) chromium greater than or equal to 0.4 percent, but less than or
equal to 20 percent; and (v) molybdenum greater than or equal to
0.15 percent, but less than or equal to 3 percent. Illustrative
steel standards include, but are not limited to, American Iron and
Steel Institute (AISI) or Society of
[[Page 2390]]
Automotive Engineers (SAE) grades 4130, 4135, 4140, 4320, 4330,
4340, 8630, 15-5, 17-4, F6NM, F22, F60, and XM25, as well as
modified varieties of these grades.
The products covered by these investigations are: (1) Cut-to-
length fluid end blocks with an actual height (measured from its
highest point) of 8 inches (203.2 mm) to 40 inches (1,016.0 mm), an
actual width (measured from its widest point) of 8 inches (203.2 mm)
to 40 inches (1,016.0 mm), and an actual length (measured from its
longest point) of 11 inches (279.4 mm) to 75 inches (1,905.0 mm);
and (2) strings of fluid end blocks with an actual height (measured
from its highest point) of 8 inches (203.2 mm) to 40 inches (1,016.0
mm), an actual width (measured from its widest point) of 8 inches
(203.2 mm) to 40 inches (1,016.0 mm), and an actual length (measured
from its longest point) up to 360 inches (9,144.0 mm).
The products included in the scope of these investigations have
a tensile strength of at least 70 KSI (measured in accordance with
ASTM A370) and a hardness of at least 140 HBW (measured in
accordance with ASTM E10).
A fluid end block may be imported in finished condition (i.e.,
ready for incorporation into a pump fluid end assembly without
further finishing operations) or unfinished condition (i.e., forged
but still requiring one or more finishing operations before it is
ready for incorporation into a pump fluid end assembly). Such
finishing operations may include: (1) Heat treating; (2) milling one
or more flat surfaces; (3) contour machining to custom shapes or
dimensions; (4) drilling or boring holes; (5) threading holes; and/
or (6) painting, varnishing, or coating.
The products included in the scope of these investigations may
enter under Harmonized Tariff Schedule of the United States (HTSUS)
subheadings 7218.91.0030, 7218.99.0030, 7224.90.0015, 7224.90.0045,
7326.19.0010, 7326.90.8688, or 8413.91.9055. While these HTSUS
subheadings are provided for convenience and customs purposes, the
written description of the scope of the investigations is
dispositive.
[FR Doc. 2020-00490 Filed 1-14-20; 8:45 am]
BILLING CODE 3510-DS-P
