Certain Circular Welded Carbon Steel Pipes and Tubes from Thailand: Final Results of Countervailing Duty Administrative Review

DEPARTMENT OF COMMERCE

[C-549-501]

Certain Circular Welded Carbon Steel Pipes and Tubes from

Thailand: Final Results of Countervailing Duty Administrative Review

June 21, 1995.

AGENCY: Import Administration, International Trade Administration,

Department of Commerce.

ACTION: Notice of final results of countervailing duty administrative

review.

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SUMMARY: On March 28, 1995, the Department of Commerce (the Department)

published the preliminary results of its administrative review of the

countervailing duty order on certain circular welded carbon steel pipes

and tubes from Thailand (60 FR 15901). We have now completed this

review and determine the total net subsidy rate to be 0.73 percent ad

valorem for all

[[Page 33792]]

companies for the period January 1, 1992 through December 31, 1992. We

will instruct the U.S. Customs Service to assess countervailing duties

as indicated above.

EFFECTIVE DATE: June 29, 1995.

FOR FURTHER INFORMATION CONTACT: Penelope Naas or Carole Showers,

Office of Countervailing Investigations, Import Administration, U.S.

Department of Commerce, Room B099, 14th Street and Constitution Avenue,

N.W., Washington, DC 20230; telephone (202) 482-3534 and 482-3217,

respectively.

SUPPLEMENTARY INFORMATION:

Background

On March 28, 1995, the Department published in the Federal Register

(60 FR 15901) the preliminary results of its administrative review of

the countervailing duty order on certain circular welded carbon steel

pipes and tubes from Thailand (50 FR 32751; August 14, 1985). The

Department is conducting this administrative review in accordance with

section 751(a) of the Tariff Act of 1930, as amended (the Act). Unless

otherwise indicated, all citations to the statute and to the

Department's regulations are in reference to the provisions as they

existed on December 31, 1994.

We invited interested parties to comment on the preliminary

results. On April 27, 1995, a case brief was submitted by the domestic

interested parties. On May 4, 1995, a rebuttal brief was submitted by

the Royal Thai Government. The review period is January 1, 1992 through

December 31, 1992. This review involves one company, Saha Thai Pipe and

Tube, and the following programs:

1. Export Packing Credits

2. Tax Certificates for Exporters

3. Tax and Duty Exemptions Under Section 28 of the Investment Promotion

Act

4. Repurchase of Industrial Bills

5. Export Processing Zones

6. International Trade Promotion Fund/Export Promotion Fund

7. Electricity Discounts for Exporters

8. Reduced Business Taxes for Producers of Intermediate Goods for

Export Industries

9. Additional Incentives under the IPA

We have now completed this review in accordance with section 751 of

the Act. We have made no calculation changes since the preliminary

determination. Therefore, we determine that the net subsidy for these

final results is the same as in the preliminary determination (60 FR

15091): 0.73 percent ad valorem for all exporters and producers of pipe

and tube from Thailand.

Scope of Review

Imports covered in this review are shipments of circular welded

carbon steel pipes and tubes (pipes and tubes) with an outside diameter

of 0.375 inch or more but not over 16 inches, of any wall thickness.

These products, commonly referred to in the industry as standard pipe

or structural tubing, are produced to various ASTM specifications, most

notably A-120, A-53 and A-135. During the review period, this

merchandise was classified under item numbers 7306.30.10 and 7306.30.50

of the HTS. The HTS numbers are provided for convenience and Customs

purposes. The written description remains dispositive.

Analysis of Comments

Comment 1

Petitioners challenge the Department's decision to publish a

country-wide countervailing duty rate. They argue that the statute,

legislative history and court precedent give the Department ample

authority to calculate a company-specific rate and a separate ``all

others'' rate in the final results of this review. In this case,

petitioners argue that the Department does not have a representative

sample, since other producers are known to export the subject

merchandise to the United States. Petitioners state that section

355.22(d) does not control the results in this review, as the country-

wide rate must bear some relation to the average rate for all producers

in the country. Thus, the Department should issue a company-specific

rate to Saha Thai and an all-others rate to the remaining companies.

Respondents state that section 355.22(d) requires the publication

of a single, country-wide rate in this review. Respondents point to the

regulations, which state that only if there is a significant

differential between producers or exporters during the period under

review would the Department issue individual rates. They claim that

petitioners' argument, which would require the Department to use the

preliminary results of the 1988 review as the basis for an ``all other

`` rate, is not allowed by the statute or the regulations because these

results are outside the period under review.

DOC Position

We agree with respondents. At verification, we verified that Saha

Thai was the only company that exported the subject merchandise during

the period of review (see Verification of the Government of Thailand

and Saha Thai, dated May 26, 1994). Thus, based on 355.22(c)(7)(ii), we

calculated a country-wide rate. The fact that a producer did not export

during the POR, but now exports, will be addressed in a subsequent

administrative review if one is requested, and the appropriate rate

then will be determined.

Results of Review

As a result of our review, we determine the net subsidy for the

period of January 1, 1992, through December 31, 1992, to be 0.73

percent ad valorem for all exporters and producers of pipe and tube

from Thailand.

Therefore, the Department intends to instruct the Customs Service

to assess countervailing duties of 0.73 percent ad valorem on the

f.o.b. invoice price on all shipments of this merchandise from Thailand

entered, or withdrawn from warehouse, for consumption on or after

January 1, 1992, and on or before December 31, 1992.

Further, the Department intends to instruct the Customs Service to

collect cash deposits of 0.73 percent ad valorem on the f.o.b. invoice

price on all shipments of this merchandise entered, or withdrawn from

the warehouse, for consumption on or after the date of publication of

the final results of this administrative review. This deposit

instruction shall remain in effect until publication of the final

results of the next administrative review.

The administrative review and notice are in accordance with section

751(a)(1) of the Act (19 U.S.C. 1675(a)(1)) and 19 CFR 355.22.

Dated: June 21, 1995.

Susan G. Esserman

Assistant Secretary for Import Administration.

[FR Doc. 95-16049 Filed 6-28-95; 8:45 am]

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