[Federal Register Volume 84, Number 240 (Friday, December 13, 2019)]
[Notices]
[Pages 68115-68116]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-26907]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-489-817]


Oil Country Tubular Goods From the Republic of Turkey: Final 
Results of Countervailing Duty Administrative Review; 2017

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: The Department of Commerce (Commerce) has completed its 
administrative review of the countervailing duty (CVD) order on oil 
country tubular goods (OCTG) from the Republic of Turkey (Turkey). We 
determine that Borusan Mannesmann Boru Sanayi ve Ticaret A.S., Borusan 
Istikbal Ticaret T.A. S., Borusan Mannesmann Boru Yatirim Holding A.S., 
and Borusan Holding A.S., (collectively, Borusan), received 
countervailable subsidies during the period of review (POR), January 1, 
2017 through December 31, 2017.

DATES: Applicable December 13, 2019.

FOR FURTHER INFORMATION CONTACT: Aimee Phelan, AD/CVD Operations, 
Office I, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-0697.

SUPPLEMENTARY INFORMATION: 

Background

    On August 12, 2019, Commerce published the Preliminary Results of 
this CVD administrative review in the Federal Register.\1\ We invited 
interested parties to comment on the Preliminary Results. In September 
2019, we received timely filed case and rebuttal briefs from the United 
States Steel Corporation, TMK IPSCO, Vallourec Star, L.P., and Welded 
Tube USA (collectively, the petitioners) and Borusan. On November 7, 
2019, we held a public hearing \2\ on the Preliminary Results.\3\
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    \1\ See Oil Country Tubular Goods from the Republic of Turkey: 
Preliminary Results of Countervailing Duty Administrative Review; 
2017, 84 FR 39797 (August 12, 2019) (Preliminary Results) and 
accompanying Preliminary Decision Memorandum.
    \2\ See Public Hearing Transcript, ``Administrative Review of 
the Countervailing Duty Order on Certain Oil Country Tubular Goods 
from the Republic of Turkey,'' dated November 7, 2019.
    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results of Countervailing Duty Administrative Review of Oil 
Country Tubular Goods from the Republic of Turkey; 2017,'' dated 
concurrently with, and hereby adopted by, this notice (Issues and 
Decision Memorandum) at 2-3.
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Scope of the Order

    The merchandise covered by the order is certain OCTG, which are 
hollow steel products of circular cross-section, including oil well 
casing and tubing, of iron (other than cast iron) or steel (both carbon 
and alloy), whether seamless or welded, regardless of end finish (e.g., 
whether or not plain end, threaded, or threaded and coupled) whether or 
not conforming to American Petroleum Institute (API) or non-API 
specifications, whether finished (including limited service OCTG 
products) or unfinished (including green tubes and limited service OCTG 
products), whether or not thread protectors are attached. The scope of 
the order also covers OCTG coupling stock. The merchandise subject to 
the order is currently classified in the Harmonized Tariff Schedule of 
the United States (HTSUS) under item numbers: 7304.29.10.10, 
7304.29.10.20, 7304.29.10.30, 7304.29.10.40, 7304.29.10.50, 
7304.29.10.60, 7304.29.10.80, 7304.29.20.10, 7304.29.20.20, 
7304.29.20.30, 7304.29.20.40, 7304.29.20.50, 7304.29.20.60, 
7304.29.20.80, 7304.29.31.10, 7304.29.31.20, 7304.29.31.30, 
7304.29.31.40, 7304.29.31.50, 7304.29.31.60, 7304.29.31.80, 
7304.29.41.10, 7304.29.41.20, 7304.29.41.30, 7304.29.41.40, 
7304.29.41.50, 7304.29.41.60, 7304.29.41.80, 7304.29.50.15, 
7304.29.50.30, 7304.29.50.45, 7304.29.50.60, 7304.29.50.75, 
7304.29.61.15, 7304.29.61.30, 7304.29.61.45, 7304.29.61.60, 
7304.29.61.75, 7305.20.20.00, 7305.20.40.00, 7305.20.60.00, 
7305.20.80.00, 7306.29.10.30, 7306.29.10.90, 7306.29.20.00, 
7306.29.31.00, 7306.29.41.00, 7306.29.60.10, 7306.29.60.50, 
7306.29.81.10, and

[[Page 68116]]

7306.29.81.50. The merchandise subject to the order may also enter 
under the following HTSUS item numbers: 7304.39.00.24, 7304.39.00.28, 
7304.39.00.32, 7304.39.00.36, 7304.39.00.40, 7304.39.00.44, 
7304.39.00.48, 7304.39.00.52, 7304.39.00.56, 7304.39.00.62, 
7304.39.00.68, 7304.39.00.72, 7304.39.00.76, 7304.39.00.80, 
7304.59.60.00, 7304.59.80.15, 7304.59.80.20, 7304.59.80.25, 
7304.59.80.30, 7304.59.80.35, 7304.59.80.40, 7304.59.80.45, 
7304.59.80.50, 7304.59.80.55, 7304.59.80.60, 7304.59.80.65, 
7304.59.80.70, 7304.59.80.80, 7305.31.40.00, 7305.31.60.90, 
7306.30.50.55, 7306.30.50.90, 7306.50.50.50, and 7306.50.50.70. The 
HTSUS subheadings above are provided for convenience and customs 
purposes only. The written description of the scope of the order is 
dispositive. A full description of the scope of the order is contained 
in the Issues and Decision Memorandum.\4\
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    \4\ Id. at 2-3.
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Analysis of Comments Received

    All issues raised by the interested parties in their case and 
rebuttal briefs are addressed in the Issues and Decision Memorandum.\5\ 
These issues are identified in the Appendix to this notice. The Issues 
and Decision Memorandum is a public document and is on file 
electronically via Enforcement and Compliance's Antidumping and CVD 
Centralized Electronic Service System (ACCESS). ACCESS is available to 
registered users at https://access.trade.gov; the Issues and Decision 
Memorandum is available to all parties in the Central Records Unit, 
Room B8024 of the main Commerce building. In addition, a complete 
version of the Issues and Decision Memorandum can be accessed directly 
on the internet http://enforcement.trade.gov/frn/. The signed and 
electronic versions of the Issues and Decision Memorandum are identical 
in content.
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    \5\ Id. at 4-15.
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Methodology

    We conducted this review in accordance with section 751(a)(1)(A) of 
the Tariff Act of 1930, as amended (the Act). For each of the subsidy 
programs found to be countervailable during the POR, we find that there 
is a subsidy, i.e., a government-provided financial contribution that 
gives rise to a benefit to the recipient, and that the subsidy is 
specific.\6\ For a full description of the methodology underlying our 
conclusions, see the Issues and Decision Memorandum.
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    \6\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and, section 771(5A) of the Act regarding specificity.
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Changes Since the Preliminary Results

    Based on the comments received from the petitioners and Borusan, we 
revised the calculation of the net countervailable subsidy rate for 
Borusan. For a discussion of these issues, see the Issues and Decision 
Memorandum.

Final Results of the Review

    In accordance with 19 CFR 351.221(b)(5), we determine the following 
net countervailable subsidy rate for Borusan,\7\ for the period January 
1, 2017 through December 31, 2017:
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    \7\ Commerce has determined that Borusan Mannesmann Boru Sanayi 
ve Ticaret A.S., Borusan Istikbal Ticaret T.A.S., Borusan Mannesmann 
Boru Yatirim Holding A.S., and Borusan Holding A.S. are cross-owned. 
See Preliminary Decision Memorandum.

------------------------------------------------------------------------
                                                           Subsidy rate
                        Company                            (percent ad
                                                             valorem)
------------------------------------------------------------------------
Borusan Mannesmann Boru Sanayi ve Ticaret A.S., Borusan            0.90
 Istikbal Ticaret T.A.S., Borusan Mannesmann Boru
 Yatirim Holding A.S., and Borusan Holding A.S.,
 (collectively, Borusan)...............................
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Assessment Rates

    In accordance with 19 CFR 351.212(b)(2), Commerce intends to issue 
appropriate assessment instructions to U.S. Customs and Border 
Protection (CBP) 15 days after the date of publication of these final 
results of review. We will instruct CBP to liquidate shipments of 
subject merchandise produced by and/or exported by Borusan, entered, or 
withdrawn from warehouse, for consumption on or after January 1, 2017 
through December 31, 2017, at the ad valorem rate listed above.

Cash Deposit Requirements

    In accordance with section 751(a)(1) of the Act, we intend to 
instruct CBP to collect cash deposits of estimated countervailing 
duties at the rate shown above for Borusan, on shipments of subject 
merchandise entered, or withdrawn from warehouse, for consumption on or 
after the date of publication of the final results of this review. For 
all non-reviewed firms, we will instruct CBP to continue to collect 
cash deposits at the most recent company-specific or all-others rate 
applicable to the company, as appropriate. These cash deposit 
requirements, when imposed, shall remain in effect until further 
notice.

Administrative Protective Orders

    This notice also serves as a reminder to parties subject to an 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of the return or destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and terms of an APO is a sanctionable 
violation.
    We are issuing and publishing these final results of review in 
accordance with sections 751(a)(1) and 777(i) of the Act and 19 CFR 
351.221(b)(5).

    Dated: December 9, 2019.
Christian Marsh,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Scope of the Order
III. Subsidies Valuation Information
IV. Benchmark Interest Rates
V. Analysis of Programs
VI. Analysis of Comments
    Comment 1: How to Attribute Subsidies Received by Borusan on a 
D-3 Certificate Under the Inward Processing Certificate Program;
    Comment 2: Whether Commerce Should Use a Tier 2 Benchmark in the 
Provision for Less Than Adequate Remuneration (LTAR) Program Because 
Commerce Found That a Particular Market Situation (PMS) Distorts the 
Turkish Market;
    Comment 3: How to Treat the Customs Duty and Value Added Tax 
(VAT) Exemptions Received by Borusan Under the Investment 
Encouragement Program (IEP)
VII. Recommendation

[FR Doc. 2019-26907 Filed 12-12-19; 8:45 am]
 BILLING CODE 3510-DS-P