ITA Fact Sheet on Final AD/CV Rates for Drill Pipe from China
The International Trade Administration has issued a fact sheet announcing its affirmative final determinations in the antidumping and countervailing duty investigations of drill pipe from China (A-570-965 and C-570-966).
Sign up for a free preview to unlock the rest of this article
Communications Daily is required reading for senior executives at top telecom corporations, law firms, lobbying organizations, associations and government agencies (including the FCC). Join them today!
Final AD Rates of Zero to 429.95% upon FR Publication, Most Adjusted for Subsidies
In the AD investigation, the ITA has determined that Chinese producers/exporters have sold drill pipe in the U.S. at margins ranging from 0.00% to 429.95% less than fair value.
Mandatory respondent DP Master Manufacturing Co., Ltd. and Jiangyin Liangda Drill Pipe Co., Ltd. will receive an estimated AD duty rate of 69.32%. Baoshan Iron & Steel Co., Ltd. and Shanxi Yida Special Steel Imp. & Exp. Co., Ltd. will each receive an estimated AD duty rate of 0.00%.
Three Chinese producers/exporters qualified for a separate estimated AD duty rate of 69.32%. All other Chinese producers/exporters of drill pipe will receive an estimated China-wide AD duty rate of 429.95%.
Additionally, critical circumstances were found with respect to the China-wide entity for the AD investigation. The ITA directed U.S. Customs and Border Protection to suspend liquidation of merchandise entered by the China-wide entity for the AD investigation 90 days prior to the publication of the preliminary determination (May 20, 2010).
As a result of the final AD determination, the ITA will instruct CBP to continue to collect cash deposits or bonds equal to the weighted-average dumping margins, adjusted for export subsidies found in the final determination of the companion CV duty investigation. Since DP Master’s export subsidy CV duty rate applies to the three Chinese producers/exporters which qualified for a separate rate, the ITA will instruct CBP to collect an AD duty cash deposit or bonding rate of 69.18% for DP Master, Jiangyin Liangda, and the separate rate companies.
Final CV Rate of 18.18% if Final ITC Injury Determination
In the CV investigation, the ITA has determined that Chinese producers/exporters have received countervailable subsidies of 18.18%.
Mandatory respondent DP Master Manufacturing Co., Ltd., Jiangyin Sanliang Petroleum Machinery Co., Ltd., Jiangyin Liangda Drill Pipe Co., Ltd., Jiangyin Sanliang Steel Pipe Trading Co., Ltd., and Jiangyin Chuangxin Oil Pipe Fittings Co., Ltd. (collectively, DP Master Group)1, will receive an estimated CV duty rate of 18.18%. All other Chinese exporters will receive the estimated CV duty rate of 18.18%.
Additionally, critical circumstances were found with regard to DP Master Manufacturing Co., Ltd. in the CV duty investigation. Accordingly, the ITA directed CBP to suspend liquidation of merchandise entered by all companies starting 90 days prior to the publication of the preliminary determination (March 13, 2010).
The CV suspension of liquidation and collection of CV duty cash deposits were terminated for shipments of drill pipe with a time of entry on or after October 9, 2010. (CBP instructions are available here.) Should the International Trade Commission issue a final affirmative injury determination, the ITA will instruct CBP to resume the CV suspension of liquidation and collect a cash deposit of estimated CV duties based on the final net countervailable subsidy rate.
ITC to Issue Final Injury Determinations in February 2011
The ITC is currently scheduled to issue its final injury determinations on or before February 17, 2011. If the ITC makes affirmative determinations that imports of drill pipe from China materially injure, or threaten material injury to, the domestic industry, the ITA will issue AD and CV duty orders.
1The ITA notes that both the AD and CV duty investigations refer to their collective mandatory respondent as “DP Master Group,” but for investigation purposes, the entities that each group is composed of differ slightly.
(See ITT’s Online Archives or 08/18/10 and 09/13/10 news, 10081818 and 10091301, for BP summaries of the preliminary AD duty determination and the adjusted AD rate for DP-Master Group.
See ITT’s Online Archives or 06/11/10 and 08/16/10 news, 10061129 and 10081617, for BP summaries of the preliminary CV duty determination and the preliminary determination of CV critical circumstances.)
(ITA Case Nos. A-570-965 and C-570-966)