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Commerce to Consider AD Circumvention by Omani Pipe Made From Chinese Steel

The Commerce Department is beginning an anti-circumvention inquiry to determine whether all imports of circular welded carbon quality steel pipe from Oman made from Chinese hot-rolled steel are circumventing antidumping and countervailing duties on circular welded carbon quality steel pipe from China (A-570-910/C-570-911), it said Nov. 19.

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The anti-circumvention inquiry will apply country-wide, to all circular welded pipe "completed in Oman using Chinese-produced HRS, and subsequently exported from Oman to the United States." The inquiry was requested by Bull Moose Tube Co., Maruichi American Corp., Wheatland Tube Co. and the United Steelworkers labor union, which argue that the Omani exports undergo only minor processing in Oman and should still be considered subject to AD/CVD.

Commerce will direct CBP to "continue the suspension of liquidation of entries of products subject to the circumvention inquiry that were already subject to the suspension of liquidation under the Order." If Commerce finds circumvention in the preliminary determination of this inquiry, the agency will direct CBP to suspend liquidation for unliquidated entries on or after Nov. 19, 2024, though the agency may decide to suspend liquidation prior to that date.

Commerce will issue questionnaires "to solicit information from producers and exporters in Oman concerning their shipments of CWP, made from Chinese-origin HRS, to the United States." Companies that fail to respond completely may get hit with an “adverse facts available” penalty, such as an inference by Commerce that the companies are circumventing AD duties.