LLP 2019 UP1
Large Diameter Carbon and Alloy Steel Line Pipe
Notice of Initiation of Normal Value Review
Ottawa, October 22, 2019
The Canada Border Services Agency (CBSA) has today initiated a normal value and export price review to update the normal values and export prices of certain welded large diameter carbon and alloy steel line pipe (large line pipe) exported from Japan to Canada by Sumitomo Corporation (Sumitomo).
The review is part of the CBSA’s enforcement of the Canadian International Trade Tribunal’s (CITT) injury finding issued on October 20, 2016, respecting the dumping of large line pipe from Japan, in accordance with the Special Import Measures Act (SIMA).
The product definition and the applicable tariff classification numbers of the goods subject to the CITT finding are contained in Appendix 1 (subject goods).
Should the exporter decide to participate in this normal value and export price review, it is required to provide a complete and accurate response to the CBSA’s dumping Request for Information (RFI) by November 28, 2019. The exporter will be considered co-operative if the requested information is complete, submitted on time and the exporter permits verification of the data.
If the exporter does not provide a complete response to the RFI by the deadline date, any previous normal values issued to the exporter will be immediately revoked and normal values applicable to subject goods exported by Sumitomo will be determined by advancing the export price of the goods by 95.0%, pursuant to ministerial specifications.
The schedule for this normal value and export price review is available on the CBSA’s website at: www.cbsa-asfc.gc.ca/sima-lmsi/up/menu-eng.html. The CBSA will close the record for this normal value review at any time during the proceeding, without advanced notice, once it has been determined that sufficient information has been received to make a decision. Therefore, interested parties are encouraged to provide any and all information that they feel is relevant to this review to the CBSA as early as possible. The CBSA will update the website to announce that the record has been closed. Interested parties will have seven days from the close of the record to file case arguments concerning the normal value review and 14 days from the close of the record to file reply submissions in respect of the case arguments.
Normal values established during this review will apply to subject goods released from the CBSA on or after the conclusion date. The normal values and export prices determined as a result of this review may be applied to any requests for re-determination of importations of subject goods that have not been processed prior to the conclusion of the review, regardless of the date that the requests were received. The normal values and export prices determined as a result of this review may be applied retroactively where the conditions described below are met.
Please note that exporters with normal values are required to promptly inform the CBSA in writing of changes to domestic prices, costs, market conditions or terms and channel of sale associated with the production and sales of the goods. All parties are cautioned that where there are increases in domestic prices and/or costs as noted above, the export price for sales to Canada should be increased accordingly to ensure that any sale made to Canada is not only above the normal value but at or above selling prices and full costs and profit of the goods in the exporter’s domestic market. If exporters did not properly notify the CBSA of any such changes, did not adjust export prices accordingly, or did not provide the information required to make any necessary adjustments to normal values and export prices, retroactive assessments of anti-dumping duties may be warranted.
Any questions concerning the above should be directed to:
- Shawn Ryan: 902-943-1849
- Rebecca Akuoko-Asibey: 613-954-7370
E-mail:
Appendix 1 - Product Definitions
Subject goods are defined as:
Welded large diameter carbon and alloy steel line pipe originating in or exported from Japan with an outside diameter greater than 24 inches (609.6 mm), and less than or equal to 60 inches (1524 mm), regardless of wall thickness, length, surface finish (coated or uncoated), end finish (plain end or beveled end), or stenciling and certification (including multiple-stenciled/multiple-certified line pipe for oil and gas transmission and other applications).
For greater certainty, the product definition includes:
- line pipe produced to American Petroleum Institute (“API”) specification 5L, in Grades A25, A, B and X grades up to and including X100, or equivalent specifications and grades, including specification CSA Z245.1 up to and including Grade 690;
- unfinished line pipe (including pipe that may or may not already be tested, inspected, and/or certified to line pipe specifications) originating in China and Japan, and imported for use in the production or finishing of line pipe meeting final specifications, including outside diameter, grade, wall-thickness, length, end finish, or surface finish; and
- non-prime and secondary pipes (“limited service products”).
Exclusions:
- ASME SA 672 or ASME SA 691 electric-fusion welded steel pipe as certified under the ASME “Boiler and Pressure Vessel Code” rules (and stencilled with at least one of the aforementioned standards), of a length not to exceed 15 feet (4.572 m), for use other than in a CSA Z-662 pipeline application and imported with authorized inspection certificates and applicable ASME Partial Data Reports;
- line pipe, regardless of grade, outside diameter and wall thickness, single stenciled as “DNV-OS-F101” for exclusive use in offshore applications and marked “For Offshore Applications Only”;
- submerged arc longitudinal welded line pipe, regardless of grade, outside diameter and wall thickness, in lengths of 60 feet (18.288 m) with no girth welds for exclusive use in slurry or tailings piping systems in oil sands projects and marked “For Use as Slurry/Tailings Pipe Only”; for greater certainty, use in a pipeline meeting CSA Z-662 or as pressure piping meeting CSA B51 Code is not permitted under this exclusion; and
- submerged arc longitudinal welded line pipe, regardless of outside diameter, wall thickness and length, for exclusive use in high-temperature steam distribution pipelines and marked “For Steam Distribution Only”, certified to meet the requirements of CSA Z662-15 Clause 14 and/or Annex I and certified to have proven fatigue/creep test properties as provided in sections I.2.3.2 and I.3.2.1 of CSA Z662-15 as established by means of a creep test of no less than 10,000 hours carried out in accordance with ASTM E139.
Tariff Classification Numbers
The subject goods are properly classified under the following 10-digit tariff classification numbers:
- 7305.11.00.22
- 7305.11.00.23
- 7305.11.00.24
- 7305.11.00.25
- 7305.12.00.21
- 7305.12.00.22
- 7305.19.00.22
- 7305.19.00.23
- 7305.19.00.24
- 7305.19.00.25
This listing of tariff classification numbers is for convenience of reference only. Refer to the product definition for authoritative details regarding the subject goods.
- Date modified: