H305019

HQ H305019 February 8, 2024 OT:RR:CTF:EPDR H305019 HvB CATEGORY: Entry Center Director Base Metals Center of Excellence and Expertise U.S. Customs and Border Protection 510 S. Canal Street, Room 300 Chicago, IL 60607 Attn: Sadique Mahbub, Import Specialist; Abril Pineda, Supervisory Import Specialist Re: Application for Further Review of Protest No. 4601-2019-102002; Pipe Fittings from the People’s Republic of China under Antidumping Orders A-570-875 and A-570-881; Scope Dear Center Director, The following is our decision regarding the Application for Further Review (“AFR”) of Protest Number 4601-2019-102002, dated January 25, 2019, filed on behalf of Steel Electric Products Company, Inc. (“SEPCO”). SEPCO contests the antidumping duties (“ADD”) that were assessed on its entry of cast iron pipe fittings. We regret the delay. FACTS: On May 5, 2017, SEPCO entered cast iron pipe fittings from the People’s Republic of China (“PRC”). According to the Automated Commercial Environment (“ACE”) and the entry summary (U.S. Customs and Border Protection (“CBP”) Form 7501), SEPCO initially entered the merchandise as type 01, meaning a formal consumption entry not subject to ADD. In addition, the initial entry summary reflected classification errors, which SEPCO later corrected upon filing a Post-Summary Correction (“PSC”) on January 8 and March 14, 2018. The merchandise at issue in this protest consist of two categories of cast iron pipe fittings that are subject to two different antidumping orders. SEPCO describes these goods as electrical conduit fittings: (1) the first category consists of conduit pipe fittings made from malleable iron, which were subject to ADD order A-570-881; and (2) the second category of merchandise consists of non-malleable cast iron pipe fittings, which are subject to ADD order A-570-875. On August 24, 2018, CBP liquidated the entry at issue under two separate Department of Commerce (“Commerce”) instructions. Below, we address each antidumping order separately. Case A-570-881 Malleable cast iron pipe fittings (“MCPF”) from the PRC are subject to ADD order A-570-881. See Antidumping Duty Order: Certain Malleable Iron Pipe Fittings From the People’s Republic of China,68 FR 69376 (December 12, 2003). The period of review for this order is December 1, 2016 – November 30, 2017. On March 12, 2018, Commerce issued instructions to CBP regarding ADD order A-570-881 (and the applicable period of review) via Message 8071316, stating that notice of lifting of suspension of MCPF had occurred on February 23, 2018. Commerce instructed CBP to assess antidumping duties on merchandise entered, or withdrawn for warehouse, for consumption at the case deposit rate in effect on the date of entry for the period 12/01/2016 through 11/30/2017. Subsequently, on August 24, 2018, for the malleable pipe fittings subject to case A570-881, CBP liquidated the applicable line item pertaining to SEPCO’s entry of MCPF, in accordance with Message 8071316 (Mar. 12, 2018). On December 20, 2018, Commerce granted SEPCO’s request for a ruling that certain conduit fittings were outside the scope of A-570-881. See “Dep’t of Commerce, Final Scope Ruling, A-570-881, Scope – SEPCO Conduit Fittings, dated Dec. 20, 2018 (“SEPCO Scope Ruling”). SEPCO submitted its Scope Request to Commerce on September 27, 2018. See SEPCO’s Letter, “Certain Malleable Cast Iron Pipe Fittings from the People’s Republic of China: Request for Scope Ruling for Electric Conduit Fittings,” dated September 27, 2018. On February 11, 2019, Commerce notified CBP of its SEPCO final scope determination. See Message 9042308, dated Feb. 11, 2019). In Commerce Message 9042308, Commerce stated that it had determined that electrical conduit fittings (“i.e., conduit bodies, conduit nipples, and conduit couplings and connectors”) imported by SEPCO are outside the scope of the order on malleable iron pipe fittings. In addition, in paragraph 4, Commerce instructed CBP to refund any cash deposits relating to the electrical conduits described in the message. See Message 9042308, dated Feb. 11, 2019. Accordingly, your office agrees that those invoiced items indicated as malleable cast iron fittings are outside the scope of ADD order A-570-881. Hence, we turn to the sole issue before us in this protest. Case A-570-875 SEPCO’s electrical conduit fittings subject to ADD order A-570-875 consists of threaded non-malleable pipe fittings (or “NMPF”). The invoice attached to the entry summary described these goods as “steel tube parts.” SEPCO classified the goods in subheading 7307.19.30, Harmonized Tariff Schedule of the United States (HTSUS), and listed them as “AX 75, AX-100, AX-125, AX-150, AX-200, AX-250, AX-300, AX-350, AX-400.” SEPCO product catalogue describes these goods as “Type AX” and Expansion Fittings for Rigid Metal Conduit & IMC [“Intermediate Metallic Conduit”]. According to SEPCO’s catalogue, the fittings at issue consist of threaded “expansion fittings,” which are made from hot dipped galvanized ductile iron. The Type AX is shown with one threaded end, that is described as “Hub Size (NPT) Tapered Threads.” NPT stands for the National Pipe Thread Tapered, which is defined by ASME B1.20.1 standard for Pipe Thread. The product catalogue advertises that the Type AX fittings are available in different sizes, with diameters ranging from two inches to six inches. SEPCO’s product catalogue also indicates that fittings are listed under UL Listing E198258. We note that ASTM B1.20.1 covers dimensions and gauging for NPT and other common pipe threads. Non-malleable cast iron pipe fittings (“NMPF”) from the PRC are subject to ADD order A-570-875. See “Notice of Antidumping Duty Order: Non-Malleable Cast Iron Pipe Filings from the People’s Republic of China, 68 Fed. Reg. 16765 (Apr. 7, 2003). That notice also announces a 75.50% weighted-average dumping rate of PRC-wide rate of 75.50% for all exporters. The scope of the order is as follows: The products covered by the order are finished and unfinished non-malleable cast iron pipe fittings with an inside diameter ranging from ¼ inch to 6 inches, whether threaded or unthreaded, regardless of industry or proprietary specifications. The subject fittings include elbows, ells, tees, crosses, and reducers as well as flanged fittings. These pipe fittings are also known as “cast iron pipe fittings” or “gray iron pipe fittings.” These cast iron pipe fittings are normally produced to ASTM A-126 and ASME B.16.4 specifications and are threaded to ASME B1.20.1 specifications. Most building codes require that these products are Underwriters Laboratories (UL) certified. The scope does not include cast iron soil pipe fittings or grooved fittings or grooved couplings. Fittings that are made out of ductile iron that have the same physical characteristics as the gray or cast iron fittings subject to the scope above or which have the same physical characteristics and are produced to ASME B.16.3, ASME B.16.4, or ASTM A-395 specifications, threaded to ASME B1.20.1 specifications and UL certified, regardless of metallurgical differences between gray and ductile iron, are also included in the scope of the Order. These ductile fittings do not include grooved fittings or grooved couplings. Ductile cast iron fittings with mechanical joint ends (MJ), or push on ends (PO), or flanged ends and produced to American Water Works Association (AWWA) specifications AWWA C110 or AWWA C153 are not included. Imports of covered merchandise are classifiable in the Harmonized Tariff Schedule of the United States (HTSUS) under item numbers 7307.11.00.30, 7307.11.00.60, 7307.19.30.60 and 7307.19.30.85. HTSUS subheadings are provided for convenience and customs purposes. The written description of the scope of the Order is dispositive. Id. In 2004, Commerce determined that electrical conduits are within the scope of ADD order A-570-875. See Commerce, “Final Scope Ruling- Antidumping Order on Non-Malleable Pipe Fittings 

It is the opinion of your office that this protest meets the criteria for further review. We agree and are of the opinion that this protest involves question of fact which have not been ruled upon, namely whether the described merchandise is subject to antidumping duties. See 19 C.F.R. § 172.24(b).We also note that the instant protest was timely filed. Pursuant to 19 U.S.C. § 1514(c)(3)(A), a party must file a protest within 180 days after the date of liquidation. CBP liquidated the protested entry on April 6, 2018. SEPCO filed its protest on January 25, 2019, which is within 180 days of the liquidation date.Generally, assessed ADD duties properly applied by CBP are not protestable. It is well settled that when assessing and collecting ADD duties, CBP follows Commerce’s instructions. “Customs has a merely ministerial role in liquidating ADD duties.” Mitsubishi Electronics America, Inc. v. United States, 44 F.3d 973, 977 (Fed. Cir. 1994). The courts have consistently held that CBP’s role in the ADD process is simply to follow Commerce’s instructions in collecting deposits of estimated duties and in assessing ADD duties, together with interest, at the time of liquidation. See Fujitsu Ten Corporation of America v. United States, 21 C.I.T. 104, 107 (1997); American Hi-Fi International, Inc. v United States, 19 C.I.T. 1340, 1342-43 (1995). However, “Customs, incident to its ‘ministerial’ function of fixing the amount of duties chargeable, must make factual findings to determine ‘what the merchandise is, and whether it is described in an order’ and must decide whether to apply the order to the merchandise.” LDA Incorporado v. United States, 79 F. Supp. 3d 1331, 1339 (Ct. Int’l Trade 2015); see also Sunpreme, Inc. v. United States, 946 F.3d 1300, 1320-21 (Fed. Cir. 2020) (internal citation omitted). CBP “is tasked with determining, for every imported product, whether the product falls within the scope of an antidumping or countervailing duty order. 19 U.S.C. § 1500(c). Tha