Commerce Says Vietnamese Exporter Can't Track Chinese Inputs in Pipe Exports
The Commerce Department on Jan. 15 explained more about its finding that exporter Hoa Phat Pipe isn't eligible to certify whether its light-walled rectangular pipe and tube was made using hot-rolled steel from China. After a remand order from the Court of International Trade, Hoa Phat confirmed that it was "unable to track the source of" its hot-rolled steel inputs prior to the inquiry period in the antidumping duty and countervailing duty circumvention proceeding at issue and has no basis to certify the country of origin of its pipe consistent with the agency's practice, Commerce said (Hoa Phat Steel Pipe v. United States, CIT Consol. # 23-00248).
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In January 2025, the trade court said Commerce abused its discretion by denying a submission from Hoa Phat in the inquiry on whether light-walled rectangular pipe and tube from Vietnam circumvented the AD/CVD orders on the same product from China, South Korea and Taiwan (see 2501270069). CIT said the agency should have accepted Hoa Phat's submission, which was filed late but still submitted before the opening of the following business day, which is in line with Commerce's practice, since the exporter submitted an emergency extension request.
On remand, Commerce said it reopened the record to accept Hoa Phat's initial questionnaire response. However, in the response, the exporter said it was "unable to trace the origin of its [hot-rolled steel] inputs through production during the circumvention inquiry period." As a result, there's "no basis to grant Hoa Phat the ability to certify the country of origin of its" subject pipe sold to the U.S., the agency said.
However, after the circumvention determination was issued, Hoa Phat's goods were subject to the AD/CVD orders on Chinese light-walled rectangular pipe and tube, and the exporter requested an administrative review of its products for the 2022-23 review period. In the review, Commerce said that "Hoa Phat gained the ability to trace through its production processes the origin of the [hot-rolled steel] used to produce [light-walled rectangular pipe and tube]."
The results of the remand redetermination have been "superseded" by the 2022-23 review, Commerce said.