[Federal Register Volume 68, Number 218 (Wednesday, November 12, 2003)]
[Notices]
[Pages 64079-64081]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-28338]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-351-832, A-122-840, A-560-815, A-201-830, A-841-805, A-274-804, 
A823-812, C-351-833, and C-122-841]


Carbon and Certain Alloy Steel Wire Rod from Brazil, Canada, 
Indonesia, Mexico, Moldova, Trinidad and Tobago, and Ukraine: Final 
Results of Changed Circumstances Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

ACTION: Notice of Final Result of Changed Circumstances Review of the 
Antidumping Duty and Countervailing Duty Orders, and Intent To Revoke 
Orders in Part.

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EFFECTIVE DATE: November 12, 2003.
SUMMARY: On August 21, 2003, the Department of Commerce (the 
Department) published a notice of initiation of a changed circumstances 
review with the intent to revoke, in part, the antidumping duty orders 
and countervailing duty orders on carbon and certain alloy steel wire 
rod, as described below. See Carbon and Certain Alloy Steel Wire Rod 
from Brazil, Canada, Indonesia, Mexico, Moldova, Trinidad and Tobago, 
and Ukraine: Initiation of Changed Circumstances Antidumping Duty 
Administrative Review and Countervailing Duty Administrative Reviews, 
and Intent To Revoke Orders in Part, 68 Fed. Reg. 50,513 (August 21, 
2003) (Initiation Notice).
    On October 6, 2003, the Department published the preliminary 
results of the changed circumstances review and preliminarily 
determined to revoke this order, in part, with respect to products 
entered, or withdrawn from warehouse, for consumption on or after July 
24, 2003 of carbon and certain alloy steel wire rod described below, 
because domestic parties have expressed no interest in the continuation 
of the orders on that merchandise. See Carbon and Certain Alloy Steel 
Wire Rod from Brazil, Canada, Indonesia, Mexico, Moldova, Trinidad and 
Tobago, and Ukraine: Notice of Preliminary Results of Changed 
Circumstances Review of the Antidumping Duty and Countervailing Duty 
Orders, and Intent To Revoke Orders, in Part, 68 Fed. Reg. 57,664 
(October 6, 2003) (Preliminary Results). After opportunity for comment, 
petitioners commented to correct the effective date language of this 
changed circumstances review. Since we did not receive any other 
comments objecting to the partial revocation of this changed

[[Page 64080]]

circumstances review, we conclude that substantially all domestic 
producers lack interest in the relief provided by this order. 
Therefore, in our final results of the changed circumstances review, 
the Department hereby revokes this order with respect to products 
entered, or withdrawn from warehouse, for consumption on or after July 
24, 2003 of carbon and certain alloy steel wire rod, as described 
below.

FOR FURTHER INFORMATION CONTACT: Brian J. Sheba or Robert M. James, 
Import Administration, International Trade Administration, U.S. 
Department of Commerce, 14th Street and Constitution Avenue, N.W., 
Washington, D.C. 20230; telephone: (202) 482-0145 or (202) 482-0649.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the antidumping duty orders on steel wire 
rod from Brazil, Canada, Indonesia, Mexico, Moldova, Trinidad and 
Tobago, and Ukraine on October 29, 2002. See Notice of Antidumping Duty 
Orders: Carbon and Certain Alloy Steel Wire Rod From Brazil, Indonesia, 
Mexico, Moldova, Trinidad and Tobago, and Ukraine, 67 Fed. Reg. 65,945, 
and Notice of Amended Final Determination of Sales at Less Than Fair 
Value and Antidumping Duty Order: Carbon and Alloy Steel Wire Rod From 
Canada, 67 Fed. Reg. 65,944. The Department published the 
countervailing duty orders on steel wire rod from Brazil and Canada on 
October 22, 2002. See Notice of Countervailing Duty Orders: Carbon and 
Certain Alloy Steel Wire Rod From Brazil and Canada, 67 Fed. Reg. 
64,871. On July 24, 2003, petitioners requested that the Department 
change the technical description of certain grade 1080 tire cord 
quality wire rod and grade 1080 tire bead quality wire rod (hereafter, 
tire cord wire rod). This request arises, petitioners aver, because the 
original definition of the excluded tire cord wire rod was drawn too 
narrowly and, thus, captures within the scope certain products 
petitioners no longer wish to have subject to the orders.
    On August 21, 2003, the Department published a notice of initiation 
of a changed circumstances review of the antidumping duty and 
countervailing duty orders on carbon and certain alloy steel wire rod 
products. See Initiation Notice. In the Initiation Notice, we indicated 
interested parties could submit comments for consideration in the 
Department's preliminary results not later than 14 days after 
publication of the initiation of the review, and submit responses to 
those comments no later than 5 days following the submission of 
comments. On August 22, 2003, petitioners filed comments that stated 
the Initiation Notice contains an error in language with respect to the 
effective date of liquidation of entries because the Initiation Notice 
does not match the intent of petitioners.
     The Initiation Notice stated:
     If, as a result of this review, we revoke the order, in part, we 
intend to instruct the Bureau of Customs and Border Protection 
(Customs) to liquidate without regard to antidumping duties, as 
applicable, and to refund any estimated antidumping duties collected 
for all unliquidated entries of the tire cord wire rod products meeting 
the specifications indicated above, as of July 24, 2003, the date this 
changed circumstances review request was filed by Petitioners, in 
accordance with 19 CFR 351.222(g)(4).
    Initiation Notice, 68 Fed. Reg. 50,513, at 50,515. Petitioners 
claim this language could be read to mean that all unliquidated entries 
existing as of July 24, 2003 will be subject to the terms of the 
changed scope. The phrase ``as of July 24, 2003'' could also be read to 
mean that entries made prior to July 24, 2003 that were subject to the 
original scope would now be excluded by the new scope exclusion 
language. Petitioners state such a result is contrary to the plain 
language of petitioners' request and not the intent of the Department's 
Initiation Notice. Petitioners did not otherwise comment on the scope 
of the orders. No other interested party commented on the Initiation 
Notice.
    On October 6, 2003, the Department took account of the petitioners' 
comments and published the preliminary results of the changed 
circumstances review. See Preliminary Results. In the Preliminary 
Results, we again afforded interested parties an opportunity to submit 
comments for consideration in the Department's final results. We did 
not receive any comments following the Preliminary Results.

Scope of the Orders

    The merchandise covered by these orders is certain hot-rolled 
products of carbon steel and alloy steel, in coils, of approximately 
round cross section, 5.00 mm or more, but less than 19.00 mm, in solid 
cross-sectional diameter.
    Specifically excluded are steel products possessing the above-noted 
physical characteristics and meeting the Harmonized Tariff Schedule of 
the United States (HTSUS) definitions for (a) stainless steel; (b) tool 
steel; c) high nickel steel; (d) ball bearing steel; and (e) concrete 
reinforcing bars and rods. Also excluded are (f) free machining steel 
products (i.e., products that contain by weight one or more of the 
following elements: 0.03 percent or more of lead, 0.05 percent or more 
of bismuth, 0.08 percent or more of sulfur, more than 0.04 percent of 
phosphorus, more than 0.05 percent of selenium, or more than 0.01 
percent of tellurium).
    Also excluded from the scope are 1080 grade tire cord quality wire 
rod and 1080 grade tire bead quality wire rod. This grade 1080 tire 
cord quality rod is defined as: (i) grade 1080 tire cord quality wire 
rod measuring 5.0 mm or more but not more than 6.0 mm in cross-
sectional diameter; (ii) with an average partial decarburization of no 
more than 70 microns in depth (maximum individual 200 microns); (iii) 
having no inclusions greater than 20 microns; (iv) having a carbon 
segregation per heat average of 3.0 or better using European Method NFA 
04-114; (v) having a surface quality with no surface defects of a 
length greater than 0.15 mm; (vi) capable of being drawn to a diameter 
of 0.30 mm or less with 3 or fewer breaks per ton, and (vii) containing 
by weight the following elements in the proportions shown: (1) 0.78 
percent or more of carbon, (2) less than 0.01 percent of aluminum, (3) 
0.040 percent or less, in the aggregate, of phosphorus and sulfur, (4) 
0.006 percent or less of nitrogen, and (5) not more than 0.15 percent, 
in the aggregate, of copper, nickel and chromium.
    This grade 1080 tire bead quality rod is defined as: (i) grade 1080 
tire bead quality wire rod measuring 5.5 mm or more but not more than 
7.0 mm in cross-sectional diameter; (ii) with an average partial 
decarburization of no more than 70 microns in depth (maximum individual 
200 microns); (iii) having no inclusions greater than 20 microns; (iv) 
having a carbon segregation per heat average of 3.0 or better using 
European Method NFA 04-114; (v) having a surface quality with no 
surface defects of a length greater than 0.2 mm; (vi) capable of being 
drawn to a diameter of 0.78 mm or larger with 0.5 or fewer breaks per 
ton; and (vii) containing by weight the following elements in the 
proportions shown: (1) 0.78 percent or more of carbon, (2) less than 
0.01 percent of soluble aluminum, (3) 0.040 percent or less, in the 
aggregate, of phosphorus and sulfur, (4) 0.008 percent or less of 
nitrogen, and (5) either not more than 0.15 percent, in the aggregate, 
of copper, nickel and chromium (if chromium is not specified), or not 
more than 0.10 percent

[[Page 64081]]

in the aggregate of copper and nickel and a chromium content of 0.24 to 
0.30 percent (if chromium is specified).
    The designation of the products as ``tire cord quality'' or ``tire 
bead quality'' indicates the acceptability of the product for use in 
the production of tire cord, tire bead, or wire for use in other rubber 
reinforcement applications such as hose wire. These quality 
designations are presumed to indicate that these products are being 
used in tire cord, tire bead, and other rubber reinforcement 
applications, and such merchandise intended for the tire cord, tire 
bead, or other rubber reinforcement applications is not included in the 
scope. However, should petitioners or other interested parties provide 
a reasonable basis to believe or suspect that there exists a pattern of 
importation of such products for other than those applications, end-use 
certification for the importation of such products may be required. 
Under such circumstances, only the importers of record would normally 
be required to certify the end use of the imported merchandise.
    All products meeting the physical description of subject 
merchandise that are not specifically excluded are included in this 
scope.
    The products under investigation are currently classifiable under 
subheadings 7213.91.3010, 7213.91.3090, 7213.91.4510, 7213.91.4590, 
7213.91.6010, 7213.91.6090, 7213.99.0031, 7213.99.0038, 7213.99.0090, 
7227.20.0010, 7227.20.0020, 7227.20.0090, 7227.20.0095, 7227.90.6051, 
7227.90.6053, 7227.90.6058, and 7227.90.6059 of the HTSUS. Although the 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the scope of this proceeding is dispositive.

Scope of Changed Circumstances Review

    The products subject to this changed circumstances antidumping duty 
and countervailing duty administrative review are certain grade 1080 
tire cord steel wire rod and grade 1080 tire bead steel wire rod. Point 
(iii) of the existing definition of these products reads: ``having no 
inclusions greater than 20 microns.'' Petitioners suggest amending this 
to read ``having no non-deformable inclusions greater than 20 microns 
and no deformable inclusions greater than 35 microns.'' Letter from 
petitioners dated July 24, 2003, at 5 (emphases in original).
    Petitioners would then insert an explanatory paragraph after the 
existing definition of tire cord wire rod reading:
     For purposes of the grade 1080 tire cord quality wire rod and the 
grade 1080 tire bead quality wire rod, an inclusion will be considered 
to be deformable if its ratio of length (measured along the axis - that 
is, the direction of rolling - of the rod) over thickness (measured on 
the same inclusion in a direction perpendicular to the axis of the rod) 
is equal to or greater than three. The size of an inclusion for 
purposes of the 20 microns and 35 microns limitations is the 
measurement of the largest dimension observed on a longitudinal section 
measured in a direction perpendicular to the axis of the rod.
    Letter from petitioners dated August 6, 2003, at 6; original 
emphasis deleted.

Final Results of Review and Intent to Revoke in Part the Antidumping 
Duty and Countervailing Duty Orders

    Pursuant to sections 751(d)(1) of the Tariff Act, the Department 
may revoke an antidumping or countervailing duty order, in whole or in 
part, based on a review under section 751(b) of the Tariff Act (i.e., a 
changed circumstances review). Section 751(b)(1) of the Tariff Act 
requires a changed circumstances review to be conducted upon receipt of 
a request which shows changed circumstances sufficient to warrant a 
review. Section 782(h)(1) of the Tariff Act gives the Department the 
authority to revoke an order if producers accounting for substantially 
all of the production of the domestic like product have expressed a 
lack of interest in the continuation of the order. Section 351.222(g) 
of the Department's regulations provides that the Department will 
conduct a changed circumstances administrative review under 19 CFR 
351.216, and may revoke an order (in whole or in part), if it concludes 
that (i) producers accounting for substantially all of the production 
of the domestic like product to which the order pertains have expressed 
a lack of interest in the relief provided by the order, in whole or in 
part, or (ii) if other changed circumstances sufficient to warrant 
revocation exist.
    Since the Department did not receive any comments during the 
comment period opposing the exclusion of certain grade 1080 tire cord 
quality wire rod and grade 1080 tire bead quality wire rod, as defined 
in the ``Scope of Changed Circumstances Review'' above, from the 
antidumping duty and countervailing duty orders, we conclude that 
producers accounting for substantially all of the production of the 
domestic like product to which these orders pertain lack interest in 
the relief provided by the order. For these reasons, the Department is 
revoking the orders on carbon and certain alloy steel wire rod from 
Brazil, Canada, Indonesia, Mexico, Moldova, Trinidad and Tobago, and 
Ukraine, in part, for all entries after the date of the petitioners' 
request with regard to the products which meet the specifications above 
in accordance with sections 751(b) and (d) and 782(h) of the Tariff Act 
and 19 CFR 351.216. We will instruct U.S. Customs and Border Protection 
to liquidate all entries of subject products entered, or withdrawn from 
warehouse, for consumption on or after July 24, 2003, the effective 
date of the revocation, in part, of these orders, in accordance with 19 
CFR 351.222(g)(4).
    This notice also serves as a reminder to parties subject to 
administrative protective orders (APOs) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.306. Timely written notification of 
the return/destruction of APO materials or conversion to judicial 
protective order is hereby requested. Failure to comply with the 
regulations and terms of an APO is a sanctionable violation.
    This determination is issued and published in accordance with 
sections 751(b)(1) and 777(i)(1) of the Tariff Act and 19 CFR 351.216 
and 351.222 of the Department's regulations.

    Dated: November 5, 2003.
James J. Jochum,
Assistant Secretary for Import Administration.
[FR Doc. 03-28338 Filed 11-10-03; 8:45 am]
BILLING CODE 3510-DS-S