[Federal Register Volume 69, Number 89 (Friday, May 7, 2004)]
[Notices]
[Pages 25560-25561]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-10483]



[[Page 25560]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-122-840]


Carbon and Certain Alloy Steel Wire Rod From Canada; Final 
Results of Antidumping Duty Changed Circumstances Review

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

ACTION: Notice of final results of antidumping duty changed 
circumstances review.

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DATES: Effective Date: May 7, 2004.
SUMMARY: On February 25, 2004, the Department of Commerce (the 
Department) published a notice of initiation and preliminary results of 
changed circumstances review of the antidumping duty order on carbon 
and certain alloy steel wire rod from Canada. In it, the Department 
preliminary determined that only merchandise both produced and exported 
by the Stelco Group (Stelco, Inc. and Stelwire Ltd.) is excluded from 
the order. See Notice of Initiation and Preliminary Results of 
Antidumping Duty Changed Circumstances Review, 69 FR 8623 (February 25, 
2004) (Preliminary Results). Interested parties were given an 
opportunity to comment on the preliminary results; the petitioners \1\ 
submitted comments on March 26, 2004, endorsing our preliminary 
results. Since we received no other comments, the final results do not 
differ from the preliminary results of review.
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    \1\ The petitioners in this proceeding are Co-Steel Raritan, 
Inc., GS Industries, Inc., Keystone Consolidated Industries, Inc., 
and North Star Steel Texas, Inc.

FOR FURTHER INFORMATION CONTACT: Daniel O'Brien or Constance Handley, 
at (202) 482-1376 or (202) 482-0631, respectively; AD/CVD Enforcement 
Office 5, Group II, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street & Constitution 
Avenue, NW., Washington, DC 20230.

Background

    The Stelco Group received a de minimis margin in the investigation 
and was excluded from the antidumping duty order. Several months after 
the publication of the antidumping duty order, the Department received 
requests for clarification regarding the Stelco Group's exclusion from 
the order. Specifically, parties inquired as to whether all products 
produced by the Stelco Group, or only those both produced and exported 
by the Stelco Group, are excluded from the antidumping order. These 
inquiries resulted from inconsistent language in the order and in our 
instructions to U.S. Customs and Border Protection (CBP), then known as 
the U.S. Customs Service, regarding the order.
    On February 25, 2004, the Department published its preliminary 
results, finding that only merchandise both produced and exported by 
the Stelco Group is excluded from the order.

Scope of the Review

    The merchandise covered by this order 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 non-deformable inclusions greater than 20 microns and no 
deformable inclusions greater than 35 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 non-deformable inclusions greater than 
20 microns and no deformable inclusions greater than 35 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 in the aggregate of copper and nickel and a 
chromium content of 0.24 to 0.30 percent (if chromium is specified).
    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. This 
measurement methodology applies only to inclusions on certain grade 
1080 tire cord quality wire rod and certain grade 1080 tire bead 
quality wire rod that are entered, or withdrawn from warehouse, for 
consumption on or after July 24, 2003.
    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

[[Page 25561]]

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.

Final Results of Review

    We find that only merchandise produced and exported by the Stelco 
Group is excluded from the antidumping duty order. For a complete 
discussion of the basis of this decision, see the Preliminary Results. 
Because we received no comments, other than those supporting the 
Department's preliminary results, we have adopted the same position in 
these final results.
    Effective as of the date of these final results, we will instruct 
CBP to continue to liquidate without regard to antidumping duties 
subject merchandise produced and exported by the Stelco Group. For all 
merchandise produced but not exported by the Stelco Group we will 
instruct CBP to collect a cash deposit equal to the rate established 
for the exporter, or if the exporter does not have its own rate, the 
``All Others'' rate of 8.11 percent. Furthermore, for the period prior 
to the effective date of the final results of this changed 
circumstances review, we will instruct CBP to liquidate any entries of 
merchandise produced by Stelco, regardless of exporter, without regard 
to antidumping duties.
    We are issuing and publishing this finding and notice in accordance 
with sections 751(b)(1) and 777(i)(1) of the Act and sections 351.216 
and 351.221(c)(3) of the Department's regulations.

    Dated: April 30, 2004.
James J. Jochum,
Assistant Secretary for Import Administration.
[FR Doc. 04-10483 Filed 5-6-04; 8:45 am]
BILLING CODE 3510-DS-P