[Federal Register Volume 72, Number 239 (Thursday, December 13, 2007)]
[Notices]
[Pages 70820-70821]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-24187]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-820]


Fresh Tomatoes From Mexico

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

ACTION: Notice of intent to terminate suspension agreement, intent to 
terminate the five-year sunset review, and intent to resume antidumping 
investigation: fresh tomatoes from Mexico.

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SUMMARY: On November 26, 2007, Mexican tomato growers accounting for a 
large percentage of all fresh tomatoes imported into the United States 
from Mexico provided written notice to the Department of Commerce of 
their withdrawal from the agreement suspending the antidumping 
investigation on fresh tomatoes from Mexico. Because the suspension 
agreement will no longer cover substantially all imports of fresh 
tomatoes from Mexico, the Department of Commerce intends to terminate 
the suspension agreement, terminate the five-year sunset review, and 
resume the antidumping investigation.

DATES: Effective Date: December 13, 2007.

FOR FURTHER INFORMATION CONTACT: Judith Wey Rudman or Jay Carreiro at 
(202) 482-0192 or (202) 482-3674, respectively; Office of Policy, 
Import Administration, International Trade Administration, U.S. 
Department of Commerce, 14th Street & Constitution Avenue, NW., 
Washington, DC 20230.

Applicable Statute and Regulations

    Unless otherwise indicated, all citations to the statute are 
references to the provisions effective January 1, 1995, the effective 
date of the amendments made to the Tariff Act of 1930 (the Act) by the 
Uruguay Round Agreements Act. In addition, unless otherwise indicated, 
all citations to Department of Commerce (Department) regulations refer 
to the regulations codified at 19 CFR part 353 (1996).

SUPPLEMENTARY INFORMATION:

Background

    On April 18, 1996, the Department initiated an antidumping 
investigation to determine whether imports of fresh tomatoes from 
Mexico are being, or are likely to be, sold in the United States at 
less than fair value (LTFV) (61 FR 18377, April 25, 1996). On May 16, 
1996, the United States International Trade Commission (ITC) notified 
the Department of its affirmative preliminary injury determination.
    On October 10, 1996, the Department and Mexican tomato growers 
initialed a proposed agreement to suspend the antidumping 
investigation. On October 28, 1996, the Department preliminarily 
determined that imports of fresh tomatoes from Mexico are being sold at 
LTFV in the United States. See Notice of Preliminary Determination of 
Sales at Less Than Fair Value and Postponement of Final Determination: 
Fresh Tomatoes from Mexico, 61 FR 56608 (November 1, 1996) 
(``Preliminary Determination''). On the same day on which the 
Department issued the Preliminary Determination, the Department and 
certain growers/exporters of fresh tomatoes from Mexico signed an 
agreement to suspend the investigation (1996 Suspension Agreement). See 
Suspension of Antidumping Investigation: Fresh Tomatoes from Mexico, 61 
FR 56618 (November 1, 1996).
    On May 31, 2002, Mexican tomato growers/exporters accounting for a 
significant percentage of all fresh tomatoes imported into the United 
States from Mexico provided written notice to the Department of their 
withdrawal from the 1996 Suspension Agreement, effective July 30, 2002. 
Because the 1996 Suspension Agreement would no longer cover 
substantially all imports of fresh tomatoes from Mexico, effective July 
30, 2002, the Department terminated the 1996 Suspension Agreement, 
terminated the sunset review of the suspended investigation, and 
resumed the antidumping investigation. See Notice of Termination of 
Suspension Agreement, Termination of Sunset Review, and Resumption of 
Antidumping Investigation: Fresh Tomatoes from Mexico, 67 FR 50858 
(August 6, 2002).
    On November 8, 2002, the Department and Mexican tomato growers/
exporters initialed a proposed agreement suspending the resumed 
antidumping investigation on imports of fresh tomatoes from Mexico. On 
December 4, 2002, the Department and certain growers/exporters of fresh 
tomatoes from Mexico signed a new suspension agreement (``2002 
Suspension Agreement''). See Suspension of Antidumping Investigation: 
Fresh Tomatoes From Mexico, 67 FR 77044 (December 16, 2002). On 
November 3, 2003, the Department published the Final Results of 
Analysis of Reference Prices and Clarifications and Corrections; 
Agreement Suspending the Antidumping Duty Investigation on Fresh 
Tomatoes From Mexico, 68 FR 62281 (November 3, 2003).
    On November 26, 2007, Mexican tomato growers/exporters accounting 
for a significant percentage of all fresh tomatoes imported into the 
United States from Mexico provided written notice to the Department of 
their withdrawal from the 2002 Suspension Agreement.

Scope of the Investigation

    The merchandise subject to this investigation is all fresh or 
chilled tomatoes (fresh tomatoes) which have Mexico as their origin, 
except for those tomatoes which are for processing. For purposes of 
this investigation, processing is defined to include preserving by any 
commercial process, such as canning, dehydrating, drying, or the 
addition of chemical substances, or converting the tomato product into 
juices, sauces, or purees. Fresh tomatoes that are imported for cutting 
up, not further processing (e.g., tomatoes used

[[Page 70821]]

in the preparation of fresh salsa or salad bars), are covered by this 
Agreement.
    Commercially grown tomatoes, both for the fresh market and for 
processing, are classified as Lycopersicon esculentum. Important 
commercial varieties of fresh tomatoes include common round, cherry, 
grape, plum, greenhouse, and pear tomatoes, all of which are covered by 
this investigation.
    Tomatoes imported from Mexico covered by this investigation are 
classified under the following subheadings of the Harmonized Tariff 
Schedules of the United States (HTSUS), according to the season of 
importation: 0702 and 9906.07.01 through 9906.07.09. Although the HTSUS 
numbers are provided for convenience and customs purposes, the written 
description of the scope of this investigation is dispositive.

Intent To Terminate Suspension Agreement and Resume the Antidumping 
Investigation

    On November 26, 2007, Mexican tomato growers/exporters accounting 
for a significant percentage of all fresh tomatoes imported into the 
United States from Mexico provided written notice to the Department of 
their withdrawal from the 2002 Suspension Agreement, effective 90 days 
from the date of their withdrawal letter, or earlier, at the 
Department's discretion. Based on the withdrawal of the growers/
exporters accounting for a significant percentage of exports of 
tomatoes to the United States from the 2002 Suspension Agreement, the 
2002 Suspension Agreement will no longer cover substantially all 
imports of fresh tomatoes from Mexico. Accordingly, the Department 
intends to terminate the 2002 Suspension Agreement, effective no later 
than February 24, 2008.

Intent To Resume Antidumping Investigation

    With the termination of the suspension agreement, in accordance 
with section 734(i)(1)(B) of the Act, the Department intends to resume 
the underlying antidumping investigation. Pursuant to section 
734(i)(1)(B) of the Act, the Department intends to resume the 
investigation as if it had published the affirmative preliminary 
determination under section 733(b) of the Act on the effective date of 
the termination. As explained in the Preliminary Determination at 61 FR 
56609, the Department postponed the final determination until the 135th 
day after the date of the preliminary determination. The Department 
therefore intends to make its final determination in the resumed 
investigation within 135 days of termination of the 2002 Suspension 
Agreement.

Intent To Terminate the Five-Year Sunset Review

    On November 1, 2007, the Department initiated a five-year sunset 
review of the suspended antidumping investigation on fresh tomatoes 
from Mexico pursuant to section 751(c) of the Act (See Initiation of 
Five-Year (``Sunset'') Reviews, 72 FR 61861 (November 1, 2007).
    If the Department terminates the 2002 Suspension Agreement, there 
will no longer be a suspended investigation of which to perform a 
sunset review. Therefore, the Department announces its intent to 
terminate the sunset review of the suspended LTFV investigation on 
fresh tomatoes from Mexico, effective on the date of termination of the 
2002 Suspension Agreement.

International Trade Commission

    The Department has notified the International Trade Commission 
(ITC) of its intent to terminate the 2002 Suspension Agreement and 
resume the LTFV investigation. If the Department makes a final 
affirmative determination, the ITC is scheduled to make its final 
determination concerning injury within 45 days after publication of the 
Department's final determination. If both the Department's and the 
ITC's final determinations are affirmative, the Department will issue 
an antidumping duty order.

Suspension of Liquidation

    The Department will instruct U.S. Customs and Border Protection 
(CBP) to suspend liquidation of entries of fresh tomatoes from Mexico 
that are entered, or withdrawn from warehouse, for consumption on or 
after the effective date of the termination of the 2002 Suspension 
Agreement. CBP shall require antidumping duty cash deposits or bonds 
for entries of the subject merchandise based on the preliminary dumping 
margins, which range from 4.16 to 188.45 percent.

Administrative Protective Order Access

    Administrative protective orders previously granted in the original 
investigation will remain in effect. Any necessary amendments for 
changes in staff must be submitted promptly. Parties must use the APO 
application form in effect at the time of the original investigation, 
Form ITA-367 (3.89).
    This determination is issued and published in accordance with 
section 733(f) of the Act (19 U.S.C. 1673b(f)) and 19 CFR 353.15(1996).

    Dated: December 7, 2007.
David M. Spooner,
Assistant Secretary for Import Administration.
[FR Doc. E7-24187 Filed 12-12-07; 8:45 am]
BILLING CODE 3510-DS-P