[Federal Register Volume 77, Number 45 (Wednesday, March 7, 2012)]
[Notices]
[Pages 13545-13547]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-5575]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-830]


Carbon and Certain Alloy Steel Wire Rod From Mexico: Notice of 
Final Results of Antidumping Duty Administrative Review

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

SUMMARY: On November 1, 2011, the Department of Commerce (the 
Department) published in the Federal Register the preliminary results 
of the administrative review of the antidumping duty order on carbon 
and certain alloy steel wire rod (wire rod) from Mexico.\1\ This review 
covers imports of wire rod from ArcelorMittal Las Truchas, S.A. de C.V. 
(AMLT) and its affiliate, ArcelorMittal International America LLC 
(AMIA).\2\ The period of review (POR) is October 1, 2009, through 
September 30, 2010.
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    \1\ See Carbon and Certain Alloy Steel Wire Rod from Mexico: 
Notice of Preliminary Results of Antidumping Duty Administrative 
Review 76 FR 67407 (November 1, 2011) (Preliminary Results).
    \2\ We determined that AMLT is the successor-in-interest to 
Sicartsa in an antidumping changed circumstances review. The final 
Federal Register notice was published on July 29, 2011. See Final 
Results of Antidumping Duty Changed Circumstances Review: Carbon and 
Certain Alloy Steel Wire Rod from Mexico, 76 FR 45509 (July 29, 
2011).
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    Based on our analysis of comments received, these final results 
differ from the preliminary results. The final results are listed below 
in the Final Results of Review section.

DATES: Effective Date: March 7, 2012.

FOR FURTHER INFORMATION CONTACT: Jolanta Lawska, AD/CVD Operations, 
Office 3, Import Administration, International Trade Administration, 
U.S. Department of Commerce, 14th Street and Constitution Avenue NW., 
Washington, DC 20230; telephone: (202) 482-8362.

SUPPLEMENTARY INFORMATION:

Background

    On November 1, 2011, the Department published the Preliminary 
Results of the fifth administrative review of the antidumping duty 
order on wire rod from Mexico. See Preliminary Results. We invited 
interested parties to comment on the Preliminary Results. On December 
1, 2011, the Department received case briefs from AMLT and petitioners, 
Nucor Corporation (Nucor) and Cascade Steel Rolling Mills, Inc. 
(Cascade Mills). On December 6, 2011, the Department received rebuttal 
briefs from Nucor and Cascade Mills, and ArcelorMittal USA Inc., 
(ArcelorMittal USA), Gerdau Ameristeel US Inc., (Gerdau), and Evraz 
Rocky Mountain Steel (Evraz Steel). No party requested a hearing.

Scope of the Order

    The merchandise subject to 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

[[Page 13546]]

intended for the tire cord, tire bead, or other rubber reinforcement 
applications is not included in the scope. However, should the 
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 subject to this order are currently classifiable under 
subheadings 7213.91.3000, 7213.91.3010, 7213.91.3011, 7213.91.3015, 
7213.91.3020, 7213.91.3090, 7213.91.3091, 7213.91.3092, 7213.91.3093, 
7213.91.4500, 7213.91.4510, 7213.91.4590, 7213.91.6000, 7213.91.6010, 
7213.91.6090, 7213.99.0030, 7213.99.0031, 7213.99.0038, 7213.99.0090, 
7227.20.0000, 7227.20.0010, 7227.20.0020, 7227.20.0030, 7227.20.0080, 
7227.20.0090, 7227.20.0095, 7227.90.6010, 7227.90.6020, 7227.90.6050, 
7227.90.6051 7227.90.6053, 7227.90.6058, 7227.90.6059, 7227.90.6080, 
and 7227.90.6085 of the HTSUS.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this administrative review are addressed in the Issues and Decision 
Memorandum for the Final Results of the Fifth Administrative Review of 
the Antidumping Duty Order on Carbon and Certain Alloy Steel Wire Rod 
from Mexico from Christian Marsh, Deputy Assistant Secretary for 
Antidumping and Countervailing Duty Operations, to Ronald K. Lorentzen, 
Acting Assistant Secretary for Import Administration, (Decision 
Memorandum), dated concurrently with this notice and which is hereby 
adopted by this notice. A list of the issues which parties have raised, 
and to which we have responded in the Decision Memorandum, is attached 
to this notice as an Appendix. The Decision Memorandum is a public 
document and is on file electronically via Import Administration's 
Antidumping and Countervailing Duty Centralized Electronic Service 
System (IA ACCESS). IA ACCESS is available in the Central Records Unit, 
main Commerce Building, Room 7046. In addition, a complete version of 
the Decision Memorandum can be accessed directly on the Web at http://ia.ita.doc.gov/frn/. The signed Decision Memorandum and electronic 
version of the Decision Memorandum are identical in content.

Changes Since the Preliminary Results

    Based on our analysis of comments received for AMLT, we have 
recalculated AMLT's inland freight expenses incurred in the home 
market. We have applied an inland freight expense of zero for those 
home market transactions in which AMLT reported that no inland freight 
costs were incurred. For all other home market sales, we have continued 
to apply the partial adverse facts available (AFA) methodology utilized 
in the Preliminary Results. AMLT's adjustments are discussed in detail 
in the accompanying Decision Memorandum. See February 29, 2012, Final 
Calculation Memorandum for AMLT.

Final Results of Review

    As a result of our review, we determine that the following 
weighted-average dumping margin exists for the period October 1, 2009, 
through September 30, 2010:

------------------------------------------------------------------------
                                                               Weighted-
                                                                Average
                   Producer/ Manufacturer                       margin
                                                               (Percent)
------------------------------------------------------------------------
AMLT........................................................        5.59
------------------------------------------------------------------------

Assessment Rate

    Pursuant to these final results, the Department has determined, and 
CBP shall assess, antidumping duties on all appropriate entries. The 
Department intends to issue assessment instructions for AMLT to CBP 15 
days after the date of publication of these final results. Pursuant to 
19 CFR 351.212(b)(1), we calculated importer-specific (or customer-
specific) ad valorem duty assessment rates based on the ratio of the 
total amount of the dumping margins calculated for the examined sales 
to the total entered value of those same sales. We will instruct CBP to 
assess antidumping duties on all appropriate entries covered by this 
review if any importer-specific (or customer-specific) assessment rates 
calculated in the final results of this review are above de minimis.
    The Department clarified its ``automatic assessment'' regulation on 
May 6, 2003. See Antidumping and Countervailing Duty Proceedings: 
Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003) (Assessment 
of Antidumping Duties). This clarification will apply to entries of 
subject merchandise during the POR produced by AMLT for which AMLT did 
not know the merchandise was destined for the United States. In such 
instances, we will instruct CBP to liquidate un-reviewed entries at the 
all-others rate if there is no company-specific rate for an 
intermediary involved in the transaction. See Notice of Antidumping 
Duty Orders: Carbon and Certain Alloy Steel Wire Rod from Brazil, 
Indonesia, Mexico, Moldova, Trinidad and Tobago, and Ukraine, 67 FR 
65945, 65947 (October 29, 2002) (Wire Rod Orders) (establishing an all-
others rate of 20.11 percent). See Assessment of Antidumping Duties for 
a full discussion of this clarification.

Cash Deposit Requirements

    The following deposit requirements will be effective upon 
publication of the final results of this administrative review for all 
shipments of wire rod from Mexico entered, or withdrawn from warehouse, 
for consumption on or after the publication date, as provided by 
section 751(a)(1) of the Tariff Act of 1930, as amended (the Act): (1) 
The cash deposit rate for AMLT will be the rate established in the 
final results of review; (2) if the exporter is not a firm covered in 
this review or the less-than-fair-value (LTFV) investigation, but the 
manufacturer is, the cash deposit rate will be the rate established for 
the most recent period for the manufacturer of the merchandise; and (3) 
if neither the exporter nor the manufacturer is a firm covered in this 
or any previous review conducted by the Department, the cash deposit 
rate will be 20.11 percent, the all-others rate established in the LTFV 
investigation. See Wire Rod Orders at 65947. These deposit 
requirements, when imposed, shall remain in effect until further 
notice.

Reimbursement of Duties

    This notice also serves as a final reminder to importers of their 
responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping duties prior to liquidation 
of the relevant entries during this POR. Failure to comply with this 
requirement could result in the Secretary's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties. See 19 CFR 351.402(f)(3).

Notification to Interested Parties

    This notice also serves as a reminder to parties subject to 
administrative protective orders (APO) of their

[[Page 13547]]

responsibility concerning the return or destruction of proprietary 
information disclosed under APO in accordance with 19 CFR 
351.305(a)(3), which continues to govern business proprietary 
information in this segment of the proceeding. 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 violation which is 
subject to sanction.
    These final results of review are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: February 29, 2012.
Ronald K. Lorentzen,
Acting Assistant Secretary for Import Administration.

Appendix

List of Comments:

ArcelorMittal Las Truchas, S.A. de C.V. (AMLT)

Comment 1: Treatment of Sales with Negative Dumping Margins 
(Zeroing)
Comment 2: Application of Partial Adverse Facts Available to 
ArcelorMittal Las Truchas, S.A. de C.V.'s Reported Home Market 
Inland Freight Expenses

[FR Doc. 2012-5575 Filed 3-6-12; 8:45 am]
BILLING CODE 3510-DS-P