[Federal Register Volume 81, Number 221 (Wednesday, November 16, 2016)]
[Notices]
[Pages 80638-80640]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-27518]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-830]


Carbon and Certain Alloy Steel Wire Rod From Mexico: Preliminary 
Results of Antidumping Duty Administrative Review; 2014-2015

AGENCY: Enforcement and Compliance, International Trade Administration, 
U.S. Department of Commerce.

SUMMARY: The Department of Commerce (the Department) is conducting an 
administrative review of the antidumping duty order on carbon and 
certain alloy steel wire rod (wire rod) from Mexico. The period of 
review (POR) is October 1, 2014 through September 30, 2015. This review 
covers two producers/exporters of the subject merchandise: Deacero 
S.A.P.I. de C.V. (aka Deacero S.A. de C.V., hereinafter referred to as 
Deacero) and ArcelorMittal Las Truchas, S.A. de C.V. (AMLT). We 
preliminarily determine that Deacero made sales of subject merchandise 
at less than normal value (NV) during the POR. Additionally, we 
preliminarily determine that AMLT had no shipments during the POR. 
Interested parties are invited to comment on these preliminary results.

DATES: Effective November 16, 2016.

FOR FURTHER INFORMATION CONTACT: James Terpstra AD/CVD Operations, 
Office III, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone 202-482-3965.

Background

    On December 3, 2015, the Department published a notice of 
initiation \1\ of an administrative review of the antidumping duty 
order on wire rod from Mexico.\2\ On June 27, 2016, the Department 
extended the deadline for the preliminary results to November 4, 
2016.\3\
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    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 80 FR 75657 (December 3, 2015).
    \2\ 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 (October 29, 2002) 
(Wire Rod Order).
    \3\ See Memorandum to Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, 
``Carbon and Certain Alloy Steel Wire Rod from Mexico: Extension of 
Deadline for Preliminary Results of Antidumping Duty Administrative 
Review,'' dated June 27, 2016.
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Scope of the Order

    The merchandise covered by the Wire Rod Order is carbon and certain 
alloy steel wire rod. The product is currently classified under the 
Harmonized Tariff Schedule of the United States (HTSUS) item numbers 
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, 7227.90.6030, 7227.90.6035, 
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. Although the HTS numbers 
are provided for convenience and customs purposes, the written product 
description remains dispositive.\4\
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    \4\ For a complete description of the scope of the order, see 
Memorandum from Christian Marsh, Deputy Assistant Secretary for 
Antidumping and Countervailing Duty Operations, to Paul Piquado, 
Assistant Secretary for Enforcement and Compliance, ``Decision 
Memorandum for Preliminary Results of 2014/15 Antidumping Duty 
Administrative Review: Carbon and Certain Alloy Steel Wire Rod from 
Mexico'' (Preliminary Decision Memorandum), dated concurrently with 
these preliminary results.
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    On October 1, 2012, the Department determined that wire rod with an 
actual diameter of 4.75 mm to 5.00 mm (hereinafter referred to as 
narrow gauge wire rod) produced in Mexico and exported to the United 
States by Deacero was circumventing the Wire Rod Order.\5\ 
Specifically, the Department determined that Deacero's shipments to the 
United States of narrow gauge wire rod constitute merchandise altered 
in form or appearance in such minor respects that it should be included 
within the scope of the Wire Rod Order.\6\ The Department's affirmative 
finding in the Final Circumvention Determination applied solely to 
Deacero.
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    \5\ See Carbon and Certain Alloy Steel Wire Rod From Mexico: 
Affirmative Final Determination of Circumvention of the Antidumping 
Order, 77 FR 59892 (October 1, 2012) (Final Circumvention 
Determination) and accompanying Issues and Decision Memorandum.
    \6\ Id.
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    The Federal Circuit upheld the Department's finding in the Final 
Circumvention Determination that narrow gauge wire rod produced in 
Mexico and exported to the United States by Deacero was circumventing 
the Wire Rod Order.\7\ As a result, we have treated Deacero's sales of 
narrow

[[Page 80639]]

gauge wire rod to the United States as subject merchandise.
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    \7\ See Deacero S.A. de C.V. v. United States, No. 15-1362 
(Federal Circuit) (April 5, 2016) (Deacero) at 12.
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Preliminary Determination of No Shipments

    AMLT reported that it made no sales of subject merchandise during 
the POR.\8\ On December 24, 2015, we issued a no-shipment inquiry to 
U.S. Customs and Border Protection (CBP) to confirm AMLT's claim of no 
shipments. We did not receive any contradictory information from 
CBP.\9\ Based on AMLT's claim of no shipments and because no 
information to the contrary was received by the Department from CBP, we 
preliminarily determine that AMLT had no shipments of subject 
merchandise, and, therefore, no reviewable transactions, during the 
POR. For a full discussion of this determination, see the Preliminary 
Decision Memorandum.
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    \8\ See AMLT's no-shipment certification letter, dated December 
14, 2015.
    \9\ See the Department's no-shipment inquiry message to CBP, 
dated December 24, 2015.
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Methodology

    The Department is conducting this review in accordance with section 
751(a)(2) of the Tariff Act of 1930, as amended (the Act). Constructed 
export prices or export prices are calculated in accordance with 
section 772 of the Act. Normal value is calculated in accordance with 
section 773 of the Act.
    For a full description of the methodology underlying our 
conclusions, see the Preliminary Decision Memorandum. A list of topics 
discussed in the Preliminary Decision Memorandum is included as an 
appendix to this notice. The Preliminary Decision Memorandum is a 
public document and is on file electronically via Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (ACCESS). ACCESS is available to registered users at 
https://access.trade.gov and is available to all parties in the Central 
Records Unit, Room B8024 of the main Department of Commerce building. 
In addition, a complete version of the Preliminary Decision Memorandum 
can be accessed directly on the Internet at http://enforcement.trade.gov/frn/index.html. The signed Preliminary Decision 
Memorandum and the electronic version of the Preliminary Decision 
Memorandum are identical in content.

Preliminary Results of the Review

    As a result of this review, we preliminarily determine that the 
weighted-average dumping margin for the POR is as follows:

------------------------------------------------------------------------
                                                              Weighted-
                                                               average
                     Producer/exporter                         dumping
                                                                margin
                                                              (percent)
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Deacero S.A.P.I. de C.V. (aka Deacero S.A. de C.V.)........       17.02
------------------------------------------------------------------------

Assessment Rate

    Upon issuance of the final results, the Department shall determine, 
and CBP shall assess, antidumping duties on all appropriate entries 
covered by this review. For any individually examined respondents whose 
weighted-average dumping margin is above de minimis, we will calculate 
importer-specific ad valorem duty assessment rates based on the ratio 
of the total amount of dumping calculated for the importer's examined 
sales to the total entered value of those same sales in accordance with 
19 CFR 351.212(b)(1).\10\ We will instruct CBP to assess antidumping 
duties on all appropriate entries covered by this review when the 
importer-specific assessment rate calculated in the final results of 
this review is above de minimis (i.e., 0.50 percent). Where either the 
respondent's weighted-average dumping margin is zero or de minimis, or 
an importer-specific assessment rate is zero or de minimis, we will 
instruct CBP to liquidate the appropriate entries without regard to 
antidumping duties. The final results of this review shall be the basis 
for the assessment of antidumping duties on entries of merchandise 
covered by the final results of this review where applicable.
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    \10\ In these preliminary results, the Department applied the 
assessment rate calculation method adopted in Antidumping 
Proceedings: Calculation of the Weighted-Average Dumping Margin and 
Assessment Rate in Certain Antidumping Proceedings: Final 
Modification, 77 FR 8101 (February 14, 2012).
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    In accordance with the Department's ``automatic assessment'' 
practice, for entries of subject merchandise during the POR produced by 
each respondent for which they did not know that their merchandise was 
destined for the United States, we will instruct CBP to liquidate 
unreviewed entries at the all-others rate if there is no rate for the 
intermediate company(ies) involved in the transaction. For a full 
discussion of this clarification, see Antidumping and Countervailing 
Duty Proceedings: Assessment of Antidumping Duties, 68 FR 23954 (May 6, 
2003).
    We intend to issue instructions to CBP 15 days after publication of 
the final results of this review.

Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of the notice of final results of administrative review for 
all shipments of subject merchandise entered, or withdrawn from 
warehouse, for consumption on or after the publication of the final 
results of this administrative review, as provided by section 751(a)(2) 
of the Act: (1) The cash deposit rate for Deacero will be equal to the 
weighted-average dumping margin established in the final results of 
this administrative review; (2) for merchandise exported by 
manufacturers or exporters not covered in this administrative review 
but covered in a prior completed segment of the proceeding, the cash 
deposit rate will continue to be the company-specific rate published in 
the completed segment for the most recent period; (3) if the exporter 
is not a firm covered in this review, a prior review, or the original 
investigation, but the manufacturer is, the cash deposit rate will be 
the rate established in the completed segment for the most recent 
period for the manufacturer of the merchandise; and (4) the cash 
deposit rate for all other manufacturers or exporters will continue to 
be 20.11 percent, the all-others rate established in the 
investigation.\11\ These cash deposit requirements, when imposed, shall 
remain in effect until further notice.
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    \11\ See Notice of Final Determination of Sales at Less Than 
Fair Value: Carbon and Certain Alloy Steel Wire Rod From Mexico, 67 
FR 55800 (August 30, 2002).
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Disclosure and Public Comment

    The Department intends to disclose to parties to this proceeding 
the calculations performed in reaching the preliminary results within 
five days of the date of publication of these preliminary results.\12\ 
Pursuant to 19 CFR 351.309(c)(1)(ii), interested parties may submit 
case briefs not later than 30 days after the date of publication of 
this notice. Rebuttal briefs, limited to issues raised in the case 
briefs, may be filed not later than five days after the date for filing 
case briefs.\13\ Parties who submit case briefs or rebuttal briefs in 
this proceeding are requested to submit with the argument: (1) A 
statement of the issue, (2) a brief summary of the argument, and (3) a 
table of authorities.\14\ All briefs must be filed electronically using 
ACCESS. An electronically filed document must be received successfully 
in its entirety by

[[Page 80640]]

the Department's electronic records system, ACCESS.
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    \12\ See 19 CFR 351.224(b).
    \13\ See 19 CFR 351.309(d).
    \14\ See 19 CFR 351.309(c)(2) and (d)(2).
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    Interested parties who wish to request a hearing must submit a 
written request to the Assistant Secretary for Enforcement and 
Compliance, U.S. Department of Commerce, using Enforcement and 
Compliance's ACCESS system within 30 days of publication of this 
notice.\15\ Requests should contain the party's name, address, and 
telephone number, the number of participants, and a list of the issues 
to be discussed. If a request for a hearing is made, we will inform 
parties of the scheduled date for the hearing which will be held at the 
U.S. Department of Commerce, 14th Street and Constitution Avenue NW., 
Washington, DC 20230, at a time and location to be determined.\16\ 
Parties should confirm by telephone the date, time, and location of the 
hearing.
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    \15\ See 19 CFR 351.310(c).
    \16\ See 19 CFR 351.310.
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    Unless the deadline is extended pursuant to section 751(a)(3)(A) of 
the Act and 19 CFR 351.213(h)(2), the Department will issue the final 
results of this administrative review, including the results of our 
analysis of the issues raised by the parties in their case briefs, 
within 120 days after issuance of these preliminary results.

Notification to Importers

    This notice serves as a preliminary 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 review period. Failure to comply 
with this requirement could result in the Department's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of double antidumping duties.
    These preliminary results of review are issued and published in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: November 3, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. No Shipments
IV. Scope of the Order
V. Discussion of Methodology
    A. Sales Reporting
    B. Date of Sale
    C. Comparisons to Normal Value
    D. Product Comparisons
    E. Determination of Comparison Method
    F. Results of Differential Pricing (DP) Analysis
    G. U.S. Price
    H. Normal Value
    I. Cost of Production Analysis
    J. Affiliated Respondents
    K. Currency Conversion
VI. Recommendation

[FR Doc. 2016-27518 Filed 11-15-16; 8:45 am]
 BILLING CODE 3510-DS-P