[Federal Register Volume 83, Number 220 (Wednesday, November 14, 2018)]
[Notices]
[Pages 56800-56802]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-24801]


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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; 2016-2017

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

SUMMARY: The Department of Commerce (Commerce) preliminarily determines 
that sales of carbon and certain alloy steel wire rod (wire rod) from 
Mexico were made at less than normal value during the period of review 
(POR), October 1, 2016, through September 30, 2017. We invite 
interested parties to comment on these preliminary results.

DATES: Applicable November 14, 2018.

FOR FURTHER INFORMATION CONTACT: Jolanta Lawska, AD/CVD Operations, 
Office III, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone (202) 482-8362.

Background

    On October 29, 2002 Commerce published the Wire Rod Order in the 
Federal Register.\1\ On December 7, 2017, pursuant to section 751(a)(1) 
of the Tariff Act of 1930, as amended (the Act), Commerce initiated an 
administrative review of the Wire Rod Order \2\ covering Deacero 
S.A.P.I. de C.V. (Deacero), ArcelorMittal Las Truchas, S.A. de C.V. 
(AMLT), ArcelorMittal Mexico S.A. de C.V. (AMM) (successor-in-interest 
to AMLT),\3\ and Ternium Mexico S.A. de C.V. (Ternium). On May 31, 
2018, Commerce extended the deadline for the preliminary results to 
November 5, 2018.\4\ For a complete description of the events that 
followed the initiation of this review, see the Preliminary Decision 
Memorandum.\5\
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    \1\ 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).
    \2\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 82 FR 57705, 57707 (December 7, 2017).
    \3\ See Final Results of Changed Circumstances Review: 
Antidumping Duty Order on Carbon and Certain Alloy Steel Wire Rod 
from Mexico, 82 FR 53456 (November 16, 2017) (Final Results of 
Changed Circumstances Review), in which Commerce determined that AMM 
is the successor-in-interest to AMLT.
    \4\ See Memorandum, ``Carbon and Certain Alloy Steel Wire Rod 
from Mexico: Extension of Deadline for Preliminary Results of 
Antidumping Duty Administrative Review,'' dated May 31, 2018.
    \5\ See ``Decision Memorandum for the Preliminary Results of 
Antidumping Duty Administrative Review: Carbon and Certain Alloy 
Steel Wire Rod from Mexico; 2016-2017,'' dated concurrently and 
hereby adopted by this notice (Preliminary Decision Memorandum).
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Scope of the Order

    The product covered by the Wire Rod Order is wire rod, in coils, of 
approximately round cross section, 5.00 mm or more, but less than 19.00 
mm, in solid cross-sectional diameter. The subject merchandise is 
currently classifiable under the Harmonized Tariff Schedule of the 
United States (HTSUS) 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, 7227.90.6030, 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. The HTSUS subheadings are provided for convenience and 
customs purposes only; the written product description remains 
dispositive. A full description

[[Page 56801]]

of the scope of the Wire Rod Order is contained in the Preliminary 
Decision Memorandum.

Preliminary Determination of No Shipments

    On December 12, 2017, we received a timely-filed submission on 
behalf of AMM and its predecessor-in-interest AMLT that AMM/AMLT made 
no exports, sales, or entries of subject merchandise to the United 
States during the POR. To confirm AMM's no shipment claim, Commerce 
issued a no-shipment inquiry to U.S. Customs and Border Protection 
(CBP) requesting that it confirm AMM/AMLT had no shipments during the 
POR. CBP did not report that it had any information to contradict the 
claim of no shipments during the POR.
    Given that AMM certified that AMM/AMLT made no shipments of subject 
merchandise to the United States during the POR, and there is no 
information calling its claims into question, we preliminarily 
determine that AMM/AMLT did not have any shipments during the POR. 
Consistent with Commerce's practice, we will not rescind the review 
with respect to AMM/AMLT but, rather, will complete the review and 
issue instructions to CBP based on the final results.\6\
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    \6\ See, e.g., Certain Frozen Warmwater Shrimp from Thailand; 
Preliminary Results of Antidumping Duty Administrative Review, 
Partial Rescission of Review, Preliminary Determination of No 
Shipments; 2012-2013, 79 FR 15951, 15952 (March 24, 2014), unchanged 
in Certain Frozen Warmwater Shrimp from Thailand: Final Results of 
Antidumping Duty Administrative Review, Final Determination of No 
Shipments, and Partial Rescission of Review; 2012-2013, 79 FR, at 
51306-51307 (August 28, 2014).
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Application of Adverse Facts Available With Regard to Ternium

    Because Ternium failed to response to Commerce's questionnaire, we 
preliminarily find that necessary information is not on the record and 
that Ternium failed to cooperate to the best of its ability to comply 
with a request for information from Commerce in this review. As a 
result, we have preliminarily based Ternium's dumping margin on facts 
otherwise available with an adverse inference (AFA), in accordance with 
sections 776(a) and (b) of the Act and 19 CFR 351.308. As AFA, we have 
preliminarily assigned Ternium a dumping margin of 40.52 percent. For 
further discussion, see the Preliminary Decision Memorandum.

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(1)(B) of the Act. Export and constructed export price were 
calculated in accordance with section 772 of the Act. Normal value was 
calculated in accordance with section 773 of the Act. For a full 
description of the methodology underlying our conclusions, see the 
Preliminary Decision Memorandum. 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. A list of topics discussed in the 
Preliminary Decision Memorandum is attached as an Appendix to this 
notice.

Preliminary Results of the Review

    As a result of this review, we preliminarily determine the 
following weighted-average dumping margins exist for the POR:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margins
                                                               (percent)
------------------------------------------------------------------------
Deacero S.A.P.I de C.V......................................       17.65
Ternium Mexico S.A. de C.V (Ternium)........................       40.52
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Assessment Rates

    Upon issuance of the final results, Commerce shall determine, and 
CBP shall assess, antidumping duties on all appropriate entries covered 
by this review. If the weighted-average dumping margin for Deacero is 
not zero or de minimis (i.e., less than 0.5 percent), we will calculate 
importer-specific ad valorem antidumping 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).\7\ 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., 0.5 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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    \7\ In the preliminary results, Commerce 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 Commerce'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 
entries not reviewed at the all-others rate of 20.11 percent \8\ if 
there is no rate for the intermediate company(ies) involved in the 
transaction. We intend to issue instructions to CBP 15 days after 
publication of the final results of this review.
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    \8\ See Wire Rod Order, 67 FR at 65947.
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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 wire rod from Mexico entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of the 
final results, as provided by section 751(a)(2) of the Act: (1) The 
cash deposit rate for the firms listed above will be equal to the 
dumping margins established in the final results of this review, except 
if the ultimate rates are de minimis within the meaning of 19 CFR 
351.106(c)(1), in which case the cash deposit rates will be zero; (2) 
for merchandise exported by producers or exporters not covered in this 
administrative review but covered in a prior segment of the proceeding, 
the cash deposit rate will continue to be the company-specific rate 
published for the most recently completed segment of this proceeding in 
which the producer or exporter participated; (3) if the exporter is not 
a firm covered in this review, a prior review, or the original less-
than-fair-value investigation but the producer is, the cash deposit 
rate will be the rate established for the most recently completed 
segment of the proceeding for the producer of the merchandise; and (4) 
the cash deposit rate for all other

[[Page 56802]]

producers or exporters will continue to be 20.11 percent, the all-
others rate established in the antidumping duty investigation.\9\ These 
cash deposit requirements, when imposed, shall remain in effect until 
further notice.
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    \9\ Id.
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Disclosure

    We intend to disclose the calculations performed in these 
preliminary results to parties in this proceeding within five days of 
the date of publication of this notice.\10\
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    \10\ See 19 CFR 351.224(b).
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Public Comment

    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 no later than five days after the date for filing 
case briefs.\11\ Parties who submit case briefs or rebuttal briefs in 
this proceeding are encouraged to submit with each argument: (1) A 
statement of the issue; (2) a brief summary of the argument; and (3) a 
table of authorities.\12\ All briefs must be filed electronically using 
ACCESS. An electronically filed document must be received successfully 
in its entirety by the established deadline.
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    \11\ See 19 CFR 351.309(d).
    \12\ See 19 CFR 351.309(c)(2) and (d)(2) and 19 CFR 351.303 (for 
general filing requirements).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, within 30 days after the date of 
publication of this notice. Requests should contain: (1) The party's 
name, address, and telephone number; (2) the number of participants; 
and (3) a list of issues to be discussed. If a request for a hearing is 
made, Commerce intends to hold the hearing at the U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230, at a time 
and date to be determined. Parties should confirm by telephone the 
date, time, and location of the hearing two days before the scheduled 
date.
    We intend to issue the final results of this administrative review, 
including the results of our analysis of the issues raised in any 
written briefs, not later than 120 days after the date of publication 
of this notice, pursuant to section 751(a)(3)(A) of the Act.

Notification to Importers

    This notice also 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 Commerce's presumption that 
reimbursement of antidumping duties occurred and the subsequent 
assessment of doubled antidumping duties.

Notification to Interested Parties

    We are issuing and publishing these results in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.213(h)(1).

    Dated: November 5, 2018.
Gary Taverman,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Preliminary Determination of No Shipments
V. Use of Adverse Facts Available
    A. Legal Standard for Facts Available and Adverse Inferences
    B. Application of Total AFA to Ternium
    C. Selection of the AFA Margin Assigned to Ternium
VI. Discussion of the Methodology
    A. Comparisons to Normal Value
    B. Product Comparisons
    C. Date of Sale
    D. Constructed Export Price
    E. Normal Value
    F. Level of Trade
    G. Sales to Affiliated Parties
    H. Calculation of Normal Value Based on Comparison Market Prices
    I. Currency Conversion
VII. Recommendation

[FR Doc. 2018-24801 Filed 11-13-18; 8:45 am]
 BILLING CODE 3510-DS-P