[Federal Register Volume 88, Number 230 (Friday, December 1, 2023)]
[Notices]
[Pages 83913-83915]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-26416]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-858]


Brass Rod From Mexico: Preliminary Affirmative Determination of 
Sales at Less Than Fair Value, Postponement of Final Determination, and 
Extension of Provisional Measures

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that brass rod from Mexico is being, or is likely to be, 
sold in the United States at less than fair value (LTFV). The period of 
investigation is April 1, 2022, through March 31, 2023. Interested 
parties are invited to comment on this preliminary determination.

DATES: Applicable December 1, 2023.

FOR FURTHER INFORMATION CONTACT: Frank Schmitt or Jacob Waddell, AD/CVD 
Operations, Office VI, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-4880 and (202) 482-1369, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce 
published the notice of initiation of this investigation on May 24, 
2023.\1\ On September 8, 2023, Commerce postponed the preliminary 
determination of this investigation until November 24, 2023.\2\
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    \1\ See Brass Rod from Brazil, India, Israel, Mexico, the 
Republic of Korea, and South Africa: Initiation of Less-Than-Fair-
Value Investigations, 88 FR 33575 (May 24, 2023) (Initiation 
Notice).
    \2\ See Brass Rod from Brazil, India, Israel, Mexico, the 
Republic of Korea, and South Africa: Postponement of Preliminary 
Determinations in the Less-Than-Fair-Value Investigations, 88 FR 
62054 (September 8, 2023).
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    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\3\ A list of topics discussed in the Preliminary Decision 
Memorandum is included as Appendix II 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. In addition, a complete 
version of the Preliminary Decision Memorandum can be accessed directly 
at https://access.trade.gov/public/FRNoticesListLayout.aspx.
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    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Affirmative Determination in the Less-Than-Fair-Value Investigation 
of Brass Rod from Mexico,'' dated concurrently with, and hereby 
adopted by, this notice (Preliminary Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is brass rod from Mexico. 
For a complete description of the scope of this investigation, see 
Appendix I.

Scope Comments

    In accordance with the preamble to Commerce's regulations,\4\ in 
the Initiation Notice Commerce set aside a period of time for parties 
to raise issues regarding product coverage (i.e., scope).\5\ Certain 
interested parties commented on the scope of the investigation as it 
appeared in the Initiation Notice. For a summary of the product 
coverage comments and rebuttal responses submitted to the record of 
this investigation and accompanying discussion and analysis of all 
comments timely received, see the Preliminary Scope Decision 
Memorandum.\6\ As discussed in the Preliminary Scope Decision 
Memorandum, Commerce preliminarily modified, in one respect, the scope 
language as it appeared in the Initiation Notice. See the revised scope 
in Appendix I to this notice.
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    \4\ See Antidumping Duties; Countervailing Duties, 62 FR 27296, 
27323 (May 19, 1997).
    \5\ See Initiation Notice, 88 FR at 33576.
    \6\ See Memorandum, ``Less-Than-Fair-Value Investigations of 
Brass Rod from Brazil, India, Israel, Mexico, the Republic of Korea, 
and South Africa and Countervailing Duty Investigations of Brass Rod 
from India, Israel, and the Republic of Korea: Preliminary Scope 
Decision Memorandum,'' dated September 25, 2023 (Preliminary Scope 
Decision Memorandum).
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    In the Preliminary Scope Decision Memorandum, Commerce established 
the deadline for parties to submit scope case and rebuttal briefs.\7\ 
Commerce intends to issue a final scope decision along with the final 
determination in the concurrent countervailing duty investigation of 
brass rod from India, currently due on December 11, 2023.
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    \7\ Case briefs, other written comments, and rebuttal briefs 
submitted by parties in response to this preliminary LTFV 
determination should not include scope-related issues. See 
Preliminary Scope Decision Memorandum and ``Public Comment'' section 
of this notice.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 731 of the Act. Commerce calculated constructed export prices 
in accordance with section 772(b) of the Act. Normal value is 
calculated in accordance with section 773 of the Act. In addition, 
Commerce has preliminarily relied upon adverse facts available under 
sections 776(a) and (b) of the Act in determining the weighted-average 
dumping margin for Aleamex S.A. de C.V. (Aleamex). For a full 
description of the methodology underlying the preliminary 
determination, see the Preliminary Decision Memorandum.

All-Others Rate

    Sections 733(d)(1)(A)(ii) and 735(c)(5)(A) of the Act provide that 
in the preliminary determination, Commerce shall determine an estimated 
all-others rate for all exporters and producers not individually 
examined. This rate shall be an amount equal to the weighted average of 
the estimated weighted-average dumping margins established for 
exporters and producers individually investigated, excluding any zero 
and de minimis margins, and any margins determined entirely under 
section 776 of the Act.
    In this investigation, Commerce preliminarily assigned to Aleamex a 
rate based entirely on facts available. Therefore, the only rate that 
is not zero, de minimis or based entirely on facts otherwise available 
is the rate calculated for Industrias Unidas S.A. de C.V. (IUSA). 
Consequently, the rate calculated for IUSA is also assigned as the rate 
for all other producers and exporters.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
weighted-average dumping margins exist:

[[Page 83914]]



------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margin
                                                               (percent)
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Industrias Unidas S.A. de C.V...............................        4.31
Aleamex S.A. de C.V.........................................       29.43
All Others..................................................        4.31
------------------------------------------------------------------------

Suspension of Liquidation

    In accordance with section 733(d)(2) of the Act, Commerce will 
direct U.S. Customs and Border Protection (CBP) to suspend liquidation 
of entries of subject merchandise, as described in Appendix I, entered, 
or withdrawn from warehouse, for consumption on or after the date of 
publication of this notice in the Federal Register.
    Further, pursuant to section 733(d)(1)(B) of the Act and 19 CFR 
351.205(d), Commerce will instruct CBP to require a cash deposit equal 
to the estimated weighted-average dumping margin or the estimated all-
others rate, as follows: (1) the cash deposit rate for the respondents 
listed above will be equal to the company-specific estimated weighted-
average dumping margin determined in this preliminary determination; 
(2) if the exporter is not a respondent identified above, but the 
producer is, then the cash deposit rate will be equal to the company-
specific estimated weighted-average dumping margin established for that 
producer of the subject merchandise; and (3) the cash deposit rate for 
all other producers and exporters will be equal to the all-others 
estimated weighted-average dumping margin. These suspension of 
liquidation instructions will remain in effect until further notice.

Disclosure

    Commerce intends to disclose the calculations performed in 
connection with this preliminary determination to interested parties 
within five days of any public announcement or, if there is no public 
announcement, within five days of the date of publication of this 
notice the Federal Register, in accordance with 19 CFR 351.224(b).

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments on non-scope issues may be 
submitted to the Assistant Secretary for Enforcement and Compliance no 
later than seven days after the date on which the last verification 
report is issued in this investigation.\8\ 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.\9\ Interested parties who submit 
case briefs or rebuttal briefs in this proceeding must submit: (1) a 
table of contents listing each issue; and (2) a table of 
authorities.\10\
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    \8\ See 19 CFR 351.309(c)(1)(i); see also 19 CFR 351.303 (for 
general filing requirements).
    \9\ See 19 CFR 351.309(d); see also Administrative Protective 
Order, Service, and Other Procedures in Antidumping and 
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29, 
2023).
    \10\ See 19 351.309(c)(2) and (d)(2).
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    As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior 
proceedings we have encouraged interested parties to provide an 
executive summary of their brief that should be limited to five pages 
total, including footnotes. In this investigation, we instead request 
that interested parties provide at the beginning of their briefs a 
public, executive summary for each issue raised in their briefs.\11\ 
Further, we request that interested parties limit their executive 
summary of each issue to no more than 450 words, not including 
citations. We intend to use the executive summaries as the basis of the 
comment summaries included in the issues and decision memorandum that 
will accompany the final determination in this investigation. We 
request that interested parties include footnotes for relevant 
citations in the executive summary of each issue. Note that Commerce 
has amended certain of its requirements pertaining to the service of 
documents in 19 CFR 351.303(f).\12\
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    \11\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \12\ See Administrative Protective Order, Service, and Other 
Procedures in Antidumping and Countervailing Duty Proceedings; Final 
Rule, 88 FR 67069 (September 29, 2023).
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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, U.S. Department of Commerce, within 30 days 
after the date of publication of this notice in the Federal Register. 
Requests should contain the party's name, address, and telephone 
number, the number of participants, whether any participant is a 
foreign national, and a list of the issues to be discussed. If a 
request for a hearing is made, Commerce intends to hold the hearing 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.

Postponement of Final Determination and Extension of Provisional 
Measures

    Section 735(a)(2) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination in the Federal Register 
if, in the event of an affirmative preliminary determination, a request 
for such postponement is made by exporters who account for a 
significant proportion of exports of the subject merchandise, or in the 
event of a negative preliminary determination, a request for such 
postponement is made by the petitioner. Section 351.210(e)(2) of 
Commerce's regulations requires that a request by exporters for 
postponement of the final determination be accompanied by a request for 
extension of provisional measures from a four-month period to a period 
not more than six months in duration.
    On October 30, 2023, pursuant to 19 CFR 351.210(e), IUSA requested 
that Commerce postpone the final determination and that provisional 
measures be extended to a period not to exceed six months.\13\ In 
accordance with section 735(a)(2)(A) of the Act and 19 CFR 
351.210(b)(2)(ii), because: (1) the preliminary determination is 
affirmative; (2) the requesting exporter accounts for a significant 
proportion of exports of the subject merchandise; and (3) no compelling 
reasons for denial exist, Commerce is postponing the final 
determination and extending the provisional measures from a four-month 
period to a period not greater than six months. Accordingly, Commerce 
will make its final determination no later than 135 days after the date 
of publication of this preliminary determination in the Federal 
Register, pursuant to section 735(a)(2) of the Act.\14\
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    \13\ See IUSA's Letter, ``IUSA Extension Request for Final 
Determination,'' dated October 30, 2023.
    \14\ See 19 CFR 351.210(b)(2)(ii).
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U.S. International Trade Commission Notification

    In accordance with section 733(f) of the Act, Commerce will notify 
the U.S. International Trade Commission (ITC) of its preliminary 
determination. If the final determination is affirmative, the ITC will 
determine before the later of 120 days after the date of this 
preliminary determination or 45 days after the final determination 
whether imports of brass rod from Mexico are materially injuring, or 
threaten material injury to, the U.S. industry.

[[Page 83915]]

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act, and 19 CFR 351.205(c).

    Dated: November 24, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The products covered by this investigation are brass rod and bar 
(brass rod), which is defined as leaded, low-lead, and no-lead solid 
brass made from alloys such as, but not limited to the following 
alloys classified under the Unified Numbering System (UNS) as 
C27450, C27451, C27460, C34500, C35000, C35300, C35330, C36000, 
C36300, C37000, C37700, C48500, C67300, C67600, and C69300, and 
their international equivalents.
    The brass rod subject to this investigation has an actual cross-
section or outside diameter greater than 0.25 inches but less than 
or equal to 12 inches. Brass rod cross-sections may be round, 
hexagonal, square, or octagonal shapes as well as special profiles 
(e.g., angles, shapes), including hollow profiles.
    Standard leaded brass rod covered by the scope contains, by 
weight, 57.0-65.0 percent copper; 0.5-3.0 percent lead; no more than 
1.3 percent iron; and at least 15 percent zinc. No-lead or low-lead 
brass rod covered by the scope contains by weight 59.0-76.0 percent 
copper; 0-1.5 percent lead; no more than 0.35 percent iron; and at 
least 15 percent zinc. Brass rod may also include other chemical 
elements (e.g., nickel, phosphorous, silicon, tin, etc.).
    Brass rod may be in straight lengths or coils. Brass rod covered 
by this investigation may be finished or unfinished, and may or may 
not be heated, extruded, pickled, or cold-drawn. Brass rod may be 
produced in accordance with ASTM B16, ASTM B124, ASTM B981, ASTM 
B371, ASTM B453, ASTM B21, ASTM B138, and ASTM B927, but such 
conformity to an ASTM standard is not required for the merchandise 
to be included within the scope.
    Excluded from the scope of this investigation is brass ingot, 
which is a casting of unwrought metal unsuitable for conversion into 
brass rod without remelting, that contains, by weight, at least 57.0 
percent copper and 15.0 percent zinc.
    The merchandise covered by this investigation is currently 
classifiable under subheadings 7407.21.9000, 7407.21.7000, and 
7407.21.1500 of the Harmonized Tariff Schedule of the United States 
(HTSUS). Products subject to the scope may also enter under HTSUS 
subheadings 7403.21.0000, 7407.21.3000, and 7407.21.5000. The HTSUS 
subheadings and UNS alloy designations are provided for convenience 
and customs purposes. The written description of the scope of the 
investigation is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Scope of the Investigation
V. Application of Facts Available and Use of Adverse Inference
VI. Affiliation
VII. Discussion of the Methodology
VIII. Currency Conversion
IX. Recommendation

[FR Doc. 2023-26416 Filed 11-30-23; 8:45 am]
BILLING CODE 3510-DS-P