[Federal Register Volume 77, Number 58 (Monday, March 26, 2012)]
[Notices]
[Pages 17427-17430]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-7213]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-201-840]
Notice of Final Determination of Sales at Less Than Fair Value:
Galvanized Steel Wire From Mexico
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
DATES: Effective Date: March 26, 2012.
SUMMARY: On November 4, 2011, the Department of Commerce (the
Department) published its preliminary determination in the
investigation of sales at less than fair value of galvanized steel wire
(galvanized wire) from Mexico.\1\
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\1\ See Galvanized Steel Wire from Mexico: Preliminary
Determination of Sales at Less Than Fair Value and Postponement of
Final Determination, 76 FR 68422 (November 4, 2011) (Preliminary
Determination).
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The Department has determined that galvanized wire from Mexico is
being, or is likely to be, sold in the United States at less than fair
value, as provided in section 735 of the Tariff Act of 1930, as amended
(the Act). The final margins of sales at less than fair value are
listed below in the section entitled ``Final Determination of
Investigation.''
FOR FURTHER INFORMATION CONTACT: Patrick Edwards or Ericka Ukrow, AD/
CVD Operations, Office 7, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
8029 or (202) 482-0405, respectively.
SUPPLEMENTARY INFORMATION:
Background
The preliminary determination in this investigation was published
on November 4, 2011. See Preliminary Determination. We invited parties
to comment on the Preliminary Determination. On November 8, 2011, we
received timely-filed allegations from Deacero S.A. de C.V. (Deacero)
that the Department made several ministerial errors in calculating its
dumping margin for the preliminary determination.\2\
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\2\ See Letter from Deacero, regarding ``Galvanized Steel Wire
from Mexico,'' dated November 8, 2011. Petitioners did not comment
on Deacero's ministerial error allegations.
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On November 10 and 23, 2011, the Department issued Deacero
supplemental questionnaires.
On December 5, 2011, the Department released its memorandum
addressing Deacero's ministerial error allegations, finding that no
amendment to the preliminary determination was warranted. See
Ministerial Error Memorandum.\3\
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\3\ See Memorandum to Richard O. Weible, Director, Office 7,
from Patrick Edwards and Ericka Ukrow, Case Analysts, through
Angelica Mendoza, Program Manager, Office 7, entitled ``Ministerial
Error Allegation in the Preliminary Determination of the Antidumping
Duty Investigation of Galvanized Steel Wire from Mexico: Deacero
S.A. de C.V.,'' dated December 5, 2011 (Ministerial Error
Memorandum).
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On December 5, 2011, Deacero submitted its response to the November
23, 2011, questionnaire.\4\ Also on December 5, 2011, Petitioners \5\
and respondent Aceros Camesa S.A. de C.V. (Camesa) timely filed a
request for a public hearing.\6\
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\4\ See Deacero's Fourth Supplemental Questionnaire Response,
dated December 8, 2011.
\5\ The Petitioners in this investigation are Davis Wire
Corporation, Johnston Wire Technologies, Inc., Mid-South Wire
Company, Inc., National Standard, LLC, and Oklahoma Steel & Wire
Company, Inc. (collectively, Petitioners).
\6\ Deacero, also on December 5, 2011, requested to participate
in a hearing in the event that another party requested a hearing.
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We conducted cost and sales verifications of the responses
submitted by Deacero and Camesa (collectively, respondents).\7\ All
verification reports
[[Page 17428]]
are on file and available electronically via Import Administration's
Antidumping and Countervailing Duty Centralized Electronic Service
System (IA ACCESS). Access to IA ACCESS is available in the Central
Records Unit (CRU), room 7046 of the main Department of Commerce
building.
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\7\ See Memorandum to the File from Christopher J. Zimpo and
Frederick W. Mines, Case Accountants, through Theresa C. Deeley,
Lead Accountant, and Neal M. Halper, Director, Office of Accounting,
entitled ``Verification of the Cost of Production and Constructed
Value Data Submitted by Deacero S.A. de C.V. in the Antidumping Duty
Investigation of Galvanized Steel Wire from Mexico,'' dated January
13, 2012 (Deacero Cost Verification Report); Memorandum to the File
from Frederick W. Mines and Christopher J. Zimpo, Case Accountants,
through Theresa C. Deeley, Lead Accountant, and Neal M. Halper,
Director, Office of Accounting, entitled ``Verification of the Cost
Response of Aceros Camesa S.A. de C.V. in the Antidumping Duty
Investigation of Galvanized Steel Wire from Mexico,'' dated January
13, 2012 (Camesa Cost Verification Report); Memorandum to the File
from Christopher J. Zimpo and Frederick W. Mines, Case Accountants,
through Theresa C. Deeley, Lead Accountant, and Neal M. Halper,
Director, Office of Accounting, entitled ``Verification of the
Further Manufacturing Data Submitted by Deacero S.A. de C.V. for
Deacero USA Inc. and Stay-Tuff Fence Manufacturing, Inc. in the
Antidumping Duty Investigation of Galvanized Steel Wire from
Mexico,'' dated January 27, 2012 (Deacero Further-Manufacturing
Verification Report); Memorandum to the File from Patrick Edwards,
Case Analyst, through Angelica Mendoza, Program Manager, Office 7,
entitled ``Verification of the Sales Responses of Aceros Camesa,
S.A. de C.V. in the Antidumping Duty Investigation on Galvanized
Steel Wire from Mexico,'' dated February 13, 2012 (Camesa
Verification Report); Memorandum to the File from Ericka Ukrow and
Patrick Edwards, Case Analysts, through Angelica L. Mendoza, Program
Manager, Office 7, entitled ``Verification of the Sales Response of
Deacero USA Inc. (Deacero USA) and Stay-Tuff Fence Manufacturing,
Inc. (Stay-Tuff) in the Antidumping Duty Investigation of Galvanized
Steel Wire from Mexico,'' dated February 15, 2012 (Deacero CEP
Verification Report); Memorandum to the File from Patrick Edwards
and Ericka Ukrow, Case Analysts, through Angelica Mendoza, Program
Manager, Office 7, entitled ``Verification of the Sales Responses of
Deacero S.A. de C.V. in the Antidumping Duty Investigation of
Galvanized Steel Wire from Mexico,'' dated February 16, 2012
(Deacero Verification Report); and Memorandum to the File from
Ericka Ukrow and Patrick Edwards, Case Analysts, through Angelica L.
Mendoza, Program Manager, entitled ``Verification of Sales Response
of Aceros Camesa S.A. de C.V. (Camesa) and WireCo World Group, Inc.
(WireCo) in the Antidumping Duty Investigation of Galvanized Steel
Wire from Mexico,'' dated February 16, 2012 (Camesa CEP Verification
Report).
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Based on the Department's findings at verification, as well as the
minor corrections presented by Deacero and Camesa at the start of their
respective verifications, we requested respondents to submit revised
sales databases.\8\ On February 27, 2012, as requested, Deacero and
Camesa submitted their revised sales databases.
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\8\ See Letters from Angelica L. Mendoza, Program Manager,
Office 7, to Deacero S.A. de C.V., dated February 21, 2012, and
February 22, 2012; Letter from Angelica L. Mendoza, Program Manager,
Office 7, to Aceros Camesa S.A. de C.V., dated February 21, 2012.
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Subsequent to the release of the verification reports in this
investigation, parties timely filed case and rebuttal briefs. We
received a case brief from Petitioners, Deacero, and Camesa on February
23, 2012; Petitioners and Deacero filed rebuttal briefs on February 28,
2012. No public hearing was held because all requests for a hearing
were withdrawn.
On March 2, 2012, at the Department's request, respondents in the
companion galvanized wire investigations involving the People's
Republic of China (both antidumping and countervailing duty) filed on
the record of this investigation certain scope comments that were
raised in those proceedings' case and rebuttal briefs. We allowed a
period of time for parties in the instant proceeding to comment on
those submissions, and we received no comments.
Analysis of Comments Received
All issues raised in the case and rebuttal briefs by parties to
this antidumping investigation are addressed in the ``Issues and
Decision Memorandum for the Final Determination of the Antidumping Duty
Investigation of Galvanized Steel Wire from Mexico'' (Decision
Memorandum) from Christian Marsh, Deputy Assistant Secretary for
Antidumping and Countervailing Duty Operations, to Paul Piquado,
Assistant Secretary for Import Administration, dated March 19, 2012,
which is hereby adopted by this notice. A list of the issues which
parties have raised and to which we have responded, all of which are in
the Decision Memorandum, is attached to this notice as an appendix.
Parties can find a complete discussion of all issues raised in this
investigation and the corresponding recommendations in the Decision
Memorandum which is on file and available electronically via IA ACCESS,
which is accessible in the CRU, room 7046 of the main Department of
Commerce building. In addition, a complete version of the Decision
Memorandum can be accessed directly on the Web at http://ia.ita.doc.gov/. The paper copy and electronic version of the Decision
Memorandum are identical in content.
Scope of Investigation
The scope of this investigation covers galvanized steel wire which
is a cold-drawn carbon quality steel product in coils, of circular or
approximately circular, solid cross section with any actual diameter of
0.5842 mm (0.0230 inch) or more, plated or coated with zinc (whether by
hot-dipping or electroplating).
Steel products to be included in the scope of this investigation,
regardless of Harmonized Tariff Schedule of the United States (HTSUS)
definitions, are products in which: (1) Iron predominates, by weight,
over each of the other contained elements; (2) the carbon content is
two percent or less, by weight; and (3) none of the elements listed
below exceeds the quantity, by weight, respectively indicated:
--1.80 percent of manganese, or
--1.50 percent of silicon, or
--1.00 percent of copper, or
--0.50 percent of aluminum, or
--1.25 percent of chromium, or
--0.30 percent of cobalt, or
--0.40 percent of lead, or
--1.25 percent of nickel, or
--0.30 percent of tungsten, or
--0.02 percent of boron, or
--0.10 percent of molybdenum, or
--0.10 percent of niobium, or
--0.41 percent of titanium, or
--0.15 percent of vanadium, or
--0.15 percent of zirconium.
Specifically excluded from the scope of this investigation is
galvanized steel wire in coils of 15 feet or less which is pre-packed
in individual retail packages. The products subject to this
investigation are currently classified in subheadings 7217.20.30,
7217.20.45, and 7217.90.10 of the HTSUS which cover galvanized wire of
all diameters and all carbon content. Galvanized wire is reported under
statistical reporting numbers 7217.20.3000, 7217.20.4510, 7217.20.4520,
7217.20.4530, 7217.20.4540, 7217.20.4550, 7217.20.4560, 7217.20.4570,
7217.20.4580, and 7217.90.1000. These products may also enter under
HTSUS subheadings 7229.20.0015, 7229.20.0090, 7229.90.5008,
7229.90.5016, 7229.90.5031, and 7229.90.5051. Although the HTSUS
subheadings are provided for convenience and Customs purposes, the
written description of the merchandise is dispositive.
Scope Comments
In their case and rebuttal briefs, Petitioners, respondents, and
other interested parties provided comments on the scope and merchandise
that is to be covered under the scope. We have discussed these comments
fully in the Decision Memorandum. See Decision Memorandum at Comments 3
and 4. As a result of considering these comments, we have clarified the
scope language to include not only circular cross section material, but
also out-of-round material that meets the circular tolerances. Id. at
Comment 3. We have also included an additional HTSUS subheading as part
of the scope description. Id. at Comment 4. In addition, and as
referenced in the ``Background'' section above, certain parties in the
companion galvanized wire antidumping duty investigation involving the
People's Republic of China provided scope comments. These comments have
been addressed in the Notice of Final Determination of Sales at Less
than Fair Value: Galvanized Steel Wire from the People's Republic of
China, signed concurrently with this notice, and the accompanying
Issues and Decision Memorandum at Comment 3.
In addition, in the Preliminary Determination, we responded to
scope comments provided by Tree Island Wire (USA), Inc. and Preferred
Wire Products, Inc., and we preliminarily determined that galvanized
wire with a diameter less than one millimeter is subject to the scope
of the investigation. No additional comments were made on this issue in
the case or rebuttal briefs. For the final, we have made no changes on
this determination from the Preliminary Determination and continue to
find, specifically, that galvanized wire with a diameter less than one
millimeter but equal to or greater than 0.5842 millimeters is covered
by the scope. See Preliminary Determination, 76 FR at 68425.
Period of Investigation
The period of investigation (POI) is January 1, 2010, to December
31, 2010.
[[Page 17429]]
This period corresponds to the four most recent fiscal quarters prior
to the month of the filing of the Petition. See 19 CFR 351.204(b)(1).
Verification
As provided in section 782(i) of the Act and noted above, we
verified the information submitted by the respondents for use in our
final determination. We used standard verification procedures,
including examination of relevant accounting and production records,
and original source documents provided by the respondents.
Changes Since the Preliminary Determination
Based on our analysis of the comments received and our findings at
verification, we have made certain changes to the margin calculation
for both Deacero and Camesa. For a discussion of these changes, see
Decision Memorandum at Comments 1, 2, 7, 8, 9, and 11.\9\ Additionally,
subsequent to the Preliminary Determination, the Department revised its
margin calculation program to ensure that it accurately reflected the
methodological choices made in that determination. These revisions to
the programming, had they been included in the preliminary
determination, would not have altered the weighted average dumping
margins calculated there. See Decision Memorandum at Comment 10; see
also, Deacero Analysis Memo and Camesa Analysis Memo at Attachments I-
VIII.
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\9\ See also Memorandum from Ericka Ukrow to The File, entitled
``Galvanized Steel Wire from Mexico--Final Determination of Sales at
Less Than Fair Value Analysis Memorandum for Deacero S.A. de C.V.,''
dated March 19, 2012 (Deacero Analysis Memo), and Memorandum from
Patrick Edwards to The File, entitled ``Galvanized Steel Wire from
Mexico--Final Determination of Sales at Less Than Fair Value
Analysis Memorandum for Aceros Camesa S.A. de C.V.,'' dated March
19, 2012 (Camesa Analysis Memo); Memorandum from Christopher J.
Zimpo to Neal M. Halper, entitled ``Cost of Production, Constructed
Value, and Further Manufacturing Cost Calculation Adjustments for
the Final Determination: Deacero S.A. de C.V.,'' dated March 19,
2012 (Deacero Cost Memo).
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All Others Rate
Section 735(c)(5)(A) of the Act provides that the estimated ``all
others'' 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 or de
minimis margins and any margins determined entirely under section 776
of the Act. Deacero and Camesa are the only respondents selected for
individual examination in this investigation and, for each company, the
Department has calculated a company-specific rate that is not zero or
de minimis. Therefore, for purposes of determining the ``all others''
rate, and pursuant to section 735(c)(5)(A) of the Act, we are using the
weighted average of the dumping margins calculated for Deacero and
Camesa for the ``all others'' rate, as referenced in the ``Continuation
of Suspension of Liquidation'' section below, i.e., 22.43 percent, as
indicated in the ``Final Determination of Investigation'' section
below.\10\
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\10\ When there are only two relevant weighted-average dumping
margins available to determine the ``all-others'' rate, the
Department may use a simple average so as to avoid disclosure of
business proprietary information. See Seamless Refined Copper Pipe
and Tube From Mexico: Final Determination of Sales at Less Than Fair
Value, 75 FR 60723, 60724 (October 1, 2010). However, in this final
determination, the Department has determined an ``all-others'' rate
using Deacero's and Camesa's ranged, public U.S. sales quantities,
which also avoids disclosure of business proprietary information.
See Ball Bearings and Parts Thereof From France, Germany, Italy,
Japan, and the United Kingdom: Final Results of Antidumping Duty
Administrative Reviews, Final Results of Changed-Circumstances
Review, and Revocation of an Order in Part, 75 FR 53661 (September
1, 2010), and accompanying Issues and Decision Memorandum at Comment
1.
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Final Determination of Investigation
We determine that the following weighted-average dumping margins
exist for the period January 1, 2010, through December 31, 2010:
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Weighted-
Average
Manufacturer or exporter margin
(percent)
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Deacero S.A. de C.V......................................... 20.89
Aceros Camesa S.A. de C.V................................... 37.69
All-Others.................................................. 22.43
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Continuation of Suspension of Liquidation
Pursuant to section 735(c)(1)(B) of the Act and 19 CFR
351.211(b)(1), we will instruct U.S. Customs and Border Protection
(CBP) to continue to suspend liquidation of all entries of subject
merchandise from Mexico entered, or withdrawn from warehouse, for
consumption on or after November 4, 2011, the date of the publication
of the Preliminary Determination, for all producers/exporters. We will
instruct CBP to require a cash deposit or the posting of a bond equal
to the weighted-average margin, as indicated in the chart above, as
follows: (1) The rate for the respondents will be the rates we have
determined in this final determination; (2) if the exporter is not a
firm identified in this investigation but the producer is, the rate
will be the rate established for the producer of the subject
merchandise; (3) the rate for all other producers or exporters will be
22.43 percent. These suspension-of-liquidation instructions will remain
in effect until further notice.
International Trade Commission Notification
In accordance with section 735(d) of the Act, we have notified the
International Trade Commission (ITC) of our final determination. As our
final determination is affirmative and in accordance with section
735(b)(2) of the Act, the ITC will determine, within 45 days, whether
the domestic industry in the United States is materially injured, or
threatened with material injury, by reason of imports or sales (or the
likelihood of sales) for importation of the subject merchandise. If the
ITC determines that material injury or threat of material injury does
not exist, the proceeding will be terminated and all securities posted
will be refunded or canceled. If the ITC determines that such injury
does exist, the Department will issue an antidumping duty order
directing CBP to assess antidumping duties on all imports of the
subject merchandise entered, or withdrawn from warehouse, for
consumption on or after the effective date of the suspension of
liquidation.
Notification Regarding APO
This notice also serves as a reminder to parties subject to
administrative protective order (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO in accordance with 19 CFR 351.305. Timely notification of return/
destruction of APO materials or conversion to judicial protective order
is hereby requested. Failure to comply with the regulations and the
terms of an APO is a sanctionable violation.
This determination is issued and published pursuant to sections
735(d) and 777(i)(1) of the Act.
Dated: March 19, 2012.
Paul Piquado,
Assistant Secretary for Import Administration.
Appendix
Deacero S.A. de C.V. (Deacero)
Comment 1: Conversion of U.S. Packing Expenses from Mexican
Pesos to U.S. Dollars
Comment 2: Correction of Ministerial Errors
[[Page 17430]]
Comment 3: Whether Oval Galvanized Steel Wire is Outside the
Scope of the Investigation
Comment 4: Whether PVC-Coated Galvanized Steel Wire is Outside
the Scope of the Investigation
Comment 5: Whether To Apply Adverse Facts Available to Deacero's
Inland Freight Expenses for Certain Home Market Sales
Comment 6: Whether To Apply Adverse Facts Available to Deacero's
U.S. Repacking Expenses
Comment 7: Deacero's Reporting of Costs for Further
Manufacturing
Comment 8: Deacero's Reporting of Inland Freight Charges for
Certain U.S. Sales
Comment 9: Deacero's Reporting of Cost of Production and
Constructed Value
Aceros Camesa S.A. de C.V. (Camesa)
Comment 10: Whether the Department Used an Average-to-Average
Comparison Methodology
Comment 11: Whether the U.S. Inventory Carrying Costs Were
Calculated Properly
[FR Doc. 2012-7213 Filed 3-23-12; 8:45 am]
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