83 FR 63622 - Steel Concrete Reinforcing Bar From Mexico: Preliminary Results of Antidumping Duty Administrative Review; 2016-2017

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 237 (December 11, 2018)

The Department of Commerce (Commerce) preliminarily determines that Grupo Simec made sales of subject merchandise at less than normal value during the November 1, 2016, through October 31, 2017, period of review (POR), and Deacero S.A.P.I de C.V. (Deacero) did not. We invite interested parties to comment on these preliminary results.

[Federal Register Volume 83, Number 237 (Tuesday, December 11, 2018)]
[Notices]
[Pages 63622-63624]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-26770]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-844]


Steel Concrete Reinforcing Bar 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 Grupo Simec made sales of subject merchandise at less than normal 
value during the November 1, 2016, through October 31, 2017, period of 
review (POR), and Deacero S.A.P.I de C.V. (Deacero) did not. We invite 
interested parties to comment on these preliminary results.

DATES: Applicable December 11, 2018.

FOR FURTHER INFORMATION CONTACT: Stephanie Moore (Deacero) or Patricia 
Tran (Grupo Simec), 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) 482-3692 or (202) 482-1503, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On January 11, 2018, pursuant to section 751(a)(1) of the Tariff 
Act of 1930, as amended (the Act), Commerce initiated an administrative 
review of the antidumping duty order on steel concrete reinforcing bar 
(rebar) from Mexico.\1\
---------------------------------------------------------------------------

    \1\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 83 FR 1329 (January 11, 2018) (Initiation 
Notice).

---------------------------------------------------------------------------

[[Page 63623]]

    On March 13, 2018, we selected Deacero and Grupo Simec as mandatory 
respondents.\2\ On July 12, 2018, we issued a memorandum extending the 
time period for issuing the preliminary results of the instant 
administrative review from August 6, 2018 to December 3, 2018.\3\ For a 
complete description of the events that followed the initiation of this 
review, see the Preliminary Decision Memorandum.\4\ A list of topics 
included in the Preliminary Decision Memorandum is included as an 
Appendix to this notice.
---------------------------------------------------------------------------

    \2\ See Memorandum, titled ``Antidumping Duty Administrative 
Review of Steel Concrete Reinforcing Bar from Mexico; 2016-2017, 
Selection of Respondents for Individual Examination,'' dated March 
13, 2018.
    \3\ See Memorandum, titled ``Antidumping Duty Administrative 
Review of Steel Concrete Reinforcing Bar from Mexico; 2016-2017 
Steel Concrete Reinforcing Bar from Mexico: Extension of Deadline 
for Preliminary Results of Antidumping Duty Administrative Review, 
2016-2017'' dated July 12, 2018. The memorandum incorrectly stated 
that the deadline is December 4, 2018; the actual deadline is 
December 3, 2018.
    \4\ See memorandum, ``Decision Memorandum for the Preliminary 
Results of Antidumping Duty Administrative Review: Steel Concrete 
Reinforcing Bar from Mexico, 2016-2017,'' dated concurrently with, 
and hereby adopted by, this notice (Preliminary Decision 
Memorandum).
---------------------------------------------------------------------------

Scope of the Order

    Imports covered by the order are shipments of steel concrete 
reinforcing bar imported in either straight length or coil form (rebar) 
regardless of metallurgy, length, diameter, or grade. The merchandise 
subject to review is currently classifiable under items 7213.10.0000, 
7214.20.0000, and 7228.30.8010. The subject merchandise may also enter 
under other Harmonized Tariff Schedule of the United States (HTSUS) 
numbers including 7215.90.1000, 7215.90.5000, 7221.00.0017, 
7221.00.0018, 7221.00.0030, 7221.00.0045, 7222.11.0001, 7222.11.0057, 
7222.11.0059, 7222.30.0001, 7227.20.0080, 7227.90.6085, 7228.20.1000, 
and 7228.60.6000. Although the HTSUS subheadings are provided for 
convenience and customs purposes, the written description of the 
merchandise subject to the order is dispositive. A full description of 
the scope of the order is contained in the Preliminary Decision 
Memorandum.\5\
---------------------------------------------------------------------------

    \5\ For a full description of the scope of the order, see the 
Preliminary Decision Memorandum.
---------------------------------------------------------------------------

Methodology

    Commerce is conducting this review in accordance with section 
751(a)(2) of the Act. Export and constructed export price were 
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 preliminary results, 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 B-8024 of the main Department 
of Commerce building. In addition, a complete version of the 
Preliminary Decision memorandum can be accessed directly 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 the 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 calculated a weighted-average 
dumping margin of 3.70 percent for Grupo Simec and a de minimis margin 
for Deacero for the period November 1, 2016 through October 31, 2017. 
Therefore, in accordance with section 735(c)(5)(A) of the Act, we 
assigned the weighted-average dumping margin of 3.70 percent calculated 
for Grupo Simec to the nine non-selected companies in these preliminary 
results, as referenced below.

------------------------------------------------------------------------
                                                        Weighted-average
               Producer and/or exporter                  dumping margin
                                                           (percent)
------------------------------------------------------------------------
Deacero S.A.P.I de C.V...............................             * 0.00
Grupo Simec (Simec International 6 S.A. de C.V., Orge               3.70
 S.A. de C.V., Aceros Especiales Simec Tlaxcala, S.A.
 de C.V., Fundiciones de Acero Estructurales, S.A. de
 C.V., Perfiles Comerciales Sigosa, S.A. de C.V.,
 Operadora de Perfiles Sigosa, S.A. de C.V.) \6\.....
Ternium Mexico, S.A. de C.V..........................               3.70
ArcelorMittal Lazaro Cardenas S.A. de C.V............               3.70
Cia Siderurgica De California, S.A. de C.V...........               3.70
AceroMex S.A.........................................               3.70
ArcelorMittal Celaya.................................               3.70
ArcelorMittal Cordoba S.A. de C.V....................               3.70
Siderurgica Tultitlan S.A. de C.V....................               3.70
Talleres y Aceros, S.A. de C.V.......................               3.70
Grupo Villacero S.A. de C.V..........................               3.70
------------------------------------------------------------------------
* (de minimis).

Assessment Rate

     
---------------------------------------------------------------------------

    \6\ Commerce previously collapsed Simec International 6 S.A. de 
C.V. and Orge S.A. de C.V. with Grupo Simec. See Steel Concrete 
Reinforcing Bar from Mexico: Final Results of Antidumping Duty 
Administrative Review; 2014-2015, 82 FR 27233 (June 14, 2017). In 
this administrative review, Commerce has preliminarily collapsed 
Aceros Especiales Simec Tlaxcala, S.A. de C.V., Fundiciones de Acero 
Estructurales, S.A. de C.V., Perfiles Comerciales Sigosa, S.A. de 
C.V., Operadora de Perfiles Sigosa, S.A. de C.V. Industrias CH is 
affiliated with Grupo Simec but Commerce is not collapsing the 
company into the single entity. See Grupo Simec Affiliation and 
Collapsing Memorandum dated December 3, 2018.
---------------------------------------------------------------------------

    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 or 
Grupo Simec 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 
each importer's examined sales to the total entered value of those same 
sales in accordance with 19 CFR 351.212(b)(1).\7\ If the weighted-
average dumping margin for Deacero or Grupo Simec is zero or de minimis 
in the final results, or an importer-specific assessment rate is zero

[[Page 63624]]

or de minimis in the final results, we will instruct CBP not to assess 
antidumping duties on any of their entries in accordance with the Final 
Modification for Reviews.\8\
---------------------------------------------------------------------------

    \7\ In these 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). (Final Modification 
for Reviews).
    \8\ Id. at 8102.
---------------------------------------------------------------------------

    In accordance with Commerce's assessment practice, for entries of 
subject merchandise during the POR produced by each respondent for 
which it did not know that its 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.
    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)(C) of the Act: (1) The cash deposit rate for respondents 
noted above will be the rate established in the final results of this 
administrative review, except if the rate is less than 0.50 percent 
and, therefore, de minimis within the meaning of 19 CFR 351.106(c)(I), 
in which case the cash deposit rate 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; (3) if the 
exporter is not a firm covered in this review, a prior review, or the 
original investigation, but the producer is, the cash deposit rate will 
be the rate established for the most recently completed segment of this 
proceeding for the producer of the subject merchandise; and (4) the 
cash deposit rate for all other producers or exporters will continue to 
be 20.58 percent, the all-others rate established in the antidumping 
investigation.\9\ These cash deposit requirements, when imposed, shall 
remain in effect until further notice.
---------------------------------------------------------------------------

    \9\ See Steel Concrete Reinforcing Bar from Mexico: Final 
Determination of Sales at Less Than Fair Value and Final Affirmative 
Determination of Critical Circumstances, 79 FR 54967 (September 15, 
2014).
---------------------------------------------------------------------------

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\
---------------------------------------------------------------------------

    \10\ See 19 CFR 351.224(b).
---------------------------------------------------------------------------

Public Comment

    Pursuant to 19 CFR 351.309(c)(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\ However, Commerce intends to issue a supplemental 
questionnaire to Grupo Simec after the preliminary results. Thus, 
Commerce will subsequently notify parties of the case brief and 
rebuttal brief deadlines. 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.
---------------------------------------------------------------------------

    \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).
---------------------------------------------------------------------------

    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 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 Secretary's presumption that 
reimbursement of antidumping duties occurred and increase the 
subsequent assessment of the 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: December 3, 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. Margin for Companies Not Selected for Individual Examination
V. Affiliation and Collapsing
VI. Application of Facts Available and Adverse Inferences
    A. Legal Standard for Facts Available and Adverse Inferences
    B. Application of Partial Adverse Facts Available (AFA) to 
Deacero
    C. Selection of AFA Rate
VII. Discussion of Methodology
    A. Comparisons to Normal Value
    1. Determination of Comparison Method
    2. Results of the Differential Pricing Analysis
    B. Product Comparisons
    C. Date of Sale
    D. Constructed Export Price
    E. Normal Value
    1. Home Market Viability
    2. Cost of Production (COP) Analysis
    a. Calculation of Cost of Production
    b. Test of Comparison Market Prices
    c. Results of COP Test
    F. Level of Trade
    G. Sales to Affiliated Customers
    H. Calculation of Normal Value Based on Comparison Market Prices
    I. Currency Conversions
VIII. Recommendation

[FR Doc. 2018-26770 Filed 12-10-18; 8:45 am]
BILLING CODE 3510-DS-P