[Federal Register: December 8, 2003 (Volume 68, Number 235)]
[Notices]               
[Page 68350-68351]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr08de03-31]                         

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-831]

 
Notice of Final Determination of Sales at Less Than Fair Value 
and Negative Final Determination of Critical Circumstances: Prestressed 
Concrete Steel Wire Strand from Mexico

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

ACTION: Notice of final determination of sales at less than fair value 
and negative final determination of critical circumstances.

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EFFECTIVE DATE: December 8, 2003.

FOR FURTHER INFORMATION CONTACT: James Kemp or Daniel O'Brien at (202) 
482-5346 or (202) 482-1376, respectively; AD/CVD Enforcement Group II 
Office 5, Import Administration, Room 1870, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW, Washington, DC 20230.

SUPPLEMENTARY INFORMATION:

Final Determination

    We determine that prestressed concrete steel wire strand (PC 
strand) from Mexico is being sold, or is likely to be sold, in the 
United States at less than fair value (LTFV), as provided in section 
735 of the Tariff Act of 1930, as amended (the Act). The estimated 
margins of sales at LTFV are shown in the Suspension of Liquidation 
section of this notice. In addition, we determine that critical 
circumstances do not exist with respect to PC strand produced and 
exported by either Cablesa S.A. de C.V. (Cablesa) or Aceros Camesa S.A. 
de C.V. (Camesa) as well as all other producers/exporters.

Case History

    The preliminary determination in this investigation was published 
on July 17, 2003. See Notice of Preliminary Determination of Sales at 
Less Than Fair Value, Postponement of Final Determination, and 
Affirmative Preliminary Determination of Critical Circumstances in 
Part: Prestressed Concrete Steel Wire Strand from Mexico, 68 FR 42373, 
42378 (July 17, 2003) (Preliminary Determination). Since the 
publication of the preliminary determination, the following events have 
occurred:
    In August and September 2003, the Department of Commerce (the 
Department) verified the questionnaire responses submitted by Camesa 
and Cablesa. The sales and cost verification reports were issued in 
October 2003. On October 22, 2003, we received case briefs from the 
petitioners\1\ and Cablesa. On October 28, 2003, we received rebuttal 
briefs from the petitioners, Camesa, and Cablesa. As the only request 
for a public hearing was made by the petitioners, and that request was 
subsequently withdrawn, a public hearing was not held.
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    \1\ The petitioners in this investigation are American Spring 
Wire Corp., Insteel Wire Products Company, and Sumiden Wire Products 
Corp.
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Scope of Investigation

    For purposes of this investigation, PC strand is steel strand 
produced from wire of non-stainless, non-galvanized steel, which is 
suitable for use in prestressed concrete (both pretensioned and post-
tensioned) applications. The product definition encompasses covered and 
uncovered strand and all types, grades, and diameters of PC strand.
    The merchandise under investigation is currently classifiable under 
subheadings 7312.10.3010 and 7312.10.3012 of the Harmonized Tariff 
Schedule of the United States (HTSUS). Although the HTSUS subheadings 
are provided for convenience and customs purposes, the written 
description of the merchandise under investigation is dispositive.

Period of Investigation

    The period of investigation (POI) is January 1, 2002, through 
December 31, 2002. This period corresponds to the four most recent 
fiscal quarters prior to the month of the filing of the petition (i.e., 
January 2003) and is in accordance with our regulations. See 19 CFR 
351.204(b)(1).

Class or Kind

    In the preliminary determination, we found that uncovered and 
covered PC strand constituted the same class or kind of merchandise. 
Since the preliminary determination, no parties commented on this 
finding. Therefore, for the final determination, we continue to find 
that uncovered and covered PC strand constitute the same class or kind 
of merchandise for the reasons outlined in the Memorandum from James 
Kemp and Salim Bhabhrawala, to Holly Kuga, Acting Deputy Assistant 
Secretary, Regarding Consideration of Scope Exclusion Request and Class 
or Kind (July 10, 2003) and the Preliminary Determination.

Facts Available

    In the preliminary determination, we based the dumping margin for 
Cablesa on adverse facts available pursuant to sections 776(a) and 
776(b) of the Act. The use of adverse facts available was warranted for 
Cablesa because the Department found that the cost information on the 
record for Cablesa was so incomplete that it could not serve as a 
reliable basis for reaching a determination. See Preliminary 
Determination.
    Since the preliminary determination, Cablesa has responded to two 
supplemental questionnaires regarding its cost response. However, 
Cablesa's cost response could not be verified. Therefore, we have 
determined that the cost information on the record for Cablesa is 
unreliable and that Cablesa has failed to cooperate by not acting to 
the best of its ability. As a result, the use of adverse facts 
available is warranted with respect to Cablesa. See Memorandum from 
Holly A. Kuga, Acting Deputy Assistant Secretary, to James J. Jochum, 
Assistant Secretary for Import Administration, RE: Issues and Decision 
Memorandum for the Final Determination of the Investigation of 
Prestressed Concrete Steel Wire Strand from Mexico (Decision 
Memorandum), dated December 1, 2003, at Comment 6 for a discussion of 
the deficiencies of Cablesa's cost response and the Department's use of 
adverse facts available.
    Our rejection of Cablesa's cost information renders impossible any

[[Page 68351]]

price-to-price or price-to-constructed value comparisons. This is 
consistent with Department practice. See, e.g., Notice of Final 
Determination of Sales at Less than Fair Value: Grain-Oriented 
Electrical Steel from Italy, 59 FR 33952 (July 1, 1994), Notice of 
Final Determination of Sales at Less than Fair Value: Certain Cold-
Rolled Carbon Steel Flat Products from Venezuela, 67 FR 62119 (October 
3, 2002), and Notice of Final Results of Antidumping Duty 
Administrative Review: Certain Cut-to-Length Carbon Steel Plate from 
Mexico, 64 FR 76, 77-78 (January 4, 1999).
    Accordingly, we have assigned to Cablesa the highest margin stated 
in the notice of initiation for Mexico. See Notice of Initiation of 
Antidumping Duty Investigations: Prestressed Concrete Steel Wire Strand 
From Brazil, India, the Republic of Korea, Mexico, and Thailand, 68 FR 
9050 (February 27, 2003). We corroborated this margin in the 
preliminary determination and we continue to find this margin 
corroborated, pursuant to section 776(c) of the Act. See Memoranda 
regarding corroboration of data contained in the petition for assigning 
facts available rates, dated July 10, 2003.

Critical Circumstances

    For the final determination, based on company-specific shipment 
data submitted to the Department, we have found that critical 
circumstances do not exist for either Camesa or Cablesa because there 
were no massive imports with respect to either respondent. We have also 
found that critical circumstances do not exist for any companies in the 
``All Others'' category. See Memorandum from Daniel O'Brien, 
International Trade Compliance Analyst, to Gary Taverman, Director, 
Office 5, Re: Final Negative Determination of Critical Circumstances 
and Decision Memorandum at Comment 8. See, also, Memorandum from Daniel 
O'Brien and Jim Kemp, International Trade Compliance Analysts, to Gary 
Taverman, Director, Office 5, Re: Verification of the Sales Response of 
Cablesa S.A. de C.V. in the Investigation of Prestressed Concrete Steel 
Wire Strand from Mexico dated October 7, 2003, at 22-23.

Verification

    As provided in section 782(i) of the Act, we conducted verification 
of the cost and sales information submitted by Camesa and Cablesa. We 
used standard verification procedures including examination of relevant 
accounting and production records, and original source documents 
provided by the respondent.

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs submitted by 
parties to this proceeding are listed in the appendix to this notice 
and addressed in the Decision Memorandum hereby adopted by this notice. 
The Decision Memorandum is on file in room B-099 of the main Department 
building. In addition, a complete version of the Decision Memorandum 
can be accessed directly on the World Wide Web at http://www.ita.doc.gov/import_admin/
 records/frn. The paper and electronic versions of the 
Decision Memorandum are identical in content.

Changes Since The Preliminary Determination

    Based on our findings at verification and our analysis of comments 
received, we have made adjustments to the preliminary determination 
calculation methodologies in calculating the final dumping margin for 
Camesa. These adjustments are discussed in the Decision Memorandum for 
this investigation.

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we are 
directing Customs and Border Patrol (CBP) to continue to suspend 
liquidation of all entries of PC strand exported from Mexico, that are 
entered, or withdrawn from warehouse, for consumption on or after the 
date of the preliminary determination. CBP shall continue to require a 
cash deposit or the posting of a bond based on the estimated weighted-
average dumping margins shown below. The suspension of liquidation 
instructions will remain in effect until further notice. Because the 
Department now determines that critical circumstances do not exist for 
either respondent, the retroactive suspension of liquidation ordered at 
the preliminary determination is terminated. CBP shall return all bonds 
and/or cash deposits posted for entries of PC strand produced and 
exported by Cablesa during the critical circumstances period (i.e. 
April 18, 2003, to July 17, 2003).
    We determine that the following weighted-average dumping margins 
exist for Mexico:

------------------------------------------------------------------------
                                                             Margin
                 Manufacturer/exporter                  [chyph](percent)
------------------------------------------------------------------------
Camesa................................................            62.78
Cablesa...............................................            77.20
All Others............................................            62.78
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International Trade Commission Notification

    In accordance with section 735(d) of the Act, we have notified the 
International Trade Commission (ITC) of our determination. The ITC will 
determine, within 45 days, whether imports of subject merchandise from 
Mexico are causing material injury, or threaten material injury, to an 
industry in the United States. If the ITC determines that material 
injury or threat of material injury does not exist, this 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 order directing CBP officials 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.
    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 in accordance with 
sections 735(d) and 777(i)(1) of the Act.

    Dated: December 1, 2003.
James J. Jochum,
Assistant Secretary for Import Administration.

APPENDIX

Issues Covered in Decision Memorandum

I. ISSUES SPECIFIC TO ACEROS CAMESA

Comment 1: Unverified Movement Expenses
Comment 2: Indirect Selling Expenses
Comment 3: Understatement of Cost of Manufacturing
Comment 4: General and Administrative Expense
Comment 5: Finance Expense

II. ISSUES SPECIFIC TO CABLESA

Comment 6: Reliability of Cost Information
Comment 7: Adjustments to Cost Information
Comment 8: Critical Circumstances new file
[FR Doc. 03-30384 Filed 12-5-03; 8:45 am]