[Federal Register: March 15, 2005 (Volume 70, Number 49)]
[Notices]               
[Page 12648-12651]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr15mr05-28]                         

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DEPARTMENT OF COMMERCE

INTERNATIONAL TRADE ADMINISTRATION

(A-274-804)

 
Notice of Final Results of Antidumping Duty Administrative 
Review: Carbon and Certain Alloy Steel Wire Rod from Trinidad and 
Tobago

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: On November 8, 2004, the Department of Commerce (the 
Department) published the preliminary results of its first 
administrative review

[[Page 12649]]

of the antidumping duty order on carbon and certain alloy steel wire 
rod from Trinidad and Tobago. The review covers one producer of the 
subject merchandise. The period of review (POR) is April 10, 2002, 
through September 30, 2003. Based on our analysis of comments received, 
these final results differ from the preliminary results. The final 
results are listed below in the Final Results of Review section.

EFFECTIVE DATE: March 15, 2005.

FOR FURTHER INFORMATION CONTACT: Dennis McClure or Vicki Cho, at (202) 
482-5973 or (202) 482-5075, respectively; AD/CVD Operations, Office 3, 
Import Administration, International Trade Administration, U.S. 
Department of Commerce, 14th Street & Constitution Avenue, NW., 
Washington, DC 20230.

SUPPLEMENTARY INFORMATION:

Background

    On November 8, 2004, the Department published in the Federal 
Register the preliminary results of the first administrative review of 
the antidumping duty order on carbon and certain alloy steel wire rod 
from Trinidad and Tobago. See Preliminary Results of Antidumping Duty 
Administrative Review: Carbon and Certain Steel Alloy Steel Wire Rod 
from Trinidad and Tobago, 69 FR 64726 (November 8, 2004) (Preliminary 
Results).
    We invited parties to comment on the Preliminary Results. On 
December 8, 2004, we received case briefs from the sole respondent, 
Carribean Ispat Limited (CIL) and its affiliates Ispat North America 
Inc. (INA) and Walker Wire (Ispat) Inc. (Walker Wire) (collectively 
CIL), and the petitioners, Gerdau Ameristeel US Inc., ISG Georgetown 
Inc., Keystone Consolidated Industries, Inc., and North Star Steel 
Texas, Inc. Both parties submitted rebuttal briefs on December 13, 
2004. A public hearing was requested by both parties and held on 
December 22, 2004. On March 3, 2005, we received a letter claiming that 
Carribean Ispat Limited had changed its name to Mittal Steel Point 
Lisas Limited. Given the timing of this letter, we have not been able 
to consider this further. We will do so in the future in the context of 
a changed circumstances review, in the event one is requested.

Scope of the Order

    Effective July 24, 2003, in accordance with the Department's Notice 
of Final Results of Changed Circumstances Review of the Antidumping 
Duty and Countervailing Duty Orders, and Intent to Revoke Orders in 
Part, 68 FR 64079 (November 12, 2003), the scope of this order was 
amended. Therefore, for purposes of this review, there were separate 
scopes in effect. These scopes are set forth below.

Scope of Order from October 29, 2002, through July 23, 2003

    The merchandise subject to this order is certain hot-rolled 
products of carbon steel and alloy steel, in coils, of approximately 
round cross section, 5.00 mm or more, but less than 19.00 mm, in solid 
cross-sectional diameter.
    Specifically excluded are steel products possessing the above-noted 
physical characteristics and meeting the Harmonized Tariff Schedule of 
the United States (HTSUS) definitions for (a) Stainless steel; (b) tool 
steel; (c) high nickel steel; (d) ball bearing steel; and (e) concrete 
reinforcing bars and rods. Also excluded are (f) free machining steel 
products (i.e., products that contain by weight one or more of the 
following elements: 0.03 percent or more of lead, 0.05 percent or more 
of bismuth, 0.08 percent or more of sulfur, more than 0.04 percent of 
phosphorus, more than 0.05 percent of selenium, or more than 0.01 
percent of tellurium).
    Also excluded from the scope are 1080 grade tire cord quality wire 
rod and 1080 grade tire bead quality wire rod. This grade 1080 tire 
cord quality rod is defined as: (i) grade 1080 tire cord quality wire 
rod measuring 5.0 mm or more but not more than 6.0 mm in cross-
sectional diameter; (ii) with an average partial decarburization of no 
more than 70 microns in depth (maximum individual 200 microns); (iii) 
having no inclusions greater than 20 microns; (iv) having a carbon 
segregation per heat average of 3.0 or better using European Method NFA 
04-114; (v) having a surface quality with no surface defects of a 
length greater than 0.15 mm; (vi) capable of being drawn to a diameter 
of 0.30 mm or less with 3 or fewer breaks per ton, and (vii) containing 
by weight the following elements in the proportions shown: (1) 0.78 
percent or more of carbon, (2) less than 0.01 percent of aluminum, (3) 
0.040 percent or less, in the aggregate, of phosphorus and sulfur, (4) 
0.006 percent or less of nitrogen, and (5) not more than 0.15 percent, 
in the aggregate, of copper, nickel and chromium.
    This grade 1080 tire bead quality rod is defined as: (i) grade 1080 
tire bead quality wire rod measuring 5.5 mm or more but not more than 
7.0 mm in cross-sectional diameter; (ii) with an average partial 
decarburization of no more than 70 microns in depth (maximum individual 
200 microns); (iii) having no inclusions greater than 20 microns; (iv) 
having a carbon segregation per heat average of 3.0 or better using 
European Method NFA 04-114; (v) having a surface quality with no 
surface defects of a length greater than 0.2 mm; (vi) capable of being 
drawn to a diameter of 0.78 mm or larger with 0.5 or fewer breaks per 
ton; and (vii) containing by weight the following elements in the 
proportions shown: (1) 0.78 percent or more of carbon, (2) less than 
0.01 percent of soluble aluminum, (3) 0.040 percent or less, in the 
aggregate, of phosphorus and sulfur, (4) 0.008 percent or less of 
nitrogen, and (5) either not more than 0.15 percent, in the aggregate, 
of copper, nickel and chromium (if chromium is not specified), or not 
more than 0.10 percent in the aggregate of copper and nickel and a 
chromium content of 0.24 to 0.30 percent (if chromium is specified).
    The designation of the products as ``tire cord quality'' or ``tire 
bead quality'' indicates the acceptability of the product for use in 
the production of tire cord, tire bead, or wire for use in other rubber 
reinforcement applications such as hose wire. These quality 
designations are presumed to indicate that these products are being 
used in tire cord, tire bead, and other rubber reinforcement 
applications, and such merchandise intended for the tire cord, tire 
bead, or other rubber reinforcement applications is not included in the 
scope. However, should the petitioners or other interested parties 
provide a reasonable basis to believe or suspect that there exists a 
pattern of importation of such products for other than those 
applications, end-use certification for the importation of such 
products may be required. Under such circumstances, only the importers 
of record would normally be required to certify the end use of the 
imported merchandise.
    All products meeting the physical description of subject 
merchandise that are not specifically excluded are included in this 
scope.
    The products under review are currently classifiable under 
subheadings 7213.91.3010, 7213.91.3090, 7213.91.4510, 7213.91.4590, 
7213.91.6010, 7213.91.6090, 7213.99.0031, 7213.99.0038, 7213.99.0090, 
7227.20.0010, 7227.20.0020, 7227.20.0090, 7227.20.0095, 7227.90.6051, 
7227.90.6053, 7227.90.6058, and 7227.90.6059 of the HTSUS. Although the 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the scope of this proceeding is dispositive.

[[Page 12650]]

Scope of Order from July 24, 2003, through the POR

    The merchandise subject to this order is certain hot-rolled 
products of carbon steel and alloy steel, in coils, of approximately 
round cross section, 5.00 mm or more, but less than 19.00 mm, in solid 
cross-sectional diameter.
    Specifically excluded are steel products possessing the above-noted 
physical characteristics and meeting the HTSUS definitions for (a) 
stainless steel; (b) tool steel; c) high nickel steel; (d) ball bearing 
steel; and (e) concrete reinforcing bars and rods. Also excluded are 
(f) free machining steel products (i.e., products that contain by 
weight one or more of the following elements: 0.03 percent or more of 
lead, 0.05 percent or more of bismuth, 0.08 percent or more of sulfur, 
more than 0.04 percent of phosphorus, more than 0.05 percent of 
selenium, or more than 0.01 percent of tellurium).
    Also excluded from the scope are 1080 grade tire cord quality wire 
rod and 1080 grade tire bead quality wire rod. This grade 1080 tire 
cord quality rod is defined as: (i) grade 1080 tire cord quality wire 
rod measuring 5.0 mm or more but not more than 6.0 mm in cross-
sectional diameter; (ii) with an average partial decarburization of no 
more than 70 microns in depth (maximum individual 200 microns); (iii) 
having no non-deformable inclusions greater than 20 microns and no 
deformable inclusions greater than 35 microns; (iv) having a carbon 
segregation per heat average of 3.0 or better using European Method NFA 
04-114; (v) having a surface quality with no surface defects of a 
length greater than 0.15 mm; (vi) capable of being drawn to a diameter 
of 0.30 mm or less with 3 or fewer breaks per ton, and (vii) containing 
by weight the following elements in the proportions shown: (1) 0.78 
percent or more of carbon, (2) less than 0.01 percent of aluminum, (3) 
0.040 percent or less, in the aggregate, of phosphorus and sulfur, (4) 
0.006 percent or less of nitrogen, and (5) not more than 0.15 percent, 
in the aggregate, of copper, nickel and chromium.
    This grade 1080 tire bead quality rod is defined as: (i) Grade 1080 
tire bead quality wire rod measuring 5.5 mm or more but not more than 
7.0 mm in cross-sectional diameter; (ii) with an average partial 
decarburization of no more than 70 microns in depth (maximum individual 
200 microns); (iii) having no non-deformable inclusions greater than 20 
microns and no deformable inclusions greater than 35 microns; (iv) 
having a carbon segregation per heat average of 3.0 or better using 
European Method NFA 04-114; (v) having a surface quality with no 
surface defects of a length greater than 0.2 mm; (vi) capable of being 
drawn to a diameter of 0.78 mm or larger with 0.5 or fewer breaks per 
ton; and (vii) containing by weight the following elements in the 
proportions shown: (1) 0.78 percent or more of carbon, (2) less than 
0.01 percent of soluble aluminum, (3) 0.040 percent or less, in the 
aggregate, of phosphorus and sulfur, (4) 0.008 percent or less of 
nitrogen, and (5) either not more than 0.15 percent, in the aggregate, 
of copper, nickel and chromium (if chromium is not specified), or not 
more than 0.10 percent in the aggregate of copper and nickel and a 
chromium content of 0.24 to 0.30 percent (if chromium is specified).
    For purposes of the grade 1080 tire cord quality wire rod and the 
grade 1080 tire bead quality wire rod, an inclusion will be considered 
to be deformable if its ratio of length (measured along the axis - that 
is, the direction of rolling - of the rod) over thickness (measured on 
the same inclusion in a direction perpendicular to the axis of the rod) 
is equal to or greater than three. The size of an inclusion for 
purposes of the 20 microns and 35 microns limitations is the 
measurement of the largest dimension observed on a longitudinal section 
measured in a direction perpendicular to the axis of the rod. This 
measurement methodology applies only to inclusions on certain grade 
1080 tire cord quality wire rod and certain grade 1080 tire bead 
quality wire rod that are entered, or withdrawn from warehouse, for 
consumption on or after July 24, 2003.
    The designation of the products as ``tire cord quality'' or ``tire 
bead quality'' indicates the acceptability of the product for use in 
the production of tire cord, tire bead, or wire for use in other rubber 
reinforcement applications such as hose wire. These quality 
designations are presumed to indicate that these products are being 
used in tire cord, tire bead, and other rubber reinforcement 
applications, and such merchandise intended for the tire cord, tire 
bead, or other rubber reinforcement applications is not included in the 
scope. However, should the petitioners or other interested parties 
provide a reasonable basis to believe or suspect that there exists a 
pattern of importation of such products for other than those 
applications, end-use certification for the importation of such 
products may be required. Under such circumstances, only the importers 
of record would normally be required to certify the end use of the 
imported merchandise.
    All products meeting the physical description of subject 
merchandise that are not specifically excluded are included in this 
scope.
    The products under review are currently classifiable under 
subheadings 7213.91.3010, 7213.91.3090, 7213.91.4510, 7213.91.4590, 
7213.91.6010, 7213.91.6090, 7213.99.0031, 7213.99.0038, 7213.99.0090, 
7227.20.0010, 7227.20.0020, 7227.20.0090, 7227.20.0095, 7227.90.6051, 
7227.90.6053, 7227.90.6058, and 7227.90.6059 of the HTSUS. Although the 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the scope of this proceeding is 
dispositive.\1\
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    \1\ Effective January 1, 2005, U.S. Customs and Border 
Protection (CBP) reclassified certain HTSUS numbers related to the 
subject merchandise. See http://hotdocs.usitc.gov/tariff_chapters_current/toc.html
.

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Analysis of Comments Received

    The issues raised in the case briefs by parties to this 
administrative review are addressed in the Issues and Decision 
Memorandum to Joseph A. Spetrini, Acting Assistant Secretary for Import 
Administration, from Barbara E. Tillman, Acting Deputy Assistant 
Secretary (Decision Memorandum), which is hereby adopted by this 
notice. A list of the issues addressed in the Decision Memorandum is 
appended to this notice. The Decision Memorandum is on file in the 
Central Records Unit in Room B-099 of the main Commerce building, and 
can also be accessed directly on the Web at http://www.ia.ita.doc.gov/frn.
 The paper copy and electronic version of the Decision Memorandum 

are identical in content.

Changes Since the Preliminary Results

    Based on our analysis of comments received, we have (1) Made 
adjustments to the payment date used to calculate credit expenses for 
sales where payment had not been made; (2) recalculated credit expenses 
and domestic inventory carrying costs related to sales through INA; (3) 
set inventory carrying costs in the United States, which were related 
to sales through INA equal to zero; (4) corrected the double-counting 
of imputed credit and warranty expenses in the constructed export price 
profit calculation; (5) added back the cost of billets purchased from 
affiliates to the cost of manufacturing; and (6) increased the cost of 
manufacturing to adjust for purchases of iron ore from affiliates used 
in calculating the final dumping margin in this proceeding. The 
adjustments are discussed in detail in the Decision Memorandum. In 
addition,

[[Page 12651]]

we corrected a programming error to calculate the margin based on CIL's 
reported further manufacturing costs.

Final Results of Review

    As a result of our review, we determine that the following 
weighted-average margin exists for the period of April 10, 2002, 
through September 30, 2003:

------------------------------------------------------------------------
             Producer Weighted-Average               Margin (Percentage)
------------------------------------------------------------------------
CIL................................................                 3.61
------------------------------------------------------------------------

Assessment

    The Department will determine, and CBP shall assess, antidumping 
duties on all appropriate entries, pursuant to 19 CFR 351.212(b). The 
Department calculated importer-specific duty assessment rates on the 
basis of the ratio of the total amount of antidumping duties calculated 
for the examined sales to the total entered value of the examined sales 
for that importer. Where the assessment rate is above de minimis, we 
will instruct CBP to assess duties on all entries of subject 
merchandise by that importer. The Department will issue appropriate 
assessment instructions directly to CBP within 15 days of publication 
of these final results of review.

Cash Deposits

    Furthermore, the following deposit requirements will be effective 
upon publication of the final results of this administrative review for 
all shipments of carbon and certain alloy steel wire rod from Trinidad 
and Tobago entered, or withdrawn from warehouse, for consumption on or 
after the publication date of these final results, as provided by 
section 751(a) of the Tariff Act of 1930, as amended (the Act): (1) For 
CIL, the cash deposit rate will be the rate listed above; (2) for 
merchandise exported by producers or exporters not covered in this 
review but covered in the investigation, the cash deposit rate will 
continue to be the company-specific rate from the final determination; 
(3) if the exporter is not a firm covered in this review or the 
investigation, but the producer is, the cash deposit rate will be that 
established for the producer of the merchandise in these final results 
of review or in the final determination; and (4) if neither the 
exporter nor the producer is a firm covered in this review or the 
investigation, the cash deposit rate will be 11.40 percent\2\, the 
``All Others'' rate established in the less-than-fair-value 
investigation. These deposit requirements shall remain in effect until 
publication of the final results of the next administrative review.
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    \2\ In the Preliminary Results, we inadvertently used the 
preliminary ``All Others'' rate from the investigation.
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    This notice also serves as a final reminder to importers of their 
responsibility under 19 CFR 351.402 (f) 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 the subsequent 
increase in antidumping duties by the amount of antidumping duties 
reimbursed.
    This notice also is the only reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305. Timely written 
notification of the 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.
    We are issuing and publishing these results and notice in 
accordance with sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: March 8, 2005.
Joseph A. Spetrini,
Acting Assistant Secretary for Import Administration.

APPENDIX

Comment 1: Use of Home Market GAAP
Comment 2: Matching Hierarchy for Similar Products
Comment 3: Determination of Payment Dates
Comment 4: CEP Offset Adjustment and LOT Analysis
Comment 5: Classification of Expenses Incurred by U.S. Affiliate
Comment 6: Calculation of Imputed Expenses for CEP Sales
Comment 7: Treatment of Major Inputs from Affiliated Suppliers
Comment 8: Ministerial Error in Calculating CEP Profit
[FR Doc. E5-1128 Filed 3-14-05; 8:45 am]