[Federal Register Volume 85, Number 216 (Friday, November 6, 2020)]
[Notices]
[Pages 71053-71055]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-24712]



[[Page 71053]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-844]


Steel Concrete Reinforcing Bar from Mexico: Final Results of 
Antidumping Duty Administrative Review; 2017-2018

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

SUMMARY: The Department of Commerce (Commerce) determines that sales of 
steel concrete reinforcing bar (rebar) from Mexico were made at below 
normal value during the period of review (POR) November 1, 2017 through 
October 31, 2018.

DATES: Applicable November 6, 2020.

FOR FURTHER INFORMATION CONTACT: Jonathan Hall-Eastman, 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) 482-1468.

SUPPLEMENTARY INFORMATION:

Background

    On January 16, 2020, Commerce published the Preliminary Results.\1\ 
We invited interested parties to comment on the Preliminary Results. 
For events subsequent to the Preliminary Results, see the Issues and 
Decision Memorandum.\2\ Commerce conducted sales and cost verifications 
of Grupo Simec SAB de CV (Grupo Simec) from February 10, 2020--February 
14, 2020 and February 17, 2020--February 21, 2020, respectively.\3\ On 
April 8, 2020, we extended the deadline for these final results until 
July 14, 2019.\4\ On April 24, 2020, Commerce tolled all deadlines in 
administrative reviews by 50 days.\5\ On July 21, 2020, Commerce tolled 
all deadlines in administrative reviews by an additional 60 days.\6\ 
The deadline for the final results of this review is now November 2, 
2020.
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    \1\ See Steel Concrete Reinforcing Bar from Mexico: Preliminary 
Results of Antidumping Duty Administrative Review; 2017-2018, 85 FR 
2702 (January 16, 2020) (Preliminary Results), and accompanying 
Preliminary Decision Memorandum.
    \2\ See Memorandum, ``Steel Concrete Reinforcing Bar from 
Mexico: Issues and Decision Memorandum for the Final Results of 
Antidumping Duty Administrative Review; 2017-2018,'' dated 
concurrently with, and hereby adopted by, this notice (Issues and 
Decision Memorandum).
    \3\ See Memoranda, ``Verification of the Sales Response of Grupo 
Simec and Constructed Export Sales of Simec USA in the 2017-18 
Administrative Review of the Antidumping Duty on Steel Concrete 
Reinforcing Bar from Mexico,'' dated April 16, 2020 (Sales 
Verification Report); and ``Verification of the Cost Response of 
Grupo Simec in the 2017-18 Administrative Review of the Antidumping 
Duty Order on Steel Concrete Reinforcing Bar from Mexico,'' (Cost 
Verification Report) dated June 5, 2020.
    \4\ See Memorandum, ``Steel Concrete Reinforcing Bar from 
Mexico: Extension of Deadline for Final Results of Antidumping Duty 
Administrative Review,'' dated April 8, 2020.
    \5\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews in Response to 
Operational Adjustments Due to COVID-19,'' dated April 24, 2020.
    \6\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Administrative Reviews,'' dated July 21, 2020.
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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.\7\
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    \7\ See Issues and Decision Memorandum for a complete 
description of the Scope of the Order.
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this administrative review are addressed in the Issues and Decision 
Memorandum. A list of the issues that parties raised and to which we 
responded is attached to this notice as an Appendix. The Issues and 
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 Issues and Decision Memorandum can be accessed directly 
at http://enforcement.trade.gov/frn/index.html. The signed Issues and 
Decision Memorandum and the electronic versions of the Issues and 
Decision Memorandum are identical in content.

Changes Since the Preliminary Results

    Based on our analysis of the comments received from parties and the 
results of Grupo Simec's verification, we have made changes to the 
margin calculations of Grupo Simec and Deacero S.A.P.I. de C.V. 
(Deacero). For Grupo Simec, we included the downstream sales from 
affiliates that did not pass the arm's-length test, incorporated 
updated information from our cost and sales verifications of Grupo 
Simec, and corrected an inadvertent programming error.\8\ For Deacero, 
we corrected an inadvertent programming error.\9\
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    \8\ See Memorandum, ``Final Results Analysis Memorandum for 
Grupo Simec S.A.B. de C.V. (Grupo Simec); 2017-2018,'' dated 
concurrently with this memorandum (Grupo Simec Final Analysis 
Memorandum).
    \9\ See Memorandum, ``Steel Concrete Reinforcing Bar from 
Mexico: Final Results Sales and Cost Memorandum for Deacero; 2017-
2018,'' dated concurrently with this memorandum (Deacero Final 
Calculation Memorandum).
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Final Results of the Review

    As a result of this review, Commerce calculated a weighted-average 
dumping margin that is 1.46 percent for Grupo Simec and a 7.12 percent 
margin for Deacero for the POR. Therefore, consistent with its practice 
and the investigation methodology set forth in section 735(c)(5)(A) of 
the Tariff Act of 1930, as amended (the Act), Commerce assigned the 
weighted-average dumping margin calculated for Grupo Simec to the seven 
non-selected companies in these final results, as referenced below.
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    \10\ We note that there was also a request for review of DE 
ACERO SA. DE CV. However, the company's name is Deacero S.A.P.I. de 
C.V. Thus, we have not assigned a non-selected rate to DE ACERO SA. 
DE CV.
    \11\ In the 2014-2015 Review, Commerce collapsed Orge S.A. de 
C.V. (Orge), Compania Siderurgica del Pacifico S.A. de C.V. 
(Siderurgica Pacifico), Grupo Chant S.A.P.I. de C.V. (Chant), RRLC 
S.A.P.I. de C.V. (RRLC), Siderurgica del Occidente y Pacifico S.A. 
de C.V. (Siderurgica Occidente), Simec International 6 S.A. de C.V. 
(Simec 6), Simec International 7 S.A. de C.V. (Simec 7), and Simec 
International 9 S.A. de C.V (Simec 9) into the single entity ``Grupo 
Simec.'' See Steel Concrete Reinforcing Bar from Mexico: Final 
Results of Antidumping Duty Administrative Review; 2014-2015, 82 FR 
27233 (June 14, 2017) (2014-2015 Review). In the 2016-2017 Review, 
Commerce collapsed AEST, Fundiciones de Acero Estructurales, S.A. de 
C.V. (FUNACE), Perfiles Comerciales Sigosa, S.A. de C.V. (Perfiles), 
and Operadora into the single entity ``Grupo Simec,'' which included 
Simec 6 and Orge. See Steel Concrete Reinforcing Bar from Mexico: 
Preliminary Results of Antidumping Duty Administrative Review; 2016-
2017, 83 FR 63622 (December 11, 2018), and Preliminary Decision 
Memorandum at 5; unchanged in Steel Concrete Reinforcing Bar from 
Mexico: Final Results of Antidumping Duty Administrative Review; 
2016-2017, 84 FR 35599 (July 24, 2019) (2016-2017 Review).
    In this administrative review, Commerce has collapsed 
Sider[uacute]rgicos Noroeste, S.A. de C.V. and Simec International 
with Simec 6, Orge, AEST, FUNACE, Operadora, Simec 7, and Chant in 
the single entity, ``Grupo Simec.'' Consistent with the 2016-2017 
Review, we find that Industrias CH is affiliated with Grupo Simec 
but Commerce is not collapsing the company into the single entity 
because it is not involved in the production or sale of subject 
merchandise. See Memorandum, ``Affiliation and Collapsing Memorandum 
for Grupo Simec,'' dated January 9, 2020.

[[Page 71054]]



------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                Producer and/or exporter                  dumping margin
                                                             (percent)
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Deacero S.A.P.I. de C.V.\10\............................            7.12
Grupo Simec (Simec International 6 S.A. de C.V.; Orge               1.46
 S.A. de C.V.; Aceros Especiales Simec Tlaxcala, S.A. de
 C.V.; Fundiciones de Acero Estructurales, S.A. de C.V.;
 Operadora de Perfiles Sigosa, S.A. de C.V.; Simec
 International, S.A. de C.V.; Simec International 7,
 S.A. de C.V.; Grupo Chant, S.A.P.I. de C.V.; and
 Sider[uacute]rgicos Noroeste, S.A. de C.V.) \11\.......
AceroMex S.A............................................            5.54
Arcelor Mittal..........................................            5.54
ArcelorMittal Celaya....................................            5.54
ArcelorMittal Cordoba S.A. de C.V.......................            5.54
ArcelorMittal Lazaro Cardenas S.A. de C.V...............            5.54
Cia Siderurgica De California, S.A. de C.V..............            5.54
Compania Siderurgica de California, S.A. de C.V.........            5.54
Grupo Villacero S.A. de C.V.............................            5.54
Siderurgica Tultitlan S.A. de C.V.......................            5.54
Talleres y Aceros, S.A. de C.V..........................            5.54
Ternium Mexico, S.A. de C.V.............................            5.54
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Disclosure and Public Comment

    We intend to disclose the calculations performed to parties in this 
proceeding within five days after publication of these final results in 
the Federal Register, in accordance with section 751(a) of the Act and 
19 CFR 351.224(b).

Assessment Rates

    Commerce shall determine and U.S. Customs and Border Protection 
(CBP) shall assess antidumping duties on all appropriate entries.\12\ 
For any individually examined respondent whose weighted-average dumping 
margin is above de minimis, we calculated importer-specific ad valorem 
duty assessment rates based on the ratio of the total amount of dumping 
calculated for the importer's examined sales to the totaled entered 
value of those same sales in accordance with 19 CFR 351.212(b)(1). Upon 
issuance of the final results of this administrative review, if any 
importer-specific assessment rates calculated in the final results are 
above de minimis (i.e., at or above 0.5 percent), Commerce will issue 
instructions directly to CBP to assess antidumping duties on 
appropriate entries. Where either the respondent's weighted-average 
dumping margin is zero or de minimis, or an importer-specific 
assessment rate is zero or de minimis, we will instruct CBP to 
liquidate the appropriate entries without regard to antidumping duties.
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    \12\ In these final 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).
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    In accordance with Commerce's ``automatic assessment'' 
practice,\13\ 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.
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    \13\ For a full discussion of this clarification, see 
Antidumping and Countervailing Duty Proceedings: Assessment of 
Antidumping Duties, 68 FR 23954 (May 6, 2003).
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    We intend to issue assessment instructions directly 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 less-than-fair-value (LTFV) 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 LTFV investigation.\14\ These cash 
deposit requirements, when imposed, shall remain in effect until 
further notice.
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    \14\ 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).
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Notification to Importers

    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 the POR. Failure to comply with this 
requirement could result in Commerce's presumption that reimbursement 
of antidumping duties occurred and the subsequent assessment of doubled 
antidumping duties.

Administrative Protective Order

    This notice also serves as a reminder to parties subject to 
administrative protective orders (APO) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3), which

[[Page 71055]]

continues to govern business proprietary information in this segment of 
the proceeding. 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.

Notice to Interested Parties

    We are issuing and publishing this notice in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.221.

    Dated: November 2, 2020.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Final Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Changes Made Since the Preliminary Results
V. Discussion of the Issues
    Comments Concerning Deacero
    Comment 1: Whether Constructed Export Price (CEP) Offset Should 
Be Granted
    Comment 2: Whether Commerce Should Recalculate Credit Expense
    Comment 3: Whether the Highest U.S. Freight Should Be Applied to 
All U.S. Sales
    Comment 4: Whether to Disallow Deacero's Scrap Offset 
Calculation
    Comment 5: Whether Section 232 Duties Should be Deducted from 
Constructed Export Price
    Comments Concerning Grupo Simec
    Comment 6: Whether Commerce Should Apply Total AFA to Grupo 
Simec
    Comment 7: Whether Commerce Double-Counted Depreciation Expenses 
When Applying the Transactions Disregarded Rule to Grupo Simec
    Comment 8: Whether Commerce Should Accept Grupo Simec's Minor 
Corrections
    Comment 9: Whether Commerce Should Alter the Margin Calculation 
Program to Distinguish Between Prime and Non-Prime Sales
    Comment 10: Whether Commerce Should Include Grupo Simec and 
Sigosa's Downstream Home Market Sales in the Final Margin Program
    Comment 11: Whether Commerce Should Recalculate Grupo Simec's 
Home Market Credit Expense
VI. Recommendation
[FR Doc. 2020-24712 Filed 11-5-20; 8:45 am]
BILLING CODE 3510-DS-P