[Federal Register: May 12, 2008 (Volume 73, Number 92)]
[Notices]               
[Page 26958-26960]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr12my08-10]                         

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DEPARTMENT OF COMMERCE

International Trade Administration

(A-122-840)

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

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: On November 7, 2007, the Department of Commerce published the 
preliminary results of the administrative review of the antidumping 
duty order on carbon and certain alloy steel wire rod from Canada. See 
Notice of Preliminary Results of Antidumping Duty Administrative 
Review: Carbon and Certain Alloy Steel Wire Rod From Canada, 72 FR 
62816 (November 7, 2007) (Preliminary Results). This review covers the 
period October 1, 2005, through September 30, 2006, for Ivaco Rolling 
Mills 2004 L.P. (``IRM'') and Sivaco Ontario (a division of Sivaco Wire 
Group 2004 L.P.) (``Sivaco'') (referred to collectively as Ivaco).

EFFECTIVE DATE: May 12, 2008.

FOR FURTHER INFORMATION CONTACT: Steve Bezirganian or Robert James, 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) 482-1131 
or (202) 482-0649, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On November 7, 2007, the Department published the preliminary 
results of this administrative review of the antidumping duty order on 
carbon and certain alloy steel wire rod from Canada. See Preliminary 
Results, 72 FR 62816. This review covers Ivaco for the period October 
1, 2005, to September 30, 2006. On November 29, 2007, we sent a 
supplemental questionnaire to Ivaco pertaining to the level of trade 
issue. Ivaco submitted its response on December 13, 2007. Petitioners 
(Mittal Steel USA Inc. - Georgetown, Gerdau USA Inc., Nucor Steel 
Connecticut Inc., Keystone Consolidated Industries, Inc., and Rocky 
Mountain Steel Mills) provided comments on Ivaco's response on December 
21, 2007. Ivaco responded to petitioners' comments on December 31, 
2007. The Department extended the deadlines for filing case briefs and 
rebuttal briefs because of its request for new information after 
issuing its preliminary results. Ivaco and petitioners submitted their 
case briefs on January 23, 2008, and rebuttal briefs on January 30, 
2008. A hearing was held on February 27, 2008. On February 28, 2008, we 
published in the Federal Register our notice fully extending the time 
limit for this review until May 5, 2008. See Carbon and Certain Alloy 
Steel Wire Rod From Canada: Extension of Time Limit for Final Results 
of Antidumping Duty Administrative Review, 73 FR 10743 (February 28, 
2008).

Period of Review

    The period of review is October 1, 2005 through September 30, 2006.

Scope of the Order

    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. 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.
    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

[[Page 26959]]

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.
    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 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 subject to this order are currently classifiable 
under subheadings 7213.91.3011, 7213.91.3015, 7213.91.3092, 
7213.91.4500, 7213.91.6000, 7213.99.0030, 7213.99.0090, 7227.20.0000, 
7227.90.6010, and 7227.90.6080 of the HTSUS. Although the HTSUS 
subheadings are provided for convenience and customs purposes, the 
written description of the scope of this order is dispositive.

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 from Stephen J. Claeys, Deputy Assistant Secretary for 
Import Administration, to David M. Spooner, Assistant Secretary for 
Import Administration, dated May 5, 2008 (Decision Memorandum), which 
is hereby adopted by this notice. A list of the issues that parties 
have raised and to which we have responded, all of which are in the 
Decision Memorandum (and, for the level of trade issue, in a separate 
proprietary document referenced in the Decision Memorandum), is 
attached to this notice as an appendix. Parties can find a discussion 
of all issues raised in this review and the corresponding 
recommendations in this public memorandum, which is on file in the 
Central Records Unit in room 1117 in the main Department building. In 
addition, a complete version of the Decision Memorandum can be accessed 
directly via the Internet at http://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 the comments received, we have corrected 
the programming language so that the arm's-length test runs properly. 
This change is discussed in the relevant section of the Decision 
Memorandum, and in ``Analysis Memorandum for the Final Results of the 
Administrative Review of the Antidumping Duty Order on Carbon and 
Certain Alloy Steel Wire Rod from Canada (A-122-840): Ivaco.''

Final Results of Review

    We determine the following weighted-average percentage margin 
exists for the period October 1, 2005, through September 30, 2006:

------------------------------------------------------------------------
                                                       Weighted Average
                Manufacturer/Exporter                       Margin
------------------------------------------------------------------------
Ivaco...............................................        2.98 percent
------------------------------------------------------------------------

Assessment

    The Department will determine, and U.S. Customs and Border 
Protection (CBP) shall assess, antidumping duties on all appropriate 
entries, pursuant to section 751(a)(1) of the Tariff Act of 1930, as 
amended (the Act), and 19 CFR 351.212(b). The Department calculated an 
assessment rate for each importer of the subject merchandise covered by 
the review. Upon issuance of the final results of this review, for any 
importer-specific assessment rates calculated in the final results that 
are above de minimis (i.e., at or above 0.50 percent), we will issue 
assessment instructions directly to CBP to assess antidumping duties on 
appropriate entries by applying the assessment rate to the entered 
value of the merchandise. Pursuant to 19 CFR 356.8(a), the Department 
intends to issue assessment instructions to CBP 41 days after the date 
of publication of these final results of review.
    The Department clarified its ``automatic assessment'' regulation on 
May 6, 2003. See Antidumping and Countervailing Duty Proceedings: 
Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003). This 
clarification will apply to entries of subject merchandise during the 
period of review produced by Ivaco for which Ivaco did not know the 
merchandise was destined for the United States. In such instances, we 
will instruct CBP to liquidate unreviewed entries at the 8.11 percent 
all-others rate if there is no company-specific rate for an 
intermediary involved in the transaction. See id.

Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of these final results for all shipments of the subject 
merchandise entered, or withdrawn from warehouse, for consumption on or 
after the publication date of these final results of administrative 
review, consistent with section 751(a)(1) of the Act: (1) the cash 
deposit rate for the reviewed company will be the rate listed above; 
(2) if the exporter is not a firm covered in this review, but was 
covered in a previous review or the original less than fair value 
(LTFV) investigation, the cash deposit rate will continue to be the 
company-specific rate published for the most recent period; (3) if the 
exporter is not a firm covered in this review, a prior review, or the 
original LTFV investigation, but the manufacturer is, the cash deposit 
rate will be the rate established for the most recent period for the 
manufacturer of the

[[Page 26960]]

merchandise; and (4) the cash deposit rate for all other manufacturers 
or exporters will continue to be 8.11 percent, the all-others rate 
established in the LTFV investigation. See Notice of Amended Final 
Determination of Sales at Less Than Fair Value and Antidumping Duty 
Order: Carbon and Certain Alloy Steel Wire Rod from Canada, 67 FR 65944 
(October 29, 2002). These deposit requirements, when imposed, shall 
remain in effect until publication of the final results of the next 
administrative review.

Notification to Interested Parties

    This notice also serves as a final 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 Department's presumption that 
reimbursement of the antidumping duties occurred and the subsequent 
assessment of doubled antidumping duties.
This notice also serves as a reminder to parties subject to 
administrative protective orders (APOs) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305, which continues to govern 
business proprietary information in this segment of the proceeding. 
Timely written notification of the return or 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 notice is issued and published in accordance with sections 
751(a)(1) and 777(i)(1) of the Act.

    Dated: May 5, 2008.
David M. Spooner,
Assistant Secretaryfor Import Administration.

Appendix - Issues and Decision Memorandum

Comment 1: Adjustment to Pension Liabilities
Comment 2: Adjustment to General & Administrative Expenses
Comment 3: Arm's-Length Program Product Characteristic Variable Names
Comment 4: Level of Trade
Comment 5: Offsetting for U.S. Sales that Exceed Normal Value
[FR Doc. E8-10514 Filed 5-9-08; 8:45 am]

BILLING CODE 3510-DS-S