# Carbon Steel Wire Rod From Argentina: Preliminary Results of Antidumping Duty Administrative Review

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URL: https://www.frixlaw.com/law-library/documents/fr%3A99-30283

## Record

- **Collection:** Federal Register
- **Document type:** Notice
- **Published:** November 19, 1999
- **Citation:** 64 FR 63283

## Text

DEPARTMENT OF COMMERCE

International Trade Administration
[A-357-007]

Carbon Steel Wire Rod From Argentina: Preliminary Results of
Antidumping Duty Administrative Review

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

ACTION: Notice of preliminary results of antidumping duty
administrative review.

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

SUMMARY: In response to a request from petitioners, the Department of
Commerce (the Department) is conducting an administrative review of the
antidumping duty order on carbon steel wire rod from Argentina. The
review covers one manufacturer/exporter of the subject merchandise to
the United States, Acindar Industria Argentina de Aceros S.A.
(``Acindar'') and the period November 1, 1997 through October 31, 1998.
We have preliminarily determined that respondent has made sales
below normal value during the period of review. If these preliminary
results are adopted in our final results of review, we will instruct
the U.S. Customs Service to assess antidumping duties on entries
subject to this review.

EFFECTIVE DATE: November 19, 1999.

FOR FURTHER INFORMATION CONTACT: Helen M. Kramer or Linda Ludwig,
Import Administration, International Trade Administration, U.S.
Department of Commerce, 14th Street and Constitution Avenue, NW,
Washington, DC 20230; telephone (202) 482-0405 or 482-3833,
respectively.

Applicable Statute and Regulations

Unless otherwise indicated, all citations to the Trade and Tariff
Act of 1930, as amended (the Act) are references to the provisions
effective January 1, 1995, the effective date of the amendments made to
the Act by the Uruguay Round Agreements Act of 1994 (URAA). In
addition, unless otherwise indicated, all references to the
Department's regulations are to 19 CFR Part 351 (1998).

SUPPLEMENTARY INFORMATION:

Background

On November 23, 1984, the Department published an antidumping duty
order on Carbon Steel Wire Rod from Argentina (49 FR 46180). The
Department published a notice of ``Opportunity To Request

[[Page 63284]]

Administrative Review'' of the antidumping duty order for the 1997/1998
review period on November 12, 1998 (63 FR 63287). On November 30, 1998,
the petitioners, Birmingham Steel Corporation, Cascade Steel Rolling
Mills, Co-Steel Raritan, Connecticut Steel Corporation, GS Industries,
Inc., Keystone Steel & Wire Company, North Star Steel Company, and
Northwestern Steel & Wire Company, filed a request for review. We
published a notice of initiation of this review on December 23, 1998
(63 FR 71091).
Due to the complexity of model match issues involved in this case,
the Department extended the time limit for completion of the
preliminary results until November 30, 1999, in accordance with section
751(a)(3)(A) of the Act. See 64 FR 55234 (October 12, 1999). The
deadline for the final results of this review will continue to be 120
days after the date of publication of this notice. The Department is
conducting this review in accordance with section 751 of the Act.

Scope of the Review

The product covered by this review is carbon steel wire rod. This
merchandise is currently classifiable under HTS item numbers
7213.20.00, 7212.31.30, 72113.39.00, 721113.41.30, 7213.49.00, and
7213.50.00. These HTS subheadings are provided for convenience and U.S.
Customs purposes. The written description of the scope of the
proceeding is dispositive.

Verification

As provided in section 782(i)(3) of the Act, we verified sales
information provided by Acindar at its headquarters in Buenos Aires and
at its plant in Villa Constitucion, Argentina, August 23 through 27,
1999, using standard verification procedures, including inspection of
the manufacturing facilities, examination of relevant sales and
financial records, and selection of original documentation containing
relevant information. As a result of our findings at verification, we
adjusted imputed credit expenses in both the U.S. and home markets and
U.S. movement expenses. See ``Verification of Sales at Acindar
Industria Argentina de Aceros S.A., Buenos Aires and Villa
Constitucion, Argentina, August 23-27, 1999,'' dated October 21, 1999,
and ``Analysis of Sales by Acindar Industria Argentina de Aceros S.A.
for the Preliminary Results of the Administrative Review of Silicon
Metal from Argentina for the Period November 1, 1997 through October
31, 1998,'' dated November 30, 1999.

Fair Value Comparisons

To determine whether sales of the subject merchandise sold by
Acindar and exported to the United States were made at less than normal
value (``NV''), we compared export price (``EP'') to the NV, as
described in the ``Export Price'' and ``Normal Value'' sections of this
notice. Pursuant to section 777A(d)(2) of the Act, we compared the EPs
of individual U.S. transactions to monthly weighted-average NVs of the
foreign like product. All merchandise sold in the United States was
matched to similar merchandise sold in the home market.

Export Price

We based United States price on EP, as defined in section 772(a) of
the Act, because Acindar sold the merchandise to an unaffiliated
company prior to importation and constructed export price was not
otherwise indicated by the facts of record.
We calculated EP based on the packed, delivered, duty-unpaid price
to an unaffiliated trading company in the United States. We made
deductions pursuant to section 772(c)(2) of the Act for foreign inland
freight expenses not reimbursed by the importer, brokerage and
handling, and increased the United States price by the amount of
foreign inland freight paid by the importer, and duty drawback in
accordance with section 772(c)(1)(A) of the Act.

Normal Value (NV)

In order to determine whether sales of the foreign like product in
the home market are a viable basis for calculating NV, we compared the
volume of home market sales of the foreign like product to the volume
of subject merchandise sold in the United States, in accordance with
section 773(a)(1)(C) of the Act. Acindar's aggregate volume of home
market sales of the foreign like product was greater than five percent
of its respective aggregate volume of U.S. sales of the subject
merchandise. Therefore, we have based NV on home market sales.
Acindar made sales to affiliated customers in the home market
during the period of review and accordingly, we performed the arm's
length test. Sales to affiliated companies that failed the test were
disregarded, pursuant to section 351.403(c) of the Department's
regulations. Home market prices were based on the packed, delivered
prices to customers. We made adjustments to NV according to section
773(a)(6)(B) and (C) of the Act, where appropriate, for discounts and
rebates, billing adjustments, inland freight net of expenses billed to
the customer, credit expenses net of interest revenues, warranty
expenses, and packing. Pursuant to section 773(a)(6)(C)(iii) of the Act
and section 351.410 of the Department's regulations, we made a
circumstances of sale adjustment to NV for U.S. direct selling expenses
(credit, warranty and bank charge expenses).

Level of Trade

In accordance with section 773(a)(1)(B) of the Act, to the extent
practicable, we determine NV based on sales in the comparison market at
the same level of trade (``LOT'') as the EP or CEP transaction. In this
case, the record shows that sales in both markets were made at the same
LOT. Acindar made sales directly to its customers in the United States
and Argentina. There were no differences in the selling functions
performed for distributors, end-users or trading companies in either
market. Acindar provided only packing, warranties and shipping services
to customers in both markets.

Preliminary Results of Review

We preliminarily determine that the following margin exists for the
period November 1, 1997 through October 31, 1998:

------------------------------------------------------------------------
Margin
Company (percent)
------------------------------------------------------------------------
Acindar Industria Argentina de Aceros S.A............... 2.63
------------------------------------------------------------------------

Pursuant to section 351.224 of the Department's regulations, we
will disclose the calculations performed to the parties to this
proceeding within five days of the date of publication of this notice.
An interested party may request a hearing within 30 days of
publication. Any hearing, if requested, will be held 44 days after the
date of publication, or the first business day thereafter. Issues
raised in the hearing will be limited to those raised in the respective
case briefs and rebuttal briefs. Interested parties may submit case
briefs and rebuttal briefs not later than 30 days and 37 days,
respectively, after the date of publication of these preliminary
results of review. See 19 CFR 351.309(c)(1)(ii) and (d)(1).
Parties who submit case briefs or rebuttal briefs in this
proceeding are requested to submit with each argument (1) a statement
of the issue and (2) a brief summary of the argument. Parties are also
encouraged to provide a summary of the arguments not to exceed five
pages and a table of statutes, regulations, and cases cited.
The Department will issue the final results of this administrative
review, including the results of its analysis of

[[Page 63285]]

issues raised in any such written briefs or at the hearing, if held,
not later than 120 days after the date of publication of this notice.
Interested parties who wish to request a hearing or to participate
if one is requested, must submit a written request to the Assistant
Secretary for Import Administration, Room B-099,within 30 days of 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. See 19 CFR
351.310(c).

Assessment Rates

The Department shall determine, and the Customs Service shall
assess, antidumping duties on all appropriate entries. The Department
will issue appropriate appraisement instructions directly to the
Customs Service upon completion of this review. The final results of
this review shall be the basis for the assessment of antidumping duties
on entries of merchandise covered by this review and for future
deposits of estimated duties. We will instruct the Customs Service to
assess antidumping duties on all appropriate entries covered by this
review if any assessment rate calculated in the final results of this
review is above de minimis (i.e, at or above 0.5 percent) pursuant to
section 351.106(c)(2) of the Department's regulations. For assessment
purposes, if applicable, we intend to calculate an importer-specific
assessment rate by aggregating the dumping margins calculated for all
U.S. sales and dividing this amount by the total quantity sold.

Cash Deposit Requirements

The following cash deposit requirements will be effective upon
completion of the final results of this administrative review for all
shipments of carbon steel wire rod from Argentina entered, or withdrawn
from warehouse, for consumption on or after the publication date of the
final results of this administrative review, as provided by section
751(a)(1) of the Act: (1) the cash deposit rate for Acindar will be the
rate established in the final results of administrative review, except
if the rate is less than 0.5 percent, and therefore, de minimis within
the meaning of 19 CFR 351.106, in which case the cash deposit rate will
be zero; (2) for merchandise exported by manufacturers or exporters not
covered in this review, but covered in the original less than fair
value (LTFV) investigation, the cash deposit rate will continue to be
the rate published in the final determination; or (3) if the exporter
is not a firm covered in this review or the 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 merchandise; and (4)
the cash deposit rate for all other manufacturers or exporters will
continue to be 119.11 percent, the ``All Others'' rate made effective
by the LTFV determination. These requirements, when imposed, shall
remain in effect until publication of the final results of the next
administrative review.
This notice also serves as a preliminary 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 these review periods. Failure to comply
with this requirement could result in the Secretary's presumption that
reimbursement of antidumping duties occurred and the subsequent
assessment of double antidumping duties.
This administrative review and notice are in accordance with
sections 751(a)(1) and 777(i)(1) of the Act.

Dated: November 10, 1999.
Robert S. LaRussa,
Assistant Secretary for Import Administration.
[FR Doc. 99-30283 Filed 11-18-99; 8:45 am]
BILLING CODE 3510-DS-P

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/fr%3A99-30283. Public record. Not legal advice.
