Seamless Refined Copper Pipe and Tube From Mexico: Final Determination of Sales at Less Than Fair Value, 60723-60725 [2010-24719]
Download as PDF
<![CDATA[
Federal Register / Vol. 75, No. 190 / Friday, October 1, 2010 / Notices
support your comments as you think
necessary.
Special Accommodations
These meetings are accessible to
people with disabilities. Requests for
sign language interpretation or other
auxiliary aids should be directed to
Rachel Sprague, (808) 944–2200 (phone)
or (808) 973–2941 (fax), at least 5 days
before the scheduled meeting date.
Dated: September 22, 2010.
Eric C. Schwaab,
Assistant Administrator for Fisheries,
National Marine Fisheries Service.
[FR Doc. 2010–24738 Filed 9–30–10; 8:45 am]
BILLING CODE 3510–22–S
DEPARTMENT OF COMMERCE
International Trade Administration
[A–201–838]
Seamless Refined Copper Pipe and
Tube From Mexico: Final
Determination of Sales at Less Than
Fair Value
Import Administration,
International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of
Commerce (‘‘the Department’’) has
determined that imports of seamless
refined copper pipe and tube (‘‘copper
pipe and tube’’) from Mexico are being,
or are 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
listed in the ‘‘Continuation of
Suspension of Liquidation’’ section of
this notice.
DATES: Effective Date: October 1, 2010.
FOR FURTHER INFORMATION CONTACT: Joy
Zhang or George McMahon, AD/CVD
Operations, Office 3, Import
Administration, International Trade
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue, NW., Washington DC 20230;
telephone: (202) 482–1168 or (202) 482–
1167, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
emcdonald on DSK2BSOYB1PROD with NOTICES
Background
On May 12, 2010, the Department
published in the Federal Register its
preliminary determination on copper
pipe and tube from Mexico. See
Seamless Refined Copper Pipe and Tube
from Mexico: Notice of Preliminary
Determination of Sales at Less Than
Fair Value and Postponement of Final
Determination, 75 FR 26726 (May 12,
VerDate Mar<15>2010
17:34 Sep 30, 2010
Jkt 220001
2010) (‘‘Preliminary Determination).1
We selected the following companies for
individual examination: IUSA S.A. de
C.V. (‘‘IUSA’’) and Nacional de Cobre,
S.A. de C.V. (‘‘Nacobre’’).
See Preliminary Determination, 75 FR
at 26726.
As provided in section 782(i) of the
Act, we conducted sales and cost
verifications of the questionnaire
responses submitted by IUSA and
Nacobre. We used standard verification
procedures, including examination of
relevant accounting and production
records, as well as original source
documents provided by IUSA and
Nacobre.2 All verification reports are on
file and available in the Central Records
Unit (‘‘CRU’’), Room 7046, of the main
Department of Commerce building.
On July 23, 2010 and July 26, 2010,
respectively, IUSA and Nacobre,
submitted sales and cost databases with
revisions that reflect the minor
corrections presented during their
respective verifications.3 IUSA,
Nacobre, and the petitioners 4 filed their
case briefs with the Department on
August 4, 2010, and rebuttal briefs on
August 10, 2010. At the petitioners’
request, we held a hearing on August
12, 2010.
We used IUSA’s July 23, 2010, and
Nacobre’s July 26, 2010, sales and cost
databases to calculate IUSA’s and
Nacobre’s antidumping duty margin. No
parties have objected to the use of these
databases.
On September 13, 2010, the
Department placed a memorandum on
the record of this case regarding a recent
1 On May 28, 2010, the Department also
published in the Federal Register, Seamless
Refined Copper Pipe and Tube From Mexico:
Correction to Notice of Preliminary Determination
of Sales at Less Than Fair Value 75 FR 29990 (May
28, 2010) and Postponement of Final Determination
to correct the Scope section of the Preliminary
Determination.
2 See Memorandum to the File titled ‘‘Verification
of the Sales Response of IUSA S.A. de C.V. (‘‘IUSA’’)
and its affiliates (‘‘IUSA’’) in the Antidumping Duty
Investigation of Seamless Refined Copper Pipe and
Tube from Mexico, dated July 21, 2010’’
‘‘Verification of the Cost Response of IUSA, S.A. de
C.V. in the Antidumping Duty Investigation of
Seamless Refined Copper Pipe and Tube from
Mexico, dated July 19, 2010’’ ‘‘Verification of the
Sales Response of Nacobre, S.A. de C.V. and its
affiliates (‘‘Nacobre’’) in the Antidumping Duty
Investigation of Seamless Refined Copper Pipe and
Tube from Mexico,’’ dated July 21, 2010, and
‘‘Verification of the Cost Response of Nacobre, S.A.
de C.V. and its affiliates (‘‘Nacobre’’) in the
Antidumping Duty Investigation of Seamless
Refined Copper Pipe and Tube from Mexico,’’ dated
July 22, 2010.
3 See IUSA’s July 23, 2010, and Nacobre’s July 26,
2010, submission of the sales and cost databases.
4 The petitioners in this investigation are Cerro
Flow Products, Inc., KobeWieland Copper Products,
LLC, Mueller Copper Tube Products, Inc., and
Mueller Copper Tube Company, Inc. (collectively,
‘‘petitioners’’).
PO 00000
Frm 00013
Fmt 4703
Sfmt 4703
60723
ex parte meeting in which Francisco J.
´
Sanchez, Under Secretary for
International Trade Administration met
with Mr. Carlos Peralta, President and
Director General of IUSA. The
Department invited interested parties to
comment on this memorandum by
September 17, 2010; however, no
comments were received.
Period of Investigation
The period of investigation (‘‘POI’’) is
July 1, 2008, to June 30, 2009. This
period corresponds to the four most
recent fiscal quarters prior to the month
of the filing of the petition. See 19 CFR
351.204(b)(1).
Scope of Investigation
For the purpose of this investigation,
the products covered are all seamless
circular refined copper pipes and tubes,
including redraw hollows, greater than
or equal to 6 inches (152.4 mm) in
length and measuring less than 12.130
inches (308.102 mm) (actual) in outside
diameter (‘‘OD’’), regardless of wall
thickness, bore (e.g., smooth, enhanced
with inner grooves or ridges),
manufacturing process (e.g., hot
finished, cold-drawn, annealed), outer
surface (e.g., plain or enhanced with
grooves, ridges, fins, or gills), end finish
(e.g., plain end, swaged end, flared end,
expanded end, crimped end, threaded),
coating (e.g., plastic, paint), insulation,
attachments (e.g., plain, capped,
plugged, with compression or other
fitting), or physical configuration (e.g.,
straight, coiled, bent, wound on spools).
The scope of this investigation covers,
but is not limited to, seamless refined
copper pipe and tube produced or
comparable to the American Society for
Testing and Materials (‘‘ASTM’’) ASTM–
B42, ASTM–B68, ASTM–B75, ASTM–
B88, ASTM–B88M, ASTM–B188,
ASTM–B251, ASTM–B251M, ASTM–
B280, ASTM–B302, ASTM–B306,
ASTM–359, ASTM–B743, ASTM–B819,
and ASTM–B903 specifications and
meeting the physical parameters
described therein. Also included within
the scope of this investigation are all
sets of covered products, including ‘‘line
sets’’ of seamless refined copper tubes
(with or without fittings or insulation)
suitable for connecting an outdoor air
conditioner or heat pump to an indoor
evaporator unit. The phrase ‘‘all sets of
covered products’’ denotes any
combination of items put up for sale
that is comprised of merchandise
subject to the scope.
‘‘Refined copper’’ is defined as: (1)
Metal containing at least 99.85 percent
by weight of copper; or (2) metal
containing at least 97.5 percent by
weight of copper, provided that the
E:\FR\FM\01OCN1.SGM
01OCN1
60724
Federal Register / Vol. 75, No. 190 / Friday, October 1, 2010 / Notices
Changes Since the Preliminary
Determination
Based on our analysis of the
Limiting content
comments received and our findings at
percent by
verification, we have made certain
weight
changes to the margin calculations for
0.25 IUSA and Nacobre based on the sales
0.5
and cost verifications.5
content by weight of any other element
does not exceed the following limits:
Element
Ag—Silver ...........................
As—Arsenic ........................
Cd—Cadmium ....................
Cr—Chromium ....................
Mg—Magnesium .................
Pb—Lead ............................
S—Sulfur ............................
Sn—Tin ...............................
Te—Tellurium .....................
Zn—Zinc .............................
Zr—Zirconium .....................
Other elements (each) ........
1.3
1.4
0.8
1.5
0.7
0.8
0.8
1.0
0.3
0.3
emcdonald on DSK2BSOYB1PROD with NOTICES
Excluded from the scope of this
investigation are all seamless circular
hollows of refined copper less than 12
inches in length whose OD (actual)
exceeds its length. The products subject
to this investigation are currently
classifiable under subheadings
7411.10.1030 and 7411.10.1090 of the
Harmonized Tariff Schedule of the
United States (‘‘HTSUS’’). Products
subject to this investigation may also
enter under HTSUS subheadings
7407.10.1500, 7419.99.5050,
8415.90.8065, and 8415.90.8085.
Although the HTSUS subheadings are
provided for convenience and customs
purposes, the written description of the
scope of this investigation is dispositive.
Analysis of Comments Received
All issues raised in the case and
rebuttal briefs by parties to this
antidumping duty investigation are
addressed in the ‘‘Issues and Decision
Memorandum for the Antidumping
Duty Investigation of Seamless Refined
Copper Pipe and Tube from Mexico’’
(‘‘Decision Memorandum’’) from Acting
Deputy Assistant Secretary for
Antidumping and Countervailing Duty
Operations, Susan H. Kuhbach, to
Deputy Assistant Secretary for Import
Administration Ronald K. Lorentzen,
dated September 24, 2010, which is
hereby adopted by this notice. A list of
the issues which parties have raised and
to which we have responded, all of
which are in the Decision
Memorandum, is attached to this notice
as an appendix. Parties can find a
complete discussion of all issues raised
in this investigation and the
corresponding recommendations in the
Decision Memorandum which is on file
in the CRU of the main Department of
Commerce building, Room 7046, and is
accessible on the Web at https://
ia.ita.doc.gov/frn/. The paper
copy and electronic version of the
Decision Memorandum are identical in
content.
VerDate Mar<15>2010
17:34 Sep 30, 2010
Jkt 220001
Cost of Production
As explained in the Preliminary
Determination, we conducted an
investigation concerning sales at prices
below the cost of production in the
home market. We found that, for certain
specific products, more than 20 percent
of IUSA and Nacobre’s home market
sales were at prices less than the cost of
production and, in addition, such sales
did not provide for the recovery of costs
within a reasonable period of time.
Therefore, we disregarded these sales
and used the remaining sales as the
basis for determining normal value in
accordance with section 773(b)(1) of the
Act. Based on this test, for this final
determination we have disregarded
below-cost sales by IUSA and Nacobre.
Continuation of Suspension of
Liquidation
Pursuant to section 735(c)(1)(B) of the
Act, we will instruct U.S. Customs and
Border Protection (‘‘CBP’’) to continue to
suspend liquidation of all entries of
subject merchandise from Mexico
entered, or withdrawn from warehouse,
for consumption on or after May 12,
2010, the date of the publication of the
Preliminary Determination. We will
instruct CBP to require a cash deposit or
the posting of a bond equal to the
weighted-average margin, as indicated
below, as follows: (1) The rates for IUSA
and Nacobre will be the rates we have
determined in this final determination;
(2) if the exporter is not a firm identified
in this investigation but the producer is,
the rate will be the rate established for
the producer of the subject
merchandise; (3) the rate for all other
producers or exporters will be 28.16
percent as discussed in the ‘‘All-Others
5 For a discussion of these changes, see the Issues
and Decision Memorandum and memorandum
titled, ‘‘Final Determination of Sales at Less Than
Fair Value in the Antidumping Duty Investigation
of Seamless Refined Copper Pipe and Tube from
Mexico—Sales Analysis Memorandum for IUSA’’
(‘‘IUSA Sales Analysis Memo’’); ‘‘Final
Determination of Sales at Less Than Fair Value in
the Antidumping Duty Investigation of Seamless
Refined Copper Pipe and Tube from Mexico—Sales
Analysis Memorandum for Nacobre’’ (‘‘Nacobre
Sales Analysis Memo’’); ‘‘Cost of Production and
Constructed Value Calculation Adjustments for the
Final Determination—IUSA’’ (‘‘IUSA Cost Analysis
Memo’’); and ‘‘Cost of Production and Constructed
Value Calculation Adjustments for the Final
Determination—Nacobre’’ (‘‘Nacobre Cost Analysis
Memo’’), dated September 24, 2010.
PO 00000
Frm 00014
Fmt 4703
Sfmt 4703
Rate’’’ section below. These suspensionof-liquidation instructions will remain
in effect until further notice.
Final Determination
The final antidumping duty margins
are as follows:
Manufacturer/exporter
IUSA S.A. de C.V. ................
Nacional de Cobre, S.A. de
C.V. ...................................
All Others ..............................
Weighted-average margin
(percent)
24.89
31.43
28.16
All-Others Rate
Section 735(c)(5)(A) of the Act
provides that the estimated ‘‘All Others’’
rate shall be an amount equal to the
weighted average of the estimated
weighted-average dumping margins
established for exporters and producers
individually investigated, excluding any
zero or de minimis margins, and any
margins determined entirely under
section 776 of the Act. IUSA and
Nacobre are the only respondents in this
investigation for which the Department
has calculated a company-specific rate
that is not zero or de minimis.
Therefore, because there are only two
relevant weighted-average dumping
margins for this final determination and
because using a weighted average risks
disclosure of business proprietary
information, the ‘‘all others’’ rate is a
simple-average of these two values,
which is 28.16 percent.6
Disclosure
The Department will disclose the
calculations performed in connection
with this final determination within five
days of the date of publication of this
notice to parties in this proceeding. See
19 CFR 351.224(b).
International Trade Commission
Notification
In accordance with section 735(d) of
the Act, we have notified the
International Trade Commission (‘‘ITC’’)
of our final determination. As our final
determination is affirmative, the ITC
will determine within 45 days whether
imports of the subject merchandise are
causing material injury or threat of
material injury to an industry in the
United States. If the ITC determines that
material injury or threat of injury does
not exist, the proceeding will be
terminated and all securities posted will
be refunded or canceled. If the ITC
6 See Steel Wire Garment Hangers from the
People’s Republic of China: Final Determination of
Sales at Less Than Fair Value, 73 FR 47587, 47591
(August 14, 2008).
E:\FR\FM\01OCN1.SGM
01OCN1
Federal Register / Vol. 75, No. 190 / Friday, October 1, 2010 / Notices
determines that such injury does exist,
we will issue an antidumping duty
order directing CBP 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.
Destruction of Proprietary Information
This notice also serves as a reminder
to parties subject to administrative
protective orders (APO) of their
responsibility concerning the
disposition of proprietary information
disclosed under APO as explained in
the APO itself. See 19 CFR
351.305(a)(3). Timely written
notification of the destruction of APO
materials or conversion to judicial
protective order is hereby requested.
Failure to comply with the regulations
and terms of an APO is a sanctionable
violation.
We are issuing and publishing this
determination and notice in accordance
with sections 735(d) and 777(i) of the
Act.
Dated: September 24, 2010.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import
Administration.
Appendix
List of Issues in the Issues and Decision
Memorandum
Comment 1: Comments Regarding the
Investigation
Comment 2: Alternative Cost Averaging
Methodology
Comment 3: Cost Recovery Test
Comment 4: Model Matching Hierarchy
Comment 5: Nacobre’s U.S. Date of Sale
Comment 6: Treatment of Nacobre’s General
and Administrative Expense Ratio
Comment 7: Nacobre’s Weight Basis
Comment 8: Treatment of the Negative Value
of Certain U.S. Expense Variables for
IUSA
Comment 9: Treatment of Early Payment
Discounts for IUSA’s Home Market Sales
Comment 10: IUSA’s Packing Costs
Comment 11: Further Manufactured Line
Sets
Comment 12: ‘‘All Others’’ Rate
[FR Doc. 2010–24719 Filed 9–30–10; 8:45 am]
emcdonald on DSK2BSOYB1PROD with NOTICES
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–570–964]
Seamless Refined Copper Pipe and
Tube From the People’s Republic of
China: Final Determination of Sales at
Less Than Fair Value
Import Administration,
International Trade Administration,
Department of Commerce.
DATES: Effective Date: October 1, 2010.
SUMMARY: On May 12, 2010, the
Department of Commerce (the
‘‘Department’’) published its preliminary
determination of sales at less than fair
value (‘‘LTFV’’) in the antidumping duty
investigation of seamless refined copper
pipe and tube (‘‘copper pipe and tube’’)
from the People’s Republic of China
(‘‘PRC’’).1 The Department invited
interested parties to comment on the
Preliminary Determination. Based on
the Department’s analysis of the
comments received, the Department has
made changes from the Preliminary
Determination. The Department
determines that copper pipe and tube
from the PRC is being, or is likely to be,
sold in the United States at LTFV as
provided in section 735 of the Tariff Act
of 1930, as amended (the ‘‘Act’’). The
final dumping margins for this
investigation are listed in the ‘‘Final
Determination’’ section below.
FOR FURTHER INFORMATION CONTACT:
Karine Gziryan or Shawn Higgins, AD/
CVD Operations, Office 4, Import
Administration, International Trade
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue, NW., Washington, DC 20230;
telephone: (202) 482–4081 and (202)
482–0679, respectively.
SUPPLEMENTARY INFORMATION:
AGENCY:
Background
The Department published its
Preliminary Determination of sales at
LTFV and postponement of the final
determination on May 12, 2010.
Between May 24, 2010, and June 1,
2010, the Department conducted
verification of mandatory respondents
Golden Dragon Precise Copper Tube
Group, Inc. (‘‘Golden Dragon’’) and
Zhejiang Hailiang Co., Ltd., Shanghai
Hailiang Copper Co., Ltd., and Hong
Kong Hailiang Metal Trading Limited
(collectively, the ‘‘Hailiang Group’’).2
1 See Seamless Refined Copper Pipe and Tube
from the People’s Republic of China: Preliminary
Determination of Sales at Less Than Fair Value and
Postponement of Final Determination, 75 FR 26716
(May 12, 2010) (‘‘Preliminary Determination’’).
2 See the ‘‘Verification’’ section below.
VerDate Mar<15>2010
17:34 Sep 30, 2010
Jkt 220001
PO 00000
Frm 00015
Fmt 4703
Sfmt 4703
60725
Cerro Flow Products, Inc.,
KobeWieland Copper Products, LLC,
Mueller Copper Tube Company, Inc.
(collectively, ‘‘Petitioners’’), Golden
Dragon, and the Hailiang Group
submitted case briefs on July 2, 2010.3
On July 9, 2010, Petitioners, Golden
Dragon, and the Hailiang Group filed
rebuttal briefs.4 The Department
conducted a public hearing on August 4,
2010.
On August 3, 2010, the Department
notified parties that as a result of the
recent decision in Dorbest Ltd. v. United
States, 604 F.3d 1363 (Fed. Cir. 2010)
(‘‘Dorbest’’), issued by the United States
Court of Appeals for the Federal Circuit
(‘‘CAFC’’) on May 14, 2010, the
Department would be reconsidering its
valuation of the labor wage rate in this
investigation. The Department placed
export data on the record of the
investigation and gave parties an
opportunity to comment on the narrow
issue of the labor wage value in light of
the CAFC’s decision.5 On August 9,
2010, Petitioners and Golden Dragon
submitted comments regarding the wage
rate issue.6
Period of Investigation
The period of investigation (‘‘POI’’) is
January 1, 2009, through June 30, 2009.
This period corresponds to the two most
recent fiscal quarters prior to the month
3 See Letter from Petitioners to the Secretary of
Commerce, ‘‘Seamless Refined Copper Pipe and
Tube from the People’s Republic of China;
Investigation; Case Brief of Petitioners’’ (July 2,
2010); Letter from Golden Dragon to the Secretary
of Commerce, ‘‘Seamless Refined Copper Pipe and
Tube from the People’s Republic of China’’ (July 2,
2010); Letter from the Hailiang Group to the
Secretary of Commerce, ‘‘Seamless Refined Copper
Pipe & Tube from the People’s Republic of China:
The Hailiang Group—Administrative Case Brief’’
(July 2, 2010).
4 See Letter from Petitioners to the Secretary of
Commerce, ‘‘Seamless Refined Copper Pipe and
Tube from the People’s Republic of China;
Investigation; Rebuttal Brief of Petitioners’’ (July 9,
2010); Letter from Golden Dragon to the Secretary
of Commerce, ‘‘Seamless Refined Copper Pipe and
Tube from the People’s Republic of China’’ (July 9,
2010); Letter from the Hailiang Group to the
Secretary of Commerce, ‘‘Seamless Refined Copper
Pipe & Tube from the People’s Republic of China:
Rebuttal Brief of the Hailiang Group’’ (July 9, 2010).
5 See Memorandum from Shawn Higgins,
International Trade Compliance Analyst, AD/CVD
Operations, Office 4, ‘‘Antidumping Duty
Investigation of Seamless Refined Copper Pipe and
Tube from the People’s Republic of China: Wage
Data’’ (August 3, 2010).
6 See Letter from Petitioners to the Secretary of
Commerce, ‘‘Seamless Refined Copper Pipe and
Tube from China; Petitioners’ Comments on the
Surrogate Value for Labor’’ (August 9, 2010); Letter
from Golden Dragon to the Secretary of Commerce,
‘‘Seamless Refined Copper Pipe and Tube from the
People’s Republic of China: Golden Dragon Precise
Copper Tube Group, Inc.’’ (August 9, 2010).
E:\FR\FM\01OCN1.SGM
01OCN1
]]>Agencies
[Federal Register Volume 75, Number 190 (Friday, October 1, 2010)]
[Notices]
[Pages 60723-60725]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-24719]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-201-838]
Seamless Refined Copper Pipe and Tube From Mexico: Final
Determination of Sales at Less Than Fair Value
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (``the Department'') has
determined that imports of seamless refined copper pipe and tube
(``copper pipe and tube'') from Mexico are being, or are 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 listed in the
``Continuation of Suspension of Liquidation'' section of this notice.
DATES: Effective Date: October 1, 2010.
FOR FURTHER INFORMATION CONTACT: Joy Zhang or George McMahon, AD/CVD
Operations, Office 3, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW., Washington DC 20230; telephone: (202) 482-
1168 or (202) 482-1167, respectively.
SUPPLEMENTARY INFORMATION:
Background
On May 12, 2010, the Department published in the Federal Register
its preliminary determination on copper pipe and tube from Mexico. See
Seamless Refined Copper Pipe and Tube from Mexico: Notice of
Preliminary Determination of Sales at Less Than Fair Value and
Postponement of Final Determination, 75 FR 26726 (May 12, 2010)
(``Preliminary Determination).\1\ We selected the following companies
for individual examination: IUSA S.A. de C.V. (``IUSA'') and Nacional
de Cobre, S.A. de C.V. (``Nacobre'').
---------------------------------------------------------------------------
\1\ On May 28, 2010, the Department also published in the
Federal Register, Seamless Refined Copper Pipe and Tube From Mexico:
Correction to Notice of Preliminary Determination of Sales at Less
Than Fair Value 75 FR 29990 (May 28, 2010) and Postponement of Final
Determination to correct the Scope section of the Preliminary
Determination.
---------------------------------------------------------------------------
See Preliminary Determination, 75 FR at 26726.
As provided in section 782(i) of the Act, we conducted sales and
cost verifications of the questionnaire responses submitted by IUSA and
Nacobre. We used standard verification procedures, including
examination of relevant accounting and production records, as well as
original source documents provided by IUSA and Nacobre.\2\ All
verification reports are on file and available in the Central Records
Unit (``CRU''), Room 7046, of the main Department of Commerce building.
---------------------------------------------------------------------------
\2\ See Memorandum to the File titled ``Verification of the
Sales Response of IUSA S.A. de C.V. (``IUSA'') and its affiliates
(``IUSA'') in the Antidumping Duty Investigation of Seamless Refined
Copper Pipe and Tube from Mexico, dated July 21, 2010''
``Verification of the Cost Response of IUSA, S.A. de C.V. in the
Antidumping Duty Investigation of Seamless Refined Copper Pipe and
Tube from Mexico, dated July 19, 2010'' ``Verification of the Sales
Response of Nacobre, S.A. de C.V. and its affiliates (``Nacobre'')
in the Antidumping Duty Investigation of Seamless Refined Copper
Pipe and Tube from Mexico,'' dated July 21, 2010, and ``Verification
of the Cost Response of Nacobre, S.A. de C.V. and its affiliates
(``Nacobre'') in the Antidumping Duty Investigation of Seamless
Refined Copper Pipe and Tube from Mexico,'' dated July 22, 2010.
---------------------------------------------------------------------------
On July 23, 2010 and July 26, 2010, respectively, IUSA and Nacobre,
submitted sales and cost databases with revisions that reflect the
minor corrections presented during their respective verifications.\3\
IUSA, Nacobre, and the petitioners \4\ filed their case briefs with the
Department on August 4, 2010, and rebuttal briefs on August 10, 2010.
At the petitioners' request, we held a hearing on August 12, 2010.
---------------------------------------------------------------------------
\3\ See IUSA's July 23, 2010, and Nacobre's July 26, 2010,
submission of the sales and cost databases.
\4\ The petitioners in this investigation are Cerro Flow
Products, Inc., KobeWieland Copper Products, LLC, Mueller Copper
Tube Products, Inc., and Mueller Copper Tube Company, Inc.
(collectively, ``petitioners'').
---------------------------------------------------------------------------
We used IUSA's July 23, 2010, and Nacobre's July 26, 2010, sales
and cost databases to calculate IUSA's and Nacobre's antidumping duty
margin. No parties have objected to the use of these databases.
On September 13, 2010, the Department placed a memorandum on the
record of this case regarding a recent ex parte meeting in which
Francisco J. S[aacute]nchez, Under Secretary for International Trade
Administration met with Mr. Carlos Peralta, President and Director
General of IUSA. The Department invited interested parties to comment
on this memorandum by September 17, 2010; however, no comments were
received.
Period of Investigation
The period of investigation (``POI'') is July 1, 2008, to June 30,
2009. This period corresponds to the four most recent fiscal quarters
prior to the month of the filing of the petition. See 19 CFR
351.204(b)(1).
Scope of Investigation
For the purpose of this investigation, the products covered are all
seamless circular refined copper pipes and tubes, including redraw
hollows, greater than or equal to 6 inches (152.4 mm) in length and
measuring less than 12.130 inches (308.102 mm) (actual) in outside
diameter (``OD''), regardless of wall thickness, bore (e.g., smooth,
enhanced with inner grooves or ridges), manufacturing process (e.g.,
hot finished, cold-drawn, annealed), outer surface (e.g., plain or
enhanced with grooves, ridges, fins, or gills), end finish (e.g., plain
end, swaged end, flared end, expanded end, crimped end, threaded),
coating (e.g., plastic, paint), insulation, attachments (e.g., plain,
capped, plugged, with compression or other fitting), or physical
configuration (e.g., straight, coiled, bent, wound on spools).
The scope of this investigation covers, but is not limited to,
seamless refined copper pipe and tube produced or comparable to the
American Society for Testing and Materials (``ASTM'') ASTM-B42, ASTM-
B68, ASTM-B75, ASTM-B88, ASTM-B88M, ASTM-B188, ASTM-B251, ASTM-B251M,
ASTM-B280, ASTM-B302, ASTM-B306, ASTM-359, ASTM-B743, ASTM-B819, and
ASTM-B903 specifications and meeting the physical parameters described
therein. Also included within the scope of this investigation are all
sets of covered products, including ``line sets'' of seamless refined
copper tubes (with or without fittings or insulation) suitable for
connecting an outdoor air conditioner or heat pump to an indoor
evaporator unit. The phrase ``all sets of covered products'' denotes
any combination of items put up for sale that is comprised of
merchandise subject to the scope.
``Refined copper'' is defined as: (1) Metal containing at least
99.85 percent by weight of copper; or (2) metal containing at least
97.5 percent by weight of copper, provided that the
[[Page 60724]]
content by weight of any other element does not exceed the following
limits:
------------------------------------------------------------------------
Limiting
content
Element percent by
weight
------------------------------------------------------------------------
Ag--Silver.............................................. 0.25
As--Arsenic............................................. 0.5
Cd--Cadmium............................................. 1.3
Cr--Chromium............................................ 1.4
Mg--Magnesium........................................... 0.8
Pb--Lead................................................ 1.5
S--Sulfur............................................... 0.7
Sn--Tin................................................. 0.8
Te--Tellurium........................................... 0.8
Zn--Zinc................................................ 1.0
Zr--Zirconium........................................... 0.3
Other elements (each)................................... 0.3
------------------------------------------------------------------------
Excluded from the scope of this investigation are all seamless
circular hollows of refined copper less than 12 inches in length whose
OD (actual) exceeds its length. The products subject to this
investigation are currently classifiable under subheadings 7411.10.1030
and 7411.10.1090 of the Harmonized Tariff Schedule of the United States
(``HTSUS''). Products subject to this investigation may also enter
under HTSUS subheadings 7407.10.1500, 7419.99.5050, 8415.90.8065, and
8415.90.8085. Although the HTSUS subheadings are provided for
convenience and customs purposes, the written description of the scope
of this investigation is dispositive.
Analysis of Comments Received
All issues raised in the case and rebuttal briefs by parties to
this antidumping duty investigation are addressed in the ``Issues and
Decision Memorandum for the Antidumping Duty Investigation of Seamless
Refined Copper Pipe and Tube from Mexico'' (``Decision Memorandum'')
from Acting Deputy Assistant Secretary for Antidumping and
Countervailing Duty Operations, Susan H. Kuhbach, to Deputy Assistant
Secretary for Import Administration Ronald K. Lorentzen, dated
September 24, 2010, which is hereby adopted by this notice. A list of
the issues which parties have raised and to which we have responded,
all of which are in the Decision Memorandum, is attached to this notice
as an appendix. Parties can find a complete discussion of all issues
raised in this investigation and the corresponding recommendations in
the Decision Memorandum which is on file in the CRU of the main
Department of Commerce building, Room 7046, and is accessible on the
Web at https://ia.ita.doc.gov/frn/. The paper copy and
electronic version of the Decision Memorandum are identical in content.
Changes Since the Preliminary Determination
Based on our analysis of the comments received and our findings at
verification, we have made certain changes to the margin calculations
for IUSA and Nacobre based on the sales and cost verifications.\5\
---------------------------------------------------------------------------
\5\ For a discussion of these changes, see the Issues and
Decision Memorandum and memorandum titled, ``Final Determination of
Sales at Less Than Fair Value in the Antidumping Duty Investigation
of Seamless Refined Copper Pipe and Tube from Mexico--Sales Analysis
Memorandum for IUSA'' (``IUSA Sales Analysis Memo''); ``Final
Determination of Sales at Less Than Fair Value in the Antidumping
Duty Investigation of Seamless Refined Copper Pipe and Tube from
Mexico--Sales Analysis Memorandum for Nacobre'' (``Nacobre Sales
Analysis Memo''); ``Cost of Production and Constructed Value
Calculation Adjustments for the Final Determination--IUSA'' (``IUSA
Cost Analysis Memo''); and ``Cost of Production and Constructed
Value Calculation Adjustments for the Final Determination--Nacobre''
(``Nacobre Cost Analysis Memo''), dated September 24, 2010.
---------------------------------------------------------------------------
Cost of Production
As explained in the Preliminary Determination, we conducted an
investigation concerning sales at prices below the cost of production
in the home market. We found that, for certain specific products, more
than 20 percent of IUSA and Nacobre's home market sales were at prices
less than the cost of production and, in addition, such sales did not
provide for the recovery of costs within a reasonable period of time.
Therefore, we disregarded these sales and used the remaining sales as
the basis for determining normal value in accordance with section
773(b)(1) of the Act. Based on this test, for this final determination
we have disregarded below-cost sales by IUSA and Nacobre.
Continuation of Suspension of Liquidation
Pursuant to section 735(c)(1)(B) of the Act, we will instruct U.S.
Customs and Border Protection (``CBP'') to continue to suspend
liquidation of all entries of subject merchandise from Mexico entered,
or withdrawn from warehouse, for consumption on or after May 12, 2010,
the date of the publication of the Preliminary Determination. We will
instruct CBP to require a cash deposit or the posting of a bond equal
to the weighted-average margin, as indicated below, as follows: (1) The
rates for IUSA and Nacobre will be the rates we have determined in this
final determination; (2) if the exporter is not a firm identified in
this investigation but the producer is, the rate will be the rate
established for the producer of the subject merchandise; (3) the rate
for all other producers or exporters will be 28.16 percent as discussed
in the ``All-Others Rate''' section below. These suspension-of-
liquidation instructions will remain in effect until further notice.
Final Determination
The final antidumping duty margins are as follows:
------------------------------------------------------------------------
Weighted-
Manufacturer/exporter average margin
(percent)
------------------------------------------------------------------------
IUSA S.A. de C.V........................................ 24.89
Nacional de Cobre, S.A. de C.V.......................... 31.43
All Others.............................................. 28.16
------------------------------------------------------------------------
All-Others Rate
Section 735(c)(5)(A) of the Act provides that the estimated ``All
Others'' rate shall be an amount equal to the weighted average of the
estimated weighted-average dumping margins established for exporters
and producers individually investigated, excluding any zero or de
minimis margins, and any margins determined entirely under section 776
of the Act. IUSA and Nacobre are the only respondents in this
investigation for which the Department has calculated a company-
specific rate that is not zero or de minimis. Therefore, because there
are only two relevant weighted-average dumping margins for this final
determination and because using a weighted average risks disclosure of
business proprietary information, the ``all others'' rate is a simple-
average of these two values, which is 28.16 percent.\6\
---------------------------------------------------------------------------
\6\ See Steel Wire Garment Hangers from the People's Republic of
China: Final Determination of Sales at Less Than Fair Value, 73 FR
47587, 47591 (August 14, 2008).
---------------------------------------------------------------------------
Disclosure
The Department will disclose the calculations performed in
connection with this final determination within five days of the date
of publication of this notice to parties in this proceeding. See 19 CFR
351.224(b).
International Trade Commission Notification
In accordance with section 735(d) of the Act, we have notified the
International Trade Commission (``ITC'') of our final determination. As
our final determination is affirmative, the ITC will determine within
45 days whether imports of the subject merchandise are causing material
injury or threat of material injury to an industry in the United
States. If the ITC determines that material injury or threat of injury
does not exist, the proceeding will be terminated and all securities
posted will be refunded or canceled. If the ITC
[[Page 60725]]
determines that such injury does exist, we will issue an antidumping
duty order directing CBP 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.
Destruction of Proprietary Information
This notice also serves as a reminder to parties subject to
administrative protective orders (APO) of their responsibility
concerning the disposition of proprietary information disclosed under
APO as explained in the APO itself. See 19 CFR 351.305(a)(3). Timely
written notification of the destruction of APO materials or conversion
to judicial protective order is hereby requested. Failure to comply
with the regulations and terms of an APO is a sanctionable violation.
We are issuing and publishing this determination and notice in
accordance with sections 735(d) and 777(i) of the Act.
Dated: September 24, 2010.
Ronald K. Lorentzen,
Deputy Assistant Secretary for Import Administration.
Appendix
List of Issues in the Issues and Decision Memorandum
Comment 1: Comments Regarding the Investigation
Comment 2: Alternative Cost Averaging Methodology
Comment 3: Cost Recovery Test
Comment 4: Model Matching Hierarchy
Comment 5: Nacobre's U.S. Date of Sale
Comment 6: Treatment of Nacobre's General and Administrative Expense
Ratio
Comment 7: Nacobre's Weight Basis
Comment 8: Treatment of the Negative Value of Certain U.S. Expense
Variables for IUSA
Comment 9: Treatment of Early Payment Discounts for IUSA's Home
Market Sales
Comment 10: IUSA's Packing Costs
Comment 11: Further Manufactured Line Sets
Comment 12: ``All Others'' Rate
[FR Doc. 2010-24719 Filed 9-30-10; 8:45 am]
BILLING CODE 3510-DS-P
