Standard Steel Welded Wire Mesh From Mexico: Countervailing Duty Order, 18940-18942 [2021-07448]

Agencies

• DEPARTMENT OF COMMERCE
• International Trade Administration

[Federal Register Volume 86, Number 68 (Monday, April 12, 2021)]
[Notices]
[Pages 18940-18942]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-07448]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-201-854]


Standard Steel Welded Wire Mesh From Mexico: Countervailing Duty 
Order

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

SUMMARY: Based on affirmative final determinations by the Department of 
Commerce (Commerce) and the International Trade Commission (ITC), 
Commerce is issuing a countervailing duty order on standard steel 
welded wire mesh (wire mesh) from Mexico.

DATES: Applicable April 12, 2021.

FOR FURTHER INFORMATION CONTACT: Ian Hamilton, AD/CVD Operations, 
Office II, Enforcement and Compliance, U.S. Department of Commerce, 
1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 
482-4798.

SUPPLEMENTARY INFORMATION:

Background

    On February 18, 2021, Commerce published its affirmative final 
determination in the countervailing duty investigation of wire mesh 
from Mexico.\1\ On April 5, 2021, the ITC notified Commerce of its 
final determination, pursuant to sections 705(b)(1)(A)(i) and 705(d) of 
the Tariff Act of 1930, as amended (the Act), that an industry in the 
United States is materially injured by reason of subsidized imports of 
wire mesh from Mexico.\2\
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    \1\ See Standard Steel Welded Wire Mesh from Mexico: Final 
Affirmative Countervailing Duty Determination, 86 FR 10034 (February 
18, 2021) (Final Determination).
    \2\ See ITC's Letter, ``Notification of ITC Final 
Determinations,'' dated April 5, 2021 (ITC Notification Letter).
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Scope of the Order

    The scope of the order is wire mesh from Mexico. For a complete 
description of the scope of this order, see the appendix to this 
notice.

Countervailing Duty Order

    On April 5, 2021, in accordance with sections 705(b)(1)(A)(i) and 
705(d) of the Act, the ITC notified Commerce of its final determination 
in this investigation, in which it found that an industry in the United 
States is materially injured by reason of imports of wire mesh from 
Mexico.\3\ As a result, and in accordance with sections 705(c)(2) and 
706 of the Act, we are issuing this countervailing duty order. Because 
the ITC determined that imports of wire mesh from Mexico are materially 
injuring a U.S. industry, unliquidated entries of such merchandise from 
Mexico, entered or withdrawn from warehouse for consumption, are 
subject to the assessment of countervailing duties.
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    \3\ See ITC Notification Letter.
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    Countervailing duties will be assessed on unliquidated entries of 
wire mesh from Mexico entered, or withdrawn from warehouse, for 
consumption on or after December 3, 2020, the date of publication of 
the Preliminary Determination,\4\ but will not include entries 
occurring after the expiration of the provisional measures period and 
before the publication of the ITC's final injury determination under 
section 705(b) of the Act, as further described below.
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    \4\ See Standard Steel Welded Wire Mesh from Mexico: Preliminary 
Affirmative Countervailing Duty Determination, 85 FR 78124 (December 
3, 2020) (Preliminary Determination).
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Suspension of Liquidation and Cash Deposits

    In accordance with section 706 of the Act, Commerce will direct CBP 
to suspend liquidation of entries of wire mesh from Mexico, as 
described in the appendix to this notice, effective on the date of 
publication of the ITC's notice of final determination in the Federal 
Register, and to assess, upon further instruction by Commerce, pursuant 
to section 706(a)(1) of the Act, countervailing duties for each entry 
of the subject merchandise in an amount based on the net 
countervailable subsidy rate for the subject merchandise. On or after 
the publication of the ITC's final injury determination in the Federal 
Register, CBP must require, at the same time as importers would 
normally deposit estimated import duties on this merchandise, cash 
deposits for each entry of subject merchandise equal to the rates noted 
below. These instructions suspending liquidation will remain in effect 
until further notice.
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    \5\ The all-others rate applies to all producers or exporters 
not specifically listed.

------------------------------------------------------------------------
                                                           Subsidy rate
                         Company                             (percent)
------------------------------------------------------------------------
Aceromex S.A. De C.V....................................            1.03
Deacero S.A.P.I. de C.V.................................          102.10
All Others \5\..........................................            1.03
------------------------------------------------------------------------

Provisional Measures

    Section 703(d) of the Act states that instructions issued pursuant 
to an affirmative preliminary determination may not remain in effect 
for more than four months. In the underlying investigation, Commerce 
published the Preliminary Determination on December 3, 2020. As such, 
the four-month period beginning on the date of the publication of the 
Preliminary Determination ended on April 2, 2021. Furthermore, section 
707(b) of the Act states that definitive duties are to begin on the 
date of publication of the ITC's final injury determination.
    Therefore, in accordance with section 703(d) of the Act, we will 
instruct CBP to terminate the suspension of liquidation and to 
liquidate, without regard to countervailing duties, unliquidated 
entries of wire mesh from Mexico, entered, or withdrawn from warehouse, 
for consumption, on or after April 2, 2021, the date on which the 
provisional measures expired, until and through the day preceding the 
date of publication of the ITC's final injury determination in the 
Federal Register.\6\ Suspension of liquidation will resume on the date 
of publication of the ITC's final determination in the Federal 
Register.
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    \6\ See Prestressed Concrete Steel Wire Strand from Argentina, 
Colombia, Egypt, Netherlands, Saudi Arabia, Taiwan, Turkey, and the 
United Arab Emirates; Determinations, 86 FR 7564 (January 29, 2021).
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Notifications to Interested Parties

    This notice constitutes the countervailing duty order with respect 
to wire mesh from Mexico, pursuant to section 706(a) of the Act. 
Interested parties can find a list of countervailing duty orders 
currently in effect at https://enforcement.trade.gov/stats/iastats1.html. This order is published in accordance with section 
706(a) of the Act and 19 CFR 351.211(b).


[[Page 18941]]


    Dated: April 6, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix

Scope of the Order

    The scope of this order covers uncoated standard welded steel 
reinforcement wire mesh (wire mesh) produced from smooth or deformed 
wire. Subject wire mesh is produced in square and rectangular grids 
of uniformly spaced steel wires that are welded at all 
intersections. Sizes are specified by combining the spacing of the 
wires in inches or millimeters and the wire cross-sectional area in 
hundredths of square inch or millimeters squared. Subject wire mesh 
may be packaged and sold in rolls or in sheets.
    Subject wire mesh is currently produced to ASTM specification 
A1064/A1064M, which covers carbon-steel wire and welded wire 
reinforcement, smooth and deformed, for concrete in the following 
seven styles:

1. 6X6 W1.4/W1.4 or D1.4/D1.4
2. 6X6 W2.1/W2.1 or D2.1/D2.1
3. 6X6 W2.9/W2.9 or D2.9/D2.9
4. 6X6 W4/W4 or D4/D4
5. 6X12 W4/W4 or D4/D4
6. 4X4 W2.9/W2.9 or D2.9/D2.9
7. 4X4 W4/W4 or D4/D4

    The first number in the style denotes the nominal spacing 
between the longitudinal wires and the second number denotes the 
nominal spacing between the transverse wires. In the first style 
listed above, for example, ``6X6'' denotes a grid size of six inches 
by six inches. ``W'' denotes the use of smooth wire, and ``D'' 
denotes the use of deformed wire in making the mesh. The number 
following the W or D denotes the nominal cross-sectional area of the 
transverse and longitudinal wires in hundredths of a square inch 
(i.e., W1.4 or D1.4 is .014 square inches).
    Smooth wire is wire that has a uniform cross-sectional diameter 
throughout the length of the wire.
    Deformed wire is wire with indentations or raised transverse 
ribs, which results in wire that does not have a uniform cross-
sectional diameter throughout the length of the wire.
    Rolls of subject wire mesh are produced in the following styles 
and nominal width and length combinations:

Style: 6X6 W1.4/W1.4 or D1.4/D1.4 (i.e., 10 gauge)
Roll Sizes: 5' X 50'
    5' X 150'
    6' X 150'
    5' X 200'
    7' X 200'
    7.5' X 200'
Style: 6X6 W2.1/W2.1 or D2.1/D2.1 (i.e., 8 gauge)
Roll Sizes: 5' X 150'
Style: 6X6 W2.9/W2.9 or D2.9/D2.9 (i.e., 6 gauge)
Roll Sizes: 5' X 150'
    7' X 200'

    All rolled wire mesh is included in scope regardless of length.
    Sheets of subject wire mesh are produced in the following styles 
and nominal width and length combinations:

Style: 6X6 W1.4/W1.4 or D1.4/D1.4 (i.e., 10 gauge)
Sheet Size: 3'6'' X 7'
    4' X 7'
    4' X 7'6''
    5' X 10'
    7' X 20'
    7'6'' X 20'
    8' X 12'6''
    8' X 15'
    8' X 20'
Style: 6X6 W2.1/W2.1 or D2.1/D2.1 (i.e., 8 gauge)
Sheet Size: 5' X 10'
    7' X 20'
    7'6'' X 20'
    8' X 12'6''
    8' X 15'
    8' X 20'
Style: 6X6 W2.9/W2.9 or D2.9/D2.9 (i.e., 6 gauge)
Sheet Size: 3'6'' X 20'
    5' X 10'
    7' X 20'
    7'6'' X 20'
    8' X 12'6''
    8' X 15'
    8' X 20'
Style: 6X12 W4/W4 or D4/D4 (i.e., 4 gauge)
Sheet Size: 8' X 20'
Style: 4X4 W2.9/W2.9 or D2.9/D2.9 (i.e., 6 gauge)
Sheet Size: 5' X 10'
    7' X 20'
    7'6'' X 20'
    8' X 12'6''
    8' X 12'8''
    8' X 15'
    8' X 20'
Style: 4X4 W4/W4 or D4/D4 (i.e., 4 gauge)
Sheet Size: 5' X 10'
    8' X 12'6''
    8' X 12'8''
    8' X 15'
    8' X 20'

    Any product imported, sold, or invoiced in one of these size 
combinations is within the scope.
    ASTM specification A1064/A1064M provides for permissible 
variations in wire gauges, the spacing between transverse and 
longitudinal wires, and the length and width combinations. To the 
extent a roll or sheet of welded wire mesh falls within these 
permissible variations, it is within this scope.
    ASTM specification A1064/A1064M also defines permissible 
oversteeling, which is the use of a heavier gauge wire with a larger 
cross-sectional area than nominally specified. It also permits a 
wire diameter tolerance of  0.003 inches for products up 
to W5/D5 and  0.004 for sizes over W5/D5. A producer may 
oversteel by increasing smooth or deformed wire diameter up to two 
whole number size increments on Table 1 of A1064. Subject wire mesh 
has the following actual wire diameter ranges, which account for 
both oversteeling and diameter tolerance:

------------------------------------------------------------------------
                                        Maximum
              W/D No.                oversteeling      Diameter range
                                          No.              (inch)
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1.4 (i.e., 10 gauge)..............             3.4  0.093 to 0.211.
2.1 (i.e., 8 gauge)...............             4.1  0.161 to 0.231.
2.9 (i.e., 6 gauge)...............             4.9  0.189 to 0.253.
4.0 (i.e., 4 gauge)...............             6.0  0.223 to 0.280.
------------------------------------------------------------------------

    To the extent a roll or sheet of welded wire mesh falls within 
the permissible variations provided above, it is within this scope.
    In addition to the tolerances permitted in ASTM specification 
A1064/A1064M, wire mesh within this scope includes combinations 
where:
    1. A width and/or length combination varies by  one 
grid size in any direction, i.e.,  6 inches in length or 
width where the wire mesh's grid size is ``6X6''; and/or
    2. The center-to-center spacing between individual wires may 
vary by up to one quarter of an inch from the nominal grid size 
specified.
    Length is measured from the ends of any wire and width is 
measured between the center-line of end longitudinal wires.
    Additionally, although the subject wire mesh typically meets 
ASTM A1064/A1064M, the failure to include certifications, test 
reports or other documentation establishing that the product meets 
this specification does not remove the product from the scope. Wire 
mesh made to comparable foreign specifications (e.g., DIN, JIS, 
etc.) or proprietary specifications is included in the scope.
    Excluded from the scope is wire mesh that is galvanized (i.e., 
coated with zinc) or coated with an epoxy coating. In order to be 
excluded as galvanized, the excluded welded wire mesh must have a 
zinc coating thickness meeting the requirements of ASTM 
specification A641/A641M. Epoxy coating is a mix of epoxy resin and 
hardener that can be applied to the surface of steel wire.
    Merchandise subject to this order are classified under 
Harmonized Tariff Schedule of the United States (HTSUS) categories 
7314.20.0000 and 7314.39.0000. While HTSUS subheadings are provided 
for convenience and customs purposes, the

[[Page 18942]]

written description of the scope of this order is dispositive.

[FR Doc. 2021-07448 Filed 4-9-21; 8:45 am]
BILLING CODE 3510-DS-P