Federal Register: March 14, 2006 (Volume 71, Number 49)
DOCID: FR Doc E6-3531
DEPARTMENT OF COMMERCE
International Trade Administration
NOTICE: NOTICES
ACTION: Antidumping:
SUBJECT CATEGORY:
A-201-802
EFFECTIVE DATES: April 3, 2006.
DOCUMENT SUMMARY:
The Office of the United States Trade Representative (USTR) and the United States Department of Commerce (Commerce) have entered into an agreement with the Secretaria de Economia of Mexico pertaining to imports of gray portland cement and clinker from Mexico (Mexican Cement). The Agreement Between the Office of the United States Trade Representative and the Department of Commerce of the United States of America and the Ministry of Economy of the United Mexican States (Secretaria de Economia) on Trade in Cement (Agreement) provides for the settlement or suspension of ongoing litigation before North American Free Trade Agreement (NAFTA) and World Trade Organization (WTO) panels challenging various antidumping duty determinations involving Mexican Cement. In addition, Commerce has agreed to compromise its claims for duties with respect to entries of Mexican Cement not currently in litigation. Finally, the Agreement creates a system whereby Mexican Cement imports will be subject to regional export limits, which will be monitored by both Commerce and Secretaria de Economia through export license and import license systems. The Agreement provides that, if Mexican Cement producers successfully abide by the terms of the Agreement for three years, then the antidumping duty order will be revoked with respect to those producers.
SUMMARY:
Gray portland cement and clinker from—; Mexico,
DOCUMENT BODY 2:
Gray Portland Cement and Clinker from Mexico: Agreement Between
the Office of the United States Trade Representative, The United States
Department of Commerce and Secretaria de Economia of Mexico on Trade in
Cement
SUPPLEMENTAL INFORMATION
Scope of Investigation
For a complete description of the subject merchandise of this Agreement, see Section I.L of the Agreement.
Background
On October 23, 1989, Commerce initiated an antidumping duty
investigation of Mexican Cement. See Initiation of Antidumping Duty
Investigation; Gray Portland Cement and Clinker from Mexico, 54 FR
43190 (October 23, 1989). On August 30, 1990, pursuant to the Final
Determination of Sales at Less Than Fair Value; Gray Portland Cement
and Clinker from Mexico, 55 FR 29244 (July 18, 1990), Commerce issued
an antidumping duty order (Order) applicable to shipments of Mexican
Cement. See Antidumping Duty Order: Gray Portland Cement and Clinker
from Mexico, 55 FR 35443 (August 30, 1990). Since the issuance of the
Order, Commerce has conducted fourteen administrative reviews,
initiated a fifteenth administrative review, completed a fiveyear
Sunset Review of the Order, and initiated a second Sunset Review.
Several of these proceedings have been challenged before NAFTA and WTO
panels: Gray Portland Cement and Clinker from Mexico: Notice of Final
Results of Antidumping Duty Administrative Review, 63 FR 12764 (March
16, 1998) (6th Review), Gray Portland Cement and Clinker from Mexico:
Notice of Final Results of Antidumping Duty Administrative Review, 65
FR 13943 (March 15, 2000) (8th Review), Gray Portland Cement and
Clinker from Mexico: Notice of Final Results of Antidumping Duty
Administrative Review, 66 FR 14889 (March 14, 2001) (9th Review), Gray
Portland Cement and Clinker from Mexico: Notice of Final Results of
Antidumping Duty Administrative Review, 67 FR 12518 (March 19, 2002)
(10th Review), Gray Portland Cement and Clinker from Mexico: Notice of
Final Results of Antidumping Duty Administrative Review, 68 FR 1816
(January 14, 2003) (11th Review), Gray Portland Cement and Clinker from
Mexico: Notice of Final Results of Antidumping Duty Administrative
Review, 68 FR 54203 (September 16, 2003) (12th Review), and Gray
Portland Cement and Clinker from Mexico: Notice of Final Results of
Antidumping Duty Administrative Review, 69 FR 77987 (December 29, 2004)
(13th Review), Gray Portland Cement and Clinker from Mexico: Notice of
Final Results of Antidumping Duty Administrative Review, 71 FR 2909
(January 18, 2006) (14th Review), and Commerce's final determination in Gray
[[Page 13083]]
Portland Cement and Cement Clinker from Mexico; Final Results of Full
Sunset Review, 65 FR 41049 (July 3, 2000) (2000 Sunset Review). Furthermore, certain International Trade Commission (ITC)
determinations involving Mexican Cement have been challenged before NAFTA panels as well.
On March 6, 2006, USTR, Commerce, and Secretaria de Economia entered into the Agreement. Under its terms, the Agreement settles or suspends the NAFTA litigation of the 6\th\ Review, 8\th\ Review, 9\th\ Review, 10\th\ Review, 11th Review, 12\th\ Review, 13\th\ Review, 14\th\ Review, 2000 Sunset Review, and two challenges involving the ITC. A challenge before the WTO is suspended as well. In addition, the parties requesting the 15\th\ administrative review of Mexican Cement, initiated on September 28, 2005 (see 70 FR 56331 (September 28, 2005)), have requested rescission of that review. See Gray Portland Cement and Clinker From Mexico: Rescission of Antidumping Duty Administrative Review and Compromise of Outstanding Claims (Publication Pending). Commerce has compromised claims to antidumping duties for entries of Mexican Cement covered by both that review period, as well as entries of subject merchandise that entered the United States from August 1, 2005 through April 2, 2006. Furthermore, the Agreement provides a system whereby, for three years, Mexican exporters of subject merchandise will be subject to specific subregional export limits and will be required to obtain, prior to entry, an export license issued by the Government of Mexico. Importers of Mexican Cement will be required to apply for an import license number issued by Commerce. Both a copy of the export license and the import license number must be provided to U.S. Customs and Border Protection when the importer files Customs Form 7501.
As a result of the litigation settlement, a new assessment rate will be applied to all entries of Mexican Cement from Cementos Mexicanos de Mexico, S.A. de C.V. (CEMEX), and GCC Cemento, S.A. de C.V. (and its predecessorininterest, Cementos de Chihuahua, S.A. de C.V.) (GCCC), covered by the various NAFTA challenges. Furthermore, a new cash deposit rate of $3.00 per metric ton has been established for all entries from CEMEX and GCCC after the effective date of the Agreement as a result of the settlement of the 14\th\ review. See Gray Portland Cement and Clinker from Mexico: Notice of Amended Final Results of Antidumping Duty Administrative Reviews (Publication Pending).
The duration of the Agreement is three years. If all of the terms of the Agreement are complied with by the interested parties, the Agreement will expire on March 31, 2009, and Commerce will revoke the Order. For further details, please see the Agreement, attached.
Dated: March 6, 2006.
David M. Spooner,
Assistant Secretary for Import Administration.
AGREEMENT BETWEEN THE OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE
AND THE DEPARTMENT OF COMMERCE OF THE UNITED STATES OF AMERICA AND THE
MINISTRY OF ECONOMY OF THE UNITED MEXICAN STATES (SECRETARIA DE ECONOMIA) ON TRADE IN CEMENT
The Office of the United States Trade Representative (``USTR'') and the Department of Commerce (``DOC'') of the United States of America, of the one part, and the Ministry of Economy of the United Mexican States (``Secretaria de Econom[iacute]a'' or ``SE'') of the other part; (hereinafter referred to as the ``Parties'') enter into this Agreement (the ``Agreement''):
Desiring to resolve the numerous trade disputes arising from the Mexican Cement Order and to promote more liberal and stable trade in cement between Mexico and the United States;
Reaffirming the rights, obligations, and undertakings of the United States and Mexico under the North American Free Trade Agreement (``NAFTA'') and the Marrakesh Agreement Establishing the World Trade Organization (``WTO'') (including the Agreement on Implementation of Article VI of the GATT 1994);
Sharing a common interest in liberalizing trade in, and facilitating the crossborder movement of, cement between the territories of the United States and Mexico, consistent with the NAFTA;
Desiring to ensure the satisfactory resolution of a dispute settlement proceeding in the WTO and numerous proceedings under Chapter 19 of the NAFTA relating to the Mexican Cement Order;
Desiring, after a period during which trade in cement would be governed through trade liberalizing measures, to terminate the Mexican Cement Order; and
Noting the tradeliberalizing objectives of the Security and Prosperity Partnership of North America announced by President Fox and President Bush on March 23, 2005;
FOR FURTHER INFORMATION CONTACT
Sally C. Gannon, Judith Wey Rudman, or
Jonathan Herzog (202) 4820162, (202) 4820192, and (202) 4824271
respectively, Bilateral Agreements Unit, Office of Policy and Negotiations, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14\th\ Street and
Constitution Avenue, NW, Washington, DC 20230.