[Federal Register Volume 62, Number 204 (Wednesday, October 22, 1997)]
[Notices]
[Pages 54833-54834]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-27721]


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DEPARTMENT OF COMMERCE

International Trade Administration


North American Free-Trade Agreement (NAFTA), Article 1904 
Binational Panel Reviews

AGENCY: NAFTA Secretariat, United States Section, International Trade 
Administration, Department of Commerce.

ACTION: Notice of Binational Panel decision.

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SUMMARY: On September 15, 1997 the Binational Panel issued its second 
decision in the review of the final antidumping duty administrative 
review made by the Secretaria de Comercio y Fomento Industrial de 
Mexico (SECOFI) respecting Flat Coated Sheet Products from the United 
States, Secretariat File No. MEX-94-1904-01. The Binational Panel 
unanimously affirmed in part and remanded in part the agency's remand 
determination. A copy of the complete Panel decision in Spanish or 
English is available from the NAFTA Secretariat.

FOR FURTHER INFORMATION CONTACT: James R. Holbein, United States 
Secretary, NAFTA Secretariat, Suite 2061, 14th and Constitution Avenue, 
Washington, D.C. 20230, (202) 482-5438.

SUPPLEMENTARY INFORMATION: Chapter 19 of the North American Free-Trade 
Agreement (``Agreement'') establishes a mechanism to replace domestic 
judicial review of final determinations in antidumping and 
countervailing duty cases involving imports from a NAFTA country with 
review by independent binational panels. When a Request for Panel 
Review is filed, a panel is established to act in place of national 
courts to review expeditiously the final determination to determine 
whether it conforms with the antidumping or countervailing duty law of 
the country that made the determination.
    Under Article 1904 of the Agreement, which came into force on 
January 1, 1994, the Government of the United States, the Government of 
Canada and the Government of Mexico established Rules of Procedure for 
Article 1904 Binational Panel Reviews (``Rules''). These Rules were 
published in the Federal Register on February 23, 1994 (59 FR 8686). 
The Binational Panel review in this matter was conducted in accordance 
with these Rules.

Background: On September 1, 1994 Inland Steel Company and USX 
Corporation filed a First Request for Panel Review with the Mexican 
Section of the NAFTA Secretariat pursuant to Article 1904 of the North 
American Free Trade Agreement. Panel review was requested of the final 
antidumping determination that was published in the Diario Oficial on 
August 2, 1994. Complaints were filed by Inland, USX, Bethlehem Steel 
Corporation, LTV Steel Company, New Process Steel Corporation and 
Industrias Monterrey, S.A. de C.V. (IMSA). Briefs were filed by all 
participants and oral argument was held in accordance with the Rules.

First Panel Decision

    In its first decision, issued on September 27, 1996, the Binational 
Panel unanimously affirmed in part and remanded in part the final 
determination. In its Order the panel affirmed all aspects of the final 
determination except for several specific instructions to SECOFI to 
take further actions. The Panel Order then enumerated specific actions 
involving competence and formality requirements, dumping issues, and 
injury issues. The Panel directed SECOFI, on remand, to comply with the 
specific instructions within 120 days of the date of the Decision.

Second Panel Decision

    On April 30, 1997, SECOFI filed its determination on remand. 
Challenges were timely filed by two interested parties, New Process 
Steel Corp. and Inland Steel. New Process challenged certain dumping 
findings and Inland sought to have its dumping margin conformed to any 
recalculation of New Process's dumping margin. After review of all 
relevant information and written arguments made by counsel for the 
participants, the Panel issued its second decision on September 15, 
1997. The Panel remanded the determination on remand to SECOFI to do 
the following:

[[Page 54834]]

    (1) Fully inform New Process of all missing information and of all 
needed clarifications regarding proposed calculations of hand labor 
cost, overhead expense, profit and credit expenses for New Process, and 
regarding product exclusions for New Process;
    (2) Give New Process an opportunity to provide additional 
information and to make clarifications regarding proposed calculations 
of hand labor cost, overhead expense, profit and credit expense, and 
regarding product exclusions;
    (3) Based on the above, make new dumping calculations for New 
Process and for Inland.
    The panel affirmed SECOFI's Remand Results of April 30, 1997, with 
respect to the allocation of raw material costs of New Process and in 
all other respects not addressed above. The Panel ordered the second 
remand determination to be completed within 120 days of the date of the 
opinion (by not later than January 13, 1998).

    Dated: October 14, 1997.
James R. Holbein,
United States Secretary, NAFTA Secretariat.
[FR Doc. 97-27721 Filed 10-21-97; 8:45 am]
BILLING CODE 3510-GT-P