10006 Federal Register / Vol. 72, No. 43 / Tuesday, March 6, 2007 / Rules and Regulations 

license, each license number must be 

reported within the column on the line 

item covering the subject cement; or 

(2) On CBP Form 214 or on an 

electronic version of CBP Form 214 

(CBP Form e-214), as required by CBP, 

at the time of filing under part 146 of 

this chapter, in the case of an 

application for foreign trade zone (FTZ) 

admission and/or status designation. 

(c) Import license information. There 

is no requirement to present physical 

copies of the import license to CBP at 

the time of filing either the CBP Form 

7501 or CBP Form 214; however, 

importers must maintain copies in 

accordance with the applicable 

recordkeeping provisions set forth in the 

chapter. 

(d) Export license information. Under 

regulations promulgated by the U.S. 

Department of Commerce, set forth at 19 

CFR 361.101(d), importers of Mexican 

cement must submit an original, 

physical copy of a valid Mexican export 

license to CBP with the entry summary 

documentation (unless otherwise 

directed by CBP). In the case of an 

application for FTZ admission and/or 

status designation, the original physical 

copy of a valid Mexican export license 

must be provided to the FTZ operator 

with the CBP Form 214 (unless 

otherwise directed by CBP) and, in such 

case, upon withdrawal from the FTZ no 

paper export license will be required to 

be submitted to CBP with the 

merchandise’s subsequent entry 

summary documentation. For multiple 

shipments at multiple ports, or multiple 

entries at one port, the original physical 

copy of the Mexican export license must 

be submitted to CBP (unless otherwise 

directed by CBP) with the first entry 

summary or to the FTZ operator with 

the CBP Form 214 or CBP Form e–214, 

as required by CBP, and a copy of the 

export license must be presented with 

each subsequent entry summary or CBP 

Form 214/e-214. Importers must also 

retain copies of the export license 

issued by the Mexican Government 

pursuant to the recordkeeping 

requirements set forth in part 163 of this 

title. 

(e) Duration of requirements. The 

provisions set forth in this section are 

applicable for as long as the Agreement 

remains in effect. 

PART 163—RECORDKEEPING 

■ 3. The authority citation for part 163 

continues to read as follows: 

Authority: 5 U.S.C. 301; 19 U.S.C. 66, 

1484, 1508, 1509, 1510, 1624. 

■ 4. The Appendix to part 163 is 

amended by adding a new listing, in 

numerical order, for § 12.155 under 

section IV to read as follows: 

Appendix to Part 163—Interim (a)(1)(A) 

List 

* * * * * 

IV. * * * 

§ 12.155 Export license and import license 

for Mexican Cement. 

* * * * * 

Deborah J. Spero, 

Acting Commissioner, Bureau of Customs and 

Border Protection. 

Approved: February 28, 2007. 

Timothy E. Skud, 

Deputy Assistant Secretary of the Treasury. 

[FR Doc. 07–997 Filed 3–5–07; 8:45 am] 

BILLING CODE 9111–14–P 

DEPARTMENT OF COMMERCE 

International Trade Administration 

19 CFR Part 361 

[Docket Number: 060316072–5251–02] 

RIN 0625–AA70 

Mexican Cement Import Licensing 

System 

AGENCY: Import Administration, 

International Trade Administration, 

Department of Commerce. 

ACTION: Final rule. 

SUMMARY: Import Administration (IA) 

issues this final rule to add new 

regulations implementing the Mexican 

Cement Import Licensing System in 

accordance with 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 (Secretarı ́a 

de Economı ́a) on Trade in Cement 

(Agreement), signed March 6, 2006. This 

final rule requires all importers of 

cement from Mexico covered by the 

scope of the Agreement to obtain an 

import license from the Department of 

Commerce (Commerce) prior to 

completing their U.S. Customs and 

Border Protection (CBP) entry summary 

documentation. To obtain the import 

license, the importer, or the importer’s 

broker or agent, must complete a form 

supplying certain information to 

Commerce about the Mexican Cement 

importation. The import license number 

will be generated immediately upon 

submitting the information and will be 

needed to complete the CBP entry 

documentation. IA will use the 

information recorded on the import 

license form as the basis for monitoring 

compliance with the Agreement. 

In addition, IA informs the public of 

the approval by the Office of 

Management and Budget (OMB) of the 

collection-of-information requirements 

contained in this final rule and 

publishes the OMB control numbers for 

those collections. 

DATES: This final rule is effective April 

5, 2007. Filers will be able to obtain 

their user identification numbers on or 

after March 16, 2007 and apply for 

import licenses on or after April 5, 2007. 

FOR FURTHER INFORMATION CONTACT: 

Sally C. Gannon (202) 482–0162; Judith 

Wey Rudman (202) 482–0192; or 

Jonathan Herzog (202) 482–4271. 

Additional information is available on 

Commerce’s import licensing Web site 

http://ia.ita.doc.gov/cement-agreement/ 

index.html. 

SUPPLEMENTARY INFORMATION: IA issues 

this final rule to add new regulations 

implementing the Mexican Cement 

Import Licensing System (MCILS) in 

accordance with the Agreement, signed 

March 6, 2006. This final rule requires 

all importers of cement from Mexico 

covered by the scope of the Agreement 

to obtain an import license from 

Commerce prior to completing their 

CBP entry summary documentation. To 

obtain an import license, the importer, 

or the importer’s broker or agent, must 

complete a form providing certain 

information to Commerce about the 

Mexican Cement importation. The 

import license number will be generated 

immediately upon submitting the 

information and will be needed to 

complete the CBP entry summary 

documentation. IA will use the 

information recorded in the import 

license form as the basis for monitoring 

compliance with the Agreement. 

The proposed rule was published on 

May 31, 2006 (71 FR 30836) (‘‘proposed 

rule’’), inviting parties to submit 

comments through June 30, 2006. The 

rationale and authority for the program 

were provided in the preamble to the 

proposed rule and are not repeated here. 

Comments on the Proposed Rule: 

Comments received during the public 

comment period set forth in the 

proposed rule are addressed in this final 

rule. Four parties submitted comments 

on the proposed rule. Most of the 

comments supported the licensing 

program and focused on a particular 

aspect of the licensing program 

concerning which the party wanted 

clarification or an adjustment. The 

comments are summarized below, with 

comments raised by more than one 

party addressed first. Please note that 

the numbering used in the proposed 


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rule, 19 CFR 360.201 through 360.205, 

has changed to 19 CFR 361.101 through 

361.105 for purposes of this final rule. 

Therefore, all references in this 

document refer to 19 CFR 361.101 

through 361.105. 

Comment 1: Access to Information. 

The Southern Tier Cement Committee 

(STCC) and Holcim (US), Inc. (Holcim) 

comment that, due to the limited 

amount of public, non-proprietary 

information expected to be generated by 

the MCILS, little aggregate information 

will be available for publication on IA’s 

Web site. Therefore, according to the 

STCC and Holcim, it is important that 

Commerce provide interested parties 

timely access to the information derived 

from the MCILS in accordance with the 

administrative protective order in effect 

for this Agreement in order that the 

parties may review whether the 

Mexican exporters are complying with 

the terms of the Agreement. Similarly, 

GCC Cemento, S.A. de C.V. and GCC Rio 

Grande, Inc. (collectively GCCC) ask 

Commerce to clarify the sort of aggregate 

information that would be made 

available to the public and to confirm 

that business proprietary data would not 

be revealed. 

Commerce Response: As noted in the 

SUPPLEMENTARY INFORMATION section of 

the proposed rule, certain aggregate 

information collected from the MCILS 

will be available on the IA Web site. No 

business proprietary information will be 

posted on the Web site, i.e., posted 

information will not be specific to a 

particular port or company. Instead, 

publicly available information will 

consist of the total quantity of Mexican 

Cement imports for all sub-regions 

combined. Further, Commerce will 

provide quarterly reports of information 

collected on the MCILS to parties that 

have been approved for access to 

business proprietary information under 

the administrative protective order in 

effect for this Agreement. See Appendix 

26 of the Agreement, ‘‘Agreement for 

Disclosure of and Access to Business 

Proprietary Information.’’

Commerce has added 19 CFR 

361.101(a)(5) to this final rule to address 

concerns about access to information 

and the use of business proprietary 

information. 

Comment 2: Maintaining Up-To-Date 

Information. 

The STCC comments that, unlike 19 

CFR 360.102(b), which governs 

Commerce’s Steel Import Monitoring 

and Analysis (SIMA) licensing system, 

19 CFR 361.102(a)(2) does not include 

the language, ‘‘It is the responsibility of 

the applicant to keep the information 

up-to-date,’’ when discussing the 

information necessary to obtain a user 

identification number. The STCC asks 

that this language be added in order to 

ensure that the applicants for an import 

license from the MCILS will be aware of 

their responsibility to keep their 

information current. 

Commerce Response: Commerce 

agrees with the STCC in this regard. For 

the purposes of this final rule, 

Commerce has added the sentence, ‘‘It 

is the responsibility of the applicant to 

keep the information up-to-date,’’ to 19 

CFR 361.102(a)(2). 

Comment 3: Types of Entries. 

GCCC comments that Commerce used 

the phrase ‘‘all imports of Mexican 

Cement’’ in 19 CFR 361.101(a)(3), and 

the phrase ‘‘all entries for consumption 

of covered Mexican Cement products’’

in 19 CFR 361.101(b) when describing 

what products will require an import 

license. GCCC comments that 

Commerce should clarify whether all 

imports of Mexican Cement or all 

entries of Mexican Cement for 

consumption would require an import 

license. Specifically, GCCC asks 

whether a sample for testing purposes, 

which is not an entry for consumption, 

would require an import license. 

Commerce Response: In order to 

provide Commerce with the ability to 

monitor this Agreement effectively, all 

entries of Mexican Cement included 

within the scope of the Agreement, 

including samples, whether or not for 

consumption, will be required to be 

accompanied by an import license 

issued through the MCILS. Commerce 

has added this clarification to 19 CFR 

361.101(a)(3) and (b) of the final rule. 

Commerce has also clarified 19 CFR 

361.101(b) to state that all shipments of 

covered Mexican Cement into FTZs, 

known as FTZ admissions, will require 

an import license prior to the filing of 

FTZ admission documents as stated in 

19 CFR 361.101(c). 

Comment 4: Multiple Products. 

GCCC comments that, in the proposed 

rule, both the preamble and 19 CFR 

361.101(a)(4) state that a single import 

license may cover multiple products as 

long as certain information on the 

import license remains the same. 

However, GCCC notes that the 

information which must remain the 

same differs between the two provisions 

and requests that Commerce clarify 

what information is required to be the 

same in order for an import license to 

cover multiple products. 

Commerce Response: In order for an 

import license to cover multiple 

products, the following information 

must remain the same: Company Name, 

Address, City, State, Zip, Contact Name, 

Contact Phone, Contact Fax, Contact Email, Importer Name, Exporter Name, 

Manufacturer Name, Country of Origin, 

Country of Exportation, Expected Port of 

Entry, Expected Date of Importation, 

Expected Date of Export, Customs Entry 

Number (if known), Date License Valid 

From, Date License Valid Through, Date 

of Application, Subregion of Final 

Destination, Type of Affiliation, U.S. 

Affiliate’s Name, Address, County, City, 

State, Zip, the Mexican Export License 

Number, and Disaster Relief Statement. 

Only the product-specific information 

(i.e., HTSUS Number, Product 

Description, Quantity, Unit, Entered 

Value in U.S. $, and Unit Value) may 

differ, if a single import license is used 

to cover multiple products. Commerce 

has added this clarification to 19 CFR 

361.101(a)(4) of the final rule. 

Comment 5: Customs Entry Number 

Requirement. 

GCCC comments that 19 CFR 

361.103(b) and (c)(xiii) of the proposed 

rule are ambiguous as to whether the 

CBP entry number is required to be 

reported on the application for an 

import license if known at the time of 

completing the application. GCCC 

requests that Commerce clarify whether 

the CBP entry number is required to be 

reported on the application for an 

import license if it is known at the time 

of application. 

Commerce Response: If the CBP entry 

number is known to the applicant at the 

time of applying for an import license, 

the party filing the application is 

required to report the CBP entry 

number. Commerce has added this 

clarification to 19 CFR 361.103(b) of the 

final rule. 

Comment 6: Final Destination. 

GCCC notes that 19 CFR 

361.103(c)(xii) of the proposed rule 

states that an applicant must indicate 

the address of the silo/warehouse where 

the Mexican Cement will be kept until 

shipment to the first unaffiliated 

purchaser. According to GCCC, Mexican 

Cement that is stored in a silo or 

warehouse may be shipped to either an 

affiliated purchaser for resale or 

consumption, or to an unaffiliated 

purchaser. Therefore, GCCC requests 

that 19 CFR 361.103(c)(xii) of the 

proposed rule be amended to reflect this 

alternative. 

GCCC also comments, with regard to 

19 CFR 361.103(xii) of the proposed 

rule, that Mexican Cement may be 

stored in a silo or warehouse in one 

region and then later shipped to a 

different region, if the final customer is 

not known at the time of entry and 

application for the import license. 

Therefore, GCCC requests that 

Commerce confirm that in such a 

situation, the final destination should be 

identified as the silo or warehouse 


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where the cement is stored upon 

importation, even if the cement is 

ultimately consumed or sold in a 

different sub-region. 

Commerce Response: During the 

negotiation of this Agreement, 

Commerce worked with all of the 

interested parties and their 

representatives, including GCCC, to 

develop the type of information needed 

to be collected by the MCILS in order 

for the system to be effective. Commerce 

and Secretarı ́a de Economı ́a submitted 

several rounds of draft agreement text, 

including the appendices, for comment 

and review by the interested parties. 

After extensive deliberation and 

negotiation, all parties agreed to the 

Agreement and its related Appendices. 

Appendix 20 of the Agreement defines 

‘‘Final Destination’’ exactly as it appears 

in 19 CFR 361.103(c)(xii) of the 

proposed rule and as intended by the 

drafters of the Agreement. As such, 

Commerce cannot modify the language 

of 19 CFR 361.103(c)(xii) of the final 

rule without modifying the terms of the 

Agreement. Therefore, for the purposes 

of the final rule, Commerce will not 

amend the language of 19 CFR 

361.103(c)(xii) as GCCC has requested. 

In its entirety, the Agreement 

establishes a three-part monitoring 

system that includes export licenses 

issued by the Government of Mexico, an 

import license issued by Commerce, and 

monthly sales reports provided by the 

Mexican exporters and related 

importers. In accordance with Appendix 

22 of the Agreement, any Mexican party 

exporting Mexican Cement to the 

United States is required to obtain an 

export license which states the ‘‘SubRegion of Final Destination’’ to which 

the Mexican Cement is being exported. 

The export license number is to be 

reported on the import license issued by 

Commerce. Further, in accordance with 

Appendix 20 of the Agreement, to 

obtain an import license from 

Commerce, the importer must provide 

the ‘‘Sub-Region of Final Destination’’

in addition to the ‘‘Final Destination.’’

‘‘Sub-Region of Final Destination’’ is 

defined in Appendix 20 as the ‘‘Subregion where either the Mexican Cement 

will be consumed by an affiliated 

company to make concrete or concrete 

products or the Sub-region of the first 

unaffiliated purchaser of Mexican 

Cement.’’ The Sub-Region of Final 

Destination reported on the Mexican 

export license must match the SubRegion of Final Destination reported on 

the import license. Thus, when 

reporting ‘‘Final Destination’’ as set out 

in 19 CFR 361.103(c)(xii) of the final 

rule, the final destination, including the 

silo or warehouse in which the Mexican 

Cement may be stored, may not differ 

from the Sub-Region of Final 

Destination reported on both the export 

and import licenses. In a situation 

where the end customer is not known at 

the time of importation and the product 

is stored in a silo or warehouse, if the 

Mexican Cement is sold into a Subregion other than that listed on the 

export and import licenses, Commerce 

may commence an investigation 

pursuant to the terms of the Agreement, 

including, but not limited to, initiating 

a changed circumstances review in 

accordance with Section VII of the 

Agreement. 

Comment 7: Mexican Export License 

Number. 

GCCC comments that when the 

company ships Mexican Cement, the 

tonnage in a shipment may be covered 

by two separate Mexican Export 

Licenses, if the tonnage limit for one 

Mexican Export License is reached and 

a new Mexican Export License is 

needed to cover the additional quantity. 

Therefore, GCCC requests that 

Commerce confirm whether it will 

require the importer to identify the 

tonnage and value that correspond to 

each Export License, or if it will require 

the importer to list the total quantity 

and value for the entire shipment and 

list both Mexican Export License 

Numbers on its application for an 

import license. 

Cemex, S.A. de C.V. (Cemex) 

comments that the proposed rule does 

not explicitly say whether a single 

import license may be used for more 

than one entry if all of the information 

on the import license is the same and 

requests that Commerce explicitly state 

in the final rule if a single import 

license may be used for more than one 

entry. 

Commerce Response: The MCILS and 

the Mexican Export License systems are 

being established to track the quantity 

and value of Mexican Cement 

shipments accurately and on a real-time 

basis. Commerce must be able to trace 

specific quantities and values from a 

given Mexican Export License to an 

import license to ensure proper 

monitoring of the Agreement’s subregional quotas. As designed, the 

application for an import license will 

only allow for the applicant to enter a 

single Mexican export license number. 

Thus, if a shipment of 100 metric tons 

(MT) is entered into the United States, 

60 MT of which applies to one Mexican 

Export License, and 40 MT of which 

applies to a second Mexican Export 

License, the importer must obtain an 

import license for 60 MT and a second 

import license for 40 MT. 

Further, a separate import license is 

also required for each entry made 

pursuant to separate export licenses. 

Therefore, a separate import license is 

required for every entry of Mexican 

Cement. Commerce has added language 

clarifying these requirements in 19 CFR 

361.101(a)(4) and (d) of the final rule. 

Comment 8: Copies of Licenses. 

GCCC comments that because only 

Commerce will have access to the 

completed import licenses after the date 

they are issued, Commerce should state 

how long it intends to maintain the 

import licenses. GCCC requests that 

Commerce maintain copies for the 

entire period that the Agreement is in 

effect. Cemex comments that the 

proposed rule does not provide a time 

frame in which Commerce will be 

required to issue a copy of an import 

license to a requesting party. Cemex 

suggests that Commerce be required to 

issue a copy of an import license within 

24 hours of when it is requested, and 

that it would be useful if there were an 

expedited procedure for obtaining a 

copy in a shorter period of time where 

the absence of a copy of the import 

license is impeding entry of Mexican 

Cement. 

Commerce Response: An importer 

will be able to access copies of the 

import licenses it has obtained through 

the MCILS via the MCILS Web site. In 

the event that the MCILS Web site is not 

accessible, Commerce will normally 

issue a copy by fax or standard mail 

within two business days. However, 

where the absence of an import license 

impedes entry of Mexican Cement, 

Commerce will make every effort to 

work with the importer and CBP to 

resolve the problem as quickly as 

possible. 

Comment 9: Correcting/Cancelling 

Import Licenses. 

GCCC raises two questions. First, 19 

CFR 361.103(e) of the proposed rule 

states that applicants may cancel import 

licenses which contain errors prior to 

entry and file for a new import license 

with corrected information. GCCC asks 

whether there is a way to correct 

inadvertent errors to the import license 

after entry. Second, GCCC asks how 

Commerce will address situations in 

which an importer obtains an import 

license, but is notified of a cancelled 

sale after the entry date. 

Commerce Response: It is Commerce’s 

intent that the MCILS monitor imports 

of Mexican Cement as accurately as 

possible. Any errors contained in an 

import license should be corrected prior 

to entry by correcting the import license 

or by cancelling the import license and 

applying for a new import license. In 

the situation where an inadvertent error 


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Federal Register / Vol. 72, No. 43 / Tuesday, March 6, 2007 / Rules and Regulations 10009 

is discovered after entry, applicants will 

be able to correct the import license or 

cancel the import license and apply for 

a new import license. Commerce will 

monitor such actions closely and 

reserves the right to investigate 

corrections made after entry. If 

Commerce determines that an error 

corrected after entry was not an 

inadvertent error, Commerce may take 

appropriate action in accordance with 

the terms of the Agreement. 

Further, all Mexican Cement imported 

into the United States covered by the 

scope of the Agreement is required to 

have an import license. This 

requirement includes any Mexican 

Cement imported into the United States 

pursuant to a sale that is cancelled after 

entry. 

Comment 10: Typographical Error. 

The STCC comments that there 

appears to be a typographical error in 19 

CFR 361.104 of the proposed rule. 

Commerce Response: Commerce 

agrees and has corrected this error by 

adding the word ‘‘or’’ to the sentence in 

19 CFR 361.104 of the final rule. 

Regulatory Flexibility Act 

The Chief Counsel for Regulation 

certified to the Chief Counsel for 

Advocacy of the Small Business 

Administration that the proposed rule, 

if adopted, will not have a significant 

impact on a substantial number of small 

entities as that term is defined in the 

Regulatory Flexibility Act, 5 U.S.C. 601 

et seq. A summary of the factual basis 

for this certification is below. 

Commerce is unable to determine the 

number of brokerage companies and 

importers that would be impacted by 

this rule as Commerce does not collect 

this information. However, based on 

historical data, Commerce estimates that 

there are few brokerage companies and 

importers that would be considered 

small entities under Small Business 

Administration’s standard (5 U.S.C. 

603(b)(3)). Typically, larger brokers 

handle Mexican Cement shipments 

because of the capital that is needed 

upfront to handle bonds and other costs. 

Each importer or broker must fill out the 

import license form for each entry of the 

subject merchandise. Based on CBP 

entry summary information, we estimate 

that 12,150 import licenses will be 

issued each year. Of this number, only 

a small percentage of import licenses 

would be requested by a small entity as 

a result of this rule. 

Even if this rule impacted a large 

number of small entities, these entities 

would not incur significant costs to 

comply with the proposed regulations. 

Most brokerage companies that are 

currently involved in filing required 

documentation for importing goods into 

the United States, specifically CBP 

documentation, are accustomed to 

CBP’s automated systems. Today, more 

than 99 percent of CBP filings are 

handled electronically. Therefore, the 

web-based nature of this simple import 

license application should not impose a 

significant cost to any firm in 

completing this new requirement. 

However, should a company prefer or 

need to apply for an ID or import license 

by other than electronic means, a fax/ 

phone option will be available at 

Commerce during regular business 

hours. There is no cost to register for a 

company-specific user identification 

number and no cost to apply for an 

import license. 

Each import license form is expected 

to take at most about 10 minutes to 

complete using much of the same 

information the brokers will use to 

complete their CBP entry summary 

documentation. The response time 

should not vary widely because the 

same information is used to fill out 

other required CBP documents. The 

estimated average cost to private sector 

respondents is $20.00 per hour. 

Based on the estimated 12,150 import 

licenses that will be issued each year, 

the total cost to respondents as a result 

of this rule is $40,500.00. Based on 

historic CBP information, there are few 

small entities that would be affected by 

this rule. Therefore, of this amount, only 

a small percentage of the total cost 

would be incurred by small entities. 

Based on these figures, this action will 

not have a significant economic impact 

on a substantial number of small 

entities. No comments were received 

regarding the economic impact of this 

rule. As a result, no Final Regulatory 

Flexibility Analysis was prepared. 

Paperwork Reduction Act 

This final rule contains collection-ofinformation requirements subject to 

review and approval by OMB under the 

Paperwork Reduction Act. These 

requirements have been approved by 

OMB under the Paperwork Reduction 

Act (OMB No.: 0625–0259; Expiration 

Date: December 31, 2009). The public 

reporting burden for these collections of 

information is estimated at 10 minutes. 

Parties must maintain copies in 

accordance with CBP’s existing 

requirements. The import licensing 

system requests information already 

required of an importer, approval is 

automatic, and the importer will have 

ample opportunity and time to apply. 

These estimates of time required to 

complete an application include the 

time for reviewing instructions, 

searching existing data sources, 

gathering and maintaining the data 

needed, and completing and reviewing 

the collection of information. 

All responses to this collection of 

information are mandatory, and will be 

provided to the extent allowed by law. 

Notwithstanding any other provision of 

law, no person is required to respond to, 

nor shall any person be subject to a 

penalty for failure to comply with, a 

collection of information subject to the 

Paperwork Reduction Act unless that 

collection displays a valid OMB Control 

Number. Send comments on the 

reporting burden estimate or any other 

aspect of the requirements in this final 

rule to OMB at the Office of Information 

and Regulatory Affairs, Office of 

Management and Budget, Washington, 

DC 20503 (Attention: ITA Desk Officer). 

Executive Order 12866 

It has been determined that this rule 

is significant for purposes of Executive 

Order 12866 of September 30, 1993 

(‘‘Regulatory Planning and Review’’) (58 

FR 51735 (October 4, 1993)). 

Executive Order 13132 

This rule does not contain policies 

with federalism implications as that 

term is defined in section 1(a) of 

Executive Order 13132, dated August 4, 

1999 (64 FR 43255 (August 10, 1999)). 

■ For the reasons set out in the 

preamble, 19 CFR part 361 is added as 

follows: 

PART 361—MEXICAN CEMENT 

IMPORT LICENSING SYSTEM 

Sec. 

361.101 Mexican Cement Import Licensing 

System. 

361.102 Online registration. 

361.103 Automatic issuance of import 

licenses. 

361.104 Fees. 

361.105 Hours of operation. 

Authority: 13 U.S.C. 301(a) and 302. 

§ 361.101 Mexican Cement Import 

Licensing System. 

(a) In general. (1) On March 6, 2006, 

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) was 

signed. Pursuant to the Agreement, the 

United States has agreed to implement 

an import licensing system for imports 

of merchandise covered by the scope of 

the antidumping duty order on Cement 

from Mexico. Some of the data to be 

collected is in addition to data currently 

collected by U.S. Customs and Border 

Protection (USCBP). The data collected 


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by the Mexican Cement Import 

Licensing System will be used by the 

Department of Commerce (Commerce) 

to monitor imports of Mexican Cement, 

as the imports occur. 

(2) Mexican Cement is defined as gray 

portland cement and clinker from 

Mexico. Gray portland cement is a 

hydraulic cement and the primary 

component of concrete. Clinker, an 

intermediate material produced when 

manufacturing cement, has no use other 

than being ground into finished cement. 

Specifically included within the scope 

of this definition are pozzolanic blended 

cements and oil well cements. 

Specifically excluded are white cement 

and Type ‘‘S’’ masonry cement. Gray 

portland cement is currently classifiable 

under the Harmonized Tariff Schedule 

of the United States (HTSUS) item 

number 2523.29 and cement clinker is 

currently classifiable under HTSUS item 

number 2523.10. Gray portland cement 

has also been entered under HTSUS 

item number 2523.90 as ‘‘other 

hydraulic cements.’’ These HTSUS 

subheadings are provided for 

convenience and USCBP purposes; the 

written definition is controlling for 

purposes of this Agreement. 

(3) The Mexican Cement Import 

Licensing System includes an online 

registration system. All imports of 

Mexican Cement covered by the scope 

of the Agreement, including samples, 

whether or not for consumption, are 

subject to the Mexican Cement Import 

Licensing requirements. Information 

gathered from these import licenses will 

be used to ensure that the terms of the 

Agreement are complied with and 

enforced. 

(4) A single import license may cover 

multiple products if the following 

information reported on the import 

license remains the same: Company 

Name, Address, City, State, Zip, Contact 

Name, Contact Phone, Contact Fax, 

Contact E-mail, Importer Name, 

Exporter Name, Manufacturer Name, 

Country of Origin, Country of 

Exportation, Expected Port of Entry, 

Expected Date of Importation, Expected 

Date of Export, Customs Entry Number 

(if known), Date License Valid From, 

Date License Valid Through, Date of 

Application, Subregion of Final 

Destination, Type of Affiliation, U.S. 

Affiliate’s Name, Address, County, City, 

State, Zip, Mexican Export License 

Number, and Disaster Relief Statement. 

Separate import licenses will be 

required for each type of Mexican 

Cement entry if the above information 

differs. As a result, a single USCBP 

entry summary may require more than 

one Mexican Cement import license. 

The applicable import license(s) must 

cover the total quantity of Mexican 

Cement entered and should cover the 

same information provided on USCBP 

Form 7501. 

(5) Access to Information. (i) 

Information gathered by the Mexican 

Cement Import Licensing System will be 

treated as business proprietary 

information and will be subject to the 

administrative protective order in place 

for this Agreement. Commerce may elect 

to publish certain aggregate information 

collected by the Mexican Cement Import 

License System on the Import 

Administration Web site. Any 

information Commerce elects to publish 

will not include business proprietary 

information nor information from 

specific ports of entry or companies. 

(ii) In accordance with 19 CFR 

351.305, interested parties who have 

been approved for access to business 

proprietary information under the 

administrative protective order in effect 

for this Agreement will receive a 

quarterly report of all information 

gathered by the Mexican Cement Import 

License System. 

(b) Covered Entries. All entries of 

Mexican Cement subject to the 

Agreement, including samples, whether 

or not for consumption, will require an 

import license prior to the filing of 

USCBP Form 7501, except as provided 

in § 361.101(c). The import license 

number(s) must be reported on USCBP 

Form 7501 at the time of filing. There 

is no requirement to present physical 

copies of the import license forms at the 

time of filing USCBP Form 7501; 

however, copies must be maintained in 

accordance with USCBP’s existing 

requirements. Submission of a USCBP 

Form 7501 without the required import 

license number(s) will be considered 

circumvention of the Agreement. 

(c) Foreign Trade Zone entries. All 

shipments of covered Mexican Cement 

into FTZs, known as FTZ admissions, 

will require an import license prior to 

the filing of FTZ admission documents. 

The import license number(s) must be 

reported on the application for FTZ 

admission and/or status designation 

(USCBP Form 214) at the time of filing. 

There is no requirement to present 

physical copies of the import license 

forms at the time of FTZ admission; 

however, copies must be maintained in 

accordance with USCBP’s existing 

requirements. Submission of FTZ 

admission documents without the 

required import license number(s) will 

be considered circumvention of the 

Agreement. A further Mexican Cement 

import license will not be required for 

shipments from FTZs into the 

commerce of the United States. 

(d) Mexican Export License 

Requirement. Each importer is required 

to submit a valid Mexican Export 

License to USCBP with its 7501 entry 

summary. For multiple shipments at 

multiple ports, or multiple entries at 

one port, the original Mexican Export 

License shall be presented with the first 

7501 entry summary and a copy of the 

Export License shall be presented with 

each subsequent 7501 entry summary. 

In the case where an entry is covered by 

two Mexican export licenses, the 

importer must obtain two separate 

import licenses (e.g., if a shipment of 

100 metric tons (MT) is entered into the 

United States, 60 MT of which applies 

to one Mexican Export License, and 40 

MT of which applies to a second 

Mexican Export License, the importer 

must obtain an import license for 60 MT 

and a second import license for 40 MT). 

§ 361.102 Online registration. 

(a) In General. (1) Any importer, 

importing company, customs broker or 

importer’s agent with a U.S. street 

address may register and obtain the user 

identification number necessary to log 

on to the automatic Mexican Cement 

import license issuance system. Foreign 

companies may obtain a user 

identification number if they have a 

U.S. address through which they may be 

reached; P.O. Boxes will not be 

accepted. A user identification number 

normally will be issued within two 

business days. Companies will be able 

to register online through the import 

licensing Web site. However, should a 

company prefer to apply for a user 

identification number nonelectronically, a phone/fax option will 

be available at Commerce during regular 

business hours. 

(2) This user identification number 

will be required in order to log on to the 

Mexican Cement import license 

issuance system. A single user 

identification number will be issued to 

an importing company, brokerage house 

or importer’s agent. Operating units 

within the company (e.g., individual 

branches, divisions, or employees) will 

all use the same company user 

identification number. The Mexican 

Cement import license issuance system 

will be designed to allow multiple users 

of a single identification number from 

different locations within the company 

to enter information simultaneously. 

(b) Information required to obtain a 

user identification number. In order to 

obtain a user identification number, the 

importer, importing company, customs 

broker or importer’s agent will be 

required to provide certain general 

information. This information will 

include: the filer’s company name, 


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Federal Register / Vol. 72, No. 43 / Tuesday, March 6, 2007 / Rules and Regulations 10011 

employer identification number (EIN) or 

USCBP ID number (where no EIN is 

available), U.S. street address, telephone 

number, e-mail address, and contact 

information for both the company 

headquarters and any branch offices that 

will be applying for Mexican Cement 

import licenses. It is the responsibility 

of the applicant to keep this information 

up-to-date. This information will not be 

released by Commerce, except as 

required by U.S. law. 

§ 361.103 Automatic issuance of import 

licenses. 

(a) In general. Mexican Cement 

import licenses will be issued to 

registered importers, customs brokers or 

their agents through the automatic 

Mexican Cement Import Licensing 

System. The import licenses will be 

issued automatically after the 

completion of the form. 

(b) USCBP entry number. Filers are 

required to report a USCBP entry 

number to obtain an import license if 

the USCBP entry number is known at 

the time of filing for the import license. 

(c) Information required to obtain an 

import license. (1) The following 

information is required to be reported in 

order to obtain an import license (if 

using the automatic licensing system, 

some of this information will be 

provided automatically from 

information submitted as part of the 

registration process): 

(i) Applicant company name and 

address; 

(ii) Applicant contact name, phone 

number, fax number and e-mail address; 

(iii) Importer name; 

(iv) Exporter name; 

(v) Manufacturer name; 

(vi) Country of origin; 

(vii) Country of exportation; 

(viii) Expected date of export; 

(ix) Expected date of import; 

(x) Expected port of entry; 

(xi) Sub-Region of Final Destination: 

Indicate the Sub-region where either the 

Mexican Cement will be consumed by 

an affiliated company to make concrete 

or concrete products or the Sub-region 

of the first unaffiliated purchaser of the 

Mexican Cement. 

(xii) Final Destination: Indicate the 

complete name and address (including 

county) of either the affiliated company 

that will consume the Mexican Cement 

or the first unaffiliated purchaser of the 

Mexican Cement. If either is not known 

when the Import License is issued, 

indicate the address (including county) 

where the Mexican Cement will be 

siloed/warehoused until the time of 

shipment to the first unaffiliated 

purchaser. 

(xiii) USCBP entry number, if known; 

(xiv) Current Harmonized Tariff 

System of the United States (HTSUS) 

number (from Chapter 25 of the 

HTSUS); 

(xv) Quantity (in metric tons); 

(xvi) Customs value (U.S. $); 

(xvii) Whether the entry is made 

pursuant to the disaster relief provisions 

of the Agreement; and 

(xviii) Mexican Export License 

Number. 

(2) Certain fields will be automatically 

completed by the automatic import 

license system based on information 

submitted by the filer (e.g., product 

category, unit value). Filers should 

review these fields to help confirm the 

accuracy of the submitted data. 

(3) Upon completion of the form, the 

importer, customs broker or the 

importer’s agent will certify as to the 

accuracy and completeness of the 

information and submit the form 

electronically. After submitting the 

completed form, the system will 

automatically issue a Mexican Cement 

import license number. The refreshed 

form containing the submitted 

information and the newly issued 

import license number will appear on 

the screen (the ‘‘import license form’’). 

If needed, copies of completed import 

license forms can be requested from 

Commerce during normal business 

hours. 

(d) Duration of the Mexican Cement 

import license. The Mexican Cement 

import license can be applied for up to 

30 days prior to the expected date of 

importation and until the date of filing 

of USCBP Form 7501, or in the case of 

FTZ entries, the filing of USCBP Form 

214. The Mexican Cement import 

license is valid for 60 days; however, 

import licenses that were valid on the 

date of importation but expired prior to 

the filing of USCBP Form 7501 will be 

accepted. 

(e) Correcting submitted license 

information. If an error is discovered in 

the import license after the entry date 

listed on USCBP Form 7501, filers will 

be able to correct the import license or 

cancel the import license and obtain a 

new import license. Commerce reserves 

the right to verify any changes made to 

an import license after entry and may 

take appropriate action under the terms 

of the Agreement if it determines that a 

violation of the Agreement has 

occurred. 

§ 361.104 Fees. 

No fees will be charged for obtaining 

a user identification number or issuing 

a Mexican Cement import license. 

§ 361.105 Hours of operation. 

The automatic licensing system will 

generally be accessible 24 hours a day, 

7 days a week but may be down at 

selected times for server maintenance. If 

the system is down for an extended 

period of time, parties will be able to 

obtain import licenses from Commerce 

directly via fax during regular business 

hours. 

Dated: February 28, 2007. 

David M. Spooner, 

Assistant Secretary for Import 

Administration. 

[FR Doc. 07–996 Filed 3–5–07; 8:45 am] 

BILLING CODE 3510–DS–P 


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