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[Federal Register Volume 79, Number 212 (Monday, November 3, 2014)]
[Notices]
[Pages 65189-65191]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-26077]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-845]

Sugar From Mexico: Preliminary Determination of Sales at Less 
Than Fair Value and Postponement of Final Determination

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

SUMMARY: The Department of Commerce (the Department) preliminarily 
determines that sugar from Mexico is being, or is likely to be, sold in 
the United States at less than fair value (LTFV), as provided in 
section 733(b) of

[[Page 65190]]

the Tariff Act of 1930, as amended (the Act). The period of 
investigation is January 1, 2013, through December 31, 2013. The 
estimated weighted-average dumping margins of sales at LTFV are shown 
in the ``Preliminary Determination'' section of this notice. Interested 
parties are invited to comment on this preliminary determination. We 
intend to issue the final determination 135 days after publication of 
this preliminary determination in the Federal Register.

DATES: Effective on November 3, 2014.

FOR FURTHER INFORMATION CONTACT: David Lindgren, AD/CVD Operations, 
Office VII, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
3870.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the notice of initiation of this 
investigation on April 24, 2014.\1\ Pursuant to section 773(c)(1)(A) of 
the Act, the Department postponed this preliminary LTFV determination 
by a period of 50 days.\2\
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    \1\ See Sugar From Mexico: Initiation of Antidumping Duty 
Investigation, 79 FR 22795 (April 24, 2014).
    \2\ See Sugar From Mexico: Postponement of Preliminary 
Determination of Antidumping Duty Investigation, 79 FR 49497 (August 
21, 2014).
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Scope of the Investigation

    The product covered by this investigation is sugar from Mexico. For 
a full description of the scope of the investigation, see Appendix I to 
this notice.\3\
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    \3\ Interested parties filed comments and a clarification 
request regarding the scope of the investigation. For a complete 
discussion, see Memorandum to Paul Piquado, Assistant Secretary for 
Enforcement and Compliance, from Christian Marsh, Deputy Assistant 
Secretary for Enforcement and Compliance, ``Decision Memorandum for 
the Preliminary Determination in the Antidumping Duty Investigation 
of Sugar from Mexico,'' dated concurrently with and hereby adopted 
by this notice (Preliminary Decision Memorandum).
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Methodology

    The Department conducted this investigation in accordance with 
section 731 of the Act. Export price (EP) has been calculated in 
accordance with section 772 of the Act. Normal value (NV) has been 
calculated in accordance with section 773 of the Act.
    For a full description of the methodology underlying our 
conclusions, see the Preliminary Decision Memorandum. The Preliminary 
Decision Memorandum is a public document and is made available to the 
public via Enforcement and Compliance's Antidumping and Countervailing 
Duty Centralized Electronic Service System (IA ACCESS). IA ACCESS is 
available to registered users at https://iaaccess.trade.gov and to all 
parties in the Department's Central Records Unit, located at room 7046 
of the Department's main building. In addition, a complete version of 
the Preliminary Decision Memorandum can be accessed at http://enforcement.trade.gov/frn/index.html. The signed and the electronic 
versions of the Preliminary Decision Memorandum are identical in 
content.

Preliminary Determination

    In accordance with section 733(d)(1)(A)(i) of the Act, the 
Department calculated weighted-average dumping margins for the 
following individually investigated exporters and producers of subject 
merchandise: (1) Fondo de Empresas Expropiadas del Sector Azucarero 
(FEESA) \4\ and (2) Ingenio Tala S.A. de C.V. and certain affiliated 
companies of Grupo Azucarero Mexico S.A. de C.V. (collectively, the GAM 
Group).\5\ The Department preliminarily determines that the following 
weighted-average dumping margins exist for these individually 
investigated exporters and producers:
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    \4\ FEESA consists of the following sugar mills: Fideicomiso 
Ingenio El Modelo, Fideicomiso Ingenio San Cristobal, Fideicomiso 
Ingenio Plan De San Luis, Fideicomiso Ingenio San Miguelito, 
Fideicomiso Ingenio La Providencia, Fideicomiso Ingenio Atencingo, 
Fideicomiso Ingenio Casasano, Fideicomiso Ingenio El Potrero, and 
Fideicomiso Ingenio Emiliano Zapata. See id.
    \5\ GAM Group consists of the following sugar mills: Ingenio 
Tala S.A. de C.V.; Ingenio El Dorado S.A. de C.V.; and Ingenio 
Lazaro Cardenas S.A. de C.V. See Preliminary Decision Memorandum.

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                      Exporter/producer                         dumping
                                                                margin
                                                               (percent)
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FEESA.......................................................       39.54
Ingenio Tala S.A. de C.V. and certain affiliated sugar mills       47.26
 of Grupo Azucarero Mexico S.A. de C.V. (collectively, the
 GAM Group).................................................
All-Others..................................................       40.76
------------------------------------------------------------------------

    Consistent with sections 733(d)(1)(A)(ii) and 735(c)(5) of the Act, 
the Department also calculated an estimated all-others rate for all 
exporters or producers not individually investigated. 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. Therefore, because the weighted-average dumping margins for FEESA 
and the GAM Group are not zero, de minimis, or determined entirely 
under section 776 of the Act, the Department has estimated the ``all-
others'' rate in this preliminary determination by weight-averaging the 
weighted-average dumping margins calculated for FEESA and the GAM 
Group.

Verification

    As provided in section 782(i)(1) of the Act, the Department intends 
to verify the information submitted by FEESA and the GAM Group prior to 
making a final determination in this investigation.

Disclosure and Public Comment

    In accordance with 19 CFR 351.224(b), the Department intends to 
disclose the calculations performed in connection with this preliminary 
determination within five days of its public announcement. Interested 
parties may submit case and rebuttal briefs, as well as request a 
hearing.\6\ For a schedule of the deadlines for filing case briefs, 
rebuttal briefs, and hearing requests, see the Preliminary Decision 
Memorandum.
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    \6\ See 19 CFR 351.309(c)-(d), 19 CFR 351.310(c); see also 19 
CFR 351.303 (for general filing requirements).
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Suspension of Liquidation

    In accordance with section 733(d)(2)(A) of the Act, we are 
directing U.S. Customs and Border Protection (CBP) to suspend 
liquidation of all entries of subject merchandise that are entered, or 
withdrawn from warehouse, for consumption on or after the date of 
publication of this notice in the Federal Register.
    Pursuant to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d), 
we will instruct CBP to require a cash deposit \7\ equal to the 
weighted-average amount by which NV exceeds EP, as indicated in the 
chart above, as follows: (1) The rate for FEESA, when adjusted for 
export subsidies, is 39.36 percent; (2) the rate for the GAM Group, 
when adjusted for export subsidies, is 47.09 percent; (3) if the 
exporter is not a firm identified in this investigation, but the 
producer is, then the rate will be the rate established for the 
producer of the subject merchandise; (4) the rate for all

[[Page 65191]]

other producers or exporters, when adjusted for export subsidies, will 
be 40.58 percent. These suspension of liquidation instructions will 
remain in effect until further notice.
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    \7\ See Modification of Regulations Regarding the Practice of 
Accepting Bonds During the Provisional Measures Period in 
Antidumping and Countervailing Duty Investigations, 76 FR 61042 
(October 3, 2011).
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Postponement of Final Determination and Extension of Provisional 
Measures

    Pursuant to a request from FEESA and the GAM Group,\8\ we are 
postponing the final determination. Accordingly, we intend to make our 
final determination no later than 135 days after the date of 
publication of this preliminary determination in the Federal Register, 
pursuant to section 735(a)(2)(A) of the Act.\9\ Furthermore, FEESA and 
the GAM Group requested to extend the application of the provisional 
measures, as prescribed under section 733(d) of the Act and 19 CFR 
351.210(e)(2), from a four-month period to a six-month period.\10\ The 
suspension of liquidation described above will be extended 
accordingly.\11\
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    \8\ See Letter from FEESA and GAM Group, ``Sugar from Mexico--
Request for Postponement of Final Determination,'' October 16, 2014.
    \9\ See also 19 CFR 351.210(b)(2)(ii) and (e)(1)-(2).
    \10\ See Letter from FEESA and GAM Group, ``Sugar from Mexico--
Request for Postponement of Final Determination,'' October 16, 2014.
    \11\ See 19 CFR 351.210(b)(2)(ii) and (e)(2).
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U.S. International Trade Commission Notification

    In accordance with section 733(f) of the Act, we will notify the 
U.S. International Trade Commission (ITC) of our determination. For a 
discussion concerning the information that the Department will make 
available to the ITC and the statutory deadlines regarding a final 
determination to be issued by the ITC, see the Preliminary Decision 
Memorandum.
    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act.

    Dated: October 24, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The product covered by this investigation is sugar derived from 
sugar cane or sugar beets. Sucrose gives sugar its essential 
character. Sucrose is a nonreducing disaccharide composed of glucose 
and fructose linked via their anomeric carbons. The molecular 
formula for sucrose is C12H22011, 
the International Union of Pure and Applied Chemistry (IUPAC) 
International Chemical Identifier (InChI) for sucrose is 1S/
C12H22O11/c13-l-4-6(16)8(18)9(19)11(21-4)23-12(3-15)10(20)7(17)5(2-
14)22-12/h4-11,13-20H,1-3H2/t4-,5-,6-,7-,8+,9-,10+,11-,12+/m1/s1, 
the InChI Key for sucrose is CZMRCDWAGMRECN-UGDNZRGBSA-N, the U.S. 
National Institutes of Health PubChem Compound Identifier (CID) for 
sucrose is 5988, and the Chemical Abstracts Service (CAS) Number of 
sucrose is 57-50-1.
    Sugar within the scope of this investigation includes raw sugar 
(sugar with a sucrose content by weight in a dry state that 
corresponds to a polarimeter reading of less than 99.5 degrees) and 
estandar or standard sugar which is sometimes referred to as ``high 
polarity'' or ``semi-refined'' sugar (sugar with a sucrose content 
by weight in a dry state that corresponds to a polarimeter reading 
of 99.2 to 99.6 degrees). Sugar within the scope of this 
investigation includes refined sugar with a sucrose content by 
weight in a dry state that corresponds to a polarimeter reading of 
at least 99.9 degrees. Sugar within the scope of this investigation 
includes brown sugar, liquid sugar (sugar dissolved in water), 
organic raw sugar and organic refined sugar.
    Inedible molasses is not within the scope of this investigation. 
Specialty sugars, e.g., rock candy, fondant, sugar decorations, are 
not within the scope of this investigation. Processed food products 
that contain sugar, e.g., beverages, candy, cereals, are not within 
the scope of this investigation.
    Merchandise covered by this investigation is typically imported 
under the following headings of the Harmonized Tariff Schedule of 
the United States (HTSUS): 1701.12.1000, 1701.12.5000, 1701.13.1000, 
1701.13.5000, 1701.14.1000, 1701.14.5000, 1701.91.1000, 
1701.91.3000, 1701.99.1025, 1701.99.1050, 1701.99.5025, 
1701.99.5050, and 1702.90.4000. The tariff classification is 
provided for convenience and customs purposes; however, the written 
description of the scope of this investigation is dispositive.

Appendix II--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Postponement of Final Determination and Extension of Provisional 
Measures
V. Scope of the Investigation
VI. Scope Comments
VII. Respondent Selection
VIII. Affiliation and Collapsing
    A. Legal Standard
    B. FEESA
    C. The GAM Group
IX. Discussion of Methodology
    A. Fair Value Comparisons
    B. Product Comparisons
    C. Determination of Comparison Method
    D. Export Price
    E. Normal Value
    F. Date of Sale
    G. Currency Conversion
X. U.S. International Trade Commission Notification
XI. Disclosure and Public Comment
XII. Verification
XIII. Conclusion

[FR Doc. 2014-26077 Filed 10-31-14; 8:45 am]
BILLING CODE 3510-DS-P
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