Accident – Death – Obituary News : Commerce has made a preliminary determination that countervailable subsidies are being provided to certain producers and exporters of aluminum extrusions from Mexico. This decision comes after a period of investigation that spanned from January 1, 2022, to December 31, 2022. Interested parties are now invited to comment on this preliminary determination.
The U.S. Department of Commerce, specifically the Enforcement and Compliance division within the International Trade Administration, is responsible for overseeing this investigation. The official notice was published in the Federal Register on March 11, 2024.
Individuals seeking further information on this matter can contact Thomas Schauer or Christopher Williams at the AD/CVD Operations Office I of the Enforcement and Compliance division. They can be reached by phone at (202) 482-0410 or (202) 482-5166, respectively.
This preliminary determination aligns with section 703(b) of the Tariff Act of 1930, as amended. The investigation was initiated on October 31, 2023, and the notice of initiation was published in the Federal Register. A postponement was later issued on December 6, 2023, delaying the preliminary determination until March 4, 2024.
For a more detailed account of the events surrounding this investigation, interested parties are encouraged to refer to the Preliminary Decision Memorandum. This document provides a comprehensive overview of the topics discussed and can be found in Appendix II of the official notice.
As the investigation progresses, stakeholders are urged to stay informed and actively participate in the process by providing relevant feedback and insights. The final determination will have significant implications for the industry and trade relationships between the United States and Mexico. The U.S. Department of Commerce has released a Preliminary Decision Memorandum regarding the investigation on aluminum extrusions from Mexico. This document is a public record and can be accessed electronically through the Antidumping and Countervailing Duty Centralized Electronic Service System (ACCESS). Registered users can view the Memorandum at https://access.trade.gov.
In addition to the ACCESS platform, the complete version of the Preliminary Decision Memorandum is available directly at https://access.trade.gov/public/FRNoticesListLayout.aspx. This information is crucial for stakeholders and interested parties to stay informed about the ongoing investigation.
Scope of the Investigation:
The investigation covers aluminum extrusions from Mexico, and a detailed description of the scope can be found in Appendix I of the document. The Department of Commerce has set aside a period for parties to raise any issues regarding product coverage or scope. Various interested parties have already provided feedback on the scope outlined in the Initiation Notice.
Scope Comments:
Following the feedback received, Commerce has made preliminary findings to modify the scope of the investigation. Certain products have been identified as excluded from the investigation, including solar panels, off-grid solar modules, precision non-electrically conductive coated buss bars, and precision drawn aluminum tubing. These products are considered not to be subject merchandise in this investigation.
Commerce has decided to add these excluded products to the scope of the investigation based on the comments and analysis provided by the parties involved. The updated scope can be found in Appendix I of the Preliminary Decision Memorandum.
This decision marks an important step in the investigation process, and stakeholders are encouraged to review the document to understand the latest developments. The Department of Commerce remains committed to conducting a thorough and fair investigation into aluminum extrusions from Mexico to ensure compliance with trade regulations and protect the interests of domestic industries. Stay tuned for further updates as the investigation progresses. Commerce has recently released a Preliminary Scope Decision Memorandum regarding the scope of an ongoing investigation. In this memorandum, Commerce has made some key determinations that could potentially impact the scope of the investigation moving forward.
One of the key points in the memorandum is Commerce’s decision to remove certain language from the scope that had the potential to result in the future expansion of the order. By removing this language, Commerce is taking steps to ensure that the scope of the investigation remains clear and defined.
Additionally, Commerce has made some modifications to the scope language as it appeared in the Initiation Notice. These modifications are aimed at providing more clarity and specificity to the scope of the investigation.
Furthermore, petitioners in the investigation have proposed several substantive modifications to the scope, including defining the term “part or subassemblies” and adding a three-part test to determine whether certain products are excluded from the scope. These proposed modifications are currently under consideration by Commerce and could potentially impact the scope of the investigation.
Overall, the Preliminary Scope Decision Memorandum provides important insights into the scope of the ongoing investigation and the potential changes that could be made moving forward. Stakeholders in the investigation should carefully review the memorandum and stay informed about any updates or modifications to the scope. For further details and discussion, stakeholders are encouraged to refer to the Preliminary Scope Decision Memorandum and the scope language provided in the Appendix. In the world of international trade, the classification of products for import purposes is a crucial and complex task. Recently, there have been proposed modifications to the definition of covered subassemblies and assembled merchandise that are subject to certain trade regulations. These changes aim to provide clarity and specificity in determining which products fall under the scope of these regulations.
One key aspect of the proposed modifications is the requirement that a covered subassembly can only be excluded if it is fully and permanently assembled with at least one other different subassembly. This means that individual subassemblies cannot be excluded unless they meet specific criteria related to weight and composition. The goal of this change is to prevent the circumvention of trade regulations by importing disassembled parts that could potentially be assembled later to avoid duties or tariffs.
Additionally, the definition of “assembled merchandise” is being modified to include the term “fully and permanently assembled” to further clarify the requirements for exclusion from the scope of the regulations. This change aims to ensure that only products that are complete and ready for use upon importation are excluded, while preventing the importation of partially assembled goods that could be finished or altered post-import.
These proposed modifications are currently being evaluated by relevant authorities, and interested parties will have the opportunity to provide comments and feedback on these changes. The goal is to ensure that the regulations are clear, enforceable, and effective in protecting against unfair trade practices.
In conclusion, the proposed modifications to the definitions of covered subassemblies and assembled merchandise in trade regulations aim to provide greater clarity and specificity in determining the scope of products subject to these regulations. By establishing clear criteria for exclusion and emphasizing the importance of fully assembled goods, these changes seek to strengthen the enforcement of trade rules and prevent potential loopholes in import practices. Interested parties will have the opportunity to provide feedback on these proposed modifications, and final decisions will be made based on a thorough evaluation of all comments and input. Commerce is taking steps to align the final countervailing duty (CVD) determination in the investigation of aluminum extrusions from Mexico with the final determination in the concurrent less-than-fair value (LTFV) investigation. This alignment was requested by the petitioners and is in accordance with section 705(a)(1) of the Act and 19 CFR 351.210(b)(4).
The final CVD determination will be issued on the same date as the final LTFV determination, which is currently scheduled to be released no later than July 15, 2024, unless postponed. This alignment ensures consistency and efficiency in the decision-making process for both investigations.
Additionally, in accordance with sections 703(d) and 705(c)(5)(A) of the Act, Commerce is required to determine an estimated all-others rate for companies not individually examined in the preliminary determination. This rate is calculated as the weighted average of the estimated subsidy rates established for companies that were individually examined, excluding any rates that are zero, de minimis, or based entirely under section 776 of the Act.
In this specific investigation, Commerce has preliminarily calculated individual estimated countervailable subsidy rates for Aluminio de Baja California S.A. de C.V. (ABC) and Aluminio Texcoco S.A. de C.V. (ALUTEX). The individually calculated rate for ABC is above de minimis.
For a full description of the methodology underlying the preliminary determination and to review the Preliminary Decision Memorandum, interested parties are encouraged to refer to the relevant documentation. This transparent and systematic approach aims to provide clarity and ensure a fair and thorough evaluation of the case at hand.
Commerce has issued a preliminary determination on the countervailing subsidy rates for aluminum extrusions from Mexico. The rates have been calculated based on the information provided by the companies involved in the investigation.
Rate Calculation for ALUTEX
Because the individually calculated rate for ALUTEX is de minimis and the other rates assigned are based entirely under section 776 of the Act, the estimated weighted-average rate calculated for ABC is the rate assigned to all other producers and exporters, pursuant to section 705(c)(5)(A)(i) of the Act.
Rate for Non-Responsive Companies
Three potential producers and/or exporters of aluminum extrusions from Mexico received but did not respond to Commerce’s quantity and value (Q&V) questionnaire. We find that, by not responding to the Q&V questionnaire, these companies withheld requested information and significantly impeded this proceeding. Thus, in reaching our preliminary determination, pursuant to sections 776(a)(2)(A) and (C) of the Act, we are basing the CVD rate for these three companies on facts otherwise available.
Preliminary Determination
Commerce preliminarily determines that the following estimated countervailable subsidy rates exist:
| Company | Subsidy Rate (percent ad valorem) |
|---|---|
| Aluminio de Baja California S.A. de C.V. | 1.68 |
| Aluminio Texcoco S.A. de C.V. | 0.19 |
| Merit Aluminum Corporation | 77.82 |
| Merit Stamping | 77.82 |
| Tubos y Perfiles de Aluminio | 77.82 |
| All Others | 1.68 |
Disclosure
Commerce intends to disclose its calculations and analysis performed to interested parties in this preliminary determination within five days of its public announcement, or if there is no public announcement, within five days after the date of publication of this notice.
Suspension of Liquidation
In accordance with section 703(d)(1)(B) and (d)(2) of the Act, Commerce will direct U.S. Customs and Border Protection (CBP) to suspend liquidation of entries of subject merchandise as described in the scope of the investigation entered, or withdrawn from warehouse, for consumption on or after the date of publication of this notice in the Federal Register. Further, pursuant to 19 CFR 351.205(d), Commerce will instruct CBP to require a cash deposit equal to the rates indicated above.
S Department of Commerce, within 30 days after the date of publication of this notice in the Federal Register. Requests should contain the party’s name, address, and telephone number, the number of participants, and a list of the issues to be discussed. At the hearing, each party may make an affirmative presentation of its position.
Commerce is directing U.S. Customs and Border Protection (CBP) not to suspend liquidation of entries of merchandise from ALUTEX due to the de minimis subsidy rate. This decision comes after a preliminary determination that the subsidy rate for ALUTEX falls below the de minimis threshold, meaning that the level of subsidization is minimal and does not warrant suspension of liquidation.
As part of the verification process, Commerce intends to verify the information relied upon in making its final determination. This verification is in accordance with section 782(i)(1) of the Act, ensuring that all relevant information is accurate and reliable.
All interested parties will have the opportunity to submit scope case and rebuttal briefs related to the preliminary scope decisions made in this investigation. Deadlines for submitting these briefs will be provided at a later time. It is important to note that no new factual information or business proprietary information may be included in these briefs.
For non-scope issues, interested parties may submit case briefs or other written comments to the Assistant Secretary for Enforcement and Compliance within seven days after the last verification report is issued. Rebuttal briefs, limited to issues raised in case briefs, may be submitted within five days after the deadline for case briefs.
Interested parties are encouraged to provide an executive summary of their briefs, limited to five pages total, including footnotes. Executive summaries for each issue raised should not exceed 450 words, excluding citations. These summaries will be used as the basis for comment summaries in the issues and decision memorandum accompanying the final determination.
Parties wishing to request a hearing on the issues raised in the case and rebuttal briefs must do so within 30 days of the publication of this notice. Requests should include the party’s information and a list of the issues to be discussed.
Commerce has amended certain requirements regarding the service of documents, as outlined in 19 CFR 351.303(f). Interested parties are advised to review these amendments before submitting any documentation.
Overall, Commerce’s decision regarding the de minimis subsidy rate for ALUTEX will have implications for the ongoing investigation and the final determination. Interested parties should stay informed of the upcoming deadlines and requirements for submitting briefs and requesting a hearing..