Notice2022-28550

Agreement Suspending the Countervailing Duty Investigation on Sugar From Mexico; Preliminary Results of the 2021 Administrative Review

Primary source

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Published
January 4, 2023

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) preliminarily determines that the signatory, the Government of Mexico (GOM), and the respondent companies selected for individual examination, respectively, Ingenio Tala S.A. de C.V. and Ingenio Tamazula S.A. de C.V., were in compliance with the Agreement Suspending the Countervailing Duty Investigation on Sugar from Mexico, as amended (CVD Agreement) during the period of review (POR). Commerce also preliminarily determines that the CVD Agreement met the applicable statutory requirements during the POR.

Full Text

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<title>Federal Register, Volume 88 Issue 2 (Wednesday, January 4, 2023)</title>
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[Federal Register Volume 88, Number 2 (Wednesday, January 4, 2023)]
[Notices]
[Pages 341-342]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-28550]



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DEPARTMENT OF COMMERCE

International Trade Administration

[C-201-846]


Agreement Suspending the Countervailing Duty Investigation on 
Sugar From Mexico; Preliminary Results of the 2021 Administrative 
Review

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


SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that the signatory, the Government of Mexico (GOM), and the 
respondent companies selected for individual examination, respectively, 
Ingenio Tala S.A. de C.V. and Ingenio Tamazula S.A. de C.V., were in 
compliance with the Agreement Suspending the Countervailing Duty 
Investigation on Sugar from Mexico, as amended (CVD Agreement) during 
the period of review (POR). Commerce also preliminarily determines that 
the CVD Agreement met the applicable statutory requirements during the 
POR.

DATES: Applicable January 4, 2023.

FOR FURTHER INFORMATION CONTACT: Sally C. Gannon or David Cordell, 
Enforcement & Compliance, International Trade Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230, telephone: (202) 482-0162 or (202) 482-0408, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    Commerce and the GOM signed the CVD Agreement under section 704(c) 
of the Act, which suspended the underlying countervailing duty 
investigation on sugar from Mexico, on December 19, 2014, and which was 
subsequently amended on January 15, 2020.\1\
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    \1\ See Agreement Suspending the Countervailing Duty 
Investigation of Sugar from Mexico, 79 FR 78044 (December 29, 2014); 
see also Sugar from Mexico: Amendment to the Agreement Suspending 
the Countervailing Duty Investigation, 85 FR 3613 (January 22, 2020) 
(collectively, CVD Agreement).
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    On December 23, 2021, the American Sugar Coalition and its members 
(the petitioners) \2\ filed a timely request for an administrative 
review of the CVD Agreement.\3\ On February 4, 2022, Commerce initiated 
an administrative review for the period January 1, 2021, through 
December 31, 2021.\4\
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    \2\ The members of the American Sugar Coalition are: American 
Sugar Cane League; American Sugarbeet Growers Association; American 
Sugar Refining, Inc.; Florida Sugar Cane League; Rio Grande Valley 
Sugar Growers, Inc.; Sugar Cane Growers Cooperative of Florida; and 
the United States Beet Sugar Association.
    \3\ See Petitioners' Letter, ``Request for Administrative 
Review,'' dated December 23, 2021.
    \4\ See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 87 FR 6487 (February 4, 2022).
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    On March 15, 2022, Commerce selected two companies as mandatory 
respondents, listed in alphabetic order: Ingenio Tala S.A. de C.V. and 
Ingenio Tamazula S.A. de C.V.\5\ In addition, the review covered the 
GOM, which is the signatory to the CVD Agreement.
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    \5\ See Memorandum, ``Respondent Selection,'' dated March 15, 
2022.
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Scope of the CVD Agreement

    The product covered by this CVD Agreement is raw and refined sugar 
of all polarimeter readings derived from sugar cane or sugar beets. 
Merchandise covered by this CVD Agreement is typically imported under 
the following headings of the HTSUS: 1701.12.1000, 1701.12.5000, 
1701.13.1000, 1701.13.5000, 1701.14.1020, 1701.14.1040, 1701.14.5000, 
1701.91.1000, 1701.91.3000, 1701.99.1015, 1701.99.1017, 1701.99.1025, 
1701.99.1050, 1701.99.5015, 1701.99.5017, 1701.99.5025, 1701.99.5050, 
and 1702.90.4000.\6\ The tariff classification is provided for 
convenience and customs purposes; however, the written description of 
the scope of this CVD Agreement is dispositive.\7\
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    \6\ Prior to July 1, 2016, merchandise covered by the AD 
Agreement was also classified in the HTSUS under subheading 
1701.99.1010. Prior to January 1, 2020, merchandise covered by the 
AD Agreement was also classified in the HTSUS under subheadings 
1701.14.1000 and 1701.99.5010.
    \7\ For a complete description of the Scope of the CVD 
Agreement, see Memorandum, ``Decision Memorandum for the Preliminary 
Results of the 2020 Administrative Review: Sugar from Mexico,'' 
dated concurrently with, and hereby adopted by, this notice 
(Preliminary Decision Memorandum).
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Methodology and Preliminary Results

    Commerce has conducted this review in accordance with section 
751(a)(1)(C) of the Act, which specifies that Commerce shall ``review 
the current status of, and compliance with, any agreement by reason of 
which an investigation was suspended.'' Pursuant to the CVD Agreement, 
the GOM agrees that subject merchandise is subject to export limits.\8\ 
The GOM also agrees to other conditions including limits on exports of 
Refined Sugar \9\ and restrictions on shipping patterns for 
exports.\10\ The CVD Agreement also requires the GOM to issue contract-
specific export licenses,\11\ submit compliance monitoring reports to 
Commerce,\12\ and institute penalties for non-compliance with certain 
key terms of the CVD Agreement and the companion Agreement Suspending 
the Antidumping Duty Investigation on Sugar from Mexico, as amended (AD 
Agreement).\13\
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    \8\ See CVD Agreement at Section V.
    \9\ ``Refined Sugar'' is defined in Section II.L of the CVD 
Agreement.
    \10\ Id. at Section V.C.
    \11\ Id. at Section VI and Appendix I.
    \12\ Id. at Section VIII.B.1 and Appendix II.
    \13\ Id. at Section VIII.B.4; see also See Sugar from Mexico: 
Suspension of Antidumping Investigation, 79 FR 78039 (December 29, 
2014); and Sugar from Mexico: Amendment to the Agreement Suspending 
the Antidumping Duty Investigation, 85 FR 3620 (January 22, 2020).
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    After reviewing the information received to date from the GOM and 
respondent companies in their questionnaire and supplemental 
questionnaire responses, we preliminarily determine that the GOM and 
respondent companies have adhered to the terms of the CVD Agreement and 
that the CVD Agreement is functioning as intended. Further, we 
preliminarily determine that the CVD Agreement continues to meet the 
statutory requirements under sections 704(c) and (d) of the Act.
    For a full description of the methodology underlying our 
conclusions, see the Preliminary Decision Memorandum. A list of the 
topics discussed in the Preliminary Decision Memorandum is included as 
the appendix to this notice. The Preliminary Decision Memorandum is a 
public document and is on file electronically via Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (ACCESS). ACCESS is available to registered users at 
<a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete version of the 
Preliminary Decision Memorandum can be accessed directly at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.

Verification

    As provided in section 782(i) of the Act, Commerce may verify the 
information relied upon in making its final results. Normally, Commerce 
verifies information using standard procedures, including an on-site 
examination of original accounting, financial, and sales documentation. 
While we consider the possibility of conducting an on-site verification 
for some of the information submitted by the respondents, we may also 
need to verify the information relied upon in making the final results 
through alternative means in lieu of an on-site verification. Commerce 
intends to notify parties of its verification procedures, as 
applicable.

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Public Comment

    Case briefs may be submitted no later than seven days after the 
date on which the last final verification report is issued in this 
review. Rebuttal briefs, limited to issues raised in case briefs, may 
be submitted no later than seven days after the deadline date for case 
briefs.\14\ Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who 
submit case briefs or rebuttal briefs in this investigation are 
encouraged to submit with each argument: (1) a statement of the issue; 
(2) a brief summary of the argument; and (3) a table of 
authorities.\15\ All briefs must be filed electronically using ACCESS. 
An electronically filed document must be received successfully in its 
entirety by the established deadline. Note that Commerce has 
temporarily modified certain of its requirements for serving documents 
containing business proprietary information, until further notice.\16\
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    \14\ See 19 CFR 351.309(d)(1); see also Temporary Rule Modifying 
AD/CVD Service Requirements Due to COVID-19; Extension of Effective 
Period, 85 FR 41363 (July 10, 2020) (Temporary Rule).
    \15\ See 19 CFR 351.309(c)(2) and (d)(2).
    \16\ See Temporary Rule.
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing, limited to issues raised in the case and rebuttal 
briefs, must submit a written request to the Assistant Secretary for 
Enforcement and Compliance, U.S. Department of Commerce within 30 days 
after the date of publication of this notice.\17\ Requests should 
contain the party's name, address, and telephone number, the number of 
participants, whether any participant is a foreign national, and a list 
of the issues to be discussed. Issues raised in the hearing will be 
limited to those raised in the respective case and rebuttal briefs. If 
a request for a hearing is made, Commerce intends to hold the hearing 
at a time and date to be determined. Parties should confirm by 
telephone the date, time, and location of the hearing two days before 
the scheduled date.
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    \17\ See 19 CFR 351.310(c).
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    Commerce intends to issue the final results of this administrative 
review, including the results of its analysis of the issues raised in 
any written briefs, not later than 120 days after the date of 
publication of this notice, pursuant to section 751(a)(3)(A) of the 
Act, unless extended.

Notification to Interested Parties

    We are issuing and publishing these results in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: December 27, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Agreement
IV. Preliminary Results of Review
V. Recommendation

[FR Doc. 2022-28550 Filed 1-3-23; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on January 4, 2023.

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