Notice2023-14503

Agreement Suspending the Antidumping Duty Investigation on Sugar From Mexico: Final Results of the 2020-2021 Administrative Review

Primary source

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Published
July 10, 2023

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that the Agreement Suspending the Antidumping Duty Investigation on Sugar from Mexico, as amended (AD Agreement) met the statutory requirements during the period of review (POR) from December 1, 2020, through November 30, 2021. Commerce also determines that the respondents selected for individual examination, Ingenio Tala S.A. de C.V. and its affiliates (collectively, GAM Group) and Ingenio Tamazula S.A. de C.V. and its affiliates (Tamazula) (collectively, respondents) were in compliance with the terms of the AD Agreement during the POR. However, we determine that the respondents did not comply with the requirement to eliminate at least 85 percent of the dumping found in the investigation during the POR. Furthermore, we consider the respondents' noncompliant behavior to be serious and in need of remediation, and we will implement certain steps to address their noncompliance.

Full Text

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<title>Federal Register, Volume 88 Issue 130 (Monday, July 10, 2023)</title>
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[Federal Register Volume 88, Number 130 (Monday, July 10, 2023)]
[Notices]
[Pages 43546-43548]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-14503]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-845]


Agreement Suspending the Antidumping Duty Investigation on Sugar 
From Mexico: Final Results of the 2020-2021 Administrative Review

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that the 
Agreement Suspending the Antidumping Duty Investigation on Sugar from 
Mexico, as amended (AD Agreement) met the statutory requirements during 
the period of review (POR) from December 1, 2020, through November 30, 
2021. Commerce also determines that the respondents selected for 
individual examination, Ingenio Tala S.A. de C.V. and its

[[Page 43547]]

affiliates (collectively, GAM Group) and Ingenio Tamazula S.A. de C.V. 
and its affiliates (Tamazula) (collectively, respondents) were in 
compliance with the terms of the AD Agreement during the POR. However, 
we determine that the respondents did not comply with the requirement 
to eliminate at least 85 percent of the dumping found in the 
investigation during the POR. Furthermore, we consider the respondents' 
noncompliant behavior to be serious and in need of remediation, and we 
will implement certain steps to address their noncompliance.

DATES: Applicable July 10, 2023.

FOR FURTHER INFORMATION CONTACT: Sally C. Gannon or Jill Buckles, 
Enforcement and Compliance, International Trade Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230; telephone: (202) 482-0162 or (202) 482-6230, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On January 4, 2023, Commerce published the preliminary results of 
this administrative review.\1\ Subsequent to the Preliminary Results, 
Tamazula submitted its response to Commerce's third supplemental 
questionnaire on January 11, 2023.\2\ On January 18, 2023, the GAM 
Group submitted its third supplemental questionnaire response.\3\ On 
March 29, 2023, Commerce issued post-preliminary results.\4\ Commerce 
conducted verification from May 8 through 11, 2023.\5\
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    \1\ See Agreement Suspending the Antidumping Duty Investigation 
on Sugar from Mexico; Preliminary Results of the 2020-2021 
Administrative Review, 88 FR 339 (January 4, 2023) (Preliminary 
Results).
    \2\ See Tamazula's Letter, ``Third Supplemental Questionnaire 
Response,'' dated January 11, 2023.
    \3\ See GAM Group's Letter, ``Third Supplemental Questionnaire 
Response,'' dated January 18, 2023.
    \4\ See Memorandum, ``Decision Memorandum for the Post-
Preliminary Results of the 2020-2021 Administrative Review: Sugar 
from Mexico,'' dated March 29, 2023 (Post-Preliminary Results).
    \5\ See Memorandum, ``Verification of the Responses of Ingenio 
Tala S.A. de C.V. and its Affiliates in the Administrative Review of 
Sugar from Mexico,'' dated May 31, 2023; see also Memorandum, 
``Verification of the Responses of Ingenio Tamazula S.A. de C.V. and 
its Affiliates in the Administrative Review of Sugar from Mexico,'' 
dated May 31, 2023.
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    On June 13, 2023, respondents and C[aacute]mara Nacional de Las 
Industrias Azucarera y Alcoholera (C[aacute]mara) filed a case 
brief,\6\ and the American Sugar Coalition and its members 
(petitioners) \7\ filed a case brief.\8\ On June 20, 2023, petitioners 
filed a rebuttal brief,\9\ and respondents filed a letter in lieu of 
rebuttal brief.\10\
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    \6\ See Respondents' Letter, ``Case Brief,'' dated June 13, 
2023.
    \7\ The members of the American Sugar Coalition are as follows: 
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.
    \8\ See Petitioners' Letter, ``Case Brief on Behalf of the 
American Sugar Coalition,'' dated June 13, 2023.
    \9\ See Petitioners' Letter, ``Rebuttal Brief on Behalf of the 
American Sugar Coalition,'' dated June 20, 2023.
    \10\ See Respondents' Letter, ``Letter in Lieu of Rebuttal 
Brief,'' dated June 20, 2023.
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Scope of the AD Agreement

    The product covered by this AD Agreement is raw and refined sugar 
of all polarimeter readings derived from sugar cane or sugar beets. 
Merchandise covered by this AD 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.\11\ The tariff classification is provided for 
convenience and customs purposes; however, the written description of 
the scope of this AD Agreement is dispositive.
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    \11\ Prior to July 1, 2016, merchandise covered by the AD 
Agreement was classified in the HTSUS under subheading 1701.99.1010. 
Prior to January 1, 2020, merchandise covered by the AD Agreement 
was classified in the HTSUS under subheadings 1701.14.1000 and 
1701.99.5010.
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    A full description of the scope of the AD Agreement is contained in 
the Issues and Decision Memorandum.\12\
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    \12\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results of the 2020-2021 Administrative Review of the 
Agreement Suspending the Antidumping Duty Investigation on Sugar 
from Mexico, as Amended,'' dated concurrently with, and hereby 
adopted by, this notice (Issues and Decision Memorandum).
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Analysis

    Commerce continues to find, based on record evidence, that 
respondents, the GAM Group and Tamazula, were generally in compliance 
with the terms of the AD Agreement during the POR. However, we continue 
to find that respondents did not comply with the requirement to 
eliminate at least 85 percent of the dumping during the POR. We also 
determine that the AD Agreement met the statutory requirements under 
sections 734(c) and (d) of the Tariff Act of 1930, as amended (the 
Act), during the POR.
    We intend to address what we have found to be serious noncompliance 
by respondents with an ``action plan'' first outlined in the Post-
Preliminary Results, with the exception of verification of the 
respondents' questionnaire responses which has been completed. 
Commerce's next steps will include: formal consultations with the 
Signatories to the AD Agreement under Section VII.E.2 (Operations 
Consultations); additional monitoring of the respondents; and 
consideration of the selection of the respondents in a future 
administrative review. These measures are necessary to ensure 
compliance with the AD Agreement and that any potential administrative 
challenges to effective monitoring are diminished.
    The issues raised in the case and rebuttal briefs are addressed in 
the accompanying Issues and Decision Memorandum and business 
proprietary memoranda.\13\ The issues are identified in the appendix to 
this notice. The Issues and 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 Issues and 
Decision Memorandum can be accessed directly at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
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    \13\ Id.; see also Memorandum, ``Proprietary Analysis Memorandum 
for the Final Results: Ingenio Tala S.A. de C.V. and its 
affiliates,'' dated concurrently with, and hereby adopted by, this 
notice; and Memorandum, ``Proprietary Analysis Memorandum for the 
Final Results: Ingenio Tamazula S.A. de C.V. and its affiliates,'' 
dated concurrently with, and hereby adopted by, this notice.
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Administrative Protective Order

    This notice also serves as a reminder to parties subject to an 
administrative protective order (APO) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3). Timely 
written notification of the return or destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and terms of an APO is a sanctionable 
violation.

Notification to Interested Parties

    We are issuing and publishing these results of review in accordance 
with sections 751(a)(l) and 777(i)(l) of the Act and 19 CFR 351.213 and 
19 CFR 351.221(b)(5).


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    Dated: July 3, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Agreement
IV. Discussion of the Issues
    Comment 1: Whether Commerce Should Use Average-to-Average 
Methodology for Analysis of Elimination of 85 Percent of Dumping
    Comment 2: Whether Commerce Should Apply the Sales-Below-Cost 
Test
    Comment 3: Whether Commerce Should Use Market-Based Costs for 
Sugar Cane
    Comment 4: Whether Commerce Should Use Third-Country Sales as 
the Basis for Normal Value for the GAM Group
    Comment 5: Whether the GAM Group's Noncompliance Was 
Unintentional
    Comment 6: Whether Swap Transactions Present Monitoring and 
Record-Keeping Challenges
    Comment 7: Whether Commerce Incorrectly Applied the Knowledge 
Test to Certain of the GAM Group's U.S. Sales
V. Recommendation

[FR Doc. 2023-14503 Filed 7-7-23; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on July 10, 2023.

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