Heavy-Walled Rectangular Welded Carbon Steel Pipes and Tubes From Mexico: Initiation and Expedited Preliminary Results of Changed Circumstances Review

Issuing agencies

Abstract

The U.S. Department of Commerce (Commerce) is simultaneously initiating and issuing the preliminary results of a changed circumstances review (CCR) of the antidumping duty (AD) order on heavy- walled rectangular welded carbon steel pipes and tubes (HWR) from Mexico, consistent with section 751(b) of the Tariff Act of 1930, as amended (the Act), and 19 CFR 351.216 and 351.221(c)(3)(ii). Based on the information on the record, we preliminarily determine that Perfiles LM, S.A. de C.V. (PLM) is the successor-in-interest to Perfiles y Herrajes LM, S.A. de C.V. (PyH). Interested parties are invited to comment on these preliminary results.

Full Text

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<title>Federal Register, Volume 91 Issue 205 (Monday, October 26, 2026)</title>
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[Federal Register Volume 91, Number 205 (Monday, October 26, 2026)]
[Notices]
[Pages 67289-67290]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-21790]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-201-847]


Heavy-Walled Rectangular Welded Carbon Steel Pipes and Tubes From 
Mexico: Initiation and Expedited Preliminary Results of Changed 
Circumstances Review

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

SUMMARY: The U.S. Department of Commerce (Commerce) is simultaneously 
initiating and issuing the preliminary results of a changed 
circumstances review (CCR) of the antidumping duty (AD) order on heavy-
walled rectangular welded carbon steel pipes and tubes (HWR) from 
Mexico, consistent with section 751(b) of the Tariff Act of 1930, as 
amended (the Act), and 19 CFR 351.216 and 351.221(c)(3)(ii). Based on 
the information on the record, we preliminarily determine that Perfiles 
LM, S.A. de C.V. (PLM) is the successor-in-interest to Perfiles y 
Herrajes LM, S.A. de C.V. (PyH). Interested parties are invited to 
comment on these preliminary results.

DATES: Applicable October 26, 2026.

FOR FURTHER INFORMATION CONTACT: Paola Aleman Ordaz, AD/CVD Operations, 
Office II, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: 202-482-4031.

SUPPLEMENTARY INFORMATION:

Background

    On September 13, 2016, Commerce published in the Federal Register 
the AD order on HWR from Mexico.\1\ On August 19, 2026, PLM informed 
Commerce that, effective July 11, 2017, it had changed its name from 
``Perfiles y Herrajes LM, S.A. de C.V.'' (i.e., PyH) to ``Perfiles LM, 
S.A. de C.V.'' (i.e., PLM) and requested that Commerce conduct a CCR 
under 19 CFR 351.216(b) to determine that PLM is the successor in-
interest to PyH for purposes of determining PLM's AD cash deposits and 
liabilities.\2\
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    \1\ See Heavy Walled Rectangular Welded Carbon Steel Pipes and 
Tubes from the Republic of Korea, Mexico, and the Republic of 
Turkey: Antidumping Duty Orders, 81 FR 62865 (September 13, 2016) 
(Order).
    \2\ See PLM's Letter, ``Request for Changed Circumstances Review 
and Successor-in-Interest Clarification,'' dated August 19, 2026 
(CCR Request).
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    On September 3, 2026, Commerce declined to initiate the CCR that 
PLM requested, citing the need for additional information pertaining to 
any changes in management, production facilities, customers, and 
suppliers.\3\ Therefore, Commerce issued a supplemental questionnaire 
to PLM, to which we received a timely response on September 21, 
2026.\4\ We did not receive comments from other interested parties 
concerning this request.
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    \3\ See Commerce's Letter, ``Antidumping Duty Changed 
Circumstances Review Deficiency Questionnaire,'' dated September 3, 
2026.
    \4\ See PLM's Letter, ``Response to September 3 Questionnaire,'' 
dated September 21, 2026 (PLM's SQR).
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Scope of the Order

    The merchandise covered by the scope of the Order is HWR from 
Mexico. For a complete description of the scope of the Order, see the 
Preliminary Decision Memorandum.\5\
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    \5\ See Memorandum, ``Initiation and Expedited Preliminary 
Results of Changed Circumstances Review of the Antidumping Duty 
Order on Heavy Walled Rectangular Welded Carbon Steel Pipes and 
Tubes from Mexico,'' dated concurrently with, and hereby adopted by, 
this notice (Preliminary Decision Memorandum).
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Initiation of Changed Circumstances Review

    Pursuant to section 751(b)(1) of the Act, and 19 CFR 351.216, 
Commerce will conduct a CCR of an order upon receipt of information or 
a review request from an interested party for a review of an order 
which shows changed circumstances sufficient to warrant a review of the 
order.\6\ In the past, Commerce has used CCRs to address the 
applicability of cash deposit rates after there have been changes in 
the name or structure of a respondent, such as a merger or spinoff 
(``successor-in- interest,'' or ``successorship,'' determinations).\7\ 
The information submitted by PLM supporting its claim that it is the 
successor-in-interest to PyH demonstrates changed circumstances 
sufficient to warrant such a review.\8\
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    \6\ See 19 CFR 351.216(c).
    \7\ See, e.g., Diamond Sawblades and Parts Thereof from the 
People's Republic of China: Initiation and Preliminary Results of 
Antidumping Duty Changed Circumstances Review, 82 FR 51605, 51606 
(November 7, 2017), unchanged in Diamond Sawblades and Parts Thereof 
from the People's Republic of China: Final Results of Antidumping 
Duty Changed Circumstances Review, 82 FR 60177 (December 19, 2017) 
(Diamond Sawblades).
    \8\ See 19 CFR 351.216(d).
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    The information submitted by PLM substantiates that its request is 
based solely on a change in the name of the company from ``Perfiles y 
Herrajes LM, S.A. de C.V.'' to ``Perfiles LM, S.A. de C.V.'' effective 
on July 11, 2017.\9\ Moreover, the evidence submitted in support of 
PLM's request demonstrates that PLM is otherwise the same business 
entity as PyH. Therefore, in accordance with the regulation referenced 
above, Commerce is initiating a CCR to determine whether PLM is the 
successor-in-interest to PyH.
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    \9\ See PLM's SQR.
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Preliminary Results

    Commerce is permitted by 19 CFR 351.221(c)(3)(ii) to combine the 
notice of initiation of a CCR and the preliminary results if Commerce 
concludes that expedited action is warranted. In this instance, because 
the record contains information necessary to make a preliminary 
finding, we find that expedited action is warranted and we have 
combined the notice of initiation and the preliminary results.
    Accordingly, pursuant to section 751(b) of the Act, we have 
conducted a successor-in-interest analysis in response to PLM's 
request. In making a successor-in-interest determination in an AD CCR, 
Commerce examines several factors, including, but not limited to, 
changes in the following: (1) management and ownership; (2) production 
facilities; (3) supplier relationships; and (4) customer base.\10\ 
While no single factor or combination of factors will necessarily 
provide a dispositive indication of a successor-in-interest 
relationship, generally, Commerce will consider the new company to be 
the successor to the

[[Page 67290]]

previous company if the new company's resulting operation is not 
materially dissimilar to that of its predecessor.\11\ Thus, if the 
evidence demonstrates that, with respect to the production and sales of 
the subject merchandise, the new company operates as essentially the 
same business entity as the former company, Commerce will assign to the 
new company the cash deposit rate of its predecessor.\12\
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    \10\ See, e.g., Certain Frozen Warmwater Shrimp from India: 
Initiation and Preliminary Results of Antidumping Duty Changed 
Circumstances Review, 83 FR 37784, 37784 (August 2, 2018), unchanged 
in Certain Frozen Warmwater Shrimp from India: Notice of Final 
Results of Antidumping Duty Changed Circumstances Review, 83 FR 
49909 (October 3, 2018) (Shrimp from India).
    \11\ See, e.g., Shrimp from India.
    \12\ See, e.g., Notice of Initiation and Preliminary Results of 
Antidumping Duty Changed Circumstances Review: Certain Frozen 
Warmwater Shrimp from India, 77 FR 64953 (October 24, 2012), 
unchanged in Final Results of Antidumping Duty Changed Circumstances 
Review: Certain Frozen Warmwater Shrimp from India, 77 FR 73619 
(December 11, 2012); see also Notice of Initiation and Preliminary 
Results of Changed Circumstances Reviews: Certain Passenger Vehicle 
and Light Truck Tires from the People's Republic of China, 85 FR 
5193 (January 29, 2020), unchanged in Certain Passenger Vehicle and 
Light Truck Tires from the People's Republic of China: Final Results 
of Changed Circumstances Reviews, 85 FR 14638 (March 13, 2020).
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    In its CCR request, PLM provided evidence demonstrating that PLM's 
operations are not materially dissimilar from those of PyH. Based on 
the record, we preliminarily determine that PLM is the successor-in-
interest to PyH, as the change in the name was not accompanied by 
significant changes to its management and ownership, production, 
facilities, supplier relationships, or customer base. There is also no 
evidence of significant changes between PyH and the successor-in-
interest company PLM's operations, ownership, or corporate or legal 
structure during the relevant period that could have impacted the 
successor-in-interest company's subsidy levels.\13\ Thus, we 
preliminarily determine that PLM operates as essentially the same 
business entity as PyH, that PLM is the successor-in- interest to PyH, 
and that PLM should receive the same AD cash deposit rate with respect 
to subject merchandise as its predecessor, PyH.
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    \13\ See CCR Request; see also PLM's SQR.
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    For a complete discussion of the information that PLM provided, and 
the complete successor-in-interest analysis, see the Preliminary 
Decision Memorandum. A list of topics discussed in the Preliminary 
Decision Memorandum is included as an 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), 
which 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/frnotices">https://access.trade.gov/frnotices</a>.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance. Pursuant to 19 CFR 
351.309(c)(1)(ii), we have modified the deadline for interested parties 
to submit case briefs to Commerce to no later than seven days after the 
date of the publication of this notice.\14\ Rebuttal briefs, limited to 
issues raised in the case briefs, may be filed not later than seven 
days after the date for filing case briefs.\15\ Interested parties who 
submit case briefs or rebuttal briefs in this review must submit: (1) a 
table of contents listing each issue; and (2) a table of 
authorities.\16\ All briefs must be filed electronically using ACCESS. 
An electronically filed document must be received successfully in its 
entirety in ACCESS by 5:00 p.m. Eastern Time on the established 
deadline.
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    \14\ See 19 CFR 351.309.
    \15\ See 19 CFR 351.309(d); see also Administrative Protective 
Order, Service, and Other Procedures in Antidumping and 
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29, 
2023) (APO and Service Procedures).
    \16\ See 19 CFR 351.309(c)(2) and (d)(2).
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    As provided under 19 CFR 351.309(c)(2)(iii) and (d)(2)(iii), we 
request that interested parties provide at the beginning of their 
briefs a public, executive summary for each issue raised in their 
briefs.\17\ Further, we request that interested parties limit their 
executive summary of each issue to no more than 450 words, not 
including citations. We intend to use the executive summaries as the 
basis of the comment summaries included in the issues and decision 
memorandum that will accompany the final results in this CCR. We 
request that interested parties include footnotes for relevant 
citations in the executive summary of each issue. Note that Commerce 
has amended certain of its requirements pertaining to the service of 
documents in 19 CFR 351.303(f).\18\
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    \17\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \18\ See Administrative Protective Order, Service, and Other 
Procedures in Antidumping and Countervailing Duty Proceedings, 88 FR 
67069, 67077 (September 29, 2023).
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    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, filed electronically via 
ACCESS by 5:00 p.m. Eastern Time within seven days after the date of 
publication of this notice. Requests should contain: (1) the party's 
name, address, and telephone number; (2) the number of participants, 
and whether any participant is a foreign national; and (3) a list of 
issues to be discussed. Oral presentations at the hearing will be 
limited to issues raised in the briefs. If a request for a hearing is 
made, Commerce will inform parties of the scheduled date for the 
hearing.\19\ Parties should confirm the date and the time of the 
hearing two days before the scheduled date.
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    \19\ See 19 CFR 351.310(d).
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Final Results of Review

    Should our final results remain unchanged from these preliminary 
results, we intend to instruct U.S. Customs and Border Protection to 
assign entries of subject merchandise exported by PLM the AD cash 
deposit rate applicable to PyH. Consistent with 19 CFR 351.216(e), we 
intend to issue the final results of this CCR no later than 270 days 
after the date on which this review was initiated, or within 45 days if 
all parties agree with our preliminary finding.

Notification to Interested Parties

    This initiation and preliminary results notice is published in 
accordance with sections 751(b)(1) and 777(i)(1) of the Act, and 19 CFR 
351.216(b), 351.221(b) and 351.221(c)(3).

    Dated: October 20, 2026.
Scot Fullerton,
Acting Deputy Assistant Secretary for Antidumping and Countervailing 
Duty Operations.

Appendix

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Preliminary Successor-in-Interest Determination
V. Recommendation

[FR Doc. 2026-21790 Filed 10-23-26; 8:45 am]
BILLING CODE 3510-DS-P


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