Mexico declared the initiation of the administrative procedure of examination of validity of the compensatory quota imposed on imports of rebar originating in Brazil, regardless of the country of origin.
Initially, on August 11, 1995, the Final Resolution of the anti-dumping investigation on imports of rebar from Brazil was published in the Official Gazette of the Federation (DOF).
Through this resolution, the Ministry of the Economy determined a definitive compensatory quota of 57.69 percent.
Since then, the Ministry of the Economy has carried out four validity examinations of the compensatory quota by means of which it was determined to extend the compensatory quota.
On August 28, 2019, the Notice on the validity of compensatory quotas was published in the DOF.
Through this means, national producers and any person with a legal interest were informed that the final compensatory quotas imposed on the products listed in said Notice would be eliminated from the expiration date indicated in the same for each one, except that a national producer expressed in writing its interest in initiating an examination procedure.
The list included the corrugated rod originating in Brazil, object of this examination.
In early July 2020, Ternium México, ArcelorMittal México, Deacero and Grupo Simec expressed their interest in the Ministry of Economy initiating the examination of the validity of the definitive compensatory quota imposed on imports of rebar originating in Brazil.
Ternium and Deacero proposed the examination period from July 2019 to June 2020, ArcelorMittal from June 1, 2019 to May 31, 2020 and Grupo Simec from January 1 to December 31, 2019.
Ternium, ArcelorMittal, Deacero and TA 2000 are companies incorporated under Mexican law. Its main activity consists, among others, in the manufacture of all kinds of iron and steel products, including the product under examination.
To accredit their quality as national producers of corrugated rod, they submitted letters from the National Chamber of the Iron and Steel Industry of July 3, 2020, which accredits them.