Mexico Tomatoes: AD Investigation Resumes, Cash Deposit Requirements Take Effect

Suspension of liquidation and antidumping duty cash deposit requirements take effect as of May 7 for imports of fresh tomatoes from Mexico (A-201-820), the Commerce Department said in a notice announcing its termination of the agreement suspending the antidumping duty investigation. That investigation will now resume at the preliminary determination stage, which is where Commerce left off when it first suspended the investigation in 1996.

Commerce had announced its intent to end the suspension agreement in February (see 1905070057). Negotiations will continue during the final stage of this investigation in the hopes of reaching a new suspension agreement, Commerce said in a press release announcing the agreement’s termination.

New Period of Investigation and Respondent Selection

Because the record of the existing investigation dates back to the 1990s, Commerce will base its investigation on information it requests on the period April 1, 2018, through March 31, 2019. Commerce will also reconsider its respondent selection. The agency intends to select respondents to the investigation based on CBP import data, it said.

Scope of the Investigation

The merchandise subject to the investigation is all fresh or chilled tomatoes (fresh tomatoes) which have Mexico as their origin, except for those tomatoes which are for processing. For purposes of this suspended investigation, processing is defined to include preserving by any commercial process, such as canning, dehydrating, drying, or the addition of chemical substances, or converting the tomato product into juices, sauces or purees. Fresh tomatoes that are imported for cutting up, not further processing (e.g., tomatoes used in the preparation of fresh salsa or salad bars), are covered by the investigation.

Commercially grown tomatoes, both for the fresh market and for processing, are classified as Lycopersicon esculentum. Important commercial varieties of fresh tomatoes include common round, cherry, grape, plum, greenhouse, and pear tomatoes, all of which are covered by this investigation.

Tomatoes imported from Mexico covered by this investigation are classified under the following subheading of the Harmonized Tariff Schedule of the United States (HTSUS), according to the season of importation: 0702. Although the HTSUS numbers are provided for convenience and customs purposes, the written description of the scope of this investigation is dispositive.

AD Suspension of Liquidation and Cash Deposit Requirements

Effective for entries on or after May 7, 2019, Commerce will suspend liquidation for AD duty purposes, and require AD duty cash deposits, at the following AD rates:

(The period of investigation is 04/01/18 - 03/31/19. See Commerce's notice for more information, including the scope, suspension of liquidation, detailed cash deposit instructions, etc.)

AD/CVD Operations contact -- Sally Gannon (202) 482-0162

(Federal Register 05/13/19)