MESSAGE NO: 5104113 DATE: 04 14 1995
CATEGORY: ADA TYPE: FIN
REFERENCE: REFERENCE DATE:
CASES: A - 462 - 105 - -
- - - -
- - - -

PERIOD COVERED: 03 30 1995 TO

LIQ SUSPENSION DATE:

TO: REGIONAL DIRECTORS, COMMERCIAL OPERATIONS
DISTRICT DIRECTORS, AREA AND PORT DIRECTORS

FROM: DIRECTOR, TRADE COMPLIANCE DIVISION

RE: FINAL DETERMINATION OF SALES AT LESS THAN FAIR VALUE FOR
PURE MAGNESIUM FM RUSSIA (A-462-105)


1. THE DEPARTMENT OF COMMERCE PUBLISHED IN THE FEDERAL REGISTER
ON MARCH 30, 1995, NOTICE OF ITS FINAL DETERMINATION OF SALES AT
LESS THAN FAIR VALUE IN THE ANTIDUMPING DUTY INVESTIGATION OF
PURE MAGNESIUM FROM THE RUSSIAN FEDERATION.

2. THE SCOPE OF THIS INVESTIGATION HAS BEEN MODIFIED SINCE THE
PRELIMINARY DETERMINATION IN ORDER TO CLAIRIFY THE DISTINCTIONS
BETWEEN PURE MAGNESIUM AND ALLOY MAGNESIUM. THE AMENDED SCOPE IS
AS FOLLOWS:

THE PRODUCT COVERED BY THIS INVESTIGATION IS PURE PRIMARY
MAGNESIUM REGARDLESS OF CHEMISTRY, FORM OR SIZE, UNLESS EXPRESSLY
EXCLUDED FROM THE SCOPE OF THIS INVESTIGATION. PRIMARY MAGNESIUM
IS A METAL OR ALLOY CONTAINING BY WEIGHT PRIMARILY THE ELEMENT
MAGNESIUM AND PRODUCED BY DECOMPOSING RAW MATERIALS INTO
MAGNESIUM METAL. PURE PRIMARY MAGNESIUM IS USED PRIMARILY AS A
CHEMICAL IN THE ALUMINUM ALLOYING, DESULFURIZATION, AND CHEMICAL
REDUCTION INDUSTRIES. IN ADDITION, PURE PRIMARY MAGNESIUM IS
USED AS AN INPUT IN PRODUCING MAGNESIUM ALLOY.

PURE PRIMARY MAGNESIUM ENCOMPASSES: 1) PRODUCTS THAT CONTAIN
AT LEAST 99.95% PRIMARY MAGNESIUM, BY WEIGHT (GENERALLY REFERRED
TO AS "ULTRA-PURE" MAGNESIUM); 2) PRODUCTS CONTAINING LESS THAN
99.95% BUT NOT LESS THAN 99.8% PRIMARY MAGNESIUM, BY WEIGHT
(GENERALLY REFERRED TO AS "PURE" MAGNESIUM); AND 3) PRODUCTS
(GENERALLY REFERRED TO AS "OFF-SPECIFICATION PURE" MAGNESIUM)
THAT CONTAIN 50% OR GREATER, BUT LESS THAN 99.8% PRIMARY
MAGNESIUM, BY WEIGHT, AND THAT DO NOT CONFORM TO ASTM
SPECIFICATIONS FOR ALLOY MAGNESIUM.




"OFF-SPECIFICATION PURE" MAGNESIUM IS PURE PRIMARY MAGNESIUM
CONTAINING MAGNESIUM SCRAP, SECONDARY MAGNESIUM, OXIDIZED
MAGNESIUM, OR IMPURITIES (WHETHER OR NOT INTENTIONALLY ADDED)
THAT CAUSE THE PRIMARY MAGNESIUM CONTENT TO FALL BELOW 99.8%, BY
WEIGHT. IT GENERALLY DOES NOT CONTAIN, INDIVIDUALLY OR IN
COMBINATION, 1.5% OR MORE, BY WEIGHT, OF THE FOLLOWING ALLOYING
ELEMENTS: ALUMINUM, MANGANESE, ZINC, SILICON, THORIUM, ZIRCONIUM,
AND RARE EARTHS.

EXCLUDED FROM THE SCOPE OF THIS INVESTIGATION ARE ALLOY
PRIMARY MAGNESIUM, PRIMARY MAGNESIUM ANODES, GRANULAR PRIMARY
MAGNESIUM (INCLUDING TURNINGS AND POWDER), AND SECONDARY
MAGNESIUM.

GRANULAR MAGNESIUM, TURNINGS, AND POWDER ARE CLASSIFIABLE
UNDER THE HTSUS SUBHEADING 8104.30.00. MAGNESIUM GRANULES AND
TURNINGS (ALSO REFERRED TO AS CHIPS) ARE PRODUCED BY GRINDING
AND/OR CRUSHING PRIMARY MAGNESIUM AND THUS HAVE THE SAME
CHEMISTRY AS PRIMARY MAGNESIUM. ALTHOUGH NOT SUSCEPTIBLE TO
PRECISE MEASUREMENT BECAUSE OF THEIR IRREGULAR SHAPES, TURNINGS
OR CHIPS ARE TYPICALLY PRODUCED IN COARSE SHAPES AND HAVE A
MAXIMUM LENGTH OF LESS THAN 1 INCH. ALTHOUGH SOMETIMES PRODUCED
IN LARGER SIZES, GRANULES ARE MORE REGULARLY SHAPED THAN TURNINGS
OR CHIPS, AND HAVE A TYPICAL SIZE OF 2MM IN DIAMETER OR SMALLER.

POWDERS ARE ALSO PRODUCED FROM GRINDING AND/OR CRUSHING
PRIMARY MAGNESIUM AND HAVE THE SAME CHEMISTRY AS PRIMARY
MAGNESIUM, BUT ARE EVEN SMALLER THAN GRANULES OR TURNINGS.
POWDERS ARE DEFINED BY THE SECTION NOTES TO SECTION XV, THE
SECTION OF THE HTSUS IN WHICH SUBHEADING 8104.30.00 APPEARS, AS
PRODUCTS OF WHICH 90% OR MORE, BY WEIGHT, WILL PASS THROUGH A
SIEVE HAVING A MESH APERTURE OF 1MM. (SEE HTSUS, SECTION XV,
BASE METALS AND ARTICLES OF BASE METALS, NOTE 6(B).) ACCORDINGLY,
THE EXCLUSION OF MAGNESIUM TURNINGS, GRANULES AND POWDER FROM THE
SCOPE INCLUDES PRODUCTS HAVING A MAXIUMUM PHYSICAL DIMENSION
(I.E., LENGTH OR DIAMETER) OF ONE INCH OR LESS.

THE PRODUCTS SUBJECT TO THIS INVESTIGATION ARE CURRENTLY
CLASSIFIABLE UNDER SUBHEADINGS 8104.11.00, 8104.19.00, AND
8104.20.00 OF THE HTSUS. ALTHOUGH THE HTSUS SUBHEADINGS ARE
PROVIDED FOR CONVENIENCE AND CUSTOMS PURPOSES, THE WRITTEN
DESCRIPTION OF THE SCOPE IS DISPOSITIVE.

3. FOR FURTHER REPORTING PURPOSES, THIS CASE HAS BEEN ASSIGNED
THE FOLLOWING DOCCASE NUMBER: (A-821-805). FOR CUSTOMS PURPOSES
ONLY, THIS CASE HAS BEEN ASSIGNED ID NUMBER: (A-462-105).




4. THE DEPARTMENT OF COMMERCE INVESTIGATED TWO PRODUCERS OF PURE
MAGNESIUM, AVISMA AND SOLIKAMSK MAGNESIUM WORKS (SMW).

IF THE FOLLOWING EXPORTERS OF RUSSIAN PURE MAGNESIUM - AIOC,
GERALD METALS, GREENWICH METALS, HOCHSCHILD PARTNERS, AND MG
METALS - PURCHASED FROM RUSSIAN PRODUCERS OTHER THAN SMW OR
AVISMA, THE EXPORTER RECEIVES THE "RUSSIA WIDE" (A-462-105-000)
DEPOSIT RATE OF 100.25%. EXCEPT FOR THE FOLLOWING:

IF THE FOLLOWING EXPORTERS OF RUSSIAN PURE MAGNESIUM - AIOC,
GERALD METALS, GREENWICH METALS, HOCHSCHILD PARTENERS, AND MG
METALS - PURCHASED THEIR PURE MAGNESIUM FROM AVISMA OR SMW, THE
EXPORTER RECEIVES A DEPOSIT RATE OF 0%.

IF INTERLIKK SELLS PURE MAGNESIUM PURCHASED FROM AVISMA,
INTERLINK (A-462-105-005) RECEIVES A DEPOSIT RATE OF 0%. IF
INTERLINK SELLS THE SUBJECT MERCHANDISE PURCHASED FROM SMW OR ANY
OTHER RUSSIAN PRODUCER NOT NOTED ABOVE, INTERLINK RECEIVES THE
"RUSSIA WIDE" (A-462-105-000) DEPOSIT RATE OF 100.25%.

IF RAZNO SELLS PURE MAGNESIUM PURCHASED FROM SMW, RAZNO
(A-462-105-007) RECEIVES A DEPOSIT RATE OF 0%. IF RAZNO SELLS
THE SUBJECT MERCHANDISE PURCHASED FROM AVISMA OR ANY OTHER
RUSSIAN PRODUCER NOT NOTED ABOVE, RAZNO RECEIVES THE "RUSSIA
WIDE" (A-462-105-000) DEPOSIT RATE OF 100.25%.

IF HUNTER DOUGLAS METALS SELLS PURE MAGNESIUM PURCHASED FROM
SMW, HUNTER DOUGLAS (A-462-105-004) RECEIVES A DEPOSIT RATE OF
0%. IF HUNTER DOUGLAS SELLS THE SUBJECT MERCHANDISE PURCHASED
FROM AVISMA OR ANY OTHER RUSSIAN PRODUCER NOT NOTED ABOVE, HUNTER
DOUGLAS RECEIVES THE "RUSSIA WIDE" (A-462-105-000) RATE OF
100.25%.

IF SMW SELLS PURE MAGNESIUM PRODUCED BY SMW (NOTE: SMW IS
BOTH AN EXPORTER AND PRODUCER), SMW (A-462-105-015) RECEIVES A
DEPOSIT RATE OF 0%. IF SMW SELLS THE SUBJECT MERCHANDISE
PRODUCED BY AVISMA OR ANY OTHER RUSSIAN PRODUCER NOT NOTED ABOVE,
SMW RECEIVES THE "RUSSIA WIDE" (A-462-105-000) DEPOSIT RATE OF
100.25%.

THE FOLLOWING EXPORTERS OF RUSSIAN PURE MAGNESIUM - F & S
ALLOYS & MINERALS, W & O BERGMANN GMBH, DEREK RAPHAEL & CO,
MARCOTRADING CO., WOGAN GROUP LTD., ALEX, AND MAGES - REGARDLESS
OF THE PRODUCER, RECEIVE A DEPOSIT RATE OF 100.25%.




THE U.S. CUSTOMS SERVICE SHALL CONTINUE TO SUSPEND LIQUIDATION OF
ALL ENTRY SUMMARIES OF PURE MAGNESIUM FROM THE RUSSIAN FEDERATION
THAT ARE ENTERED OR WITHDRAWN FROM WAREHOUSE FOR CONSUMPTION ON
OR AFTER NOVEMBER 07, 1994. EFFECTIVE MARCH 30, 1995, CUSTOMS
SHALL REQUIRE A CASH DEPOSIT OR POSTING OF BOND FOR SUCH ENTRY
SUMMARIES OF THE SUBJECT MERCHANDISE ACCORDING TO THE FOLLOWING
SCHEDULE.

MANUFACTURER/ CUSTOMS ID MARGIN
EXPORTER NUMBER PERCENTAGE

ALL THIRD COUNTRY
EXPORTERS & RESELLERS A-462-105-001 100.25
AIOC A-462-105-002 0.00%
GERALD METALS A-462-105-003 0.00%
HUNTER DOUGLAS A-462-105-004 0.00%
INTERLINK A-462-105-005 0.00%
MG METALS A-462-105-006 0.00%
RAZNO A-462-105-007 0.00%
F&S ALLOYS & MINERALS A-462-105-008 100.25
W&O BERGMANN GMBH A-462-105-009 100.25
DEREK RAPHAEL & CO. A-462-105-010 100.25
MARCO TRADING CO. A-462-105-011 100.25
WOGEN GROUP LTD. A-462-105-012 100.25
ALEX A-462-105-013 100.25
MAGES A-462-105-014 100.25
HOCHSCHILD A-462-105-015 0.0%
GREENWICH A-462-105-016 0.0%
SMW A-462-105-017 0.0%

RUSSIA WIDE A-462-105-000 100.25

5. ANY QUESTIONS BY CUSTOMS OFFICERS SHOULD BE DIRECTED VIA
EMAIL, THROUGH THE APPROPRIATE SUPERVISORY CHANNELS, TO TECHNICAL
PROGRAMS, AD/CVD, USING ATTRIBUTE "HQ OAB". OTHER INTERESTED
PARTIES SHOULD CONTACT ERIK WARGA OR ELLEN GREBASCH,OFFICE OF
ANTIDUMPING INVESTIGATIONS, IMPORT ADMINISTRATION, INTERNATIONAL
TRADE ADMINISTRATION, U.S. DEPARTMENT OF COMMERCE,TELEPHONE (202)
482-0922 AND (202) 482-3773, RESPECTIVELY.

6. THERE ARE NO RESTRICTIONS ON THE RELEASE OF THIS INFORMATION.




NANCY MCTIERNAN