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AD: Mexico Fresh Tomatoes

The International Trade Administration has issued a notice announcing its intent to resume the antidumping duty investigation on fresh tomatoes from Mexico, as Mexican tomato growers/exporters accounting for a significant percentage of all fresh tomatoes imported into the U.S. from Mexico provided written notice on November 26, 2007 of their withdrawal from the 2002 agreement (which suspended this investigation).

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Their withdrawal is effective 90 days from the November 26, 2007, or earlier, at the ITA's discretion. As a result, the ITA states that it intends to terminate the 2002 suspension agreement and resume the investigation no later than February 24, 2008.

Suspension of Liquidation, Cash Deposit/Bond Expected by February 24, 2008

According to the ITA, it will instruct U.S. Customs and Border Protection (CBP) to suspend liquidation of entries of fresh tomatoes from Mexico with a time of entry on or after the effective date of the termination of the 2002 suspension agreement (i.e., no later than February 24, 2008) and to require a cash deposit or bond for entries of subject merchandise based on the preliminary AD duty rates, which range from 4.16% to 188.45%.

The ITA is also announcing that effective on the date of termination of the 2002 suspension agreement, it intends to terminate the sunset review of the suspended AD investigation on fresh tomatoes from Mexico. (See ITT's Online Archives or 11/05/07 news, 07110540, for BP summary of the initiation of the sunset review on the suspended AD investigation on fresh tomatoes. Note - 07110540 incorrectly identified the suspension agreement as an AD duty order; however this error is being corrected in BP's Online Archives.)

The ITA also intends to make its final determination in the resumed AD duty investigation within 135 days of termination of the 2002 suspension agreement.

Expected Scope of the Upcoming Investigation

The merchandise subject to the upcoming investigation is all fresh or chilled tomatoes (fresh tomatoes) that have Mexico as their origin, except for those tomatoes which are for processing. For purposes of the 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), will be 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 will be covered by the investigation.

Tomatoes imported from Mexico covered by the upcoming investigation are classified under the following HTS subheadings, according to the season of importation: 0702 and 9906.07.01 through 9906.07.09.

(The HTS numbers are provided for convenience and customs purposes, the written description of the scope of the investigation will be dispositive.)

ITA Contact - Judith Wey Rudman (202) 482-0192

ITA notice (FR Pub 12/13/07) available at http://a257.g.akamaitech.net/7/257/2422/01jan20071800/edocket.access.gpo.gov/2007/pdf/E7-24187.pdf.