Notice2022-13566

Urea Ammonium Nitrate Solutions From the Russian Federation: Final Affirmative Determination of Sales at Less Than Fair Value

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Published
June 24, 2022

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that urea ammonium nitrate solutions (UAN) from the Russian Federation (Russia) are being, or are likely to be, sold in the United States at less than fair value (LTFV).

Full Text

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<title>Federal Register, Volume 87 Issue 121 (Friday, June 24, 2022)</title>
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[Federal Register Volume 87, Number 121 (Friday, June 24, 2022)]
[Notices]
[Pages 37831-37833]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-13566]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-821-831]


Urea Ammonium Nitrate Solutions From the Russian Federation: 
Final Affirmative Determination of Sales at Less Than Fair Value

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
urea ammonium nitrate solutions (UAN) from the Russian Federation 
(Russia) are being, or are likely to be, sold in the United States at 
less than fair value (LTFV).

DATES: Applicable June 24, 2022.

FOR FURTHER INFORMATION CONTACT: Krisha Hill or Drew Jackson, AD/CVD 
Operations, Office IV, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-4037 or (202) 482-4406, 
respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On February 2, 2022, Commerce published the Preliminary 
Determination in this investigation.\1\ A summary of the events that 
occurred since Commerce published the Preliminary Determination, as 
well as a full discussion of the issues raised by parties for this 
final determination, may be found in the Issues and Decision 
Memorandum.\2\
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    \1\ See Urea Ammonium Nitrate Solutions from the Russian 
Federation: Preliminary Affirmative Determination of Sales at Less 
Than Fair Value, Postponement of Final Determination, and Extension 
of Provisional Measures, 87 FR 5785 (February 2, 2022) (Preliminary 
Determination), and accompanying Preliminary Decision Memorandum.
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Less-Than-Fair-Value 
Investigation of Urea Ammonium Nitrate Solutions from the Russian 
Federation,'' dated concurrently with, and hereby adopted by, this 
notice (Issues and Decision Memorandum).
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Period of Investigation

    The period of investigation (POI) is April 1, 2020, through March 
31, 2021.

Scope of the Investigation

    The products covered by this investigation are UAN from Russia. For 
a complete description of the scope of this investigation, see Appendix 
I.

Scope Comments

    No interested party commented on the scope of the investigation as 
it appeared in the Preliminary Determination. We made no changes to the 
scope of the investigation.

Use of Adverse Facts Available

    Pursuant to section 776(a) and (b) of the Tariff Act of 1930, as 
amended (the Act), we have continued to base the dumping margins for 
PJSC Kuibyshev Azot and SBU Azot upon facts otherwise available, with 
adverse inferences, because these companies

[[Page 37832]]

failed to timely respond to Commerce's quantity and value 
questionnaire.

Analysis of Comments Received

    All issues raised in the case briefs and rebuttal briefs submitted 
by interested parties in this proceeding are discussed in the Issues 
and Decision Memorandum. A list of the issues raised by parties and 
responded to by Commerce in the Issues and Decision Memorandum is 
attached to this notice as Appendix II. The Issues and Decision 
Memorandum is a public document and is available electronically via 
Enforcement and Compliance's Antidumping and Countervailing Duty 
Centralized Electronic Service System (ACCESS). ACCESS is available to 
registered users at <a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete 
version of the Issues and Decision Memorandum can be accessed directly 
at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.

Verification

    Commerce was unable to conduct on-site verification of the 
information relied upon in making its final determination in this 
investigation. However, we took additional steps in lieu of an on-site 
verification to verify the information relied upon in making this final 
determination, in accordance with section 782(i) of the Act.\3\
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    \3\ See Commerce's Letter to Acron on February 14, 2022 (Acron's 
ILOV Questionnaire); see also Commerce's Letter to EuroChem on 
February 15, 2022 (EuroChem's ILOV Questionnaire); Acron's Letter, 
``Urea Ammonium Nitrate Solutions from the Russian Federation: 
Response to Questionnaire in Lieu of Verification,'' dated February 
24, 2022; and EuroChem's Letter, ``Urea Ammonium Nitrate Solutions 
from the Russian Federation,'' dated February 24, 2022.
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Changes Since the Preliminary Determination

    Based on our analysis of the comments received and additional 
information obtained since our preliminary determination, we made 
certain changes to the dumping margin calculation for Public Joint 
Stock Company Acron (Acron) after the Preliminary Determination. 
Additionally, since we based the adverse facts available (AFA) rate for 
PJSC Kuibyshev Azot and SBU Azot on the highest non-aberrational 
transaction margin calculated for either mandatory respondent, and that 
margin has changed due to changes in our calculations at the final 
determination, we have revised the AFA dumping margin assigned to PJSC 
Kuibyshev Azot and SBU Azot to equal the highest non-aberrational 
transaction margin calculated for either mandatory respondent for the 
final determination. For a discussion of these changes, see the Issues 
and Decision Memorandum.

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated 
weighted-average dumping margin for all other producers and exporters 
not individually investigated shall be equal to the weighted average of 
the estimated weighted-average dumping margins established for 
individually investigated exporters and producers, excluding any 
dumping margins that are zero or de minimis or any dumping margins 
determined entirely under section 776 of the Act. Commerce calculated 
individual estimated weighted-average dumping margins for Acron and 
EuroChem,\4\ the mandatory respondents in this investigation, that are 
not zero, de minimis, or based entirely on facts otherwise available. 
Commerce calculated the all-others rate by weight averaging the 
estimated weighted-average dumping margins that it calculated for the 
individually examined respondents. Commerce weight averaged these 
dumping margins by the publicly-ranged total values of their sales of 
subject merchandise to the United States during the POI.\5\
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    \4\ We used ``EuroChem'' to refer to the collapsed entity 
comprising the following companies: Azot, Joint Stock Company (i.e., 
NAK Azot), Joint Stock Company ``Nevinnomyssky Azot'' (i.e., 
Nevinka), Mineral and Chemical Company EuroChem, Joint Stock 
Company, and EuroChem Trading Rus, Limited Liability Company.
    \5\ With two respondents under examination, Commerce normally 
calculates (A) a weighted-average of the estimated weighted-average 
dumping margins calculated for the examined respondents; (B) a 
simple average of the estimated weighted-average dumping margins 
calculated for the examined respondents; and (C) a weighted-average 
of the estimated weighted-average dumping margins calculated for the 
examined respondents using each company's publicly-ranged U.S. sale 
quantities for the merchandise under consideration. Commerce then 
compares (B) and (C) to (A) and selects the rate closest to (A) as 
the most appropriate rate for all other producers and exporters. See 
Ball Bearings and Parts Thereof from France, Germany, Italy, Japan, 
and the United Kingdom: Final Results of Antidumping Duty 
Administrative Reviews, Final Results of Changed-Circumstances 
Review, and Revocation of an Order in Part, 75 FR 53661, 53663 
(September 1, 2010). As complete publicly ranged sales data was 
available, Commerce based the all-others rate on the publicly ranged 
sales data of the mandatory respondents. For a complete analysis of 
the data, please see the All-Others Rate Calculation Memorandum.
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Final Determination

    The estimated weighted-average dumping margins are as follows:
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    \6\ See Memorandum, ``Antidumping Duty Investigation of Urea 
Ammonium Nitrate Solutions from the Russian Federation: Final 
Calculations and Analysis for PJSC Acron,'' dated concurrently with 
this memorandum; see also Memorandum, ``Less-Than-Fair-Value 
Investigation of Urea Ammonium Nitrate Solutions from the Russian 
Federation: Preliminary Calculations and Analysis for EuroChem,'' 
dated January 26, 2022; and Memorandum, ``Final Determination 
Calculation for the All-Others,'' dated concurrently with this 
memorandum.

------------------------------------------------------------------------
                                                       Cash deposit rate
                                  Estimated weighted-    (adjusted for
        Exporter/producer           average dumping   subsidy offset(s))
                                   margin (percent)      (percent) \6\
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Public Joint Stock Company Acron                8.16                8.02
Azot, Joint Stock Company/Joint                23.98               23.98
 Stock Company ``Nevinnomyssky
 Azot''/Mineral and Chemical
 Company EuroChem, Joint Stock
 Company/EuroChem Trading Rus,
 Limited Liability Company......
PJSC Kuibyshev Azot *...........              122.93              122.84
SBU Azot *......................              122.93              122.84
All Others......................               14.91               14.82
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* Rate is based on facts otherwise available with an adverse inference.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this final determination within five 
days of any public announcement or, if there is no public announcement, 
within five days of the date of publication of this notice in 
accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, we will 
instruct U.S. Customs and Border Protection

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(CBP) to continue the suspension of liquidation of all appropriate 
entries of UAN, as described in Appendix I of this notice, which were 
entered, or withdrawn from warehouse, for consumption on or after 
February 2, 2022, the date of publication of the Preliminary 
Determination in this investigation in the Federal Register.
    Pursuant to section 735(c)(1)(B)(ii) of the Act, we will instruct 
CBP to require a cash deposit equal to the estimated amount by which 
the normal value exceeds the U.S. price in this final determination, as 
follows: (1) the cash deposit rate for each of the respondents listed 
in the table above is the company-specific cash deposit rate listed for 
the respondent in the table; (2) if the exporter is not a respondent 
listed in the table above, but the producer is, then the cash deposit 
rate is the company-specific cash deposit rate listed for the producer 
of the subject merchandise in the table above; and (3) the cash deposit 
rate for all other producers and exporters is the ``All Others'' cash 
deposit rate listed in the table above. These suspension of liquidation 
instructions will remain in effect until further notice.
    In the event that a countervailing duty (CVD) order is issued, and 
suspension of liquidation is resumed in the companion CVD investigation 
of UAN from Russia, Commerce will instruct CBP to require, for this 
antidumping duty investigation, cash deposits adjusted by the amount of 
export subsidies, as appropriate. These adjustments are reflected in 
the final column of the rate table, above. Until such suspension of 
liquidation is resumed in the companion CVD investigation, and so long 
as suspension of liquidation continues under this antidumping duty 
investigation, the cash deposit rates for this antidumping duty 
investigation will be the rates identified in the estimated weighted-
average dumping margin column in the rate table, above.

International Trade Commission Notification

    In accordance with section 735(d) of the Act, Commerce will notify 
the U.S. International Trade Commission (ITC) of its final affirmative 
determination of sales at LTFV. Because the final determination in this 
proceeding is affirmative, in accordance with section 735(b)(2) of the 
Act, the ITC will make its final determination as to whether the 
domestic industry in the United States is materially injured, or 
threatened with material injury, no later than 45 days after our final 
determination. If the ITC determines that material injury or threat of 
material injury does not exist, the proceeding will be terminated, and 
all cash deposits will be refunded. If the ITC determines that material 
injury or threat of material injury does exist, Commerce will issue an 
antidumping duty order directing CBP to assess, upon further 
instruction by Commerce, antidumping duties on all imports of the 
subject merchandise, entered, or withdrawn from warehouse, for 
consumption on or after the effective date of the suspension of 
liquidation.

Notification Regarding Administrative Protective Orders

    This notice serves as the only reminder to parties subject to an 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely notification of the 
return or destruction of APO materials or conversion to judicial 
protective order is hereby requested. Failure to comply with the 
regulations and the terms of an APO is a violation subject to sanction.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 735(d) and 777(i) of the Act, and 19 CFR 351.210(c).

    Dated: June 17, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

    The merchandise covered by this investigation is all mixtures of 
urea and ammonium nitrate in aqueous or ammonia solution, regardless 
of nitrogen concentration by weight, and regardless of the presence 
of additives, such as corrosion inhibiters and soluble micro or 
macronutrients (UAN).
    Subject merchandise includes merchandise matching the above 
description that has been processed in a third country, including by 
commingling, diluting, adding or removing additives, or performing 
any other processing that would not otherwise remove the merchandise 
from the scope of the investigations if performed in the subject 
country.
    The scope also includes UAN that is commingled with UAN from 
sources not subject to this investigation. Only the subject 
component of such commingled products is covered by the scope of 
this investigation.
    The covered merchandise is currently classified in the 
Harmonized Tariff Schedule of the United States (HTSUS) at 
subheading 3102.80.0000. Although the HTSUS subheading is provided 
for convenience and customs purposes, the written description of the 
scope is dispositive.

Appendix II

List of Sections in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Investigation
IV. Changes Since the Preliminary Determination
V. Discussion of the Issues
    Comment 1: Whether to Reconsider Russia's Status as a Market 
Economy Country
    Comment 2: Whether to Base Acron's Dumping Margin on Adverse 
Facts Available
    Comment 3: Whether Commerce Made Certain Ministerial Errors
    Comment 4: Whether to Base EuroChem's Dumping Margin on Adverse 
Facts Available (AFA)
    Comment 5: Whether Commerce Should Grant EuroChem a Difference 
in Quantity Adjustment
    Comment 6: Whether Commerce Should Grant EuroChem a Constructed 
Export Price (CEP) Offset
    Comment 7: Whether to Apply the Cohen's d Test to EuroChem's 
Sales
    Comment 8: Proper Enforcement of Antidumping Duty Laws
VI. Recommendation

[FR Doc. 2022-13566 Filed 6-23-22; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on June 24, 2022.

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