Notice2025-03639
Hexamethylenetetramine From the People's Republic of China: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination With Final Antidumping Duty Determination
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
March 7, 2025
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of hexamethylenetetramine (hexamine) from the People's Republic of China (China). The period of investigation is January 1, 2023, through December 31, 2023. Interested parties are invited to comment on this preliminary determination.
Full Text
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<title>Federal Register, Volume 90 Issue 44 (Friday, March 7, 2025)</title>
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[Federal Register Volume 90, Number 44 (Friday, March 7, 2025)]
[Notices]
[Pages 11508-11510]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-03639]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-181]
Hexamethylenetetramine From the People's Republic of China:
Preliminary Affirmative Countervailing Duty Determination and Alignment
of Final Determination With Final Antidumping Duty Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily
determines that countervailable subsidies are being provided to
producers and exporters of hexamethylenetetramine (hexamine) from the
People's Republic of China (China). The period of investigation is
January 1, 2023, through December 31, 2023. Interested parties are
invited to comment on this preliminary determination.
DATES: Applicable March 7, 2025.
FOR FURTHER INFORMATION CONTACT: Eliza DeLong, AD/CVD Operations,
Office V, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-3878.
SUPPLEMENTARY INFORMATION:
Background
This preliminary determination is made in accordance with section
703(b) of the Tariff Act of 1930, as amended (the Act). On November 4,
2024, Commerce published the notice of initiation of this
countervailing duty (CVD) investigation in the Federal Register.\1\ On
November 21, 2024, Commerce postponed the preliminary determination
until February 28, 2025.\2\
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\1\ See Hexamethylenetetramine from the People's Republic of
China and India: Initiation of Countervailing Duty Investigations,
89 FR 87560 (November 4, 2024) (Initiation Notice).
\2\ See Hexamethylenetetramine from the People's Republic of
China and India: Postponement of the Preliminary Determinations in
the Countervailing Duty Investigations, 89 FR 92096 (November 21,
2024).
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For a complete description of the events that followed the
initiation of this investigation, see the Preliminary Decision
Memorandum.\3\ A list of topics discussed in the Preliminary Decision
Memorandum is included as Appendix II to this notice. The Preliminary
Decision Memorandum is a public document and is on file 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 Preliminary Decision Memorandum can be accessed directly
at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
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\3\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination in the Countervailing Duty Investigation of
Hexamethylenetetramine from the People's Republic of China,'' dated
concurrently with, and hereby adopted by, this notice (Preliminary
Decision Memorandum).
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Scope of the Investigation
The product covered by this investigation is hexamine from China.
For a complete description of the scope of this investigation, see
Appendix I.
Scope Comments
In accordance with the Preamble to Commerce's regulations,\4\ the
Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage (i.e., scope).\5\ No interested
[[Page 11509]]
parties commented on the scope of the investigation as it appeared in
the Initiation Notice.
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\4\ See Antidumping Duties; Countervailing Duties; Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\5\ See Initiation Notice.
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Methodology
Commerce is conducting this investigation in accordance with
section 701 of the Act. For each of the subsidy programs found
countervailable, Commerce preliminarily determines that there is a
subsidy, i.e., a financial contribution by an ``authority'' that gives
rise to a benefit to the recipient, and that the subsidy is
specific.\6\ For a full description of the methodology underlying our
preliminary determination, see the Preliminary Decision Memorandum.
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\6\ See sections 771(5)(B) and (D) of the Act regarding
financial contribution; section 771(5)(E) of the Act regarding
benefit; and section 771(5A) of the Act regarding specificity.
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Commerce notes that, in making these findings, we relied on facts
available and, because we find that one or more respondents did not act
to the best of their ability to respond to Commerce's requests for
information, we drew an adverse inference where appropriate in
selecting from among the facts otherwise available.\7\ For further
information, see ``Use of Facts Otherwise Available and Adverse
Inferences'' section in the Preliminary Decision Memorandum.
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\7\ See sections 776(a) and (b) of the Act.
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Alignment
In accordance with section 705(a)(1) of the Act and 19 CFR
351.210(b)(4), Commerce is aligning the final CVD determination in this
investigation with the final determination in the companion
investigation of sales at less than fair value (LTFV) of hexamine from
China based on a request made by the petitioner.\8\ Consequently, the
final CVD determination will be issued on the same date as the final
LTFV determination, which is currently scheduled to be issued no later
July 14, 2025, unless postponed.\9\
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\8\ See Petitioner's Letter, ``Request for Alignment of Final
Determinations with Deadline in Concurrent AD Investigations,''
dated January 23, 2025.
\9\ See Hexamethylenetetramine from the People's Republic of
China, Germany, India, and Saudi Arabia: Postponement of Preliminary
Determinations in the Less-Than-Fair-Value Investigations, 90 FR
10067 (February 21, 2025).
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All-Others Rate
Sections 703(d) and 705(c)(5)(A) of the Act provide that in the
preliminary determination, Commerce shall determine an estimated all-
others rate for companies not individually examined. This rate shall be
an amount equal to the weighted average of the estimated subsidy rates
established for those companies individually examined, excluding any
zero and de minimis rates and any rates based entirely under section
776 of the Act.
Pursuant to section 705(c)(5)(A)(ii) of the Act, if the individual
estimated countervailable subsidy rates established for all exporters
and producers individually examined are zero, de minimis, or determined
based entirely on adverse facts available (AFA), Commerce may use ``any
reasonable method'' to establish the estimated subsidy rate for all
other producers or exporters. In this investigation, all rates are
based entirely on AFA under section 776 of the Act. This is the only
rate available in this proceeding for deriving the all-others rate.
Consequently, pursuant to sections 703(d) and 705(c)(5)(A)(ii) of the
Act, Commerce established the all-others rate by applying the
countervailable subsidy rate assigned to the non-responsive companies
listed below.
Preliminary Determination
Commerce preliminarily determines that the following estimated
countervailable subsidy rates exist:
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Subsidy rate
Company (percent ad
valorem)
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Changzhou Highassay Chemical Co......................... * 420.53
China Bluestar International Chemical Co., Ltd.......... * 420.53
Fengchen Group Co., Ltd................................. * 420.53
Hutubi Ruiyuantong Chemicals Co., Ltd................... * 420.53
Jiangsu Guotai Guomian Trading.......................... * 420.53
Jiaozuo Runhua Chemical Industry Co..................... * 420.53
Qingdao Sun Chemical Corp. Ltd.......................... * 420.53
Runhua Chemical Industry................................ * 420.53
Shandong Aojin Chemical Technology Co., Ltd............. * 420.53
All Others.............................................. 420.53
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* Rate based on facts available with adverse inferences.
Suspension of Liquidation
In accordance with section 703(d)(1)(B) and (d)(2) of the Act,
Commerce will direct U.S. Customs and Border Protection (CBP) to
suspend liquidation of entries of subject merchandise as described in
the scope of the investigation entered, or withdrawn from warehouse,
for consumption on or after the date of publication of this notice in
the Federal Register. Further, pursuant to 19 CFR 351.205(d), Commerce
will instruct CBP to require a cash deposit equal to the rates
indicated above.
Disclosure
Normally, Commerce discloses its calculations performed in
connection with the preliminary determination to interested parties
within five days of its public announcement, or if there is no public
announcement, within five days of the date of publication of the
notice, in accordance with 19 CFR 351.224(b). However, because Commerce
preliminarily applied facts available with adverse inferences in the
calculation of the benefit for the non-responsive companies, and the
applied AFA rates are based on rates calculated in prior proceedings,
there are no calculations to disclose.
Verification
Because the non-responsive companies did not participate in this
investigation and because the Government of China did not provide
information Commerce requested, Commerce preliminarily determines each
of these parties to have been uncooperative and it will not conduct
verification.
Public Comment
Case briefs or other written comments may be submitted to the
Assistant Secretary for Enforcement and Compliance no later than 30
days after the date of publication of the preliminary determination.
Rebuttal briefs, limited to issues raised in the case briefs, may be
filed not later than five days after the date for filing case
briefs.\10\ Interested parties who submit case briefs or rebuttal
briefs in this proceeding must submit: (1) a table of contents listing
each issue; and (2) a table of authorities.\11\
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\10\ See 19 CFR 351.309(d); see also Administrative Protective
Order, Service, and Other Procedures in Antidumping and
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29,
2023) (APO and Service Final Rule).
\11\ See 19 CFR 351.309(c)(2) and (d)(2).
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As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior
proceedings we have encouraged interested parties to provide an
executive summary of their brief that should be limited to five pages
total, including footnotes. In this investigation, we instead request
that interested parties provide at the beginning of their briefs a
public executive summary for each issue raised in their briefs.\12\
Further, we request that interested parties limit their public
executive summary of each issue to no more than 450 words, not
including
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citations. We intend to use the public executive summaries as the basis
of the comment summaries included in the issues and decision memorandum
that will accompany the final determination in this investigation. We
request that interested parties include footnotes for relevant
citations in the executive summary of each issue. Note that Commerce
has amended certain of its requirements pertaining to the service of
documents in 19 CFR 351.303(f).\13\
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\12\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\13\ See APO and Service Final Rule.
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, limited to issues raised in the case and rebuttal
briefs, must submit a written request to the Assistant Secretary for
Enforcement and Compliance, U.S. Department of Commerce via ACCESS
within 30 days after the date of publication of this notice. Requests
should contain the party's name, address, and telephone number, the
number of participants and whether any participant is a foreign
national, and a list of the issues to be discussed. Oral presentations
at the hearing will be limited to issues raised in the briefs. If a
request for a hearing is made, Commerce intends to hold the hearing at
a time and date to be determined.\14\ Parties should confirm by
telephone the date, time, and location of the hearing two days before
the scheduled date.
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\14\ See 19 CFR 351.310(d).
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U.S. International Trade Commission (ITC) Notification
In accordance with section 703(f) of the Act, Commerce will notify
the ITC of its determination. If the final determination is
affirmative, the ITC will determine before the later of 120 days after
the date of this preliminary determination or 45 days after the final
determination whether imports of hexamine from China are materially
injuring, or threaten material injury to, the U.S. industry.
Notification to Interested Parties
This determination is issued and published pursuant to sections
703(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).
Dated: February 28, 2025.
Christopher Abbott,
Deputy Assistant Secretary for Policy and Negotiations, performing the
non-exclusive functions and duties of the Assistant Secretary for
Enforcement and Compliance.
Appendix I
Scope of the Investigation
The scope of this investigation covers hexamine in granular
form, with a particle size of 5 millimeters or less, whether
stabilized or unstabilized, whether or not blended, mixed,
pulverized, or grounded with other products, containing 50 percent
or more hexamine by weight.
Hexamine is the common name for hexamethylene tetramine
(Chemical Abstract Service #100-97-0), and is also referred to as
1,3,5,7-tetraazaadamantanemethenamine; HMT; HMTA; 1,3,5,7-
tetraazatricyclo {3.3.1.13,7{time} decane; 1,3,5,7-tetraaza
adamantane; hexamethylenamine. Hexamine has the chemical formula C6
H12 N4.
Granular hexamine that has been blended with other product(s) is
included in this scope when the resulting mix contains 50 percent or
more of hexamine by weight, regardless of whether it is blended with
inert additives, co-reactants, or any additives that undergo self-
condensation.
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 investigation if performed in the subject
country.
Merchandise covered by the scope of this investigation can be
classified in the Harmonized Tariff Schedule (HTSUS) of the United
States under the subheading 2933.69.5000. The HTSUS subheading and
Chemical Abstracts Service registry number are provided for
convenience and customs purposes only; however, the written
description of the scope is dispositive.
Appendix II
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Injury Test
IV. Diversification of China's Economy
V. Analysis of China's Financial System
VI. Use of Facts Otherwise Available and Adverse Inferences
VII. Recommendation
[FR Doc. 2025-03639 Filed 3-6-25; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on March 7, 2025.
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