Notice2025-03644

Hexamethylenetetramine From India: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination With Final Antidumping Duty Determination

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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 India. The period of investigation is April 1, 2023, through March 31, 2024. 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 11512-11514]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-03644]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-533-933]


Hexamethylenetetramine From India: 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 
India. The period of investigation is April 1, 2023, through March 31, 
2024. Interested parties are invited to comment on this preliminary 
determination.

DATES: Applicable March 7, 2025.

FOR FURTHER INFORMATION CONTACT: Claudia Cott or Thomas Schauer, AD/CVD 
Operations, Office I, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-4270 or (202) 482-0410, 
respectively.

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 Preliminary Determinations in the 
Countervailing Duty Investigations, 89 FR 92096 (November 21, 2024).
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    For a complete description of 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 in 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 
Affirmative Determination of the Countervailing Duty Investigation 
of Hexamethylenetetramine from India,'' 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 India. 
For a complete description of the scope of this investigation, see 
Appendix I.

[[Page 11513]]

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 
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, 89 FR at 87561.
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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 to be 
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, it relied, in part, 
on facts available, and, because it finds that certain companies failed 
to timely respond to Commerce's quantity and value questionnaire and 
the Government of India did not act to the best of their ability to 
respond to Commerce's requests for information, it drew an adverse 
inference where appropriate in selecting from among the facts otherwise 
available.\7\ For further information, see the ``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 
India 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 
than 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, 10068 (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 
rates that are zero, de minimis, or based entirely under section 776 of 
the Act.
    In this investigation, Commerce preliminarily calculated an 
individual estimated countervailable subsidy rate for the sole 
respondent, Kanoria Chemicals and Industries Limited (Kanoria), that is 
not zero, de minimis, or based entirely on the facts otherwise 
available. Commerce calculated the all-others rate using the individual 
estimated subsidy rate calculated for the sole examined respondent, 
i.e., Kanoria.

Preliminary Determination

    Commerce preliminarily determines that the following estimated 
countervailable subsidy rates exist for the period, April 1, 2023, 
through March 31, 2024:\10\
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    \10\ See As discussed in the Preliminary Decision Memorandum, 
Commerce preliminarily finds the following company to be cross-owned 
with Kanoria Chemicals and Industries Liimited: Vardhan Limited.

------------------------------------------------------------------------
                                                            Subsidy rate
                          Company                            (percent ad
                                                              valorem)
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Kanoria Chemicals and Industries Limited \10\.............          2.32
Horizon Chemicals.........................................      * 139.55
Micro Labs Ltd............................................      * 139.55
Shreenathji Rasayan Private Limited.......................      * 139.55
Rajsha Chemicals Pvt. Ltd.................................      * 139.55
All Others................................................          2.32
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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

    Commerce intends to disclose to interested parties the calculations 
performed to interested parties in this preliminary determination 
within five days of its 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).
    Consistent with 19 CFR 351.224(e), Commerce will analyze and, if 
appropriate, correct any timely allegations of significant ministerial 
errors by amending the preliminary determination. However, consistent 
with 19 CFR 351.224(d), Commerce will not consider incomplete 
allegations that do not address the significance standard under 19 CFR 
351.224(g) following the preliminary determination. Instead, Commerce 
will address such allegations in the final determination together with 
issues raised in the case briefs or other written comments.

Verification

    As provided in section 782(i)(1) of the Act, Commerce intends to 
verify the information relied upon in making its final determination.

Public Comment

    Case briefs or other written comments may be submitted to the 
Assistant Secretary for Enforcement and Compliance no later than seven 
days after the date on which the last verification report is issued in 
this investigation. 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.\11\ 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.\12\
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    \11\ 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).
    \12\ 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

[[Page 11514]]

interested parties provide at the beginning of their briefs a public 
executive summary for each issue raised in their briefs.\13\ Further, 
we request that interested parties limit their public executive summary 
of each issue to no more than 450 words, not including 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 public 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).\14\
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    \13\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \14\ 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 in the 
Federal Register. 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, parties will 
be notified of the date, time, and location of the hearing.\15\ Parties 
should confirm by telephone the date, time, and location of the hearing 
two days before the scheduled hearing date.
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    \15\ 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 preliminary 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 India are materially 
injuring, or threaten material injury to, the U.S. industry.

Notification to Interested Parties

    This determination is issued and published in accordance with 
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 the 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 
C<INF>6</INF>H<INF>12</INF>N<INF>4</INF>.
    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 investigations if performed in the subject 
country.
    Merchandise covered by the scope of the investigations 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 India's Economy
V. Use of Facts Otherwise Available and Adverse Inferences
VI. Subsidies Valuation
VII. Analysis of Programs
VIII. Recommendation

[FR Doc. 2025-03644 Filed 3-6-25; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on March 7, 2025.

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