Notice2025-05888

2,4-Dichlorophenoxyacetic Acid From India: Final Affirmative Determination of Sales at Less Than Fair Value

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Published
April 7, 2025

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that 2,4-dichlorophenoxyacetic acid (2,4-D) from India is being, or is likely to be, sold in the United States at less than fair value (LTFV). The period of investigation is January 1, 2023, through December 31, 2023.

Full Text

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<title>Federal Register, Volume 90 Issue 65 (Monday, April 7, 2025)</title>
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[Federal Register Volume 90, Number 65 (Monday, April 7, 2025)]
[Notices]
[Pages 14969-14971]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-05888]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-922]


2,4-Dichlorophenoxyacetic Acid From India: 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 
2,4-dichlorophenoxyacetic acid (2,4-D) from India is being, or is 
likely to be, sold in the United States at less than fair value (LTFV). 
The period of investigation is January 1, 2023, through December 31, 
2023.

DATES: Applicable April 7, 2025.

FOR FURTHER INFORMATION CONTACT: Grant Fuller, AD/CVD Operations, 
Office IX, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-6228.

SUPPLEMENTARY INFORMATION: 

Background

    On November 14, 2024, Commerce published the Preliminary 
Determination in the Federal Register and invited interested parties to 
comment.\1\ For a complete description of the events that occurred 
since the Preliminary Determination, see the Issues and Decision 
Memorandum.\2\ The Issues and 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 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>.
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    \1\ See 2,4-Dichlorophenoxyacetic Acid from India: Preliminary 
Affirmative Determination of Sales at Less Than Fair Value, 
Postponement of Final Determination, and Extension of Provisional 
Measures, 89 FR 89949 (November 14, 2024) (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 2,4-Dichlorophenoxyacetic Acid from India,'' dated 
concurrently with, and hereby adopted by, this notice (Issues and 
Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is 2,4-D from India. For 
a complete description of the scope of this investigation, see Appendix 
I.

Scope Comments

    We received no comments from interested parties on the scope of the 
investigation as it appeared in the Preliminary Determination.\3\ 
Therefore, we made no changes to the scope of the investigation from 
that published in the Preliminary Determination for the Final 
Determination.
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    \3\ See Preliminary Determination, 89 FR at 89952.
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Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), Commerce conducted verifications of the sales and cost 
information submitted by Atul Limited (Atul), its U.S. affiliate, Atul 
USA Inc. (Atul USA), and Meghmani Organics Limited (MOL). We used 
standard verification procedures, including an examination of relevant 
sales and accounting records, and original source documents provided by 
Atul, Atul USA, and MOL.\4\
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    \4\ See Memoranda, ``Verification of the Sales Response of Atul 
USA Inc.,'' dated January 28, 2025; ``Verification of the Sales 
Response of Meghmani Organics Limited,'' dated February 4, 2025; 
``Verification of the Cost Response of Atul Limited,'' dated 
February 5, 2025; ``Verification of the Cost Response of Meghmani 
Organics Limited,'' dated February 21, 2025; and ``Verification of 
the Sales Response of Atul Limited,'' dated February 21, 2025.
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs submitted by 
interested parties in this investigation are addressed in the Issues 
and Decision Memorandum. A list of the issues addressed in the Issues 
and Decision Memorandum is attached to this notice as Appendix II.

Changes Since the Preliminary Determination

    Based on our review and analysis of the information received during 
verification and comments received from interested parties, we made 
certain changes to the estimated weighted-average dumping margins for 
Atul and MOL. 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 Commerce shall 
determine an estimated all-others rate for all exporters and producers 
not individually examined. This rate shall be an amount equal to the 
weighted average of the estimated weighted-average dumping margins 
established for exporters and producers

[[Page 14970]]

individually investigated, excluding any zero and de minimis margins, 
and any margins determined entirely under section 776 of the Act.
    In this investigation, Commerce calculated estimated weighted-
average dumping margins for Atul and MOL that are not zero, de minimis, 
or based entirely on facts otherwise available. Accordingly, Commerce 
calculated the all-others rate using a simple average of the estimated 
weighted-average dumping margins calculated for the examined 
respondents.\5\
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    \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. sales 
values 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, e.g., 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, 53662 
(September 1, 2010), and accompanying Issues and Decision Memorandum 
at Comment 1. As complete publicly-ranged sales data were available, 
Commerce based the all-others rate on the public ranged sales data 
of the mandatory respondents. For a complete analysis of the data, 
see Memorandum, ``Calculation of the All-Others Rate for the Final 
Determination,'' dated March 31, 2025.
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Final Determination

    Commerce determines that the final estimated weighted-average 
dumping margins exist for the period, January 1, 2023, through December 
31, 2023:

------------------------------------------------------------------------
                                                       Cash deposit rate
                                     Weighted-average     (adjusted for
         Exporter/producer            dumping margin    subsidy offsets)
                                        (percent)          (percent)
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Atul Limited......................              25.85              20.62
Meghmani Organics Limited.........               6.10               3.18
All Others........................              15.98              11.90
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Disclosure

    Commerce intends to disclose the calculations performed in 
connection with this final determination to interested parties 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 the Federal Register, in accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, Commerce will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all entries of subject merchandise, as described 
in Appendix I of this notice, which were entered, or withdrawn from 
warehouse, for consumption, on or after November 14, 2024, the date of 
publication of the Preliminary Determination of this investigation in 
the Federal Register. These suspension of liquidation instructions will 
remain in effect until further notice.
    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), upon the publication of this notice, we will instruct CBP 
to require a cash deposit for estimated antidumping duties for such 
entries as follows: (1) the cash deposit rate for the respondents 
listed in the table above will be equal to the company-specific 
estimated weighted-average dumping margin determined in this final 
determination; (2) if the exporter is not a respondent listed in the 
table above, but the producer is, then the cash deposit rate will be 
equal to the company-specific estimated weighted-average dumping margin 
listed for the producer of the subject merchandise; and (3) the cash 
deposit rate for all other producers and exporters will be equal to the 
all-others estimated weighted-average dumping margin listed in the 
table above. These suspension of liquidation instructions will remain 
in effect until further notice.
    To determine the cash deposit rate, Commerce normally adjusts the 
estimated weighted average dumping margin by the amount of export 
subsidies countervailed in a companion countervailing duty (CVD) 
proceeding, when CVD provisional measures are in effect. Accordingly, 
where Commerce has made a final affirmative determination for 
countervailable export subsidies, Commerce offsets the estimated 
weighted-average dumping margin by the appropriate CVD rate. Commerce 
has continued to adjust the cash deposit rate for export subsidies in 
the companion CVD investigation by the appropriate export subsidy rate 
as indicated in the above chart. However, suspension of liquidation of 
provisional measures in the companion CVD case has been discontinued; 
\6\ therefore, we are not instructing CBP to collect cash deposits 
based on the adjusted estimated weighted-average dumping margin for 
those export subsidies at this time.
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    \6\ See 2,4-Dichlorophenoxyacetic Acid from India: Preliminary 
Affirmative Countervailing Duty Determination and Alignment of Final 
Determination With Final Antidumping Duty Determination, 89 FR 74908 
(September 13, 2024); see also section 703(d) of the Act, which 
states that the provisional measures may not be in effect for more 
than four months, which in the companion CVD case is 120 days after 
the publication of the preliminary determination, January 11, 2025 
(i.e., last day provisional measures were in effect).
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U.S. International Trade Commission (ITC) Notification

    In accordance with section 735(d) of the Act, Commerce will notify 
the ITC of its final affirmative determination of sales at LTFV. 
Because Commerce's final determination is affirmative, in accordance 
with section 735(b)(2) of the Act, the ITC will determine, within 45 
days, whether the domestic industry in the United States is materially 
injured, or threatened with material injury, by reason of imports of 
2,4-D. If the ITC determines that material injury or threat of material 
injury does not exist, this proceeding will be terminated, all cash 
deposits posted will be refunded, and suspension of liquidation will be 
lifted. If the ITC determines that such 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, as discussed in the ``Continuation of Suspension of 
Liquidation'' section above.

Administrative Protective Order (APO)

    This notice will serve as the only reminder to parties subject to 
an APO of their responsibility concerning the disposition of 
proprietary information disclosed under APO, in accordance with 19 CFR 
351.305(a)(3). Timely written notification of the return or

[[Page 14971]]

destruction of APO materials or conversion to judicial protective order 
is hereby requested. Failure to comply with the regulations and terms 
of an APO is a sanctionable violation.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act and 19 CFR 351.210(c).

    Dated: March 31, 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 merchandise covered by this investigation is 2,4-
dichlorophenoxyacetic acid (2,4-D) and its derivative products, 
including salt and ester forms of 2,4-D. 2,4-D has the Chemical 
Abstracts Service (CAS) registry number of 94-75-7 and the chemical 
formula C<INF>8</INF>H<INF>6</INF>Cl<INF>2</INF>O<INF>3</INF>.
    Salt and ester forms of 2,4-D include 2,4-D sodium salt (CAS 
2702-72-9), 2,4-D diethanolamine salt (CAS 5742-19-8), 2,4-D 
dimethyl amine salt (CAS 2008-39-1), 2,4-D isopropylamine salt (CAS 
5742-17-6), 2,4-D tri-isopropanolamine salt (CAS 3234180-3), 2,4-D 
choline salt (CAS 1048373-72-3), 2,4-D butoxyethyl ester (CAS 1929-
733), 2,4-D 2-ethylhexylester (CAS 1928-43-4), and 2,4-D 
isopropylester (CAS 94-11-1). All 2,4-D, as well as the salt and 
ester forms of 2,4-D, is covered by the scope irrespective of 
purity, particle size, or physical form.
    The conversion of a 2,4-D salt or ester from 2,4-D acid, or the 
formulation of nonsubject merchandise with the subject 2,4-D, its 
salts, and its esters in the country of manufacture or in a third 
country does not remove the subject 2,4-D, its salts, or its esters 
from the scope. For any such formulations, only the 2,4-D, 2,4-D 
salt, and 2,4-D ester components of the mixture is covered by the 
scope of the investigation. Formulations of 2,4-D are products that 
are registered for end-use applications with the Environmental 
Protection Agency and contain a dispersion agent.
    The country of origin of any 2,4-D derivative salt or ester is 
determined by the country in which the underlying 2,4-D acid is 
produced. 2,4-D, its salts, and its esters are classified under 
Harmonized Tariff Schedule of the United States (HTSUS) subheading 
2918.99.2010. Subject merchandise, including the abovementioned 
formulations, may also be classified under HTSUS subheadings 
2922.12.0001, 2921.11.0000, 2921.19.6195, 2922.19.9690, 
3808.93.0500, and 3808.93.1500. The HTSUS subheadings and CAS 
registry numbers are provided for convenience and customs purposes. 
The written description of the scope of the investigation is 
dispositive.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Changes Since the Preliminary Determination
IV. Discussion of the Issues
    Comment 1: Whether to Correct the Dry Acid Equivalent Conversion 
Rate for Atul and MOL for a Product
    Comment 2: Whether to Apply Adverse Facts Available (AFA) to 
Atul and MOL for Failure to Provide the Cost of Production (COP) for 
a Major Input
    Comment 3: Whether to Apply AFA to Atul
    Comment 4: Whether to Use Dry Acid Equivalent Conversions in the 
Calculations for Atul
    Comment 5: Whether to Base Normal Value (NV) on Constructed 
Value (CV) for Atul
    Comment 6: Whether to Use Atul's Indirect Selling Expenses 
Reported on a Channel-Specific Basis
    Comment 7: Whether to Use Atul's Packing Expenses Including 
Overhead
    Comment 8: Whether to Use a Borrowing Rate from the Bank of 
India to Calculate Atul's Credit Expenses in U.S. Dollars
    Comment 9: Whether Atul Correctly Reported the Costs of its 
Inputs
    Comment 10: Whether to Disallow a Shutdown Adjustment for Atul
    Comment 11: Whether to Deny MOL's Reported Home Market 
Warehousing Expenses
    Comment 12: Whether to Deny MOL's Reported Home Market Discounts
    Comment 13: Whether Certain of MOL's Home Market Sales Were 
Indian-Origin Merchandise
V. Recommendation

[FR Doc. 2025-05888 Filed 4-4-25; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on April 7, 2025.

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