Notice2025-10347

Vanillin From the People's Republic of China: Final Affirmative Determination of Sales at Less Than Fair Value

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Published
June 6, 2025

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that vanillin from the People's Republic of China (China) is being, or is likely to be, sold in the United States at less than fair value (LTFV). The period of investigation is October 1, 2023, through March 31, 2024.

Full Text

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<title>Federal Register, Volume 90 Issue 108 (Friday, June 6, 2025)</title>
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[Federal Register Volume 90, Number 108 (Friday, June 6, 2025)]
[Notices]
[Pages 24093-24095]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-10347]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-172]


Vanillin From the People's Republic of China: 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 
vanillin from the People's Republic of China (China) is being, or is 
likely to be, sold in the United States at less than fair value (LTFV). 
The period of investigation is October 1, 2023, through March 31, 2024.

DATES: Applicable June 6, 2025.

FOR FURTHER INFORMATION CONTACT: Claudia Cott or Bryan Hansen, 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) 482-3683, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On January 16, 2025, Commerce published the Preliminary 
Determination in the Federal Register and invited interested parties to 
comment.\1\ For a complete description of the events that followed the 
Preliminary Determination, see the Issues and Decision Memorandum.\2\
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    \1\ See Vanillin from the People's Republic of China: 
Preliminary Affirmative Determination of Sales at Less Than Fair 
Value, Postponement of Final Determination and Extension of 
Provisional Measures, 90 FR 4720 (January 16, 2025) (Preliminary 
Determination), and accompanying Preliminary Decision Memorandum 
(PDM).
    \2\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Less-Than-Fair-Value 
Investigation of Vanillin from the People's Republic of China,'' 
dated concurrently with, and hereby adopted by, this notice (Issues 
and Decision Memorandum).
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    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>.

Scope of the Investigation

    The product covered by this investigation is vanillin from China. 
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. 
Therefore, we made no changes to the scope of the investigation from 
that published in the Preliminary Determination for the final 
determination.

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), Commerce conducted verification of the sales and factors of 
production information submitted by Jiangxi Brother Pharmaceutical Co., 
Ltd. (Jiangxi Brother).\3 \We used standard verification procedures, 
including an examination of relevant sales and accounting records, and 
original source documents provided by Jiangxi Brother.
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    \3\ See Memorandum, ``Verification of Jiangxi Brother 
Pharmaceutical Co., Ltd.,'' dated April 10, 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 a review of the record and comments received from 
interested parties regarding the Preliminary Determination, and in 
consideration of Commerce's verification findings, we made changes 
consistent with the pre-verification minor corrections and our 
verification findings with respect to Jiangxi Brother.\4\
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    \4\ For a full description of these changes, see Issues and 
Decision Memorandum.

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[[Page 24094]]

China-Wide Entity and Use of Adverse Facts Available

    Consistent with the Preliminary Determination,\5\ Commerce 
continues to find that, pursuant to sections 776(a) and (b) of the Act, 
the use of facts otherwise available, with adverse inferences, is 
warranted in determining the dumping rate for the China-wide entity.\6 
\For this final determination, there is no new information on the 
record that would cause us to reconsider our preliminary decision. 
Therefore, as facts available with adverse inference, we assigned the 
final rate of 379.87 percent, which is the highest individual sale 
margin calculated in this investigation,\7\ to the China-wide entity.
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    \5\ See Preliminary Determination PDM at 11-13.
    \6 \ See sections 776(a)(1) and (2)(A)-(C) and (b) of the Act.
    \7 \ See Memorandum, ``Final Analysis Memorandum,'' dated 
concurrently with this notice (Final Analysis Memorandum) at 3, for 
business proprietary details explaining our continued assignment of 
this margin to the China-wide entity.
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Separate Rates

    We received comments \8\ on our preliminary separate rate 
determination.\9 \Based on our analysis of the comments received, our 
preliminary determination with respect to separate rate eligibility 
continues to be unchanged in the final determination.\10\
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    \8\ See Issues and Decision Memorandum at Comment 4.
    \9\ See Preliminary Determination PDM at 7-12.
    \10\ See Issues and Decision Memorandum at Comment 4 for our 
continued denial of separate rate to Jiaxing Guihua Imp. & Exp. Co., 
Ltd.
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Combination Rates

    Consistent with the Preliminary Determination and Policy Bulletin 
05.1,\11\ Commerce calculated a producer/exporter combination rate for 
Jiangxi Brother and assigned this rate to the companies eligible for a 
separate rate.\12\
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    \11\ See Enforcement and Compliance's Policy Bulletin No. 05.1, 
regarding, ``Separate-Rates Practice and Application of Combination 
Rates in Antidumping Investigations involving Non-Market Economy 
Countries,'' (April 5, 2005) (Policy Bulletin 05.1), available on 
Commerce's website at <a href="https://access.trade.gov/Resources/policy/bull05-1.pdf">https://access.trade.gov/Resources/policy/bull05-1.pdf</a>.
    \12\ See Preliminary Determination PDM at 7-12.
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Final Determination

    Commerce determines that the following estimated weighted-average 
dumping margins exist for the period, October 1, 2023, through March 
31, 2024:

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                                                                                              Cash deposit rate
                                                                          Weighted-average      (adjusted for
                 Exporter                            Producer              dumping margin      subsidy offsets)
                                                                              (percent)         (percent) \13\
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Jiangxi Brother Pharmaceutical Co., Ltd..  Jiangxi Brother                           190.20               190.15
                                            Pharmaceutical Co., Ltd.
Chongqing Thrive Fine Chemicals Co., Ltd.  Chongqing Thrive Fine                     190.20               190.15
                                            Chemicals Co., Ltd.
HongKong Wictive Merchants Co., Ltd......  Kunshan Asia Aroma Corp.,                 190.20               190.15
                                            Ltd.
Kunshan Asia Aroma Corp., Ltd............  Kunshan Asia Aroma Corp.,                 190.20               190.15
                                            Ltd.
Mianyang Sunshine Bio-Tech Co., Ltd......  Mianyang Sunshine Bio-Tech                190.20               190.15
                                            Co., Ltd.
Shanghai Fuxin Fine Chemical Co., Ltd....  Jiaxing Zhonghua Chemical                 190.20               190.15
                                            Co., Ltd.
Shenzhen Siyomicro Bio-Tech Co., Ltd.....  Shenzhen Siyomicro Bio-Tech               190.20               190.15
                                            Co., Ltd.
Wuxi Lotus Essence Co., Ltd..............  Jiaxing Zhonghua Chemical                 190.20               190.15
                                            Co., Ltd.
Xiamen Bestally Biotechnology Co., Ltd...  Xiamen Oamic Biotech Co.,                 190.20               190.15
                                            Ltd.
China-Wide Entity........................  ............................            * 379.87               379.82
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* Rate based on facts available with adverse inferences.

Disclosure
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    \13\ See Vanillin from The People's Republic of China: Final 
Affirmative Countervailing Duty Determination, signed concurrently 
with this notice; see also Final Analysis Memorandum for the export 
subsidy rate that we deducted from the weighted-average dumping 
margin to adjust the cash deposit rate.
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    Commerce intends to disclose the calculations performed in 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, we will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all appropriate entries of subject merchandise, 
as described in Appendix I of this notice, which were entered, or 
withdrawn from warehouse, for consumption, on or after January 16, 
2025, the date of publication of the Preliminary Determination 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 publication of this notice, we will instruct CBP to 
require a cash deposit for estimated antidumping duties for appropriate 
entries.
    Commerce will instruct CBP to require the following cash deposits 
of estimated antidumping duties for all appropriate entries: (1) for 
the producer/exporter combinations listed in the table above, the 
applicable cash deposit rate is listed in the table for that 
combination; (2) for all combinations of Chinese producers/exporters of 
the merchandise under consideration that have not established 
eligibility for separate rates, the cash deposit rate will be equal to 
the estimated weighted-average dumping margin established for the 
China-wide entity; and (3) for all third country exporters of 
merchandise under consideration not listed in the table above, the cash 
deposit rate is the cash deposit rate applicable to the Chinese 
producer/exporter combination (or China-wide entity) that supplied that 
third-country exporter or, if the exporter/producer combination does 
not have its own rate, the cash deposit rate will be the China-wide 
rate. 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

[[Page 24095]]

indicated in the above chart. However, the suspension of liquidation of 
provisional measures in the companion CVD case has been discontinued; 
\14\ therefore, we are not instructing CBP to collect cash deposits 
based upon the adjusted estimated weighted-average dumping margin for 
those export subsidies at this time. If the U.S. International Trade 
Commission (ITC) makes a final affirmative determination of injury due 
to both dumping and subsidies, then the cash deposit rate will be 
revised effective on the date of the publication of the ITC's final 
affirmative determination in the Federal Register to be the company-
specific estimated weighted-average dumping margin adjusted for export 
subsidies.
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    \14\ See Vanillin from the People's Republic of China: 
Preliminary Affirmative Countervailing Duty Determination and 
Alignment of Final Determination with Final Antidumping Duty 
Determination, 89 FR 90671 (November 18, 2024), as corrected in 
Vanillin from the People's Republic of China: Preliminary 
Affirmative Countervailing Duty Determination and Alignment of Final 
Determination With Final Antidumping Duty Determination; Correction, 
90 FR 8267 (January 28, 2025); 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, or March 18, 
2025 (i.e., last day provisional measures are in effect).
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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 
vanillin. 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 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 violation subject to sanction.

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: June 2, 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 the investigation is vanillin, with 
the molecular formula C<INF>8</INF>H<INF>8</INF>O<INF>3</INF> or 
C<INF>9</INF>H<INF>10</INF>O<INF>3</INF>. For purposes of this 
investigation, vanillin consists of natural vanillin, synthetic 
vanillin, bio-sourced synthetic vanillin (biovanillin) (each also 
known as 4-Hydroxy-3- methoxybenzaldehyde), and ethylvanillin (also 
known as 3-Ethoxy-4- hydroxybenzaldehyde). Vanillin covered by this 
investigation is a chemical compound with the Chemical Abstracts 
Service (CAS) number 121-33-5 or 121-32-4. Vanillin is covered by 
the investigation regardless of whether it is in a crystalline 
powder or crystal form. Vanillin is covered by the scope of the 
investigation, irrespective of purity, particle size, or physical 
form.
    Merchandise subject to the investigation is specified within the 
Harmonized Tariff Schedule of the United States (HTSUS) under 
subheading 2912.41.0000 and 2912.42.0000. The HTSUS subheadings and 
CAS registry numbers are provided for convenience and customs 
purposes only. The written description of the merchandise covered by 
the investigation is dispositive.

Appendix II

List of Topics Discussed 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: Glyoxylic Acid
    Comment 2: Hydroquinone
    Comment 3: Financial Statements
    Comment 4: Separate Rate Denial
    Comment 5: Verification Request
VI. Recommendation

[FR Doc. 2025-10347 Filed 6-5-25; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on June 6, 2025.

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