Notice2025-12974
Certain Corrosion Inhibitors From the People's Republic of China: Preliminary Results and Partial Rescission of Countervailing Duty Administrative Review; 2023
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
July 11, 2025
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies were provided to producers and exporters of certain corrosion inhibitors (corrosion inhibitors) from the People's Republic of China (China). The period of review (POR) is January 1, 2023, through December 31, 2023. In addition, Commerce is rescinding this review, in part, with respect to five companies. Interested parties are invited to comment on these preliminary results.
Full Text
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<title>Federal Register, Volume 90 Issue 131 (Friday, July 11, 2025)</title>
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[Federal Register Volume 90, Number 131 (Friday, July 11, 2025)]
[Notices]
[Pages 30844-30847]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-12974]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-123]
Certain Corrosion Inhibitors From the People's Republic of China:
Preliminary Results and Partial Rescission of Countervailing Duty
Administrative Review; 2023
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily
determines that countervailable subsidies were provided to producers
and exporters of certain corrosion inhibitors (corrosion inhibitors)
from the People's Republic of China (China). The period of review (POR)
is January 1, 2023, through December 31, 2023. In addition, Commerce is
rescinding this review, in part, with respect to five companies.
Interested parties are invited to comment on these preliminary results.
DATES: Applicable July 11, 2025.
FOR FURTHER INFORMATION CONTACT: Mary Kolberg or Theodore Pearson, 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) 482-1785 or (202)
482-2631, respectively.
SUPPLEMENTARY INFORMATION:
Background
On May 8, 2024, Commerce published in the Federal Register the
notice of initiation \1\ of an administrative review of the Order.\2\
On June 17, 2024, Commerce selected Anhui Trust Chem Co., Ltd. (ATC)
and Nantong Botao Chemical Co., Ltd. (Botao) for individual examination
as the mandatory respondents in this review.\3\ On July 22, 2024,
Commerce tolled certain deadlines in this administrative review by
seven days.\4\ On December 2, 2024, Commerce extended the deadline for
the preliminary results of this review by 120 days, until April 7,
2025.\5\ On December 9, 2024, Commerce tolled certain deadlines in this
administrative proceeding for an additional 90 days.\6\ The deadline
for the preliminary results is now July 7, 2025.
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\1\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 89 FR 38867 (May 8, 2024).
\2\ See Certain Corrosion Inhibitors from the People's Republic
of China: Antidumping Duty and Countervailing Duty Orders, 86 FR
14869 (March 19, 2021) (Order).
\3\ See Memorandum, ``Certain Corrosion Inhibitors from the
People's Republic of China: Respondent Selection,'' dated June 17,
2024.
\4\ See Memorandum, ``Tolling of Deadlines for Antidumping and
Countervailing Duty Proceedings,'' dated July 22, 2024.
\5\ See Memorandum, ``Extension of Deadline for Preliminary
Results of Countervailing Duty Administrative Review; 2023,'' dated
December 2, 2024.
\6\ See Memorandum, ``Tolling Deadlines for Antidumping and
Countervailing Duty Proceedings,'' dated December 9, 2024.
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For a complete description of the events that followed the
initiation of this review, see the Preliminary Decision Memorandum.\7\
A list of topics included in the Preliminary Decision Memorandum is
provided as the appendix 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
[[Page 30845]]
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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\7\ See Memorandum, ``Decision Memorandum for the Preliminary
Results of the Administrative Review of the Countervailing Duty
Order on Certain Corrosion Inhibitors from the People's Republic of
China; 2023,'' dated concurrently with, and hereby adopted by, this
notice (Preliminary Decision Memorandum).
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Scope of the Order
The product covered by the Order is corrosion inhibitors from
China. For a complete description of the scope of the Order, see the
Preliminary Decision Memorandum.
Methodology
Commerce is conducting this administrative review in accordance
with 751(a)(1)(A) of the Tariff Act of 1930, as amended (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.\8\ For a full description
of the methodology underlying our conclusions, including our reliance,
in part, on adverse facts available, pursuant to sections 776(a) and
(b) of the Act, see the Preliminary Decision Memorandum.
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\8\ 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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Partial Rescission of Administrative Review
Pursuant to 19 CFR 351.213(d)(1), Commerce will rescind an
administrative review, in whole or in part, if all parties that
requested the review withdraw their requests within 90 days of the date
of publication of the notice of initiation. Commerce received a timely-
filed withdrawal of review request from Jiangyin Delian Chemical Co.,
Ltd. Because the withdrawal of review request was timely filed, and no
other parties requested a review of this company, we are rescinding
this review of the Order with respect to this company, in accordance
with 19 CFR 351.213(d)(1).
Pursuant to 19 CFR 351.213(d)(3), Commerce will rescind an
administrative review when there are no reviewable suspended entries.
Based on our analysis of U.S. Customs and Border Protection (CBP)
information, we preliminarily determine that (1) Relic Chemicals; (2)
Sagar Specialty Chemicals Pvt., Ltd.; (3) Vcare Medicines; and (4)
Yasho Industries Pvt. Ltd. had no entries of subject merchandise during
the POR. On October 28, 2024, we notified parties of our intent to
rescind this administrative review with respect to the four companies
which had no reviewable suspended entries and invited comments.\9\ No
interested party submitted comments. Therefore, for these four
companies, because no reviewable suspended entries exist during the
POR, we are rescinding this review of the Order, in accordance with 19
CFR 351.213(d)(3). For further information, see the Preliminary
Decision Memorandum.
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\9\ See Memorandum, ``Intent to Rescind Review, in Part,'' dated
October 28, 2024.
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Rate for Non-Selected Companies Under Review
There are four companies for which a review was requested, which
had reviewable entries, and which were not selected as mandatory
respondents or found to be cross-owned with a mandatory respondent.
These four companies are: (1) Connect Chemicals China Co., Ltd.; (2)
Connect Chemicals GMBH; (3) Gold Chemical Limited; and (4) Kanghua
Chemical Co., Ltd. The Act and Commerce's regulations do not address
the establishment of a rate to apply to companies not selected for
individual examination when Commerce limits its examination in an
administrative review pursuant to section 777A(e)(2) of the Act.
However, Commerce normally determines the rates for non-selected
companies in reviews in a manner that is consistent with section
705(c)(5) of the Act, which provides instructions for calculating the
all-others rate in an investigation. Section 705(c)(5)(A)(i) of the Act
instructs Commerce, as a general rule, to calculate an all-others rate
equal to the weighted average of the countervailable subsidy rates
established for exporters and/or producers individually examined,
excluding any rates that are zero, de minimis, or based entirely on
facts available.
In this administrative review, Commerce calculated preliminary
individual countervailable subsidy rates for ATC and Botao that are not
zero, de minimis, or based entirely on facts otherwise available.
Therefore, we are applying to the non-selected companies the average of
the net subsidy rates calculated for ATC and Botao, which we calculated
using publicly ranged sales data.\10\ This methodology to establish the
rate for the non-selected companies uses section 705(c)(5)(A) of the
Act, which governs the calculation of the all-others rate in an
investigation, as guidance. For further information on the calculation
of the non-selected respondent rate, see the Preliminary Decision
Memorandum.
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\10\ With two respondents under examination, Commerce normally
calculates: (A) a weighted-average of the estimated subsidy rates
calculated for the examined respondents; (B) a simple average of the
estimated subsidy rates calculated for the examined respondents; and
(C) a weighted-average of the estimated subsidy rates 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, 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, 53663
(September 1, 2010).
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Preliminary Results of Review
Commerce preliminarily determines that the following net
countervailable subsidy rates exist for the period January 1, 2023,
through December 31, 2023:
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Subsidy rate (percent ad
Company valorem)
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Anhui Trust Chem Co., Ltd.\11\................ 44.65
Nantong Botao Chemical Co., Ltd.\12\.......... 44.06
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Review-Specific Average Rate Applicable to the Following Companies
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Connect Chemicals China Co., Ltd.............. 44.36
Connect Chemicals GMBH........................ 44.36
Gold Chemical Limited......................... 44.36
Kanghua Chemical Co., Ltd \13\................ 44.36
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Disclosure
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\11\ As discussed in the Preliminary Decision Memorandum,
Commerce has found the following companies to be cross-owned with
ATC: Nanjing Trust Chem Col, Ltd. and Jiangsu Trust Chem Co., Ltd.
\12\ As discussed in the Preliminary Decision Memorandum,
Commerce has found the following companies to be cross-owned with
Botao: Rugao Connect Chemical Co., Ltd.; Rugao Jinling Chemical Co.,
Ltd., and Nantong Yutu Group Co., Ltd.
\13\ Formerly known as Nantong Kanghua Chemical Co., Ltd. See
Certain Corrosion Inhibitors from the People's Republic of China:
Notice of Final Results of Antidumping Duty Changed Circumstances
Review, 88 FR 1357 (January 10, 2023).
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We intend to disclose the calculations and analysis performed for
these preliminary results 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 accordance with 19
FR 351.224(b).
Verification
On August 16, 2024, the petitioner \14\ requested that Commerce
conduct verification of ATC and Botao in this review.\15\ Accordingly,
as provided in section 782(i)(3) of the Act, Commerce intends to verify
certain information relied upon in the final results of review.
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\14\ The petitioner is Wincom Inc.
\15\ See Petitioner's Letter, ``Request for Verification,''
dated August 16, 2024.
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Public Comment
Interested parties will be notified of the timeline for the
submission of case briefs and written comments at a later date.
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.\16\ Parties who submit case briefs or rebuttal briefs in this
proceeding are encouraged to submit with each argument: (1) a statement
of the issue; and (2) a table of authorities.\17\ All briefs must be
filed electronically using ACCESS and must be received successfully in
its entirety in ACCESS by 5:00 p.m. Eastern Time on the established
deadline.
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\16\ 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).
\17\ 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 review, we instead request that
interested parties provide at the beginning of their briefs a public,
executive summary for each issue raised in their briefs.\18\ 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 results in this administrative review. 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).\19\
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\18\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\19\ See Administrative Protective Order, Service, and Other
Procedures in Antidumping and Countervailing Duty Proceedings, 88 FR
67069, 67077 (September 29, 2023).
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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, filed electronically via ACCESS. An
electronically filed document must be received successfully in its
entirety by Commerce's electronic records system, ACCESS, by 5:00 p.m.
Eastern Time within 30 days after the date of publication of this
notice.\20\ Requests should contain: (1) the party's name, address, and
telephone number; (2) the number of participants and whether any
participant is a foreign national; and (3) a list of issues to be
discussed. If a request for a hearing is made, we will inform parties
of the scheduled date and time for the hearing.
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\20\ See 19 CFR 351.310(c).
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Cash Deposit Requirements
In accordance with section 751(a)(2)(C) of the Act, Commerce
intends to instruct CBP to collect cash deposits of estimated
countervailing duties in the amount indicated above with regard to
shipments of subject merchandise entered, or withdrawn from warehouse,
for consumption on or after the date of publication of the final
results of this review. If the rate calculated in the final results is
zero or de minimis, no cash deposit will be required on shipments of
the subject merchandise entered or withdrawn from warehouse, for
consumption on or after the date of publication of this review.
For all non-reviewed firms, we will instruct CBP to continue to
collect cash deposits of estimated countervailing duties at the most
recent company-specific or all-others rate applicable to the company,
as appropriate. These cash deposit instructions, when imposed, shall
remain in effect until further notice.
Assessment Rates
In accordance with 19 CFR 351.221(b)(4)(i), we preliminarily
assigned subsidy rates in the amounts shown above for the producers/
exporters shown above. Consistent with section 751(a)(1) of the Act and
19 CFR 351.212(b)(2), upon issuance of the final results, Commerce
shall determine, and U.S. Customs and Border Protection (CBP) shall
assess, countervailing duties on all appropriate entries covered by
this review.
For the companies for which the review is being rescinded with
these preliminary results, Commerce will instruct CBP to assess
countervailing duties on all appropriate entries at a rate equal to the
cash deposit of estimated countervailing duties required at the time of
entry, or withdrawal from warehouse, for consumption, during the period
January 1, 2023, through December 31, 2023, in accordance with
[[Page 30847]]
19 CFR 351.212(c)(1)(i). Commerce intends to issue rescission
instructions to CBP no earlier than 35 days after the date of
publication of this rescission notice in the Federal Register.
For the companies remaining in the review, Commerce will instruct
CBP to assess countervailing duties on all appropriate entries at the
subsidy rates calculated in the final results of this review. Commerce
intends to issue assessment instructions to CBP no earlier than 35 days
after the date of publication of the final results of this review in
the Federal Register. If a timely summons is filed at the U.S. Court of
International Trade, the assessment instructions will direct CBP not to
liquidate relevant entries until the time for parties to file a request
for a statutory injunction has expired (i.e., within 90 days of
publication).
Final Results of Review
Unless the deadline is extended, we intend to issue the final
results of this administrative review, which will include the results
of our analysis of the issues raised in the case briefs, within 120
days of publication of these preliminary results in the Federal
Register, pursuant to section 751(a)(3)(A) of the Act and 19 CFR
351.213(h).
Notification to Interested Parties
We are issuing and publishing these preliminary results in
accordance with sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR
351.213 and 351.221(b)(4).
Dated: July 7, 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
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Partial Rescission of Administrative Review
V. Non-Selected Companies Under Review
VI. Diversification of China's Economy
VII. Use of Facts Otherwise Available and Application of Adverse
Inference
VIII. Subsidies Valuation
IX. Interest Rate, Discount Rate, Input, Electricity, and Land
Benchmarks
X. Analysis of Programs
XI. Recommendation
[FR Doc. 2025-12974 Filed 7-10-25; 8:45 am]
BILLING CODE 3510-DS-P
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