Chlorinated Isocyanurates From the People's Republic of China: Preliminary Results and Rescission, in Part, of Countervailing Duty Administrative Review; 2023
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Abstract
The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to Heze Huayi Chemical Co. Ltd. (Heze Huayi), a producer and exporter of chlorinated isocyanurates (chlorinated isos) 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 41 companies. Interested parties are invited to comment on these preliminary results.
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<title>Federal Register, Volume 91 Issue 92 (Wednesday, May 13, 2026)</title>
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[Federal Register Volume 91, Number 92 (Wednesday, May 13, 2026)]
[Notices]
[Pages 27027-27029]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-09461]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-991]
Chlorinated Isocyanurates From the People's Republic of China:
Preliminary Results and Rescission, in Part, 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 are being provided to Heze
Huayi Chemical Co. Ltd. (Heze Huayi), a producer and exporter of
chlorinated isocyanurates (chlorinated isos) 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 41 companies. Interested parties are
invited to comment on these preliminary results.
DATES: Applicable May 13, 2026.
FOR FURTHER INFORMATION CONTACT: Sun Cho, 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) 482-6458.
SUPPLEMENTARY INFORMATION:
Background
On December 18, 2024, based on timely requests for review, in
accordance with 19 CFR 351.221(c)(1)(i), we initiated an administrative
review of the countervailing duty (CVD) order on chlorinated isos from
China.\1\
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\1\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 89 FR 102856 (December 18, 2024) (Initiation
Notice); see also Chlorinated Isocyanurates from the People's
Republic of China: Countervailing Duty Order, 79 FR 67424 (November
13, 2014) (Order).
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Due to the lapse in appropriations and Federal Government shutdown,
on November 14, 2025, Commerce tolled all deadlines in administrative
proceedings by 47 days.\2\ Further, due to a backlog of documents that
were electronically filed via Enforcement and Compliance's Antidumping
and Countervailing Duty Centralized Electronic Service System (ACCESS)
during the Federal Government shutdown, on November 24, 2025, Commerce
tolled all deadlines in administrative proceedings by an additional 21
days.\3\ On December 9, 2025, we further extended the deadline for the
preliminary results of this review until May 7, 2026.\4\ Accordingly,
the deadline for these preliminary results is now May 7, 2026.
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\2\ See Memorandum, ``Deadlines Affected by the Shutdown of the
Federal Government,'' dated November 14, 2025.
\3\ See Memorandum, ``Tolling of all Case Deadlines,'' dated
November 24, 2025.
\4\ See Memorandum, ``Extension of Deadline for Preliminary
Results of Countervailing Duty Administrative Review,'' dated
December 9, 2025.
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For a complete description of the events that followed the
initiation of this review, see the Preliminary Decision Memorandum.\5\
A list of topics included in the Preliminary Decision Memorandum is
provided as Appendix I to this notice. The Preliminary Decision
Memorandum is a public document and is on file electronically via
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/frnotices">https://access.trade.gov/frnotices</a>.
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\5\ See Memorandum, ``Decision Memorandum for the Preliminary
Results of the Administrative Review of the Countervailing Duty
Order on Chlorinated Isocyanurates 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 chlorinated isos from China.
For a complete description of the scope of the Order, see the
Preliminary Decision Memorandum.
Rescission of Administrative Review, in Part
Pursuant to 19 CFR 351.213(d)(3), it is Commerce's practice to
rescind an administrative review of a countervailing duty order where
it concludes that there were no suspended entries of subject
merchandise during the POR.\6\ Normally, upon completion of an
administrative review, the suspended entries are liquidated at the CVD
assessment rate calculated for the POR.\7\ Therefore, for an
administrative review to be conducted, there must be a reviewable,
suspended entry that Commerce can instruct U.S. Customs and Border
Protection (CBP) to liquidate at the CVD rate calculated for the
POR.\8\ Commerce notified all interested parties of its intent to
rescind this administrative review regarding the companies listed in
Appendix II.\9\ No party commented on this memorandum. In the absence
of any suspended entries of subject merchandise from these
[[Page 27028]]
companies during the POR, we are rescinding this administrative review
for the companies listed in Appendix II, in accordance with 19 CFR
351.213(d)(3).
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\6\ See, e.g., Certain Non-Refillable Steel Cylinders from the
People's Republic of China: Rescission of Countervailing Duty
Administrative Review; 2024, 90 FR 48043 (October 3, 2025).
\7\ See 19 CFR 351.212(b)(2).
\8\ See, e.g., Shanghai Sunbeauty Trading Co. v. United States,
380 F.Supp.3d 1328, 1337 (CIT 2019), at 12 (referring to section
751(a) of the Act, the U.S. Court of International Trade held that
``{w{time} hile the statute does not explicitly require that an
entry be suspended as a prerequisite for establishing entitlement to
a review, it does explicitly state the determined rate will be used
as the liquidation rate for the reviewed entries. This result can
only obtain if the liquidation of entries has been suspended''; see
also Certain Frozen Fish Fillets from the Socialist Republic of
Vietnam: Final Results of Antidumping Duty Administrative Review and
Final Determination of No Shipments; 2018-2019, 86 FR 36102, and
accompanying Issues and Decision Memorandum at Comment 4; and Solid
Fertilizer Grade Ammonium Nitrate from the Russian Federation:
Notice of Rescission of Antidumping Duty Administrative Review, 77
FR 65532 (October 29, 2012) (noting that ``for an administrative
review to be conducted, there must be a reviewable, suspended entry
to be liquidated at the newly calculated assessment rate'').
\9\ See Memorandum, ``Notice of Intent to Rescind Review, in
Part'' dated March 18, 2026.
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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.\10\ For a full description
of the methodology underlying our conclusions, including our reliance,
in part, on facts otherwise available with adverse inferences pursuant
to sections 776(a) and (b) of the Act, see the Preliminary Decision
Memorandum.
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\10\ 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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Preliminary Results of Review
As a result of this review, we preliminarily determine the
following net countervailable subsidy rate exists for the POR, January
1, 2023, through December 31, 2023:
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Subsidy rate
Company (percent ad
valorem)
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Heze Huayi Chemical Co., Ltd........................... 18.71
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Disclosure
Commerce intends to disclose its calculations and analysis
performed to interested parties for these preliminary results 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 CFR 351.224(b).
Verification
As provided in section 782(i)(3) of the Act, Commerce intends to
verify the information relied upon in making its final results.
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 review. 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\ All briefs must be
filed electronically using ACCESS. An electronically-filed document
must be received successfully in its entirety in ACCESS by 5:00 p.m.
Eastern Time on the established deadline.
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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 Procedures).
\12\ See 19 CFR 351.309(c)(2) and (d)(2)
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As provided under 19 CFR 351.309(c)(2)(iii) and (d)(2)(iii), we
request that 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
executive summary of each issue to no more than 450 words, not
including citations. We intend to use the 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 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 Procedures.
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing must submit a written request to the Assistant
Secretary for Enforcement and Compliance, filed electronically via
ACCESS by 5:00 p.m. Eastern Time within 30 days after the date of
publication of this notice. Requests should contain: (1) the party's
name, address, and telephone number; (2) the number of participants;
and (3) a list of 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 will inform parties of the scheduled
date for the hearing.\15\
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\15\ See 19 CFR 351.310(d).
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Assessment Rates
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 CBP shall assess, countervailing duties on all
appropriate entries covered by this review.
For the companies listed in Appendix II for which the review is
being rescinded, 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, in accordance with 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 in the Federal Register.
Commerce intends to issue assessment instructions to CBP regarding
Heze Huayi 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 of this
notice).
Cash Deposit Requirements
Pursuant to section 751(a)(2)(C) of the Act and 19 CFR 351.107(e),
Commerce intends to instruct CBP to collect cash deposits of estimated
countervailing duties 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, as follows:
(1) the cash deposit rate for the company listed above will be equal to
the company-specific estimated individual countervailable subsidy rates
determined in the final results of this review, except if the rate is
less than 0.50 percent and, therefore, de minimis within the meaning of
19 CFR 351.106(c)(1), in which case the cash deposit rate will be zero;
(2) if both the producer and exporter of the subject merchandise have
company-specific estimated subsidy rates assigned, and their rates
differ, then the applicable cash deposit rate will be the higher of
these two rates; (3) if either the producer or the exporter, but not
both, of the subject merchandise has a company-specific estimated
subsidy rate assigned, the applicable cash deposit rate will be that
company's company-specific rate; and (4) the cash deposit rate for all
other producers and exporters will be continue to be 10.81 percent, the
all-others subsidy rate established in the investigation.\16\ These
cash deposit instructions, when imposed, shall remain in effect until
further notice.
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\16\ See Order.
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[[Page 27029]]
Final Results of Review
Unless the deadline is extended, Commerce intends to issue the
final results of this administrative review, which will include the
results of Commerce's 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)(1).
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
351.221(b)(4).
Dated: May 7, 2026.
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
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Rescission of Administrative Review, In Part
V. Diversification of China's Economy
VI. Use of Facts Otherwise Available and Application of Adverse
Inference
VII. Subsidies Valuation
VIII. Benchmarks
IX. Analysis of Programs
X. Recommendation
Appendix II
List of Companies Rescinded From Review
1. A.H.A International Co., Ltd
2. Anhui Hongze New Material Technology
3. Canaxy Asia Limited
4. Centurion Chemicals Co Ltd.
5. Chemball (Hangzhou) Chemicals Co., Ltd.
6. Dalian Trico Chemical Co Ltd.
7. Eastar International Trading (Shanghai)
8. Gigacloud Technology (Suzhou) Company
9. Hangzhou Keli Chemical Co., Ltd.
10. Hebei Ferturea Trade Co., Ltd.
11. Hebei Fuhui Water Treatment Co., Ltd.
12. Hebei Haida Chemical Industry Co Ltd.
13. Hebei Higwi Trade Co Ltd.
14. Hebei Jiheng Chemical Co., Ltd.
15. Henan QX Trade Co., Ltd.
16. Henan Saifu Trading Co., Ltd.
17. Henan Zerui New Material
18. Huangshan Jinfeng Industrial Co., Ltd.
19. Hydrotech Investment Corporation
20. Jinchang International Forwarding
21. Juancheng Kangtai Chemical Co., Ltd.
22. Orient Express Container (Shanghai)
23. Presafer Qingyuan Phosphor Chemical
24. Qingdao Best Chemical Company Limited
25. Qingdao Hot Chemicals Co., Ltd.
26. Qingdao Huaxijin Industry and Trade
27. Qingdao Sinosalt Chemical Co., Ltd.
28. RS Logistics Limited
29. Safety Shield (Qingdao) Technology
30. Shandong Jianbang New Material
31. Shandong Lichen Chemical Co., Ltd.
32. Shandong Orange Joy Co., Ltd.
33. Shandong QC Industry Co., Ltd.
34. Shandong Wolan Biologic Group Co.
35. Shanghai JiuHan Trading Co Ltd.
36. Tech-Power (Huangshan) Ltd.
37. Tianjin DSC International Trade Co.
38. Ultrafast Chemical Logistics (Shanghai)
39. Weifang Longshuo Chemical Co., Ltd.
40. Yiwu Leixi Trading Company
41. Ynnovate Sanzheng (Yingkou)
[FR Doc. 2026-09461 Filed 5-12-26; 8:45 am]
BILLING CODE 3510-DS-P
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