Xanthan Gum From the People's Republic of China: Notice of Court Decision Not in Harmony With the Results of Antidumping Duty Administrative Review; Notice of Amended Final Results
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Abstract
On May 12, 2026, the U.S. Court of International Trade (CIT) issued its final judgment in Neimenggu Fufeng Biotechnologies Co., Shandong Fufeng Fermentation Co., Ltd., and Xinjiang Fufeng Biotechnologies Co., Ltd., and Meihua Group International (Hong Kong) Limited and Xinjiang Meihua Amino Acid Co., Ltd., v. United States, Court No. 23-00068, sustaining the U.S. Department of Commerce's (Commerce) second remand results pertaining to the administrative review of the antidumping duty (AD) order on xanthan gum from the People's Republic of China (China) covering the period July 1, 2020, through June 30, 2021. Commerce is notifying the public that the CIT's final judgment is not in harmony with Commerce's final results of the administrative review, and that Commerce is amending the final results with respect to the dumping margin assigned to Fufeng Biotechnologies Co., Ltd. (aka Inner Mongolia Fufeng Biotechnologies Co., Ltd.), Shandong Fufeng Fermentation Co., Ltd., and Xinjiang Fufeng Biotechnologies Co., Ltd. (collectively, Fufeng), and Meihua Group International Trading (Hong Kong) Limited, Langfang Meihua Biotechnology Co., Ltd., and Xinjiang Meihua Amino Acid Co., Ltd. (collectively, Meihua).
Full Text
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<title>Federal Register, Volume 91 Issue 102 (Thursday, May 28, 2026)</title>
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[Federal Register Volume 91, Number 102 (Thursday, May 28, 2026)]
[Notices]
[Pages 31701-31702]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-10627]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-985]
Xanthan Gum From the People's Republic of China: Notice of Court
Decision Not in Harmony With the Results of Antidumping Duty
Administrative Review; Notice of Amended Final Results
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: On May 12, 2026, the U.S. Court of International Trade (CIT)
issued its final judgment in Neimenggu Fufeng Biotechnologies Co.,
Shandong Fufeng Fermentation Co., Ltd., and Xinjiang Fufeng
Biotechnologies Co., Ltd., and Meihua Group International (Hong Kong)
Limited and Xinjiang Meihua Amino Acid Co., Ltd., v. United States,
Court No. 23-00068, sustaining the U.S. Department of Commerce's
(Commerce) second remand results pertaining to the administrative
review of the antidumping duty (AD) order on xanthan gum from the
People's Republic of China (China) covering the period July 1, 2020,
through June 30, 2021. Commerce is notifying the public that the CIT's
final judgment is not in harmony with Commerce's final results of the
administrative review, and that Commerce is amending the final results
with respect to the dumping margin assigned to Fufeng Biotechnologies
Co., Ltd. (aka Inner Mongolia Fufeng Biotechnologies Co., Ltd.),
Shandong Fufeng Fermentation Co., Ltd., and Xinjiang Fufeng
Biotechnologies Co., Ltd. (collectively, Fufeng), and Meihua Group
International Trading (Hong Kong) Limited, Langfang Meihua
Biotechnology Co., Ltd., and Xinjiang Meihua Amino Acid Co., Ltd.
(collectively, Meihua).
DATES: Applicable May 21, 2026.
FOR FURTHER INFORMATION CONTACT: Joseph Molokwu, AD/CVD Operations,
Office IV, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-8043.
SUPPLEMENTARY INFORMATION:
Background
On February 15, 2023, Commerce published its Final Results in the
2020-2021 AD administrative review of xanthan gum from China.\1\
Commerce calculated a weighted average dumping margin of 17.36 percent
for its sole mandatory respondent, Fufeng.\2\ Commerce also assigned
Fufeng's weighted average dumping margin to eligible separate rate
entities (i.e., Meihua).\3\
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\1\ See Xanthan Gum from the People's Republic of China: Final
Results of Antidumping Duty Administrative Review and Final
Determination of No Shipments; 2020-2021, 88 FR 9861 (February
15,2023) (Final Results).
\2\ Id.
\3\ Id.
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Fufeng and Meihua appealed Commerce's Final Results. On December
16, 2024, the CIT remanded the Final Results to Commerce, ordering
Commerce to: (1) explain its determination to directly value energy;
and (2) failure to address arguments regarding the Harmonized System
(HS) subheading for coal.\4\
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\4\ See Neimenggu Fufeng Biotechnologies Co. v. United States,
741 F.Supp.3d 1354 (CIT 2024) (First Remand Order).
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In its first remand redetermination, issued on May 5, 2025,
Commerce found that: (1) its direct valuation of Fufeng's energy
factors of production was appropriate; and (2) Commerce's decision to
value coal using HS 2701.12.9000 was proper.\5\ The CIT sustained
Commerce's direct valuation of energy and remanded Commerce's decision
to value coal using HS 2701.12.9000 for a second time.\6\
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\5\ See Final Results of Redetermination Pursuant to Court
Remand, Neimenggu Fufeng Biotechnologies Co. v. United States, 741
F.Supp.3d 1354 (CIT 2024), dated May 5, 2025, available at <a href="https://access.trade.gov/public/FinalRemandRedetermination.aspx">https://access.trade.gov/public/FinalRemandRedetermination.aspx</a>.
\6\ See Neimenggu Fufeng Biotechnologies Co. v. United States,
816 F. Supp. 3d 1356 (January 30, 2026) (CIT 2026) (Second Remand
Order).
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In its final remand redetermination, issued on April 30, 2026,
Commerce found HS 2701.19 rather than 2701.12.9000 was the proper HS
subheading for valuing Fufeng's coal
[[Page 31702]]
factor of production (FOP).\7\ Commerce's application of HS 2701.19
when valuing the coal factor of production (FOP) reduced Fufeng's
weighed average dumping margin to 0.00 percent.\8\ The CIT sustained
Commerce's final redetermination.\9\
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\7\ See Final Results of Redetermination Pursuant to Court
Remand, Neimenggu Fufeng Biotechnologies Co. v. United States, 816
F.Supp.3d 1356, dated April 30, 2026, available at <a href="https://access.trade.gov/public/FinalRemandRedetermination.aspx">https://access.trade.gov/public/FinalRemandRedetermination.aspx</a>.
\8\ Id.
\9\ See Neimenggu Fufeng Biotechnologies Co. v. United States,
Consol. Court No. 23-00068, Slip Op. 26-49 (CIT May 12, 2026).
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Timken Notice
In its decision in Timken,\10\ as clarified by Diamond
Sawblades,\11\ the U.S. Court of Appeals for the Federal Circuit held
that, pursuant to section 516A(c) and (e) of the Tariff Act of 1930, as
amended (the Act), Commerce must publish a notice of court decision
that is not ``in harmony'' with a Commerce determination and must
suspend liquidation of entries pending a ``conclusive'' court decision.
The CIT's May 12, 2026, judgment constitutes a final decision of the
CIT that is not in harmony with Commerce's Final Results. Thus, this
notice is published in fulfillment of the publication requirements of
Timken.
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\10\ See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir.
1990) (Timken).
\11\ See Diamond Sawblades Manufacturers Coalition v. United
States, 626 F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades).
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Amended Final Results
Because there is now a final court judgment, Commerce is amending
its Final Results with respect to Fufeng, and Meihua as follows:
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Weighted-average
Exporter dumping margin
(percent)
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Neimenggu Fufeng Biotechnologies Co., Ltd. (aka 0.00
Inner Mongolia Fufeng Biotechnologies Co., Ltd.)/
Shandong Fufeng Fermentation Co., Ltd./Xinjiang
Fufeng Biotechnologies Co., Ltd....................
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Non-Individually Examined Companies Receiving a Separate Rate
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Meihua Group International Trading (Hong Kong) 0.00
Limited/Langfang Meihua Biotechnology Co., Ltd.,/
Xinjiang Meihua Amino Acid Co., Ltd................
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We note that Jianlong Biotechnology Co., Ltd.'s (formerly, Inner
Mongolia Jianlong Biochemical Co., Ltd) (Jianlong), and Deosen
Biochemical (Ordos) Ltd.'s, Deosen Biochemical Ltd.'s (collectively,
Deosen) rates of 17.36 percent remain unchanged from the Final Results
as their rates were not subject to litigation.
Cash Deposit Requirements
Because Fufeng and Meihua have a superseding cash deposit rate,
i.e., there have been final results published in a subsequent
administrative review, we will not issue revised cash deposit
instructions to U.S. Customs and Border Protection (CBP). This notice
will not affect the current cash deposit rate.
Liquidation of Suspended Entries
At this time, Commerce remains enjoined by CIT order from
liquidating entries that: were exported by Fufeng, and Meihua and were
entered, or withdrawn from warehouse, for consumption during the period
July 1, 2020, through June 30, 2021. These entries will remain enjoined
pursuant to the terms of the injunction during the pendency of any
appeals process.
In the event the CIT's ruling is not appealed, or, if appealed,
upheld by a final and conclusive court decision, Commerce intends to
instruct CBP to assess antidumping duties on unliquidated entries of
subject merchandise exported by Fufeng and Meihua in accordance with 19
CFR 351.212(b). We will instruct CBP to assess antidumping duties on
all appropriate entries covered by this review when the importer-
specific ad valorem assessment rate is not zero or de minimis. Where an
import-specific ad valorem assessment rate is zero or de minimis,\12\
we will instruct CBP to liquidate the appropriate entries without
regard to antidumping duties.
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\12\ See 19 CFR 351.106(c)(2).
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Notification to Interested Parties
This notice is issued and published in accordance with sections
516A(c) and (e) and 777(i)(1) of the Act.
Dated: May 22, 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.
[FR Doc. 2026-10627 Filed 5-27-26; 8:45 am]
BILLING CODE 3510-DS-P
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