Notice2026-11119
Certain Large Vertical Shaft Engines Between 225cc and 999cc, and Parts Thereof from The People's Republic of China: Final Results of the Expedited First Sunset Review of the Countervailing Duty Order
Primary source
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Published
June 3, 2026
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) finds that revocation of the countervailing duty (CVD) order on certain large vertical shaft engines between 225cc and 999cc, and parts thereof (vertical shaft engines) from the People's Republic of China (China) would be likely to lead to continuation or recurrence of countervailable subsidies at the levels indicated in the "Final Results of Sunset Review" section of this notice.
Full Text
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<title>Federal Register, Volume 91 Issue 106 (Wednesday, June 3, 2026)</title>
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[Federal Register Volume 91, Number 106 (Wednesday, June 3, 2026)]
[Notices]
[Pages 33141-33142]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-11119]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-120]
Certain Large Vertical Shaft Engines Between 225cc and 999cc, and
Parts Thereof from The People's Republic of China: Final Results of the
Expedited First Sunset Review of the Countervailing Duty Order
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) finds that
revocation of the countervailing duty (CVD) order on certain large
vertical shaft engines between 225cc and 999cc, and parts thereof
(vertical shaft engines) from the People's Republic of China (China)
would be likely to lead to continuation or recurrence of
countervailable subsidies at the levels indicated in the ``Final
Results of Sunset Review'' section of this notice.
DATES: Applicable June 3, 2026.
FOR FURTHER INFORMATION CONTACT: David De Falco, Trade Agreements
Policy and Negotiations, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230; telephone: (202) 482-2178.
SUPPLEMENTARY INFORMATION:
Background
On March 4, 2021, Commerce published the CVD order on vertical
shaft engines from China.\1\ On February 2, 2026, Commerce published
the notice of initiation of the first sunset review of the Order,
pursuant to section 751(c) of the Tariff Act of 1930, as amended (the
Act), and 19 CFR 351.218(c).\2\
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\1\ See Certain Vertical Shaft Engines Between 225cc and 999cc,
and Parts Thereof from the People's Republic of China:
Countervailing Duty Order and Amended Final Affirmative
Countervailing Duty Determination, 86 FR 12619 (March 4, 2021)
(Order).
\2\ See Initiation of Five-Year (Sunset) Reviews, 91 FR 4499
(February 2, 2026).
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On February 17, 2026, Commerce received a notice of intent to
participate in this review from Briggs & Stratton, LLC (Briggs &
Stratton) \3\ and Discovery Energy, LLC (Discovery) \4\ (collectively,
[[Page 33142]]
the domestic interested parties), within the deadline specified in 19
CFR 351.218(d)(1)(i). The domestic interested parties claims interested
party status within the meaning of section 771(9)(C) of the Act and 19
CFR 351.102(b)(29)(v) as producers of the domestic like product.\5\
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\3\ See Briggs & Stratton's Letter, ``Five-Year (``Sunset'')
Review of the Antidumping and Countervailing Duty Orders on Certain
Vertical Shaft Engines Between 225cc and 999cc, and Parts Thereof
from the People's Republic of China: Domestic Industry's Notice of
Intent to Participate,'' dated February 17, 2026.
\4\ See Discovery's Letter, ``Certain Vertical Shaft Engines
Between 225cc and 999cc, and Parts Thereof from the People's
Republic of China: Notie of Intent to Participate in Sunset
Review,'' dated February 17, 2026.
\5\ Id. at 2.
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On March 4, 2026, Commerce received an adequate substantive
response from the domestic interested parties, within the 30-day
deadline specified in 19 CFR 351.218(d)(3)(i).\6\ Commerce did not
receive a substantive response from either the Government of China or a
respondent interested party to this proceeding. On March 27, 2026,
Commerce notified the U.S. International Trade Commission (ITC) that it
did not receive an adequate substantive response from respondent
interested parties.\7\ As a result, Commerce conducted an expedited
(120-day) sunset review of the Order, pursuant to section 751(c)(3)(B)
of the Act and 19 CFR 351.218(e)(1)(ii)(B)(2) and (C)(2).
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\6\ See Domestic Interested Parties' Letter, ``Certain Vertical
Shaft Engines Between 225cc and 999cc, and Parts Thereof from the
People's Republic of China: Substantive Response to Notice of
Initiation,'' dated March 4, 2026.
\7\ See Commerce's Letter, ``Sunset Reviews Initiated February
2, 2026,'' dated March 27, 2026.
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Scope of the Order
The products covered by the Order are vertical shaft engines from
China. For a full description of the scope of the Order, see the Issues
and Decisions Memorandum.\8\
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\8\ See Memorandum, ``Issues and Decision Memorandum for the
Final Results of the Expedited Sunset Review of the Countervailing
Duty Order on Certain Large Vertical Shaft Engines Between 225cc and
999cc, and Parts Thereof from the People's Republic of China,''
dated concurrently with, and hereby adopted by, this notice (Issues
and Decision Memorandum).
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Analysis of Comments Received
A complete discussion of all issues raised in this sunset review,
including the likelihood of continuation or recurrence of subsidization
and the countervailable subsidy rates likely to prevail if the Order
were to be revoked, is contained in the Issues and Decision
Memorandum.\9\ A list of the topics discussed in the Issues and
Decision Memorandum is attached as an appendix to this notice. 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),
which is available to registered users at <a href="https://access.trade.gov">https://access.trade.gov</a>. In
addition, complete versions of the Issues and Decision Memorandum can
be accessed directly at <a href="https://access.trade.gov/frnotices">https://access.trade.gov/frnotices</a>.
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\9\ Id.
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Final Results of Sunset Review
Pursuant to sections 751(c) and 752(b) of the Act, Commerce
determines that revocation of the Order would be likely to lead to
continuation or recurrence of countervailable subsidies at the
following net countervailable subsidy rates:
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Net countervailable
Producers/exporters subsidy rate (percent
ad valorem)
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Loncin Motor Co................................ 18.96
Chongqing Zongshen General Power Machine Co.... 20.38
All Others..................................... 19.85
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Notification Regarding Administrative Protective Order (APO)
This notice also serves as the only reminder to parties subject to
an APO of their responsibility concerning the return or destruction of
proprietary information disclosed under APO in accordance with 19 CFR
351.305. Timely notification of the return or destruction of APO
materials, or conversion to judicial protective, orders is hereby
requested. Failure to comply with the regulations and terms of an APO
is a violation which is subject to sanction.
Notification to Interested Parties
We are issuing and publishing these final results in accordance
with sections 751(c), 752(b), and 777(i)(1) of the Act, and 19 CFR
351.221(c)(5)(ii).
Dated: May 29, 2026.
Scot Fullerton,
Acting Deputy Assistant Secretary for Antidumping and Countervailing
Duty Operations.
Appendix
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. History of the Order
V. Legal Framework
VI. Discussion of the Issues
1. Likelihood of Continuation or Recurrence of a Countervailable
Subsidy
2. Net Countervailable Subsidy Rates Likely to Prevail
3. Nature of the Subsidies
VII. Final Results of Sunset Review
VIII. Recommendation
[FR Doc. 2026-11119 Filed 6-2-26; 8:45 am]
BILLING CODE 3510-DS-P
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