Notice2026-19521
Certain Freight Rail Couplers and Parts Thereof From India: Final Affirmative Determination of Sales at Less Than Fair Value
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
September 24, 2026
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) determines that certain freight rail couplers and parts thereof (freight rail couplers) from India are being, or are likely to be, sold in the United States at less than fair value (LTFV). The period of investigation (POI) is July 1, 2024, through June 30, 2025.
Full Text
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<title>Federal Register, Volume 91 Issue 184 (Thursday, September 24, 2026)</title>
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[Federal Register Volume 91, Number 184 (Thursday, September 24, 2026)]
[Notices]
[Pages 60588-60591]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-19521]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-533-940]
Certain Freight Rail Couplers and Parts Thereof From India: 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
certain freight rail couplers and parts thereof (freight rail couplers)
from India are being, or are likely to be, sold in the United States at
less than fair value (LTFV). The period of investigation (POI) is July
1, 2024, through June 30, 2025.
DATES: Applicable September 24, 2026.
FOR FURTHER INFORMATION CONTACT: Colin Thrasher, 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) 482-3004.
SUPPLEMENTARY INFORMATION:
Background
On May 6, 2026, Commerce published in the Federal Register its
preliminary affirmative determination in the LTFV investigation of
freight rail couplers from India.\1\ In the Preliminary Determination,
Commerce postponed the final determination until September 18, 2026,
and invited interested parties to comment on the Preliminary
Determination. A summary of the events that occurred since Commerce
published its Preliminary Determination, as well as a full discussion
of the issues raised by parties for this final determination, may be
found in the Issues and Decision Memorandum.\2\
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\1\ See Certain Freight Rail Couplers and Parts Thereof from
India: Preliminary Affirmative Determination of Sales at Less Than
Fair Value, Postponement of Final Determination, and Extension of
Provisional Measures, 91 FR 24517 (May 6, 2026) (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 Certain Freight Rail Couplers and Parts Thereof
from India,'' 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, which 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/frnotices">https://access.trade.gov/frnotices</a>.
Scope of the Investigation
The products covered by this investigation are freight rail
couplers from India. For a complete description of the scope of this
investigation, see Appendix I.
Scope Comments
Commerce received comments from interested parties on the scope of
the investigation as it appeared in the Preliminary Determination.\3\
For the
[[Page 60589]]
final determination, Commerce made no changes to the scope of the
investigation from that published in the Preliminary Determination.\4\
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\3\ See Memorandum, ``Less-Than-Fair-Value Investigations of
Certain Freight Couplers and Parts Thereof from the Czech Republic
and India and Countervailing Duty Investigation of Certain Freight
Rail Couplers and Parts Thereof from India: Final Scope Decision
Memorandum,'' dated concurrently with, and hereby adopted by, this
notice.
\4\ Id.
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Verification
Commerce conducted verification of the information relied upon in
making its final determination in this investigation, in accordance
with section 782(i) of the Tariff Act of 1930, as amended (the Act).
Specifically, Commerce conducted on-site verification of the sales and
cost information submitted by Kharagpur Metal Reforming Industries Pvt
Ltd (Kharagpur) and Texmaco Rail and Engineering Limited (Texmaco).\5
\We used standard verification procedures, including an examination of
relevant sales and accounting records, and original source documents
provided by Kharagpur and Texmaco.
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\5\ See Memoranda, ``Verification of the Sales Responses of
Texmaco Rail and Engineering Limited,'' dated July 30, 2026;
``Verification of the Sales Responses of Kharagpur Metal Reforming
Industries Pvt. Ltd,'' dated July 23, 2026; ``Verification of the
Cost Response of Texmaco Rail and Engineering Limited,'' dated
August 13, 2026; and ``Verification of the Cost Response of
Kharagpur Metal Reforming Industries Pvt. Ltd.,'' dated August 17,
2026.
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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. For a list of the issues addressed in the
Issues and Decision Memorandum, see Appendix II.
Changes Since the Preliminary Determination
We made certain changes since the Preliminary Determination. For a
discussion of these changes, see the Issues and Decision Memorandum.
Methodology
Commerce is conducting this investigation in accordance with
section 731 of the Act. Export price is calculated in accordance with
section 772(a) of the Act. Normal value is calculated in accordance
with section 773 of the Act.
Pursuant to sections 776(a) and (b) of the Act, Commerce is relying
upon facts otherwise available, with adverse inferences (AFA), for
Bhilai Engineering Corporation Ltd. and Jupiter Wagons Ltd. For a full
description of the methodology underlying the determination to apply
AFAto Bhilai Engineering Corporation Ltd. and Jupiter Wagons Ltd., see
the Preliminary Determination PDM. These determinations remain
unchanged in the final determination.
All-Others Rate
Section 735(c)(5)(A) of the Act provides that Commerce shall
determine an estimated all-others rate for all other exporters and
producers not individually examined. This rate shall be an amount equal
to the weighted average of the estimated weighted-average dumping
margins established for exporters and producers individually examined,
excluding rates that are zero, de minimis, or determined entirely under
section 776 of the Act.
In this investigation, Commerce calculated estimated weighted-
average dumping margins for Texmaco and Kharagpur that are not zero, de
minimis, or based entirely on facts otherwise available. Accordingly,
Commerce calculated the all-others rate using a weighted average of the
dumping margins calculated for the examined respondents relying on
publicly-ranged sales data.\6\
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\6\ With two respondents under examination, Commerce normally
calculates: (A) a weighted-average of the estimated weighted-average
dumping margins calculated for the examined respondents; (B) a
simple average of the estimated weighted-average dumping margins
calculated for the examined respondents; and (C) a weighted-average
of the estimated weighted-average dumping margins calculated for the
examined respondents using each company's publicly-ranged U.S. sales
values 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, 53662
(September 1, 2010), and accompanying Issues and Decision Memorandum
at Comment 1. In this investigation, Commerce based the all-others
rate on the publicly-ranged sales data of the mandatory respondents.
For a complete analysis of the data, see Memorandum, ``Final
Calculation of All-Others Rate,'' dated concurrently with this
determination.
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Final Determination
Commerce determines that the following estimated weighted-average
dumping margins exist for the period July 1, 2024, through June 30,
2025:
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Cash deposit rate
Weighted-average (adjusted for
Exporter/producer dumping margin subsidy offset(s))
(percent) (percent)
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Bhilai Engineering Corporation * 71.01 71.01
Ltd............................
Jupiter Wagons Ltd.............. * 71.01 71.01
Kharagpur Metal Reforming 2.32 0.00
Industries Pvt Ltd.............
Texmaco Rail and Engineering 15.79 12.10
Limited........................
All Others...................... 5.24 1.55
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* Rate is based on facts available with adverse inferences.
Disclosure
Commerce intends to disclose the calculations and analysis
performed in connection with 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 publication of the notice
in the Federal Register, in accordance with 19 CFR 351.224(b).
Continuation of Suspension of Liquidation and Cash Deposit Requirements
In accordance with section 735(c)(1)(B) of the Act, Commerce will
instruct U.S. Customs and Border Protection (CBP) to continue to
suspend liquidation of all entries of subject merchandise, as described
in Appendix I of this notice, which were entered, or withdrawn from
warehouse, for consumption on or after May 6, 2026, the date of
publication of the Preliminary Determination in the Federal Register.
Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR
351.210(d), upon the publication of this notice, we will instruct CBP
to require a cash deposit for estimated antidumping duties for such
entries as follows: (1) the cash deposit rate for the respondent listed
above will be equal to the company-specific estimated weighted-average
[[Page 60590]]
dumping margin determined in this final determination; (2) if the
exporter is not a respondent identified above, but the producer is,
then the cash deposit rate will be equal to the company-specific
estimated weighted-average dumping margin established for that producer
of the subject merchandise; and (3) the cash deposit rate for all other
producers and exporters will be equal to the all-others estimated
weighted-average dumping margin. These suspension of liquidation
instructions will remain in effect until further notice.
To determine the cash deposit rates in an LTFV investigation,
Commerce normally adjusts the estimated weighted-average dumping
margins by the amount of domestic pass-through and export subsidies
countervailed in the companion countervailing duty (CVD) investigation.
Accordingly, where Commerce has made a final affirmative determination
of countervailable export subsides, Commerce offsets the estimated
weighted average dumping margins in the LTFV investigation by the
appropriate export subsidy rate from the companion CVD
investigation.\7\ Commerce has continued to adjust the cash deposit
rate for export subsidies found in the companion CVD investigation by
the appropriate export subsidy rate; however, the suspension of
liquidation of provisional measures in the companion CVD case has been
discontinued.\8 \Therefore, we are not instructing CBP to collect cash
deposits based on the adjusted estimated weighted-average dumping
margin for 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 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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\7\ See Memorandum, ``Final Calculation of All-Others Rate,''
dated concurrently with this notice.
\8\ See Certain Freight Rail Couplers and Parts Thereof from
India: Preliminary Affirmative Countervailing Duty Determination and
Alignment of Final Determination with Final Antidumping Duty
Determination, 91 FR 10370 (March 3, 2026).
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U.S. International Trade Commission (ITC) Notification
In accordance with section 735(d) of the Act, we will notify the
ITC of our final affirmative determination of sales at LTFV. Because
the final determination in this proceeding is affirmative, in
accordance with section 735(b)(2) of the Act, the ITC will make its
final determination as to whether the domestic industry in the United
States is materially injured, or threatened with material injury, by
reason of imports of freight rail couplers from India no later than 45
days after this final determination. If the ITC determines that
material injury or threat of material injury does not exist, the
proceeding will be terminated and all cash deposits will be refunded or
canceled, and suspension of liquidation will be lifted. If the ITC
determines that such injury does exist, Commerce will issue an AD order
directing CBP to assess, upon further instruction by Commerce,
antidumping duties on all imports of the subject merchandise that are
entered, or withdrawn from warehouse, for consumption on or after the
effective date of the suspension of liquidation, as discussed above in
the ``Suspension of Liquidation'' section.
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 sanctionable violation.
Notification to Interested Parties
This final determination and notice are issued and published in
accordance with sections 735(d) and 777(i) of the Act, and 19 CFR
351.210(c).
Dated: September 18, 2026.
Steven Presing,
Executive Director for Policy and Negotiations.
Appendix I
Scope of the Investigation
The scope of this investigation covers certain freight railcar
couplers (also known as ``fits'' or ``assemblies'') and parts
thereof. Freight rail couplers are composed of two main parts,
namely knuckles and coupler bodies but may also include other items
(e.g., coupler locks, lock lift assemblies, knuckle pins, knuckle
throwers, and rotors). The parts covered by this investigation
include: (1) E coupler bodies; (2) E/F coupler bodies; (3) F coupler
bodies; (4) E knuckles; and (5) F knuckles; as set forth by the
Association of American Railroads (AAR). The freight rail coupler
parts are included within the scope of this investigation when
imported individually. Coupler locks, lock lift assemblies, knuckle
pins, knuckle throwers, and rotors are covered merchandise when
imported in an assembly but are not covered by the scope when
imported separately.
Subject freight rail couplers and parts are included within the
scope whether finished or unfinished, whether imported individually
or with other subject or nonsubject parts, whether assembled or
unassembled, whether mounted or unmounted, or if joined with
nonsubject merchandise, such as other nonsubject parts or a
completed railcar. Finishing includes, but is not limited to, arc
washing, welding, grinding, shot blasting, heat treatment,
machining, and assembly of various parts. When a subject coupler or
subject parts are mounted on or to other nonsubject merchandise,
such as a railcar, only the coupler or subject parts are covered by
the scope.
The finished products covered by the scope of this investigation
meet or exceed the AAR specifications of M-211, ``Foundry and
Product Approval Requirements for the Manufacture of Couplers,
Coupler Yokes, Knuckles, Follower Blocks, and Coupler Parts,'' and/
or AAR M-215 ``Coupling Systems,'' or other equivalent domestic or
international standards (including any revisions to the
standard(s)).
The country of origin for subject couplers and parts thereof,
whether fully assembled, unfinished or finished, or attached to a
railcar, is the country where the subject coupler parts were cast or
forged. Subject merchandise includes coupler parts as defined above
that have been further processed or further assembled, including
those coupler parts attached to a railcar in third countries.
Further processing includes, but is not limited to, arc washing,
welding, grinding, shot blasting, heat treatment, painting, coating,
priming, machining, and assembly of various parts. The inclusion,
attachment, joining, or assembly of nonsubject parts with subject
parts or couplers either in the country of manufacture of the in-
scope product or in a third country does not remove the subject
parts or couplers from the scope.
The couplers that are the subject of this investigation are
currently classifiable in the Harmonized Tariff Schedule of the
United States (HTSUS) statistical reporting number 8607.30.1010,
8607.30.1050, and 8607.30.1090. Subject merchandise attached to
finished railcars may also enter under HTSUS statistical reporting
numbers 7326.90.8688, 8606.10.0000, 8606.91.0000, 8606.92.0000,
8606.99.0130, or under subheading 8606.99.0160. Subject merchandise
may also be imported under HTSUS statistical reporting number
7325.99.5000. These HTSUS subheadings are provided for convenience
and customs purposes only; the written description of the scope of
this investigation is dispositive.
Appendix II
List of Topics Discussed in the Issues and Decision Memorandum
I. Summary
II. Background
III. Changes Since the Preliminary Determination
IV. Discussion of the Issues
Comment 1: Price Difference Methodology
Comment 2: Cost-Based Particular Market Situation (PMS)
Comment 3: Sales-Based PMS
Comment 4: Constructed Value Profit
[[Page 60591]]
Comment 5: Cash Deposit Subsidy Offset
Comment 6: U.S. Sales Surcharge
Comment 7: Application of Total AFA Kharagpur--Cost
Comment 8: Cost Verification Finding
Comment 9: Scrap Offset
Comment 10: Revised Sales Databases
Comment 11: Application of AFA
Comment 12: Application of Total AFA--Cost
Comment 13: Application of Partial AFA--Cost
Comment 14: Scrap and Consumables Costs
Comment 15: Sales Versus Production Quantities
Comment 16: Cost Reporting Methodology
Comment 17: Cost Programming
V. Recommendation
[FR Doc. 2026-19521 Filed 9-23-26; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on September 24, 2026.
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