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Notice2026-19521

Certain Freight Rail Couplers and Parts Thereof From India: Final Affirmative Determination of Sales at Less Than Fair Value

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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
------------------------------------------------------------------------
* 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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Indexed from Federal Register on September 24, 2026.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.