Nitrile Rubber: Commerce Issues AD Duty Final Determinations for France, Mexico, South Korea
The Commerce Department issued its final determinations in the antidumping duty investigations on acrylonitrile-butadiene rubber (AB rubber) from France (A-827-832), Mexico (A-201-855) and South Korea (A-580-912). Cash deposit rates set in this final determination take effect June 24, the scheduled publication for these final determinations in the Federal Register.
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The next step is for the International Trade Commission to make its final injury determination, currently scheduled for Aug. 1, according to a Commerce fact sheet. If the ITC finds injury, Commerce will issue an AD duty order and duties will be made permanent. If the ITC finds no injury, the investigation will be terminated and all cash deposits will be refunded.
Scope Amended to Clarify Coverage of Third Components
In these final determinations, Commerce is amending the scope to clarify that AB rubber is only subject to AD duties if it has methacrylic acid or isoprene as a third component in addition to butadiene and acrylonitrile, or has no third component at all. "AB Rubber products that include a third component that is not methacrylic acid or isoprene are not covered by the scope," the new scope language says.
Critical Circumstances for Some French, South Korean Companies; Cash Deposits Retroactive 90 Days
Commerce continued to find that all exporters of AB rubber from France except Arlanxeo (i.e., the "all others" companies), as well as all exporters of AB rubber from South Korea except Kumho (i.e., LG Chem and the "all others" companies) increased their exports to the U.S. in the months before the preliminary determination. As a result of this “critical circumstances” finding, the agency will continue to retroactively require AD duty cash deposits for subject merchandise from these companies 90 days before the preliminary determination, i.e., Nov. 4, 2021.
Estimated AD Cash Deposit Rates
Commerce will instruct CBP to continue to suspend liquidation for AD duty purposes and collect cash deposits for subject merchandise entered on or after the dates listed below, and set cash deposit rates as follows, beginning June 24:
France
| Exporter/Producer | AD Rate | Sus. Liq. |
|---|---|---|
| Arlanxeo Emulsion Rubber France S.A.S. | 81.86% | 02/02/22 |
| All Others | 81.86% | 11/04/21 |
Mexico
| Exporter/Producer | AD Rate | Sus. Liq. |
|---|---|---|
| Industrias Negromex S.A. de C.V. | 18.45% | 02/02/22 |
| All Others | 18.45% | 02/02/22 |
South Korea
| Exporter/Producer | AD Rate | Sus. Liq. |
|---|---|---|
| Kumho Petrochemical Co., Ltd. | 18.8% | 02/02/22 |
| LG Chemical, Ltd. | 35.31% | 11/04/21 |
| All Others | 18.8% | 11/04/21 |
(The period of investigation is 04/01/20 - 03/31/21. See Commerce’s notice for more information, including the scope of the investigation (unchanged), detailed instructions on cash deposit rates, etc. See 2202010057 for a summary of the preliminary determination of this investigation.)