China & Austria Xanthan Gum: New AD Investigations Deadlines & Scope

The period of investigation for China is Oct. 1, 2011, through March 31, 2012. The period of investigation for Austria is April 1, 2011, through March 31, 2012.

Alleged AD/CV Margins

An ITA fact sheet says the alleged dumping margins for xanthan gum from China and Austria are 154.07% and 145.2%, respectively.

AD Respondent Selection

For the China investigation, the ITA will request quantity and value information from all known exporters and producers identified with complete contact information in the petition. The quantity and value data received from these Chinese and Austrian exporters/producers will be used as the basis to select the mandatory respondents. Responses to the Q&V questionnaire are due no later than July 16.

Exporters and producers of stainless steel sinks that do not receive Q&V questionnaires from the ITA but intend to submit a response can obtain a copy here.

For the Austria investigation, the ITA said the CBP data that it usually relies on to select respondents in market-economy countries cannot be isolated to identify imports of subject merchandise during the period of investigation. However, the petitions name one company as a producer and/or exporter in Austria of xanthan gum, Jungbunzlaer Austria AG, which the petitions identify as accounting for virtually all of the imports of xanthan gum from Austria, said the ITA. Therefore, the ITA is selecting Jungbunzlaer Austria as the mandatory respondent in this investigation. Comments on the ITA’s selection of mandatory respondents in the Austria investigation are due five days after publication of this notice, i.e. by about July 7.

AD Separate Rate Applications for China Investigation

For AD investigations involving non-market economy (NME) countries such as China, the ITA requires that respondents submit a response to both the Q&V questionnaire and the separate rate application by the respective deadlines in order to receive consideration for separate rate status. The ITA will calculate combination rates for certain respondents that are eligible for a separate rate in this investigation.

Separate-rate status applications are due by about August 31. The separate rate application for China is available here.

Targeted Dumping Allegations

Any interested party that wishes to make a targeted dumping allegation in the AD investigation may submit allegations no later than 45 days before November 13 (the scheduled date of the ITA’s preliminary determination)¹.

Scope of the AD/CV Investigations

The scope of these investigations covers dry xanthan gum, whether or not coated or blended with other products. Further, xanthan gum is included in these investigations regardless of physical form, including, but not limited to, solutions, slurries, dry powders of any particle size, or unground fiber.

Xanthan gum that has been blended with other product(s) is included in this scope when the resulting mix contains 15 percent or more of xanthan gum by dry weight. Other products with which xanthan gum may be blended include, but are not limited to, sugars, minerals, and salts.

Xanthan gum is a polysaccharide produced by aerobic fermentation of Xanthomonas campestris. The chemical structure of the repeating pentasaccharide monomer unit consists of a backbone of two P-1,4-D-Giucose monosaccharide units, the second with a trisaccharide side chain consisting of P-D-Mannose-(1,4)- P-DGiucuronic acid-(1,2) - a-D-Mannose monosaccharide units. The terminal mannose may be pyruvylated and the internal mannose unit may be acetylated.

Merchandise covered by the scope of these investigations is classified in the Harmonized Tariff Schedule of the United States at subheading 3913.90.20. Although the HTS subheading is provided for convenience and customs purposes, the written description of the products under investigation is dispositive of its inclusion as subject merchandise.

Comments on Scope Due by July 16

The ITA said that it discussed the scope with petitioners to ensure that it is an accurate reflection of the products for which the domestic industry is seeking relief. The ITA invites comments on the scope by July 16.

Investigations Timetable

¹In December 2008, the ITA issued an interim final rule for the purposes of withdrawing the regulations governing targeted dumping analysis in AD duty investigations. ITA says that this change allows it to exercise the discretion intended by statute, and thereby develop a practice that will allow interested parties to pursue all statutory avenues of relief in this area. (See ITT's Online Archives 08121525 for summary of the interim final rule.)

²If the ITC makes a negative determination of injury, the investigations are terminated.

³These deadlines may be extended under the governing statute.

⁴This will take place only in the event of ITA final affirmative determinations.

⁵This will take place only in the event of ITA and ITC final affirmative determinations.

(See ITT's Online Archives 12060621 for summary of the ITA's receipt of the petition underlying the initiation of this investigation.)

ITA notice of initiation (FR Pub 07/02/12) available here.

ITA fact sheet available here.