Petition Filed for New AD Duties on Hydrofluorocarbon Blends From China
A coalition of U.S. manufacturers filed a petition on June 25 with the Commerce Department and International Trade Commission asking for new antidumping duties on hydrofluorocarbon (HFC) blends and components thereof from China (A-570-028). The American HFC Coalition alleges "Chinese producers have injured the U.S. industry by selling the refrigerants at unfairly low prices that consistently undercut the prices of the U.S. producers," which has "had a direct negative impact on U.S. producer revenues and profitability," it said in a press release.
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The ITC recently ended antidumping and countervailing duty investigations on another refrigerant, R-134a, with a negative final injury determination (see 1411130023). The ITC's injury finding is currently on appeal (see 1501120035). Although R-134a, also known as 1,1,1,2-tetrafluoroethane, is not covered by the scope of this proposed investigation, it is "an important component" of three covered HfC blends, said the petition.
Proposed Scope
The petition proposes the following scope for the investigations:
"The products subject to this investigation are blended hydroflurocarbons ("HFCs") and single HFC components of those blends thereof, whether or not imported for blending, including the following: R-404A, a zeotropic mixture consisting of 52 percent 1, 1, 1-Trifluoroethane, 44 percent by weight Pentafluoroethane, and 4 percent 1, 1, 1,2-Tetrafluoroethane; R-407 A, a zeotropic mixture of 20 percent Difluoromethane, 40 percent Pentafluoroethane, and 40 percent eight 1,1,1,2-Tetrafluoroethane; R-407C, a zeotropic mixture of 23 percent Difluoromethane, 25 percent Pentafluoroethane, and 52 percent 1,1,1,2-Tetrafluoroethane; R- 410A, a zeotropic mixture of 50 percent Difluoromethane and 50 percent Pentafluoroethane; and R-507 A, an azeotropic mixture of 50 percent Pentafluoroethane and 50 percent 1, 1, 1-Trifluoroethane also known as R-507. The foregoing percentages are nominal percentages by weight. Actual percentages of single component refrigerants by weight may vary by plus or minus two percent points from the nominal percentage identified above.
"R-404A is sold under various trade names, including Forane® 404A, Genetron® 404A, Solkane® 404A, Klea® 404A, and Suva®404A. R-407A is sold under various trade names, including Forane® 407 A, Solkane® 407 A, Klea®407 A, and Suva®407 A. R-407C is sold under various trade names, including Forane® 407C, Genetron® 407C, Solkane® 407C, Klea® 407C and Suva® 407C. R-41 OA is sold under various trade names, including EcoFluor R410, Forane® 410A, Genetron® R410A and AZ-20, Solkane® 410A, Klea® 410A, Suva® 410A, and Puron®. R-507A is sold under various trade names, including Forane® 507, Solkane® 507, Klea®507, Genetron®AZ-50, and Suva®507. R-32 is sold under various trade names, including Solkane®32, Forane®32, and Klea®32. R-125 is sold under various trade names, including Solkane®125, Klea®125, Genetron®125, and Forane®125. R-143a is sold under various trade names, including Solkane®l43a, Genetron®143a, and Forane®l25.
"The subject merchandise also includes the following single component hydrofluorocarbons used to produce the foregoing blends: R-32, R-125, and R-143a. R-32 or Difluoromethane has the chemical formula CH2F2, and is registered as CAS No. 75-10- 5. It may also be known HFC-32, FC-32, Freon-32, Methylene difluoride, Methylene fluoride, Carbon fluoride hydride, halocarbon R32, fluorocarbon R32, and UN 3252. R-125 or 1,1,1,2,2-Pentafluoroethane has the chemical formula CF3CHF2 and is registered as CAS No. 354-33-6. R-125 may also be known as R-125, HFC-125, Pentafluoroethane, Freon 125, and Fc-125, R- 125. R-143a or 1,1,1-Trifluoroethane has the chemical formula CF3CH3 and is registered as CAS No. 420-46-2. R-143a may also be known as R-143a, HFC-143a, Methylfluoroform, 1,1,1- Trifluoroform, and UN2035.
"This investigation includes any Chinese HFC components that are blended in a third country to produce a subject HFC blend before being imported into the United States. Also included are semifinished blends of Chinese HFC components. Semi-finished blends are blends of one or more of the single-component Chinese HFCs used to produce the subject HFC blends, whether or not blended in China or a third country, that have not been blended to the specific proportions required to meet the definition of one of the subject HFC blends described above (R-404A, R-407A, R- 407C, R-410A, and R-507A). Single-component HFCs and semifinished HFC blends are not excluded from the scope of this investigation when blended with HFCs from non-subject countries.
"Excluded from this investigation are blends of refrigerant chemicals that include products other than HFCs, such as blends including chlorofluorocarbons (CFCs) or hydrochlorofluorocarbons (HCFCs ).
"Also excluded from this investigation are patented HFC blends, such as ISCEON® blends, including include M099™ (RR-438A), M079 (R-422A), M059 (R-417A), M049Plus™ (R-437A) and M029™ (R-4 22D), and Genetron® Performax™ LT (R-407F).
"HFC blends covered by the scope of this investigation are currently classified in the Harmonized Tariff Schedule of the United States ("HTSUS") at subheading 3824.78.0000. Single component HFCs are currently classified at subheading 2903.39.2030, HTSUS. Although the HTSUS subheading and CAS registry number are provided for convenience and customs purposes, the written description of the scope is dispositive."
Commerce Accepting Comments on Petition Support
The Commerce Department is accepting comments on domestic industry support for the petitions to determine whether the petitions meet the dual requirements of support by domestic producers or workers accounting for (1) at least 25% of the total production of the domestic-like product and (2) more than 50% of the production of the domestic-like product produced by that portion of the industry expressing support for, or opposition to, the petition. If the petitions meet these requirements, among others, Commerce will initiate an antidumping duty investigation on hydrofluorocarbon blends from China. Comments are due by July 15.
Email ITTNews@warren-news.com for a copy of the petition.