ESB Rubber: New AD Duty Investigations Deadlines & Scope

The International Trade Commission will conduct a concurrent investigation to determine whether imports of dumped ESB rubber are injuring U.S. industry. If the ITC finds no injury in its preliminary injury determination, due Sept. 6, the investigations will immediately end. If Commerce finds dumping in the preliminary determinations of these investigations, currently due in December, it will set AD duty cash deposit requirements for imports of merchandise subject to these investigations. If both Commerce and the ITC reach affirmative final determinations, Commerce will issue AD duty orders making duties permanent and beginning a process of annual administrative reviews to set final assessments of AD duties on importers and potentially change AD duty cash deposit rates.

Respondent Selection

For the South Korea investigation, Commerce said it will pick respondents based on CBP import data. For the Brazil, Mexico and Poland investigations, Commerce intends to investigate the only ESB producers and exporters identified in the petitions for AD duties: from Brazil: Lanxess Elastomeros do Brasil S.A.; from Mexico: Industrias Negromex S.A. de C.V.; and from Poland: Synthos Dwory 7 Spolka Z Ograniczona Odpowiedzialnoscia Spolka Jawna (Sp. Z O.O.S.J.).

Scope of the AD Duty Investigations

"For purposes of these investigations, the product covered is cold-polymerized emulsion styrene-butadiene rubber (ESB rubber). The scope of the investigations includes, but is not limited to, ESB rubber in primary forms, bales, granules, crumbs, pellets, powders, plates, sheets, strip, etc. ESB rubber consists of non-pigmented rubbers and oil-extended non-pigmented rubbers, both of which contain at least one percent of organic acids from the emulsion polymerization process.

"ESB rubber is produced and sold in accordance with a generally accepted set of product specifications issued by the International Institute of Synthetic Rubber Producers (IISRP). The scope of the investigations covers grades of ESB rubber included in the IISRP 1500 and 1700 series of synthetic rubbers. The 1500 grades are light in color and are often described as 'Clear' or 'White Rubber.' The 1700 grades are oil-extended and thus darker in color, and are often called 'Brown Rubber.'

"Specifically excluded from the scope of these investigations are products which are manufactured by blending ESB rubber with other polymers, high styrene resin master batch, carbon black master batch (i.e., IISRP 1600 series and 1800 series) and latex (an intermediate product).

"The products subject to these investigations are currently classifiable under subheadings 4002.19.0015 and 4002.19.0019 of the Harmonized Tariff Schedule of the United States (HTSUS). ESB rubber is described by Chemical Abstract Services (CAS) Registry No. 9003- 55-8. This CAS number also refers to other types of styrene butadiene rubber. Although the HTSUS subheadings and CAS registry number are provided for convenience and customs purposes, the written description of the scope of these investigations is dispositive."

Comments on the scope of these investigations are due by Aug. 30.

Investigations Timetable

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

†These deadlines may be extended under the governing statute.

‡This will take place only in the event of Commerce Department final affirmative determinations.

+This will take place only in the event of Commerce and ITC final affirmative determinations.

(See 1608120042 for summary of the Commerce Department's receipt of the petition underlying the initiation of this investigation.)

The Commerce Department fact sheet on the initiation of these investigations is here.