Glycine: Details of AD/CV Duty Orders
The Commerce Department issued antidumping duty orders on glycine from India and Japan (A-533-883, A-588-878), and a countervailing duty order on glycine from India and China (C-533-884, C-570-081).
Sign up for a free preview to unlock the rest of this article
If your job depends on informed compliance, you need International Trade Today. Delivered every business day and available any time online, only International Trade Today helps you stay current on the increasingly complex international trade regulatory environment.
The orders set permanent antidumping and countervailing duties on glycine. Duties will remain in place unless revoked by Commerce, which may only take place under certain conditions, such as a sunset or changed circumstances review. Commerce will now begin conducting annual administrative reviews, if requested, to determine final assessments of AD/CV duties on importers and make changes to cash deposit rates.
The AD/CV duties come on top of an existing AD duty order on glycine from China. While the existing scope of the AD duty order on China is similar to this new CV duty order, the new CV duty order additionally mentions glycine precursors and glycine processed in third-countries.
AD/CV duty investigations on glycine from Thailand are currently on hold while Commerce considers allegations of transshipment that are currently the subject of a CBP Enforce and Protect Act AD/CV duty evasion investigation (see 1904300155).
The orders detail a "gap period" of no CV duty liability for subject merchandise entered Jan. 2, 2019, through June 20, 2019, and of no AD duty liability for subject merchandise entered April 29, 2018, through June 20, 2019. Commerce may only suspend liquidation for a four-month period after its preliminary CV duty determination, issued Sept. 4, 2018, and for six months after its preliminary AD duty determination, issued Oct. 31, 2018. Commerce will order CBP to liquidate, without regard to AD or CV duties, any entries during these respective gap periods. Subject merchandise entered during the CV duty gap period but outside the AD duty gap period (i.e., Jan. 2, 2019, through April 28, 2019) will only be assessed AD duties.
AD/CV Suspension of Liq Instructions
Suspension of liquidation resumes for all entries of subject merchandise entered on or after June 21, the date that the final ITC affirmative injury determination is scheduled to be published.
CV Cash Deposit Instructions
Commerce will require importers to pay CV duty cash deposits on subject merchandise from India and China entered on or after June 21. CV duty cash deposits will be required at the following rates:
India
| Company | CV Rate |
|---|---|
| Kumar Industries, India | 6.99% |
| Paras Intermediates Private Limited | 3.03% |
| All Others | 5.01% |
China
| Company | CV Rate |
|---|---|
| JC Chemicals Limited | 144.01% |
| Sigmachem Cor | 144.01% |
| All Others | 144.01% |
AD Cash Deposit Instructions
An AD cash deposit requirement is also in effect for subject merchandise from India and Japan entered on or after June 21. Commerce will instruct CBP to require, at the same time that importers deposit estimated duties, a cash deposit equal to the rates listed below (as amended from the final determination for India):
India
| Manufacturer/Exporter | AD Rate | Cash Deposit* |
|---|---|---|
| Kumar Industries, India | 13.61% (from 7.75%) | 6.62% (from 0.76%) |
| Paras Intermediates Private Limited | 10.86% (unchanged) | 7.83% (unchanged) |
| All-Others | 12.24% (from 9.31%) | 7.23% (from 4.3%) |
*As adjusted for export subsidies found in concurrent CV duty proceedings.
Japan
| Manufacturer/Exporter | AD Rate |
|---|---|
| Yuki Gosei Kogyo Co., Ltd. | 53.66% |
| Showa Denko K.K. | 86.22% |
| All Others | 53.66% |
(See the notice for additional details, including the full scope description, etc. See 1904300200 for summary of the final AD duty determinations, and 1904300202 for summary of the final CV duty determination.)
(Federal Register 06/21/19)