China R-125: Commerce Correcting Rates Applicable in CV Duty Orders
The Commerce Department issued a notice to correct rates listed in a recent countervailing duty order on pentafluoroethane (R-125) from China (C-570-138) (see 2203020063). The March 3 order, issued at the same time as the antidumping duty order on R-125, incorrectly listed the applicable CV duty rates for the companies covered by the order, "due to a typographical error," the agency said March 8.
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The March 3 orders set permanent antidumping and countervailing duties, which will remain in place unless revoked by Commerce in a sunset or changed circumstances review. Commerce will now begin conducting annual administrative reviews, if requested, to determine final assessments of AD/CVD on importers and make changes to cash deposit rates.
Commerce will require importers to pay CV duty cash deposits for all entries at the following corrected rates, which are all higher than the rates listed in the notice that is being corrected:
| Company | CV Rate |
|---|---|
| Arkema Daikin Advanced Fluorochemicals (Changsu) Co., Ltd. | 306.57% |
| Daikin Fluorochemicals (China) Co., Ltd. | 306.57% |
| Hongkong Richmax Ltd. | 306.57% |
| Weitron International Refrigeration Equipment (Kunshan) Co., Ltd. | 306.57% |
| Zhejiang Quzhou Juxin Fluorine Chemical Co., Ltd.; Juhua Group Corporation; Zhejiang Juhua Co., Ltd.; Ningbo Juhua Chemical & Science Co., Ltd.; Zhejiang Quzhou Fluoxin Chemicals Co., Ltd.; and Zhejiang Juhua Chemical Mining Co., Ltd. | 14.66% |
| Zhejiang Sanmei Chemical Ind. Co., Ltd. and Fujian Qingliu Dongying Chemical Ind. Co. Ltd. | 12.75% |
| All Others | 14.43% |
Commerce said that "we should have identified the subsidy rates listed above for the companies covered by the CVD order."
The order details a “gap period” of no CV duty liability for subject merchandise entered Oct. 23, 2021, through Feb. 28, 2022. Otherwise, the rates listed above are still effective March 3, 2022. Commerce will order CBP to liquidate, without regard to CVD, any entries during the gap period.
(See 2201070023 for a summary of the final CV duty determination.)