SUPPLEMENTARY INFORMATION:

Background

On February 15, 2023, Commerce published its Final Results in the 2020-2021 AD administrative review of xanthan gum from China.^[1] Commerce calculated a weighted average dumping margin of 17.36 percent for its sole mandatory respondent, Fufeng.^[2] Commerce also assigned Fufeng's weighted average dumping margin to eligible separate rate entities ( i.e., Meihua).^[3]

Fufeng and Meihua appealed Commerce's Final Results. On December 16, 2024, the CIT remanded the Final Results to Commerce, ordering Commerce to: (1) explain its determination to directly value energy; and (2) failure to address arguments regarding the Harmonized System (HS) subheading for coal.^[4]

In its first remand redetermination, issued on May 5, 2025, Commerce found that: (1) its direct valuation of Fufeng's energy factors of production was appropriate; and (2) Commerce's decision to value coal using HS 2701.12.9000 was proper.^[5] The CIT sustained Commerce's direct valuation of energy and remanded Commerce's decision to value coal using HS 2701.12.9000 for a second time.^[6]

In its final remand redetermination, issued on April 30, 2026, Commerce found HS 2701.19 rather than 2701.12.9000 was the proper HS subheading for valuing Fufeng's coal ( printed page 31702) factor of production (FOP).^[7] Commerce's application of HS 2701.19 when valuing the coal factor of production (FOP) reduced Fufeng's weighed average dumping margin to 0.00 percent.^[8] The CIT sustained Commerce's final redetermination.^[9]

Timken Notice

In its decision in Timken,^[10] as clarified by Diamond Sawblades,^[11] the U.S. Court of Appeals for the Federal Circuit held that, pursuant to section 516A(c) and (e) of the Tariff Act of 1930, as amended (the Act), Commerce must publish a notice of court decision that is not “in harmony” with a Commerce determination and must suspend liquidation of entries pending a “conclusive” court decision. The CIT's May 12, 2026, judgment constitutes a final decision of the CIT that is not in harmony with Commerce's Final Results. Thus, this notice is published in fulfillment of the publication requirements of Timken.

Amended Final Results

Because there is now a final court judgment, Commerce is amending its Final Results with respect to Fufeng, and Meihua as follows:

We note that Jianlong Biotechnology Co., Ltd.'s (formerly, Inner Mongolia Jianlong Biochemical Co., Ltd) (Jianlong), and Deosen Biochemical (Ordos) Ltd.'s, Deosen Biochemical Ltd.'s (collectively, Deosen) rates of 17.36 percent remain unchanged from the Final Results as their rates were not subject to litigation.

Cash Deposit Requirements

Because Fufeng and Meihua have a superseding cash deposit rate, i.e., there have been final results published in a subsequent administrative review, we will not issue revised cash deposit instructions to U.S. Customs and Border Protection (CBP). This notice will not affect the current cash deposit rate.

Liquidation of Suspended Entries

At this time, Commerce remains enjoined by CIT order from liquidating entries that: were exported by Fufeng, and Meihua and were entered, or withdrawn from warehouse, for consumption during the period July 1, 2020, through June 30, 2021. These entries will remain enjoined pursuant to the terms of the injunction during the pendency of any appeals process.

In the event the CIT's ruling is not appealed, or, if appealed, upheld by a final and conclusive court decision, Commerce intends to instruct CBP to assess antidumping duties on unliquidated entries of subject merchandise exported by Fufeng and Meihua in accordance with 19 CFR 351.212(b). We will instruct CBP to assess antidumping duties on all appropriate entries covered by this review when the importer-specific ad valorem assessment rate is not zero or de minimis. Where an import-specific ad valorem assessment rate is zero or de minimis,^[12] we will instruct CBP to liquidate the appropriate entries without regard to antidumping duties.

Notification to Interested Parties

This notice is issued and published in accordance with sections 516A(c) and (e) and 777(i)(1) of the Act.

91 FR 31701