Certain Choline Salts From the People's Republic of China: Initiation of Countervailing Duty Investigation
Department of Commerce International Trade Administration [C-570-239] AGENCY: Enforcement and Compliance, International Trade Administration, Department of Commerce. DATES: Appl...
Enforcement and Compliance, International Trade Administration, Department of Commerce.
DATES:
Applicable July 14, 2026.
FOR FURTHER INFORMATION CONTACT:
Kelsie Hohenberger, Office V, AD/CVD Operations, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-2517.
SUPPLEMENTARY INFORMATION:
The Petition
On June 24, 2026, the U.S. Department of Commerce (Commerce) received a countervailing duty (CVD) petition concerning imports of certain choline salts (choline salts) from the People's Republic of China (China), filed in proper form on behalf of BCP Ingredients, Inc. (the petitioner), a domestic producer of choline salts.[1]
The CVD Petition was accompanied by an antidumping duty (AD) petition concerning imports of choline salts from China.[2]
Between June 29 and July 7, 2026, Commerce requested supplemental information pertaining to certain aspects of the Petition in supplemental questionnaires.[3]
Between July 2 and July 9, 2026, the petitioner filed timely responses to these requests for additional information.[4]
In accordance with section 702(b)(1) of the Tariff Act of 1930, as amended (the Act), the petitioner alleges that the Government of China (GOC) is providing countervailable subsidies, within the meaning of sections 701 and
( printed page 45248)
771(5) of the Act, to producers of choline salts from China, and that such imports are materially injuring, or threatening material injury to, the domestic industry producing choline salts in the United States. Consistent with section 702(b)(1) of the Act and 19 CFR 351.202(b), for those alleged programs on which we are initiating a CVD investigation, the Petition was accompanied by information reasonably available to the petitioner supporting its allegations.
Commerce finds that the petitioner filed the Petition on behalf of the domestic industry, because the petitioner is an interested party, as defined in section 771(9)(C) of the Act. Commerce also finds that the petitioner demonstrated sufficient industry support with respect to the initiation of the requested CVD investigation.[5]
Period of Investigation (POI)
Because the Petition was filed on June 24, 2026, the POI is January 1, 2025, through December 31, 2025.[6]
Scope of the Investigation
The product covered by this investigation is choline salts from China. For a full description of the scope of this investigation,
see
the appendix to this notice.
Comments on the Scope of the Investigation
Between June 29 and July 10, 2026, Commerce requested information and clarification from the petitioner regarding the proposed scope to ensure that the scope language in the Petition is an accurate reflection of the products for which the domestic industry is seeking relief.[7]
Between July 2 and July 10, 2026, the petitioner provided clarifications and revised the scope.[8]
The description of merchandise covered by this investigation, as described in the appendix to this notice, reflects these clarifications.
As discussed in the
Preamble
to Commerce's regulations, we are setting aside a period for interested parties to raise issues regarding product coverage (
i.e.,
scope).[9]
Commerce will consider all scope comments received from interested parties and, if necessary, will consult with interested parties prior to the issuance of the preliminary determination. If scope comments include factual information, all such factual information should be limited to public information.[10]
Commerce requests that interested parties provide at the beginning of their scope comments a public executive summary for each comment or issue raised in their submission. Commerce further requests that interested parties limit their public executive summary of each comment or issue to no more than 450 words, not including citations. Commerce intends to use the public executive summaries as the basis of the comment summaries included in the analysis of scope comments. To facilitate preparation of its questionnaires, Commerce requests that scope comments be submitted by 5:00 p.m. Eastern Time (ET) on August 3, 2026, which is 20 calendar days from the signature date of this notice. Any rebuttal comments, which may include factual information, and should also be limited to public information, must be filed by 5:00 p.m. ET on August 13, 2026, which is 10 calendar days from the initial comment deadline.
Commerce requests that any factual information that parties consider relevant to the scope of this investigation be submitted during that period. However, if a party subsequently finds that additional factual information pertaining to the scope of the investigation may be relevant, the party must contact Commerce and request permission to submit the additional information. All scope comments must be filed simultaneously on the records of the concurrent AD and CVD investigations.
Filing Requirements
All submissions to Commerce must be filed electronically via Enforcement and Compliance's Antidumping Duty and Countervailing Duty Centralized Electronic Service System (ACCESS), unless an exception applies.[11]
An electronically filed document must be received successfully in its entirety by the time and date it is due.
Consultations
Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce notified the GOC of the receipt of the Petition and provided an opportunity for consultations with respect to the Petition.[12]
The GOC filed consultation remarks in lieu of consultations on July 10, 2026.[13]
Determination of Industry Support for the Petition
Section 702(b)(1) of the Act requires that a petition be filed on behalf of the domestic industry. Section 702(c)(4)(A) of the Act provides that a petition meets this requirement if the domestic producers or workers who support the petition account for: (i) at least 25 percent of the total production of the domestic like product; and (ii) more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of the Act provides that, if the petition does not establish support of domestic producers or workers accounting for more than 50 percent of the total production of the domestic like product, Commerce shall: (i) poll the industry or rely on other information in order to determine if there is support for the petition, as required by subparagraph (A); or (ii) determine industry support using a statistically valid sampling method to poll the “industry.”
Section 771(4)(A) of the Act defines the “industry” as the producers as a whole of a domestic like product. Thus, to determine whether a petition has the requisite industry support, the statute directs Commerce to look to producers and workers who produce the domestic like product. The U.S. International Trade Commission (ITC), which is responsible for determining whether “the domestic industry” has been injured, must also determine what constitutes a domestic like product in order to define the industry. While both Commerce and the ITC apply the same statutory definition regarding the domestic like product,[14]
they do so for different purposes and pursuant to a separate and distinct authority. In addition, Commerce's determination is subject to limitations of time and
( printed page 45249)
information. Although this may result in different definitions of the like product, such differences do not render the decision of either agency contrary to law.[15]
Section 771(10) of the Act defines the domestic like product as “a product which is like, or in the absence of like, most similar in characteristics and uses with, the article subject to an investigation under this title.” Thus, the reference point from which the domestic like product analysis begins is “the article subject to an investigation” (
i.e.,
the class or kind of merchandise to be investigated, which normally will be the scope as defined in the petition).
With regard to the domestic like product, the petitioner does not offer a definition of the domestic like product distinct from the scope of the investigation.[16]
Based on our analysis of the information submitted on the record, we have determined that choline salts, as defined in the scope, constitute a single domestic like product, and we have analyzed industry support in terms of that domestic like product.[17]
In determining whether the petitioner has standing under section 702(c)(4)(A) of the Act, we considered the industry support data contained in the Petition with reference to the domestic like product as defined in the “Scope of the Investigation,” in the appendix to this notice. To establish industry support, the petitioner provided its own production of the domestic like product in 2025 and compared this to the total production of the domestic like product for the U.S. choline salts industry.[18]
We relied on data provided by the petitioner for purposes of measuring industry support.[19]
Our review of the data provided in the Petition, the First and Second General Issues Supplements, and other information readily available to Commerce indicates that the petitioner has established industry support for the Petition.[20]
First, the Petition established support from domestic producers (or workers) accounting for more than 50 percent of the total production of the domestic like product and, as such, Commerce is not required to take further action in order to evaluate industry support (
e.g.,
polling).[21]
Second, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(i) of the Act because the domestic producers (or workers) who support the Petition account for at least 25 percent of the total production of the domestic like product.[22]
Finally, the domestic producers (or workers) have met the statutory criteria for industry support under section 702(c)(4)(A)(ii) of the Act because the domestic producers (or workers) who support the Petition account for more than 50 percent of the production of the domestic like product produced by that portion of the industry expressing support for, or opposition to, the Petition.[23]
Accordingly, Commerce determines that the Petition was filed on behalf of the domestic industry within the meaning of section 702(b)(1) of the Act.[24]
Injury Test
Because China is a “Subsidies Agreement Country” within the meaning of section 701(b) of the Act, section 701(a)(2) of the Act applies to this investigation. Accordingly, the ITC must determine whether imports of the subject merchandise from China materially injure, or threaten material injury to, a U.S. industry.
Allegations and Evidence of Material Injury and Causation
The petitioner alleges that imports of the subject merchandise are benefiting from countervailable subsidies and that such imports are causing, or threaten to cause, material injury to the U.S. industry producing the domestic like product. In addition, the petitioner alleges that subject imports from China exceed the negligibility threshold provided for under section 771(24)(A) of the Act.[25]
The petitioner contends that the industry's injured condition is illustrated by a significant increase in the volume of subject imports; reduced market share; lost sales and revenues; underselling and price depression and suppression; declines in production, capacity utilization, and employment variables; and negative impact on financial performance.[26]
We assessed the allegations and supporting evidence regarding material injury, threat of material injury, causation, as well as negligibility, and we have determined that these allegations are properly supported by adequate evidence, and meet the statutory requirements for initiation.[27]
Initiation of CVD Investigation
Based upon the examination of the Petition and supplemental responses, we find that they meet the requirements of section 702 of the Act. Therefore, we are initiating a CVD investigation to determine whether imports of choline salts from China benefit from countervailable subsidies conferred by the GOC. In accordance with section 703(b)(1) of the Act and 19 CFR 351.205(b)(1), unless postponed, we will make our preliminary determination no later than 65 days after the date of this initiation.
Based on our review of the Petition, we find that there is sufficient information to initiate a CVD investigation on 43 programs alleged by the petitioner. For a full discussion of the basis for our decision to initiate on each program,
see
the China CVD Initiation Checklist. A public version of the initiation checklist for this investigation is available on ACCESS.
Respondent Selection
In the Petition, the petitioner identified 92 companies in China.[28]
Commerce intends to follow its standard practice in CVD investigations and calculate company-specific subsidy rates in the investigation. In the event Commerce determines that the number of companies is large, and it cannot individually examine each company based upon Commerce's resources, where appropriate, Commerce intends to select mandatory respondents based on U.S. Customs and Border Protection (CBP) data for imports under the appropriate Harmonized Tariff Schedule of the United States (HTSUS) subheading listed in the “Scope of the Investigation,” in the appendix.
On July 8, 2026, Commerce released CBP data on imports of choline salts from China under administrative
( printed page 45250)
protective order (APO) to all parties with access to information protected by APO and indicated that interested parties wishing to comment on CBP data and/or respondent selection must do so within three days of the publication date of the notice of initiation of this investigation.[29]
Comments must be filed electronically using ACCESS. An electronically filed document must be received successfully in its entirety via ACCESS by 5:00 p.m. ET on the specified deadline. Commerce will not accept rebuttal comments regarding the CBP data or respondent selection.
In accordance with section 702(b)(4)(A) of the Act and 19 CFR 351.202(f), a copy of the public version of the Petition has been provided to the GOC via ACCESS. To the extent practicable, we will attempt to provide a copy of the public version of the Petition to each exporter named in the Petition, as provided under 19 CFR 351.203(c)(2).
ITC Notification
Commerce will notify the ITC of its initiation, as required by section 702(d) of the Act.
Preliminary Determination by the ITC
The ITC will preliminarily determine, within 45 days after the date on which the Petition was filed, whether there is a reasonable indication that imports of choline salts from China are materially injuring, or threatening material injury to, a U.S. industry.[30]
A negative ITC determination will result in the investigation being terminated.[31]
Otherwise, this CVD investigation will proceed according to statutory and regulatory time limits.
Submission of Factual Information
Factual information is defined in 19 CFR 351.102(b)(21) as: (i) evidence submitted in response to questionnaires; (ii) evidence submitted in support of allegations; (iii) publicly available information to value factors of production under 19 CFR 351.408(c) or to measure the adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence placed on the record by Commerce; and (v) evidence other than factual information described in (i)-(iv). Section 351.301(b) of Commerce's regulations requires any party, when submitting factual information, to specify under which subsection of 19 CFR 351.102(b)(21) the information is being submitted [32]
and, if the information is submitted to rebut, clarify, or correct factual information already on the record, to provide an explanation identifying the information already on the record that the factual information seeks to rebut, clarify, or correct.[33]
Time limits for the submission of factual information are addressed in 19 CFR 351.301, which provides specific time limits based on the type of factual information being submitted. Interested parties should review the regulations prior to submitting factual information in this investigation.
Extensions of Time Limits
Parties may request an extension of time limits before the expiration of a time limit established under 19 CFR 351.301, or as otherwise specified by Commerce. In general, an extension request will be considered untimely if it is filed after the expiration of the time limit established under 19 CFR 351.301, or as otherwise specified by Commerce.[34]
For submissions that are due from multiple parties simultaneously, an extension request will be considered untimely if it is filed after 10:00 a.m. ET on the due date. Under certain circumstances, Commerce may elect to specify a different time limit by which extension requests will be considered untimely for submissions which are due from multiple parties simultaneously. In such a case, we will inform parties in a letter or memorandum of the deadline (including a specified time) by which extension requests must be filed to be considered timely. An extension request must be made in a separate, standalone submission; under limited circumstances we will grant untimely filed requests for the extension of time limits, where we determine, based on 19 CFR 351.302, that extraordinary circumstances exist. Parties should review Commerce's regulations concerning the extension of time limits and the
Time Limits Final Rule
prior to submitting factual information in this investigation.[35]
Certification Requirements
Any party submitting factual information in an AD or CVD proceeding must certify to the accuracy and completeness of that information.[36]
Parties must use the certification formats provided in 19 CFR 351.303(g).[37]
Commerce intends to reject factual submissions if the submitting party does not comply with the applicable certification requirements.
Notification to Interested Parties
Interested parties must submit applications for disclosure under APO in accordance with 19 CFR 351.305. Parties wishing to participate in this investigation should ensure that they meet the requirements of 19 CFR 351.103(d) (
e.g.,
by filing the required letters of appearance). Note that Commerce has amended certain of its requirements pertaining to the service of documents in 19 CFR 351.303(f).[38]
This notice is issued and published pursuant to sections 702 and 777(i) of the Act, and 19 CFR 351.203(c).
Dated: July 14, 2026.
Christopher Abbott,
Deputy Assistant Secretary for Policy and Negotiations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance.
Appendix
Scope of the Investigation
The merchandise covered by this investigation is certain choline salts, in all forms and purities, that are capable of delivering the nutrient choline. Subject choline salts may or may not contain additives such as a vegetable or mineral carrier or an anti-caking agent and may or may not be coated or encapsulated, such as in a lipid. For choline salts that contain non-choline salt components, such as a carrier or coating, the entire article is covered, including the non-choline salt content, provided that the choline salt content constitutes at least 30 percent by weight.
Choline salts are organic compounds and quaternary ammonium salts. Subject merchandise includes, but is not limited to, the following choline salts in their aqueous, crystallized, dried, or encapsulated forms:
( printed page 45251)
Choline chloride, which exists as a colorless aqueous solution and as a white, crystalline powder which may or may not be mixed with vegetable, inorganic, or fat-based carriers. It has the molecular formula [(CH3)3
NCH2
CH2
OH]+
Cl−
. It may also be referred to as (2-hydroxyethyl) trimethylammonium chloride, and its molecular formula may also be expressed as C5
H14
NO.Cl or C5
H14
ClNO. The Chemical Abstracts Service (CAS) registry number for choline chloride is 67-48-1; the Flavoring Extract Manufacturers' Association (FEMA) number is 4500; the PubChem number is 6209; and the European Community (EC) number is 200-655-4;
Choline bitartrate, which is a white crystalline powder with the molecular formula (CH3)3
NCH2
CH2
OH+
HOOC−
CH(OH)−
CH(OH)−
COO−
. It may be referred to as (2-hydroxyethyl) trimethylammonium-L-(+)-tartrate salt, and its molecular formula may also be expressed as C5
H14
NO.C4
H5
O6
or C9
H19
NO7. Choline bitartrate has the CAS registry number 87-67-2; the PubChem number 6900; and the EC number 201-763-4;
Choline dihydrogen citrate, which is a white crystalline powder with the molecular formula C11
H21
NO8
and may be referred to as (2-hydroxyethyl) trimethylammonium citrate. Choline dihydrogen citrate has the CAS registry number 77-91-8; the PubChem number 66170; and the EC number 201-068-6.
This investigation covers choline salts for which the reaction of trimethylamine and ethylene oxide occurs in the subject country. The merchandise subject to this investigation includes choline salts in their aqueous or dried form that are processed in a third country, including, but not limited to, refining, drying, encapsulating, blending, or any other processing that would not otherwise remove the merchandise from the scope of this investigation if performed in the country of manufacture of the in-scope choline salt. Choline salts subject to this investigation are not excluded when commingled with choline salts from sources not subject to this investigation. Only the subject component of such commingled products is covered by the scope of this investigation.
Excluded from the scope of this investigation is choline hydroxide, which has the molecular formula C5
H15
NO2, the CAS registry number 123-41-1, the PubChem number 31255, and the EC number 204-625-1. Also excluded is choline salicylate, which has the molecular formula C12
H19
NO4, the CAS registry number 2016-36-6, the PubChem number 54686350, and the EC number 217-948-8.
Also excluded from the scope of the investigation are any products already covered by the scope of any extant antidumping and/or countervailing duty orders, including
2,4-Dichlorophenoxyacetic Acid from India and the People's Republic of China: Antidumping Duty Orders,90 FR 22243 (May 27, 2025), and including
2,4-Dichlorophenoxyacetic Acid from the People's Republic of China and India: Countervailing Duty Orders,90 FR 22232 (May 27, 2025).
The choline salts subject to this investigation are classified under the Harmonized Tariff Schedule of the United States (HTSUS) subheading 2923.10.0000. Subject choline salts of dried choline chloride may also enter under HTSUS subheadings 2309.90.1005, 2309.90.1015, 2309.90.1020, 2309.90.1030, 2309.90.1032, 2309.90.1035, 2309.90.1045, 2309.90.1050, 2309.90.9500, and 3824.99.9397. Although the HTSUS subheadings and CAS registry numbers are provided for convenience and customs purposes, the written description of the scope of this investigation is dispositive.
Footnotes
1.
See
Petitioner's Letter, “Petition for the Imposition of Antidumping and Countervailing Duties,” dated June 24, 2026 (Petition).
4.
See
Petitioner's Letters, “Response to General Issues Supplemental Questions,” dated July 2, 2026 (First General Issues Supplement); “Response to Countervailing Duty Supplemental Questions,” dated July 2, 2026 (China CVD Supplement); and “Response to Second General Issues Supplemental Questions,” dated July 9, 2026 (Second General Issues Supplement).
7.
See
First General Issues Questionnaire;
see also
Second General Issues Questionnaire; and Memorandum “Teleconference with Counsel to the Petitioner,” dated July 10, 2026 (Scope Call Memorandum).
16.
For a discussion of the domestic like product analysis as applied to this case and information regarding industry support,
see
Checklist, “Countervailing Duty Investigation Initiation Checklist: Certain Choline Salts from the People's Republic of China,” dated concurrently with, and hereby adopted by, this notice (China CVD Initiation Checklist), at Attachment II, Analysis of Industry Support for the Antidumping and Countervailing Duty Petitions Covering Certain Choline Salts from the People's Republic of China (Attachment II). This checklist is on file electronically via ACCESS.
25.
Id.
at Attachment III, Analysis of Allegations and Evidence of Material Injury and Causation for the Antidumping and Countervailing Duty Petitions Covering Certain Choline Salts from the People's Republic of China.
38.
See Administrative Protective Order, Service, and Other Procedures in Antidumping and Countervailing Duty Proceedings,88 FR 67069 (September 29, 2023).
Use this for formal legal and research references to the published document.
91 FR 45247
Web Citation
Suggested Web Citation
Use this when citing the archival web version of the document.
“Certain Choline Salts From the People's Republic of China: Initiation of Countervailing Duty Investigation,” thefederalregister.org (July 20, 2026), https://thefederalregister.org/documents/2026-14519/certain-choline-salts-from-the-people-s-republic-of-china-initiation-of-countervailing-duty-investigation.