China Pea Protein: Commerce Issues CV Duty Final Determination
The Commerce Department issued its final determination in its countervailing duty investigation on pea protein from China (C-570-155). Suspension of liquidation is currently not in effect for entries on or after April 16, 2024, and Commerce will require cash deposits of estimated CV duties on future entries only if it issues a CV duty order.
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Before Commerce issues a CV duty order, the International Trade Commission must find injury to U.S. industry in its final injury determination, currently due Aug. 12, Commerce said in a fact sheet. In the event of an ITC final determination of no injury, this investigation will be terminated with no duties imposed, and all cash deposits collected as a result of this investigation will be refunded.
Commerce also issued a final determination in its concurrent AD duty investigation on pea protein from China, setting AD rates ranging from 122.19% to 280.31% for Chinese exporters (see 2407030011).
Critical Circumstances for All Chinese Companies, Cash Deposits Still Retroactive 90 Days
Commerce finalized its determination that all Chinese companies under investigation increased their exports to the U.S. in the run-up to the preliminary determination, in an attempt to get in as much product as possible before the imposition of CV duties. This "critical circumstances" finding by the agency means Commerce will continue to retroactively suspend liquidation for these companies back to 90 days before the preliminary determination, i.e., on or about Sept. 19, 2023.
CV Susp/Cash Deposit Through April 15
For now, Commerce has instructed CBP to continue the suspension of liquidation of entries from Sept. 19, 2023, through April 15, 2024.
CV Liq Reinstated and No CV Cash Deposit as of April 16
Commerce previously instructed CBP to discontinue the suspension of liquidation for CV duty purposes and the collection of CV duty cash deposits for subject merchandise entered on or after April 16, the expiration date of the 120-day "provisional measures" period during which Commerce can suspend liquidation without a CV duty order in place.
Suspension of liquidation currently remains in effect for AD purposes.
CV Liq to Be Suspended Again and CV Cash Deposit Required if Order Issued
Commerce will issue a CV duty order, reinstate the CV duty suspension of liquidation for all Chinese exporters, and require a cash deposit of estimated CV duties for entries of subject merchandise at the revised CV rates listed below if the ITC issues a final affirmative injury determination.
| Company | CV Rate |
|---|---|
| Yantai Oriental Protein Tech Co., Ltd. and affiliates Jiujiang Tiantai Food Co., Ltd.; Shandong Sanjia Investment Holding Group Co., Ltd.; Yantai Yiyuan Bioengineering Co., Ltd.; and Yantai Zhongzhen Trading Co., Ltd. | 16.52% |
| Zhaoyuan Junbang Trading Co., Ltd. and affiliate Yantai Shuangta Food Co. Ltd. | 15.15% |
| Focusherb LLC | 355.89% |
| Golden Protein Limited | 355.89% |
| Shandong Jianyuan Bioengineering Co. | 355.89% |
| Yantai Wanpy International Trade | 355.89% |
| All Others | 15.84% |
(Note that there is no CV duty liability, and no CV duties will be assessed, on entries during the "gap period" of April 16 until the date an ITC final affirmative injury determination is published in the Federal Register.)
(The period of investigation is 01/01/22 - 12/31/22. See Commerce's notice for more information, including the scope of the order, detailed instructions on cash deposit and assessment rates, changes since the preliminary determination, etc. See 2312180049 for a summary of the preliminary determination of this investigation.)