China Temporary Steel Fencing: Prelim AD Cash Deposit Rates Take Effect, Retroactive for Some

Temporary steel fencing from China is also subject to an ongoing countervailing duty investigation. Commerce has already ordered suspension of liquidation and the collection of CVD cash deposits (see 2506180035) for entries on or after March 22 for all exporters but one, and for entries on or after June 20 for that one company, Shijiazhuang SD Company Ltd.

New Scope Exemption for Decorative Garden Fencing

In this preliminary determination, Commerce is adopting a new exemption from the scope of its AD/CVD investigations on temporary steel fencing for decorative garden fences. The new scope language is as follows:

"Excluded from the scope of these investigations are decorative steel fence panels. Decorative steel fence panels are steel fence panels that have all of the following characteristics: (i) the panel’s long ends are no more than 48 inches; (ii) the panel’s short ends are no more than 38 inches; (iii) the panel weighs 7 pounds or less; (iv) the panel is framed on all sides with steel tubing no wider than 10 mm; and (v) the panel’s interior contains a decorative pattern (meaning a pattern other than square, rectangular, diamond, or hexagonal meshing) accounting for at least 5 percent of the area within the frame."

Commerce Finds Critical Circumstances for Some, Sets Retroactive Cash Deposits

Commerce made a finding that some Chinese companies under investigation -- Shenzhou Yongao Metal Products Co., Ltd./Shenzhou Yuelei Metal Products Co., Ltd. and the China-wide entity companies (i.e., all except the three companies granted a rate in Commerce's preliminary determination) -- increased their exports to the U.S. in the run-up to the preliminary determination. This “critical circumstances” finding by the agency means Commerce will retroactively suspend liquidation for Yongao/Yuelei and the China-wide entity back to 90 days before the preliminary determination, i.e., on or about May 21, 2025.

For all producer/exporter combinations that received individual rates in this preliminary determination besides Yongao/Yuelei, AD duty suspension of liquidation and cash deposit requirements take effect Aug. 19, 2025.

AD Suspension of Liquidation and Cash Deposit Requirements

Effective on the dates listed below, Commerce will suspend liquidation, and require AD cash deposits, at the following AD rates (note that liquidation for most of these companies already is suspended due to Commerce's CVD investigation):

*As adjusted for export subsidies found in Commerce's concurrent CVD investigation. This rate will be the AD cash deposit rate as long as CVD cash deposit requirements remain in effect.

(The period of investigation is 07/01/24 - 12/31/24. See Commerce's notice for more information, including the scope, suspension of liquidation, detailed cash deposit instructions, etc.)