India Sodium Nitrite: Commerce Issues CV Duty Final Determination
The Commerce Department on Jan. 5 released its final determination in the countervailing duty investigation on sodium nitrite from India (C-533-907). Suspension of liquidation is currently not in effect for entries on or after Oct. 19, 2022, and Commerce will require cash deposits of estimated CV duties on future entries only if it issues a CV duty order (though entries are still suspended under Commerce's concurrent antidumping duty investigation).
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The next step is for the International Trade Commission to make its final injury determination, currently scheduled for Feb. 13, according to a Commerce fact sheet. If the ITC finds injury, Commerce will issue a CV duty order and duties will be made permanent. If the ITC finds no injury, the investigation will be terminated and all cash deposits will be refunded.
Commerce is concurrently issuing a final determination in its AD investigation on sodium nitrite from India, setting AD rates at 44.82% for all Indian exporters (see 2301050056). The agency has already issued AD/CVD orders on sodium nitrite from Russia after investigations initiated at the same time as these investigations on India (see 2211020026 and 2208190041).
CV Susp/Cash Deposit Through Oct. 18
For now, Commerce has instructed CBP to continue the suspension of liquidation of entries from June 21, 2022, through Oct. 18, 2022.
CV Liq Reinstated and No CV Cash Deposit as of Oct. 19
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 Oct. 19, 2022, 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 remains in effect for AD duty purposes for entries on or after Aug. 17, 2022.
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 Indian 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 |
|---|---|
| Deepak Nitrite Limited/Deepak Nitrite Limited Nandesari Division | 2.4% |
| All Others | 2.4% |
(Note that there is no CV duty liability, and no CV duties will be assessed, on entries during the “gap period” of Oct. 19 until the date an ITC final affirmative injury determination is published in the Federal Register.)
(The period of investigation is 01/01/21 - 12/31/21. See Commerce's notice for more information, including the scope of the order (unchanged), detailed instructions on cash deposit and assessment rates, changes since the preliminary determination, etc. See 2206170056 for a summary of the preliminary determination of this investigation.)