U.S. Department of Commerce Issues Final Ruling in Anti-Circumvention Inquiry Regarding Imports of Hydrofluorocarbon Components from China
For Immediate Release
August 14, 2020
Contact: ITA Office of Public Affairs
WASHINGTON – Today, the U.S. Department of Commerce announced the final determination in the anti-circumvention inquiry involving imports of hydrofluorocarbon (HFC) components from China (R-32, R-125, R-143a) for further processing in the United States into HFC blends (R-404A, R-407A, R-407C, R-410 A, R-507A). Specifically, Commerce determined not to include HFC components within the scope of the antidumping duty (AD) order on HFC blends from China.
As a result of this final determination, Commerce will instruct U.S. Customs and Border Protection to refund all cash deposits required for subject merchandise pursuant to this inquiry and discontinue the suspension of liquidation.
Under U.S. law, circumvention exists when (among other things) merchandise subject to an AD or countervailing duty (CVD) order is completed or assembled in the United States from parts and components imported from the country subject to the order. However, in this case, the U.S. International Trade Commission (ITC) provided Commerce with written advice indicating that inclusion of these components within the scope of the order on HFC blends from China would be inconsistent with the ITC’s injury determination in its original HFC investigation. After considering of the ITC’s advice and relevant provisions of U.S. law, Commerce has determined not to include the components within the scope of the AD order on HFC blends from China.
This inquiry was initiated in response to allegations of circumvention from the American HFC Coalition.
The strict enforcement of U.S. trade law is a primary focus of the Trump administration. To date, the Trump administration has issued 53 preliminary or final affirmative determinations in anti-circumvention inquiries – this is a 165 percent increase from the number of such determinations made during the comparable period in the previous administration.
The U.S. Department of Commerce’s Enforcement and Compliance unit within the International Trade Administration is responsible for vigorously enforcing U.S. trade law and does so through an impartial, transparent process that abides by international rules and is based on factual evidence provided on the record.