Nitrile Rubber: New AD Investigations Deadlines & Scope

The Commerce Department issued a Federal Register notice on its recently initiated antidumping duty investigations on acrylonitrile-butadiene rubber from France (A-427-832), South Korea (A-580-912) and Mexico (A-201-855). The agency will determine whether imports of AB Rubber are being sold in the U.S. at less than fair value. The investigations cover entries during the period April 1, 2020, through March 31, 2021.

The International Trade Commission will conduct a concurrent investigation to determine whether imports of dumped nitrile rubber from France, South Korea and Mexico are injuring U.S. industry. If the ITC finds no injury in its preliminary injury determinations, due Aug. 16, the investigations will immediately end. If Commerce finds dumping in the preliminary determinations of these investigations, due Dec. 7, it will set AD duty cash deposit requirements for imports of merchandise subject to the investigation. If both Commerce and the ITC reach affirmative final determinations, Commerce will issue an AD duty order making duties permanent and beginning a process of annual administrative reviews to set final assessments of AD duties on importers and potentially change AD duty cash deposit rates.

AD Respondent Selection

Commerce will in the AD duty investigation examine the following producers of subject merchandise: Arlanxeo Emulsion Rubber France (France), INSA (Dynasol Group) (Mexico), and Kumho Petrochemical and LG Chemical, Ltd. (South Korea).

Scope of the AD/CVD Investigations

The product covered by these investigations is commonly referred to as acrylonitrile butadiene rubber or nitrile rubber (AB Rubber). AB Rubber is a synthetic rubber produced by the emulsion polymerization of butadiene and acrylonitrile with or without the incorporation of a third component selected from methacrylic acid or isoprene. This scope covers AB Rubber in solid or non-aqueous liquid form. The scope also includes carboxylated AB Rubber. Excluded from the scope of these investigations is AB Rubber in latex form (commonly classified under Harmonized Tariff Schedule of the United States (HTSUS) subheading 4002.51.0000). Latex AB Rubber is commonly either (a) acrylonitrile/butadiene polymer in latex form or (b) acrylonitrile/butadiene/methacrylic acid polymer in latex form. The broader definition of latex refers to a water emulsion of a synthetic rubber obtained by polymerization.

Also excluded from the scope of these investigations is: (a) AB Rubber containing additives (e.g., nitrile rubber further compounded with fillers, reinforcement agents, vulcanization agents, etc.; by example, products classified under HTSUS subheading 4005); (b) AB Rubber containing rubber processing chemicals, AB Rubber containing other materials used for further processing beyond the polymerization process; (c) hydrogenated AB Rubber (commonly referred to as HNBR) produced by subsequent dissolution and hydrogenation of AB Rubber; (d) reactive liquid polymers containing acrylonitrile and butadiene with amine, epoxy, carboxyl, or methacrylate vinyl chemical functionality.

Subject merchandise includes material matching the above description that has been finished, packaged, or otherwise processed in a third country, including by modifying physical form or packaging with another product, or performing any other finishing, packaging, or processing that would not otherwise remove the merchandise from the scope of the investigations if performed in the country of manufacture of the AB Rubber.

The merchandise subject to these investigations is classified in the Harmonized Tariff Schedule of the United States (HTSUS) at subheading 4002.59.0000. While the HTSUS subheading numbers are provided for convenience and customs purposes, the written description of the merchandise under investigation is dispositive.

Participants in the AD/CVD investigations may submit comments on product coverage under the scope of the investigations. Comments on the scope are due by 5 p.m. EDT on Aug. 9.

Investigations Timetable

These deadlines may be, and usually are, extended. The Commerce Department fact sheet on the initiation of these investigations is (here). See 2107010084 for a summary of the petition requesting these investigations.