U.S. Announces New Countervailing Duty Rates on Aluminum Foil from China

Estimated reading time: 5–10 minutes

Review Background

The U.S. Department of Commerce has announced the preliminary results of its 2023 review of countervailing duties on certain aluminum foil from the People’s Republic of China. The review covers the period from January 1, 2023, to December 31, 2023.

The Department began this review on June 12, 2024, after receiving requests from different parties. Two companies were first chosen for full review: Dingheng New Materials Co., Ltd. and Shanghai Shenyan Packaging Materials Co., Ltd. Later, both companies were dropped from individual review requests. The Department then reviewed Jiangsu Zhongji Lamination Materials Co., Ltd., which became the main company examined.

Some companies asked to be left out of the review, and their requests were granted. Also, based on customs data, the Department found 26 companies with no shipments during the review period. One company, Prosvic Sales, Inc., was removed from the review for this reason.

Scope of the Order

The duty order applies to aluminum foil imports from China. Full details are found in the Order and the Preliminary Decision Memorandum.

Rescission of Review

The Department ended the review early for 17 companies after they submitted proper withdrawal requests. All withdrawals were filed on time. These companies are listed in Appendix II. One company, Prosvic Sales, Inc., was removed after review showed it made no shipments.

How Rates Are Set for Companies

Normally, the Department gives each reviewed company its own duty rate. If there are too many companies, it can review only the biggest ones and average their rates for the others. For this review, only Jiangsu Zhongji Lamination Materials Co., Ltd. had a calculated rate that was not zero, very small, or based on limited information. The Department assigned this same rate to all the companies that were not reviewed in detail.

Methodology

The review checks if the government of China gave unfair advantages, known as subsidies, to aluminum foil exporters. The Department found that certain companies received benefits that were specific and provided by authorities.

Preliminary Results

Jiangsu Zhongji Lamination Materials Co., Ltd. and its affiliated companies received a preliminary subsidy rate of 25.25 percent. Shanghai Shenyan Packaging Materials Co., Ltd. received a preliminary rate of 540.55 percent because its rate was based entirely on facts available due to lack of participation.

Other companies under review, who were not individually examined, received a preliminary subsidy rate of 27.45 percent.

List of Companies and Rates

  • Jiangsu Zhongji Lamination Materials Co., Ltd. and affiliates: 25.25%
  • Shanghai Shenyan Packaging Materials Co., Ltd.: 540.55%
  • Non-selected companies: 27.45% (see Appendix III for company names)

Public Comments and Hearings

Anyone interested can submit written comments about the review. Case briefs are due 21 days after this notice, and rebuttals are due five days after that. Summaries of each key point should be given, limited to 450 words per topic.

If someone wants a hearing, they must ask for it electronically within 30 days of this notice. The number of participants and a list of topics to discuss must also be included in the request.

Assessment Rates

After the final results are published, U.S. Customs will collect duties based on the rates set in the review. For companies whose review ended early, duties will be collected at the previous rate that was in effect at the time of entry.

If there is a court challenge, Customs will wait before collecting duties.

Cash Deposit Instructions

New cash deposit rates will be set for reviewed companies after the final results. These rates apply to future imports. For companies not reviewed, previous deposit rates stay in effect.

Final Results Deadline

The Department plans to publish the final results within 120 days of this notice unless the deadline is changed.

Notification

This notice follows U.S. laws and rules for duty administrative reviews.

Appendices

Appendix II: Companies Removed from Review

Seventeen companies, including Alcha International Holdings Limited and Zhejiang Zhongjin Aluminum Industry Co., Ltd., were removed after timely requests. Prosvic Sales, Inc. had no shipments and was also removed.

Appendix III: Non-Selected Companies Under Review

Fourteen companies, such as Dingheng New Materials Co., Ltd. and Hangzhou Five Star Aluminium Co., Ltd., were not individually examined and received the new 27.45 percent duty rate.

For more details, see the full Preliminary Decision Memorandum on the Commerce Department website.


Legal Disclaimer

This article includes content collected from the Federal Register (federalregister.gov). The content is not an official government publication. This article is for informational purposes only and does not constitute legal advice. For case-specific consultation, please contact us. Read our full Legal Disclaimer, which also includes information on translation accuracy.