[Federal Register Volume 86, Number 65 (Wednesday, April 7, 2021)]
[Notices]
[Pages 18037-18039]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-07170]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-714-001; C-821-825]


Phosphate Fertilizers From the Kingdom of Morocco and the Russian 
Federation: Countervailing Duty Orders

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: Based on the affirmative final determinations by the 
Department of Commerce (Commerce) and the International Trade 
Commission (ITC), Commerce is issuing its countervailing duty orders on 
phosphate fertilizers from the Kingdom of Morocco (Morocco) and the 
Russian Federation (Russia).

DATES: Applicable April 7, 2021.

FOR FURTHER INFORMATION CONTACT: Janae Martin (Morocco) or George 
Ayache (Russia), AD/CVD Operations, Office VIII, Enforcement and 
Compliance, International Trade Administration, U.S. Department of 
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: 
(202) 482-0238 or (202) 482-2623, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On February 16, 2021, Commerce published its affirmative final 
determinations in the countervailing duty investigations of phosphate 
fertilizers from Morocco and Russia.\1\ On March 31, 2021, the ITC 
notified Commerce of its affirmative final determinations, pursuant to 
sections 705(b)(1)(A)(i) and 705(d) of the Tariff Act of 1930, as 
amended (the Act), that an industry in the United States is materially 
injured by reason of subsidized imports of phosphate fertilizers from 
Morocco and Russia.\2\
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    \1\ See Phosphate Fertilizers from the Kingdom of Morocco: Final 
Affirmative Countervailing Duty Determination, 86 FR 9482 (February 
16, 2021) (Morocco Final Determination); see also Phosphate 
Fertilizers from the Russian Federation: Final Affirmative 
Countervailing Duty Determination, 86 FR 9479 (February 16, 2021) 
(Russia Final Determination).
    \2\ See ITC Notification Letter, Investigations, Inv. Nos. 701-
TA-650-651 (Final) (March 31, 2021).
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Scope of the Orders

    The products covered by these orders are phosphate fertilizers from 
Morocco and Russia. For a full description of the scope of these 
orders, see the Appendix to this notice.

Countervailing Duty Orders

    On March 31, 2021, in accordance with sections 705(b)(1)(A)(i) and 
705(d) of the Act, the ITC notified Commerce of its final 
determinations in these investigations, in which it found that an 
industry in the United States is materially injured by reason of 
subsidized imports of phosphate fertilizers from Morocco and Russia.\3\ 
In accordance with section 705(c)(2) of the Act, Commerce is issuing 
these countervailing duty orders.
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    \3\ Id.
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    Therefore, in accordance with section 706(a) of the Act, Commerce 
will direct U.S. Customs and Border Protection (CBP) to assess, upon 
further instruction by Commerce, countervailing duties on unliquidated 
entries of phosphate fertilizers from Morocco and Russia entered, or 
withdrawn from warehouse, for consumption on or after November 30, 
2020, the date of publication of the Preliminary Determinations in the 
Federal Register,\4\ but will not include

[[Page 18038]]

entries occurring after the expiration of the provisional measures 
period and prior to the date of publication of the ITC's final 
determinations in the Federal Register, as further described below.
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    \4\ See Phosphate Fertilizers from the Kingdom of Morocco: 
Preliminary Affirmative Countervailing Duty Determination, 85 FR 
76522 (November 30, 2020); see also Phosphate Fertilizers from the 
Russian Federation: Preliminary Affirmative Countervailing Duty 
Determination, 85 FR 76524 (November 30, 2020) (collectively, 
Preliminary Determinations).
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Suspension of Liquidation

    In accordance with section 706 of the Act, Commerce will direct CBP 
to reinstitute the suspension of liquidation of phosphate fertilizers 
from Morocco and Russia, effective the date of publication of the ITC's 
notice of final determinations in the Federal Register, and to assess, 
upon further instruction by Commerce pursuant to section 706(a)(1) of 
the Act, countervailing duties for each entry of the subject 
merchandise in an amount based on the net countervailable subsidy rates 
for the subject merchandise. On or after the date of publication of the 
ITC's final injury determinations in the Federal Register, CBP must 
require, at the same time as importers would deposit estimated normal 
customs duties on this merchandise, a cash deposit equal to the subsidy 
rates noted below. These instructions suspending liquidation will 
remain in effect until further notice. The all-others rate applies to 
all producers or exporters not specifically listed below.

------------------------------------------------------------------------
                                                               Subsidy
                          Company                                rate
                                                              (percent)
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Morocco:
  OCP S.A.\5\..............................................        19.97
  All Others...............................................        19.97
Russia:
  Industrial Group Phosphorite LLC \6\.....................        47.05
  Joint Stock Company Apatit \7\...........................         9.19
  All Others...............................................        17.20
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Provisional Measures
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    \5\ Commerce found the following companies to be cross-owned 
with OCP S.A.: Jorf Fertilizers Company I, Jorf Fertilizers Company 
II, Jorf Fertilizers Company III, Jorf Fertilizers Company IV, Jorf 
Fertilizers Company V, and Maroc Phosphore. See Morocco Final 
Determination.
    \6\ Commerce found the following companies to be cross-owned 
with Industrial Group Phosphorite LLC: Mineral and Chemical Company 
EuroChem, JSC; NAK Azot, JSC; EuroChem Northwest, JSC; Joint Stock 
Company Kovdorksy GOK; EuroChem-Energo, LLC; EuroChem-Usolsky Potash 
Complex, LLC; EuroChem-BMU, LLC; JSC Nevinnomyssky Azot; and 
EuroChem Trading Rus, LLC. See Russia Final Determination.
    \7\ Commerce found the following companies to be cross-owned 
with Joint Stock Company Apatit: PhosAgro PJSC; 
PhosAgro[hyphen]Belgorod LLC; PhosAgro[hyphen]Don LLC; 
PhosAgro[hyphen]Kuban LLC; PhosAgro[hyphen]Kursk LLC; 
PhosAgro[hyphen]Lipetsk LLC; PhosAgro[hyphen]Orel LLC; 
PhosAgro[hyphen]Stavropol LLC; PhosAgro[hyphen]Volga LLC; 
PhosAgro[hyphen]SeveroZapad LLC; PhosAgro[hyphen]Tambov LLC; and 
Martynovsk AgrokhimSnab LLC. See Russia Final Determination.
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    Section 703(d) of the Act states that the suspension of liquidation 
pursuant to an affirmative preliminary determination may not remain in 
effect for more than four months. In the underlying investigations, 
Commerce published the Preliminary Determinations on November 30, 
2020.\8\ Therefore, entries of phosphate fertilizers from Morocco and 
Russia made on or after March 30, 2021, and prior to the date of 
publication of the ITC's final determinations in the Federal Register, 
are not subject to the assessment of countervailing duties due to 
Commerce's discontinuation of the suspension of liquidation.
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    \8\ See Preliminary Determinations.
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    In accordance with section 703(d) of the Act, Commerce will 
instruct CBP to terminate the suspension of liquidation and to 
liquidate, without regard to countervailing duties, unliquidated 
entries of phosphate fertilizers from Morocco and Russia entered, or 
withdrawn from warehouse, for consumption on or after March 30, 2021, 
the date on which the provisional countervailing duty measures expired, 
through the day preceding the date of publication of the ITC final 
injury determinations in the Federal Register. Suspension of 
liquidation will resume on the date of publication of the ITC final 
injury determinations in the Federal Register.

Notifications to Interested Parties

    This notice constitutes the countervailing duty orders with respect 
to phosphate fertilizers from Morocco and Russia pursuant to section 
706(a) of the Act. Interested parties can find a list of countervailing 
duty orders currently in effect at http://enforcement.trade.gov/stats/iastats1.html.
    This order is issued and published in accordance with section 
706(a) of the Act and 19 CFR 351.211(b).

    Dated: April 1, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.

Appendix

Scope of the Orders

    The merchandise covered by these orders is phosphate fertilizers 
in all physical forms (i.e., solid or liquid form), with or without 
coating or additives such as anti-caking agents. Phosphate 
fertilizers in solid form are covered whether granular, prilled 
(i.e., pelletized), or in other solid form (e.g., powdered).
    The covered merchandise includes phosphate fertilizers in the 
following forms: ammonium dihydrogenorthophosphate or monoammonium 
phosphate (MAP), chemical formula NH4H2PO4; diammonium 
hydrogenorthophosphate or diammonium phosphate (DAP), chemical 
formula (NH4)2HPO4; normal superphosphate (NSP), also known as 
ordinary superphosphate or single superphosphate, chemical formula 
Ca(H2PO4)2-CaSO4; concentrated superphosphate, also known as double, 
treble, or triple superphosphate (TSP), chemical formula Ca(H2PO4)2-
H2O; and proprietary formulations of MAP, DAP, NSP, and TSP.
    The covered merchandise also includes other fertilizer 
formulations incorporating phosphorous and non-phosphorous plant 
nutrient components, whether chemically-bonded, granulated (e.g., 
when multiple components are incorporated into granules through, 
e.g., a slurry process), or compounded (e.g., when multiple 
components are compacted together under high pressure), including 
nitrogen, phosphate, sulfur (NPS) fertilizers, nitrogen, 
phosphorous, potassium (NPK) fertilizers, nitric phosphate (also 
known as nitrophosphate) fertilizers, ammoniated superphosphate 
fertilizers, and proprietary formulations thereof that may or may 
not include other nonphosphorous plant nutrient components. For 
phosphate fertilizers that contain non-phosphorous plant nutrient 
components, such as nitrogen, potassium, sulfur, zinc, or other non-
phosphorous components, the entire article is covered, including the 
non-phosphorous content, provided that the phosphorous content 
(measured by available diphosphorous pentaoxide, chemical formula 
P2O5) is at least 5% by actual weight.
    Phosphate fertilizers that are otherwise subject to these orders 
are included when commingled (i.e., mixed or blended) with phosphate 
fertilizers from sources not subject to these orders. Phosphate 
fertilizers that are otherwise subject to these orders are included 
when commingled with substances other than phosphate fertilizers 
subject to these orders (e.g., granules containing only non-
phosphate fertilizers such as potash or urea). Only the subject 
component of such commingled products is covered by the scope of 
these orders. The following products are specifically excluded from 
the scope of these orders:
    (1) ABC dry chemical powder preparations for fire extinguishers 
containing MAP or DAP in powdered form;
    (2) industrial or technical grade MAP in white crystalline form 
with available P2O5 content of at least 60% by actual weight;
    (3) industrial or technical grade diammonium phosphate in white 
crystalline form with available P2O5 content of at least 50% by 
actual weight;
    (4) liquid ammonium polyphosphate fertilizers;
    (5) dicalcium phosphate, chemical formula CaHPO4;
    (6) monocalcium phosphate, chemical formula CaH4P2O8;
    (7) trisodium phosphate, chemical formula Na3PO4;
    (8) sodium tripolyphosphate, chemical formula Na5P3O10;
    (9) prepared baking powders containing sodium bicarbonate and 
any form of phosphate;

[[Page 18039]]

    (10) animal or vegetable fertilizers not containing phosphate 
fertilizers otherwise covered by the scope of these orders;
    (11) phosphoric acid, chemical formula H3PO4.
    The Chemical Abstracts Service (CAS) numbers for covered 
phosphate fertilizers include, but are not limited to: 7722-76-1 
(MAP); 7783-28-0 (DAP); and 65996-95-4 (TSP). The covered products 
may also be identified by Nitrogen-Phosphate-Potash composition, 
including but not limited to: NP 11-52-0 (MAP); NP 18-46-0 (DAP); 
and NP 0-46-0 (TSP).
    The covered merchandise is currently classified in the 
Harmonized Tariff Schedule of the United States (HTSUS) at 
subheadings 3103.11.0000; 3103.19.0000; 3105.20.0000; 3105.30.0000; 
3105.40.0010; 3105.40.0050; 3105.51.0000; and 3105.59.0000. 
Phosphate fertilizers subject to these orders may also enter under 
subheadings 3103.90.0010, 3105.10.0000, 3105.60.0000, 3105.90.0010, 
and 3105.90.0050. Although the HTSUS subheadings and CAS registry 
numbers are provided for convenience and customs purposes, the 
written description of the scope is dispositive.

[FR Doc. 2021-07170 Filed 4-6-21; 8:45 am]
BILLING CODE 3510-DS-P