US Commerce Dept Imposes Duties on ESBR from South Korea

  • 2020-11-11 12:00:00
  • Reporter

Based on a recent notice published by the Enforcement and Compliance section of the International Trade Administration (ITA) of the US Department of Commerce, it was determined that sales of emulsion styrene butadiene rubber (ESBR) from South Korea were made at less than normal value during the period of review-September 1, 2018 through August 31, 2019. In other words, the determination was made that dumping took place between September 2018 and August 2019

In July 2020, the Department of Commerce first published the Preliminary Results of the administrative review of the antidumping duty order on ESBR from South Korea, where they “applied facts otherwise available with adverse inferences to the sole mandatory respondent, LG Chem, Ltd. (LG Chem), because LG Chem notified Commerce that it would not participate in the review. We invited parties to submit comments on the Preliminary Results. No party submitted comments. Accordingly, the final results remain unchanged from the Preliminary Results.” The deadline for the final result of this review is now December 28, 2020. 

The merchandise subject to this order is cold-polymerized ESBR and includes but is not limited to ESBR in primary forms, bales, granules, crumbs, pellets, powders, plates, sheets strip, etc. ESB rubber consists of non-pigmented rubbers and oil-extended non-pigmented rubbers, both of which contain at least 1% of organic acids from the emulsion polymerization process. 

The ITA’s notice states that ESBR is produced and sold in accordance with a generally accepted set of product specifications issued by the International Institute of Synthetic Rubber Producers (IISRP). The scope of the review covers grades of ESBR included in the IISRP 1500 and 1700 series of synthetic rubbers. The 1500 grades are light in color and are often described as “Clear” or “White Rubber.” The 1700 grades are oil-extended and thus darker in color, and are often called “Brown Rubber.” 

Specifically excluded from the scope of this order are products which are manufactured by blending ESBR with other polymers, high styrene resin master batch, carbon black master batch (i.e., HSRP 1600 series and 1800 series) and latex (an intermediate product), according to the ITA. 

Based on the final results of the review, no changes have been made from the Preliminary Results and the Department of Commerce continues to determine that the following percentage weighted-average dumping margins exist for the period of September 1, 2018 through August 31, 2019: 


Dumping margin (percent)

LG Chem Ltd.4


Review-Specific Rate Applicable to the Following Companies: 5


Daewoo International Corporation


Hyundai Glovis Co


Kukje Trading Corp


Kumho Petrochemical Co. Ltd


Sungsan International Co., Ltd


WE International Co., Ltd



The notice further states that the Department of Commerce will determine, and the U.S. Customs and Border Protection (CBP) will assess antidumping duties on all appropriate entries covered by this review, in accordance with section 751(a)(2)(C) of the Act and 19 CFR 351.212(b). These final results of review remain unchanged from the Preliminary Results. The Department of Commerce will instruct CBP to apply an ad valorem assessment rate of 44.30% to all entries of subject merchandise during the POR from LG Chem and the companies which were not selected for individual examination. Commerce says it plans to issue assessment instructions 15 days after the publication date of the final results of this review. 

According to the notice, the cash deposit rate for LG Chem, Daewoo International Corporation, Hyundai Glovis Co., Kukje Trading Corp., Kumho Petrochemical Co. Ltd., Sungsan International Co., Ltd., and WE International Co., Ltd. will be equal to the dumping margin established in these final results of review, which remains unchanged from the Preliminary Results (44.30%) for previously investigated companies not under review in this segment, the cash deposit will continue to be the company-specific rate published for the most recently completed segment of this proceeding in which the company participated;  if the exporter is not a firm covered in this review, or the original less-than-fair-value (LTFV) investigation, but the manufacturer is, then the cash deposit rate will be the rate established for the most recent segment for the manufacturer of the merchandise; and the cash deposit rate for all other manufacturers or exporters will continue to be 9.66%, the all-others rate established in the LTFV investigation. These cash deposit requirements, when imposed, shall remain in effect until further notice. 

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