EAPA Case 7850: Mak Chemicals, Inc. (Notice of Determination as to Evasion, October 22, 2024)

Notification of Determination as to Evasion in EAPA Case 7850 Xanthan Gum

WASHINGTON— On October 22, 2024, CBP issued the notice of determination as to evasion for EAPA case 7850 filed by CP Kelco U.S., Inc., against U.S. importer, Mak Chemicals, Inc. (Mak Chemicals) for evasion of the applicable antidumping duty (AD) order A-570-985 (the Order) on xanthan gum from China. Specifically, substantial evidence demonstrates that Mak Chemicals evaded the Order by importing Chinese-origin xanthan gum from the People’s Republic of China (China) that had been transshipped through Indonesia. CBP has determined that there is substantial evidence of evasion of AD duty by Mak Chemicals and, therefore, CBP issued a formal notice of determination as to evasion and has taken enforcement actions.In light of CBP’s findings, CBP will:

• CBP will suspend or continue to suspend the entries covered by this investigation, until instructed to liquidate.
• For those entries previously extended in accordance with Interim Measures, CBP will rate adjust and change those entries to type 03 and continue suspension until instructed to liquidate these entries.
• CBP will continue to evaluate Mak Chemical’s continuous bonds in accordance with CBP’s policies.

These actions do not preclude CBP from taking additional enforcement measures as it determines appropriate under its EAPA or other legal authorities, which include pursuing civil penalties or investigations into criminal violations. 

For additional information on CBP and EAPA, please visit the EAPA Homepage. If you suspect an importer of duty evasion, CBP encourages you to submit an allegation through our online portal.

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