Importers of fatty acids from Indonesia and Malaysia should be watching for Commerce’s standalone preliminary critical circumstances determination in the countervailing duty (CVD) investigations. If the determination is affirmative, Commerce could require retroactive duty collection reaching back before the preliminary CVD notices were published.
Background
Commerce issued preliminary affirmative CVD determinations for both Indonesia and Malaysia on July 23, 2026, finding countervailable subsidies in each case and setting company-specific estimated subsidy rates. Because the petitioner, Vantage Specialty Chemicals, Inc., filed its critical circumstances allegation less than 20 days before the preliminary determination deadline, Commerce is required to issue a separate, standalone preliminary determination on critical circumstances no later than July 29, 2026, unless that deadline is extended.
A critical circumstances finding matters because it can trigger retroactive suspension of liquidation, reaching back up to 90 days before the preliminary determination, rather than applying duties only prospectively from the publication date. That distinction can mean the difference between planning for a known duty rate on future entries and facing unexpected duty deposits on entries that have already been made.
Where the Broader Case Stands
- CVD investigations (Indonesia and Malaysia): Preliminary affirmative determinations were published July 23, 2026, with company-specific subsidy rates and suspension of liquidation ordered from that publication date, absent a contrary critical circumstances finding.
- Companion antidumping (LTFV) investigations: Preliminary determinations have been postponed until no later than September 15, 2026, at the petitioner’s request, giving Commerce additional time to evaluate respondent questionnaire responses.
- Final CVD determinations: Commerce has aligned the final CVD determinations with the final LTFV determination timeline under its regulations, meaning the overall duty picture for this case will not be settled until the fall.
What Importers Should Do
- Confirm whether your fatty acids imports (HTS subheadings 2915.70.01, 2915.90.10, 2916.15.10, 2916.15.51, 3823.11.00, 3823.12.00, 3823.19.20, and 3823.19.40) fall within the scope of the investigations.
- If Commerce’s critical circumstances determination is affirmative, review entries made during the 90 days before July 23, 2026, for potential retroactive duty deposit exposure.
- Track the September 15 antidumping preliminary determination separately. It could add a second layer of duties to this case.
ASK Alba™
Have questions about how this affects your import program? Contact Alba to speak with our trade compliance team.
References
Federal Register: Certain Fatty Acids From Indonesia: Preliminary Affirmative CVD Determination:
https://www.federalregister.gov/documents/2026/07/23/2026-14871/certain-fatty-acids-from-indonesia-preliminary-affirmative-countervailing-duty-determination-and
Federal Register: Certain Fatty Acids From Malaysia: Preliminary Affirmative CVD Determination:
https://www.federalregister.gov/documents/2026/07/23/2026-14870/certain-fatty-acids-from-malaysia-preliminary-affirmative-countervailing-duty-determination-and
Federal Register: Postponement of Preliminary Determinations in the LTFV Investigations:
https://www.federalregister.gov/documents/2026/07/10/2026-13976/certain-fatty-acids-from-indonesia-and-malaysia-postponement-of-preliminary-determinations-in-the
