Full Text
REGD. No. D. L.-33004/99
The Gazette of India
CG-DL-E-05042025-262307
EXTRAORDINARY
PART I-Section 1
PUBLISHED BY AUTHORITY
No. 111]
NEW DELHI, THURSDAY, APRIL 3, 2025/ CHAITRA 13, 1947
MINISTRY OF COMMERCE AND INDUSTRY
(Department of Commerce)
(Directorate General of Trade Remedies)
AMENDMENT NOTIFICATION
New Delhi the 3rd April 2025
Case No.AD (NC)-02/2024
Subject: Change in the name of producer/exporter Shandong Dongyue Chemical Co., Ltd. to Shandong
Dongyue Refrigerants Co., Ltd. in the Final Finding Notification No. 06/34/2020-DGTR of the Anti-
dumping investigation concerning imports of Hydrofluorocarbon (HFC) Blends originating in or
exported from China PR.
F. No. 7/15/2024-DGTR.-
A. BACKGROUND
1. The Directorate General of Trade Remedies ("Authority") had conducted an Anti-dumping investigation
concerning imports of Hydrofluorocarbon (HFC) Blends originating in or exported from China PR ("subject
country") and recommended imposition of definitive anti-dumping duty vide its final findings notification no.
[06/34/2020-DGTR] ("Final Findings"). The recommendation was accepted by the Ministry of Finance, and
definitive duty was imposed vide Customs Notification No. 76/2021-Customs (ADD).
2. In the said anti-dumping investigation, one of the cooperating producers of the subject goods from China PR,
namely Shandong Dongyue Chemical Co., Ltd., participated and was assigned an individual anti-dumping
duty rate.
3. Post the issuance of the final findings, Shandong Dongyue Chemical Co., Ltd. has undergone a corporate
restructuring, resulting in a spin-off of its production business segment, forming a new entity named
Shandong Dongyue Refrigerants Co., Ltd. The applicant has claimed that there has been no change in
ownership, management, production process, cost structure, or product scope, and therefore, the anti-
dumping duty applicable to Shandong Dongyue Chemical Co., Ltd. should now be made applicable to the
newly established entity.
B. PROCEDURE
4. On 30th September 2024, Shandong Dongyue Refrigerants Co., Ltd. ("the Applicant") filed an application
requesting for change of name in the duty table of the final findings, in accordance with Trade Notice No.
12/2018 dated 17th September 2018.
5. Considering the nature of the request, the Authority examined the application and sought additional
documents. The non-confidential version of the application was circulated to the interested parties including
the domestic industry for their comments. No submission or evidence was filed against the claims of the
applicant by the domestic industry within the stipulated timelines. However, vide email dated 28th February,
2025, the domestic industry informed that they do not have any reservation to the request for changes of
name demanded by the Chinese company.
6. No comments were received from interested parties and the domestic industry did not have any reservation
on the request of name change. Based on the prima facie examination of the submitted documents, the
Authority determined that this is a case of name change only, with no substantive modifications requiring a
Mid-Term Review (MTR).
7. An oral hearing was conducted by the Authority on 5th March 2025. The applicant exporter attended the
hearing and requested a name change based on its application
C. SUBMISSION OF THE APPLICANT
8. Shandong Dongyue Chemical Co., Ltd. has undergone a corporate restructuring in the form of a spin-off,
leading to the creation of a new entity, Shandong Dongyue Refrigerants Co., Ltd. As a result, the
production business segment, including the manufacturing and operations related to Hydrofluorocarbon
(HFC) Component R-32 and HFC Blends, has been fully transferred to the newly incorporated company.
The original company, Shandong Dongyue Chemical Co., Ltd., has ceased its production activities and will
now focus solely on strategic management and subsidiary stockholding.
9. The spin-off was legally approved in accordance with China's corporate laws, and all necessary
regulatory and compliance approvals were obtained. The restructuring has been carried out with the intent
to streamline operations and improve efficiency, without any disruption to the production or supply chain.
The new entity has taken over all the tangible and intangible assets, ensuring business continuity.
10. The business licenses of both the former and newly formed companies have been updated to reflect this
change. Before the spin-off, Shandong Dongyue Chemical Co., Ltd. was responsible for the production of
HFC R-32 and HFC Blends and other hazardous chemicals. However, after the restructuring, its scope of
business has changed, and it no longer holds the necessary qualifications for chemical production. The
relevant safety production licenses have also been transferred to Shandong Dongyue Refrigerants Co.,
Ltd., allowing it to continue operations under the same regulatory framework.
11. There is no change in the shareholding pattern or management structure following the spin-off. The
same owners, directors, and key management personnel who oversaw the operations of Shandong
Dongyue Chemical Co., Ltd. before the restructuring continue to manage Shandong Dongyue
Refrigerants Co., Ltd. Additionally, the company's workforce has been transferred without any layoffs
or changes in roles, ensuring stability in business operations.
12. The manufacturing facilities, production technology, and export channels remain unchanged. The cost
structure, sources of raw materials, and sales strategy also continue to be the same as before the
restructuring. The exporter has emphasized that this is purely a name change due to internal restructuring
and does not impact its ability to produce or export the subject goods.
13. As part of the spin-off, the Asset Transfer Agreement was executed, legally transferring all production-
related assets, obligations, and rights from Shandong Dongyue Chemical Co., Ltd. to Shandong
Dongyue Refrigerants Co., Ltd. The exporter has also provided supporting documents, including board
resolutions, financial records, business licenses, and organizational charts, to substantiate the legitimacy
of the name change.
14. Given that the entity responsible for production and exports remains the same, the exporter has requested
that the anti-dumping duty applicable to Shandong Dongyue Chemical Co., Ltd. should now be applied
to Shandong Dongyue Refrigerants Co., Ltd. Since there has been no change in business operations,
production capacity, or export structure, the exporter asserts that this amendment is in line with Trade
Notice No. 12/2018, which allows name changes without requiring a Mid-Term Review.
15. The request seeks to ensure that the company's trade activities continue without disruption, and that all
regulatory requirements regarding anti-dumping duties are updated accordingly. The exporter has affirmed
that this is a procedural change with no impact on market dynamics, and that the anti-dumping duty
should continue to apply seamlessly to the new entity.
D. EXAMINATION BY THE AUTHORITY
16. The submissions made by the Applicant have been examined hereunder.
17. The need for change in the name of the producer in the duty table has arisen since Shandong Dongyue
Chemical Co., Ltd. has undergone a spin-off, and its production unit, including assets, employees, and
certifications, has been transferred entirely to Shandong Dongyue Refrigerants Co., Ltd.
18. The examination of supporting documents, including business licenses, board resolutions, asset transfer
agreements, and organizational charts, reveals that this is a case of a name change, with no structural changes
affecting the anti-dumping determination.
19. The request for name change arises from a corporate restructuring wherein Shandong Dongyue Chemical
Co., Ltd. has transferred its production operations, including assets, workforce, and certifications, to
Shandong Dongyue Refrigerants Co., Ltd.
20. The restructuring does not alter the fundamental nature of the business. The same production facility,
installed capacity, and export channels continue to exist under the new entity.
21. The shareholding structure of the newly formed entity remains unchanged. The same stakeholders who
previously owned Shandong Dongyue Chemical Co., Ltd. continue to own Shandong Dongyue Refrigerants
Co., Ltd.
22. Since there is no change in the source of raw materials, production technology, cost structure, the
restructuring does not impact the anti-dumping calculations previously determined.
23. The exporter has declared that the spin-off has been carried out in compliance with the Companies Law of
the People's Republic of China, and all relevant approvals, including safety production licenses, have been
obtained by the new entity. The Authority has taken the declaration of the exporter and documents submitted
on record and in view of no evidence to the contrary submitted by any other interested party accepts the
same.
24. The Authority further notes that Shandong Dongyue Chemical Co., Ltd., China PR, has submitted a Letter of
Commitment of application for Name Change. The letter states that the exporter at present is not involved in
production or sale of “Hydrofluorocarbon (HFC) Component R-32 and Hydrofluorocarbon (HFC) Blends" &
has no objection if its name is removed/struck off from the duty table relating to Anti-Dumping Duty
imposed on the subject goods and replaced by the 'Shandong Dongyue Refrigerants Co., Ltd'.
25. The authority also notes the submission of the domestic industry that it has no reservation to the request for
change of name demanded by the Chinese company.
26. The examination further reveals that the request falls within the guidelines given in Trade Notice No.
12/2018, which allows name change applications arising from corporate restructuring without requiring a
full-fledged Mid-Term Review (MTR).
E. RECOMMENDATION FOR AMENDMENT
27. Having considered all aspects, the Authority recommends the following amendment in the duty table in the
Final Findings notification no. 06/34/2020-DGTR dated 27th September 2021.
"At Serial No. [3], in Column [6], the name of the producer/exporter 'Shandong Dongyue Chemical Co., Ltd.'
be amended to read as 'Shandong Dongyue Refrigerants Co., Ltd."
28. Accordingly, the Customs Notification No. 76/2021-Customs (ADD) dated 22nd December 2021 should also
be amended to reflect this change.
29. An appeal against the determination of the Designated Authority in these final findings shall lie before the
Custom, Excise and Service Tax Appellate Tribunal in accordance with the relevant provisions of the
Act/Rules.
DARPAN JAIN, Designated Authority