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Certain Freight Rail Couplers and Parts Thereof from India: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination with Final Antidumping Duty Determination

A Notice by the International Trade Administration on 03/03/2026

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• Document Details Published Content - Document Details Agencies Department of Commerce International Trade Administration Agency/Docket Number C-533-941 Document Citation 91 FR 10370 Document Number 2026-04197 Document Type Notice Pages 10370-10373
  (4 pages) Publication Date 03/03/2026 Published Content - Document Details

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• Document Details Published Content - Document Details Agencies Department of Commerce International Trade Administration Agency/Docket Number C-533-941 Document Citation 91 FR 10370 Document Number 2026-04197 Document Type Notice Pages 10370-10373
  (4 pages) Publication Date 03/03/2026 Published Content - Document Details

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  • AGENCY:
  • SUMMARY:
  • DATES:
  • FOR FURTHER INFORMATION CONTACT:
  • SUPPLEMENTARY INFORMATION:
  • Background
  • Scope of the Investigation
  • Scope Comments
  • Methodology
  • Alignment
  • All-Others Rate
  • Preliminary Determination
  • Suspension of Liquidation
  • Disclosure
  • Verification
  • Public Comment
  • U.S. International Trade Commission Notification
  • Notification to Interested Parties
  • Appendix I
  • Scope of the Investigation
  • Appendix II
  • List of Topics Discussed in the Preliminary Decision Memorandum
  • Footnotes Enhanced Content - Table of Contents

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| C-533-941
(2 Documents) | | | |
| --- | | | |
| Date | | Action | Title |
| | 2026-03-03 | | Certain Freight Rail Couplers and Parts Thereof from India: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination with Final Antidumping Duty Determination |
| | 2025-08-18 | | Certain Freight Rail Couplers and Parts Thereof From India: Initiation of Countervailing Duty Investigation |

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Department of Commerce

International Trade Administration

1. [C-533-941]

AGENCY:

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

SUMMARY:

The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of certain freight rail couplers and parts thereof (freight rail couplers) from India. The period of investigation is April 1, 2024, through March 31, 2025. Interested parties are invited to comment on this preliminary determination.

DATES:

Applicable March 3, 2026.

FOR FURTHER INFORMATION CONTACT:

Benjamin Blythe or Joshua Jacobson, AD/CVD Operations, Office IV, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-3457 or (202) 482-0266, respectively.

SUPPLEMENTARY INFORMATION:

Background

This preliminary determination is made in accordance with section 703(b) of the Tariff Act of 1930, as amended (the Act). Commerce published the notice of initiation of this investigation ( printed page 10371) on August 12, 2025. [1 ] On September 30, 2025, Commerce postponed the preliminary determination of this investigation. [2 ] Due to the lapse in appropriations and Federal Government shutdown, on November 14, 2025, Commerce tolled all deadlines in administrative proceedings by 47 days. [3 ] Additionally, due to a backlog of documents that were electronically filed via Enforcement and Compliance's Antidumping and Countervailing Duty Centralized Electronic Service System (ACCESS) during the Federal Government shutdown, on November 24, 2025, Commerce tolled all deadlines in administrative proceedings by an additional 21 days. [4 ] The revised and tolled deadline is now February 26, 2026.

For a complete description of the events that followed the initiation of this investigation, see the Preliminary Decision Memorandum. [5 ] A list of topics discussed in the Preliminary Decision Memorandum is included as Appendix II to this notice. The Preliminary Decision Memorandum is a public document and is on file electronically via ACCESS. ACCESS is available to registered users at https://access.trade.gov. In addition, a complete version of the Preliminary Decision Memorandum can be accessed directly at https://access.trade.gov/​public/​FRNoticesListLayout.aspx.

Scope of the Investigation

The products covered by this investigation are freight rail couplers from India. For a complete description of the scope of this investigation, see Appendix I.

Scope Comments

In accordance with the preamble to Commerce's regulations, [6 ] the Initiation Notice set aside a period of time for parties to raise issues regarding product coverage, (i.e., scope). [7 ] Certain interested parties commented on the scope of the investigation as it appeared in the Initiation Notice. For a summary of the product coverage comments and rebuttal responses submitted to the record for this preliminary determination, and accompanying discussion and analysis of all comments timely received, see the Preliminary Scope Decision Memorandum. [8 ] Commerce is preliminarily modifying the scope language as it appeared in the Initiation Notice. See the revised scope in Appendix I.

Pursuant to 19 CFR 351.309(c)(2), interested parties may address scope-related these product coverage comments in the in scope case briefs, which may be submitted no later than 30 days after the issuance date of the Preliminary Scope Decision Memorandum, i.e., 5:00 p.m. Eastern Time (ET) on March 30, 2026. [9 ] Scope rebuttal briefs, limited to issues raised in the scope case briefs, may be submitted no later than five days after the deadline for the scope case briefs, i.e., 5:00 p.m. ET on April 6, 2026. [10 ] These deadlines apply to each of the ongoing less-than-fair-value and CVD investigations for freight rail couplers. [11 ]

Methodology

Commerce is conducting this investigation in accordance with section 701 of the Act. For each of the subsidy programs found countervailable, Commerce preliminarily determines that there is a subsidy, i.e., a financial contribution by an “authority” that gives rise to a benefit to the recipient, and that the subsidy is specific. [12 ]

Commerce notes that, in making these findings, we relied, in part, on facts available and, because we found that one or more respondents did not act to the best of their ability to respond to Commerce's requests for information, we drew an adverse inference where appropriate in selecting from among the facts otherwise available. [13 ] For further information, see the “Use of Facts Otherwise Available and Adverse Inferences” section in the Preliminary Decision Memorandum.

Alignment

As noted in the Preliminary Decision Memorandum, in accordance with section 705(a)(1) of the Act and 19 CFR 351.210(b)(4), Commerce is aligning the final countervailing duty (CVD) determination in this investigation with the final determination in the companion antidumping duty (AD) investigation of freight rail couplers from India based on a request made by the petitioner. [14 ] Consequently, the final CVD determination will be issued on the same date as the final AD determination, which is currently scheduled to be issued no later than July 13, 2026, unless postponed.

All-Others Rate

Sections 703(d) and 705(c)(5)(A) of the Act provide that in the preliminary determination, Commerce shall determine an estimated all-others rate for companies not individually examined. This rate shall be an amount equal to the weighted average of the estimated subsidy rates established for those companies individually examined, excluding any zero and de minimis rates and any rates based entirely under section 776 of the Act. In this investigation, Commerce calculated individual estimated countervailable subsidy rates for Kharagpur Metal Reforming Industries Pvt Ltd (KMRI) and Texmaco Rail and Engineering Limited (Texmaco) that are not zero, de minimis, or based entirely on facts otherwise available. Commerce calculated the all-others rate using a weighted average of the individual estimated subsidy rates calculated for the examined respondents using each company's publicly-ranged values for the subject merchandise. [15 ]

( printed page 10372)

Preliminary Determination

Commerce preliminarily determines that the following estimated countervailable subsidy rates exist:

| Company | Subsidy rate
(percent ad valorem) |
| --- | --- |
| Kharagpur Metal Reforming Industries Pvt Ltd. | 6.02 |
| Texmaco Rail and Engineering Limited | 5.47 |
| Bhilai Engineering Corporation Ltd. | * 64.27 |
| Jupiter Wagons Ltd. | * 64.27 |
| All Others | 5.90 |
| * Rate based on facts available with adverse inferences. | |

Suspension of Liquidation

In accordance with section 703(d)(2) of the Act, Commerce will direct U.S. Customs and Border Protection (CBP) to suspend liquidation of entries of subject merchandise as described in the scope of the investigation section entered, or withdrawn from warehouse, for consumption on or after the date of publication of this notice in the Federal Register. Further, pursuant to section 703(d)(1)(B) of the Act and 19 CFR 351.107(e), Commerce will instruct CBP to require a cash deposit equal to the estimated company-specific countervailable subsidy rate or the estimated all-others rate, as follows: (1) the cash deposit rate for the respondents listed above will be equal to the company-specific estimated individual countervailable subsidy rates determined in this preliminary determination; (2) if both the producer and exporter of the subject merchandise have company-specific estimated subsidy rates determined in this preliminary determination, and their rates differ, then the applicable cash deposit rate will be the higher of these two rates; (3) if either the producer or the exporter, but not both, of the subject merchandise have a company-specific estimated subsidy rate determined in this preliminary determination, the applicable cash deposit rate will be that company's company-specific rate; and (4) the cash deposit rate for all other producers and exporters will be equal to the estimated all-others subsidy rate.

Disclosure

Commerce intends to disclose its calculations and analysis performed to interested parties in this preliminary determination within five days of its public announcement, or if there is no public announcement, within five days of the date of this notice in accordance with 19 CFR 351.224(b).

Consistent with 19 CFR 351.224(e), Commerce will analyze and, if appropriate, correct any timely allegations of significant ministerial errors by amending the preliminary determination. However, consistent with 19 CFR 351.224(d), Commerce will not consider incomplete allegations that do not address the significance standard under 19 CFR 351.224(g) following the preliminary determination. Instead, Commerce will address such allegations in the final determination together with issues raised in the case briefs or other written comments.

Verification

As provided in section 782(i)(1) of the Act, Commerce intends to verify the information relied upon in making its final determination.

Public Comment

Non-scope related case briefs or other written comments may be submitted to the Assistant Secretary for Enforcement and Compliance no later than seven days after the date on which the last verification report is issued in this investigation. Rebuttal briefs, limited to issues raised in the case briefs, may be filed not later than five days after the date for filing case briefs. [16 ] Interested parties who submit case briefs or rebuttal briefs in this proceeding must submit: (1) a table of contents listing each issue; and (2) a table of authorities. [17 ]

As provided under 19 CFR 351.309(c)(2)(iii) and (d)(2)(iii), we request that interested parties provide at the beginning of their briefs a public, executive summary for each issue raised in their briefs. [18 ] Further, we request that interested parties limit their executive summary of each issue to no more than 450 words, not including citations. We intend to use the executive summaries as the basis of the comment summaries included in the issues and decision memorandum that will accompany the final determination in this investigation. We request that interested parties include footnotes for relevant citations in the executive summary of each issue. Note that Commerce has amended certain of its requirements pertaining to the service of documents in 19 CFR 351.303(f). [19 ]

Pursuant to 19 CFR 351.310(c), interested parties who wish to request a hearing, limited to issues raised in the case and rebuttal briefs, must submit a written request to the Assistant Secretary for Enforcement and Compliance, U.S. Department of Commerce within 30 days after the date of publication of this notice. Requests should contain the party's name, address, and telephone number, the number of participants, whether any participant is a foreign national, and a list of the issues to be discussed. If a request for a hearing is made, Commerce intends to hold the hearing at a time and date to be determined. Parties should confirm by telephone the date, time, and location of the hearing two days before the scheduled date.

U.S. International Trade Commission Notification

In accordance with section 703(f) of the Act, Commerce will notify the U.S. International Trade Commission (ITC) of its determination. If the final ( printed page 10373) determination is affirmative, the ITC will determine before 45 days after the final determination whether imports of freight rail couplers from India are materially injuring, or threaten material injury to, the U.S. industry.

Notification to Interested Parties

This determination is issued and published pursuant to sections 703(f) and 777(i) of the Act and 19 CFR 351.205(c).

Dated: February 26, 2026.

Christopher Abbott,

Deputy Assistant Secretary for Policy and Negotiations, performing the non-exclusive functions and duties of the Assistant Secretary for Enforcement and Compliance.

Appendix I

Scope of the Investigation

The scope of this investigation covers certain freight railcar couplers (also known as “fits” or “assemblies”) and parts thereof. Freight rail couplers are composed of two main parts, namely knuckles and coupler bodies but may also include other items (e.g., coupler locks, lock lift assemblies, knuckle pins, knuckle throwers, and rotors). The parts covered by this investigation include: (1) E coupler bodies; (2) E/F coupler bodies; (3) F coupler bodies; (4) E knuckles; and (5) F knuckles; as set forth by the Association of American Railroads (AAR). The freight rail coupler parts are included within the scope of this investigation when imported individually. Coupler locks, lock lift assemblies, knuckle pins, knuckle throwers, and rotors are covered merchandise when imported in an assembly but are not covered by the scope when imported separately.

Subject freight rail couplers and parts are included within the scope whether finished or unfinished, whether imported individually or with other subject or nonsubject parts, whether assembled or unassembled, whether mounted or unmounted, or if joined with nonsubject merchandise, such as other nonsubject parts or a completed railcar. Finishing includes, but is not limited to, arc washing, welding, grinding, shot blasting, heat treatment, machining, and assembly of various parts. When a subject coupler or subject parts are mounted on or to other nonsubject merchandise, such as a railcar, only the coupler or subject parts are covered by the scope.

The finished products covered by the scope of this investigation meet or exceed the AAR specifications of M-211, “Foundry and Product Approval Requirements for the Manufacture of Couplers, Coupler Yokes, Knuckles, Follower Blocks, and Coupler Parts,” and/or AAR M-215 “Coupling Systems,” or other equivalent domestic or international standards (including any revisions to the standard(s)).

The country of origin for subject couplers and parts thereof, whether fully assembled, unfinished or finished, or attached to a railcar, is the country where the subject coupler parts were cast or forged. Subject merchandise includes coupler parts as defined above that have been further processed or further assembled, including those coupler parts attached to a railcar in third countries. Further processing includes, but is not limited to, arc washing, welding, grinding, shot blasting, heat treatment, painting, coating, priming, machining, and assembly of various parts. The inclusion, attachment, joining, or assembly of nonsubject parts with subject parts or couplers either in the country of manufacture of the in-scope product or in a third country does not remove the subject parts or couplers from the scope.

The couplers that are the subject of this investigation are currently classifiable in the Harmonized Tariff Schedule of the United States (HTSUS) statistical reporting number 8607.30.1010, 8607.30.1050, and 8607.30.1090. Subject merchandise attached to finished railcars may also enter under HTSUS statistical reporting numbers 7326.90.8688, 8606.10.0000, 8606.91.0000, 8606.92.0000, 8606.99.0130, or under subheading 8606.99.0160. Subject merchandise may also be imported under HTSUS statistical reporting number 7325.99.5000. These HTSUS subheadings are provided for convenience and customs purposes only; the written description of the scope of this investigation is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary

II. Background

III. Injury Test

IV. Use of Facts Available and Adverse Inferences

V. Subsidies Valuation

VI. Benchmarks and Interest Rates

VII. Diversification of India's Economy

VIII. Analysis of Programs

IX. Recommendation

Footnotes

1. See Certain Freight Rail Couplers and Parts Thereof From India: Initiation of Countervailing Duty Investigation, 90 FR 40055 (August 18, 2025) (Initiation Notice).

Back to Citation 2. See Certain Freight Rail Couplers and Parts Thereof from India: Postponement of Preliminary Determination in the Countervailing Duty Investigation, 90 FR 46794 (September 30, 2025).

Back to Citation 3.

                     
                    See 
                     Memorandum, “Deadlines Affected by the Shutdown of the Federal Government,” dated November 14, 2025.

Back to Citation 4.

                     
                    See 
                     Memorandum, “Tolling of all Case Deadlines,” dated November 24, 2025.

Back to Citation 5.

                     
                    See 
                     Memorandum, “Decision Memorandum for the Preliminary Affirmative Determination in the Countervailing Duty Investigation of Certain Freight Rail Couplers and Parts Thereof from India,” dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum).

Back to Citation 6. See Antidumping Duties; Countervailing Duties, Final Rule, 62 FR 27296, 27323 (May 19, 1997).

Back to Citation 7. See Initiation Notice.

Back to Citation 8.

                     
                    See 
                     Memorandum, “Less-Than-Fair-Value Investigations of Certain Freight Rail Couplers and Parts Thereof from the Czech Republic and India and Countervailing Duty Investigation of Certain Freight Rail Couplers and Parts Thereof from India: Preliminary Scope Decision Memorandum,” dated concurrently with this notice (Preliminary Scope Decision Memorandum).

Back to Citation 9. See Notice of Clarification: Application of “Next Business Day” Rule for Administrative Determination Deadlines Pursuant to the Tariff Act of 1930, As Amended, 70 FR 24533 (May 10, 2005).

Back to Citation 10. Id.

Back to Citation 11.

                     
                    See 
                     Preliminary Scope Decision Memorandum at 3-4.

Back to Citation 12.

                     
                    See 
                     sections 771(5)(B) and (D) of the Act regarding financial contribution; section 771(5)(E) of the Act regarding benefit; and section 771(5A) of the Act regarding specificity.

Back to Citation 13.

                     
                    See 
                     sections 776(a) and (b) of the Act.

Back to Citation 14.

                     
                    See 
                     Petitioner's Letter, “Request to Align Final Countervailing Duty Determination with the Companion Antidumping Duty Final Determination,” dated February 23, 2026.

Back to Citation 15.

                     With two respondents under examination, Commerce normally calculates: (A) a weighted-average of the estimated subsidy rates calculated for the examined respondents; (B) a simple average of the estimated subsidy rates calculated for the examined respondents; and (C) a weighted-average of the estimated subsidy rates calculated for the examined respondents using each company's publicly-ranged U.S. sale values for the subject merchandise. Commerce then compares (B) and (C) to (A) and selects the rate closest to (A) as the most appropriate rate for all other producers and exporters. *See, e.g., Ball Bearings and Parts Thereof from France, Germany, Italy, Japan, and the United Kingdom: Final Results of Antidumping Duty Administrative Reviews, Final Results of Changed-Circumstances Review, and Revocation of an Order 

                        in Part,* [75 FR 53661](https://www.federalregister.gov/citation/75-FR-53661), [53662](https://www.federalregister.gov/citation/75-FR-53662) (September 1, 2010), and accompanying Issues and Decision Memorandum at Comment 1. As complete publicly ranged sales data were available, Commerce based the all-others rate on the publicly ranged sales data of the mandatory respondents. For a complete analysis of the data, *see* Memorandum, “Preliminary Calculation of the All Others Rate,” dated concurrently with this notice.

Back to Citation 16.

                     
                    See [19 CFR 351.309(d)](https://www.ecfr.gov/current/title-19/section-351.309#p-351.309(d)); *see also Administrative Protective Order, Service, and Other Procedures in Antidumping and Countervailing Duty Proceedings,* [88 FR 67069](https://www.federalregister.gov/citation/88-FR-67069), [67077](https://www.federalregister.gov/citation/88-FR-67077) (September 29, 2023) (*APO and Service Final Rule*).

Back to Citation 17.

                     
                    See [19 CFR 351.309(c)(2)](https://www.ecfr.gov/current/title-19/section-351.309#p-351.309(c)(2)) and [(d)(2)](https://www.ecfr.gov/current/title-19/section-351.309#p-351.309(d)(2)).

Back to Citation 18.

                     We use the term “issue” here to describe an argument that Commerce would normally address in a comment of the Issues and Decision Memorandum.

Back to Citation 19. See APO and Service Final Rule.

Back to Citation [FR Doc. 2026-04197 Filed 3-2-26; 8:45 am]

BILLING CODE 3510-DS-P

Published Document: 2026-04197 (91 FR 10370)