On December 16, 2024, the U.S. Department of Commerce published the final rule for Regulations Enhancing the Administration of the Antidumping and Countervailing Duty Trade Remedy Laws. Commerce’s final rule revised certain AD/CVD provisions, including those related to filing requirements, the application of cash deposits, indicators used in surrogate country selection, the application of antidumping rates in non-market economy proceedings, and the selection of examined respondents. The purpose of the amendments is to improve Commerce’s administrative processes, codify existing practices, and increase transparency around Commerce’s AD/CVD procedures and calculations.

Among the updated rules include modifications to how Commerce selects surrogate countries for respondents in non-market economies. Previously, Commerce chose surrogate countries on the basis of per-capita gross national income (GNI). Under the final rule amendments, Commerce will place primary emphasis on per capita gross domestic product (GDP) when selecting surrogate countries that are economically comparable to a nonmarket economy.

Additionally, Commerce revised its proposed separate rate regulation in this final rule. If Commerce determines that an entity in a third country is owned or controlled by a non-market economy government and that entity exports subject merchandise to the U.S., Commerce may determine to assign that entity a nonmarket economy entity rate. In this final rule, Commerce further clarified how it will determine if a nonmarket economy government controls an entity located in a third country, and under what circumstances entities will be subject to either a nonmarket economy rate or a separate rate.

In total, there were over twenty modifications made to the provisions in this final rule. The amendments are effective January 15, 2025.