This week, the U.S. Department of Commerce issued a preliminary determination on the antidumping trade case filed against biodiesel imports from Argentina and Indonesia. The preliminary determination found that biodiesel imports from Argentina and Indonesia are sold into the United States below fair value, and as a result preliminary duties will be imposed on imports from these countries based on the amount of dumping found.

The National Biodiesel Board (NBB) Fair Trade Coalition filed these petitions to address a flood of subsidized and dumped imports from Argentina and Indonesia that has resulted in market share losses and depressed prices for domestic producers. Biodiesel imports from Argentina and Indonesia surged by 464 percent from 2014 to 2016, taking 18.3 percentage points of market share from U.S. manufacturers. Imports of biodiesel from Argentina again jumped 144.5 percent following the filing of the petitions.

As a result of this week’s ruling, importers of Argentinian and Indonesian biodiesel will be required to pay cash deposits on biodiesel imported from those countries. The cash deposit rates range from 54.36 to 70.05 percent for biodiesel from Argentina, and 50.71 percent for biodiesel from Indonesia, depending on the particular foreign producer/exporter involved. The duty deposit requirements are in addition to the deposits required under the Commerce Department’s preliminary countervailing duty determination in August, which confirmed that biodiesel producers in Argentina and Indonesia have received significant subsidies.

Between the preliminary and final antidumping determinations, the Commerce Department will audit the foreign producers to confirm the accuracy of their data submissions. Parties will file briefs on issues arising from the agency’s preliminary antidumping duty determinations, and the Commerce Department will hold a hearing, with a final antidumping determination due early next year. A final determination by the Commerce Department in the companion countervailing duty determination is due to be announced in early November, with a final determination by the International Trade Commission in connection with the countervailing duty case expected in December.