CF Industries Holdings, Inc. Welcomes Affirmative ITC Preliminary Determinations Concerning Imports of UAN from Russia and Trinidad and Tobago

Rhea-AI Summary

The U.S. International Trade Commission (ITC) has announced an affirmative preliminary decision in its investigation of antidumping and countervailing duties on urea ammonium nitrate solutions (UAN) imported from Russia and Trinidad and Tobago. CF Industries Holdings, Inc. (NYSE: CF) is a key petitioner in this case, arguing that these imports materially injure the U.S. UAN industry. This decision allows the Department of Commerce to continue its investigation into potential dumping and subsidies. Affirmative outcomes from both agencies could result in duties lasting five years.

Positive

• ITC's preliminary decision supports U.S. UAN producers, indicating injury from imports.
• Continued investigations by the Department of Commerce could lead to protective duties for the industry.

Negative

• None.

The U.S. International Trade Commission (“ITC”) today announced an affirmative decision in the preliminary phase of its antidumping and countervailing duty investigation of urea ammonium nitrate solutions (“UAN”) from Russia and Trinidad and Tobago (“Trinidad”). The investigation is being conducted in response to petitions filed by CF Industries Holdings, Inc. (NYSE: CF), through certain of its production facilities.

“The preliminary ITC decision is an important step towards leveling the playing field for U.S. UAN producers and their workers,” said Tony Will, president and chief executive officer, CF Industries Holdings, Inc. “CF Industries will continue participating actively in the ongoing investigations in order to restore fairness to our highly competitive industry and ensure that American UAN producers remain a reliable source of fertilizers for American farmers for years to come.”

Today’s ITC decision found that there is a reasonable indication that imports of UAN from Russia and Trinidad materially injure the U.S. UAN industry. Under U.S. trade laws, a finding of injury to the domestic industry is a prerequisite for imposing antidumping and countervailing duties.

As a result of the ITC’s determination today, the U.S. Department of Commerce (“Commerce”) will continue its own investigations of UAN imports from Russia and Trinidad. The purpose of Commerce’s investigations is to determine whether imports of UAN from Russia and Trinidad are being dumped in the U.S. market or unfairly subsidized, and if so at what levels. If Commerce’s final determinations are affirmative, then the ITC will make a final injury determination. If both agencies make affirmative final determinations – which typically takes approximately one year – then Commerce will issue antidumping and countervailing duty orders on UAN from Russia and Trinidad, which will remain in place for at least five years.

About CF Industries Holdings, Inc.

At CF Industries, our mission is to provide clean energy to feed and fuel the world sustainably. With our employees focused on safe and reliable operations, environmental stewardship, and disciplined capital and corporate management, we are on a path to decarbonize our ammonia production network – the world’s largest – to enable green and blue hydrogen and nitrogen products for energy, fertilizer, emissions abatement and other industrial activities. Our nine manufacturing complexes in the United States, Canada, and the United Kingdom, an unparalleled storage, transportation and distribution network in North America, and logistics capabilities enabling a global reach underpin our strategy to leverage our unique capabilities to accelerate the world’s transition to clean energy. CF Industries routinely posts investor announcements and additional information on the company’s website at www.cfindustries.com and encourages those interested in the company to check there frequently.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210813005317/en/

FAQ

What was the ITC's decision regarding CF Industries and UAN imports?

The ITC announced an affirmative preliminary decision indicating that UAN imports from Russia and Trinidad materially injure the U.S. UAN industry.

How does the ITC's decision affect CF Industries stock?

The decision may positively influence CF Industries stock by potentially leading to protective duties against unfairly subsidized imports.

What are the next steps after the ITC's announcement?

The Department of Commerce will continue its investigation to determine if UAN imports from Russia and Trinidad are dumped or unfairly subsidized.

How long could antidumping duties from this case last?

If both the ITC and Commerce make affirmative final determinations, antidumping duties could remain in place for at least five years.