# Phosphate Fertilizers From the Kingdom of Morocco: Preliminary Results of the Countervailing Duty Administrative Review, 2020-2021
**AGENCY:**
Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce.
**SUMMARY:**
The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of phosphate fertilizers from the Kingdom of Morocco (Morocco). The period of review (POR) is November 30, 2020, through December 31, 2021.
**DATES:**
Applicable May 5, 2023.
**FOR FURTHER INFORMATION CONTACT:**
Jaron Moore or Janae Martin, AD/CVD Operations, Office VIII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-3640 or (202) 482-0238, respectively.
**SUPPLEMENTARY INFORMATION:**
**Background**
On May 2, 2022, we received a request from the petitioner [^1] to conduct an administrative review with respect to OCP S.A. (OCP). [^2] On June 9, 2022, Commerce published a notice of initiation of an administrative review of the countervailing duty (CVD) order on phosphate fertilizers from Morocco. [^3] On June 28, 2022, Commerce issued its initial questionnaire to OCP and the Government of Morocco as mandatory respondents in this administrative review. [^4] On December 2, 2022, Commerce extended the deadline for the preliminary results of this review. [^5]
[^1] The Mosaic Company (the petitioner).
[^2]*See* Petitioner's Letter, “Request for Countervailing Duty Administrative Review,” dated May 2, 2022.
[^3]*See Initiation of Antidumping and Countervailing Duty Administrative Reviews,* 87 FR 35165 (June 9, 2022); *see also Phosphate Fertilizers from the Kingdom of Morocco and the Russian Federation: Countervailing Duty Orders,* 86 FR 18037 (April 7, 2021) ( *Order* ).
[^4]*See* Commerce's Letter, “Countervailing Duty Questionnaire,” dated June 28, 2022.
[^5]*See* Memorandum, “Extension of Deadline for Preliminary Results of the 2020-2021 Countervailing Duty Administrative Review,” dated December 2, 2022.
For a complete description of the events that followed the initiation of this review, *see* the Preliminary Decision Memorandum. [^6] A list of topics discussed in the Preliminary Decision Memorandum is included at the appendix to this notice. The Preliminary Decision Memorandum is a public document and is on file electronically via Enforcement and Compliance's Antidumping and Countervailing Duty Centralized Electronic Service System (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/.*
[^6]*See* Memorandum, “Decision Memorandum for the Preliminary Results of the Countervailing Duty Administrative Review; 2020-2021: Phosphate Fertilizers from the Kingdom of Morocco,” dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum).
**Scope of the Order**
The merchandise covered by the *Order* is phosphate fertilizers. For a complete description of the scope of the *Order, see* the Preliminary Decision Memorandum.
**Methodology**
Commerce is conducting this review in accordance with section 751(a)(l)(A) of the Tariff Act of 1930, as amended (the Act). For each of the subsidy programs found countervailable, we preliminarily determine that there is a subsidy, *i.e.,* a financial contribution from an authority that gives rise to a benefit to the recipient, and that the subsidy is specific. [^7] For a full description of the methodology underlying our conclusions, *see* the Preliminary Decision Memorandum.
[^7]*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.
**Preliminary Results of Review**
As a result of this review, we preliminarily determine the net countervailable subsidy rate to be:
| Producer/exporter | Subsidy |
| --- | --- |
| OCP S.A | 14.49 |
**Verification**
As provided in section 782(i)(3) of the Act, Commerce intends to verify the information relied upon for its final results.
**Disclosure and Public Comment**
We intend to disclose to interested parties the calculations performed for these preliminary results within five days of the date of publication of this notice in accordance with 19 CFR 351.224(b). A timeline for the submission of case and rebuttal briefs and written comments will be provided to interested parties at a later date. [^8] Note that Commerce has temporarily modified certain of its requirements for serving documents containing business proprietary information, until further notice. [^9] Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who submit case briefs or rebuttal briefs in this review are encouraged to submit with each argument: (1) a statement of the issue; (2) a brief summary of the argument; and (3) a table of authorities.
[^8]*See* 19 CFR 351.309(c) and (d).
[^9]*See Temporary Rule Modifying AD/CVD Service Requirements Due to COVID-19; Extension of Effective Period,* 85 FR 41363 (July 10, 2020).
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.
Unless the deadline is extended, we intend to issue the final results of this administrative review, which will include the results of our analysis of the issues raised in the case briefs, within 120 days of publication of these preliminary results in the *Federal Register**,* pursuant to section 751(a)(3)(A) of the Act and 19 CFR 351.213(h).
**Assessment Rate**
In accordance with 19 CFR 351.221(b)(4)(i), we preliminarily assigned the subsidy rate in the amount shown above for OCP. Upon completion of the administrative review, consistent with section 751(a)(1) of the Act and 19 CFR 351.212(b)(2), Commerce shall determine, and U.S. Customs and Border Protection (CBP) shall assess, countervailing duties on all appropriate entries covered by this review.
We will instruct CBP to assess countervailing duties on all appropriate entries at the subsidy rate calculated in the final results of this review. We intend to issue assessment instructions to CBP no earlier than 35 days after the date of publication of the final results of this review in the *Federal Register* . If a timely summons is filed at the U.S. Court of International Trade, the assessment instructions will direct CBP not to liquidate relevant entries until the time for parties to file a request for a statutory injunction has expired ( *i.e.,* within 90 days of publication).
**Cash Deposit Requirements**
In accordance with section 751(a)(1) of the Act, Commerce intends, upon publication of the final results, to instruct CBP to collect cash deposits of estimated countervailing duties in the amount shown for OCP on shipments of subject merchandise entered, or withdrawn from warehouse, for consumption on or after the date of publication of the final results of this administrative review. The cash deposit requirements, when imposed, shall remain in effect until further notice.
**Notification to Interested Parties**
These preliminary results are issued and published pursuant to sections 751(a)(1) and 777(i)(1) of the Act, and 19 CFR 351.221(b)(4).
Dated: April 28, 2023.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
**Appendix**
**List of Topics Discussed in the Preliminary Decision Memorandum**
I. Summary
II. Background
III. Scope of the *Order*
IV. Subsidies Valuation Information
V. Interest Rate Benchmarks and Benchmarks for Measuring the Adequacy of Remuneration
VI. Analysis of Programs
VII. Recommendation