Statement of Reasons—Final decisions: Forged Grinding Media (FGM 2026 IN)

Statement of Reasons—Final decisions: Forged Grinding Media (FGM 2026 IN)

Concerning the final decisions with respect to the dumping and subsidizing of forged grinding media originating in or exported from China.

Decisions

On August 24, 2026, pursuant to paragraph 41(1)(a) of the Special Import Measures Act, the Canada Border Services Agency terminated the subsidy investigation in respect of forged grinding media exported from the People’s Republic of China (China) by Jiangyin Xingcheng Magotteaux Steel Balls Co., Ltd. and Tangshan ZWell Equipment Manufacturing Co., Ltd.

On the same day, pursuant to paragraph 41(1)(b) of the Special Import Measures Act, the Canada Border Services Agency made a final determination respecting the dumping of forged grinding media originating in or exported from China and a final determination of subsidizing in respect of forged grinding media originating in or exported from China, with respect to exporters for which the subsidy investigation has not been terminated.

Summary

[1] On November 20, 2025, the Canada Border Services Agency (CBSA) received a written complaint from Moly-Cop Canada (Kamloops, British Columbia) (hereinafter, “the complainant”) alleging that imports of certain forged or stamped grinding media (hereinafter, “FGM”) originating in or exported from the People’s Republic of China (China) are being injuriously dumped and subsidized.

[2] On December 11, 2025, pursuant to paragraph 32(1)(a) of the Special Import Measures Act (SIMA), the CBSA informed the complainant that the complaint was properly documented. On December 19, 2025, the CBSA informed the Government of China that a properly documented complaint had been filed. At that time, the Government of China was provided with a non-confidential version of the subsidy complaint and was invited for consultations pursuant to Article 13.1 of the Agreement on Subsidies and Countervailing Measures, prior to the initiation of the subsidy investigation. The CBSA did not receive any request for consultations.

[3] The complainant provided evidence to support the allegations that certain FGM from China have been dumped and subsidized, as well as evidence that discloses a reasonable indication that the dumping and subsidizing have caused injury or are threatening to cause injury to the Canadian industry producing like goods.

[4] On January 9, 2026, pursuant to subsection 31(1) of SIMA, the CBSA initiated investigations respecting the dumping and subsidizing of FGM from China.

[5] Upon receiving notice of the initiation of the investigations, the Canadian International Trade Tribunal (CITT) commenced a preliminary injury inquiry, pursuant to subsection 34(2) of SIMA, into whether the evidence discloses a reasonable indication that the dumping and subsidizing of the above-mentioned goods have caused injury or are threatening to cause injury to the Canadian industry producing the like goods.

[6] On March 11, 2026, pursuant to subsection 37.1(1) of SIMA, the CITT made a preliminary determination that there is evidence that discloses a reasonable indication that the dumping and subsidizing of FGM from China have caused injury to the domestic industry.

[7] On May 25, 2026, as a result of the CBSA’s preliminary investigations and pursuant to subsection 38(1) of SIMA, the CBSA made preliminary determinations of dumping and subsidizing of FGM originating in or exported from China.

[8] On the same date, pursuant to subsection 8(1) of SIMA, provisional duties were imposed on imports of dumped and subsidized goods that are of the same description as any goods to which the preliminary determinations apply, and that are released during the period commencing on the day the preliminary determinations were made and ending on the earlier of the day on which the CBSA causes the investigations in respect of any goods to be terminated pursuant to subsection 41(1) of SIMA or the day the CITT makes an order or finding pursuant to subsection 43(1) of SIMA.

[9] Based on the available evidence, the CBSA is satisfied that FGM originating in or exported from China by Jiangyin Xingcheng Magotteaux Steel Balls Co., Ltd. and Tangshan ZWell Equipment Manufacturing Co., Ltd. have been subsidized by an insignificant amount. Therefore, on August 24, 2026, the CBSA terminated the subsidy investigation pursuant to paragraph 41(1)(a), in respect of those goods.

[10] On the same day, pursuant to paragraph 41(1)(b) of SIMA, the CBSA made a final determination respecting the dumping of forged grinding media originating in or exported from China and a final determination of subsidizing in respect of forged grinding media from China, with respect to exporters for which the subsidy investigation has not been terminated.

[11] The CITT’s inquiry into the question of injury to the Canadian industry is continuing, and the CITT will issue its decision by September 22, 2026. Provisional anti-dumping and countervailing duties will continue to be imposed on the subject goods from China until the CITT renders its decision. However, provisional countervailing duties will not be imposed on imports of goods for which the subsidy investigation has been terminated. Any provisional duties paid or security posted on imports of goods for which the subsidy investigation has been terminated will be refunded, as appropriate.

Period of investigation

[12] The period of investigation (POI) for the investigations is October 1, 2024 to September 30, 2025.

Profitability analysis period

[13] The profitability analysis period (PAP) for the investigations is October 1, 2024 to September 30, 2025.

Interested parties

[14] Interested parties were notified at the initiation of the investigations and were sent Requests for Information (RFI). Refer to the Statement of Reasons—Initiation of investigations: Forged Grinding Media (FGM 2026 IN) for additional information on interested parties.

Source: Canada Border Services Agency (CBSA)

About Farrow:

A wholly owned subsidiary of Kuehne+Nagel Group, and headquartered in Windsor, Ontario Canada, Farrow brings to the global trade industry over 115 years of expertise in cross-border customs brokerage, trade consulting, and integrated logistics services. Further to its beginnings in customs brokerage, Farrow offers trade consulting — expert advice on import/export and trade management, duty recovery and regulations compliance. With a strong network of locations across North America, Farrow manages over 500 employees with 15 offices and warehouses, including those of acquired company Link+ Corporation.

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