Investigations; Determinations, Modifications, and Rulings, etc.: Certain Boiler Protection for Absorption Refrigeration Systems and Components Thereof

Certain Boiler Protection for Absorption Refrigeration Systems and Components Thereof; Notice of the Commission's Final Determination Finding a Violation of Section 337; Issuance of a General Exclusion Order and Cease and Desist Orders; Termination of the Investigation

SUPPLEMENTARY INFORMATION:

The Commission instituted the investigation on June 18, 2025, based on a complaint, as supplemented, filed by Complainants ARPC LLC and Paul N. Unmack (together, "Complainants"), both of Butte, Montana. 90 FR 26066-67 (Jun. 18, 2026). The complaint alleged violations of section 337 in the importation into the United States, the sale for importation, and the sale within the United States after importation of certain boiler protection for absorption refrigeration systems and components thereof by reason of infringement of claims 1, 4, 6, and 10 of the '360 patent. Id. at 26066. The Commission's notice of investigation named 10 respondents: Kuofanghenanmaoyiyouxiangongsi of Zhengzhou, China ("Koofang"); Wuhujiaoxiangdianzishangwuyouxiangongsi of Wuhu, China ("Bydorunce"); Shenzhenshi Xiangfan Xinxizixun Youxiangongsi of Shenzhen, China ("RVGIVE"); Ruianshichensumaoyiyouxiangongsi of Rui'an, China ("Tesmirror"); Wuhu Tianhao e-commerce Co., Ltd of Wuhu, China ("iFJF"); shen zhen shi hong kang da ke ji you xian gong si of Shenzhen, China ("HKDAUTOTECH"); guangzhou yingpeng dianzi shangwu youxiangongsi of Guangzhou, China ("VISVIC"); Wang Hai Ping of Guangzhou, China ("Hofantek"); shen zhen shi xing han xing dian zi shang wu you xian gong si of Shenzhen, China ("XHXAUTO"); and Qingyuannuozedianzishangwuyouxianzerengongsi of Qingyuan, China ("Little Bear Pocket"). Id. The Office of Unfair Import Investigations ("OUII") is participating in this investigation. Id.

On November 21, 2025, Complainants moved for an order to show cause and an entry of default against seven respondents-Koofang, Bydorunce, RVGIVE, Tesmirror, iFJF, HKDAUTOTECH, and VISVIC. On December 2, 2025, OUII filed a response in support of the motion. On December 8, 2025, the CALJ issued an order to show cause against Koofang, Bydorunce, RVGIVE, Tesmirror, iFJF, HKDAUTOTECH, and VISVIC. Order No. 8 (Dec. 8, 2025).

On December 11, 2025, Complainants moved to withdraw the complaint and terminate the investigation with respect to the three unserved respondents-Hofantek, Tesmirror, and XHXAUTO. On December 15, 2025, OUII filed a response in support of the motion. The Commission terminated those parties from the investigation. Order No. 10 (Dec. 19, 2025), unreviewed by Notice (Jan. 8, 2026).

On December 19, 2025, the CALJ issued an order correcting Order No. 8 based on the inadvertent exclusion of Little Bear Pocket and inadvertent inclusion of Tesmirror, and ordered Little Bear Pocket to show cause why it should not be found in default. Order No. 9 (Dec. 19, 2025).

On January 11, 2026, Complainants moved for a summary determination of violation against the seven respondents subject to the show cause order, and requested the issuance of a GEO, the issuance of CDOs against each respondent, and the imposition of a bond of one hundred percent (100%) of the entered value of the infringing articles. On February 9, 2026, OUII filed a response in support of the motion.

On February 24, 2026, respondents Bydorunce and iFJF moved to terminate the investigation based on the entry of a consent order. On February 27, 2026, OUII filed a response supporting the motion to terminate the investigation with respect to those parties. On March 6, 2026, Complainants filed a response supporting the motion. The Commission subsequently terminated Bydorunce and iFJF from the investigation. Order No. 17 (Mar. 11, 2026), unreviewed by Comm'n Notice (Mar. 30, 2026).

On February 25, 2026, the CALJ found respondents Koofang, RVGIVE, Little Bear Pocket, and VISVIC (together, "the Defaulting Respondents") in default for failing to respond to the order to show cause why they should not be found in default. Order No. 16 (Feb. 25, 2026), unreviewed by Notice (Mar. 20, 2026). The CALJ also declined to find HKDAUTOTECH in default because Complainants could not establish that the show cause order was served on HKDAUTOTECH.

On March 6, 2026, Complainants moved to terminate the investigation with respect to HKDAUTOTECH based on a partial withdrawal of the complaint. On March 12, 2026, OUII filed a response in support of the motion. The Commission subsequently terminated HKDAUTOTECH from the investigation. Order No. 19 (Mar. 24, 2026), unreviewed by Comm'n Notice (Apr. 15, 2026).

On May 21, 2026, the CALJ issued the subject ID granting the motion for summary determination of violation. Specifically, the ID found that: (1) the importation requirement is satisfied for all Defaulting Respondents; (2) all Defaulting Respondents' accused products infringe claims 1, 4, 6, and 10 of the '360 patent; (3) the asserted domestic industry product satisfies claims 1, 4, 6, and 10 of the '360 patent; and (4) the economic prong of the domestic industry requirement is satisfied under both subsection 337(a)(3)(A) and (B). The CALJ recommended that the Commission issue a GEO, CDOs against each Defaulting Respondent, and set a bond rate of one hundred percent (100%) of the entered value of the imported articles. No party petitioned for review of the ID.

On July 6, 2026, the Commission determined on its own initiative to review the final ID's findings on the economic prong of the domestic industry requirement. 91 FR 42249-51 (July 8, 2026); 19 CFR 210.44. The Commission determined not to review the remaining findings, conclusions, and supporting analysis in the final ID, including its findings that Complainants have established by substantial, reliable, and probative evidence that the respondents' products practice the asserted claims of the '360 patent. The Commission also requested briefing on remedy, bonding, and the public interest.

On July 19, 2026, Complainants filed their initial submission to the Commission's request for briefing. On July 20, 2026, OUII filed its initial submission to the Commission's request for briefing. OUII filed a response submission on July 27, 2026. No other party filed a submission before the Commission.

Having reviewed the record of the investigation, including the final ID and the parties' submissions, the Commission has found a violation of section 337 with respect to claims 1, 4, 6, and 10 of the '360 patent. Specifically, the Commission has determined to affirm, with modifications, the final ID's finding that Complainants have satisfied the economic prong of the domestic industry requirement under 19 U.S.C. 1337(a)(3)(B).

The Commission has determined that the appropriate remedy is: (1) a GEO under section 337(g)(2) and (d)(2)(B) prohibiting the entry of boiler protection for absorption refrigeration systems and components thereof that infringe claims 1, 4, 6, and 10 of the '360 patent; and (2) CDOs against each of the four Defaulting Respondents under section 337(g)(1). The Commission has determined that the public interest factors do not preclude issuance of the remedial orders. The Commission has determined that a bond is required during the period of Presidential review and sets the bond in the amount of one hundred percent (100%) of entered value for imported infringing articles. 19 U.S.C. 1337(j)(3).

The investigation is terminated. The Commission's reasoning in support of its determination is set forth more fully in its opinion. The Commission's orders and opinion were delivered to the President and the United States Trade Representative on the day of their issuance.

The Commission vote for this determination took place on September 21, 2026.

The authority for the Commission's determination is contained in section 337 of the Tariff Act of 1930, as amended (19 U.S.C. 1337), and in part 210 of the Commission's Rules of Practice and Procedure (19 CFR part 210).