In accordance with the Countervailing Regulations of the People's Republic of China (the "Countervailing Regulations"), on January 12, 2016, the Ministry of Commerce (the "Investigation Authority") issued Announcement No.3 of 2016, deciding to initiate countervailing investigations into Dried Distiller's Grains with or without Solubles (the "DDGs") originated in the USA.

The Investigation Authority carried out investigations into the existence of subsidy and the amount of subsidy and the injuries to the industry of DDGs in China by the products under investigation, the extent thereof and the causality between the subsidy and injury. According to findings of the investigations and Article 25 of the Countervailing Regulations, the Investigation Authority makes its Preliminary Ruling (see Annex I). Relevant matters are hereby announced as follows:

I. Preliminary Ruling

It is preliminarily ruled by the Investigation Authority that, the DDGs originated in the USA were involved in the subsidy; the domestic industry of DDGs was materially injured, and there was causality between the subsidy and the material injury.

II. Products under Investigation and the Scope of Investigation
Scope of investigation: DDGs originated in the USA.
Name of products under investigation:干玉米酒糟，又称干谷物酒糟、干酒精糟
English name: Dried Distiller's Grains with or without Solubles.
Description: DDGs refer to distiller's grains and drying materials from residual liquid with or without solubles acquired after the process of lees liquid in the course of manufacturing alcohol (ethylalcohol) via fermenting raw materials consisting of corn and other grains.
Main purposes: DDGs are mainly used for feedstuff of animals; fixed with other nutritional ingredient based on formula; they can be used to feed poultry, livestock, fishery products and special animals.
The products are listed in item No.23033000 under the Customs Import and Export Tariffs of the People's Republic of China.

III. Temporary Countervailing Measures

In accordance with Article 29 and Article 30 of the Countervailing Regulations of the People's Republic of China, the Ministry of Commerce offered a suggestion on taking temporary countervailing measures against DDGs originated in the USA to the Customs Tariff Commission under the State Council (the "CTC"). The CTC decides, according to the suggestion of the Ministry of Commerce, to take temporary countervailing measures in the form of the deposit of temporary countervailing duties (the "Deposit") against the DDGs originated in the USA as of the date hereof. Where the DDGs originated in the USA are imported, the importers shall offer the relevant deposits of temporary countervailing duties to Chinese Customs at the subsidy rate of ad valorem (see Annex II) of each company determined according to the preliminary ruling. The deposit shall be levied by means of ad valorem on the basis of dutiable value authorized by the Customs, and the calculation formula is: Deposit = dutiable value * the rate of the Deposit; the deposit of import VAT shall be levied by means of ad valorem on the taxable value that dutiable value authorized by the Customs * the rate of the Deposit, and the calculation formula is: Deposit of import VAT = dutiable value * the rate of the Deposit * the rate of import VAT. Above importers may pay the deposit according to the following formula: Deposit = (dutiable value authorized by the Customs * the rate of the Deposit) x (1+ rate of import VAT).

VI. Comments

All interested parties may, within 10 days as of the issuance of this Announcement, submit their written comments to the Investigation Authority.

V. The Announcement will be implemented as of September 30, 2016.

Ministry of Commerce of the People's Republic of China

September 28, 2016