Using an electric mixer on medium-high speed, beat the butter in a large mixing bowl for 30 seconds; add the icing sugar and beat until combined, scraping the sides of the bowl occasionally.
Beat in the orange juice until combined.
Beat in as much of the flour as you can with the mixer.
With a wooden spoon, stir in 1 tbsp of the orange peel, plus the remaining flour.
Shape the dough into 1-1/4-inch balls.
Roll each one in granulated sugar.
Place the balls 2 inches apart on an ungreased cookie sheet.
Bake in a preheated 325°F oven for 15 minutes, or until the bottoms are lightly browned.
Cool on cookie sheet for 5 minutes.
Meanwhile, in a food processor or blender, blend together the 3/4 cup of granulated sugar and the remaining 2 tsp orange peel.