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CIT Says ITA Erred in Excluding "Dusted Shrimp" from Frozen Warmwater Shrimp AD Orders

The Court of International Trade has determined that the International Trade Administration erred when it excluded from the scope of six antidumping duty determinations and resulting orders for certain frozen warmwater shrimp, frozen shrimp coated with flour known as "dusted shrimp1."

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CIT Says "Dusted Shrimp" Exclusion Not Supported by Adequate Reasoning

The CIT states that the ITA's decision to exclude "dusted shrimp" from the scope of the AD duty determinations and resulting orders of certain frozen warmwater shrimp from Brazil, Ecuador, India, China, Vietnam and Thailand is not supported by adequate reasoning.

According to the CIT, the ITA failed to resolve the question of whether dusted shrimp is within the proposed scope of the AD investigation or investigations sought by the Petitions. Although ITA has discretion to make exclusions from the scope, even when doing so appears to be contrary to the proposed scope as set forth in a petition, it must exercise this authority reasonably. The CIT finds that the three reasons set forth by ITA in support of their exclusion do not suffice.

CIT Remands Matter Back to ITA to Reconsider Exclusion

Therefore, the CIT is directing that the ITA reconsider and redetermine the scope of the final and amended final AD duty determinations with respect to the inclusion of "dusted shrimp".

1Dusted shrimp is a shrimp-based product that (1) is produced from fresh (or thawed-from-frozen) and peeled shrimp; (2) to which a "dusting" layer of rice or wheat flour of at least 95 percent purity has been applied; (3) so that the entire surface of the shrimp flesh is thoroughly and evenly coated with the flour; and (4) the non-shrimp content of the end product constitutes between 4 to 10 percent of the product's total weight after being dusted, but prior to being frozen; and (5) is subjected to IQF freezing immediately after application of the dusting layer.

(See ITT's Online Archives or 02/25/08 news, 08022560, for BP summary of a Court of Appeals for the Federal Circuit (CAFC) ruling that the CIT erred in determining it had no authority to review this ITA scope exclusion for "dusted shrimp".)

CIT Opinion and Order (Slip Op. 09-69, dated 07/01/09) available at http://www.cit.uscourts.gov/Slip_op09/09-69.pdf