July 2009 Court Decisions on AD/CV Issues

ITA Erred in Excluding Dusted Shrimp from Six AD Orders CIT Rules

The Court of International Trade has ruled that the International Trade Administration erred in excluding dusted shrimp (frozen shrimp coated with flour) from six antidumping duty orders for certain frozen warmwater shrimp. The CIT remanded the issue back to the ITA to reconsider this exclusion. (See ITT's Online Archives or 07/14/09 news, 09071430, for earlier BP summary.) Ad Hoc Shrimp Trade Action Committee, Versaggi Shrimp Corporation, and Indian Ridge Shrimp Company v. U.S., dated July 1, 2009, available at http://www.cit.uscourts.gov/Slip_op09/09-69.pdf .

CIT Upholds ITA's 2006 Decision to End AD Zeroing in Certain Investigations

U.S. Steel Corporation and several other domestic parties challenged the ITA's Section 129 decision to use offsetting and eliminate zeroing when calculating the weighted average dumping margin in AD investigations involving comparisons of "average-to-average" prices. The CIT ruled against their claims, stating that Congress' intent and purpose on the issue of offsetting is ambiguous; therefore the court must afford deference to the ITA. U.S. Steel Corp., et. al, v. U.S., Slip Op. 09-74, dated July 20, 2009, available at http://www.cit.uscourts.gov/Slip_op09/09-74.pdf.

Challenge to CBP's Assessment of AD Duties on Entries Affected by the ITA's Decision to End Certain Zeroing Dismissed by CIT

When the ITA decided to end zeroing when calculating the weighted average dumping margin in AD investigations involving comparisons of "average-to-average" prices, it affected goods entered on or after April 23, 2007. Two importers of goods subject to an AD order on stainless steel bar from Italy argued that the ITA's decision, which resulted in the revocation of the order, should have affected all unliquidated entries. The CIT dismissed the case for lack of jurisdiction, stating the importers should have challenged the ITA's zeroing determination under 1581(c). Acciaierie Valbruna S.p.A and Valbruna Stainless, Inc., dated 07/23/09, available at http://www.cit.uscourts.gov/slip_op/Slip_op09/09-77.pdf.

CIT Remands Rate Decision for China Company's Hammers/Sledges

A Chinese exporter failed in its challenge to the ITA's decision that it was subject to government control, resulting in the application of country-wide AD duty rates for its heavy forged hand tools from China in the fifteenth AD duty administrative review. However, the CIT found that the rate for hammers/sledges was not reliable and remanded the ITA to assign a different rate that is corroborated. Shangdong Machinery Import & Export Company v. U.S., dated June 24, 2009 (posted July 13, 2009), available at http://www.cit.uscourts.gov/Slip_op09/Slip%20Op.%2009-64.pdf.

Three Surrogate Values Remanded for AD Order on Fresh Garlic from China

In a case involving challenges by two Chinese exporters to the final results of the eighth administrative review of the AD order on fresh garlic from China, the CIT remanded the ITA's surrogate values for garlic seed, irrigation water and cardboard cartons to the ITA. The court also remanded a ministerial error. Jinan Yipin Corporation, Ltd. and Shandong Heze International Trade and Developing Company v. U.S., dated July 2, 2009, available at http://www.cit.uscourts.gov/slip_op/Slip_op09/09-70.pdf.

CIT Orders ITA to Redo AD By-Product Analysis for Isocyanurates from China

The CIT has remanded the final results of the first administrative review of the antidumping duty order on chlorinated isocyanurates from China. The CIT ordered ITA to provide Hebei Jiheng Chemicals, Co., Ltd. with sufficient opportunity to submit documentation relevant to the ITA's new methodology employed in its by-product analysis, ruling that ITA neither provided Jiheng notice nor an explanation of its changed practice for this analysis. Arch Chemicals, Inc., and Hebei Jiheng Chemicals, Co., Ltd. dated July 13, 2009, available at http://www.cit.uscourts.gov/slip_op/Slip_op09/09-71.pdf.