The Court of International Trade consolidated two cases challenging the Commerce Department's final results in the third administrative review of the antidumping duty order on hot-rolled steel flat products from Australia, in a Dec. 9 order. One case was brought by U.S. Steel Corp. and the other by Australian company BlueScope Steel Ltd., a mandatory respondent in the review. BlueScope challenged Commerce's decision not to deduct discounts and rebates from BlueScope's normal value when setting its dumping rate, arguing that this decision went against the agency's past regulations and was based on an inaccurate understanding of BlueScope's data (see 2109280038). U.S. Steel, though, said that Commerce violated the law when it found that BlueScope did not reimburse its U.S. affiliate for antidumping duties (see 2109210081). The cases were consolidated under U.S. Steel's action (United States Steel Corporation v. United States, CIT #21-00528).
Importer MTD Products Inc. argued in its Dec. 8 complaint at the Court of International Trade that its lawn mower engines qualify for duty-free treatment and, in the alternative, an exclusion to the Section 301 China tariffs, and that CBP improperly denied its protest claiming as much. The importer brought in spark-ignition reciprocating or rotary internal combustion piston engines from China, each valued at less than $180, that are used in walk-behind, riding and zero-turn riding lawn mowers (MTD Products Inc. v. United States, CIT #21-00036).
The Commerce Department need not address the issue of an antidumping respondent's date of sale since it would have no material effect on the respondent's rate, the Department of Justice said in a Dec. 7 brief at the Court of International Trade. Responding to the antidumping petitioner's comments that argued that Commerce needs to resolve the U.S. date of sale issue as required by the court, the U.S. said that this would be an exercise in futility that is not required by the relevant caselaw since it would be immaterial to the final rate. The respondent, Turkish steel company Borusan Mannesmann echoed these sentiments in its own brief, and added that two-and-a-half years is long enough for it to have waited for the relief that it is entitled to (Borusan Mannesmann Boru Sanayi ve Ticaret A.S. v. U.S., CIT Consol. #19-00056).
Plaintiffs challenging an antidumping review, led by Hung Vuong Corporation, will appeal an October Court of International Trade opinion upholding the Commerce Department's use of adverse facts available, the plaintiffs said in a Dec. 8 notice of appeal. The decision, which came in a case over an administrative review of the antidumping duty order on frozen fish fillets from Vietnam, will be appealed to the U.S. Court of Appeals for the Federal Circuit. Commerce's use of AFA was originally remanded by the court, but was then sustained after swapping out the grounds on which the AFA finding was based (see 2110130031). The agency ultimately based the AFA finding on Hung Vuong's failure to retain source documents on feed consumption, production records and sales correspondence, and Hung Vuong's failure to report factors of production data on a control number-specific basis (Hung Vuong Corp., et al. v. United States, CIT #19-00055).
The Court of International Trade greenlighted the Department of Justice's second motion for an extension to file comments on the remand results in a Dec. 8 order submitted in a case over an antidumping scope ruling. Plaintiff-intervenor SIGMA Corporation opposed the bid, arguing that a further delay will prejudice it. SIGMA currently is wrapped up in parallel litigation in the U.S. District Court for the Central District of California, where the defendant-intervenor in the CIT case, Island Industries Inc., sued SIGMA and others, arguing that the companies violated the False Claims Act by not paying antidumping duties on their welded outlet imports. While a jury verdict has been entered, SIGMA is seeking a new trial since the verdict was "against the weight of the evidence," SIGMA said (Vandewater International Inc., et al. v. United States, CIT #18-00199).
The Court of International Trade upheld the Commerce Department's switch from Thai to Bulgarian surrogate data and Thai to Mexican surrogate data for a key solar cell input in two nearly identical Dec. 8 opinions on two separate antidumping duty reviews. After previously finding that Commerce's reliance on the Thai data was improper, the court had directed Commerce to either switch to another option or further explain its position. The agency reversed course in both cases, finding no objection by any party, including any of the plaintiffs, led by Solarworld Americas, Inc. and Canadian Solar International, respectively.
The following lawsuits were recently filed at the Court of International Trade:
The Court of International Trade on Dec. 7 suspended liquidation of all unliquidated entries involved in a case challenging a decision by President Donald Trump to revoke a tariff exclusion granted to bifacial solar panels. The liquidation suspension comes after the trade court struck down the tariff exclusion withdrawal, finding it to be a clear misconstruction of the law since the relevant law only permits trade liberalizing alterations to existing safeguard measures (see 2111160032). After the ruling, the plaintiffs, led by the Solar Energy Industry Association, filed an unopposed motion for an order suspending liquidation, urging the court to halt liquidation until all appeals are final. Without such action from the court, it is possible that many of the subject entries will have liquidated and become final, the motion said (Solar Energy Industries Association, et al. v. United States, et al., CIT #20-03941).
A three-judge panel at the U.S. Court of Appeals for the 5th Circuit on Dec. 3 upheld Greek shipping company Tango Marine's default judgment win against two Nigerian companies after rejecting the defendants' arguments that the district court lacked jurisdiction in the case. The panel said that the Nigerian companies, known collectively as the Elephant Group, failed to note any "meritorious defense" of their attack on the default judgment. As such, the district court had personal jurisdiction in the case and was right to issue the pricey default judgment (Tango Marine S.A. v. Elephant Group Limited, et al., 5th Cir. #21-10068).
The Court of International Trade partially sided with solar cell importer Aireko Construction, instructing CBP to properly liquidate its entries in accordance with the Commerce Department's instructions, but ruled against Aireko by finding that the importer did not properly challenge the instructions themselves. In a Dec. 7 opinion, Judge Claire Kelly said that CBP needs to correct its error by applying antidumping and countervailing duty rates different from those listed in Commerce's instructions but that Aireko failed to launch a challenge under Section 1581(i) -- CIT's "residual" jurisdiction -- to challenge the instructions.