A group of steel importers, after suffering a defeat in the Court of International Trade, brought their broad challenge to the Section 232 steel and aluminum tariffs to the U.S. Court of Appeals for the Federal Circuit, arguing that the statute includes procedural requirements that were ignored in President Donald Trump's expansion of the tariffs. Filing its opening brief on May 24, the importers say that plain use of the mandatory word "shall" throughout Section 232 means the procedural requirements, such as an underlying report from the Commerce Department precipitating tariff action, are required. The steel importers also again argued that the commerce secretary's report is considered final agency action, ready for judicial review (Universal Steel Products, Inc. et al., v. United States, Fed. Cir. #21-1726).

The Court of International Trade erred in relying on "bypass" liquidations when evaluating the established classification treatment of bicycle seat imports, Kent International argued in a May 21 reply brief in the U.S. Court of Appeals for the Federal Circuit. When determining whether an established classification treatment exists, CBP can only consider liquidations in which a Customs officer has made a determination, it said. In this case, CBP incorrectly looked at bypass liquidations, which are processed automatically without review by a CBP officer, it said. The bike seat importer said in its appeal that the imported goods should be classified according to CBP's established treatment in subheading 9401, which would allow them to enter duty-free (Kent International, Inc., v. United States, Federal Circuit #21-1065).

The Commerce Department failed to follow the Court of International Trade's remand orders in attempting to justify its same adverse facts available determination in an antidumping case, Vietnamese fish exporters argued in their May 21 comments on the agency's remand results. "In its haste to apply total AFA, Commerce has not actually considered and explained all of the relevant record evidence, including that which fairly detracts from its decision," the exporters said. "This was unlawful"(Hung Vuong Corporation, et al. v. United States, CIT #19-00055).

GOWIN Semiconductor Corporation, a Chinese technology startup, is challenging its designation as a "Communist Chinese military company" (CCMC) in the U.S. District Court for the District of Columbia, according to a May 21 complaint. In the complaint, GOWIN attempts to prove it is not operated by the Chinese military by showing that its governing board of directors is "comprised of nine private-sector executives, two of whom are U.S. citizens (the CEO and the President)." GOWIN goes on to argue that DOD's lack of notice to the tech startup of the designation and lack of evidence in coming to a conclusion on the label violates its due process rights. The firm also says it will suffer irreparable harm from the CCMC label, and in fact, already has. "By losing U.S. and global support as a result of the CCMC designation, GOWIN has lost and will continue to lose market share to similarly situated [semiconductor] companies, many of which are more mature and firmly established than GOWIN," the complaint said.

“Good cause exists” for the Court of International Trade to grant Section 301 sample-case plaintiffs HMTX Industries and Jasco Products leave to reply to DOJ’s opposition to the preliminary injunction plaintiffs seek to freeze liquidation of unliquidated customs entries from China with lists 3 and 4A tariff exposure, said Akin Gump’s motion filed late May 20 in docket 1:21-cv-52.

The Court of International Trade upheld the Commerce Department's second remand results which, under court order, added the full amount of duty drawback adjustment to two companies' export prices and nixed two circumstances of sale adjustments in an antidumping case on Turkish steel. Judge Gary Katzmann in his May 20 opinion ruled against arguments from petitioner Nucor Corporation that Commerce find another "duty neutral" methodology for allocating the drawback adjustment. Commerce had originally applied the adjustment to all production, effectively reducing the adjustment to export prices for Icdas Celik Enerji Tersane and Habas Sinai in an antidumping duty investigation on carbon and alloy steel wire rod from Turkey.

Importer Strategic Import Supply wants a reconsideration of its case in the Court of International Trade, seeing that CBP granted a nearly identical protest to the one that was the subject of dismissal in an April 21 opinion. In a May 19 motion for reconsideration, Strategic Import Supply argued that CBP's recent decision to assess a lower countervailing duty rate on imports of passenger vehicle and light truck tires from China is new evidence that the underlying protests in the CIT case were timely filed and that CBP acted in an "arbitrary and capricious manner" (Acquisition 362, LLC v. United States, CIT #20-03762).

Judge Claire Kelly at the Court of International Trade probed the Commerce Department's process of determining whether surrogate country data is aberrational in antidumping cases, during May 19 oral arguments. In a case where she granted a motion for reconsideration following a U.S. Court of Appeals for the Federal Circuit ruling on a nearly identical issue, Kelly questioned Commerce's lack of clear criteria and "know it when I see it" approach.

Kingtom Aluminio SRL, a Dominican Republic aluminum extrusion company, is under Enforce and Protect Act investigation by CBP over suspected antidumping and countervailing duty evasion, CBP said in a notice posted May 19. The Aluminum Extrusions Fair Trade Committee, represented by Robert DeFrancesco of Wiley, filed the allegation against the company. Kingtom is already involved in other EAPA cases (see 2104280032), some of which are being litigated over at the Court of International Trade (see 2105180055).

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