The Court of International Trade dealt a blow to the over 3,600 lawsuits challenging Lists 3 and 4A Section 301 China tariffs covering over $200 billion in goods, finding that the U.S. Trade Representative had the authority to impose the tariffs. In the highly-anticipated opinion, the court ruled against the plaintiffs' argument that the USTR could not impose Section 301 tariffs because the government was responding to retaliatory tariffs from China.
The Court of Appeals for the Federal Circuit affirmed the higher 35% duty rate for tuna salad pouches imported by StarKist in a March 30 opinion, siding with CBP's preferred Harmonized Tariff Schedule classification. The Court of International Trade first sided with CBP, upholding the agency's finding that the tuna salad pouches are "not minced" and "in oil." The Federal Circuit agreed with the trade court and said that the pouches are indeed not minced and in oil, prompting their placement under HTS subheading 1604.14.10.
The Court of International Trade remanded a case brought by Mexican exporter Building Systems de Mexico in a March 21 opinion made public March 30 concerning the AD investigation into fabricated structural steel from Mexico. Judge Claire Kelly sent back elements of the Commerce Department's decision to use mandatory respondent Corey S.A.'s home market sales to explain why the agency rejected BSM's data for insufficient volume but relied on Corey's when it had less data and to explain whether a particular sale was contracted for during the investigation period.
The Court of International Trade dismissed a case brought by the U.S. seeking over $5.7 million in unpaid duties from Katana Racing on passenger vehicle and light truck tires from China. In the March 28 opinion, Judge Thomas Aquilino found that CBP improperly pursued the violations despite indications of identity theft and that the statute of limitations had run out. "Considering CBP’s apparent recalcitrance in specifying to the defendant the actual §1592(a) violation it committed, the defendant has provided reasonable justification for its revocation of its last [statute of limitations waiver], with the result that this action is now barred by the passage of time," said Aquilino.
The Court of International Trade partially granted a motion for an injunction in an antidumping duty case, but rejected the mattress companies' bid for an open-ended injunction enjoining liquidation of their entries. Judge Timothy Reif said that the plaintiffs, led by Ashley Furniture Industries, didn't show that the threat of liquidation of their future entries don't pose irreparable harm, a likelihood of success on the merits and that the public interest is served by an open-ended injunction. The judge granted the injunction through the end of the first administrative review of the AD order.
The Court of International Trade sustained in a March 28 opinion the International Trade Commission's affirmative injury determinations in the antidumping and countervailing duty investigations into wood moldings and millwork products from China. Judge Leo Gordon held that Chinese exporter Jeld-Wen failed to make its case that laminated veneer lumber is not included in the domestic like product for wood mouldings and millwork, and that other economic factors, not imports, caused the domestic injury. On the latter point, Gordon said that Jeld-Wen needed to show that its conclusion is the only one to be drawn from the record and not the preferred one -- something the plaintiff failed to do.
The Court of International Trade ruled in a March 25 opinion that CBP properly classified eight models of gloves imported by Magid Glove & Safety Manufacturing Co. under Harmonized Tariff Schedule subheading 6116.10.55, dutiable at 13.2%. Magid argued for classification in subheading 3926.20.10, free of duty. Judge Timothy Stanceu sided with the government, ruling that heading 6116 and subheading 6116.10.55 describe the gloves in question.
The Court of International Trade in a March 18 opinion made public March 23 sustained the Commerce Department's final determination in the countervailing duty investigation on utility scale wind towers from Canada. Addressing the five issues raised by the plaintiffs, Judge Gary Katzmann said Commerce permissibly excluded plaintiff Marmen's foreign auditor's foreign currency adjustment as unreliable, reasonably found the Quebec Local Content Requirement provided a recurring benefit and acted within its authority to find that the Quebec On-the-Job Training tax credit was a de facto subsidy. Commerce also legally excluded some increased tax liabilities and acted lawfully when finding the financial benefit from additional depreciation for buildings used in manufacturing, Katzmann said.
A customs lawsuit is set to enter the second phase of its bench trial to find whether importer SGS Sports' apparel qualifies for duty-free treatment, the Court of International Trade said in a March 21 opinion. SGS entered swimsuits under a duty-free special classification provision after first shipping them to Canada for warehousing at a supposedly related company's warehouse. The first phase of the trial was set up to find whether this warehousing agreement is a lease or similar use agreement. Finding the agreement to be a lease or similar use agreement, Judge Jennifer Choe-Groves's decision allows the trial to proceed to the next phase, which will be to determine if the swimsuits qualify for duty-free treatment under HTS subheading 9801.00.20.
The Court of International Trade on March 21 sustained the Commerce Department's remand results in a challenge brought by The Ancientree Cabinet Co. to the antidumping duty investigation of wooden cabinets and vanities from China. Judge Gary Katzmann upheld Commerce's financial ratio calculations after the agency provided more explanation on remand..