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Commerce Urges Acceptance of Position Verifying Non-Use of China's EBCP on Remand at CIT

The Commerce Department in Aug. 22 comments at the Court of International Trade urged acceptance of its remand results in which it verified that a countervailing duty respondent's U.S. customers did not use China's Export Buyer's Credit Program. Commerce said that since it complied with the court's order to verify the U.S. customers' claims that they did not use the EBCP and that no parties oppose the remand, the court should uphold the decision that dropped the CVD rate from 25.90% to 15.36% (Both-Well (Taizhou) Steel Fittings Co. v. United States, CIT #21-00166).

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The case concerns the first administrative review of the CVD order on forged steel fittings from China. In the review, it was alleged that respondent Both-Well (Taizhou) Steel Fittings Co. benefited from China's EBCP, wherein China's Export-Import Bank pays U.S. customers to buy Chinese exports. Commerce said it couldn't verify non-use without information from China, but the trade court ruled that this was not a valid reason to use adverse facts available. On remand, Commerce verified that the EBCP was not used. The Aug. 22 comments urged acceptance of this position.