CIT Sustains AD Rate Slash for Ribbon Exporter After Commerce Drops AFA
The Court of International Trade on Oct. 11 sustained the Commerce Department's remand results in a case on the antidumping duty investigation on polyester textured yarn from Indonesia that slashed exporter PT. Asia Pacific Fibers' AD rate from 26.07% to 9.2%. On remand, Commerce dropped its use of adverse facts available and relied on Asia Pacific's submitted information under protest.
Judge Richard Eaton said since no party contests the remand results, the redetermination is sustained.
During the investigation, Commerce conducted verification via questionnaire instead of engaging in its usual on-site inspection due to COVID-19 restrictions that were in place at the time. The agency said it found deficiencies in Asia Pacific's submissions, though it neither issued a verification report nor a supplemental verification questionnaire to tell the respondent it found deficiencies in its questionnaire responses, the court noted.
Despite not having a chance to contest Commerce's decision to use AFA, Asia Pacific faced a 26.07% AD rate based on adverse inferences. The trade court remanded this decision, telling the agency to give the exporter a reasonable chance to address the deficiencies and issue the exporter a verification report (see 2312130031).
On remand, Commerce issued a notification of deficiencies to the company and prepared a verification report outlining the procedures of its verification. The agency then relied on Asia Pacific's submissions, noting that the respondent "provided the requested translations, supporting documentation, and narrative explanation of its reporting methodologies." Commerce said the respondent also gave a "narrative description of how the reported costs were calculated and how these costs tie back to its accounting system by providing the necessary supporting documentation from its accounting and production systems."
The result was that the agency could reconcile Asia Pacific's sales and cost reporting, dropping the use of AFA.
Lizbeth Levinson, counsel for Asia Pacific, said in an email that she doesn't expect an appeal. She said Asia Pacific "is very happy with the results and feels that justice was done."
(PT. Asia Pacific Fibers v. United States, Slip Op. 24-113, CIT # 22-00007, dated 10/11/24; Judge: Richard Eaton; Attorneys: Lizbeth Levinson of Fox Rothschild for plaintiff PT. Asia Pacific Fibers; Collin Mathias for defendant U.S. government; Julia Kuelzow of Kelley Drye for defendant-intervenors Unifli Manufacturing Inc. and Nan Ya Plastics Corp.)