Judges at the U.S. Court of Appeals for the Federal Circuit last week appeared skeptical of arguments made by counsel for Midwest-CBK that its goods sent to U.S. customers from Canadian warehouses weren't sold "for exportation into the United States" and thus were properly liquidated using deductive value (Midwest-CBK v. U.S., Fed. Cir. # 24-1142).
The Supreme Court on Sept. 9 agreed to hear two cases on the legality of tariffs imposed under the International Emergency Economic Powers Act and to do so on an expedited basis. The court set a briefing schedule that would conclude by Oct. 30 and set argument for the first week of November (Donald J. Trump v. V.O.S. Selections, U.S. 25-250) (Learning Resources v. Donald J. Trump, U.S. 24-1287).
Detroit Axle, the company challenging President Donald Trump's decision to eliminate the de minimis threshold on goods from China, moved to set aside the Court of International Trade's stay of its case pending the lead suit on tariff action taken under the International Emergency Economic Powers Act. The company said while the relief it's seeking initially overlapped with the relief sought by the plaintiffs in the lead tariff suit, that's "no longer the case" in light of Trump's recent executive order rescinding the de minimis threshold globally (Axle of Dearborn d/b/a Detroit Axle v. United States, CIT # 25-00091).
The U.S. Court of Appeals for the 9th Circuit refused to stay two cases on the legality of tariffs imposed under the International Emergency Economic Powers Act. The U.S. asked for a stay in both appeals, one brought by the State of California and the other by members of the Blackfeet Nation indigenous tribe, following the government's request for the Supreme Court to review a separate case on the tariffs.
The Court of International Trade on Sept. 8 dismissed exporter Pipe & Piling Supplies' case against the 2022-23 administrative review of the antidumping duty order on large diameter welded pipe from Canada, for lack of subject-matter jurisdiction. Judge Jane Restani said the company failed to notify the other interested parties of its lawsuit as required by the USMCA, as required by 19 U.S.C. 1516a(g)(3)(B), adding that this requirement is a jurisdictional one.
The Commerce Department reasonably used adverse facts available against antidumping duty respondent Corinth Pipeworks Pipe Industry for failing to remedy deficiencies in its cost reconciliation submission, the U.S. Court of Appeals for the Federal Circuit held on Sept. 8. Judges Jimmie Reyna, Richard Taranto and Leonard Stark also said Commerce wasn't required to provide Corinth with an opportunity to comment on the agency's analysis that led to the conclusion that the company's reported costs didn't reconcile with its financial accounting system.
The U.S. asked the U.S. Court of Appeals for the 9th Circuit to stay two appeals on the legality of tariffs imposed under the International Emergency Economic Powers Act in light of the government's petition for writ of certiorari before the Supreme Court in a separate case on the tariffs. The U.S. said "it would be a waste of judicial resources for this Court to hear and decide this case before the Supreme Court has resolved the proceedings before it," in light of the "rapid schedule" proposed before the high court and the U.S. Court of Appeals for the Federal Circuit's recent "unanimous ruling on jurisdiction."
Plaintiffs in the primary case on the legality of tariffs imposed under the International Emergency Economic Powers Act told the Supreme Court on Sept. 5 that they consent to the high court's review of the case. Responding to the government's petition for writ of certiorari filed after the U.S. Court of Appeals for the Federal Circuit ruled against many of the tariffs, the plaintiffs, consisting of five importers, said Supreme Court review is "essential," and the court's "final word is needed urgently" in light of the harm wrought by the tariffs (Donald J. Trump v. V.O.S. Selections, U.S. 25-250).
The Commerce Department lacked authority under its regulations to rescind the administrative reviews of two Chinese wood moulding exporters "solely due to a lack of suspended entries," the Court of International Trade held on Sept. 5. Judge Jane Restani said Commerce's regulation, 19 C.F.R. Section 351.213(d)(3), only allows for rescission if there were no entries of the subject merchandise, adding that the regulation doesn't "include or imply a requirement that these entries be suspended."
The Supreme Court may be willing to adopt certain arguments made by the dissenting judges in the U.S. Court of Appeals for the Federal Circuit's decision on the legality of tariffs imposed under the International Emergency Economic Powers Act, various attorneys told us. Specifically, certain justices may be willing to adopt Judge Richard Taranto's discussion of the major questions doctrine and the nondelegation doctrine, though others were more skeptical about how much tariff authority the court is willing to cede to the president under IEEPA and these two doctrines.