Importer APS Auto Parts Specialist on May 28 dismissed two of its Court of International Trade cases seeking Section 301 exclusions. In both cases, APS challenged CBP's denial of its protest claiming that its steel side protective attachment auto parts of Harmonized Tariff Schedule subheading 8708.29.5060 qualify for Section 301 tariff exclusions under secondary subheading 9903.88.45. Counsel for APS didn't immediately respond to a request for comment (APS Auto Parts Specialist v. United States, CIT #s 21-00233, -00268).
Importer Seneca Foods told the U.S. Court of Appeals for the Federal Circuit that the government is trying to support the Commerce Department's denial of Seneca's request for Section 232 tariff exclusions by "stretching" the deference shown under the arbitrary and capricious standard to "cover decisions devoid of any supporting evidence." Filing a reply brief on May 23, Seneca said it submitted enough evidence to show that the U.S. industry didn't have the capacity to fill its steel orders at the time the foreign purchase orders were made and at the time the exclusion requests were filed (Seneca Foods Corp. v. United States, Fed. Cir. # 25-1310).
The Court of International Trade on May 27 entered default judgment against importer Rayson Global and its owner Doris Cheng in a customs penalty case after previously denying the government's bid for default judgment. In its second attempt to secure default judgment, the U.S. further defended its claim that the merchandise at issue is valued at nearly $3.4 million (United States v. Rayson Global, CIT # 23-00201).
The U.S. Court of Appeals for the 9th Circuit on May 23 denied the government's motion to dismiss four members of the Blackfeet Nation tribe's appeal of a Montana court's decision to transfer a case challenging various tariff actions to the Court of International Trade. The appellate court also stayed proceedings until the Montana court rules on the plaintiffs' motion for reconsideration of the transfer order (Susan Webber v. U.S. Department of Homeland Security, 9th Cir. # 25-2717).
CBP wasn't required to make a scope referral to the Commerce Department in its antidumping duty evasion case against importer Vanguard Trading Co., since CBP properly exercised its authority in determining that Vanguard's products were under the scope of the relevant AD order, the Court of International Trade held in a decision made public May 27.
The Court of International Trade on May 28 vacated and permanently enjoined all tariffs so far issued by President Donald Trump under the International Emergency Economic Powers Act. Judges Gary Katzmann, Timothy Reif and Jane Restani held that the reciprocal tariffs and the tariffs on China, Canada and Mexico, which were imposed to address the flow of fentanyl, fall outside the authority IEEPA grants to the president.
The U.S. Court of Appeals for the Federal Circuit on May 23 extended a stay in an antidumping duty case after the Court of International Trade settled a related lawsuit. Judge Timothy Dyk noted that the parties told the court that, if no party files an appeal in the related case, the present case before CAFC will be withdrawn. As a result, Dyk extended the stay and said the parties have until seven days after June 16 to tell the court how they plan to proceed (Bioparques de Occidente v. United States, Fed. Cir. # 23-2109).
The U.S. filed another defense of tariff action taken under the International Emergency Economic Powers Act last week at the Court of International Trade, more fulsomely embracing the notion that the president needs tariff-setting authority under IEEPA to address a host of foreign policy issues. Opposing a group of 11 importers' motion for judgment against the reciprocal tariffs and IEEPA tariffs on China, the government argued that "the success of the Nation" in "navigating and addressing a range of extremely consequential threats" is "built off the dispatch and unitary nature of the executive, girded by necessary tools," including IEEPA tariffs (Princess Awesome v. CBP, CIT # 25-00078).
The U.S. District Court for the District of Columbia on May 27 heard arguments concerning the government's motion to transfer a case challenging International Emergency Economic Powers Act tariffs to the Court of International Trade and two importers' bid for a preliminary injunction against the tariffs. Judge Rudolph Contreras asked the government about what remedy the court could impose should it find for the plaintiffs and about the merits of the importers' claim that IEEPA doesn't provide for tariffs (Learning Resources, Inc. v. Donald J. Trump, D. D.C. # 25-01248).
The World Trade Organization's Dispute Settlement Body on May 23 heard China's first request to establish a dispute panel on Canada's surtax on Chinese products, including electric vehicles and steel and aluminum products, the WTO said. Canada said it's not ready to accept the panel at this time, punting the issue to the next DSB meeting, which is scheduled for June 23.