The U.S. is seeking more than $18 million from importer Crown Cork & Seal in a July 28 complaint filed in the Court of International Trade alleging that the company fraudulently misclassified its metal lid imports to skirt a 2.6% duty rate. The goods -- metal lids for food, beverage, household and consumer products -- are properly classified under Harmonized Tariff Schedule subheading 8309.90.0000 and are dutiable at that 2.6% rate, the Department of Justice said. Instead, CCS attempted to classify its metal lid imports from Europe between 2004 and 2009 under HTS subheading 7326.90.1000, which has duty-free treatment (The United States v. Crown Cork & Seal, USA, Inc. et al., CIT #21-361).

A request from a group of four Chinese steel companies to dismiss a case in which the U.S. government alleged the group stole trade secrets was denied by the U.S. Court of Appeals for the 9th Circuit on July 26. The group, comprising Pangang Group Company (PGC) and three of its subsidiaries, is accused of stealing DuPont trade secrets for the production of titanium dioxide in violation of the Economic Espionage Act. In their motion to dismiss, the group claimed immunity from criminal prosecution under the Foreign Sovereign Immunities Act (FSIA), arguing that the group is an "instrumentality" of the Chinese government.

The following lawsuits were recently filed at the Court of International Trade:

Defendant-intervenors and antidumping case petitioners, led by Catfish Farmers of America, filed comments to remand results in the Court of International Trade on July 28 in a case over an antidumping review on frozen fish fillets from Vietnam. Having already submitted comments on the remand (see 2107160018), the catfish farmers added final comments, arguing that Commerce's continued reliance on total adverse facts available is properly supported by findings "already affirmed by the court," and that Commerce fully addressed the issues remanded by the court despite no longer relying on them (Hung Vuong Corporation, et al. v. United States, CIT #19-00055).

The following lawsuits were recently filed at the Court of International Trade:

The Commerce Department should have disregarded petitioners' claims in a countervailing duty investigation on silicon metal from Kazakhstan, said sole respondent to the investigation Tau-Ken Temir in a July 21 brief in the Court of International Trade. The petitioners' conflict of interest claim "lacked merit, not even colorable merit," to the extent that Commerce should have found the petitioners were interfering in the investigation, TKT said. The exporter seeks to have the court throw out Commerce's rejection of its questionnaire responses (Tau-Ken Temir LLP et al. v. United States, CIT #21-00173).

The Commerce Department sought a voluntary remand in another Court of International Trade case over Section 232 tariff exclusion denials, on July 26, offering a remand schedule of four tranches, with the fourth to be submitted 325 days after a potential remand order. The case was brought by California Steel Industries, which challenged 193 exclusion request denials from Commerce and then offered the four-tiered remand schedule to address logistics concerns (California Steel Industries, Inc. v. United States, CIT #21-00015). The voluntary remand motion is one of many offered by Commerce which, following the JSW Steel, Inc. v. United States CIT decision, has been remanding other Section 232 exclusion request challenges (see 2107230038). Asked if it's the agency's policy to issue blanket rejections of the exclusion requests and then seek voluntary remands in CIT cases, a Commerce spokesperson said, "The Commerce Department does not comment on matters currently in litigation. The Bureau of Industry and Security reviews each exclusion request on a case-by-case basis."

The following lawsuits were recently filed at the Court of International Trade:

A Court of International Trade case seeking Section 301 tariff exclusions for frozen tillapia fillets from China should be stayed until litigation is completed in the massive Section 301 litigation, the Department of Justice said in a July 26 motion to stay. The case, brought by Global Food Trading Corp., featured two protests on CBP's handling of the entries: one seeking reclassification of the fillets under Harmonized Tariff Schedule subheading 0304.61.00 and another seeking the Section 301 exclusions under secondary subheading 9903.88.43. CBP approved the first protest but denied the second. DOJ now requests a stay of litigation over the second protest until a decision is reached and all appeals are concluded in the broader Section 301 challenge involving over 3,500 separate complaints. "It would be an inefficient use of the parties’ and the Court’s resources to litigate the defenses to the Second Cause of Action now, when the merits underlying plaintiff’s claim are being litigated in a separate proceeding, and have not yet come to finality," the motion said (Global Food Trading Corp. v. United States, CIT #21-00263).

The Commerce Department wants another look at an antidumping review after CBP brought to light new evidence that questioned the accuracy of the mandatory respondent's U.S. sales data and reported affiliates, in a July 20 motion for a voluntarily remand. In the 2017-18 administrative review of the antidumping duty order on passenger vehicle and light truck tires from China, Commerce picked Shandong New Continent as the mandatory respondent and found a zero percent dumping margin for the exporter (Pirelli Tyre Co., Ltd. et al. v. United States, CIT #20-00115). After the review, CBP alerted Commerce as to certain inaccuracies in SNC's reported sales prices on imports of the tires in question. "When potentially new and material evidence comes to light, it is appropriate for this Court to consider a remand to the agency," the motion said. The case was brought by Pirelli Tyre Co., which challenged the country-wide dumping rate it was given in the administrative review, according to its May 2020 complaint.