Dupont Teijin Films USA, LP v. United States , 27 Ct. Int'l Trade 1817 ( 2003 )


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  •                                     Slip Op. 03-167
    UNITED STATES COURT OF INTERNATIONAL TRADE
    ____________________________________
    :
    DUPONT TEIJIN FILMS USA, LP,        :
    MITSUBISHI POLYESTER FILM OF        :
    AMERICA, LLC, and                   :
    TORAY PLASTICS (AMERICA), INC.,     :
    :
    Plaintiffs,             :
    :
    v.                      :
    :              Consol. Court No. 02-00463
    UNITED STATES,                      :
    :
    Defendant,              :
    :
    and                     :
    :
    POLYPLEX CORPORATION LIMITED, :
    :
    Defendant-Intervenor.   :
    ____________________________________:
    [ITA’s antidumping duty determination sustained in part, remanded in part; Defendant-
    Intervenor’s motion to supplement the record and amend memorandum of law denied.]
    Dated: December 17, 2003
    Wilmer, Cutler & Pickering (John D. Greenwald, Ronald I. Meltzer, and Lynn M.
    Fischer) for plaintiffs.
    Peter D. Keisler, Assistant Attorney General, David M. Cohen, Director, Jeanne E.
    Davidson, Deputy Director, Commercial Litigation Branch, Civil Division, United States
    Department of Justice (Paul D. Kovac), Scott D. McBride, Office of the Chief Counsel for
    Import Administration, United States Department of Commerce, of counsel, for defendant.
    Coudert Brothers LLP (Kay C. Georgi and Mark P. Lunn) for defendant-intervenor.
    CONSOL. COURT NO . 02-00463                                                              PAGE 2
    OPINION
    RESTANI, Chief Judge:
    This matter is before the court following remand in Dupont Teijin Films USA, LP v.
    United States, 
    273 F. Supp. 2d 1347
     (Ct. Int’l Trade 2003) (“Dupont Teijin I”). In its Final
    Results of Redetermination Pursuant to Court Remand [hereinafter Remand Determination], the
    Department of Commerce (“Commerce” or “the Department”) determined to include Defendant-
    Intervenor Polyplex Corporation Limited (“Polyplex”) in the antidumping duty order on
    polyethylene terephthalate film, sheet, and strip (“PET film”) from India because its weighted-
    average dumping margin was greater than de minimis. Polyplex and Dupont Teijin Films USA,
    LP, Mitsubishi Polyester Film of America, LLC, and Toray Plastics (America), Inc.
    (“Plaintiffs”), domestic producers of PET film and petitioners in the underlying investigation,
    now raise various challenges to the Remand Determination. Polyplex has also filed a motion to
    supplement the record and to amend its memorandum of law in this matter in light of
    Commerce’s recent request for comments on Section 201 duties.
    Jurisdiction & Standard of Review
    The court has jurisdiction pursuant to 
    28 U.S.C. § 1581
    (c) (2000). The court will uphold
    Commerce’s determination in an antidumping duty investigation unless it is “unsupported by
    substantial evidence on the record, or otherwise not in accordance with law.” 19 U.S.C. §
    1516a(b)(1)(B)(I) (2000).
    CONSOL. COURT NO . 02-00463                                                               PAGE 3
    Factual & Procedural Background
    In Dupont Teijin I, the court reviewed Commerce’s final determination in the
    antidumping duty investigation, which found that PET film from India is being sold, or is likely
    to be sold, in the United States at less than fair value (“LTFV”). 
    273 F. Supp. 2d at 1350
    ; see
    Polyethylene Terephthalate Film, Sheet, and Strip From India, 
    67 Fed. Reg. 34,899
     (Dep’t
    Commerce May 16, 2002) [hereinafter Final Determination]. Commerce calculated Polyplex’s
    weighted-average dumping margin at 10.34 percent, but the Department “adjusted the
    antidumping duty cash deposits for the export subsidies found in the companion countervailing
    investigation rather than adjusting net U.S. price.” Final Determ., 67 Fed. Reg. at 34,900–01 &
    n.2 (citation omitted). Based on its zero cash deposit rate, Commerce excluded Polyplex from its
    affirmative dumping determination on PET film from India and the resulting antidumping duty
    order. Id. at 34,901; Notice of Amended Final Determination of Sales at Less Than Fair Value
    and Antidumping Duty Order, 
    67 Fed. Reg. 44,175
    , 44,176 n.2 (Dep’t Commerce July 1, 2002)
    [hereinafter Amended Final Determination].
    In reviewing this action, the court held that Commerce’s Final Determination was not in
    accordance with law, because an exporter with a dumping margin greater than two percent must
    be included in an affirmative final determination of sales at LTFV regardless of its cash deposit
    rate. Dupont Teijin I, 
    273 F. Supp. 2d at 1352
    . The court remanded the case to Commerce with
    instructions that its exclusion of Polyplex could only be based on a de minimis dumping margin
    as a result of adjustments to Polyplex’s U.S. price pursuant to 19 U.S.C. § 1677a(c)(1)(C)
    (2000). See id. & n.11. The court noted that the real issue here is whether Commerce could
    reasonably interpret the statute, which requires Commerce to increase Polyplex’s export price by
    CONSOL. COURT NO . 02-00463                                                               PAGE 4
    “the amount of any countervailing duty imposed on the subject merchandise . . . to offset an
    export subsidy,” to apply in situations like the present where countervailable export subsidies are
    found in a companion countervailing duty investigation, but where duties have not yet been
    assessed after an administrative review.1 Id. n.11 (quoting 19 U.S.C. § 1677a(c)(1)(C) (emphasis
    added)). Because the Department failed to make any adjustments to Polyplex’s U.S. price in the
    Final Determination, but rather based its exclusion of Polyplex on its zero cash deposit rate
    despite a dumping margin above de minimis levels, the court ordered Commerce to “calculate
    Polyplex’s dumping margin after making the adjustments to export price required by 19 U.S.C. §
    1677a and Commerce’s reasonable interpretations thereof.” Id. at 1352. The court instructed
    that, “[i]f Commerce continues to calculate a dumping margin of 10.34 percent for Polyplex,
    Polyplex must be subject to the antidumping duty order, whether or not it is given a cash deposit
    rate of zero because of expected offsetting countervailing duties.” Id. at 1352–53.
    In its Remand Determination, after providing notice and an opportunity for comment,
    Commerce set forth its interpretation of the disputed phrase “countervailing duty imposed” in the
    context of companion antidumping and countervailing duty investigations. Although the
    Department normally interprets the term “imposed” to require an adjustment to export price only
    following the actual assessment of countervailing duties following an administrative review, in
    1
    The court explained the basic economic theory behind the adjustments mandated by §
    1677a(c)(1)(C) in Dupont Teijin I, 
    273 F. Supp. 2d at
    1349 n.4. Essentially, this provision
    presumes that export subsidies contribute to the lower-priced sales of subject merchandise in the
    U.S. market. Final Determ., 67 Fed. Reg. at 34,900–01. In this case, the countervailing duty
    investigation resulted in a margin of 18.66 percent for Polyplex, which is greater than its 10.34
    percent dumping margin. Id. at 34,901. Thus, the issue in Dupont Teijin I was whether
    Commerce’s exclusion of Polyplex based on its extension of § 1677a(c)(1)(C)’s basic economic
    theory to the calculation of antidumping duty cash deposits, without adjusting the
    producer/exporter’s U.S. price, was appropriate.
    CONSOL. COURT NO . 02-00463                                                                PAGE 5
    parallel antidumping and countervailing duty investigations, “Commerce considers
    countervailing duties to be imposed upon the issuance of a countervailing duty order.” Remand
    Determ. at 3–4. Such an order “directs customs officers to assess a countervailing duty.” Id. at 7
    (quoting 19 U.S.C. § 1671e(a)). Commerce explains that, if a countervailing duty order has not
    issued prior to its final determination in an antidumping duty investigation, Commerce will
    adjust the producer’s cash deposits on future entries “to prevent assessment of both antidumping
    and countervailing duties to compensate for the same cause of unfairly priced imports.” Id. at 8.
    In applying its statutory interpretation to the facts of this case, Commerce explained that,
    because Polyplex’s exports were not subject to a countervailing duty order at the time Commerce
    issued its Final Determination, countervailing duties had not been “imposed” on the subject
    merchandise, and, therefore, an increase in Polyplex’s U.S. price was not permitted. Id. at 4.
    Accordingly, Commerce determined to include Polyplex in the antidumping duty order, but
    chose to account for the countervailable export subsidies in its cash deposit instructions to
    customs officials in order to prevent the double assessment of duties. See id. at 8. This action
    followed.
    Discussion
    The parties raise several challenges to the Department’s Remand Determination. While
    Plaintiffs support Commerce’s decision to include Polyplex in the antidumping duty order, they
    claim that the Department’s new interpretation of § 1677a(c)(1)(C) is inconsistent with the plain
    language of the statute and the court’s decision in Serampore Industries v. United States, 
    11 CIT 866
    , 871–73, 
    675 F. Supp. 1354
    , 1359–60 (1987), which upheld as “sufficiently reasonable”
    Commerce’s interpretation of “imposed” to include countervailing duties only when they are
    CONSOL. COURT NO . 02-00463                                                                 PAGE 6
    “actually imposed” or “assessed.”2 Plaintiffs argue, however, that the court should affirm the
    Remand Determination without reviewing the Department’s new statutory interpretation because,
    in Plaintiffs’ view, Commerce did not apply it in calculating Polyplex’s dumping margin. In
    response to Plaintiffs’ claims, both Polyplex and Commerce argue that Commerce’s
    interpretation of the statute is ripe for review and not precluded by Serampore.
    Nevertheless, Polyplex claims that the Department’s new interpretation of §
    1677a(c)(1)(C) is not in accordance with the court’s remand order3 and is unreasonable in light of
    the statute’s underlying purpose.4 Polyplex offers what it argues is a better interpretation of the
    2
    Plaintiffs also challenge the Department’s refusal to conduct an administrative review of
    Polyplex’s sales that were erroneously excluded from the July 1, 2002 antidumping duty order.
    Because Commerce’s Remand Determination will apply retroactively to include Polyplex in the
    original order, Plaintiffs argue that their request for an administrative review on July 31, 2003,
    was timely and should have been granted. See 
    19 C.F.R. § 351.213
    (b)(1) (2003) (providing that
    interested parties may request an administrative review of individual exporters or producers
    covered by an antidumping duty order each year during the anniversary month of the order’s
    publication). The court is without jurisdiction to hear this claim, because the Department’s
    decision not to conduct an administrative review is not one of the determinations under review in
    this action.
    3
    Polyplex urges that Commerce has not followed the instructions of the court in Dupont
    Teijin I in refusing to adjust Polyplex’s U.S. price. The court rejects Polyplex’s suggestion that
    the court in Dupont Teijin I “had a reasonable expectation that Commerce [would] reiterate the
    interpretation it had carefully explained in its Additional Brief.” Polyplex Br. at 8. To the
    contrary, the court stated that, on remand, Commerce was free to set forth a new interpretation of
    the statute, after providing notice and an opportunity to comment to the parties, so long as the
    interpretation is reasonable in light of the statute’s express terms. Dupont Teijin I, 
    273 F. Supp. 2d at
    1352 & n.11; see infra n.7 (rejecting the notion that the Department is bound by previous
    interpretations of the statute as set forth in prior antidumping duty determinations and previous
    briefs to the court in this action).
    4
    On September 5, 2003, Polyplex filed a motion to supplement the record and amend its
    memorandum of law in objection to the Remand Determination in light of Commerce’s unrelated
    request for comments on the treatment of Section 201 duties and countervailing duties in
    antidumping proceedings. See Treatment of Section 201 Duties and Countervailing Duties, 68
    (continued...)
    CONSOL. COURT NO . 02-00463                                                                 PAGE 7
    statute that is consistent with both the legislative purpose and the U.S.’s international
    obligations.5 In the alternative, Polyplex argues that, even if the court upholds the Department’s
    interpretation of the statute, an adjustment to its dumping margin was required here because the
    countervailing duty order was issued on the same day as the amended final dumping
    determination.6
    In reviewing Plaintiffs’ claims, the court finds that the Department’s new interpretation is
    4
    (...continued)
    Fed. Reg. 53,104 (Dep’t Commerce Sept. 9, 2003). The motion is denied. Polyplex has failed to
    justify the court’s consideration of matters outside the administrative record on incompleteness
    or any other ground. See F.lli De Cecco di Filippo Fara San Marino S.p.A. v. United States, 
    21 CIT 1124
    , 1126, 
    980 F. Supp. 485
    , 487 (1997) (“A court will only consider matters outside of the
    administrative record when there has been a ‘strong showing of bad faith or improper behavior
    on the part of the officials who made the determination’ or when a party demonstrates that there
    is a ‘reasonable basis to believe the administrative record is incomplete.’”). Further, the Federal
    Register notice was not considered by the agency in making its Remand Determination and has
    no bearing on the court’s resolution of the present dispute.
    5
    “A better reading of the provision . . . would require an upward adjustment to export
    price and constructed export price in an antidumping investigation (or subsequent review) for
    CVD duties imposed during a companion CVD investigation or in a prior CVD investigation (as
    assessed in a subsequent review).” Polyplex Br. at 20. The court finds that, because Commerce
    prevents the assessment of double duties by adjusting Polyplex’s cash deposit on future entries,
    the Department’s new interpretation does not run afoul of the U.S.’s international obligations,
    despite Polyplex’s arguments to the contrary. Article VI.5 of the General Agreement on Tariffs
    and Trade specifically prohibits only the assessment of both antidumping and countervailing
    duties to compensate for the same cause of unfairly priced imports. The court also notes that
    Polyplex’s proffered reading still does not resolve the ambiguity as to what “imposed” means in
    the context of an investigation, although Polyplex’s position seems to be that, in the context of an
    investigation, countervailing duties are “imposed” simply by virtue of the Department’s
    affirmative finding of countervailable subsidies.
    6
    Polyplex also argues, for the first time, that the Department erred as a matter of law in
    aligning the final countervailing duty determination with the final antidumping duty
    determination under 
    19 C.F.R. § 351.210
     (2003), because Plaintiffs’ request for realignment was
    untimely filed under Commerce regulations. The court declines to consider this issue. Polyplex
    did not challenge this decision before Commerce and thus did not exhaust its administrative
    remedies.
    CONSOL. COURT NO . 02-00463                                                                PAGE 8
    ripe for review because Commerce did in fact employ it in declining to make an adjustment to
    Polyplex’s U.S. price and subjecting Polyplex to the antidumping duty order. Similarly, the court
    rejects Plaintiffs’ argument that the agency is bound by the previous interpretation of “imposed”
    that was upheld in Serampore. “[I]t is well settled that an agency may change its interpretation of
    an underlying statutory provision even absent any alteration in that provision, so long as the
    reason for the change is explained and the change does not conflict with the underlying statute.”
    Paralyzed Veterans of Am. v. Sec’y of Veterans Affairs, 
    345 F.3d 1334
    , 1353 (Fed. Cir. 2003).
    In its Remand Determination, Commerce explained that, prior to this court’s decision in Dupont
    Teijin I, its practice was to reduce the percentage antidumping margin by the export subsidy rate
    calculated in a concurrent countervailing duty investigation in its cash deposit instructions sent to
    Customs, rather than increasing U.S. price under § 1677a. Applying this methodology in its
    Final Determination, the Department excluded Polyplex from the antidumping order on PET film
    from India based on its zero cash deposit rate, despite a dumping margin of 10.34 percent. The
    court struck down this action in Dupont Teijin I and instructed the Department to “calculate
    Polyplex’s dumping margin after making the adjustments to export price required by 19 U.S.C. §
    1677a and Commerce’s reasonable interpretations thereof.” 
    273 F. Supp. 2d at 1352
    . The court
    stated that Commerce was free to arrive at a new interpretation of that statutory provision in the
    light of the unique circumstances of this case—the first in which the Department has found that a
    respondent received a larger amount of countervailable export subsidies than the amount of
    dumping calculated in the antidumping investigation—so long as the interpretation was
    supported by a “reasoned analysis.” 
    Id.
     at 1353 n.11. Commerce’s Remand Determination does
    provide a reasoned analysis for its new interpretation of the statute and, accordingly, the court
    CONSOL. COURT NO . 02-00463                                                               PAGE 9
    concludes that Commerce has adequately explained the rationale for its definitional change. As
    such, the court rejects Plaintiffs’ assertion that the Department is precluded from making
    adjustments to producers’ U.S. price as a result of parallel antidumping and countervailing duty
    investigations.7
    As discussed in Dupont Teijin I, the court affords Chevron deference to Commerce’s
    reasonable interpretation of ambiguous statutory terms articulated in the course of an
    antidumping determination. 
    Id.
     at 1351 (citing Pesquera Mares Australes Ltda. v. United States,
    
    266 F.3d 1372
    , 1379–80 (Fed. Cir. 2001)); see Chevron, U.S.A., Inc. v. Natural Res. Def.
    Council, Inc., 
    467 U.S. 837
    , 842–43 (1984). The statute at issue instructs Commerce to increase
    the price used to establish a foreign producer’s export price or constructed export price by “the
    amount of any countervailing duty imposed on the subject merchandise under part I of this
    subtitle to offset an export subsidy.” 19 U.S.C. § 1677a(c)(1)(C). Because the statute is silent or
    ambiguous with respect to the meaning of “imposed,” see Serampore, 11 CIT at 871, 
    675 F. Supp. at 1358
    , the court must decide whether the Department’s interpretation of the statute
    allowing an upward adjustment to U.S. price upon the issuance of a countervailing duty order,
    but before any duties are actually assessed after an administrative review,8 is permissible. The
    7
    Similarly, the court rejects Polyplex’s claim that the Department is bound by previous
    interpretations of the statute that it has expressed at various stages of these proceedings.
    Although Commerce has indeed changed course several times on the meaning of “countervailing
    duty imposed” in the context of concurrent antidumping and countervailing duty investigations,
    the Department is free to do so as explained above. This is particularly true where, as here,
    Commerce has had to develop and shift its interpretation in response to this court’s decision in
    Dupont Teijin I and the parties’ comments on the preliminary remand determination.
    8
    In the light of the Department’s recent interpretation of the statute, Polyplex questions
    Commerce’s ability in the future to increase an exporter’s U.S. price following the actual
    (continued...)
    CONSOL. COURT NO . 02-00463                                                                 PAGE 10
    court concludes that it is.
    “Part I” of the statute is entitled “IMPOSITION OF COUNTERVAILING DUTIES” and governs,
    among other things, the procedures for initiating and conducting countervailing duty
    investigations and the issuance of countervailing duty orders following affirmative
    determinations by the Department and the U.S. International Trade Commission (“ITC”). See 
    19 U.S.C. §§ 1671
    –1671h (2000). Section 1671 states the general rule that, after such affirmative
    determinations by both agencies, “there shall be imposed upon such merchandise a
    countervailing duty.” 
    Id.
     § 1671(a). The section does not explain how such a duty is to be
    “imposed.” Section 1671d, which governs “Final determinations,” sheds some light on this
    issue, stating that Commerce “shall issue a countervailing duty order” upon its affirmative
    finding of countervailable subsidies and the ITC’s affirmative material injury determination. Id.
    § 1671d(c)(2). The next statutory provision, which is entitled “Assessment of duty,” begins with
    a subsection entitled “Publication of countervailing duty order.” Id. § 1671e(a). The
    countervailing duty order “directs customs officers to assess a countervailing duty equal to the
    amount of the net countervailable subsidy,” describes the subject merchandise, and “requires the
    deposit of estimated countervailing duties pending liquidation of entries.” Id. The following
    subsection of the “Assessment of duty” provision, entitled “Imposition of duties,” brings us full
    circle to where Part I began, stating the general rule that entries of “merchandise subject to the
    8
    (...continued)
    assessment of duties pursuant to an administrative review. Although the Department’s prior
    practice does not seem to be affected by the new interpretation, because the actual assessment of
    countervailing duties following an administrative review necessarily flows from, and is a direct
    result of, an affirmative countervailing duty determination and the issuance of a countervailing
    duty order under Part I of the statute, this issue is not ripe for the court’s review.
    CONSOL. COURT NO . 02-00463                                                                PAGE 11
    countervailing duty order . . . shall be subject to the imposition of countervailing duties under
    section 1671(a).” Id. subsection (b)(1) (emphasis added). The actual assessment of
    countervailing duties is addressed in Part III of the statute, which governs administrative reviews
    of both antidumping and countervailing duty determinations. See id. §§ 1675–1676a (2000).
    Based on this review of the statutory language and framework, Commerce’s interpretation
    that a countervailing duty is “imposed on the subject merchandise under Part I” upon the
    issuance of a countervailing duty order is reasonable. Part I makes clear that an affirmative
    finding of countervailable subsidies alone does not constitute the imposition of countervailing
    duties because the ITC must then determine whether imports benefitting by those subsidies cause
    or threaten material injury to the domestic industry. See id. § 1671d(b)(1). Instead, the final
    result of affirmative determinations by both agencies under Part I is the Department’s issuance of
    a countervailing duty order, which instructs customs to assess a countervailing duty. A
    countervailing duty order instructing customs to assess countervailing duties remains in effect
    until it is expressly revoked, and countervailing duties will be automatically assessed at the
    original cash deposit rate if an administrative review is not requested. 
    19 C.F.R. §§ 351.211
    –.212 (2003). In light of this statutory and regulatory scheme, it is reasonable for the
    Department to consider a countervailing duty to be “imposed” upon the issuance of the
    countervailing duty order.
    The court must next determine whether, based on its reasonable interpretation of the
    statute, the Department correctly determined that Polyplex must be subject to the antidumping
    duty order because it dumped PET film in the United States at a margin of 10.34 percent.
    CONSOL. COURT NO . 02-00463                                                                  PAGE 12
    Polyplex’s main argument on this point9 is that, because the revised final determination and
    antidumping duty order were issued on the same day as the affirmative countervailing duty
    determination, the Department should have increased Polyplex’s U.S. price by the amount of
    countervailable subsidies found in the countervailing duty order. This would have resulted in a
    de minimis dumping margin and the exclusion of Polyplex from the order.
    Polyplex’s argument has weight. Notice of Commerce’s determination that PET film
    from India is being sold, or is likely to be sold, in the United States at less than fair value was
    published in the Federal Register on May 16, 2002. Final Determ., 67 Fed. Reg. at 34,899. The
    Final Determination revealed that Polyplex’s weighted-average dumping margin was 10.34
    percent. Id. at 34,901 n.2. Commerce published notice of its final determination in the
    countervailing duty investigation on the same day. Polyethylene Terephthalate Film, Sheet, and
    Strip (PET Film) From India, 
    67 Fed. Reg. 34,905
     (Dep’t Commerce May 16, 2002) (final). As
    discussed above, however, an affirmative final determination in a countervailing duty
    investigation does not constitute the imposition of countervailing duties. The Department
    reasonably considers a countervailing duty to be imposed in the context of an investigation upon
    the issuance of a countervailing duty order. Thus, at the time of Commerce’s Final
    Determination in the antidumping duty investigation, no countervailing duties had been imposed
    9
    Polyplex now argues that the Department erred as a matter of law in imposing an
    antidumping duty order on its entries when its cash deposit rate is zero. The court declines to
    revisit this issue. In its remand order, the court held that Commerce’s exclusion of Polyplex
    from the antidumping order on PET film based on a zero cash deposit rate was not in accordance
    with law. Dupont Teijin I, 
    273 F. Supp. 2d at 1352
    . Accordingly, the court instructed the
    Department that, “[i]f Commerce continues to calculate a dumping margin of 10.34 percent,
    Polyplex must be subject to the antidumping duty order, whether or not it is given a cash deposit
    rate of zero because of expected offsetting countervailing duties.” 
    Id.
     at 1352–53.
    CONSOL. COURT NO . 02-00463                                                                 PAGE 13
    according to the Department’s new interpretation, and Commerce therefore argues that it
    properly refused to adjust Polyplex’s U.S. price in the Remand Determination.
    This does not end the matter here because Commerce issued an amended final
    determination in the antidumping investigation on the same day that the countervailing duty
    order issued. Amended Final Determ., 67 Fed. Reg. at 44,176; Polyethylene Terephthalate Film,
    Sheet, and Strip (PET Film) from India, 
    67 Fed. Reg. 44,179
     (Dep’t Commerce July 1, 2002)
    (countervailing duty order). In this procedural posture, Commerce’s cursory explanation that
    there were no countervailing duties imposed at the time of the Final Determination is inadequate.
    The dumping margin calculations can and do change after the issuance of a final determination.
    See Amended Final Determ., 67 Fed. Reg. at 44,176 (amending a respondent’s dumping margin
    to correct for “ministerial errors”). Given Commerce’s fairly routine procedure of amending
    final antidumping duty determinations, it is not a sufficient answer to say that the margin
    calculated in the Final Determination was binding. Here, the purported final determination was
    not truly final until the amendment issued approximately six weeks later.
    Accordingly, upon remand, Commerce must explain how it will fairly and consistently
    apply its interpretation of “imposed” when a final determination or an amended final
    determination issues on the same day as a countervailing duty order on the subject merchandise
    due to a petitioner’s alignment request.10 Commerce’s second remand determination should also
    10
    Absent Plaintiffs’ request to align the final countervailing duty determination with the
    final antidumping determination here, the countervailing duty order would have issued several
    months before the final antidumping duty determination. Accordingly, countervailing duties
    would have been imposed on the subject merchandise at the time of the final LTFV
    determination under Commerce’s interpretation of the statute, and Polyplex would have been
    excluded from the antidumping duty order. If, upon remand, the Department continues to stand
    (continued...)
    CONSOL. COURT NO . 02-00463                                                                PAGE 14
    analyze how the extension of proceedings on the grounds of extraordinary complication affects
    the application of this new interpretation. As Polyplex points out, only petitioners and
    Commerce have the power to extend a countervailing duty determination on the grounds that it is
    extraordinarily complicated under 19 U.S.C. § 1671b(c)(1), and only petitioners have the power
    to request an alignment of the antidumping and countervailing duty proceedings, see 
    19 C.F.R. § 351.210
    (b)(4)(I). Thus, upon remand, the Department must fully address Polyplex’s concern that
    petitioners could unfairly control the respondents’ fate in an antidumping determination and
    resulting antidumping duty order by filing an extension and/or alignment request in the
    countervailing duty investigation, and how simultaneously-issued antidumping duty
    determinations and countervailing duty orders are to be treated.
    Conclusion
    For all of the foregoing reasons, the Remand Determination is sustained in part and
    remanded in part. Commerce is to seek to restore the parties, as far as is possible, to the position
    they would have been had they been able to act on the Department’s new interpretation of
    “imposed,” and the court’s determination in this matter, prior to the issuance of the Amended
    10
    (...continued)
    by Polyplex’s dumping margin as calculated in the original Final Determination, Commerce must
    provide a reasonable explanation for its failure to take the countervailable subsidies into
    consideration when it re-promulgated all of the dumping margins, including that of Polyplex, in
    the Amended Final Determination and antidumping duty order that issued on the same day as the
    countervailing duty order.
    CONSOL. COURT NO . 02-00463                                                                 PAGE 15
    Final Determination. Commerce must file its redetermination within 45 days of the entry of this
    opinion, and Plaintiffs and Polyplex shall have fourteen days thereafter to file their objections.
    Commerce may reply within eleven days thereafter. SO ORDERED.
    _______________________
    Jane A. Restani
    Chief Judge
    DATED: New York, New York
    This 17th of December, 2003.
    

Document Info

Docket Number: Consol. 02-00463

Citation Numbers: 2003 CIT 167, 27 Ct. Int'l Trade 1817, 297 F. Supp. 2d 1367, 27 C.I.T. 1817, 26 I.T.R.D. (BNA) 1026, 2003 Ct. Intl. Trade LEXIS 166

Judges: Restani

Filed Date: 12/17/2003

Precedential Status: Precedential

Modified Date: 11/7/2024