Deacero S.A. DE C.V. v. United States

In 2001, U.S. producers filed an antidumping petition against imports of steel wire rod of at least 5.00 mm diameter,stating “[m]ost of the industrial quality wire rod is produced and sold in 7/32 inch (5.5 mm) diameter, which is also the smallest cross-sectional diameter that is hot-rolled in significant commercial quantities.” The ITC issued a “material injury” determination for product “of approximately round cross section, 5.00 mm or more, but less than 19.00 mm.” The Department of Commerce issued an antidumping duty order on imports from six countries, covering product with a diameter of “5.00 mm or more, but less than 19.00 mm.” After the order issued, Mexican companies manufactured and imported into the U.S. steel wire rod within a diameter of 4.75 mm. U.S. producers requested that Commerce investigate under 19 U.S.C. 1677. Commerce determined that 4.75 to 5.00 mm steel wire rod was a minor alteration of the subject merchandise and that its import constituted an affirmative circumvention of the order. The Trade Court remanded based on the literal scope of the order, finding the product was “commercially available” at the time of the original investigation. On remand, Commerce issued a redetermination of negative circumvention. The Trade Court remanded again, instructing Commerce to consider revisiting whether small-diameter rod was commercially available before issuance of the order. Commerce declined to do so. The Trade Court affirmed the negative circumvention determination. The Federal Circuit reversed: Commerce’s initial minor alteration determination was supported by substantial evidence. View "Deacero S.A. DE C.V. v. United States" on Justia Law