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CIT Remand Could Reverse Revocation of AD Duties on South Korean Diamond Sawblades

The Court of International Trade remanded on Oct. 11 the final determination from the antidumping duty investigation on diamond sawblades from South Korea, in a move that could result in reinstatement of AD duties. The diamond sawblades order was revoked in 2011, after the Commerce Department implemented a World Trade Organization ruling by eliminating zeroing methodology from its calculations and AD rates for all reviewed companies fell to zero (see 11102822). Zero rates in an investigation mean an order can’t be issued. CIT’s remand raises the possibility that AD rates for South Korea diamond sawblade exporters could rise above zero, even without the use of zeroing methodology, which the court says would upset Commerce’s 2011 decision to revoke.

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CIT’s remand focused on several issues. Commerce voluntarily accepted a remand on the calculation of indirect selling expenses, an issue which was also challenged by the domestic Diamond Sawblades Manufacturing Coalition. DSMC also won remands on Commerce’s decision not to look in depth into value added in the U.S., as well as Commerce’s late acceptance of Shinhan financial data instead of relying of facts available or adverse facts available.

Entries of diamond sawblades from South Korea are still blocked by court order from liquidation pending resolution of this case. Liquidation has been suspended for all merchandise entered since 2009.

(Diamond Sawblades Mfrs. Coal. v. U.S., Slip Op. 13-130, dated 10/11/13, public version 10/24/13, Judge Musgrave)