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ITA Defends Withdrawal of Targeted Dumping Regulations After Court Ruling

Tuesday, October 01, 2013
Sandler, Travis & Rosenberg Trade Report

The International Trade Administration is accepting comments through Oct. 31 on a proposal aimed at clarifying the status of regulatory provisions governing targeted dumping in antidumping duty investigations that were withdrawn in December 2008. These regulations instructed the ITA on how to compare normal value and export price or constructed export price under certain factual scenarios.

This past June the Court of International Trade ordered the ITA to apply the withdrawn regulations in its reconsideration of a final AD duty determination, ruling that the withdrawal was improper because it did not satisfy the notice and comment requirements of the Administrative Procedure Act. The ITA disagrees and maintains that the withdrawn regulations are not operative, but it recognizes the court’s decision that there was a procedural defect in the rulemaking process.

The ITA is therefore proposing to continue to not apply the withdrawn regulations, effective for AD proceedings initiated on or after 30 days following the date of publication of the final rule. Comments for or against this proposal and the proposed effective date may be submitted and alternative approaches may be suggested. The ITA notes that if any party believes the withdrawn regulations should be reinstated it should explain how to effect and codify such reinstatement and suggest an effective date for that change.

The ITA is also inviting comments on the effect of this proposed rule on a February 2012 final rule modifying the regulations governing comparison methods to be applied in AD duty investigations and administrative reviews.

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