GMN Georg Muller Nurnberg AG v. United States

763 F. Supp. 607, 15 Ct. Int'l Trade 174, 15 C.I.T. 174, 13 I.T.R.D. (BNA) 1365, 1991 Ct. Intl. Trade LEXIS 90
CourtUnited States Court of International Trade
DecidedApril 26, 1991
DocketCourt 89-06-00355
StatusPublished
Cited by17 cases

This text of 763 F. Supp. 607 (GMN Georg Muller Nurnberg AG v. United States) is published on Counsel Stack Legal Research, covering United States Court of International Trade primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
GMN Georg Muller Nurnberg AG v. United States, 763 F. Supp. 607, 15 Ct. Int'l Trade 174, 15 C.I.T. 174, 13 I.T.R.D. (BNA) 1365, 1991 Ct. Intl. Trade LEXIS 90 (cit 1991).

Opinion

OPINION

TSOUCALAS, Judge:

Plaintiff, GMN Georg Muller Nürnberg AG (“GMN”), instituted this action to contest the results of an affirmative antidump-ing determination by the United States Department of Commerce, International Trade Administration (“Commerce” or “ITA”). Final Determinations of Sales at Less Than Fair Value: Antifriction Bearings (Other Than Tapered Roller Bearings) and Parts Thereof From the Federal Republic of Germany, 54 Fed. Reg. 18,992 (May 3, 1989). The case is presently before the Court on plaintiff’s motion, pursuant to Rule 56.1 of the Rules of this Court, for judgment upon the agency record.

Specifically, GMN challenges Commerce’s decision to dispense with the standard data reporting procedures. Because the sales data is used to effect fair value comparisons, plaintiff maintains that omissions in reporting will distort the fair value calculation. GMN acknowledges that the tremendous number of transactions involved in this investigation required the use of some type of simplified reporting method; however, it maintains that Commerce’s authority to base determinations on less than all transactions is founded exclusively upon 19 U.S.C. § 1677Í-1 *609 (1988). This sampling statute, plaintiff argues, specifically requires the use of a generally recognized sampling technique and does not sanction the application of alternative methodologies, such as that adopted by Commerce herein.

GMN’s concern is rooted in its belief that the methodology adopted by Commerce excludes from the fair value calculation a significant portion of U.S. sales which do not have an identical sales match in the home market. Moreover, since its sales were relatively few, plaintiff maintains, all should have been examined rather than selectively comparing transactions involving identical merchandise sold in both the United States and the home market. At least in its case, claims GMN, a determination based on examination of anything less than one hundred percent of its U.S. sales is unfair and unrepresentative.

Commerce and defendant-intervenor, The Torrington Company (“Torrington”), join to oppose plaintiffs motion, averring that the breadth of this investigation coupled with statutorily imposed time restrictions necessitated a departure from the standard reporting practices. Furthermore, Commerce notes that nothing in the statutory framework requires it to examine every transaction during the period of investigation, “[n]or has Congress ever indicated that Commerce must use a particular format.” Defendant’s Second Memorandum in Opposition to Plaintiffs’ Motions for Partial Judgment Upon the Agency Record Regarding Certain Fundamental Issues at 19. Therefore, defendant argues that pursuant to 19 U.S.C. § 1673e(a)(3) (1988), and by regulation, 19 C.F.R. § 353.38 (1988), it possesses authority to choose what proportion of all transactions are to be considered. Id. Given the circumstances of this investigation, Commerce notes, it was reasonable for it to adopt a reporting technique that would help “reduce the burden” of examining hundreds of thousands of transactions while still fulfilling the statutory requirements of the antidumping laws within the prescribed time scheme.

Upon review of the caselaw and the evidence on record, it is the Court’s opinion that Congress confers upon Commerce considerable discretion in conducting less than fair value (“LTFV”) investigations. Since plaintiff has not shown Commerce’s alternative procedures for effecting fair value comparisons to be an abuse of said discretion, or otherwise not in accordance with law, the ITA’s implementation of alternative sales data reporting requirements for use in comparison of GMN’s U.S. and home market sales is affirmed.

Background

The record reveals that on March 31, 1988, Torrington filed with the ITA a petition, on behalf of the domestic industry, requesting an antidumping investigation of antifriction bearings (“AFBs”) (other than tapered roller bearings), and parts thereof, imported from, among other places, the Federal Republic of Germany. Administrative Record (“AR”) (Pub.) Doc. 1. The ITA responded by announcing its intention to commence an investigation of AFB imports from Germany covering the period between October 1, 1987 and March 31, 1988. Initiation of Antidumping Duty Investigation; Antifriction Bearings (Other Than Tapered Roller Bearings) and Parts Thereof From the Federal Republic of Germany, 53 Fed.Reg. 15,073 (April 27, 1988). Before the ITA selected which importers would be required to participate in the investigation, GMN, a German producer of AFBs, volunteered to respond to Commerce’s questionnaires. The ITA determined that GMN was indeed a proper respondent and included it in all subsequent proceedings.

Soon after the investigation’s inception, it became apparent that due to the enormous volume and complexity of the transactions involved, the ITA would have to dispense with the standard sales reporting procedures in order to complete the investigation in a timely manner. Consequently, the ITA proposed several alternative reporting schemes and solicited from the parties comments on each.

*610 Option 1 proposed by the ITA required that:

If the number of U.S. sales having identical home market matches is substantial (at least 33 percent by volume), respondent would be required to report all U.S. sales, but only those home market sales of products identical to those sold in the United States. No similar comparisons would be required. The Department would still require a full technical description of each bearing sold in the home market (or third country, as appropriate) to verify that the appropriate merchandise has been reported in the sales listing.
If there are not identical matches for at least 33 percent by volume of the products sold in the United States, respondent would list the remaining U.S. products in descending order by volume. From that list, respondent would report similar home market matches, starting with the largest volume U.S. product and continuing down the list sequentially. This process would continue until identical and similar product matches are provided for at least 33 percent coverage of the U.S. products.

Option 2 provided that:

Respondent would be required to provide a detailed list to the Department, within one week of [the ITA’s] request, identifying each product sold in the United States. From that list, [the ITA] would randomly select bearings for analysis and notify respondent(s) of [its] selection. The respondent would then be required to report all U.S. sales of those selected bearings, plus the home market (or third country) sales of the identical or most similar product.

AR (Pub.) Doc. 105 (emphasis in original).

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Bluebook (online)
763 F. Supp. 607, 15 Ct. Int'l Trade 174, 15 C.I.T. 174, 13 I.T.R.D. (BNA) 1365, 1991 Ct. Intl. Trade LEXIS 90, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gmn-georg-muller-nurnberg-ag-v-united-states-cit-1991.