Trust Chem Co. Ltd. v. United States

791 F. Supp. 2d 1257, 33 I.T.R.D. (BNA) 1829, 2011 Ct. Intl. Trade LEXIS 95, 2011 WL 3329973
CourtUnited States Court of International Trade
DecidedAugust 3, 2011
DocketSlip Op. 11-97; Court 10-00214
StatusPublished
Cited by19 cases

This text of 791 F. Supp. 2d 1257 (Trust Chem Co. Ltd. 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
Trust Chem Co. Ltd. v. United States, 791 F. Supp. 2d 1257, 33 I.T.R.D. (BNA) 1829, 2011 Ct. Intl. Trade LEXIS 95, 2011 WL 3329973 (cit 2011).

Opinion

OPINION

POGUE, Chief Judge:

In this action, Plaintiff Trust Chem Co., Ltd. (“Trust Chem” or “Plaintiff’) seeks review of the final results of the U.S. Department of Commerce’s (“Commerce” or “the Department”) fourth administrative review of the antidumping order covering Carbazole Violet Pigment 23 (“CVP-23”) from the People’s Republic of China. 1

Specifically, Plaintiff claims that Commerce’s choice of data to value the nitric *1260 acid used to produce the Plaintiffs merchandise is less specific than data Plaintiff submitted, and that Commerce’s chosen data is aberrational or unrepresentative of the nitric acid used in producing Plaintiffs goods.

The court has jurisdiction pursuant to 28 U.S.C. § 1581(c) (2006).

As explained below, the court concludes that Commerce’s determination that its data is not aberrational requires reconsideration.

BACKGROUND

This case arises out of Commerce’s 2004 antidumping order on CVP-23 2 from China. Carbazole Violet Pigment 23 from the People’s Republic of China, 69 Fed.Reg. 77,987 (Dep’t of Commerce Dec. 29, 2004) (antidumping duty order). Commerce considers China to be a nonmarket economy (“NME”). 3

In administrative proceedings involving goods from an NME, Commerce may approximate the normal value of the goods based on a “surrogate” for the value of their “factors of production” (“FOP”). 19 U.S.C. § 1677b(c); 4 see also 19 C.F.R. § 351.408. The statute provides, however, “that surrogate data used to calculate the value of factors of production ... must, to the extent possible, come from market economy countries with ‘a level of economic development comparable to that of the non-market economy country.[’]” Dorbest Ltd. v. United States, 604 F.3d 1363, 1371 (Fed.Cir.2010) (quoting 19 U.S.C. § 1677b(c)(4)(A)). 5

Within these statutory limitations, Commerce selects a specific surrogate value in each individual administrative proceeding, by choosing the “best available information,” 19 U.S.C. § 1677b(c), 6 which is se *1261 lected using criteria established by regulation and practice, generally referred to as “Commerce’s methodology.” Such surrogate values are at issue here.

Specifically, during the fourth administrative review of Commerce’s antidumping order on CVP-23 from China, Trust Chem suggested that Commerce use a surrogate value for nitric acid, as published in the Indian periodical Chemical Weekly, 7 of 9.00 Rupees per kilogram (“INR/Kg.”), or $215.31 per metric ton (“USD/MT”). Pl. ’s Prelim. Surrogate Value Sub for Prelim. Determination 4 & Attach. 2, at 22-25 (Sept. 8, 2009) Admin. R. Pub. Doc. 22. 8 Defendant-Intervenors Nation Ford Chemical Company and Sun Chemical Corporation (collectively “Petitioners”) proposed a surrogate value based on nitric acid data from the Indian Department of Commerce’s Export Import Data Bank of 35.08 INR/Kg., or $839.44 USD/MT. Pet’rs’ Surrogate Value Data Ex. 21 (Sept. 8, 2009) (PR 21).

In the preliminary results, Commerce rejected these surrogate values. Instead, it utilized data from the Indian Department of Commerce’s Export Import Data Bank, compiled in the World Trade Atlas (“WTA data”), 9 for HTSUS 2808.00.10, with a POR value of $10,474.46 USD/MT. Prelim. Surrogate Value Mem. 5-6 (Dec. 22, 2009) (PR 34) (“Prelim. Surrogate Val- Tie Mem.”); Prelim. Results, 74 Fed.Reg. at 68,783; see also Prelim. Results at 68,-782 (“In accordance with [19 U.S.C. § 1677b(a)(1)(C) ] we calculated [normal value (“NV”) ] based on [FOPs] reported by Trust Chem for the POR. To calculate NV, we multiplied the reported per-unit factor consumption rates by publicly-available Indian surrogate values.”). On the basis of that data, Commerce preliminarily assigned a dumping margin 10 of 29.57 percent to Trust Chem. Prelim. Results 74 Fed.Reg. at 68,785.

In the Final Results, again relying on WTA data, Commerce assigned Trust Chem a margin of 30.72 percent. Final Results, 75 Fed.Reg. at 36,632.

Trust Chem now challenges this decision, arguing that: (A) the data it proposed is more specific 11 to, and hence more representative of, the nitric acid used in producing the subject CVP-23, and (B) the WTA data is aberrational or unrepresentative.

After summarizing the applicable standard of review, the court will address each of Trust Chem’s arguments in turn.

STANDARD OF REVIEW

When reviewing the final results of an antidumping proceeding, the court assesses whether Commerce’s decision is *1262 supported by substantial evidence on the record and in accordance with law. 19 U.S.C. § 1516a(b)(1)(B)(i). “‘Substantial evidence’ is more than a mere scintilla .... [and is] such relevant evidence as a reasonable mind might accept as adequate to support a conclusionf,]” Consol. Edison Co. v. NLRB, 305 U.S. 197, 229, 59 S.Ct. 206, 83 L.Ed. 126 (1938), 12 “taking into account the entire record, including whatever fairly detracts from the substantiality of the evidence.” Atlantic Sugar, Ltd. v. United States, 744 F.2d 1556, 1562 (Fed. Cir.1984); see also Universal Camera, 340 U.S. at 487, 71 S.Ct. 456. Thus, when reviewing agency determinations, findings or conclusions for substantial evidence, the court assesses whether the agency’s action is reasonable. Nippon Steel Corp. v. United States,

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Pirelli Tyre Co. v. United States
2023 CIT 86 (Court of International Trade, 2023)
Canadian Solar Int'l Ltd. v. United States
378 F. Supp. 3d 1292 (Court of International Trade, 2019)
Jacobi Carbons AB v. United States
313 F. Supp. 3d 1308 (Court of International Trade, 2018)
Diamond Sawblades Mfrs.' Coal. v. United States
301 F. Supp. 3d 1326 (Court of International Trade, 2018)
Icdas Celik Enerji Tersane ve Ulasim Sanayi, A.S. v. United States
277 F. Supp. 3d 1346 (Court of International Trade, 2017)
Weishan Hongda Aquatic Food Co., Ltd. v. United States
273 F. Supp. 3d 1279 (Court of International Trade, 2017)
Jacobi Carbons AB and Jacobi Carbons, Inc. v. United States
222 F. Supp. 3d 1159 (Court of International Trade, 2017)
ABB Inc. v. United States
190 F. Supp. 3d 1159 (Court of International Trade, 2016)
Juancheng Kangtai Chem. Co. v. United States
2015 CIT 93 (Court of International Trade, 2015)
Clearon Corp. v. United States
2015 CIT 91 (Court of International Trade, 2015)
Zhaoqing Tifo New Fibre Co. v. United States
60 F. Supp. 3d 1328 (Court of International Trade, 2015)
Apex Frozen Foods Private Ltd. v. United States
37 F. Supp. 3d 1286 (Court of International Trade, 2014)
Fischer S.A. Comercio, Industria and Agricultura v. United States
2014 CIT 58 (Court of International Trade, 2014)
Blue Field (Sichuan) Food Industrial Co., Ltd. v. United States
949 F. Supp. 2d 1311 (Court of International Trade, 2013)
Xinjiamei Furniture (Zhangzhou) Co., Ltd. v. United States
2013 CIT 30 (Court of International Trade, 2013)
Trust Chem Co. Ltd. v. United States
819 F. Supp. 2d 1373 (Court of International Trade, 2012)

Cite This Page — Counsel Stack

Bluebook (online)
791 F. Supp. 2d 1257, 33 I.T.R.D. (BNA) 1829, 2011 Ct. Intl. Trade LEXIS 95, 2011 WL 3329973, Counsel Stack Legal Research, https://law.counselstack.com/opinion/trust-chem-co-ltd-v-united-states-cit-2011.