July 2025

New AD/CVD Case Filed: Unwrought Palladium from the Russian Federation  

A new antidumping and countervailing duty (AD/CVD) action has been filed against unwrought palladium from the Russian Federation (Russia). The allegation is that imports from Russia are unfairly subsidized and are being dumped.

Full list of exporters here.
 

Full list of importers here 

Background on AD/CVD Investigations 

Antidumping duty (“AD”) and countervailing duty (“CVD”) investigations are brought jointly by the U.S. International Trade Commission (“USITC”) and the U.S. Department of Commerce (“Commerce”). AD investigations are triggered when a domestic industry alleges that it has been injured by competing imports of particular goods from specific countries being sold at less than a fair value. Meanwhile, CVD investigations are triggered when a domestic industry alleges that it has been injured by competing imports that are being unfairly subsidized by their governments. The domestic industry initiating the investigation is known as the petitioner while the foreign industry participating in the investigation is known as the respondent. 

 Scope of the Investigation 

The merchandise covered by these investigations is unwrought palladium, whether or not refined.  

 The products subject to the investigations are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under subheading 7110.21.0000.  Full scope here.

Next Steps 

The Commerce Department will determine whether to initiate the investigations within 20 days. The USITC will reach a preliminary determination of material injury or threat of material injury within […]

Breaking Trade News: Trade Deals with Japan & Philippines, CBP Fee Increase, New IEEPA Lawsuit

Here is a recap of the latest customs and international trade news:    

Administration

  • President Trump announced a trade deal with Japan. A 15% tariff rate will apply to all Japanese imports. Japan also committed $550B to invest in U.S. industry.
  • President Trump announced a trade deal with the Philippines. A 19% tariff rate will apply to all Philippine imports.
  • During a Congressional reception, President Trump threatened to ban the import of German cars if the EU doesn’t allow drugmakers to sell in their countries at higher prices.

Customs and Border Protection (CBP)

  • CBP published a Federal Register notice announcing the agency will be adjusting certain customs user fees and corresponding limitations established by the Consolidated Omnibus Budget Reconciliation Act (COBRA) for Fiscal Year 2026.

Court of International Trade (CIT)

  • CIT hands down $3.4M penalty against importers for duty evasion.
  • Two orange juice importers asked the CIT to either temporarily, preliminarily, or permanently enjoin the federal government from imposing and enforcing the Administration’s threatened 50% tariff on Brazil. 

United States Trade Representative (USTR)

  • The Senate Appropriations Committee advanced a funding bill that included an increase […]
By |2025-07-25T10:36:08-04:00July 25, 2025|news, Snapshot, Uncategorized|0 Comments

CIT Hands Down $3.4M Penalty for Duty Evasion

On July 18, 2025, the Court of International Trade (CIT) granted the government’s motion for default judgment against importer Rayson Global and its owner, Doris Cheng, for negligently failing to pay duties. 

The Case

The government’s case was filed in 2023, alleging that the importers had falsely declared that Chinese-origin goods as Thai origin to evade duties. The government asserted this false declaration avoided payment of ordinary 6% duties, Section 301 duties ranging from 10% to 25%, and 234.51% antidumping duties. 

The government asked the court to impose a penalty for negligence. The penalty amount is twice the loss of revenue or the domestic value, whichever is lower. After the importer failed to answer the complaint (a huge mistake), the U.S. moved for summary judgment.

The CIT granted the government’s motion and ordered the importer to pay a nearly $3.4 million penalty as well as all unpaid duties, taxes, and cash deposits on the unliquidated entries in question.

Duty Evasion is on the Rise

This case is just one example of the growing incentive to cheat that comes with higher tariffs. Whether it’s through misclassifying goods, undervaluing imports, or using deceptive transshipment routes, some companies are turning to creative or outright illegal strategies to reduce their tariff liability.

These incentives have even contributed to the emergence of a cottage industry of “tariff reduction” companies that suggest ways to cut import costs. However, many of these so-called strategies amount […]

AD/CVD News: New Case Filed Against Freight Rail Couplers From the Czech Republic and India

A new antidumping and countervailing duty action has been filed against certain freight rail couplers and parts from the Czech Republic and India. The allegation is that imports from Czech Republic and India are unfairly subsidized and being dumped.  

Full list of exporters here. 

Full list of importers here 

Background on AD/CVD Investigations 

Antidumping duty (“AD”) and countervailing duty (“CVD”) investigations are brought jointly by the U.S. International Trade Commission (“USITC”) and the U.S. Department of Commerce (“Commerce”). AD investigations are triggered when a domestic industry alleges that it has been injured by competing imports of particular goods from specific countries being sold at less than a fair value. Meanwhile, CVD investigations are triggered when a domestic industry alleges that it has been injured by competing imports that are being unfairly subsidized by their governments. The domestic industry initiating the investigation is known as the petitioner while the foreign industry participating in the investigation is known as the respondent. 

Scope of the Investigation 

The merchandise covered by these investigations is freight railcar couplers (also known as “fits” or “assemblies”) and parts thereof.  

The products subject to the investigations are currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under subheadings 8607.30.1000, 8607.30.1010, 8607.30.1050, 8607.30.1090, 7326.90.8688, 8606.10.0000, 8606.30.1000, 8606.91.0000, 8606.92.0000, 8606.99.0130, 8606.99.0160, 9803.00.50, and 7325.99.5000.  

Full scope here.

Next Steps 

The Commerce Department will determine whether […]

ICYMI: BIS Initiates 232 Investigations of UAS and Polysilicon Imports

On July 15, 2025, the Bureau of Industry and Security announced Section 232 National Security Investigations of: (i) Unmanned Aircraft Systems (UAS) and their parts/components, and (ii) polysilicon and related derivatives.

The Federal register notices are available here (UAS) and here (polysilicon).

BIS is specifically interested in the following information:

  1. The current and projected demand for these products and the extent to which domestic production can meet this demand
  2. The role of foreign supply chains, particularly of major exporters, in meeting United States demand 
  3. The concentration of U.S. imports from a small number of suppliers and the associated risks
  4. The impact of foreign government subsidies and predatory trade practices 
  5. The economic impact of artificially suppressed prices due to foreign unfair trade practices and state-sponsored overproduction
  6. The potential for export restrictions by foreign nations
  7. The feasibility of increasing domestic capacity to reduce import reliance
  8. The impact of current trade policies on domestic production and whether additional measures, including tariffs or quotas, are necessary to protect national security

The deadline to submit comments is August 6, 2025.

The investigations could result in new trade restrictions, including tariffs. If you import products covered under these investigations, make your […]

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