NEW YORK The
U.S. Court of International Trade (CIT) upheld a Commerce
Department decision that U.K. Carbon & Graphite Co. Ltd.
circumvented trade laws by using unfinished Chinese rod to ship
small-diameter graphite electrodes into the United States
The opinion, dated
Aug. 29, relates to a petition filed in 2010 by domestic
producers SGL Carbon LLC and Superior Graphite Co. that alleged
the Derbyshire, England-based company was part of "an ongoing
scheme to evade payment of anti-dumping duties."
International Trade Administration determined in June 2012 that
U.K. Carbon & Graphites processing in Britain was
minor and, therefore, the company had circumvented the order
amm.com, June 5, 2012).
In August 2012, after
a final determination by Commerce (
amm.com, Aug. 8, 2012), U.K. Carbon & Graphite
Co. appealed the decision to the CIT (
amm.com, Aug. 27, 2012).
"The appeal was due to
a conflict between the law in the U.K. (and the European Union)
as opposed to how the law is being interpreted in the United
States," Jeffrey Neeley, an attorney at Barnes, Richardson
& Colburn LLP and lead attorney for U.K. Carbon &
Graphite, told AMM via e-mail. "(U.K. Carbon &
Graphite) had argued that rods had been excluded from the case
and that the U.S. Commerce Department had made various errors
in calculating the value added in the U.K., including refusing
to use actual costs of (U.K. Carbon & Graphite) but rather
using surrogate costs."
U.K. Carbon &
Graphite added that while the conflict in laws "should have
been resolved differently," the companys "success with
its business model will not be affected because the United
States government has made clear that other products (including
any exceeding 16 inches in diameter and any produced from
non-Chinese rods) are not subject to the dumping order. Thus,
(U.K. Carbon & Graphite) will continue to serve its
customers as it has in the past with the same reliable service