Borusan Mannesmann Boru Sanayi Ve Ticaret A.S. v. American Cast Iron Pipe Cp., No. 20-2014 (Fed. Cir. 2021)Annotate this Case
Borusan claimed that it was entitled to a post-sale price adjustment based on the total value of penalties it paid for late delivery of products (large diameter welded pipe) to a customer. The Trade Court agreed and remanded to the U.S. Department of Commerce with instructions to grant the claimed post-sale price adjustment and recalculate the resulting antidumping duty margins. On remand, “Consistent with the [CIT’s] remand, and under protest,” Commerce granted Borusan a post-sale price adjustment based on Borusan’s final allocated share of the penalty, which produced a de minimis antidumping duty rate.
The Federal Circuit reversed, concluding that the Department of Commerce’s original post-sale price adjustment was supported by substantial evidence and in accordance with law. Commerce determined, in the course of applying the proper factors provided in its regulations, that a potential existed for manipulating the postsale price adjustment because the claimed adjustment was not tethered to what was established and known to the client at the time of sale. Consistent with its legitimate goal of avoiding such manipulation, Commerce correctly set the post-sale price adjustment in a reasonable manner, based on evidence that existed at the time of sale, that addressed its manipulation concerns.