EAPA Investigation Doesn't Find Duty Evasion by 2 Companies' Soil Pipe and Fittings Imports

CBP found no substantial evidence that Muller Import Inc. and U.S. Castings Inc. evaded the antidumping and countervailing duty orders on cast iron soil pipe and cast iron soil pipe fittings from China via transshipment through India, the agency announced Dec. 22.

The investigation was announced in April after the Cast Iron Soil Pipe Institute alleged that both U.S. Castings and Muller were transshipping Chinese-origin soil pipe and that Muller was doing the same with fittings, both using the Indian company Bengal Iron (see 2304210010).

CBP said it "throughly examined" the manufacturing capacity at the Bengal Iron site in September and didn't find "any major inconsistencies or proof of transshipment of Chinese-origin covered merchandise." The agency said it found "certain gaps" in the record for both Muller’s and U.S. Castings' request for information responses but not enough evidence to support the allegation of evasion.

CISPI responded by saying CBP should apply "adverse inferences" to the importers on their refusal to fully cooperate with the investigation. Muller refused to cooperate by failing to provide certain information about the exporter to CBP without a "reasonable justification" for doing so, the agency said. U.S. Castings provided information on only one type of covered merchandise, CISPI said.

But while CBP agreed that the responses from Muller and U.S. Castings "left certain gaps on the record," the agency said its examination of Bengal Iron and failure to turn up any issues means there isn't "substantial evidence on the administrative record that can support a determination as to evasion at this time."

As a result, CBP will "reverse any actions taken with respect to entries covered by this investigation," the agency said. "This determination does not preclude CBP or other agencies from pursuing other enforcement actions or penalties as may be appropriate."

U.S. Castings and Muller Import didn't immediately respond to requests for comment.