CIT Finds no "Tolling" Status for Exporter in AD Italy Pasta Review

Atar, S.r.L. challenged the finding by the International Trade Administration, in a reversal from prior reviews, that Atar did not qualify as a “tolling” manufacturer of pasta imports from Italy and therefore, did not qualify for its own AD duty rates. (A tolling producer uses subcontractors but arranges the sale.) Instead, after a voluntary remand, the ITA assigned to Atar‘s reported imports in the July 2005 -- June 2006 AD administrative review of pasta from Italy the rates it calculated for the individual Italian subcontractors that had produced the subject merchandise. The Court of International Trade agreed with the ITA, citing among other factors the agency’s “reseller policy,” under which, if producers such as Atar’s subcontractors are aware of the destination of a sale by a reseller, the ITA will find that the producer set the price of sale, and will assess the AD duty based on that producer’s rate. (Slip Op. 11-87, dated 07/22/11)