CEEs Increasingly Playing 'Prominent Role' in AD/CV Duty Enforcement

The Centers of Excellence and Expertise (CEEs) are becoming heavily involved within CBP's renewed focus on stopping and responding to antidumping and countervailing duty evasion, a CBP spokeswoman said. The CEEs "are playing a prominent role in AD/CVD enforcement, and trade enforcement is one of the Center's key responsibilities," she said. CBP appears to have ramped up its use of the CEEs to enforce AD/CV duty evasion and other issues, Ted Murphy, a lawyer with Baker & McKenzie, said in a recent email.

Murphy reported an uptick in Requests for Information (CF-28s) from the Import Specialists at the CEEs. "These CF-28s have most often involved the AD/CVD orders with broad, ambiguous scopes (e.g., orders on aluminum extrusions, steel products, various orders on pipe, etc.)," he said. "The same Import Specialists are issuing CF-28s to multiple importers, which (we believe) demonstrates that the CEEs are working as intended -- as an Import Specialist learns that one importer may have an issue, he/she wonders whether other importers in the same industry also have that issue and starts issuing CF-28s to other companies covered by the CEE, etc." Murphy recommended that all importers "re-confirm that they are properly declaring any such imports."

With all 10 industry-specific CEEs up and running (see 1603300020), CBP is able to take a more targeted approach on enforcement issues. "Centers are organized by commodity, and have a strong focus on commodity-based AD/CVD orders," the CBP spokeswoman said. "For CBP's AD/CVD enforcement, the Centers are centralizing AD/CVD functions for the industries and importers covered by the respective Center. The Centers are increasing uniformity and expertise across CBP for administration of AD/CVD entries and AD/CVD enforcement. The Centers are leading and carrying out operations to detect and deter AD/CVD evasion, and bringing a new focus on the AD/CVD commodities within the portfolio of each Center." The CEEs also are working closely with ICE's Homeland Security Investigations on criminal investigations of AD/CVD commercial fraud, she said. CBP is in the process of overhauling its approach to AD/CVD evasions enforcement as part of the customs reauthorization law (see 1605030032).

The CEEs also seem to be behind an increased number of formal investigations on a range of issues, Murphy said. "In recent months, we have seen several CEE-based Import Specialists launch formal investigations into different matters (e.g., antidumping/countervailing duty issues, NAFTA and other preference claims, etc.). Some, but not all, of these investigations were preceded by a CF-28." The CEEs "are maturing into an innovative operational entity focusing on strategic trade enforcement," the CBP spokeswoman said.