Diamond Tools Technology Under CBP Investigation for Antidumping Duty Evasion, Trade Group Says

Diamond Tools Technology is being investigated by CBP over allegations that the company evaded antidumping duties on diamond sawblades from China, the Diamond Sawblades Manufacturers' Coalition said (here). The DSMC and its law firm Wiley Rein filed the allegations under CBP's new evasion enforcement processes (see 1608190014), and CBP began a preliminary investigation in March, the DSMC said. "Following its preliminary investigation, which included a site visit, there is a 'reasonable suspicion' that DTT imported into the United States merchandise subject to the AD order on diamond sawblades from China through evasion," said the trade group, which is made up of U.S. manufacturers. "As a result, CBP has determined that interim measures are warranted."

According to the DSMC, that means "merchandise from Thailand entered as not subject to the AD order will now be rate-adjusted to reflect that they are, indeed, subject to the order on diamond sawblades from China, and that cash deposits are owed on these entries." Also, CBP will require "live entry" for such goods and could suspend liquidation for merchandise entered on or after March 22, the DSMC said. The agency will also reliquidate at the adjusted rate, "to the extent possible," any entries that were already liquidated, the group said. CBP and DTT, which is based in Indianapolis, didn't immediately comment.

Domestic producers will "continue their efforts to ensure that the antidumping order is fully enforced," Wiley Rein lawyer Daniel Pickard said. "This is a substantial development for the U.S. diamond sawblades industry," said Pickard, who also noted CBP initiated interim measures only once before (see 1612190004). A CBP official recently said use of AD/CV duty evasion allegations under the Enforce and Protect Act have recently begun to increase (see 1705260007).

Email ITTNews@warren-news.com for a copy of CBP's notice of interim measures.