CBP to Pay Over $490K to Settle Case Demanding Refund of Excess AD Cash Deposits

CBP will pay importer Marubeni-Itochu Steel America $494,902.80 to resolve the company's lawsuit, which said the agency failed to refund excess antidumping duty cash deposits. Per the Sept. 11 stipulated judgment, Marubeni will drop its claims against the government (Marubeni-Itochu Steel America v. U.S., CIT # 23-00004).

The importer brought the suit in January, arguing that CBP violated the Administrative Procedure Act when it failed to suspend liquidation of the entries, hold the cash deposits in suspense and issue a prompt refund (see 2301060064).

In 2016, the Marubeni entered four shipments of steel sheet from Japan. In 2017, the importer alerted CBP that it mistakenly failed to deposit AD cash deposits and asked the agency to change the entry type of goods from Type 01 (Consumption) to Type 03 (Consumption - AD/CVD). The company also submitted over $570,000 in cash deposits. Following two AD reviews, the actual dumping rate for the company was lower than the cash deposit rate. However, CBP did not issue the refunds, prompting the suit.