Commerce Sets Over 760% AD Margin on Mattress Exporter After Resorting to Total AFA

The Commerce Department shifted to entirely relying on adverse facts available rates for antidumping duty respondent Saffron Living Co. on remand in a case on the AD investigation on mattresses from Thailand. The result is a 763.28% margin for Saffron and a 572.66% mark for all-other exporters, up considerably from 37.48% prior to the remand (Brooklyn Bedding v. United States, CIT # 21-00285).

Commerce issued the remand in response to an opinion from the trade court rejecting the agency's reliance on unverified data from Saffron (see 2307210031). The court said that using the data would "eviscerate the separate requirement" that Commerce verify all information relied on in making a final decision. Also remanded was Commerce's refusal to apply either transactions disregarded or major input rules due to Saffron's substantial affiliated-party transactions.

On remand, the agency completely bucked any reliance on Saffron's data, opting instead for total AFA. The agency said the move was justified given that the respondent "significantly impeded this proceeding." Since Saffron failed to cooperate to the best of its ability, the adverse inference is warranted, the remand results said. In using total AFA, Commerce took the highest possible adverse data and rate from the petition.