Judge Questions Use of AFA in Thermal Paper Case Before Oral Arguments

The Commerce Department should find that there was a gap in the official record and apply adverse inferences to German thermal paper exporter Koehler if the case is remanded, U.S. thermal paper makers Domtar and Appvion said in their Oct. 26 answers to the Court of International Trade's questions before upcoming oral arguments, scheduled for Nov. 1 (Matra Americas v. U.S., CIT # 21-00632).

Judge Gary Katzmann asked the two defendant-intervenors under what provision is "partial adverse facts available" defined and whether Commerce could be forced to use AFA if it found that Koehler's submissions were incomplete on remand, among other things.

Although “it may seem inconsequential” that Commerce classified Koehler’s interest expenses as a cost of production instead of an indirect selling expense, it dilutes the part of the expense attributed to the subject merchandise because cost adjustments were allocated across Koehler’s production of all products in all markets, Domtar and Appvion said.