Litigation Challenges IEEPA Refund Process for Importers

David Craven, who represents Aditya Birla Chemicals USA Inc. and Pack Perfect Inc., has challenged the current IEEPA refund process before the U.S. Court of International Trade (CIT). The case, Aditya Birla Chemicals USA Inc. and Pack Perfect Inc. v. Trump, Court No. 26-00134, concerns the complexities arising when imports are also subject to antidumping and countervailing duties (AD/CVD). A Motion to Lift Stay and for Issuance of Order Clarifying Refunds was filed on July 28, asking the CIT to resolve a procedural conflict.

The core issue involves a procedural catch-22 where the Department of Commerce calculates certain antidumping margins by treating IEEPA duties as a cost because they have not yet been refunded. This conflicts with CBP’s current refund process, which may require the affected AD/CVD entries to liquidate before refunds can be issued.