Nucor Corp. v. United States
2025 CIT 27
Ct. Intl. Trade2025Background
- Nucor challenged the U.S. Department of Commerce's findings in the 2018 administrative review of the countervailing duty order on certain carbon and alloy steel cut-to-length plate from Korea, specifically regarding alleged subsidies received by POSCO.
- Commerce calculated a de minimis subsidy rate for POSCO and declined to initiate an investigation into Nucor’s claim that off-peak electricity was being provided at less than adequate remuneration (LTAR) by the Korean government.
- The case has gone through multiple remands, with the court repeatedly asking Commerce to clarify and properly evaluate whether off-peak electricity prices should be investigated separately from the broader time of usage electricity system.
- In its third remand, Commerce reiterated that Nucor had not provided information reasonably available to support its LTAR allegation as required by statute and regulations.
- Commerce also held that even if additional information was supplied, it was provided after relevant deadlines.
- The court sustained Commerce’s third remand decision, finding its analysis was supported by substantial evidence and consistent with the law.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Commerce used and applied the correct initiation standard for a subsidy investigation | Commerce’s initiation standard was unclear, inconsistent, and too demanding | Commerce articulated and applied the correct, statutory, evidence-based standard | Court held Commerce used the proper legal standard and supported its findings with evidence |
| Whether Nucor’s evidence was enough to trigger an off-peak electricity LTAR investigation | Nucor’s evidence met the threshold; off-peak prices should be viewed apart from whole system | Nucor’s evidence insufficient; must consider full time-of-usage system, not subset alone | Court agreed with Commerce: Nucor failed to provide sufficiently supported or targeted evidence |
| Whether Commerce should ignore timing and accept late evidence | Late evidence should be considered, given its relevance | Agency not required to consider new allegations or evidence submitted after deadline | Court did not reach this, as Commerce’s primary rationale was enough to sustain the result |
| Whether off-peak electricity pricing can be separately countervailed | Yes, as an independent program within the broader tariff structure | Must evaluate within the context of the overarching, market-consistent tariff schedule | Court held no need to isolate subset; KEPCO’s total system was found consistent with market principles |
Key Cases Cited
- RZBC Grp. Shareholding Co. v. United States, 100 F. Supp. 3d 1288 (Ct. Int'l Trade 2015) (standard for initiation of subsidy investigations; low threshold but requires support for all alleged elements)
- Delverde, SrL v. United States, 989 F. Supp. 218 (Ct. Int'l Trade 1997) (may require extra evidence of changed circumstances for previously reviewed programs)
- Nucor Corp. v. United States, 600 F. Supp. 3d 1225 (Ct. Int'l Trade 2022) (prior remand emphasizing need for clear application of initiation standards)
- Nucor Corp. v. United States, 653 F. Supp. 3d 1295 (Ct. Int'l Trade 2023) (requiring Commerce to address off-peak pricing allegations in proper market context)
- Nucor Corp. v. United States, 698 F. Supp. 3d 1310 (Ct. Int'l Trade 2024) (reiterating need for Commerce to explain standards and evidence for off-peak electricity)
