Opinion
This case is before the Court on a motion for judgment upon the agency record pursuant to USCIT R. 56.2. Plaintiff Gerald Metals, Inc. (“Gerald Metals”) brings this action under section 516A of the Tariff Act of 1930 for review of the final affirmative determination of the United States International Trade Commission (“Commission”) that less-than-fair-value (“LTFV”) imports of pure magnesium from Ukraine are causing material injury to the domestic industry. 1 Magnesium from China, Russia, and Ukraine, 60 Fed. Reg. 26,456-57 (Int’l Trade Comm’n, May 17 1995) (final). The Commission’s opinion is *932 set forth in Magnesium from China, Russia, and Ukraine, USITC Pub. 2885, Inv. Nos. 731-TA-696-698 (May 1995) (“Determination”). 2 The Court exercises its jurisdiction pursuant to 28 U.S.C. § 1581(c) (1994) and affirms the Commission’s finding of material injury.
BACKGROUND
On March 31, 1994, Magnesium Corporation of America, International Union of Operating Engineers, Local 564, and United Steelworkers of America, Local 8319, filed an antidumping petition under section 773 of the Tariff Act of 1930, as amended, 19 U.S.C. § 1677b (1988), 3 alleging material injury by reason of LTFV imports of pure and alloy magnesium from China, Russia, and Ukraine. In its preliminary determination, the Commission found reasonable indication of material injury to an industry in the United States because of imports of magnesium from the subject countries. 4 On June 22, 1994, The Dow Chemical Company (“Dow”) joined the petitioners.
The United States Department of Commerce, International Trade Administration (“Commerce”) issued preliminary determinations that imports of magnesium from the three subject countries were being sold at less than fair value within the meaning of section 733(b) of the Tariff Act of 1930, as amended, 19 U.S.C. § 1673b(b) (1988). The Commission then instituted its final investigations. 5 On March 30, 1995, Commerce published final determinations of LTFV sales for imports of magnesium from all three subject countries. 6
On May 17, 1995, the Commission published its final determinations in its investigations of imports of pure and alloy magnesium. 7 The Commission determined that the domestic pure magnesium industry was materially injured by reason of LTFV imports of pure magnesium from China, Russia, and Ukraine. 8 Three commissioners, Chairman *933 Watson, Vice Chairman Nuzum, and Commissioner Crawford dissented, and each filed dissenting views. The Commission also unanimously determined that the domestic alloy magnesium industry was not materially injured or threatened with material injury by reason of LTFV imports of alloy magnesium from China and Russia. 9
This action presents the following issues:
1. Whether the Commission considered the existence of fairly-traded imports of pure magnesium from Russia, available to domestic consumers at prices comparable to those of LTFV imports, and whether the existence of such fairly-traded imports should have precluded a finding that dumped imports were a cause of injury to the domestic industry?
2. Whether the Commission properly determined that Dow closed one of its magnesium plants because of the subject imports?
3. (a) Whether the Commission properly decided to close the period of investigation in June 1994 when the subject imports decreased?
(b) Whether the tight supply conditions which occurred in the domestic market during 1994 and the first quarter of 1995 preclude a finding of present material injury to the domestic industry by reason of subject imports?
Standard Of Review
The Court will uphold a Commission determination in an antidumping investigation unless it is “unsupported by substantial evidence on the record, or otherwise not in accordance with law_” 19 U.S.C. § 1516a(b)(l)(B)(i) (1994).' Substantial evidence is “such relevant evidence as a reasonable mind might accept as adequate to support a conclusion.”
Consolidated Edison Co. v. NLRB,
Discussion
1. Did the Commission consider fairly-traded imports from Russia, and does their existence preclude a finding of material injury?
Vice Chairman Nuzum, in her dissenting views, found that “a sizeable portion of the imports from Russia were fairly traded. These imports undersold domestic product almost as frequently as did LTFV imports.” 10 Similarly, dissenting Commission *934 er Crawford noted that “[d]umped Russian imports and fairly traded Russian imports are very close, if not perfect, substitutes.” 11
Plaintiff contends that the Commission did not consider fairly-traded imports of pure magnesium from Russia, nor their impact on the domestic market. Plaintiff avers that record evidence shows that such imports were no different from the dumped Russian imports in product quality, price, terms, and conditions of sale. 12 The only difference between fairly-traded Russian imports and LTFV Russian imports is that they are not traded by the same trading companies; some trading companies were assigned zero margins and others were assigned a margin of 100.25 percent. 13 Plaintiff argues that if LTFV Russian imports had been removed from the domestic market, then fairly-traded Russian imports would have expanded to fill the market share left by LTFV Russian imports. Consequently, plaintiff claims, even in the absence of LTFV imports, the injury to the domestic industry would have been the same.
The thrust of plaintiffs argument is that there is no causal nexus between LTFV imports from Ukraine and material injury to the domestic industry. LTFV imports from China, Ukraine and Russia were found to' compete directly in the market, and to be close substitutes. Plaintiff maintains that, absent any LTFV imports, domestic consumers would have purchased fairly-traded Russian imports, which would have replaced LTFV imports from China and Ukraine in the same way they would have replaced LTFV Russian imports. 14 This demonstrates, according to plaintiff, that subject imports did not cause any material injury to the domestic industry. 15 Instead, plaintiff complains, the Commission erroneously concluded that domestic product would have replaced all the subject imports. 16
Defendant preliminarily objects that this claim was not raised before the Commis
*935
sion, and that plaintiff is estopped from raising it.
17
However, the rule of exhaustion of administrative remedies is neither absolute nor inflexible,
see
28 U.S.C. § 2637(d) (1994) (the court “shall,
where appropriate,
require the exhaustion of administrative remedies”) (emphasis provided). Various exceptions have been articulated by this court. In this ease, the Court will entertain the claim because the agency had an opportunity to consider the issue.
Holmes Products Corp. v. United States,
On the merits, the Commission correctly considered volume/price effects of LTFV imports, after the data reflecting fairly-priced imports had been separated from the data on LTFV imports. 20 The Commission found material injury by reason of LTFV imports.
Record evidence supports the fact that the Commission did consider the fairly-traded imports. As noted above, the issue was discussed at the Commission’s hearing. Upon request by some Commissioners, the Office of Investigations transmitted to the Commission a memorandum which explained the result of the investigation with regard to fairly-traded Russian imports. 21 Moreover, the Commission is presumed to have considered all relevant evidence on the administrative record. 22 The Commission considered the presence and effects of fairly-traded Russian imports; therefore, its determination is in accordance with law 23
*936 Plaintiff relies on the assumption that fairly-traded Russian imports would replace all or the greatest part of the subject imports. The record shows no evidence supporting this claim. 24 The Commission found that subject imports from different countries competed with each other and with like domestic products, and the Commission cumulatively assessed the volume and effect of those imports. 25 The Commission evaluated all relevant economic factors regarding the imports, and found that LTFV imports of pure magnesium from China and Ukraine were not negligible and had a diseernable adverse impact on the domestic industry. 26 The investigations reported rapid and significant increase in the volume of LTFV imports, persistent underselling by the LTFV imports, decline in the domestic industry’s production and sales, loss of the domestic industry’s market share, and poor financial condition of the domestic industry during the period of investigation. 27 Substantial evidence on the record corroborates the Commission’s determination that the domestic industry was materially injured by reason of the LTFV imports from Ukraine.
Contrary to plaintiffs representation, the Commission did not conclude that “all subject imports eliminated from the domestic market would have been replaced with domestic product.” 28 Rather, the Commission established that “U.S. producers should have been able to raise their prices for pure magnesium without sacrificing a significant amount of sales volume.” 29 Even though fairly-priced imports may have been another cause of injury, the Commission has a statutory obligation not to weigh causes. 30 Thus, it correctly did not compare the impact of subject imports to the impact of other factors, like the fairly-traded imports.
The foregoing discussion also answers plaintiffs argument that the imposition of antidumping duties in this ease would not be remedial, but penal. 31 To the extent that antidumping duties afford a prospective relief to the domestic industry, which would otherwise be further injured by the LTFV imports, the Commission’s determination is *937 in accord with the remedial purpose of the statute. 32
2. Is the Commission’s determination that Dow closed one of its plants because of the subject imports supported by substantial evidence, and otherwise in accordance with law?
The Commission found that the domestic producers’ market share declined from 1992 to 1993 while the volume and market share of the LTFV imports increased. 33 Domestic producers lowered their prices in order to maintain production volumes. 34 However, one producer, Dow, reconsidered its plan to restructure one of its plants, and instead decided to shut it down. 35
Plaintiff claims that the Commission’s determination should be reversed 36 or, alternatively, remanded 37 for further fact finding on the reasons for the Dow plant closure. Plaintiff contends that the Commission’s conclusion that the LTFV imports were responsible for Dow’s closure of the plant is not supported by substantial evidence on the record. Such conclusion, plaintiff ’ argues, is only supported by statements offered by a witness at the hearing 38 and by petitioners in their posthearing brief, 39 to which Chairman Watson gave “little credence.” 40
Plaintiff claims that Dow’s decision, instead, was based on long-term market considerations. Press releases issued by Dow at the time of the plant closing did not mention the subject imports as the cause of the closing. Moreover, plaintiff alleges that Dow never complied with the Commission’s request to provide evidence 41 supporting the claim that Dow’s decision to close plant B was caused by the impact of the subject imports. 42 Dow’s failure to provide the requested additional evidence is, according to plaintiff, a sufficient basis for drawing an adverse inference against Dow. 43 In addition, the Commission could have reached a different determination based on the best information available (“BIA”). 44 Plaintiff *938 concludes that the Commission thus erred in finding that the plant shutdown supported a material injury determination. 45 The Court finds these arguments unpersuasive.
Factual findings based on the analysis of the volume and impact of the subject imports support the Commission’s conclusion regarding Dow’s shutdown. The Commission found that “[o]ne producer, Dow Chemical, reacted to the loss in market share to the LTFV imports,
among other factors,
by shutting down one of its plants....”
46
Thus, the Commission’s finding does not rest only on the testimony of Dow’s manager.
47
Even the authorities cited by the plaintiff
48
recognize that the Commission has discretion to accept or reject testimony. Although different conclusions could be drawn about the causation of Dow’s shutdown, the possibility of reaching two inconsistent conclusions from the same evidence does not prevent the Commission’s finding from being supported by substantial evidence.
Consolo,
“The question is not whether the Commission might have obtained additional information, but whether its determinations are supported by substantial evidence and
*939
are in accordance with law.”
Stalexport and Huta Czestochowa v. United States,
19 CIT -,
The Court concludes that the record, viewed as a whole, contains substantial evidence supporting the Commission’s determination that Dow’s decision to close its plant B was caused by the subject imports, among other factors, and that Dow’s closing was only one of the many indicia of adverse impact on the domestic industry.
3. Is the Commission’s determination of present material injury supported by substantial evidence, and otherwise in accordance with law?
The Commission made a positive injury determination regarding the Ukrainian imports of pure magnesium at issue. Plaintiff avers that there is no present injury because the subject imports decreased after June 1994, while the Commission did not reach its determination until April 1995.
In an antidumping investigation, the Commission determines whether an industry in the United States is materially injured, or is threatened with material injury, by reason of imports which Commerce has determined to be sold at LTFV. 19 U.S.C. § 1673d(b)(l) (1988). The statute defines material injury as a “harm which is not inconsequential, immaterial, or unimportant.” 19 U.S.C. § 1677(7)(A) (1988). Among the relevant economic factors for the Commission to consider are the volume of the subject imports, their effect on prices of that merchandise or like products, and their impact on domestic producers of like products. 19' U.S.C. § 1677(7)(B).
The volume and the value of LTFV imports increased from 1992 through the first half of 1994. 55 Then, the LTFV imports virtually stopped. 56 Plaintiff contends that there could not be present injury because of such decrease in imports. The Commission, however, attributed the virtual cessation of LTFV imports after June 1994 to its preliminary affirmative determination in May 1994. 57
Plaintiff avers that the decision to close the period of investigation on June 1994 was error. Plaintiff argues that the substantial decrease in imports during 1994 was caused by the liquidation of the Soviet military stockpile of magnesium, by Ukrainian power shortages, by a decision of the Ukrainian government to allocate more magnesium production for domestic consumption, and by more attractive selling terms in other parts of the world. Another cause was the loss of duty-free treatment effective July 1, 1994, 58 which resulted in the imposition of the regular duty rate of 8.00 percent ad valorem.
Plaintiff indicates that even though fairly-traded imports were not subject to antidump-ing duties they also declined during 1994, and their volume followed a pattern similar to that of LTFV imports. Plaintiff asserts that all these economic data should rebut the presumption that the decrease in LTFV imports was caused by the imposition of anti- *940 dumping duties. 59 Finally, plaintiff claims that no record evidence supports the presumption that imports stopped due to the investigations, nor has the Commission provided an explanation for its presumption. 60 Consequently, plaintiff contends that the required determination of present material injury was erroneous.
Maintaining that the material injury must exist “at the time of the Commission’s final determination,”
Norwegian Salmon I,
This court has held that the Commission has discretion to choose “the most appropriate period of time for its investigation.”
Saarstahl AG v. United States,
The Court recognizes that the Commission also considered most of the arguments which pointed to causes other than the initiation of antidumping investigations. The Commission found that prices in Europe were not higher than prices in the United States. 68 The Commission also found that magnesium from the Soviet stockpile was imported “over most of the period of investigation and hardly constitute^] a one-time or short-lived occurrence.” 69 The investigation showed no relation between the depletion of the Soviet stockpile and the decline in imports. In any case, during the time when stockpile magnesium was imported, newly-produced Ukrainian and Russian pure magnesium was also being imported. 70
The Court also finds unpersuasive plaintiffs argument that the change in tariff treatment caused the decline in imports. Russian imports began in the third quarter of 1992. 71 Russia did not receive Generalized System of Preferences (“GSP”) status until September 30, 1993. 72 Consequently, GSP benefits had no effect on the volume of imports. Moreover, Ukraine did not benefit from GSP status. Thus, Russia’s loss of GSP status cannot ■ explain the cessation of imports from Ukraine at the same time.
Plaintiffs last argument that fairly-traded Russian imports stopped at the same time LTFV imports stopped is also unpersuasive. At the time Commerce initiated its investigations in March 1994, it did not distinguish fairly-traded imports from LTFV imports. 73 Such distinction was reached in March 1995 with Commerce’s final determination. Therefore, when the imports stopped in June 1994, all imports were potentially subject to suspension of liquidation because potentially subject to a final affirmative determination.
The defendant Commission admits that its decision did not address every possible argument, e.g., the Ukrainian power shortage, or the change in Ukrainian govern-
*942
xiient policies.
74
The Commission, however,is presumed to have considered all evidence,
Granges Metallverken,
Finally, as defendant notes, the statute does not require that injury be caused by imports entered at the time of the Commission’s determination.
75
Plaintiffs argument about the exclusion of any present injury because of the 1994 domestic supply shortages is flawed, because it confuses the cause with the effect. Such shortages were caused by a decrease in domestic capacity which, in turn, was caused by the subject imports. Tight supply conditions were the results of the injury to the domestic industry, including loss of productive capacity.
76
Moreover, the effects of LTFV imports may be latent.
Saarstahl,
The Commission considered the impact of the subject imports on the domestic industry. 77 The legislative history recognizes that adverse effects may become manifest over a long term. 78 The Commission found that this is especially true in the ease of the magnesium industry, where injury may be experienced over a long term because of the nature of magnesium operations and the high cost of rehabilitating electrolytic cells once they have been shut down. 79 Consequently, the Commission’s affirmative determination of present material injury is supported by substantial evidence on the administrative record, and otherwise in accordance with law.
Conclusion
The Commission’s affirmative determination of material injury is supported by substantial evidence on the administrative record, and otherwise in accordance with law. Accordingly, plaintiffs motion for judgment upon the agency record is denied and this action is dismissed.
Judgment
This case having been submitted for decision and the Court, after due deliberation, having rendered a decision herein; in conformity-with said decision, it is hereby
ORDERED that plaintiffs motion for judgment upon the agency record is denied in all respects; and it is further
*943 ORDERED that the International Trade Commission’s final determination of material injury in Magnesium from China, Russia, and Ukraine, USITC Pub. 2885, Inv. Nos. 731-TA-696-698 (May 1995) is sustained; and it is further
ORDERED that this action is dismissed.
Notes
. Gerald Metals is a metals trading company which imports, among other products, pure magnesium from Russia and Ukraine into the United States.
. List 1, Doc. 106; List 2, Doc. 42. List 1 consists of the documents within the public portion of the record made before the Commission. List 2 consists of the documents within the confidential portion of the same record.
. The Uruguay Round Agreement Act ("URAA''), Pub.L. No. 103-465, tit. II, 108 Stat. 4809, 4842 (1994), amended the antidumping laws. These amendments, however, do not apply to investigations initiated before January 1, 1995, id. at § 291(a)(2), (b), which are thus regulated by the pre-existing law. Accordingly, this Court refers to the antidumping statute in effect prior to January 1, 1995. For simplicity, the Court speaks in the present tense when referring to the preexisting statute.
. Magnesium From the People's Republic of China, Russia, and Ukraine, 59 Fed.Reg. 27,297 (Int'l Trade Comm’n, May 26, 1994) (preliminary). However, in its preliminary determination the Commission excluded imports of alloy magnesium from Ukraine.
. Magnesium from the People’s Republic of China, Russia, and Ukraine, 59 Fed.Reg. 63,105 (Int'l Trade Comm’n, December 7 1994) (notice).
. Notice of Final Determinations of Sales at Less Than Fair Value: Pure Magnesium from Ukraine, 60 Fed.Reg. 16,432 (March 30, 1995); Notice of Final Determinations of Sales at Less Than Fair Value: Pure Magnesium and Alloy Magnesium From the People’s Republic of China, 60 Fed.Reg. 16,437 (March 30, 1995); Notice of Final Determinations of Sales at Less Than Fair Value: Pure Magnesium and Alloy Magnesium From the Russian Federation, 60 Fed.Reg. 16,440 (March 30, 1995).
Commerce assigned margins ranging from 79.87 to 104.27 percent to subject imports from Ukraine, from zero to 100.25 percent to subject imports from Russia, and 108.26 percent to subject imports from China. Sales of Russian pure and alloy magnesium through Gerald Metals were assigned a LTFV margin of zero.
. Magnesium from China, Russia, and Ukraine, 60 Fed.Reg. 26,456-57 (Int'l Trade Comm’n, May 17, 1995) (final).
. Id. at 18-22. Pure magnesium encompasses: (1) products that contain at least 99.95 percent primary magnesium, by weight (generally referred to as "ultra pure” magnesium); (2) products containing less than 99.95 percent but not less than 99.8 percent primary magnesium, by weight (generally referred to as "pure” magnesium); and (3) products (generally referred to as “off-specification pure” magnesium) that contain 50 percent or greater, but less than 99.8 percent primary magnesium, by weight, and that do not conform to ASTM specification for alloy magnesium. "Off-specification pure” magnesium is pure primary magnesium containing magnesium scrap, secondary magnesium, oxidized magnesium or impurities (whether or not intentionally added) that cause the primary magnesium content to fall below 99.8 percent by weight. It generally does not contain, individually or in combination, 1.5 percent or more, by weight, of *933 tive following alloying elements: aluminum, manganese, zinc, silicon, thorium, zirconium, and rare earths. Id. at 3 n. 3, and 6. Pure magnesium is provided for in subheading 8104.11.00 of the Harmonized Tariff Schedule of the United States (“HTSUS”).
. Id. at 23-26. Gerald Metals does not seek review of this determination.
Alloy magnesium contains 50 percent or greater, but less than 99.8 percent, primary magnesium, by weight, and one or more of the following: aluminum, manganese, zinc, silicon, thorium, zirconium, and rare earths, in amounts which, individually or in combination, constitute not less than 1.5 percent of the material, by weight. Products that meet the aforementioned description but do not conform tó ASTM specifications for alloy magnesium are not included in the definition of alloy magnesium. In addition to primary magnesium, alloy magnesium may contain magnesium scrap, secondary magnesium, or oxidized magnesium in amounts less than the primary magnesium itself. Id. at 3 n. 4, and 6-7. Alloy magnesium is provided for in subheading 8104.19.00, HTSUS.
. Determination at 35 (Vice Chairman Nuzum, dissenting views) (citing Table 24, CR at 1-45, PR at 1-26; Table 25 and 26, CR at 1-57, 1-60, PR at 1-31-32) (List 1, Doc. 106).
. Determination at 45 (Commissioner Crawford, dissenting views) (List 1, Doc. 106).
. Reporting from Commissioner Crawford’s dissenting view, Determination at 45 (List 1, Doc. 106).
. Commerce assigned zero margins to pure magnesium imported through trading companies who submitted sufficient responses, and a margin of 100.25 percent to all other trading companies who did not respond, cooperate or have sales during the period of investigation. Memorandum INVS-055 (List 2, Doc. 36). See also Determination at 47 (Commissioner Crawford, dissenting views) (List 1, Doc. 106).
. Determination at 20 (List 1, Doc. 106). “CI]here is no apparent reason why LTFV pure magnesium from China and Ukraine, if removed from the domestic market, would not also have been replaced with fairly-traded Russian magnesium.” Plaintiff’s Brief in Support of Rule 56.2 Motion at 23.
. Even if the Russian fairly-traded imports would have replaced only the Russian LTFV imports, Gerald Metals argues that there would be no impact from subject imports because the volume of subject imports from China and Ukraine is not significant.
. Plaintiff's argument follows the one-step analysis, which recreates what the industry would look like in the absence of the LTFV imports, and then compares that situation to the domestic industry as it exists. This analysis isolates the effects of the subject imports from other factors which might be causing injury to the domestic industry.
See generally U.S. Steel v. United States,
Plaintiff does not claim that the one-step analysis should apply, but that consideration of the one-step analysis reveals a fundamental flaw in the Commission plurality's treatment of causation, i.e., the industry would have been the same had the LTFV imports not been present. (Plaintiff's Reply Brief at 6.) Defendant-intervenors claim that plaintiff's argument about the outcome of a one-step analysis is weakened by the Final Economic Memorandum, a part of the administrative record which utilized the one-step analysis, and reached the same causation conclusion as the final determination.
It is within the Commission's discretion to choose a reasonable causation analysis.
See Negev Phosphates, Ltd. v. United States Department of Commerce,
. Defendant cites
Ceramica Regiomontana
S.A. v.
United States,
. See Transcript of Proceedings at 120-30 (List 1, Doc. 73).
. Determination at 28-29 (dissenting views of Chairman Watson) (List 1, Doc. 106); id. at 35-36 (dissenting views of Vice Chairman Nuzum); id. at 42, 44-50 (dissenting views of Commissioner Crawford).
.
Staff Report,
Tables 23 and 24 (List 2, Doc. 37 at 1 — 46-49).
See Algoma Steel Corp. v. United States,
. Memorandum INVS-055 (List 2, Doc. 36).
. Lack of discussion of issues does not mean that the Commission failed to consider them.
Grupo Indus. Camesa v. United States,
. At oral argument, Gerald Metals contended that, under
USX Corp. v. United States,
. Indeed, the LTFV imports at issue here are from Ukraine, whereas plaintiff’s hypothetical centers on the Russian imports. Even in a perfectly competitive market, producers and consumers' decisions are driven not only by the quality and price of the product itself (which in this case is proven to be more or less the same in Ukraine and in Russia) but also by other considerations. For example, the Commission found in the purchasers' questionnaire responses that their decision from whom to purchase is influenced by various factors, like contract terms, service, warranties, sales techniques, delivery, credit terms, etc. See Determination at 1-33 (List 1, Doc. 106); Conf. Determination at 1-63 (List 2, Doc. 42). Plaintiff's argument assumes that a producer would automatically switch to different importers trading at fair value in the same way as domestic consumers would automatically switch to different trading companies in buying pure magnesium. Plaintiff's assumption is not persuasive, not only because it is not verified, but also because it is contradicted by the record.
. Determination at 15-16 (List 1, Doc. 106). See 19 U.S.C. § 1677(7)(C)(iv) (1988).
.
Id. See
19 U.S.C. § 1677(7)(C)(v) (1988).
See also Metallverken Nederland B.V. v. United States,
. Determination at 19-22 (List 1, Doc. 106).
. Plaintiff's Brief at 23. At oral argument, plaintiff reiterated this assertion.
. Determination at 22 (citing Economic Memorandum at 14-15) (List 1, Doc. 106).
.
See
S.Rep. No. 249, 96th Cong., 1st Sess. 57 (1979); H.R.Rep. No. 317, 96th Cong., 1st Sess. 46^-7 (1979).
See also Encon Industries, Inc. v. United States,
. See Plaintiff's Reply Brief at 8-9, reiterated at oral argument.
.
Chaparral Steel Co. v. United States,
. Determination at 22 (List 1, Doc. 106).
. Id. The Commission found that producers must keep the electrolytic cells used in the production of magnesium in constant operation. If the cells are not kept running constantly, they deteriorate and must be rebuilt, which is very expensive. Id. at 10-11.
. Id. at 22.
. Plaintiff cites
American Spring Wire Corp. v. United States,
. Plaintiff cites
USX Corp. v. United States,
. Transcript of Proceedings at 31-33 (List 1, Doc. 73).
. Petitioners' Posthearing Brief, Appendix B at 28-29 (List 2, Doc. 29).
.
Determination
at 30 (Views of Chairman Watson, dissenting) (List 1, Doc. 106). Plaintiff relies on
USX Corp. v. United States,
. Transcript of Proceedings at 220 (List 1, Doc. 73) (reported at 236 in plaintiff's copy, Doc. 5, Public Appendix to Plaintiff's Brief).
. Id. at 31-32 (List 1, Doc. 73). .
. Plaintiff relies on
Alberta Pork Producers’ Marketing Board v. United States,
.
Atlantic Sugar, Ltd. v. United States,
. Determination at 22 (List 1, Doc. 106). Plaintiff claims that Dow could not distinguish between fairly-traded Russian imports and LTFV imports at the time it decided to close the plant, and its account of the reasons that led to that decision is therefore flawed. (Plaintiff’s Reply Brief at 11.)
.
Determination
at 22 (List 1, Doc. 106) (emphasis provided). Import volume and pricing data corroborate Dow's assertions that the subject imports were gaining market share. Moreover, as defendant-intervenors correctly point out, other factors may well have influenced Dow’s decision. Nevertheless, the prerequisite of causation is satisfied if the "imports contribute, even minimally, to the conditions of the domestic industry, and the Commission is precluded from weighing causes.”
Grupo Indus. Camesa v. United States,
. In any case, it is for the ITC to assess the credibility of witnesses.
Negev Phosphates, Ltd. v. United States Department of Commerce,
As consistently held by the Court of Appeals for the Federal Circuit, even if the administrative record contains evidence which detracts from the evidence relied upon by the Commission, it is not for the court to decide whether it would have reached the same decision reached by the Commission. The role of the court is limited to a narrow standard of review.
Matsushita,
.
Metallverken Nederland,
. Dow's Post-Hearing Brief at 31-32 (response to Question 7), (List 2, Doc. 29). Defendant-intervenors note that the evidence supports the conclusion that it was the anticipated long-term presence of imports that forced Dow to shut down plant B. Transcript of Proceedings at 31-32 (List 1, Doc. 73, App. 5). It would not have been rational to shut down the plant in the presence of a short-term occurrence, because restarting a closed production plant is very expensive, and cells must be kept in constant operation. Determination at 10-11 (List 1, Doc. 106, App. 2).
. Dow’s Post-Hearing Brief (List 2, Doc. 29, Exhibit 3).
.
Chung Ling,
. Determination at 22, Conf. Determination at 36 (List 1, Doc. 106; List 2, Doc. 42).
. Determination at 20-21 (List 1, Doc. 106).
. Determination at 22 (List 1, Doc. 106).
. Determination at 19, and references to tables ibidem (List 1, Doc. 106); Memorandum INV-S-056 (April 26, 1995) (List 1, Doc. 102).
. Determination at Table 24, 1-24 (List 1, Doc. 106), Conf. Determination at 1-46 (List 2, Doc. 42); Memorandum INV-S-056 (List 1, Doc. 102) (attaching additional information as requested by Commissioner Bragg: 1994 monthly imports, by country, in metric tons, for pure magnesium; the imports from Ukraine stopped in May, the imports from China and Russia stopped in June; Chinese imports were reported again, in regular quantities, in September and October).
.
Determination
at T9 n. 119 (citing
Metallverken Nederland,
. Notice that Certain Imports from Russia Have Exceeded the GSP Competitive Need Limits, 59 Fed.Reg. 15,247 (U.S.Trade Rep.1994).
.
Chr. Bjelland Seafoods A/C v. United States,
.
Norwegian Salmon I,
Bowman Transportation,
one of the cases relied upon in
Norwegian Salmon I,
applied the "arbitrary and capricious” 'standard. The Supreme Court indicated that "[t]he agency must articulate a ‘rational connection between the facts found and the choice made.' ”
Bowman Transportation,
.
See also Chr. Bjelland Seafoods A/S (Now Norwegian Salmon A/S) v. United States,
slip op. 95-5 at 21,
. Plaintiff cites
Chaparral Steel Co. v. United States,
. Gerald Metals acknowledges that Dow’s shutdown and the consequent decrease in domestic capacity caused the supply shortages that occurred in 1994 and early 1995. (Plaintiff's Memorandum at 25.)
.
Saarstahl
explained
Norwegian Salmon I
as advocating the use of information as contemporaneous as possible, without overlooking, however, the existence of latent effects of a present injury.
Id.
. This pattern supports the presumption that the imports ceased because of the preliminary determination, and immediately prior to the first date on which retroactive duties could have been assessed. (Magnesium's Brief at 19.) See 19 U.S.C. § 1673b(a) (1988).
. Determination at 19, n. 119 (List 1, Doc. 106); Conf. Determination at 30, n. 155 (List 2, Doc. 42).
.
Kern-Liebers USA, Inc. v. United States,
19 CIT -, slip op. 95-9 at 35,
. Determination at 19, n. 119 (List 1, Doc. 106); Conf. Determination at 30, n. 115 (List 2, Doc. 42) (citing Memorandum INV-S-055, List 1, Doc. 95; List 2, Doc. 36).
. Determination at 20 (List 1, Doc. 106), Conf. Determination at 32 (List 2, Doc. 42). Plaintiff's testimony at the hearing indicated that the stockpiles were depleted at the end of 1993. Transcript of Proceedings at 192 (List 1, Doc. 73). Defendant-intervenors contend that, if there was any relation between the depletion of the Soviet stockpile and the subject imports, the halt in imports should have occurred in late 1993. (Magnesium’s Brief at 20.)
. Determination at 15-16 (List 1,' Doc. 106), Conf. Determination at 24 (List 2, Doc. 42). Transcript of Proceedings at 192-93 (List 1, Doc. 73).
. Transcript of Proceedings at 43 (testimony of Dr. Kenneth R. Button). Indeed, the Russian Federation received most favored nation ("MFN”) treatment effective June 17, 1992 (57 Fed.Reg. 27,840) (June 22, 1992). Ukraine received MFN treatment effective June 23, 1992 (57 Fed.Reg. 28,771) (June 26, 1992).
. Proclamation No. 6599: To Amend The Generalized System of Preferences, 58 Fed.Reg. 51,561 (October 1, 1993) (attached as Exhibit 7 to Petitioners' Posthearing Brief, in List 2, Doc. 29).
. In initiating its investigations, Commerce announced proposed dumping margins of 40.15% and higher for pure magnesium from the subject countries. Initiation of Antidumping Duty Investigations: Pure and Alloy Magnesium from the People’s Republic of China, the Russia Federation, and Ukraine, 59 Fed.Reg. 21,748-50 (April 26, 1994).
. Defendant-intervenors contend that the power problem at a production plant in Ukraine, which plaintiff's testimony reported as occurring in late February until the beginning of April, does not explain the halt in Russian imports. (Magnesium's Brief at 21.)
. Defendant notes that in the case cited by plaintiff,
Chaparral Steel Co. v. United States,
. Defendant-intervenors submit that the volume of domestic production relative to domestic demand is not the sole measure of injury. The Commission is not required to consider the industry's ability to meet domestic demand. 19 U.S.C. § 1677(7). Rather, it must consider the volume of subject imports and any increase relative to domestic production or consumption. 19 U.S.C. § 1677(7)(B), (C)(i). Then, it must consider if underselling exists, and whether imports otherwise suppress and depress prices. 19 U.S.C. § 1677(7)(C)(ii). The Commission must also consider all other relevant economic factors. 19 U.S.C. § 1677(7)(C)(iii).
. 19 U.S.C. § 1677(7)(C)(iii)(III), (TV) (1988). Factors to consider include output, sales, inventories, capacity utilization, market share, employment, wages, productivity, profits, cash flow, return on investment, ability to raise capital, research and development. All factors are to be considered "within the context of the business cycle and conditions of competition that are distinctive to the affected industry.” Id.
. S.Rep. No. 71, 100th Cong., 1st Sess. 117 (1987).
. Determination at 10-11, 22 (List 1, Doc. 106).
