International Trade Today Notes Partner Michael Coursey’s Success in Funneling Schemes Review
Partner Michael Coursey was mentioned in the International Trade Today article “Alleged ‘Funneling’ in Recent AD Duty Review Highlights Need for Importer Care, Say Lawyers.” The article discusses how increased use of Chinese data to verify the true exporter of merchandise could make it tougher for Chinese exporters to engage in “funneling” schemes used to enter product at lower antidumping and countervailing duty cash deposit rates. The longstanding use of “funneling” involves one Chinese exporter using another exporter’s lower cash deposit rate by falsely claiming the latter exported the goods.
During a recently completed review covering fresh garlic from China, Mr. Coursey, who represents the domestic Fresh Garlic Producers Association, obtained Chinese export data on garlic that revealed huge discrepancies. This use of Chinese export data was the key to his case. “The information from Chinese customs really presents a source of information for corroborating or challenging the volumes specific exporters are claiming to have shipped to the U.S. in connection with annual administrative reviews of AD orders,” he explained.