Can I use this air fryer basket with a non-stick coating as a grill basket?
Nonstick vessels don't mix well with grills. First, it is likely to get overheated - I assume the basket is PTFE, which starts deteriorating at a little bit over 200 C (compatible with your fryer temp rating). Second, with grilling, you frequently have a situation where a tiny amount of oil (e.g. from a marinade) gets smeared on the rack (or basket, in this case) - that small amount then polymerizes in the heat and, on a nonstick surface, becomes a sad, useless version of cast iron seasoning.
If you really want to try grill baskets, search for a stainless steel solution, or try repurposing something else like a collander or steamer insert.
Also, note that we cannot answer your question on &quot;definitely dangerous, probably safe, or something else&quot;. Any potential health effects (or lack of those) of overheated teflon are off topic on the site.