Commerce sets China dumping duties at 19% to 88%

WASHINGTON — The Commerce Department’s International Trade Administration (ITA) has set preliminary antidumping duties on passenger and light truck tires imported from China at 19.17 percent to 87.99 percent, with rates for many of the better-known producers/brands set at 27.72 percent.

The rates were disclosed by the ITA in an “affirmative preliminary determination” in its antidumping duty investigation of Chinese imports. The agency said it would announce its final determination in the antidumping case on or about June 12.

The preliminary China-wide rate for Chinese tire exporters and producers was 87.99 percent, Commerce said. Giti Tire Global Trading Pte. Ltd. and its subsidiaries were found to have a dumping rate of 19.17 percent, and Sailun Group Co. Ltd. and its subsidiaries and affiliates, including Husky Tire Corp., were levied a dumping rate of 36.26 percent, the agency said.

Commerce found 65 “Separate Rate Companies” to have dumping margins of 27.72 percent. These companies included well-known companies such as Cooper Tire & Rubber Co., Bridgestone Corp., Goodyear Dalian Tire Co. Ltd., Hankook Tire China Co. Ltd., Kenda Rubber (China) Co. Ltd., Kumho Tire Co. Inc., Pirelli Tyre Co. Ltd., Qingdao Sentury Tire Co. LTd., Shandong Linglong Tyre Co. Ltd., Toyo Tire (Zhangjiagang) Co. Ltd. and Triangle Tyre Co. Ltd.

Commerce defines dumping as occuring when a foreign company sells a product in the U.S. at less than its fair value.

Commerce is instructing U.S. Customs and Border Protection to require cash deposits from Chinese tire exporters, based on these preliminary rates.

ST-type trailer tires and other specialty tires are exempted from the duties, Commerce said.

The International Trade Commission is expected to make its final determination on whether the dumped tires caused material injury to the U.S. tire industry in July 2015. If both Commerce and the ITC make final affirmative determinations in the case, the antidumping duties will become official.

The United Steelworkers union filed petitions with the ITC in June 2014, asking for antidumping and countervailing duties against Chinese passenger and light truck tires under Sections 701 and 731 of the Trade Act.

Commerce made a preliminary affirmative determination in the countervailing duty case last Nov. 24, setting preliminary countervailing duties for most producers at 15.29 percent. Later, however, the agency reduced that rate to 12.03 percent.

– Tire Business