Labor Union Seeks New AD/CV Duties on Truck and Bus Tires From China
The United Steelworkers filed a petition on Jan. 29 with the Commerce Department and International Trade Commission requesting new antidumping and countervailing duties on truck and bus tires from China. The labor union says a rising tide of truck and bus tire imports from China is undercutting U.S. prices and taking market share from domestic producers.
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According to the petition, Chinese companies increased their volume of exports to the U.S. over the period 2012 through 2014, and their share of the U.S. market from 30 to 36 percent during the period. Meanwhile, market share held by domestic producers fell from 50 to 43 percent. Throughout that time, Chinese tires were priced about 60 percent lower than the U.S. average, said the petition. Commerce recently issued antidumping and countervailing duty orders on passenger vehicle and light truck tires from China (see 1508070046 and 1508070044).
Proposed Scope
The petition proposes the following scope for the investigations:
Truck and bus tires are new pneumatic tires, of rubber, with a truck or bus size designation. Truck and bus tires covered by these investigations may be tube-type, tubeless, radial, or non-radial, and they may be intended for sale to original equipment manufacturers, fleet owners and operators, or the replacement market.
Subject tires have, at the time of importation, the symbol “DOT” on the sidewall, certifying that the tire conforms to applicable motor vehicle safety standards. Subject tires may also have one of the following suffixes in their tire size designation, which also appear on the sidewall of the tire:
- TR – Identifies tires for service on trucks or buses to differentiate them from similarly sized passenger car and light truck tires;
- MH – Identifies tires for mobile homes; and
- HC – Identifies a 17.5 rim diameter code for use on low platform trailers.
All tires with a “TR,” “MH,” or “HC” suffix in their size designations are covered by these investigations regardless of their intended use.
In addition, all tires that lack one of the above suffix markings are included in the scope, regardless of their intended use, as long as the tire is of a size that is among the numerical size designations listed in the “Truck-Bus” section of the Tire and Rim Association Year Book, as updated annually, unless the tire falls within one of the specific exclusions set out below.
Truck and bus tires, whether or not mounted on wheels or rims, are included in the scope. However, if a subject tire is imported mounted on a wheel or rim, only the tire is covered by the scope. Subject merchandise includes truck and bus tires produced in the subject country whether mounted on wheels or rims in the subject country or in a third country. Truck and bus tires are covered whether or not they are accompanied by other parts, e.g., a wheel, rim, axle parts, bolts, nuts, etc. Truck and bus tires that enter attached to a vehicle are not covered by the scope.
Specifically excluded from the scope of these investigations are the following types of tires: (1) pneumatic tires, of rubber, that are not new, including recycled and retreaded tires; and (2) non-pneumatic tires, such as solid rubber tires.
The subject merchandise is currently classifiable under Harmonized Tariff Schedule of the United States (“HTSUS”) subheadings: 4011.20.10.15 and 4011.20.50.20. Tires meeting the scope description may also enter under the following HTSUS subheadings: 4011.99.45.10, 4011.99.45.50, 4011.99.85.10, 4011.99.85.50, 8708.70.45.30, 8708.70.60.30, and 8708.70.60.60. While HTSUS subheadings are provided for convenience and for customs purposes, the written description of the subject merchandise is dispositive.
Commerce Accepting Comments on Petition Support
The Commerce Department is accepting comments on domestic industry support for the petitions to determine whether the petitions meet the dual requirements of support by domestic producers or workers accounting for (1) at least 25% of the total production of the domestic-like product and (2) more than 50% of the production of the domestic-like product produced by that portion of the industry expressing support for, or opposition to, the petition. If the petitions meet these requirements, among others, Commerce will initiate antidumping and countervailing duty investigations. Comments are due by Feb. 18.
Email ITTNews@warren-news.com for a copy of the petition.