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Petition Filed for New AD/CV Duties on Steel Wheels From China

Two U.S. manufacturers are seeking the imposition of antidumping and countervailing duties on steel wheels from China, they said in a petition filed March 27 with the Commerce Department and the International Trade Commission. Commerce will now decide whether to begin AD/CVD investigations that could eventually result in the assessment of AD/CV duties. The petition, filed by Accuride Corporation and Maxion Wheels Akron, represents a second attempt at AD/CV duty orders on Chinese steel wheels, after a 2011 request ended in an ITC finding of no injury to U.S. industry (see 12041806).

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The earliest date that liquidation could be suspended and countervailing duty cash deposits required in connection with these investigations is May 26, 2018, an update from law firm Grunfeld Desiderio said. For antidumping duties, it's July 25, 2018. Both of these estimates presume a finding of "critical circumstances" and retroactive suspension of liquidation 90 days prior to Commerce's preliminary determination with no extensions of Commerce's deadlines.

Proposed Scope

The petition proposes the following scope for the investigations:

The scope of these petitions is certain on-the-road steel wheels for use with tubeless tires with a wheel diameter of 22.5 inches and 24.5 inches. Certain on-the-road wheels with a wheel diameter of 22.5 inches and 24.5 inches are generally designed, manufactured, and offered for sale for use on road and highway surfaces by Class 6, 7, and 8 commercial vehicles, including tractors, semi-trailers, dump trucks, garbage trucks, concrete mixers, and buses, and are the current standard wheel diameters for such applications. The standard widths of certain steel wheels are 7.5 inches, 8.25 inches, and 9.0 inches, but all certain steel wheels, regardless of width, are covered by the scope. While 22.5 inches and 24.5 inches are standard wheel sizes used by Class 6, 7, and 8 commercial trucks, their trailers, buses, and other commercial vehicles, and have been for several decades, these petitions are intended to cover new sizes that may be adopted for use on Class 6, 7, and 8 commercial vehicles.

The scope includes “hub-piloted” steel wheels and “stud-piloted” steel wheels and includes rims and discs for such wheels, whether imported as an assembly or separately. The scope includes wheels, discs, and rims, of carbon and/or alloy composition, whether cladded or not cladded, whether finished or not finished, and whether coated or uncoated. All on-the-road wheels sold in the United States are subject to the requirements of the National Highway Traffic Safety Administration and bear markings, such as the “DOT” symbol, indicating compliance with applicable motor vehicle standards. The scope includes steel wheels imported with and without the required markings, which may be added after importation. Steel wheels imported as an assembly with a tire mounted on the wheel or with a valve stem attached are included. However, if the steel wheels are imported as an assembly with a tire mounted on the wheel or with a valve stem attached, the tire or valve stem is not covered by the scope.

Excluded from the scope are steel wheels for use with tube-type tires. Also excluded from the scope are wheels where steel represents less than fifty percent of the product by weight (e.g., aluminum wheels). Steel wheels manufactured and offered for sale primarily for off-highway or off-the-road use are also excluded from the scope. Such wheels are not required to meet the National Highway Traffic Safety Administration’s requirements. Steel wheels that meet the National Highway Traffic Safety Administration’s requirements, but can be used off-road, are included in the scope.

Imports of the subject merchandise are provided for under the following categories of the Harmonized Tariff Schedule of the United States ("HTSUS"): 8708.70.4530, 8708.70.4560, 8708.70.6030, 8708.70.6060, 8716.90.5045 and 8716.90.5059. Wheels meeting the scope description may also enter under the following HTSUS subheadings: 4011.20.1015, 4011.20.5020 and 8708.99.48.50. While HTSUS subheadings are provided for convenience and 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 April 16.

Email ITTNews@warren-news.com for a copy of the petition.