[Federal Register: September 4, 2008 (Volume 73, Number 172)]
[Notices]
[Page 51624-51627]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr04se08-23]
[[Page 51624]]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-912]
Certain New Pneumatic Off-the-Road Tires From the People's
Republic of China: Notice of Amended Final Affirmative Determination of
Sales at Less Than Fair Value and Antidumping Duty Order
AGENCY: Import Administration, International Trade Administration,
Department of Commerce.
DATES: Effective Date: September 4, 2008.
SUMMARY: Based on affirmative final determinations by the Department of
Commerce (the Department) and the International Trade Commission (ITC),
the Department is issuing an antidumping duty order on certain new
pneumatic off-the-road tires (``OTR tires'') from the People's Republic
of China (``PRC''). On August 28, 2008, the ITC notified the Department
of its affirmative determination of material injury to a U.S. industry
and its negative determination of critical circumstances. See Certain
Off-The-Road Tires from China , USITC Pub. 4031, Inv. Nos. 701-TA-448
and 731-TA-1117 (Final) (August 2008).
FOR FURTHER INFORMATION CONTACT: Lilit Astvatsatrian or Charles Riggle,
AD/CVD Operations, Office 8, Import Administration, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue, NW., Washington, DC 20230; telephone: (202) 482-
6412 or (202) 482-0650, respectively.
SUPPLEMENTARY INFORMATION:
Case History
On July 15, 2008, the Department published its final determination
of sales at less than fair value (``LTFV'') in the antidumping
investigation of certain new pneumatic OTR tires from the PRC. See
Certain New Pneumatic Off-The-Road Tires from the People's Republic of
China: Final Affirmative Determination of Sales at Less Than Fair Value
and Partial Affirmative Determination of Critical Circumstances, 73 FR
40485 (July 15, 2008) (``Final Determination'').
On August, 28, 2008, the ITC notified the Department of its final
determination pursuant to sections 705(b)(1)(A)(i) and 735(b)(1)(A)(i)
of the Tariff Act of 1930, as amended (``the Act''), that an industry
in the United States is materially injured by reason of LTFV imports of
subject merchandise from the PRC and by reason of subsidized imports
from the PRC. The ITC also determined that critical circumstances do
not exist for the PRC.
Scope of the Order
The products covered by the order are new pneumatic tires designed
for off-the-road (OTR) and off-highway use, subject to exceptions
identified below. Certain OTR tires are generally designed,
manufactured and offered for sale for use on off-road or off-highway
surfaces, including but not limited to, agricultural fields, forests,
construction sites, factory and warehouse interiors, airport tarmacs,
ports and harbors, mines, quarries, gravel yards, and steel mills. The
vehicles and equipment for which certain OTR tires are designed for use
include, but are not limited to: (1) Agricultural and forestry vehicles
and equipment, including agricultural tractors,\1\ combine
harvesters,\2\ agricultural high clearance sprayers,\3\ industrial
tractors,\4\ log-skidders,\5\ agricultural implements, highway-towed
implements, agricultural logging, and agricultural, industrial, skid-
steers/mini-loaders; \6\ (2) construction vehicles and equipment,
including earthmover articulated dump products, rigid frame haul
trucks,\7\ front end loaders,\8\ dozers,\9\ lift trucks, straddle
carriers,\10\ graders,\11\ mobile cranes,\12\ compactors; and (3)
industrial vehicles and equipment, including smooth floor, industrial,
mining, counterbalanced lift trucks, industrial and mining vehicles
other than smooth floor, skid-steers/mini-loaders, and smooth floor
off-the-road counterbalanced lift trucks.\13\ The foregoing list of
vehicles and equipment generally have in common that they are used for
hauling, towing, lifting, and/or loading a wide variety of equipment
and materials in agricultural, construction and industrial settings.
Such vehicles and equipment, and the descriptions contained in the
footnotes are illustrative of the types of vehicles and equipment that
use certain OTR tires, but are not necessarily all-inclusive. While the
physical characteristics of certain OTR tires will vary depending on
the specific applications and conditions for which the tires are
designed (e.g., tread pattern and depth), all of the tires within the
scope have in common that they are designed for off-road and off-
highway use. Except as discussed below, OTR tires included in the scope
of the order range in size (rim diameter) generally but not exclusively
from 8 inches to 54 inches. The tires may be either tube-type \14\ or
tubeless, radial or non-radial, and intended for sale either to
original equipment manufacturers or the replacement market. The subject
merchandise is currently classifiable under Harmonized Tariff Schedule
of the United States (``HTSUS'') subheadings: 4011.20.10.25,
4011.20.10.35, 4011.20.50.30, 4011.20.50.50, 4011.61.00.00,
4011.62.00.00, 4011.63.00.00, 4011.69.00.00, 4011.92.00.00,
4011.93.40.00, 4011.93.80.00, 4011.94.40.00, and 4011.94.80.00. While
HTSUS subheadings are provided for convenience and customs purposes,
our
[[Page 51625]]
written description of the scope is dispositive.
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\1\ Agricultural tractors are dual-axle vehicles that typically
are designed to pull farming equipment in the field and that may
have front tires of a different size than the rear tires.
\2\ Combine harvesters are used to harvest crops such as corn or
wheat.
\3\ Agricultural sprayers are used to irrigate agricultural
fields.
\4\ Industrial tractors are dual-axle vehicles that typically
are designed to pull industrial equipment and that may have front
tires of a different size than the rear tires.
\5\ A log-skidder has a grappling lift arm that is used to
grasp, lift and move trees that have been cut down to a truck or
trailer for transport to a mill or other destination.
\6\ Skid-steer loaders are four-wheel drive vehicles with the
left-side drive wheels independent of the right-side drive wheels
and lift arms that lie alongside the driver with the major pivot
points behind the driver's shoulders. Skid-steer loaders are used in
agricultural, construction and industrial settings.
\7\ Haul trucks, which may be either rigid frame or articulated
(i.e., able to bend in the middle) are typically used in mines,
quarries and construction sites to haul soil, aggregate, mined ore,
or debris.
\8\ Front loaders have lift arms in front of the vehicle. They
can scrape material from one location to another, carry material in
their buckets, or load material into a truck or trailer.
\9\ A dozer is a large four-wheeled vehicle with a dozer blade
that is used to push large quantities of soil, sand, rubble, etc.,
typically around construction sites. They can also be used to
perform ``rough grading'' in road construction.
\10\ A straddle carrier is a rigid frame, engine-powered machine
that is used to load and offload containers from container vessels
and load them onto (or off of) tractor trailers.
\11\ A grader is a vehicle with a large blade used to create a
flat surface. Graders are typically used to perform ``finish
grading.'' Graders are commonly used in maintenance of unpaved roads
and road construction to prepare the base course onto which asphalt
or other paving material will be laid.
\12\ I.e., ``on-site'' mobile cranes designed for off-highway
use.
\13\ A counterbalanced lift truck is a rigid framed, engine-
powered machine with lift arms that has additional weight
incorporated into the back of the machine to offset or
counterbalance the weight of loads that it lifts so as to prevent
the vehicle from overturning. An example of a counterbalanced lift
truck is a counterbalanced fork lift truck. Counterbalanced lift
trucks may be designed for use on smooth floor surfaces, such as a
factory or warehouse, or other surfaces, such as construction sites,
mines, etc.
\14\ While tube-type tires are subject to the scope of this
proceeding, tubes and flaps are not subject merchandise and
therefore are not covered by the scope of this proceeding,
regardless of the manner in which they are sold (e.g., sold with or
separately from subject merchandise).
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Specifically excluded from the scope are new pneumatic tires
designed, manufactured and offered for sale primarily for on-highway or
on-road use, including passenger cars, race cars, station wagons, sport
utility vehicles, minivans, mobile homes, motorcycles, bicycles, on-
road or on-highway trailers, light trucks, and trucks and buses. Such
tires generally have in common that the symbol ``DOT'' must appear on
the sidewall, certifying that the tire conforms to applicable motor
vehicle safety standards. Such excluded tires may also have the
following designations that are used by the Tire and Rim Association:
Prefix letter designations:
P--Identifies a tire intended primarily for service on
passenger cars;
LT--Identifies a tire intended primarily for service on
light trucks; and,
ST--Identifies a special tire for trailers in highway
service.
Suffix letter designations:
TR--Identifies a tire for service on trucks, buses, and
other vehicles with rims having specified rim diameter of nominal plus
0.156 or plus 0.250;
MH--Identifies tires for Mobile Homes;
HC--Identifies a heavy duty tire designated for use on
``HC'' 15 tapered rims used on trucks, buses, and other
vehicles. This suffix is intended to differentiate among tires for
light trucks, and other vehicles or other services, which use a similar
designation.
Example: 8R17.5 LT, 8R17.5 HC;
LT--Identifies light truck tires for service on trucks,
buses, trailers, and multipurpose passenger vehicles used in nominal
highway service; and
MC--Identifies tires and rims for motorcycles.
The following types of tires are also excluded from the scope:
pneumatic tires that are not new, including recycled or retreaded tires
and used tires; non-pneumatic tires, including solid rubber tires;
tires of a kind designed for use on aircraft, all-terrain vehicles, and
vehicles for turf, lawn and garden, golf and trailer applications. Also
excluded from the scope are radial and bias tires of a kind designed
for use in mining and construction vehicles and equipment that have a
rim diameter equal to or exceeding 39 inches. Such tires may be
distinguished from other tires of similar size by the number of plies
that the construction and mining tires contain (minimum of 16) and the
weight of such tires (minimum 1500 pounds).
Amendment to the Final Determination
In accordance with sections 735(d) and 771(i)(1) of the Act, on
July 15, 2008, the Department published its notice of final
determination of sales at LTFV in the investigation of certain new
pneumatic OTR tires from the PRC. See Final Determination, 73 FR 40485,
and corresponding ``Issues and Decision Memorandum'' (July 7, 2008). On
July 16, 2008, Titan Tire Corporation, a subsidiary of Titan
International, Inc. and the United Steel, Paper and Forestry, Rubber,
Manufacturing, Energy, Allied Industrial and Service Workers
International Union, AFL-CIO-CLC (collectively, ``Petitioners''),
Bridgestone Holding, Inc. and its subsidiary, Bridgestone Firestone
North American Tire, LLC (``Bridgestone''), a domestic producer, as
well as mandatory respondents Hebei Starbright Co., Ltd.
(``Starbright''), Tianjin United Rubber International Co., Ltd.
(``TUTRIC''), and Xuzhou Xugong Tyres Co., Ltd. (``Xugong'') submitted
timely ministerial error allegations with respect to the Final
Determination. On July 21, 2008, Petitioners, Bridgestone and Xugong
submitted rebuttal comments to Petitioners', Xugong's, and
Bridgestone's ministerial error submissions, respectively. In
accordance with 19 CFR 351.224(b), on August 15, 2008, the Department
issued its Ministerial Error Correction Memo\15\ addressing the
parties' ministerial error allegations. As discussed in the memorandum,
the Department accepted some of the allegations as ministerial errors
and stated that it would make those corrections by amending the Final
Determination. The Department also disclosed the details of its
calculation of the amended final dumping margins to all parties in this
investigation (i.e., Petitioners, Bridgestone, and mandatory
respondents) on August 15, 2008. On August 21, 2008, Bridgestone
submitted a ministerial error allegation with respect to the
Ministerial Error Correction Memo.
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\15\ See Memorandum Re: Final Determination of Antidumping Duty
Investigation on Certain New Pneumatic Off-The-Road Tires from the
People's Republic of China: Allegations of Ministerial Errors, dated
August 14, 2008 (``Ministerial Error Correction Memo'').
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After analyzing all interested party comments and rebuttals, we
have determined, in accordance with 19 CFR 351.224(e), that we made
ministerial errors in our calculations performed for the final
determination. As a result, the dumping margins have been amended as
follows:
------------------------------------------------------------------------
Original Amended
final final
margin margin
(percent) (percent)
------------------------------------------------------------------------
Starbright....................................... 19.15 29.93
TUTRIC........................................... 8.09 8.44
Guizhou Tyre..................................... 4.08 5.25
Xugong........................................... 0.00 *0.00
------------------------------------------------------------------------
* No change.
For detailed discussions of the ministerial error allegations, as
well as the Department's analysis, see the memoranda regarding ``Final
Determination of Antidumping Investigation on Certain New Pneumatic
Off-the-Road Tires from the People's Republic of China: Allegations of
Ministerial Errors'' (August 14, 2008) and ``Amended Final
Determination of Antidumping Investigation on Certain New Pneumatic
Off-the-Road Tires from the People's Republic of China: Allegation of
Ministerial Error'' (August 28, 2008), and the company-specific amended
final analysis memoranda: Analysis Memorandum for the Amended Final
Determination: Guizhou Tyre Co. Ltd. and its affiliates (collectively,
``Guizhou Tyre''); Analysis Memorandum for the Amended Final
Determination: Hebei Starbright Tire Co. Ltd.; Analysis Memorandum for
the Amended Final Determination: Tianjin United Tire & Rubber
International Co. Ltd.; and, Analysis Memorandum for the Final
Determination: Xuzhou Xugong Tyres Co., Ltd. Additionally, in the Final
Determination, we determined that multiple companies qualified for
separate-rate status. The margin we calculated in the final
determination for these companies was 9.48 percent. Because the final
margins of three of the mandatory respondents, Starbright, TUTRIC and
Guizhou Tyre, have changed since the Final Determination as a result of
ministerial errors corrections, we have recalculated the margin for
separate-rate respondents and the amended margin is 12.91 percent. See
the Memorandum to The File regarding ``Weighted-Average Margin
Calculation for Separate Rate Companies in the Amended Final
Determination'' (August 28, 2008).
Therefore, in accordance with 19 CFR 351.224 (e), we are amending
the final determination of sales at LTFV in the antidumping duty
investigation of certain new pneumatic OTR tires from the PRC. The
revised dumping margins are listed in the chart below.
Antidumping Duty Orders
On August 28, 2008, in accordance with section 735(d) of the Act,
the ITC notified the Department of its final determination that the
industry in the
[[Page 51626]]
United States producing certain new pneumatic OTR tires is materially
injured within the meaning of section 735(b)(1)(A)(i) of the Act by
reason of LTFV imports of subject merchandise from the PRC.
In accordance with section 736(a)(1) of the Act, the Department
will direct U.S. Customs and Border Protection (CBP) to assess, upon
further advice by the Department, antidumping duties equal to the
amount by which the normal value of the merchandise exceeds the export
price or constructed export price of the merchandise for all relevant
entries of certain new pneumatic OTR tires from the PRC. These
antidumping duties will be assessed on all unliquidated entries of
certain new pneumatic OTR tires entered, or withdrawn from warehouse,
for consumption on or after February 20, 2008, the date on which the
Department published its notice of preliminary determination in the
Federal Register.\16\
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\16\ See Certain New Pneumatic Off-The-Road Tires From the
People's Republic of China; Preliminary Determination of Sales at
Less Than Fair Value and Postponement of Final Determination, 73 FR
9278 (February 20, 2008) (``Preliminary Determination'').
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Section 733(d) of the Act states that instructions issued pursuant
to an affirmative preliminary determination may not remain in effect
for more than four months except where exporters representing a
significant proportion of exports of the subject merchandise request
the Department to extend that four-month period to no more than six
months. At the request of exporters that account for a significant
proportion of certain new pneumatic OTR tires, we extended the four-
month period to no more than six months.\17\ In this investigation, the
six-month period beginning on the date of the publication of the
Preliminary Determination (i.e., February 20, 2008) ends on August 18,
2008. Furthermore, section 737 of the Act provides that definitive
duties are to begin on the date of publication of the ITC's final
injury determination. Therefore, in accordance with section 733(d) of
the Act and our practice, we will instruct CBP to terminate the
suspension of liquidation and to liquidate, without regard to
antidumping duties, unliquidated entries of OTR Tires from the PRC
entered, or withdrawn from warehouse, for consumption after August 18,
2008, and before the date of publication of the ITC's final injury
determination in the Federal Register. Suspension of liquidation will
resume on or after the date of publication of the ITC's final injury
determination in the Federal Register.
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\17\ See Id at 9278.
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With regard to the ITC's negative critical circumstances
determination, we will instruct CBP to lift suspension, release any
bond or other security, and refund any cash deposit made to secure the
payment of antidumping duties with respect to entries of the
merchandise entered, or withdrawn from warehouse, for consumption on or
after November 22, 2007, but before February 20, 2008 (i.e., 90 days
prior to the date of publication of the preliminary determination in
the Federal Register).
Effective on the date of the publication of the ITC's final
affirmative injury determination in the Federal Register, CBP, pursuant
to section 735(c)(3) of the Act, will require, at the same time as
importers would normally deposit estimated duties on this merchandise,
a cash deposit equal to the estimated weighted-average dumping margins
as listed below.
OTR Tires From the PRC
------------------------------------------------------------------------
Weighted-
average
Exporter Producer margin
(percent)
------------------------------------------------------------------------
Guizhou Tyre Co., Ltd........... Guizhou Advance Rubber.. 5.25
Guizhou Tyre Co., Ltd........... Guizhou Tyre Co., Ltd... 5.25
Hebei Starbright Co., Ltd./GPX Hebei Starbright Co., 29.93
International Tire Corporation, Ltd..
Ltd..
Tianjin United Tire & Rubber Tianjin United Tire & 8.44
International Co., Ltd. Rubber International
(``TUTRIC''). Co., Ltd. (``TUTRIC'').
Xuzhou Xugong Tyres Co., Ltd.... Xuzhou Xugong Tyres Co., 0.00
Ltd. =.
Aeolus Tyre Co., Ltd............ Aeolus Tyre Co., Ltd.... 12.91
Double Coin Holdings Ltd........ Double Coin Holdings 12.91
Ltd..
Double Coin Holdings Ltd........ Double Coin Group Rugao 12.91
Tyre Co., Ltd..
Double Coin Holdings Ltd........ Double Coin Group 12.91
Shanghai Donghai Tyre
Co., Ltd..
Double Happiness Tyre Industries Double Happiness Tyre 12.91
Corp., Ltd.. Industries Corp., Ltd..
Jiangsu Feichi Co., Ltd......... Jiangsu Feichi Co., Ltd. 12.91
Kenda Rubber (China) Co., Ltd./ Kenda Rubber (China) 12.91
Kenda Global Holding Co., Ltd Co., Ltd..
(Cayman Islands).
KS Holding Limited.............. Oriental Tyre Technology 12.91
Ltd..
KS Holding Limited.............. Shandong Taishan Tyre 12.91
Co., Ltd..
KS Holding Limited.............. Xu Zhou Xugong Tyres 12.91
Co., Ltd..
Laizhou Xiongying Rubber Laizhou Xiongying Rubber 12.91
Industry Co., Ltd.. Industry Co., Ltd..
Oriental Tyre Technology Limited Midland Off the Road 12.91
Tire Co., Ltd..
Oriental Tyre Technology Limited Midland Specialty Tire 12.91
Co., Ltd..
Oriental Tyre Technology Limited Xuzhou Hanbang Tyres 12.91
Co., Ltd..
Qingdao Aonuo Tyre Co., Ltd..... Qingdao Aonuo Tyre Co., 12.91
Ltd..
Qingdao Etyre International Shandong Xingda Tyre Co. 12.91
Trade Co., Ltd.. Ltd..
Qingdao Etyre International Shandong Xingyuan 12.91
Trade Co., Ltd.. International Trade Co.
Ltd..
Qingdao Etyre International Shandong Xingyuan Rubber 12.91
Trade Co., Ltd.. Co. Ltd..
Qingdao Free Trade Zone Full- Qingdao Eastern 12.91
World International Trading Co., Industrial Group Co.,
Ltd.. Ltd..
Qingdao Free Trade Zone Full- Qingdao Qihang Tyre Co., 12.91
World International Trading Co., Ltd..
Ltd..
Qingdao Free Trade Zone Full- Qingdao Shuanghe Tyre 12.91
World International Trading Co., Co., Ltd..
Ltd..
[[Page 51627]]
Qingdao Free Trade Zone Full- Qingdao Yellowsea Tyre 12.91
World International Trading Co., Factory.
Ltd..
Qingdao Free Trade Zone Full- Shandong Zhentai Tyre 12.91
World International Trading Co., Co., Ltd..
Ltd..
Qingdao Hengda Tyres Co., Ltd... Qingdao Hengda Tyres 12.91
Co., Ltd..
Qingdao Milestone Tyre Co., Ltd. Qingdao Shuanghe Tyre 12.91
Co., Ltd..
Qingdao Milestone Tyre Co., Ltd. Shandong Zhentai Tyre 12.91
Co., Ltd..
Qingdao Milestone Tyre Co., Ltd. Shifeng Double-Star Tire 12.91
Co., Ltd..
Qingdao Milestone Tyre Co., Ltd. Weifang Longtai Tyre 12.91
Co., Ltd..
Qingdao Qihang Tyre Co., Ltd.... Qingdao Qihang Tyre Co., 12.91
Ltd..
Qingdao Qizhou Rubber Co., Ltd.. Qingdao Qizhou Rubber 12.91
Co., Ltd..
Qingdao Sinorient International Qingdao Hengda Tyres 12.91
Ltd.. Co., Ltd..
Qingdao Sinorient International Shifeng Double-Star Tire 12.91
Ltd.. Co., Ltd..
Qingdao Sinorient International Tengzhou Broncho Tyre 12.91
Ltd.. Co., Ltd.=.
Shandong Huitong Tyre Co., Ltd.. Shandong Huitong Tyre 12.91
Co., Ltd..
Shandong Jinyu Tyre Co., Ltd.... Shandong Jinyu Tyre Co., 12.91
Ltd..
Shandong Taishan Tyre Co., Ltd.. Shandong Taishan Tyre 12.91
Co., Ltd. =.
Shandong Wanda Boto Tyre Co., Shandong Wanda Boto Tyre 12.91
Ltd.. Co., Ltd..
Shandong Xingyuan International Shangdong Xingda Tyre 12.91
Trading Co., Ltd.. Co., Ltd..
Shandong Xingyuan International Xingyuan Tyre Group Co., 12.91
Trading Co., Ltd.. Ltd..
Techking Tires Limited.......... Shandong Xingda Tyre 12.91
Co. Ltd..
Techking Tires Limited.......... Shandong Xingyuan 12.91
International Trade Co.
Ltd..
Techking Tires Limited.......... Shandong Xingyuan Rubber 12.91
Co. Ltd..
Triangle Tyre Co., Ltd.......... Triangle Tyre Co., Ltd.. 12.91
Wendeng Sanfeng Tyre Co., Ltd... Wendeng Sanfeng Tyre 12.91
Co., Ltd..
Zhaoyuan Leo Rubber Co., Ltd.... Zhaoyuan Leo Rubber Co., 12.91
Ltd..
PRC-Entity...................... ........................ 210.48
------------------------------------------------------------------------
Because the Department continues to find that the weighted-average
dumping margin for subject merchandise produced and exported by Xugong
is zero, we are instructing CBP to terminate suspension of liquidation
of all imports of subject merchandise produced and exported by Xugong,
entered, or withdrawn from warehouse, for consumption on or after
February 20, 2008, the date of publication of the preliminary
determination. CBP shall refund any cash deposit and release any bond
or other security previously posted in connection with merchandise
produced and exported by Xugong.
This notice constitutes the antidumping duty order with respect to
certain new pneumatic OTR tires from the PRC, pursuant to section 736
(a) of the Act. Interested parties may contact the Department's Central
Records Unit, Room 1117 of the Main Commerce Building, for copies of an
updated list of antidumping duty orders currently in effect.
This order is issued and published in accordance with section 736
(a) of the Act and 19 CFR 351.211 (b).
Dated: August 29, 2008.
David M. Spooner
Assistant Secretary for Import Administration.
[FR Doc. E8-20569 Filed 9-3-08; 8:45 am]
BILLING CODE 3510-DS-P