Certain Passenger Vehicle and Light Truck Tires From the People's Republic of China: Preliminary Results of Antidumping Duty Administrative Review; and Preliminary Determination of No Shipments; 2019-2020 |
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Ryan Majerus
Department of Commerce
7 September 2021
[Federal Register Volume 86, Number 170 (Tuesday, September 7, 2021)]
[Notices]
[Pages 50029-50032]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-19259]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-016]
Certain Passenger Vehicle and Light Truck Tires From the People's
Republic of China: Preliminary Results of Antidumping Duty
Administrative Review; and Preliminary Determination of No Shipments;
2019-2020
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) preliminarily finds that
certain producers and exporters of passenger vehicle and light truck
tires (passenger tires) from the People's Republic of China (China)
made sales of subject merchandise at prices below normal value (NV)
during the period of review (POR), August 1, 2019, through July 31,
2020. Commerce also preliminarily finds that one company did not ship
subject merchandise to the United States during the POR. We invite
interested parties to comment on these preliminary results.
DATES: Applicable September 7, 2021.
FOR FURTHER INFORMATION CONTACT: Toni Page or Peter Shaw, AD/CVD
[[Page 50030]]
Operations, Office VII, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-1398 or (202) 482-0697,
respectively.
SUPPLEMENTARY INFORMATION:
Background
On October 6, 2020, Commerce initiated the administrative review of
the AD order on passenger tires from China covering the period August
1, 2019, through July 31, 2020.\1\ The petitioner in this review is the
United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied
Industrial and Service Workers International Union, AFL-CIO, CLC (USW).
This review covers mandatory respondent Sumitomo Rubber Industries Ltd.
(SRI); Sumitomo Rubber (Hunan) Co., Ltd. (SRH); and Sumitomo Rubber
(Changshu) Co., Ltd. (SRC) (collectively, Sumitomo).\2\ The
administrative review also covers 27 other companies that were not
selected for individual examination. On January 27, 2021, Commerce
rescinded, in part, the instant administrative review with respect to
21 companies.\3\
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\1\ See Initiation of Antidumping and Countervailing Duty
Administrative Reviews, 85 FR 63081 (October 6, 2020).
\2\ SRI refers to the single entity, Sumitomo Rubber Industries
Ltd.; Sumitomo Rubber (China) Co., Ltd.; Sumitomo Rubber (Hunan)
Co., Ltd.; and Sumitomo Rubber (Changshu) Co., Ltd. (collectively,
SRI).
\3\ See Passenger Vehicle and Light Truck Tires from the
People's Republic of China: Rescission, in Part, of Antidumping Duty
Administrative Review; 2019-2020, 86 FR 7258 (January 27, 2021).
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For a complete description of the events that followed the
initiation and the partial rescission of this administrative review,
see the Preliminary Decision Memorandum.\4\ A list of topics discussed
in the Preliminary Decision Memorandum is included as an Appendix to
this notice. The Preliminary Decision Memorandum is a public document
and is on file electronically via Enforcement and Compliance's
Antidumping and Countervailing Duty Centralized Electronic Service
System (ACCESS). ACCESS is available to registered users at https://access.trade.gov. In addition, a complete version of the Preliminary
Decision Memorandum can be accessed directly at http://enforcement.trade.gov/frn/.
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\4\ See Memorandum, ``Decision Memorandum for the Preliminary
Results of the Antidumping Duty Administrative Review of Certain
Passenger Vehicle and Light Truck Tires from the People's Republic
of China and Preliminary Determination of No Shipments; 2019-2020,''
dated concurrently with, and hereby adapted by, this notice
(Preliminary Decision Memorandum).
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Scope of the Order
The products covered by the order are certain passenger vehicle and
light truck tires from China. A full description of the scope of the
order is contained in the Preliminary Decision Memorandum.\5\
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\5\ Id. at ``Scope of the Order.''
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Methodology
Commerce is conducting this administrative review in accordance
with section 751(a)(1)(B) of the Tariff Act of 1930, as amended (the
Act). We calculated constructed export prices in accordance with
section 772 of the Act. Because China is a non-market economy (NME)
country within the meaning of section 771(18) of the Act, we calculated
NV in accordance with section 773(c) of the Act. For a full description
of the methodology underlying our conclusions, see the Preliminary
Decision Memorandum.\6\
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\6\ Id. at Discussion of the Methodology.
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Preliminary Determination of No Shipments
Based on the available record information, Commerce preliminarily
determines that Qingdao Fullrun Tyre Tech Corp., Ltd. (Fullrun Tyre
Tech) had no shipments during the POR. For additional information
regarding this determination, see the Preliminary Decision Memorandum.
Consistent with our assessment practice in administrative reviews,
Commerce is not rescinding this review for Fullrun Tyre Tech, but
intends to complete the review and issue appropriate instructions to
U.S. Customs and Border Protection (CBP) based on the final results of
the review.\7\
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\7\ See Non-Market Economy Antidumping Proceedings: Assessment
of Antidumping Duties, 76 FR 65694, 65694-95 (October 24, 2011); see
also the ``Assessment Rates'' section, below.
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Single Entity Treatment
We preliminarily find that the following companies are affiliated,
pursuant to section 771(33)(F) of the Act and to 19 CFR 351.401(f)(1)
and thus should be treated as a single entity: SRI; SRH; and SRC
(collectively, Sumitomo). For additional information, see the
Preliminary Decision Memorandum and Sumitomo Preliminary Calculation
Memorandum.\8\
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\8\ See Preliminary Decision Memorandum at Single Entity
Treatment; see also Memorandum, ``Antidumping Administrative Review
of Certain Passenger Vehicle and Light Truck Tires from the People's
Republic of China: Preliminary Analysis Memorandum for Sumitomo
Rubber (Hunan) Co., Ltd.,'' dated concurrently with this notice at
Single Entity Analysis (Sumitomo Preliminary Calculation
Memorandum).
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China-Wide Entity
Commerce's policy regarding conditional review of the China-wide
entity applies to this administrative review.\9\ Under this policy, the
China-wide entity will not be under review unless a party specifically
requests, or Commerce self-initiates, a review of the entity. Because
no party requested a review of the China-wide entity, and we did not
self-initiate a review, the China-wide entity cash deposit rate (i.e.,
76.46 percent) is not subject to change as a result of this review.\10\
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\9\ See Antidumping Proceedings: Announcement of Change in
Department Practice for Respondent Selection in Antidumping Duty
Proceedings and Conditional Review of the Nonmarket Economy Entity
in NME Antidumping Duty Proceedings, 78 FR 65963 (November 4, 2013).
\10\ See Certain Passenger Vehicle and Light Truck Tires from
the People's Republic of China: Amended Final Affirmative
Antidumping Duty Determination and Antidumping Duty Order; and
Amended Final Affirmative Countervailing Duty Determination and
Countervailing Duty Order, 80 FR 47902, 47906 (August 10, 2015).
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Separate Rates
In all proceedings involving NME countries, Commerce maintains a
rebuttable presumption that all companies within an NME country are
subject to government control and, thus, should be assessed a single
weighted-average dumping margin unless the company can affirmatively
demonstrate an absence of government control, both in law (de jure) and
in fact (de facto), with respect to its exports so that it is entitled
to separate rate status.\11\ Commerce preliminarily determines that the
information placed on the record by Qingdao Landwinner Tyre Co., Ltd.;
Qingdao Nexen Tire Corporation; Shandong Qilun Rubber Co., Ltd.; and
Zhaoqing Junhong Co., Ltd. demonstrates that these companies are
entitled to separate rate status.
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\11\ See, e.g., Notice of Final Determination of Sales at Less
Than Fair Value, and Affirmative Critical Circumstances, In Part:
Certain Lined Paper Products from the People's Republic of China, 71
FR 53079, 53082 (September 8, 2006); and Final Determination of
Sales at Less Than Fair Value and Final Partial Affirmative
Determination of Critical Circumstances: Diamond Sawblades and Parts
Thereof from the People's Republic of China, 71 FR 29303, 29307 (May
22, 2006).
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Dumping Margin for Separate Rate Companies
The statute and Commerce's regulations do not identify the dumping
margin to apply to respondents not selected for individual examination
when Commerce limits its examination in an administrative review
pursuant to section 777A(c)(2) of the Act. Generally, Commerce looks to
section 735(c)(5) of
[[Page 50031]]
the Act, which provides instructions for calculating the all-others
rate in an investigation, for guidance when determining the dumping
margin for respondents that are not individually examined in an
administrative review. Section 735(c)(5)(A) of the Act states that the
all-others rate should be calculated by averaging the weighted-average
dumping margins for individually-examined respondents, excluding
dumping margins that are zero, de minimis, or based entirely on facts
available. Where the dumping margins for individually examined
respondents are all zero, de minimis, or based entirely on facts
available, section 735(c)(5)(B) of the Act provides that Commerce may
use ``any reasonable method to establish the estimated all others rate
for exporters and producers not individually investigated, including
averaging the estimated weighted average dumping margins determined for
the exporters and producers individually investigated.''
Commerce calculated an individual estimated weighted-average
dumping margin for SRI, the only individually examined exporter/
producer in this administrative review. Because the only individually
calculated weighted-average dumping margin is not zero, de minimis, or
based entirely on facts otherwise available, we are assigning the
separate rate respondents a dumping margin equal to Sumitomo's margin.
Preliminary Results of Review
Commerce preliminarily determines that the following weighted-
average dumping margins exist for the period August 1, 2019, through
July 31, 2020:
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Weighted-
average
Exporter dumping
margin
(percent)
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Sumitomo Rubber Industries Ltd.; Sumitomo Rubber (Hunan) 1.18
Co., Ltd.; and Sumitomo Rubber (Changshu) Co., Ltd.........
Qingdao Landwinner Tyre Co., Ltd............................ 1.18
Qingdao Nexen Tire Corporation.............................. 1.18
Shandong Qilun Rubber Co., Ltd.............................. 1.18
Zhaoqing Junhong Co., Ltd................................... 1.18
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Disclosure
Commerce will disclose calculations performed for these preliminary
results to the parties within five days of the date of publication of
this notice in accordance with 19 CFR 351.224(b).
Public Comment
Case briefs or other written comments may be submitted to the
Assistant Secretary for Enforcement and Compliance. Interested parties
will be notified of the timeline for the submission of such case briefs
and written comments at a later date. Rebuttal briefs, limited to
issues raised in the case briefs, may be filed no later than seven days
after the date for filing case briefs.\12\ Parties who submit case
briefs or rebuttal briefs in this proceeding are encouraged to submit
with each argument: (1) A statement of the issue; (2) a brief summary
of the argument; and (3) a table of authorities. Case and rebuttal
briefs should be filed using ACCESS \13\ and must be served on
interested parties.\14\
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\12\ See 19 CFR 351.309(d); see also Temporary Rule Modifying
AD/CVD Service Requirements Due to COVID-19, 85 FR 17006, 17007
(March 26, 2020) (``To provide adequate time for release of case
briefs via ACCESS, E&C intends to schedule the due date for all
rebuttal briefs to be 7 days after case briefs are filed (while
these modifications remain in effect).'')
\13\ See 19 CFR 351.303 (for general filing requirements).
\14\ See 19 CFR 351.303(f).
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, or to participate if one is requested, must submit a
written request to the Assistant Secretary for Enforcement and
Compliance, within 30 days of the date of publication of this
notice.\15\ Requests should contain: (1) The party's name, address, and
telephone number; (2) the number of participants; and (3) a list of
issues to be discussed. Issues raised in the hearing will be limited to
those raised in the respective case and rebuttal briefs. If a request
for a hearing is made, Commerce intends to hold the hearing at a date
and time to be determined.\16\ Parties should confirm the date, time,
and location of the hearing two days before the scheduled date.
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\15\ See 19 CFR 351.310(c).
\16\ See 19 CFR 351.310(d).
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Commerce intends to issue the final results of this administrative
review, which will include the results of our analysis of all issues
raised in the case briefs, within 120 days of publication of these
preliminary results in the Federal Register, unless extended, pursuant
to section 751(a)(3)(A) of the Act.
Verification
On January 14, 2021, the petitioner requested, pursuant to 19 CFR
351.307(b)(1)(v), that Commerce conduct verification of the
questionnaire responses submitted in this administrative review by
Sumitomo.\17\ Commerce is currently unable to conduct on-site
verification of the information relied upon in making its final results
of this administrative review. Accordingly, we intend to take
additional steps in lieu of on-site verification to verify the
information. Commerce will notify interested parties of any additional
documentation or information required.
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\17\ See Petitioner's Letter, ``Passenger Vehicle and Light
Truck Tires from China: Request for Verification,'' dated January
14, 2021.
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Assessment Rates
Upon issuing the final results of this review, Commerce shall
determine, and CBP shall assess, antidumping duties on all appropriate
entries covered by this review.\18\ We intend to liquidate entries
containing subject merchandise exported by the companies under review
that we determine in the final results to be part of the China-wide
entity at the China-wide cash deposit rate of 76.46 percent. For the
companies receiving a separate rate, we intend to assign an assessment
rate of 1.18 percent, consistent with the methodology described above.
Additionally, if Commerce determines that an exporter under review had
no shipments of the subject merchandise, any suspended entries that
entered under that exporter's CBP case number will be liquidated at the
rate for the China-wide entity. Commerce intends to issue assessment
instructions to CBP no earlier than 35 days after the date of
publication of the final results of this review in the Federal
Register. If a timely summons is filed at the U.S. Court of
International Trade, the assessment instructions will direct CBP not to
liquidate relevant entries until the
[[Page 50032]]
time for parties to file a request for a statutory injunction has
expired (i.e., within 90 days of publication).
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\18\ See 19 CFR 351.212(b)(1).
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Cash Deposit Requirements
The following cash deposit requirements will be effective upon
publication of the final results of this administrative review for all
shipments of the subject merchandise from China entered, or withdrawn
from warehouse, for consumption on or after the publication date, as
provided for by section 751(a)(2)(C) of the Act: (1) For the companies
listed above that have a separate rate, the cash deposit rate will be
that rate established in the final results of this review (except, if
the rate is zero or de minimis, then a cash deposit rate of zero will
be established for that company); (2) for previously investigated or
reviewed Chinese and non-Chinese exporters not listed above that have
separate rates, the cash deposit rate will continue to be equal to the
exporter-specific weighted-average dumping margin published of the most
recently-completed segment of this proceeding; (3) for all Chinese
exporters of subject merchandise that have not been found to be
entitled to a separate rate, the cash deposit rate will be the rate for
China-wide entity, 76.46 percent; and (4) for all exporters of subject
merchandise which are not located in China and which are not eligible
for a separate rate, the cash deposit rate will be the rate applicable
to Chinese exporter(s) that supplied that non-Chinese exporter. These
deposit requirements, when imposed, shall remain in effect until
further notice.
Notification to Importers
This notice also serves as a reminder to importers of their
responsibility under 19 CFR 351.402(f)(2) to file a certificate
regarding the reimbursement of antidumping and/or countervailing duties
prior to liquidation of the relevant entries during this POR. Failure
to comply with this requirement could result in Commerce's presumption
that reimbursement of antidumping and/or countervailing duties occurred
and the subsequent assessment of double antidumping duties and/or an
increase in the amount of antidumping duties by the amount of the
countervailing duties.
Notification to Interested Parties
We are issuing and publishing these results in accordance with
sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.213 and 19
CFR 351.221(b)(4).
Dated: August 31, 2021.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations.
Appendix--List of Topics Discussed in the Preliminary Decision
Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Preliminary Determination of No Shipments
V. Affiliation and Single Entity Treatment
VI. Discussion of the Methodology
VII. Currency Conversion
VIII. Recommendation
[FR Doc. 2021-19259 Filed 9-3-21; 8:45 am]
BILLING CODE 3510-DS-P