Truck and Bus Tires From Thailand: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Preliminary Negative Determination of Critical Circumstances, and Postponement of Final Determination

Truck and Bus Tires From Thailand: Preliminary Affirmative Determination of Sales at Less Than Fair Value, Preliminary Negative Determination of Critical Circumstances, and Postponement of Final Determination

Publication: Federal Register
Agency: International Trade Administration
Byline: Ryan Majerus
Date: 20 May 2024
Subject: American Government

[Federal Register Volume 89, Number 98 (Monday, May 20, 2024)]
[Notices]
[Pages 43806-43809]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-11026]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-549-848]

AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily
determines that truck and bus tires from Thailand are being, or are
likely to be, sold in the United States at less than fair value (LTFV).
The period of investigation (POI) is October 1, 2022, through September
30, 2023. Interested parties are invited to comment on this preliminary
determination.

DATES: Applicable May 20, 2024.

FOR FURTHER INFORMATION CONTACT: Faris Montgomery or Jonathan Schueler,
AD/CVD Operations, Office VIII, Enforcement and Compliance,
International Trade Administration, U.S. Department of Commerce, 1401
Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-1537
or (202) 482-9175, respectively.

SUPPLEMENTARY INFORMATION:

Background

This preliminary determination is made in accordance with section
733(b) of the Tariff Act of 1930, as amended (the Act). Commerce
published the notice of initiation of this investigation on November
14, 2023.\1\ On December 4, 2023, we selected Bridgestone Corporation
(Bridgestone) and Prinx Chengshan Tire (Thailand) Co., Ltd. (Prinx) as
mandatory respondents in this investigation.\2\ On February 8, 2024,
Commerce postponed the preliminary determination of this investigation
until May 14, 2024.\3\ For a complete description of the events that
followed the initiation of this investigation, see the Preliminary
Decision Memorandum.\4\ A list of topics included

[[Page 43807]]

in the Preliminary Decision Memorandum is included as Appendix II 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 https://access.trade.gov/public/FRNoticesListLayout.aspx.
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\1\ See Truck and Bus Tires from Thailand: Initiation of Less-
Than-Fair-Value Investigation, 88 FR 77960 (November 14, 2023)
(Initiation Notice).
\2\ See Memorandum, ``Respondent Selection,'' dated December 4,
2023.
\3\ See Truck and Bus Tires from Thailand: Postponement of
Preliminary Determination in the Less-Than-Fair-Value Investigation,
89 FR 8649 (February 8, 2024).
\4\ See Memorandum, ``Decision Memorandum for the Preliminary
Determination in the Less-Than-Fair-Value Investigation of Truck and
Bus Tires from Thailand,'' dated concurrently with, and hereby
adopted by, this notice (Preliminary Decision Memorandum).
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Scope of the Investigation

The products covered by this investigation are truck and bus tires
from Thailand. For a complete description of the scope of this
investigation, see Appendix I.

Scope Comments

In accordance with the preamble to Commerce's regulations,\5\ the
Initiation Notice set aside a period of time for parties to raise
issues regarding product coverage (i.e., scope).\6\ Certain interested
parties commented on the scope of the investigation as it appeared in
the Initiation Notice. For a summary of the product coverage comments
and rebuttal responses submitted to the record for this preliminary
determination, and accompanying discussion and analysis of all comments
timely received, see the Preliminary Scope Decision Memorandum.\7\
Commerce is not preliminarily modifying the scope language as it
appeared in the Initiation Notice. See the scope in Appendix I to this
notice.
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\5\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997).
\6\ See Initiation Notice.
\7\ See Memorandum, ``Scope Comments Decision Memorandum for the
Preliminary Determination,'' dated concurrently with this notice
(Preliminary Scope Decision Memorandum).
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Methodology

Commerce is conducting this investigation in accordance with
section 731 of the Act. Commerce has calculated export prices in
accordance with section 772(a) of the Act. Constructed export prices
have been calculated in accordance with section 772(b) of the Act.
Normal value is calculated in accordance with section 773 of the Act.
For a full description of the methodology underlying the preliminary
determination, see the Preliminary Decision Memorandum.

Preliminary Negative Determination of Critical Circumstances

In accordance with section 733(e) of the Act and 19 CFR 351.206,
Commerce preliminarily finds that critical circumstances do not exist
for Prinx, Bridgestone, and all other exporters and producers of the
subject merchandise. For a full description of the methodology and
results of Commerce's critical circumstances analysis, see the
Preliminary Decision Memorandum.

All-Others Rate

Sections 733(d)(1)(ii) and 735(c)(5)(A) of the Act provide that in
the preliminary determination Commerce shall determine an estimated
all-others rate for all exporters and producers not individually
examined. This rate shall be an amount equal to the weighted average of
the estimated weighted-average dumping margins established for
exporters and producers individually investigated, excluding any zero
and de minimis margins, and any margins determined entirely under
section 776 of the Act.
In this investigation, Commerce preliminarily calculated a zero
rate for Prinx. Therefore, the only rate that is not zero, de minimis
or based entirely on facts otherwise available is the rate calculated
for Bridgestone. Consequently, the preliminary rate calculated for
Bridgestone is also the preliminary rate assigned to all other
producers and exporters.

Preliminary Determination

Commerce preliminarily determines that the following estimated
weighted-average dumping margins exist:

------------------------------------------------------------------------
Weighted-
average
Exporter/producer dumping
margin
(percent)
------------------------------------------------------------------------
Bridgestone Corporation................................. 2.35
Prinx Chengshan Tire (Thailand) Co., Ltd................ 0.00
All Others.............................................. 2.35
------------------------------------------------------------------------

Consistent with section 733(b)(3) of the Act, Commerce disregards
de minimis rates and preliminarily determines that individually
examined respondents with de minimis rates have not made sales of
subject merchandise at LTFV.

Suspension of Liquidation

In accordance with section 733(d)(2) of the Act, Commerce will
direct U.S. Customs and Border Protection (CBP) to suspend liquidation
of entries of subject merchandise, as described in Appendix I, entered,
or withdrawn from warehouse, for consumption on or after the date of
publication of this notice in the Federal Register. Further, pursuant
to section 733(d)(1)(B) of the Act and 19 CFR 351.205(d), Commerce will
instruct CBP to require a cash deposit equal to the estimated weighted-
average dumping margin or the estimated all-others rate, as follows:
(1) the cash deposit rate for the respondents listed above will be
equal to the company-specific estimated weighted-average dumping
margins determined in this preliminary determination; (2) if the
exporter is not a respondent identified above, but the producer is,
then the cash deposit rate will be equal to the company-specific
estimated weighted-average dumping margin established for that producer
of the subject merchandise except as explained below; and (3) the cash
deposit rate for all other producers and exporters will be equal to the
all-others estimated weighted-average dumping margin.
Because the estimated weighted-average dumping margin for Prinx is
zero percent, entries of shipments of subject merchandise from this
company will not be subject to suspension of liquidation or cash
deposit requirements. In such situations, Commerce applies the
exclusion to the provisional measures to the producer/exporter
combination that was examined in the investigation. Accordingly,
Commerce is directing CBP not to suspend liquidation of entries of
subject merchandise from Prinx. Entries of shipments of subject
merchandise from this company in any other producer/exporter
combination, or by third parties that sourced subject merchandise from
the excluded producer/exporter combination, are subject to the
provisional measures at the all others rate.
Should the final estimated weighted-average dumping margin be zero
or de minimis for the producer/exporter combinations identified above,
entries of shipments of subject merchandise from these producer/
exporter combinations will be excluded from the potential antidumping
duty order. Such exclusions are not applicable to merchandise exported
to the United States by these respondents in any other producer/
exporter combinations or by third parties that sourced subject
merchandise from the excluded producer/exporter combination. These
suspension of liquidation instructions will remain in effect until
further notice.

Disclosure

Commerce intends to disclose its calculations and analysis
performed to interested parties in this preliminary

[[Page 43808]]

determination within five days of any public announcement or, if there
is no public announcement, within five days of the date of publication
of this notice in the Federal Register, in accordance with 19 CFR
351.224(b).
Consistent with 19 CFR 351.224(e), Commerce will analyze and, if
appropriate, correct any timely allegations of significant ministerial
errors by amending the preliminary determination. However, consistent
with 19 CFR 351.224(d), Commerce will not consider incomplete
allegations that do not address the significance standard under 19 CFR
351.224(g) following the preliminary determination. Instead, Commerce
will address such allegations in the final determination together with
issues raised in the case briefs or other written comments.

Verification

As provided in section 782(i)(1) of the Act, Commerce intends to
verify the information relied upon in making its final determination.

Public Comment

Case briefs or other written comments for may be submitted to the
Assistant Secretary for Enforcement and Compliance. Interested parties
will be notified of the timeline for the submission of case briefs and
written comments related to non-scope issues at a later date. Rebuttal
briefs, limited to issues raised in the case briefs, may be filed not
later than five days after the date for filing case briefs.\8\
Interested parties who submit case briefs or rebuttal briefs in this
proceeding must submit: (1) a table of contents listing each issue; and
(2) a table of authorities.\9\ See the Preliminary Scope Decision
Memorandum for the case and rebuttal brief deadlines related to scope
issues.\10\
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\8\ See 19 CFR 351.309(d); see also Administrative Protective
Order, Service, and Other Procedures in Antidumping and
Countervailing Duty Proceedings, 88 FR 67069, 67077 (September 29,
2023) (APO and Service Final Rule).
\9\ See 19 351.309(c)(2) and (d)(2)
\10\ See Preliminary Scope Decision Memorandum.
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As provided under 19 CFR 351.309(c)(2) and (d)(2), in prior
proceedings we have encouraged interested parties to provide an
executive summary of their briefs that should be limited to five pages
total, including footnotes. In this investigation, we instead request
that interested parties provide at the beginning of their briefs a
public, executive summary for each issue raised in their briefs.\11\
Further, we request that interested parties limit their public
executive summary of each issue to no more than 450 words, not
including citations. We intend to use the public executive summaries as
the basis of the comment summaries included in the issues and decision
memorandum that will accompany the final determination in this
investigation. We request that interested parties include footnotes for
relevant citations in the public executive summary of each issue. Note
that Commerce has amended certain of its requirements pertaining to the
service of documents in 19 CFR 351.303(f).\12\
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\11\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\12\ See APO and Service Final Rule.
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Pursuant to 19 CFR 351.310(c), interested parties who wish to
request a hearing, limited to issues raised in the case and rebuttal
briefs, must submit a written request to the Assistant Secretary for
Enforcement and Compliance, U.S. Department of Commerce, within 30 days
after the date of publication of this notice. Requests should contain
the party's name, address, and telephone number, the number of
participants, whether any participant is a foreign national, and a list
of the issues to be discussed. If a request for a hearing is made,
Commerce intends to hold the hearing at a time and date to be
determined. Parties should confirm by telephone the date, time, and
location of the hearing two days before the scheduled date.

Postponement of Final Determination

Section 735(a)(2) of the Act provides that a final determination
may be postponed until not later than 135 days after the date of the
publication of the preliminary determination if, in the event of an
affirmative preliminary determination, a request for such postponement
is made by exporters who account for a significant proportion of
exports of the subject merchandise, or in the event of a negative
preliminary determination, a request for such postponement is made by
the petitioner. Section 351.210(e)(2) of Commerce's regulations
requires that a request by exporters for postponement of the final
determination be accompanied by a request for extension of provisional
measures from a four-month period to a period not more than six months
in duration.
On May 9 and 13, 2024, pursuant to 19 CFR 351.210(e), Prinx and
Bridgestone, respectively, requested that Commerce postpone the final
determination.\13\ In accordance with section 735(a)(2)(A) of the Act
and 19 CFR 351.210(b)(2)(ii), because: (1) the preliminary
determination is affirmative; (2) the requesting exporters account for
a significant proportion of exports of the subject merchandise; and (3)
no compelling reasons for denial exist, Commerce is postponing the
final determination. Accordingly, Commerce will make its final
determination no later than 135 days after the date of publication of
this preliminary determination.
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\13\ See Prinx's Letter, ``Prinx Request for Postponement of
Final Determination,'' dated May 9, 2024; see also Bridgestone's
Letter, ``Request to Extend Final Determination,'' dated May 13,
2024.
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U.S. International Trade Commission Notification

In accordance with section 733(f) of the Act, Commerce will notify
the U.S. International Trade Commission (ITC) of its preliminary
determination. If the final determination is affirmative, the ITC will
determine before the later of 120 days after the date of this
preliminary determination or 45 days after the final determination
whether these imports are materially injuring, or threaten material
injury to, the U.S. industry.

Notification to Interested Parties

This determination is issued and published in accordance with
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

Dated: May 14, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the
non-exclusive functions and duties of the Assistance Secretary for
Enforcement and Compliance.

Appendix I

Scope of the Investigation

The scope of the investigation covers truck and bus tires. Truck
and bus tires are new pneumatic tires, of rubber, with a truck or
bus size designation. Truck and bus tires covered by the scope may
be tube-type, tubeless, radial, or non-radial (also known as bias
construction or bias-ply). 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; and
HC--Identifies a 17.5 inch rim diameter code for use on low
platform trailers.
All tires with a ``TR'' or ``HC'' suffix in their size
designations are covered by the scope regardless of their intended
use.

[[Page 43809]]

In addition, all tires that lack one of the above suffix
markings are included in the scope, as well as all tires that
include any other prefix or suffix in their sidewall markings, are
included in the scope, regardless of their intended use, as long as
the tire is of a size that fits trucks or busses. Sizes that fit
trucks and busses include, but are not limited to, the numerical
size designations listed in the ``Truck-Bus'' section of the Tire
and Rim Association Year Book, as updated annually. The scope
includes all tires that are of a size that fits trucks or busses,
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 are the following types of
tires: (1) pneumatic tires, of rubber, that are not new, including
recycled and retreaded tires; (2) non-pneumatic tires, such as solid
rubber tires; and (3) tires that exhibit each of the following
physical characteristics: (a) the designation ``MH'' is molded into
the tire's sidewall as part of the size designation; (b) the tire
incorporates a warning, prominently molded on the sidewall, that the
tire is for ``Mobile Home Use Only;'' and (c) the tire is of bias
construction (also known as non-radial construction) as evidenced by
the fact that the construction code included in the size designation
molded into the tire's sidewall is not the letter ``R.''
The subject merchandise is currently classifiable under
Harmonized Tariff Schedule of the United States (HTSUS) subheadings:
4011.20.1015 and 4011.20.5020. Tires meeting the scope description
may also enter under the following HTSUS subheadings: 4011.90.1010,
4011.90.1050, 4011.90.2010, 4011.90.2050, 4011.90.8010,
4011.90.8050, 8708.70.4530, 8708.70.4546, 8708.70.4548,
8708.70.4560, 8708.70.6030, 8708.70.6045, 8708.70.6060, and
8716.90.5059.
While HTSUS subheadings are provided for convenience and for
customs purposes, the written description of the subject merchandise
is dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Discussion of the Methodology
V. Preliminary Negative Determination of Critical Circumstances
VI. Currency Conversion
VII. Recommendation

[FR Doc. 2024-11026 Filed 5-17-24; 8:45 am]
BILLING CODE 3510-DS-P