Passenger Vehicle and Light Truck Tires From the Republic of Korea: Preliminary Results of Antidumping Duty Administrative Review; 2022-2023 Publication: Federal Register Agency: International Trade Administration Byline: Scot Fullerton Date: 9 August 2024 Subject: American Government Topics: Hankook, Nexen |
[Federal Register Volume 89, Number 154 (Friday, August 9, 2024)] [Notices] [Pages 65328-65330] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 2024-17749] ----------------------------------------------------------------------- DEPARTMENT OF COMMERCE International Trade Administration [A-580-908] Passenger Vehicle and Light Truck Tires From the Republic of Korea: Preliminary Results of Antidumping Duty Administrative Review; 2022-2023 AGENCY: Enforcement and Compliance, International Trade Administration, Department of Commerce. SUMMARY: The U.S. Department of Commerce (Commerce) preliminary determines that Hankook Tire & Technology Co. Ltd. (Hankook) and Nexen Tire Corporation (Nexen) made sales of passenger vehicle and light truck tires (passenger tires) from the Republic of Korea (Korea) at prices below normal value (NV) during the period of review (POR), July 1, 2022, through June 30, 2023. We invite interested parties to comment on these preliminary results. DATES: Applicable August 9, 2024. FOR FURTHER INFORMATION CONTACT: Charles DeFilippo and Jun Jack Zhao, AD/CVD Operations, Office VII, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-3797 and (202) 482-1396, respectively. SUPPLEMENTARY INFORMATION: Background On July 19, 2021, Commerce published in the Federal Register the antidumping duty order on passenger tires from Korea.\1\ On July 3, 2023, Commerce published in the Federal Register a notice of opportunity to request an administrative review of the Order.\2\ On September 11, 2023, based on timely requests for review and in accordance with 19 CFR 351.221(c)(1)(i), Commerce initiated an administrative review of the Order.\3\ --------------------------------------------------------------------------- \1\ See Passenger Vehicle and Light Truck Tires from the Republic of Korea, Taiwan, and Thailand: Antidumping Duty Orders and Amended Final Affirmative Antidumping Duty Determination for Thailand, 86 FR 38011 (July 19, 2021) (Order). \2\ See Antidumping or Countervailing Duty Order, Finding, or Suspended Investigation; Opportunity To Request Administrative Review and Join Annual Inquiry Service List, 88 FR 42693 (July 3, 2023). \3\ See Initiation of Antidumping and Countervailing Duty Administrative Review, 88 FR 42322 (September 11, 2023). --------------------------------------------------------------------------- On March 22, 2024, in accordance with section 751(a)(3)(A) of the Tariff Act of 1930, as amended (the Act) and 19 CFR 351.213(h)(2), Commerce extended the due date for the preliminary results until July 30, 2024.\4\ On July 22, 2024, Commerce tolled certain deadlines in this administrative proceeding by seven days.\5\ The deadline for the preliminary results is now August 6, 2024. --------------------------------------------------------------------------- \4\ See Memorandum, ``Extension of Deadline for Preliminary Results of Antidumping Duty Administrative Review,'' dated March 22, 2024. \5\ See Memorandum, ``Tolling of Deadlines for Antidumping and Countervailing Duty Proceedings,'' dated July 22, 2024. --------------------------------------------------------------------------- For a complete description of the events that followed the initiation of this review, see the Preliminary Decision Memorandum.\6\ A list of the [[Page 65329]] topics included in the Preliminary Decision Memorandum is included as the 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 https://access.trade.gov/public/FRNoticesListLayout.aspx. --------------------------------------------------------------------------- \6\ See Memorandum, ``Decision Memorandum for the Preliminary Results of the Administrative Review of the Antidumping Duty Order on Passenger Vehicle and Light Truck Tires from the Republic of Korea; 2022-2023,'' dated concurrently with, and hereby adopted by, this notice (Preliminary Decision Memorandum). --------------------------------------------------------------------------- Scope of the Order The products covered by the Order are passenger tires from Korea. The products covered by this Order are currently classified under the following Harmonized Tariff Schedule of the United States (HTSUS) subheadings: 4011.10.1010, 4011.10.1020, 4011.10.1030, 4011.10.1040, 4011.10.1050, 4011.10.1060, 4011.10.1070, 4011.10.5000, 4011.20.1005, and 4011.20.5010. 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, and 8708.70.6060. While HTSUS subheadings are provided for convenience and for customs purposes, the written description of the subject merchandise is dispositive. For a full description of the scope of the Order, see the Preliminary Decision Memorandum. Methodology Commerce is conducting this review in accordance with section 751(a) of the Act. Export price and constructed export price are calculated in accordance with section 772 of the Act. NV is calculated in accordance with section 773 of the Act. For a full description of the methodology underlying these preliminary results, see the Preliminary Decision Memorandum. Rate for Non-Examined Companies The Act and Commerce's regulations do not address the establishment of a weighted-average dumping margin to be determined for companies 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 the Act, which provides instructions for calculating the all-others rate in a less-than-fair-value investigation, for guidance when determining the weighted-average dumping margin for companies which were not selected for individual examination in an administrative review. Section 735(c)(5)(A) of the Act provides that Commerce will base the all-others rate on the weighted average of the estimated weighted- average dumping margins calculated for the individually examined respondents, excluding rates that are zero, de minimis, or based entirely on facts available. Where the estimated weighted-average dumping margin for each of the individually examined companies is 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.'' In this review, the preliminary weighted-average dumping margins for Hankook and Nexen are not zero, de minimis, or based entirely on facts otherwise available. Therefore, we have preliminarily assigned to the non-examined company, Kumho Tire Co., Inc., a rate equal to the weighted average of the weighted-average dumping margins calculated for Hankook and Nexen, consistent with the guidance in section 735(c)(5)(A) of the Act.\7\ --------------------------------------------------------------------------- \7\ We used publicly ranged U.S. sales values to weight average the weighted-average dumping margins of the mandatory respondents. See Memorandum, ``Preliminary Results of the Antidumping Duty Administrative Review of Passenger Vehicles and Light Truck Tires from the Republic of Korea: Rate for Non-Examined Companies,'' dated concurrently with this notice. With two respondents under examination, Commerce normally calculates: (A) a weighted-average of the weighted-average dumping margins calculated for the examined respondents; (B) a simple average of the weighted-average dumping margins calculated for the examined respondents; and (C) a weighted- average of the weighted-average dumping margins calculated for the examined respondents using each company's publicly ranged U.S. sale quantities for the merchandise under consideration. Commerce then compares (B) and (C) to (A) and selects the rate closest to (A) as the most appropriate rate for the non-individually-examined respondents. See, e.g., Ball Bearings and Parts Thereof from France, Germany, Italy, Japan, and the United Kingdom: Final Results of Antidumping Duty Administrative Reviews, Final Results of Changed- Circumstances Review, and Revocation of an Order in Part, 75 FR 53661, 53663 (September 1, 2010). --------------------------------------------------------------------------- Preliminary Results of Review As a result of this review, Commerce preliminarily determines that the following weighted-average dumping margins exist for the period July 1, 2022, through June 30, 2023: ------------------------------------------------------------------------ Weighted- average Producer or exporter dumping margin (percent) ------------------------------------------------------------------------ Hankook Tire Mfg Co. Ltd.................................... 4.75 Nexen Tire Corporation...................................... 3.63 Kumho Tire Co., Inc......................................... 4.19 ------------------------------------------------------------------------ Disclosure and Public Comment Commerce intends to disclose its calculations and analysis performed to interested parties for these preliminary results under administrative protective order 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 accordance with 19 CFR 351.224(b). Pursuant to 19 CFR 351.309(c), interested parties may submit case briefs or other written comments to the Assistant Secretary for Enforcement and Compliance no later than 30 days after the date of publication of this notice. 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\ --------------------------------------------------------------------------- \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). --------------------------------------------------------------------------- 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 brief that should be limited to five pages total, including footnotes. In this review, we instead request that interested parties provide at the beginning of their briefs a public, executive summary for each issue raised in their briefs.\10\ 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 [[Page 65330]] final results in this administrative review. We request that interested parties include footnotes for relevant citations in the executive summary of each issue. --------------------------------------------------------------------------- \10\ We use the term ``issue'' here to describe an argument that Commerce would normally address in a comment of the Issues and Decision Memorandum. --------------------------------------------------------------------------- Pursuant to 19 CFR 351.310(c), interested parties who wish to request a hearing must submit a written request to the Assistant Secretary for Enforcement and Compliance, filed electronically via ACCESS. 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 briefs. An electronically filed document must be received successfully in its entirety by Commerce's electronic records system, ACCESS, by 5 p.m. Eastern Time within 30 days after the date of publication of this notice. Note that Commerce has amended certain of its requirements pertaining to the service of documents in 19 CFR 351.303(f).\11\ --------------------------------------------------------------------------- \11\ See APO and Service Final Rule. --------------------------------------------------------------------------- Final Results of Review Commerce intends to issue the final results of this administrative review, including the results of its analysis of the issues raised in any written briefs, no later than 120 days after the date of publication of this notice in the Federal Register, unless extended, pursuant to section 751(a)(3)(A) of the Act and 19 CFR 351.213(h)(1). Assessment Rates Upon completion of this administrative review, Commerce shall determine, and U.S. Customs and Border Protection (CBP) shall assess, antidumping duties on all appropriate entries in accordance with 19 CFR 351.212(b). If a respondent's weighted-average dumping margin is not zero or de minimis (i.e., less than 0.5 percent) in the final results of this review, we will calculate importer-specific assessment rate on the basis of the ratio of the total amount of dumping calculated for an importer's examined sales and the total entered value of such sales in accordance with 19 CFR 351.212(b)(1).\12\ If the weighted-average dumping margin is zero or de minimis in the final results of review, or an importer-specific assessment rate is zero or de minimis, then we will instruct CBP to liquidate the appropriate entries without regard to antidumping duties. --------------------------------------------------------------------------- \12\ See Antidumping Proceedings: Calculation of the Weighted- Average Dumping Margin and Assessment Rate in Certain Antidumping Proceedings; Final Modification, 77 FR 8101, 8103 (February 14, 2012). --------------------------------------------------------------------------- For entries of subject merchandise during the POR produced by an individually examined respondent for which it did not know its merchandise was destined for the United States, we intend to instruct CBP to liquidate such entries at the all-others rate (i.e., 21.74 percent) \13\ if there is no rate for the intermediate company(ies) involved in the transaction.\14\ --------------------------------------------------------------------------- \13\ See Order, 86 FR at 38012. \14\ For a full discussion of this practice, see Antidumping and Countervailing Duty Proceedings: Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003). --------------------------------------------------------------------------- For non-individually-examined companies, the assessment rate for antidumping duties will be equal to the weighted-average dumping margin in the final results of review. If the weighted-average dumping margin is zero or de minimis in the final results of review, then we will instruct CBP to liquidate the appropriate entries without regard to antidumping duties. Commerce intends to issue assessment instructions to CBP no earlier than 35 days after the date of publication of the final results of this administrative 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 time for parties to file a request for a statutory injunction has expired (i.e., within 90 days of publication). The final results of this administrative review shall be the basis for the assessment of antidumping duties on entries of merchandise under review and for future cash deposits of estimated antidumping duties, where applicable. Cash Deposit Requirements The following cash deposit requirements will be effective for all shipments of subject merchandise entered, or withdrawn from warehouse, for consumption on or after the date of publication of the final results of this administrative review in the Federal Register, as provided for by section 751(a)(2)(C) of the Act: (1) the cash deposit rate for the exporters listed above will be the rate established in the final results of this review (except, if the rate is zero or de minimis, then no cash deposit will be required); (2) for previously reviewed or investigated exporters not listed above, the cash deposit rate will continue to be the company-specific rate published for the most recently completed segment of this proceeding in which the company participated; (3) if the exporter is not a firm covered in this review, a prior review, or the less-than-fair value investigation, but the producer is, the cash deposit rate will be the rate established for the most recently completed segment of this proceeding for the producer of the subject merchandise; and (4) the cash deposit rate for all other producers or exporters will continue to be 21.74 percent, the all- others rate established in the less-than-fair value investigation.\15\ These cash deposit requirements, when imposed, shall remain in effect until further notice. --------------------------------------------------------------------------- \15\ See Order, 86 FR at 38012. --------------------------------------------------------------------------- Notification to Importers This notice also serves as a preliminary reminder to importers of their responsibility under 19 CFR 351.402(f)(2) to file a certificate regarding the reimbursement of antidumping duties prior to liquidation of the relevant entries during this review period. Failure to comply with this requirement could result in Commerce's presumption that reimbursement of antidumping duties occurred and the subsequent assessment of double antidumping duties. Notification to Interested Parties We are issuing and publishing these preliminary results in accordance with sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.221(b)(4). Dated: August 5, 2024. Scot Fullerton, Acting Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations. Appendix List of Topics Discussed in the Preliminary Decision Memorandum I. Summary II. Background III. Scope of the Order IV. Discussion of the Methodology V. Currency Conversion VI. Recommendation [FR Doc. 2024-17749 Filed 8-8-24; 8:45 am] BILLING CODE 3510-DS-P