Notice2024-23917

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

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
October 17, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that certain truck and bus tires from Thailand are being, or are likely to be, sold in the United States at less than fair value (LTFV).

Full Text

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<title>Federal Register, Volume 89 Issue 201 (Thursday, October 17, 2024)</title>
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[Federal Register Volume 89, Number 201 (Thursday, October 17, 2024)]
[Notices]
[Pages 83636-83639]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-23917]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-549-848]


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

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
certain truck and bus tires from Thailand are being, or are likely to 
be, sold in the United States at less than fair value (LTFV).

DATES: Applicable October 17, 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

    On May 20, 2024, Commerce published the Preliminary Determination 
in the Federal Register.\1\

[[Page 83637]]

We invited interested parties to comment on the Preliminary 
Determination. Bridgestone Corporation (Bridgestone) and Prinx 
Chengshan Tire (Thailand) Co., Ltd. (Prinx) are the mandatory 
respondents in this investigation. On July 22, 2024, Commerce tolled 
certain deadlines in this administrative proceeding by seven days.\2\ 
The deadline for the final determination is now October 9, 2024.
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    \1\ See 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, 89 FR 43806 (May 20, 2024) 
(Preliminary Determination), and accompanying Preliminary Decision 
Memorandum (PDM).
    \2\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated July 22, 2024.
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    A summary of the events that occurred since Commerce published the 
Preliminary Determination, as well as a full discussion of the issues 
raised by parties for this final determination, may be found in the 
Issues and Decision Memorandum.\3\ The Issues and 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 
<a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete version of the Issues 
and Decision Memorandum can be accessed directly at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
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    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination in the Less-Than-Fair-Value 
Investigation of Truck and Bus Tires from Thailand,'' dated 
concurrently with, and hereby adopted by, this notice (Issues and 
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 full description of the scope of this 
investigation, see Appendix I.

Scope Comments

    We received no comments from interested parties on the scope of the 
investigation as it appeared in the Preliminary Determination. 
Therefore, we made no changes to the scope of the investigation.

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), in June and July 2024, we conducted verification of the 
sales information and cost information submitted by Bridgestone and 
Prinx for use in our final determination. We used standard verification 
procedures, including an examination of relevant sales and accounting 
records, and original source documents provided by Bridgestone and 
Prinx.

Analysis of Comments Received

    The issues raised in comments that were submitted by parties in 
this investigation are addressed in the Issues and Decision Memorandum. 
A list of the issues addressed in the Issues and Decision Memorandum is 
attached to this notice at Appendix II.

Final Affirmative Determination of Critical Circumstances, in Part

    Commerce preliminarily determined, in accordance with section 
733(e)(1) of the Act and 19 CFR 351.206(c)(1), that critical 
circumstances did not exist with respect to imports of truck and bus 
tires exported by Bridgestone, Prinx, and all other companies.\4\
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    \4\ See Preliminary Determination PDM at 20.
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    For the final determination, pursuant to section 735(a)(3)(B) of 
the Act and 19 CFR 351.206, we continue to find that critical 
circumstances do not exist for Prinx and all other companies, but that 
critical circumstances do exist for Bridgestone. For a full description 
of the methodology and results of Commerce's critical circumstances 
analysis, see the Issues and Decision Memorandum.

Changes Since the Preliminary Determination

    As explained in the Issues and Decision Memorandum, Commerce was 
unable to verify the accuracy of Bridgestone's reporting with respect 
to its sales data. As a consequence, we find that Bridgestone's 
reported sales data are unverified and, thus, cannot serve as a 
reliable basis for calculating an accurate margin for Bridgestone in 
this investigation. Furthermore, based on our analysis of the comments 
received and our findings at verification, we made changes to Prinx's 
dumping margin. For a discussion of these changes, see the Issues and 
Decision Memorandum.

Use of Adverse Facts Available

    Because Bridgestone's submitted data could not be verified, we are 
unable to use its data to calculate an accurate dumping margin for the 
company. Therefore, for this final determination we find it appropriate 
to rely on facts available with an adverse inference (AFA) to assign 
Bridgestone an estimated weighted-average dumping margin, in accordance 
with sections 776(a) and (b) of the Act, and 19 CFR 351.308, because 
Bridgestone failed to cooperate by not acting to the best of its 
ability to comply with our requests for information. In applying AFA, 
we assigned Bridgestone the margin identified in the Petition, i.e., 
48.39 percent.\5\
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    \5\ See Truck and Bus Tires from Thailand: Initiation of Less-
Than-Fair-Value Investigation, 88 FR 77960 (November 14, 2023); see 
also Checklist, ``Antidumping Duty Investigation Initiation 
Checklist: Truck and Bus Tires from Thailand, dated November 6, 
2023, at 7; Petitioner's Letter, ``Petition for the Imposition of 
Antidumping Duties on Truck and Bus Tires from Thailand,'' dated 
October 17, 2023 (Petition), at Volume II; and Petitioner's Letter, 
``Petition Supplemental Questions Response,'' dated October 24, 
2023.
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    Additionally, due to findings at verification related to certain of 
Prinx's reported sales expenses, we find it appropriate to rely on AFA, 
in part, in the calculation of its dumping margin for the final 
determination. For further discussion, see the Issues and Decision 
Memorandum.

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that the estimated 
weighted-average dumping margin for all other producers and exporters 
not individually examined 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 or de minimis margins, and margins determined entirely under 
section 776 of the Act.
    For the final determination of this investigation, Prinx was the 
only individually examined exporter/producer for which Commerce 
calculated an individual estimated weighted-average dumping margin. 
Because Prinx's dumping margin is the only individually calculated 
dumping margin that is not zero, de minimis, or based entirely on facts 
otherwise available, the estimated weighted-average dumping margin 
calculated for Prinx is the margin assigned to all other producers and 
exporters, pursuant to section 735(c)(5)(A) of the Act.

Final Determination

    The final estimated weighted-average dumping margins are as 
follows:

------------------------------------------------------------------------
                                                               Estimated
                                                               weighted-
                                                                average
                    Producer or exporter                        dumping
                                                                margin
                                                               (percent)
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Bridgestone Corporation.....................................       48.39
Prinx Chengshan Tire (Thailand) Co., Ltd....................       12.33
All Others..................................................       12.33
------------------------------------------------------------------------

Disclosure

    Commerce intends to disclose the calculations performed in 
connection

[[Page 83638]]

with this final determination to interested parties within five days of 
any public announcement or, if there is no public announcement, within 
five days of the publication of the notice in the Federal Register, in 
accordance with 19 CFR 351.224(b).

Suspension of Liquidation

    Because the Preliminary Determination was negative with respect to 
Prinx, we did not instruct U.S. Customs and Border Protection (CBP) to 
suspend entries of subject merchandise, as described in Appendix I to 
this notice, from Prinx. In accordance with section 735(c)(1)(C) of the 
Act, we will now direct CBP to suspend liquidation of all imports of 
the subject merchandise from Prinx entered, or withdrawn from 
warehouse, for consumption on or after the date of publication of this 
notice in the Federal Register, and to require the posting of a cash 
deposit for such entries of merchandise.
    With respect to Bridgestone, section 733(e)(2) of the Act provides 
that, given an affirmative determination of critical circumstances, any 
suspension of liquidation shall apply to unliquidated entries of 
subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after the later of: (a) the date which is 90 days 
before the date on which the suspension of liquidation was first 
ordered; or (b) the date on which notice of initiation of the 
investigation was published. The Preliminary Determination was 
affirmative with respect to Bridgestone's sales at LTFV; however, 
Commerce preliminarily determined that critical circumstances did not 
exist for Bridgestone. Accordingly, Commerce ordered the suspension of 
liquidation for Bridgestone's entries of subject merchandise from 
Thailand on May 20, 2024, the date of publication of the Preliminary 
Determination in the Federal Register. Therefore, as a result of this 
final affirmative determination of critical circumstances for 
Bridgestone, pursuant to section 733(e)(2) of the Act, we will now 
instruct CBP to suspend liquidation of all entries of subject 
merchandise from Bridgestone which were entered, or withdrawn from 
warehouse, for consumption on or after February 20, 2024, which is 90 
days prior to the publication of the Preliminary Determination.
    Finally, with respect to all other companies, in accordance with 
section 735(c)(1)(B) of the Act, Commerce will instruct CBP to continue 
to suspend liquidation of all appropriate entries of subject 
merchandise from Thailand, as described in Appendix I to this notice, 
entered, or withdrawn from warehouse, for consumption on or after May 
20, 2024, the date of publication of Preliminary Determination in the 
Federal Register. These suspension-of-liquidation instructions will 
remain in effect until further notice.
    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), where appropriate, 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 margin determined in this final 
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; and (3) the cash deposit 
rate for all other producers and exporters will be equal to the all-
others estimated weighted-average dumping margin.

U.S. International Trade Commission (ITC) Notification

    In accordance with section 735(d) of the Act, we will notify the 
ITC of the final affirmative determination of sales at LTFV. Because 
Commerce's final determination is affirmative, in accordance with 
section 735(b)(2) of the Act, the ITC will make its final determination 
as to whether the domestic industry in the United States is materially 
injured, or threatened with material injury, by reason of imports or 
sales (or the likelihood of sales) for importation of truck and bus 
tires from Thailand, no later than 45 days after this final 
determination. If the ITC determines that such injury does not exist, 
this proceeding will be terminated, and all cash deposits posted will 
be refunded and suspension of liquidation will be lifted. If the ITC 
determines that such injury does exist, Commerce will issue an 
antidumping duty order directing CBP to assess, upon further 
instruction by Commerce, antidumping duties on all imports of the 
subject merchandise entered, or withdrawn from warehouse, for 
consumption on or after the effective date of the suspension of 
liquidation, as discussed above in the ``Continuation of Suspension of 
Liquidation'' section.

Administrative Protective Order (APO)

    This notice will serve as a final reminder to the parties subject 
to an APO of their responsibility concerning the disposition of 
proprietary information disclosed under APO in accordance with 19 CFR 
351.305(a)(3). Timely written notification of return or destruction of 
APO materials or conversion to judicial protective order is hereby 
requested. Failure to comply with the regulations and the terms of an 
APO is a sanctionable violation.

Notification to Interested Parties

    This determination is issued and published in accordance with 
sections 735(d) and 777(i)(1) of the Act, and 19 CFR 351.210(c).

    Dated: October 9, 2024.
Scot Fullerton,
Acting Assistant 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.
    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

[[Page 83639]]

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 Issues and Decision Memorandum

I. Summary
II. Background
III. Final Affirmative Determination of Critical Circumstances, in 
Part
IV. Changes from the Preliminary Determination
V. Application of Facts Available and Use of Adverse Inferences
VI. Discussion of the Issues
    Comment 1: Treatment of Certain of Bridgestone's Sales 
Information and Sales Expenses Based on Commerce's Findings at 
Verification and Whether Commerce Should Apply Adverse Facts 
Available (AFA) to Bridgestone
    Comment 2: Whether Commerce Should Adjust Bridgestone's Normal 
Value (NV) to Include Home Market (HM) Rebates
    Comment 3: Whether Commerce Should Apply Total AFA to Prinx
    Comment 4: Whether Commerce Should Apply Partial AFA to Certain 
of Prinx's Sales Expenses
    Comment 5: Whether Commerce Should Use Bridgestone's Constructed 
Export Price (CEP) Profit to Calculate Prinx's CEP Profit Rate
    Comment 6: Whether Commerce Should Rely on Bridgestone's 
Reported Data for Use in Prinx's Constructed Value (CV) Profit and 
Indirect Selling Expenses
    Comment 7: Whether Prinx's U.S. Warranty Expenses, WARRU, Should 
Be Applied to Prinx's CEP Sales
    Comment 8: Whether Commerce Should Use the Cohen's d Test
VII. Recommendation

[FR Doc. 2024-23917 Filed 10-16-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on October 17, 2024.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.