Notice2025-04007

Passenger Vehicle and Light Truck Tires From the People's Republic of China: Notice of Court Decision Not in Harmony With the Results of Antidumping Administrative Review; Notice of Amended Final Results

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
March 13, 2025

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

On November 26, 2024, the U.S. Court of International Trade (the Court) issued a partial judgment in YC Rubber Co. (North America) LLC., et al. v. United States, Consol., Court no. 19-00069, sustaining, in part, the U.S. Department of Commerce (Commerce)'s first remand results pertaining to the administrative review of the antidumping duty (AD) order on passenger vehicle and light truck tire (passenger tires) from the People's Republic of China (China) covering the period August 1, 2016, through July 31, 2017. Commerce is notifying the public that the Court's partial judgment is not in harmony with Commerce's final results of the administrative review, and that Commerce is amending the final results with respect to the dumping margin assigned to Kenda Rubber (China) Co., Ltd. (Kenda).

Full Text

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<title>Federal Register, Volume 90 Issue 48 (Thursday, March 13, 2025)</title>
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[Federal Register Volume 90, Number 48 (Thursday, March 13, 2025)]
[Notices]
[Pages 11942-11943]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-04007]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-016]


Passenger Vehicle and Light Truck Tires From the People's 
Republic of China: Notice of Court Decision Not in Harmony With the 
Results of Antidumping Administrative Review; Notice of Amended Final 
Results

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

SUMMARY: On November 26, 2024, the U.S. Court of International Trade 
(the Court) issued a partial judgment in YC Rubber Co. (North America) 
LLC., et al. v. United States, Consol., Court no. 19-00069, sustaining, 
in part, the U.S. Department of Commerce (Commerce)'s first remand 
results pertaining to the administrative review of the antidumping duty 
(AD) order on passenger vehicle and light truck tire (passenger tires) 
from the People's Republic of China (China) covering the period August 
1, 2016, through July 31, 2017. Commerce is notifying the public that 
the Court's partial judgment is not in harmony with Commerce's final 
results of the administrative review, and that Commerce is amending the 
final results with respect to the dumping margin assigned to Kenda 
Rubber (China) Co., Ltd. (Kenda).

DATES: Applicable November 26, 2024.

FOR FURTHER INFORMATION CONTACT: Charles DeFilippo, 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.

SUPPLEMENTARY INFORMATION:

Background

    On April 26, 2019, Commerce published its Final Results in the 
2016-2017 AD administrative review of passenger tires from China. 
Commerce calculated a rate of 64.57 percent for Zhaoqing Junhong Co., 
Ltd. (Junhong) and relied on that rate to establish the rate for the 
separate rate respondents.\1\
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    \1\ See Certain Passenger Vehicle and Light Truck Tires from the 
People's Republic of China: Final Results of Antidumping Duty 
Administrative Review and Final Determination of No Shipments; 2016-
2017, 84 FR 17781 (April 26, 2019) (Final Results).
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    In its August 29, 2022, opinion, the U.S. Court of Appeals for the 
Federal Circuit (Federal Circuit) remanded the Final Results, 
concluding that Commerce erred in restricting its examination to a 
single mandatory respondent and in applying the single mandatory 
respondent's rate to the separate rate respondents.\2\ Therefore, on 
remand, Commerce sought to select an additional mandatory respondent to 
review and selected Kenda as a mandatory respondent.\3\ In March and 
May 2023, Kenda submitted responses to sections A through D of 
Commerce's AD questionnaire.\4\ In June 2023, Kenda submitted responses 
to Commerce's supplemental questionnaire.\5\ In the first remand 
redetermination, issued in October 2023, Commerce: (1) recalculated 
Kenda's estimated weighted-average dumping margin to be 18.15 percent 
based on its reported data; (2) recalculated the separate rate and 
applied it to Shandong Linglong Tyre Co. (Linglong); and (3) continued 
to find Shandong Wanda Boto Tyre Co., Ltd. (Wanda Boto), Mayrun Tyre 
(Hong Kong) Limited (Mayrun), Shandong Hengyu Science & Technology Co., 
Ltd. (Hengyu), and Winrun Tyre Co., Ltd. (Winrun) to be part of the 
China-wide entity.\6\ The Court remanded for a second time, concluding 
that Commerce: (1) may have erred in the order in which it selected a 
second respondent; (2) did not support with substantial evidence its 
denial of separate rate status for Mayrun, Hengyu, Winrun, and Wanda 
Boto; and (3) did not sufficiently explain its denial of the new 
withdrawal requests submitted during the first remand.\7\
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    \2\ See YC Rubber Co. (North America) LLC., et al. v. United 
States, 2022 U.S. App. LEXIS 14259, (Fed. Cir. 2022).
    \3\ See Memorandum, ``Certain Passenger Vehicle and Light Truck 
Tires from the People's Republic of China--Respondent Selection,'' 
dated March 10, 2023.
    \4\ See Kenda's Letter, ``Passenger Vehicle and Light Truck 
Tires from the People's Republic of China: Kenda's Response to 
Section A and Double Remedy Questionnaire,'' dated April 17, 2023; 
see also Kenda's Letter, ``Certain Passenger Vehicle and Light Truck 
Tires from China: Kenda Section C Questionnaire Response,'' date May 
2, 2023; Kenda's Letter, ``Certain Passenger Vehicle and Light Truck 
Tires from China: Kenda Section D Questionnaire Response,'' dated 
May 9, 2023.
    \5\ See Kenda's Letters, ``Certain Passenger Vehicle and Light 
Truck Tires from China: Kenda First Supplemental Questionnaire 
Response: Questions 2, 3, and 5-12,'' dated June 22, 2023; and 
``Certain Passenger Vehicle and Light Truck Tires from China: Kenda 
First Supplemental Questionnaire Response: Questions 1, 4, and 13-
15,'' dated June 27, 2023.
    \6\ See YC Rubber Co. (North America) LLC., et al. v. United 
States, Consol. Court No. 19-000069, Slip Op. 21-1489 (CIT February 
2, 2023), dated October 31, 2023 (First Remand Results), available 
at <a href="https://access.trade.gov/public/FinalRemandRedetermination.aspx">https://access.trade.gov/public/FinalRemandRedetermination.aspx</a>.
    \7\ See YC Rubber Co. (North America) LLC, et al. v. United 
States, 711 F. Supp. 3d 1387 (CIT 2024).
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    In its second remand redetermination, issued in October 2024, 
pursuant to the Remand Order, Commerce reexamined the U.S. Customs and 
Border Protection (CBP) data and determined that the correct order of 
selection for a second mandatory respondent was: (1) Wanda Boto; (2) 
Hengyu; (3) Mayrun; (4) Winrun; (5) Linglong, and (6) Kenda. Thus, on 
remand, Commerce selected Linglong as an additional mandatory 
respondent; however, because Linglong refused to participate, Commerce 
continued to rely on Kenda as the second mandatory respondent. In 
addition, Commerce found that: (1) Wanda Boto, Mayrun, Hengyu, Winrun, 
and Linglong failed to establish their entitlement to a separate rate 
and thus were part of the China-wide entity; and (2) that it is 
inappropriate to accept the untimely review withdrawal requests filed 
by Mayrun, Hengyu, Winrun, and Linglong. Finally, Commerce recalculated 
the cash deposit rate applicable to the China-wide entity to account 
for combined export subsidies and estimated domestic subsidy pass-
through of 11.13 percent.\8\ In response to a motion by Kenda for 
partial judgement, the Court issued a partial judgment sustaining 
Commerce's final redetermination with respect to Kenda's dumping margin 
calculation.\9\
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    \8\ See YC Rubber Co. (North America) LLC., et al. v. United 
States, Consol. Court No. 19-00069, Slip Op. 24-74 (CIT June 18, 
2024) (Second Remand Results).
    \9\ See YC Rubber Co. (North America) LLC., et al. v. United 
States, Consol. Court No. 19-00069, ECF Nos. 124 and 125 (CIT 
November 26, 2024).

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[[Page 11943]]

Timken Notice

    In its decision in Timken,\10\ as clarified by Diamond 
Sawblades,\11\ the Federal Circuit held that, pursuant to section 
516A(c) and (e) of the Tariff Act of 1930, as amended (the Act), 
Commerce must publish a notice of court decision that is not ``in 
harmony'' with a Commerce determination and must suspend liquidation of 
entries pending a ``conclusive'' court decision. The Court's November 
26, 2024, judgment constitutes a final decision of the Court that is 
not in harmony with Commerce's Final Results. Thus, this notice is 
published in fulfillment of the publication requirements of Timken.
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    \10\ See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 
1990) (Timken).
    \11\ See Diamond Sawblades Manufacturers Coalition v. United 
States, 626 F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades).
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Amended Final Results

    Because there is now a final court judgment regarding the dumping 
margin calculation for Kenda, Commerce is amending its Final Results 
with respect to Kenda as follows:

------------------------------------------------------------------------
                                                              Weighted-
                                                               average
                     Exporter/producer                         dumping
                                                                margin
                                                              (percent)
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Kenda Rubber (China) Co., Ltd..............................       18.15
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Cash Deposit Requirements

    Because Kenda has a superseding cash deposit rate, i.e., there have 
been final results published in a subsequent administrative review, we 
will not issue revised cash deposit instructions to CBP. Accordingly, 
this notice will not affect Kenda's current cash deposit rate.

Liquidation of Suspended Entries

    Commerce intends to instruct CBP to assess antidumping duties on 
unliquidated entries of subject merchandise produced and/or exported by 
Kenda in accordance with 19 CFR 351.212(b). We will instruct CBP to 
assess antidumping duties on all appropriate entries covered by this 
review when the importer-specific ad valorem assessment rate is not 
zero or de minimis. Where an import-specific ad valorem assessment rate 
is zero or de minimis,\12\ we will instruct CBP to liquidate the 
appropriate entries without regard to antidumping duties.
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    \12\ See 19 CFR 351.106(c)(2).
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Notification to Interested Parties

    This notice is issued and published in accordance with sections 
516A(c) and (e) and 777(i)(1) of the Act.

    Dated: March 6, 2025.
Christopher Abbott,
Deputy Assistant Secretary for Policy and Negotiations, performing the 
non-exclusive functions and duties of the Assistant Secretary for 
Enforcement and Compliance.
[FR Doc. 2025-04007 Filed 3-12-25; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on March 13, 2025.

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