Notice2026-05445

Certain Steel Wheels From the People's Republic of China: Initiation of Circumvention Inquiries on the Antidumping and Countervailing Duty Orders

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 19, 2026

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

In response to a request from Accuride Corporation (Accuride) and Maxion Wheels USA LLC (Maxion) (domestic interested parties), the U.S. Department of Commerce (Commerce) is initiating a country-wide circumvention inquiry to determine whether imports of certain steel wheels from Thailand are circumventing the antidumping duty (AD) and countervailing duties (CVD) orders on certain steel wheels from the People's Republic of China (China).

Full Text

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<title>Federal Register, Volume 91 Issue 53 (Thursday, March 19, 2026)</title>
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[Federal Register Volume 91, Number 53 (Thursday, March 19, 2026)]
[Notices]
[Pages 13291-13293]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-05445]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-082, C-570-083]


Certain Steel Wheels From the People's Republic of China: 
Initiation of Circumvention Inquiries on the Antidumping and 
Countervailing Duty Orders

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

SUMMARY: In response to a request from Accuride Corporation (Accuride) 
and Maxion Wheels USA LLC (Maxion) (domestic interested parties), the 
U.S. Department of Commerce (Commerce) is initiating a country-wide 
circumvention inquiry to determine whether imports of certain steel 
wheels from Thailand are circumventing the antidumping duty (AD) and 
countervailing duties (CVD) orders on certain steel wheels from the 
People's Republic of China (China).

DATES: Applicable March 19, 2026.

FOR FURTHER INFORMATION CONTACT: Thomas Cloyd, AD/CVD Operations, 
Enforcement and Compliance, International Trade Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 
20230; telephone: (202) 482-1246.

SUPPLEMENTARY INFORMATION:

Background

    On January 14, 2026, pursuant to section 781(b) of the Tariff Act 
of 1930, as amended (the Act), and 19 CFR 351.226(i), Accuride and 
Maxion (domestic interested parties) filed a circumvention inquiry 
request alleging that certain steel wheels finished in Thailand using 
hot-rolled steel (HRS) produced in China, and subsequently exported 
from Thailand to the United States are circumventing the AD and CVD 
orders on certain steel wheels from China \1\ and, accordingly, should 
be included within the scope of the Orders.\2\ On January 26, 2026, an 
interested party, Asia Wheel Co., Ltd. (Asia Wheel), filed adequacy 
comments alleging the legal requirements to initiate a circumvention 
inquiry had not been met.\3\ On February 2, 2026, domestic interested 
parties filed rebuttal comments in response to Asia Wheel's adequacy 
comments.\4\ On February 9, 2026, we issued a supplementary 
questionnaire to domestic interested parties to clarify the period of 
inquiry and period of comparison.\5\ The domestic interested parties 
responded on February 12, 2026.\6\
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    \1\ See Certain Steel Wheels from the People's Republic of 
China: Antidumping and Countervailing Duty Orders, 84 FR 24098 (May 
24, 2019) (Orders).
    \2\ See Domestic Interested Parties' Letter, ``Request for 
Circumvention Ruling (Thailand),'' dated January 14, 2026 
(Circumvention Inquiry Request).
    \3\ See Asia Wheel's Letter, ``Adequacy Comments,'' dated 
January 26, 2026.
    \4\ See Domestic Interested Parties' Letter, ``Response to 
Comments on the Adequacy of the Request for a Circumvention 
Inquiry,'' dated February 2, 2026.
    \5\ See Commerce's Letter, ``Supplemental Questionnaire,'' dated 
February 9, 2026.
    \6\ See Domestic Interested Parties' Letter, ``Response to 
Supplemental Questionnaire,'' dated February 12, 2026. In accordance 
with 19 CFR 351.226(d)(1)(ii), the domestic interested parties' 
timely response extended the deadline for initiation of this 
circumvention inquiry by 30 days to March 16, 2026.
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Scope of the Orders

    The merchandise subject to the Orders is certain on-the-road steel 
wheels, discs, and rims for tubeless tires, with a nominal rim diameter 
of 22.5 inches and 24.5 inches, regardless of width. Imports of the 
subject merchandise are currently classified under the following 
Harmonized Tariff Schedule of the United States (HTSUS) subheadings: 
8708.70.4530, 8708.70.4560, 8708.70.6030, 8708.70.6060, and 
8716.90.5059. Merchandise meeting the scope description may also enter 
under the following HTSUS subheadings: 4011.20.1015, 4011.20.5020, and 
8708.99.4850. While HTSUS subheadings are provided for convenience and 
customs purposes, the written description of the scope of the Orders is 
dispositive. For a full description of the scope of the Orders, see the 
Initiation Checklist.\7\
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    \7\ See Checklist, ``Thailand Assembly Circumvention Initiation 
Checklist,'' dated concurrently with, and hereby adopted by, this 
notice (Initiation Checklist).
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Merchandise Subject to the Circumvention Inquiry

    The circumvention inquiry covers certain steel wheels finished in 
Thailand using HRS produced in China and subsequently exported from 
Thailand to the United States.

Initiation of Circumvention Inquiry

    Section 351.226(d) of Commerce's regulations states that if 
Commerce determines that a request for a circumvention inquiry 
satisfies the requirements of 19 CFR 351.226(c), then Commerce ``will 
accept the request and initiate a circumvention inquiry.'' Section 
351.226(c)(1) of Commerce's regulations, in turn, requires that each 
request for a circumvention inquiry allege ``that the elements 
necessary for a circumvention determination under section 781 of the 
Act exist'' and be ``accompanied by information reasonably available to 
the interested party supporting these allegations.'' Domestic 
interested parties alleged circumvention pursuant to section 781(b) of 
the Act (merchandise completed or assembled in other foreign 
countries).
    Section 781(b)(1) of the Act provides that Commerce may find 
circumvention of an order when merchandise of the same class or kind 
subject to the order is completed or assembled in a foreign country 
other than the country to which the order applies. In conducting a 
circumvention inquiry, under section 781(b)(1) of the Act, Commerce 
relies on

[[Page 13292]]

the following criteria: (A) merchandise imported into the United States 
is of the same class or kind as any merchandise produced in a foreign 
country that is the subject of an AD or CVD order; (B) before 
importation into the United States, such imported merchandise is 
completed or assembled in another foreign country from merchandise 
which is subject to the order or is produced in the foreign country 
that is subject to the order; (C) the process of assembly or completion 
in the foreign country referred to in section (B) is minor or 
insignificant; (D) the value of the merchandise produced in the foreign 
country to which the AD or CVD order applies is a significant portion 
of the total value of the merchandise exported to the United States; 
and (E) the administering authority determines that action is 
appropriate to prevent evasion of such order.
    In determining whether the process of assembly or completion in a 
foreign country is minor or insignificant under section 781(b)(1)(C) of 
the Act, section 781(b)(2) of the Act directs Commerce to consider: (A) 
the level of investment in the foreign country; (B) the level of 
research and development in the foreign country; (C) the nature of the 
production process in the foreign country; (D) the extent of production 
facilities in the foreign country; and (E) whether or not the value of 
processing performed in the foreign country represents a small 
proportion of the value of the merchandise imported into the United 
States. However, no single factor, by itself, controls Commerce's 
determination of whether the process of assembly or completion in a 
foreign country is minor or insignificant.\8\ Accordingly, it is 
Commerce's practice to evaluate each of these five factors as they 
exist in the foreign country, depending on the totality of the 
circumstances of the particular circumvention inquiry.\9\
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    \8\ See Statement of Administrative Action Accompanying the 
Uruguay Round Agreements Act, H.R. Doc. 103-316, Vol. 1 (1994), at 
893.
    \9\ See Uncovered Innerspring Units from the People's Republic 
of China: Final Affirmative Determination of Circumvention of the 
Antidumping Duty Order, 83 FR 65626 (December 21, 2018), and 
accompanying Issues and Decision Memorandum at 4.
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    In addition, section 781(b)(3) of the Act sets forth additional 
factors to consider in determining whether to include merchandise 
assembled or completed in a foreign country within the scope of an AD 
or CVD order. Specifically, Commerce shall take into account such 
factors as: (A) the pattern of trade, including sourcing patterns; (B) 
whether the manufacturer or exporter of the merchandise that was 
shipped to the foreign country is affiliated with the person who, in 
the foreign country, uses the merchandise to complete or assemble the 
merchandise which is subsequently imported into the United States; and 
(C) whether imports of the merchandise into the foreign country have 
increased after the initiation of the investigation that resulted in 
the issuance of such order.

Analysis

    Based on our analysis of the domestic interested parties' 
circumvention inquiry request and supplemental questionnaire response, 
we determine that requesters have satisfied the criteria under 19 CFR 
351.226(c), and thus, pursuant to 19 CFR 351.226(d)(1)(iii), we have 
accepted the request and are initiating the requested circumvention 
inquiry of the Orders. For a full discussion of the basis for our 
decision to initiate the requested circumvention inquiry, see the 
Initiation Checklist. The Initiation Checklist is available on ACCESS. 
ACCESS is available to registered users at <a href="https://access.trade.gov">https://access.trade.gov</a>.
    As explained in the Initiation Checklist, the information provided 
by requesters' warrants initiating this circumvention inquiry on a 
country-wide basis. Commerce has taken this approach in prior 
circumvention inquiries, where the facts warranted initiation on a 
country-wide basis.\10\ As such, Commerce intends to issue 
questionnaires to solicit information from producers and exporters in 
Thailand concerning their shipments to the United States and the origin 
of steel plates being further processed into steel wheels (i.e., the 
merchandise subject to the Orders).
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    \10\ See, e.g., Hydrofluorocarbon Blends from the People's 
Republic of China: Initiation of Circumvention Inquiry on the 
Antidumping Duty Order, 88 FR 74150 (October 30, 2023); see also 
Hydrofluorocarbon Blends from the People's Republic of China: 
Initiation of Circumvention Inquiries on the Antidumping Duty Order, 
88 FR 43275 (July 7, 2023); Certain Corrosion-Resistant Steel 
Products from the Republic of Korea and Taiwan: Initiation of Anti-
Circumvention Inquiries on the Antidumping Duty and Countervailing 
Duty Orders, 83 FR 37785 (August 2, 2018); Carbon Steel Butt-Weld 
Pipe Fittings from the People's Republic of China: Initiation of 
Anti-Circumvention Inquiry on the Antidumping Duty Order, 82 FR 
40556, 40560 (August 25, 2017) (stating at initiation that Commerce 
would evaluate the extent to which a country-wide finding applicable 
to all exports might be warranted); and Certain Corrosion-Resistant 
Steel Products from the People's Republic of China: Initiation of 
Anti-Circumvention Inquiries on the Antidumping Duty and 
Countervailing Duty Orders, 81 FR 79454, 79458 (November 14, 2016) 
(stating at initiation that Commerce would evaluate the extent to 
which a country-wide finding applicable to all exports might be 
warranted).
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Respondent Selection

    Commerce intends to base respondent selection on U.S. Customs and 
Border Protection (CBP) data. Commerce intends to place the CBP data on 
the record within five days of the publication of this initiation 
notice, which will be available on 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>. Comments regarding the CBP data and respondent 
selection should be submitted within seven days after placement of the 
CBP data on the record of the inquiry.
    Commerce intends to establish a schedule for questionnaire 
responses after respondent selection. A company's failure to completely 
respond to Commerce's requests for information may result in the 
application of partial or total facts available, pursuant to section 
776(a) of the Act, which may include adverse inferences, pursuant to 
section 776(b) of the Act.

Suspension of Liquidation

    Pursuant to 19 CFR 351.226(l)(1), Commerce will notify CBP of this 
initiation and direct CBP to continue the suspension of liquidation of 
entries of products subject to this circumvention inquiry that were 
already subject to the suspension of liquidation under the Orders and 
to apply the cash deposit rates that would be applicable if the 
products were determined to be covered by the scope of the Orders. 
Should Commerce issue affirmative preliminary or final circumvention 
determinations, Commerce will follow the suspension of liquidation 
rules under 19 CFR 351.226(l)(2)-(4). In the event that Commerce issues 
an affirmative preliminary or final circumvention that the products are 
circumventing the Orders, Commerce will instruct CBP to continue the 
suspension of liquidation of previously suspended entries and to apply 
the applicable cash deposit rate.
    Commerce will also instruct CBP to begin the suspension of 
liquidation and application of cash deposits for any unliquidated 
entries not yet suspended, entered, or withdrawn from warehouse, for 
consumption, on or after the date of publication of the notice of 
initiation of the circumvention inquiries pursuant to paragraphs 
(l)(2)(ii) and (l)(3)(ii). In addition, pursuant to paragraphs 
(l)(2)(iii)(A) and (l)(3)(iii)(A), Commerce may instruct CBP to begin 
the suspension of liquidation and application of cash deposits for any 
unliquidated entries not yet suspended, entered, or withdrawn from 
warehouse,

[[Page 13293]]

for consumption, prior to the date of initiation of the circumvention 
inquiries, but not for such entries prior to November 4, 2021, the 
effective date of these provisions in the Final Rule.\11\ These rules 
will not affect CBP's authority to take any additional action with 
respect to the suspension of liquidation or related measures for these 
entries, as stated in 19 CFR 351.226(l)(5).
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    \11\ See Regulations to Improve Administration and Enforcement 
of Antidumping and Countervailing Duty Laws, 86 FR 52300, 52345 
(September 20, 2021) (Final Rule).
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Notification to Interested Parties

    In accordance with 19 CFR 351.226(d) and section 781(b) of the Act, 
Commerce determines that the domestic interested parties' request for a 
circumvention inquiry satisfies the requirements of 19 CFR 351.226(c). 
Accordingly, Commerce is notifying all interested parties of the 
initiation of this circumvention inquiry to determine whether certain 
steel wheels finished in Thailand using HRS produced in China, which 
are subsequently exported from Thailand to the United States, are 
circumventing the Orders. In addition, we have included a description 
of the products that are the subject to this inquiry and an explanation 
of Commerce's decision to initiate this inquiry as provided in the 
accompanying Initiation Checklist.\12\ In accordance with 19 CFR 
351.226(e)(1), Commerce intends to issue its preliminary circumvention 
determination no later than 150 days from the date of publication of 
the notice of initiation of this circumvention inquiry in the Federal 
Register. Furthermore, in accordance with section 781(f) of the Act and 
19 CFR 351.226(e)(2), unless the circumvention inquiry is rescinded, in 
whole or in part, or extended, Commerce intends to issue its final 
determination within 300 days from the date of publication of the 
notice of initiation of the circumvention inquiry in the Federal 
Register.
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    \12\ See Initiation Checklist at 4, 6.
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    This notice is published in accordance with section 781(b) of the 
Act, and 19 CFR 351.226(d)(1)(iii).

    Dated: March 16, 2026.
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. 2026-05445 Filed 3-18-26; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on March 19, 2026.

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.