Notice2026-11348

Certain Van-Type Trailers and Subassemblies Thereof From Mexico: Preliminary Affirmative Countervailing Duty Determination and Alignment of Final Determination With Final Antidumping Duty Determination

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Published
June 5, 2026

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) preliminarily determines that countervailable subsidies are being provided to producers and exporters of van-type trailers and subassemblies thereof (van-type trailers) from Mexico. The period of investigation (POI) is January 1, 2024, through December 31, 2024. Interested parties are invited to comment on this preliminary determination.

Full Text

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<title>Federal Register, Volume 91 Issue 108 (Friday, June 5, 2026)</title>
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[Federal Register Volume 91, Number 108 (Friday, June 5, 2026)]
[Notices]
[Pages 34218-34220]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-11348]



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DEPARTMENT OF COMMERCE

International Trade Administration

[C-201-868]


Certain Van-Type Trailers and Subassemblies Thereof From Mexico: 
Preliminary Affirmative Countervailing Duty Determination and Alignment 
of Final Determination With Final Antidumping Duty Determination

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

SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily 
determines that countervailable subsidies are being provided to 
producers and exporters of van-type trailers and subassemblies thereof 
(van-type trailers) from Mexico. The period of investigation (POI) is 
January 1, 2024, through December 31, 2024. Interested parties are 
invited to comment on this preliminary determination.

DATES: Applicable June 5, 2026.

FOR FURTHER INFORMATION CONTACT: Suresh Maniam and Mary Kolberg, AD/CVD 
Operations, Office I, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-0176 and (202) 482-1785, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    This preliminary determination is made in accordance with section 
703(b) of the Tariff Act of 1930, as amended (the Act). On January 26, 
2026, Commerce published the notice of initiation of this 
countervailing duty (CVD) investigation in the Federal Register.\1\ On 
March 19, 2026, Commerce postponed the preliminary determination until 
June 1, 2026.\2\
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    \1\ See Van-Type Trailers and Subassemblies Thereof from Canada, 
the People's Republic of China, and Mexico: Initiation of 
Countervailing Duty Investigations, 91 FR 3124 (January 26, 2026) 
(Initiation Notice).
    \2\ See Certain Van-Type Trailers and Subassemblies Thereof from 
Canada, the People's Republic of China, and Mexico: Postponement of 
Preliminary Determinations in the Countervailing Duty 
Investigations, 91 FR 11509 (March 10, 2026).
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    For a complete description of the events that followed the 
initiation of this investigation, see the Preliminary Decision 
Memorandum.\3\ A list of topics discussed 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 <a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete 
version of the Preliminary Decision Memorandum can be accessed directly 
at <a href="https://access.trade.gov/frnotices">https://access.trade.gov/frnotices</a>.
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    \3\ See Memorandum, ``Decision Memorandum for the Preliminary 
Affirmative Determination in the Countervailing Duty Investigation 
of Certain Van-Type Trailers and Subassemblies Thereof from 
Mexico,'' dated concurrently with, and hereby adopted by, this 
notice (Preliminary Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is van-type trailers from 
Mexico. For a complete description of the scope of this investigation, 
see Appendix I.

Scope Comments

    In accordance with the Preamble to Commerce's regulations,\4\ the 
Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., scope).\5\ Certain interested 
parties commented on the scope of the investigation as it appeared in 
the Initiation Notice. Commerce intends to issue its preliminary 
decision regarding comments concerning the scope of the less-than-fair-
value (LTFV) and CVD investigations on or before the preliminary 
determinations of the companion Canada and Mexico LTFV investigations.
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    \4\ See Antidumping Duties; Countervailing Duties, Final Rule, 
62 FR 27296, 27323 (May 19, 1997) (Preamble).
    \5\ See Initiation Notice.
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Methodology

    Commerce is conducting this investigation in accordance with 
section 701 of the Act. For each of the subsidy programs found 
countervailable, Commerce preliminarily determines that there is a 
subsidy, i.e., a financial contribution by an ``authority'' that gives 
rise to a benefit to the recipient, and that the subsidy is 
specific.\6\
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    \6\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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    Commerce notes that, in making these findings, it relied on facts 
available and, because it finds that one or more respondents did not 
act to the best of their ability to respond to Commerce's requests for 
information, it drew an adverse inference where appropriate in 
selecting from among the facts otherwise available.\7\ For further 
information, see the ``Use of Facts Otherwise Available and Adverse 
Inferences'' section in the Preliminary Decision Memorandum.
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    \7\ See sections 776(a) and (b) of the Act.
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Alignment

    In accordance with section 705(a)(1) of the Act and 19 CFR 
351.210(b)(4), Commerce is aligning the final determination in this 
investigation with the final determination in the companion LTFV 
investigation of van-type trailers from Mexico, based on a request by 
the petitioner.\8\ Consequently, the final CVD determination will be 
issued on the same date as the final LTFV determination, which is 
currently scheduled to be issued no later than October 13, 2026, unless 
postponed.
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    \8\ The petitioner is the American Trailer Manufacturers 
Coalition and its individual members Great Dane LLC, Stoughton 
Trailers LLC and Wabash National Corporation. See Petitioner's 
Letter, ``Request to Align Countervailing Duty Investigation Final 
Determination with Antidumping Duty Investigation Final 
Determination,'' dated May 15, 2026.
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All-Others Rate

    Sections 703(d) and 705(c)(5)(A) of the Act provide that in the 
preliminary determination, Commerce shall determine an estimated all-
others rate for companies not individually examined. This rate shall be 
an amount equal to the weighted average of the estimated subsidy rates 
established for those companies individually examined, excluding any 
zero and de minimis rates and any rates based entirely under section 
776 of the Act.
    In this investigation, Commerce calculated individual estimated 
countervailable subsidy rates for the mandatory respondents that are 
not zero, de minimis, or based entirely on facts otherwise available. 
Commerce calculated the all-others rate using a weighted average of the 
individual estimated subsidy rates calculated for the examined 
respondents using each company's publicly-ranged values for the 
merchandise under consideration.\9\
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    \9\ With two respondents under examination, Commerce normally 
calculates: (A) a weighted-average of the estimated subsidy rates 
calculated for the examined respondents; (B) a simple average of the 
estimated subsidy rates calculated for the examined respondents; and 
(C) a weighted-average of the estimated subsidy rates calculated for 
the examined respondents using each company's publicly-ranged U.S. 
sale values 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 all other producers and exporters. 
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, 53662 
(September 1, 2010), and accompanying Issues and Decision Memorandum 
at Comment 1. As complete publicly ranged sales data were available, 
Commerce based the all-others rate on the publicly ranged sales data 
of the mandatory respondents. For a complete analysis of the data, 
see the memorandum, ``Calculation of Subsidy Rate for All Others 
Memorandum,'' dated concurrently with this notice.

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Preliminary Determination

    Commerce preliminarily determines that the following estimated 
countervailable subsidy rates exist:
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    \10\ As discussed in the Preliminary Decision Memorandum, 
Commerce has found the following company to be cross-owned with 
Utility Trailer Manufacturing de M[eacute]xico, S. de R.L. de C.V.: 
Liner Systems Mexico, S. de R.L. de C.V.

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                                                           Subsidy rate
                         Company                            (percent ad
                                                             valorem)
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Hyundai de Mexico S.A. de C.V...........................            1.90
Utility Trailer Manufacturing de M[eacute]xico, S. de               1.95
 R.L. de C.V. \10\......................................
All Others..............................................            1.91
Commercializadora Nimmka, S.A. de. C.V. (d/b/a Atro              * 62.67
 Remolques y Carrociera)................................
BRD Trailers S.A. de C.V. (d/b/a DeLucio)...............         * 62.67
Gallegos Trailers.......................................         * 62.67
Industrias Kuzzy De Mexico S.A. de C.V..................         * 62.67
Manufacturas Industriales Gami S.A. de C.V..............         * 62.67
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* This rate is based on facts available with adverse inferences.

Suspension of Liquidation

    In accordance with section 703(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 the scope of the 
investigation section 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 703(d)(1)(B) of the Act 
and 19 CFR 351.107(e), Commerce will instruct CBP to require a cash 
deposit equal to the estimated company-specific countervailable subsidy 
rate 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 individual countervailable subsidy rates determined 
in this preliminary determination; (2) if both the producer and 
exporter of the subject merchandise have company-specific estimated 
subsidy rates determined in this preliminary determination, and their 
rates differ, then the applicable cash deposit rate will be the higher 
of these two rates; (3) if either the producer or the exporter, but not 
both, of the subject merchandise have a company-specific estimated 
subsidy rate determined in this preliminary determination, the 
applicable cash deposit rate will be that company's company-specific 
rate; and (4) the cash deposit rate for all other producers and 
exporters will be equal to the estimated all-others subsidy rate.

Disclosure

    Commerce intends to disclose its calculations and analysis 
performed to interested parties in this preliminary determination 
within five days of its public announcement, or if there is no public 
announcement, within five days of the date of this notice 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

    All interested parties will have the opportunity to submit scope 
case and rebuttal briefs on the preliminary decision regarding the 
scope of the LTFV and CVD investigations. The deadlines to submit scope 
case and rebuttal briefs will be provided in the preliminary scope 
decision memorandum. For all scope case and rebuttal briefs, parties 
must file identical documents simultaneously on the records of the 
ongoing LTFV and CVD van-type trailer investigations. No new factual 
information or business proprietary information may be included in 
either scope case or rebuttal briefs.
    Non-scope related case briefs or other written comments may be 
submitted to the Assistant Secretary for Enforcement and Compliance no 
later than seven days after the date on which the last verification 
report is issued in this investigation. 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.\11\ Interested parties who 
submit case or rebuttal briefs in this proceeding must submit: (1) a 
table of contents listing each issue; and (2) a table of 
authorities.\12\
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    \11\ 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).
    \12\ See 19 CFR 351.309(c)(2) and (d)(2).
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    As provided under 19 CFR 351.309(c)(2)(iii) and (d)(2)(iii), we 
request that interested parties provide at the beginning of their 
briefs a public, executive summary for each issue raised in their 
briefs.\13\ Further, we request that interested parties limit their 
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).\14\
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    \13\ We use the term ``issue'' here to describe an argument that 
Commerce would normally address in a comment of the Issues and 
Decision Memorandum.
    \14\ 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: 
(1) the party's name, address, and telephone number; (2) the number of 
participants and whether any participant is a foreign national; and (3) 
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.

U.S. International Trade Commission (ITC) Notification

    In accordance with section 703(f) of the Act, Commerce will notify 
the ITC of its 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 imports of van-

[[Page 34220]]

type trailers from Mexico are materially injuring the U.S. industry.

Notification to Interested Parties

    This determination is issued and published pursuant to sections 
703(f) and 777(i) of the Act, and 19 CFR 351.205(c).

    Dated: June 1, 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.

Appendix I

Scope of the Investigation

    The merchandise covered by this investigation consists of 
certain van-type trailers and subassemblies thereof, whether 
finished or unfinished, whether assembled or unassembled, regardless 
of the number of axles, for carriage of goods. Van-type trailers are 
typically, but not limited to, rectangular cuboid trailers with a 
fully enclosed cargo space consisting of a front nose (with or 
without a refrigeration unit), side walls (with or without doors), 
movable rear panels (whether roll-up doors, swing doors, or another 
configuration), a floor and subframe, an affixed or removable roof, 
a suspension and axle system, wheels and tires, brakes, a lighting 
and electrical system, landing gear, and coupling for towing behind 
a truck tractor or a connection system for training behind another 
van-type trailer. Covered van-type trailers are those with a gross 
vehicle weight rating of greater than 26,000 pounds.
    Subject merchandise includes, but is not limited to, the 
following subassemblies:
    <bullet> Van-type trailer subframes, or sections of van-type 
trailer frames, typically consisting of welded crossmembers and 
slider rails for attaching the running gear;
    <bullet> Nose wall, side wall, and roof subassemblies, whether 
insulated or non insulated, and with or without top, bottom, or side 
rails;
    <bullet> Rear door frame, whether for swing or roll-up doors, 
with or without installed doors, bumpers, bumper plates, or 
reinforcing plates for liftgate;
    <bullet> Door assemblies, whether for rear swing doors, roll-up 
doors, side doors or any other configuration, with or without 
lockrods, handles, hinges, or hinge pins;
    <bullet> Rear impact guard subassemblies, typically consisting 
of a fabricated horizontal structural component (such as a guard 
tube) and uprights for connection to the underside of the rear 
frame;
    <bullet> Coupler assembly for connection to truck tractor's 
fifth wheel, typically consisting of main beams and cross members, 
support plates, and front nose wrap, and with or without kingpin 
installed;
    <bullet> Running gear subassemblies or axle assemblies for 
connection to the subframe, which may or may not include 
suspension(s), wheel end components, slack adjusters, dressed axles, 
brake chambers, locking pins, wheels, and tires; and
    <bullet> Landing gear subassemblies, typically consisting of two 
landing legs, a cross channel, braces, bracketing, a cross shaft, 
and a crank handle.
    These subassemblies are subject to the investigation, whether 
entered alone or with other subassemblies and whether assembled or 
unassembled and whether finished or unfinished. The absence of any 
subassembly from an otherwise finished or unfinished van-type 
trailer does not remove the van-type trailer from coverage.
    Subject merchandise also includes components entered with (i.e., 
on the same bill of lading as) van-type trailers and subassemblies, 
such as, but not limited to: hub and drum assemblies, brake 
assemblies (either drum or disc), bare axles, brake chambers, 
suspensions and suspension components, wheel end components, landing 
gear legs, wheels, tires, brake control systems, electrical 
harnesses and lighting systems, lift gate systems, tire inflation 
systems, or refrigeration units (with or without evaporators or fuel 
tanks) whether assembled or unassembled, whether as part of a kit or 
not, and whether or not accompanied by additional components that 
constitute as part of an unfinished and/or unassembled van-type 
trailer and subassemblies thereof that are subject to the 
investigation.
    Processing of finished and unfinished van-type trailers and 
subassemblies, such as trimming, cutting, grinding, notching, 
punching, drilling, painting, coating, staining, finishing, 
assembly, or any other processing either in the country of 
manufacture of the in-scope product or in a third country does not 
remove the product from the scope. Inclusion of other components not 
identified as comprising the finished or unfinished van-type trailer 
does not remove the product from the scope.
    Specifically excluded are subassemblies covered by the scope of 
the antidumping and countervailing duty orders on certain chassis 
and subassemblies thereof from the People's Republic of China. See 
Certain Chassis and Subassemblies Thereof from the People's Republic 
of China: Antidumping Duty Order, 86 FR 36093 (July 8, 2021) and 
Certain Chassis and Subassemblies Thereof from the People's Republic 
of China: Countervailing Duty Order and Amended Final Affirmative 
Countervailing Duty Determination, 86 FR 24844 (May 10, 2021).
    The finished and unfinished van-type trailers subject to this 
investigation are typically classified in the Harmonized Tariff 
Schedule of the United States (HTSUS) at subheadings: 8716.39.0040 
and 8716.90.5060. Imports of finished and unfinished subassemblies 
may also enter under HTSUS subheadings 7308.30.5050, 7308.90.9590, 
7326.90.8688, 8708.29.1500, 8708.99.8180, 8716.90.5010. While the 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the merchandise under investigation is 
dispositive.

Appendix II

List of Topics Discussed in the Preliminary Decision Memorandum

I. Summary
II. Background
III. Injury Test
IV. Diversification of Mexico's and China's Economies
V. Use of Facts Available and Adverse Inferences
VI. Subsidies Valuation Information
VII. Interest Rate, Discount Rate, and Input Benchmarks
VIII. Analysis of Programs
IX. Recommendation
[FR Doc. 2026-11348 Filed 6-4-26; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on June 5, 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.