Certain Brake Drums From the People's Republic of China: Preliminary Affirmative Determination of Circumvention of the Antidumping Duty and Countervailing Duty Orders
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Issuing agencies
Abstract
The U.S. Department of Commerce (Commerce) preliminarily determines that imports of compacted graphite iron (CGI) brake drums, from the People's Republic of China (China), constitute later-developed merchandise that is circumventing the antidumping duty (AD) and countervailing duty (CVD) orders on certain brake drums (brake drums) from China. Interested parties are invited to comment on this preliminary determination.
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<title>Federal Register, Volume 91 Issue 182 (Tuesday, September 22, 2026)</title>
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[Federal Register Volume 91, Number 182 (Tuesday, September 22, 2026)]
[Notices]
[Pages 60082-60084]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-19372]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-570-174, C-570-175]
Certain Brake Drums From the People's Republic of China:
Preliminary Affirmative Determination of Circumvention of the
Antidumping Duty and Countervailing Duty Orders
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) preliminarily
determines that imports of compacted graphite iron (CGI) brake drums,
from the People's Republic of China (China), constitute later-developed
merchandise that is circumventing the antidumping duty (AD) and
countervailing duty (CVD) orders on certain brake drums (brake drums)
from China. Interested parties are invited to comment on this
preliminary determination.
DATES: Applicable September 22, 2026.
FOR FURTHER INFORMATION CONTACT: Walter Schaub at (202) 482-0907 or
Cassie Graham at (202) 482-2159, Office of Policy, Enforcement and
Compliance, International Trade Administration, U.S. Department of
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230.
SUPPLEMENTARY INFORMATION:
Background
On August 12, 2025, Commerce published in the Federal Register the
AD and CVD orders on brake drums from China.\1\ On January 27, 2026, in
response to a request from Webb Wheel Products, Inc. (Webb, a domestic
interested party), Commerce initiated a country-wide circumvention
inquiry pursuant to section 781(d) of the Tariff Act of 1930, as
amended (the Act), to determine whether imports of CGI brake drums from
China constitute later-developed merchandise that is circumventing the
Orders and, accordingly, should be covered by the scope of the
Orders.\2\
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\1\ See Certain Brake Drums from the People's Republic of China
and the Republic of T[uuml]rkiye: Antidumping Duty Orders, 90 FR
38730 (August 12, 2025) (AD Order); see also Certain Brake Drums
from the People's Republic of China and the Republic of
T[uuml]rkiye: Countervailing Duty Orders, 90 FR 38753 (August 12,
2025) (CVD Order) (collectively, Orders).
\2\ See Certain Brake Drums from the People's Republic of China:
Initiation of Circumvention Inquiry on the Antidumping and
Countervailing Duty Orders, 91 FR 3435 (January 27, 2026)
(Initiation Notice), and accompanying Initiation Checklist,
``Certain Brake Drums from the People's Republic of China,'' dated
January 22, 2026 (Initiation Checklist)
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On April 20, 2026, Commerce selected, in alphabetical order: (1)
CAIEC Trailer Master Co., Ltd. (CAIEC Trailer); (2) Kara CVS Inc.
(Kara); and (3) Trailer MASTER CVS INC (Trailer Master), as mandatory
respondents in this circumvention inquiry.\3\ On May 13, 2026, Commerce
extended the deadline to issue its preliminary determination by 60
days.\4\ On July 30, 2026, Commerce extended the deadline to issue its
preliminary determination by an additional 23 days.\5\ Accordingly, the
deadline for this preliminary
[[Page 60083]]
determination is now September 17, 2026.
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\3\ See Memorandum, ``Respondent Selection,'' dated April 20,
2026 (Respondent Selection Memorandum).
\4\ See Memorandum, ``Extension of Deadline for the
Circumvention Inquiry Preliminary Determination,'' dated May 13,
2026.
\5\ See Memorandum, ``Extension of Deadline for the Preliminary
Determination in the Circumvention Inquiry,'' dated July 30, 2026.
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For a complete description of the events that followed the
initiation of this circumvention inquiry, see the Preliminary Decision
Memorandum.\6\ 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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\6\ See Memorandum, ``Preliminary Decision Memorandum in the
Circumvention Inquiry of the Antidumping Duty and Countervailing
Duty Orders on Certain Brake Drums from the People's Republic of
China,'' dated concurrently with, and hereby adopted by, this notice
(Preliminary Decision Memorandum).
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Scope of the Orders
The merchandise covered by these Orders is certain brake drums made
of gray cast iron, whether finished or unfinished, with an actual or
nominal inside diameter of 14.75 inches or more but not over 16.6
inches, weighing more than 50 pounds. For a full description of the
scope of the Orders, see the Preliminary Decision Memorandum.\7\
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\7\ Id. at 4.
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Merchandise Subject to the Circumvention Inquiry
The circumvention inquiry covers CGI brake drums with an actual or
nominal inside diameter of 14.75 inches or more but not over 16.6
inches, weighing more than 50 pounds, that are produced in China and
exported to the United States, including, for example, model number
M328D557 produced by PanAsia CVS (HK) Limited (inquiry merchandise).
Methodology
Commerce is conducting this circumvention inquiry in accordance
with section 781(d) of the Act and 19 CFR 351.226(k). For a complete
description of the methodology underlying the preliminary
determination, see the Preliminary Decision Memorandum. A list of
topics discussed in the Preliminary Decision Memorandum is included as
the appendix to this notice.
Preliminary Circumvention Determination
As detailed in the Preliminary Decision Memorandum, Commerce
preliminarily determines that CGI brake drums from China constitute
later-developed merchandise that is circumventing the Orders on a
country-wide basis. As a result, in accordance with section 781(d) of
the Act, we preliminarily determine that this merchandise should be
included within the scope of the Orders. See the ``Suspension of
Liquidation and Cash Deposit Requirements'' section below for details
regarding suspension of liquidation and cash deposit requirements.
Suspension of Liquidation and Cash Deposit Requirements
Based on the preliminary affirmative country-wide determination of
circumvention, in accordance with 19 CFR 351.226(l)(2), Commerce will
direct U.S. Customs and Border Protection (CBP) to suspend liquidation
on unliquidated entries of CGI brake drums from China that were
entered, or withdrawn from warehouse, for consumption, on or after
January 27, 2026, the date of publication of the Initiation Notice.\8\
Commerce also intends to instruct CBP to collect cash deposits for
estimated antidumping and countervailing duties at the rates applicable
to the AD and CVD Orders on brake drums from China (i.e., the AD cash
deposit rate established for the China-wide entity (150.25 percent) \9\
and the CVD cash deposit rate established for all-others (11.94
percent)).\10\ For companies with their own company-specific rate under
the Orders, the cash deposit rate will be the company-specific rate.
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\8\ See Initiation Notice.
\9\ See AD Order, 90 FR at 38731.
\10\ See CVD Order, 90 FR at 38753
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These suspension of liquidation requirements and cash deposit
requirements will remain in effect until further notice.
Public Comment
Pursuant to 19 CFR 351.226(f)(4), case briefs or other written
comments should be submitted to the Assistant Secretary for Enforcement
and Compliance no later than 14 days after the date of the publication
of this notice.\11\ Rebuttal briefs, limited to issues raised in case
briefs, may be submitted no later than seven days after the deadline
for case briefs.\12\ Parties who submit case or rebuttal briefs in this
proceeding are encouraged to submit with each argument: (1) a statement
of the issue; (2) a brief summary of the argument; and (3) a table of
authorities.\13\
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\11\ See 19 CFR 351.309(f)(4).
\12\ 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).
\13\ See 19 CFR 351.309(c)(2)(d)(2).
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As provided under 19 CFR 351.309(c)(2) and (d)(2), we request that
interested parties provide at the beginning of their briefs a public,
executive summary for each issue raised in their briefs.\14\ 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 executive summaries as the basis of the comment
summaries included in the issues and decision memorandum that will
accompany the final determination in this proceeding. We request that
interested parties include footnotes for relevant citations in the
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).\15\
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\14\ We use the term ``issue'' here to describe an argument that
Commerce would normally address in a comment of the Issues and
Decision Memorandum.
\15\ 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 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 in the
Federal Register, filed electronically via ACCESS. Hearing 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. Issues raised
in the hearing will be limited to issues raised in the respective
comments.\16\ If a request for a hearing is made, Commerce intends to
hold the hearing at a date and time to be determined and will notify
the parties through ACCESS.\17\ Parties should confirm the date, time,
and location of the hearing two days before the scheduled date.
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\16\ See 19 CFR 351.310.
\17\ See 19 CFR 351.310(d).
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All submissions, including affirmative and rebuttal comments, as
well as hearing requests, should be filed using ACCESS. An
electronically-filed document must be received successfully in its
entirety by ACCESS by 5:00 p.m. Eastern Time on the established
deadline.
U.S. International Trade Commission (ITC) Notification
Consistent with section 781(e) of the Act, Commerce will notify the
ITC of this preliminary determination to
[[Page 60084]]
include the merchandise subject to this circumvention inquiry within
the Orders. Pursuant to section 781(e) of the Act, the ITC may request
consultations concerning Commerce's proposed inclusion of the inquiry
merchandise. If, after consultations, the ITC believes that a
significant injury issue is presented by the proposed inclusion, it
will have 60 days from the date of notification by Commerce to provide
written advice.
Notification to Interested Parties
This determination is issued and published in accordance with
section 781(d) of the Act and 19 CFR 351.226(g)(1).
Dated: September 17, 2026.
Steven Presing,
Executive Director for Policy and Negotiations.
Appendix
List of Topics Discussed in the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope of the Orders
IV. Merchandise Subject to the Circumvention Inquiry
V. Period of Circumvention Inquiry
VI. Statutory and Regulatory Framework
VII. Comments and Analysis
VIII. Country-Wide Affirmative Determination of Circumvention
IX. Recommendation
[FR Doc. 2026-19372 Filed 9-21-26; 8:45 am]
BILLING CODE 3510-DS-P
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