US lowers China tire countervailing duty rates

Washington DC — The US Department of Commerce has lowered the duty on passenger and light truck tires imported from China by nearly 3.7 percent. It cited significant errors in the way it calculated sales.

The revised rate for all but a few excepted manufacturers is now 12.03 percent, the department said, down from 15.69 percent.

Separately, the DOC lowered the duty rate on Giti Tire (Fujian) Co. Ltd. and some cross-owned companies to 11.74 percent from 17.69 percent and also revised the language pertaining to the marking requirements for ST-type trailer tires, which are exempted from the countervailing duties.

Explaining the revision, the DOC said the errors resulted primarily from its calculation of Giti Fujian’s subsidy rate. This resulted in a change that was “at least 5 absolute percentage points and more than 25 percent of the original [incorrect] rate.”

DOC said it will instruct US Customs and Border Protection (CBP) to require a cash deposit equal to the estimated amended duty rates reflected in this notice for Giti Fujian (11.74 percent) and all-other exporters or producers (12.03 percent).

The changes do not apply to Cooper Kunshan Tire Co Ltd or Shandong Yongsheng Rubber Group Co Ltd, which were levied duty rates of 12.5 and 81.29 percent, respectively.

All the countervailing duties are in addition to the prevailing 4-percent import tariff.

CTP Transportation Products LLC and Carlisle (Meizhou) Rubber Products Co. Ltd told the DOC that ST-type trailer tires won’t have to be marked with load index and speed rating markings.

CTP and Carlisle (Meizhou) argued that requiring such markings would impose substantial financial burdens on exporters.