Countervailing Duty Investigation of Certain Passenger Vehicle and Light Truck Tires From the People's Republic of China: Amended Affirmative Preliminary Determination, 78398-78400 [2014-30544]
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78398
Federal Register / Vol. 79, No. 249 / Tuesday, December 30, 2014 / Notices
This notice also serves as a reminder
to parties subject to administrative
protective order (APO) of their
responsibility concerning the
disposition of proprietary information
disclosed under APO in accordance
with 19 CFR 351.305(a)(3). Timely
written notification of the return or the
destruction of APO materials or
conversion to judicial protective order is
hereby requested. Failure to comply
with the regulations and the terms of an
APO is a sanctionable violation.
The final results of this administrative
review are issued and published in
accordance with sections 751(a)(1) and
777(i)(1) of the Act.
Dated: December 22, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and
Compliance.
The Department announced its
Preliminary Determination on
November 24, 2014, and disclosed to
interested parties the calculations for
the Preliminary Determination on
November 25, 2014. The Preliminary
Determination was published on
December 1, 2014. GITI Tire (Fujian)
Co., Ltd. (GITI Fujian) submitted
ministerial error allegations on
December 1, 2014, alleging that the
Department made certain significant
errors in the Preliminary Determination.
On December 2, 2014, CTP
Transportation Products, LLC and
Carlisle (Meizhou) Rubber Products Co.
Ltd. (CTP) submitted comments
regarding the preliminary scope.2
Petitioner 3 submitted rebuttal
comments to CTP’s submission
regarding the preliminary scope on
December 5, 2014.4 Parties submitted
additional comments on the preliminary
scope through December 15, 2014.5
[FR Doc. 2014–30541 Filed 12–29–14; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[C–570–017]
Countervailing Duty Investigation of
Certain Passenger Vehicle and Light
Truck Tires From the People’s
Republic of China: Amended
Affirmative Preliminary Determination
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
AGENCY:
The Department of Commerce
(the Department) is amending the
Preliminary Determination of the
countervailing duty (CVD) investigation
of passenger vehicle and light truck tires
(passenger tires) from the People’s
Republic of China (PRC) to correct
significant ministerial errors with
respect to our Preliminary
mstockstill on DSK4VPTVN1PROD with NOTICES
21:42 Dec 29, 2014
Jkt 235001
Emily Halle or Jason Rhoads, AD/CVD
Operations, Office VII, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 14th Street and Constitution
Avenue NW., Washington, DC 20230;
telephone 202.482.0176, 202.482.0123,
respectively.
Background
I. Summary
II. Background
III. Scope of the Order
IV. Facts Available
V. Discussion of the Issues
Comment 1: Dubai Wire Affiliation
Comment 2: Non-Dubai Wire Company
Certifications
Comment 3: Dubai Wire Third-Country
Market Viability
Comment 4: IBP’s Data Reporting
Methodology
Comment 5: Commissions in the United
States
Comment 6: Freight Revenue Cap
Comment 7: Quantity Adjustments
VI. Recommendation
VerDate Sep<11>2014
FOR FURTHER INFORMATION CONTACT:
SUPPLEMENTARY INFORMATION:
Appendix
SUMMARY:
Determination.1 We are also amending
the scope of the investigation in
response to comments submitted
following the publication of the
Preliminary Determination. The period
of investigation is January 1, 2013,
through December 31, 2013.
DATES: Effective Date: December 30,
2014.
1 See Countervailing Duty Investigation of Certain
Passenger Vehicle and Light Truck Tires From the
People’s Republic of China: Preliminary Affirmative
Determination, Preliminary Affirmative Critical
Circumstances Determination, in Part, and
Alignment of Final Determination With Final
Antidumping Duty Determination, 79 FR 71093
(December 1, 2014) (Preliminary Determination).
2 See Letter from CTP, ‘‘Certain Passenger Vehicle
and Light Truck Tires from China: Request for
Meeting,’’ December 2, 2014 (CTP Scope
Comments).
3 Collectively, United Steel, Paper and Forestry,
Rubber, Manufacturing, Energy, Allied Industrial
and Service Workers International Union, and AFL–
CIO, CLC.
4 See Letter from Petitioner, ‘‘Certain Passenger
Vehicle and Light Truck Tires from the People’s
Republic of China—Scope of the Investigations,
Petitioner’s Opposition to CTP’s Exclusion
Request,’’ December 5, 2014 (Petitioner Rebuttal to
CTP Comments).
5 See Letter from CTP, ‘‘Certain Passenger Vehicle
and Light Truck Tires from China: Unconstitutional
Burdens on Speech Created by Implementation of
the Department’s Preliminary Affirmative
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Fmt 4703
Sfmt 4703
After reviewing the allegations, we
determine that the Preliminary
Determination included significant
ministerial errors with respect to the
calculation of certain sales
denominators, and the benefit
calculation for one company under the
‘‘Government Policy Lending’’ program.
We are also modifying the scope of the
investigation by temporarily suspending
certain marking requirements for
exclusion of specialty tires in response
to comments raised by interested
parties.
Analysis of Significant Ministerial
Error Allegations
A ministerial error is defined in 19
CFR 351.224(f) as ‘‘an error in addition,
subtraction, or other arithmetic
function, clerical error resulting from
inaccurate copying, duplication, or the
like, and any other similar type of
unintentional error which the Secretary
considers ministerial.’’ With respect to
preliminary determinations in
investigations, 19 CFR 351.224(e)
provides that the Department ‘‘will
analyze any comments received and, if
appropriate, correct any significant
ministerial error by amending the
preliminary determination. . .’’ A
significant ministerial error is defined as
an error, the correction of which, singly
or in combination with other errors,
would result in: (1) A change of at least
five absolute percentage points in, but
not less than 25 percent of, the
countervailable subsidy rate calculated
in the original (erroneous) preliminary
determination; or (2) a difference
between countervailable subsidy rate of
zero (or de minimis) and a
countervailable subsidy rate of greater
than de minimis, or vice versa.6
As explained further in the
Ministerial Error Memorandum issued
concurrently with this Notice,7 we
Countervailing Duty Determination,’’ December 9,
2014; Letter from CTP, ‘‘Certain Passenger Vehicle
and Light Truck Tires from China: Response to
Petitioner’s Opposition to CTP’s Exclusion
Request,’’ December 9, 2014; Letter from Petitioner,
‘‘Certain Passenger Vehicle and Light Truck Tires
from the People’s Republic of China—Scope of the
Investigations, Petitioner’s Reply to CTP’s Response
on Scope and Comments on Unconstitutional
Burden,’’ December 11, 2014; Letter from CTP,
‘‘Certain Passenger Vehicle and Light Truck Tires
from China: Unconstitutional Burdens on Speech
Created by Implementation of the Department’s
Preliminary Affirmative Countervailing Duty
Determination,’’ December 11, 2014; Letter from
Petitioner, ‘‘Certain Passenger Vehicle and Light
Truck Tires from the People’s Republic of China—
Scope of the Investigations, Petitioner’s Second
Reply to CTP’s Comments on Unconstitutional
Burden,’’ December 15, 2014.
6 See 19 CFR 351.224(g).
7 See Memorandum to Christian Marsh, Deputy
Assistant Secretary for Enforcement and
Compliance, ‘‘Allegation of Significant Ministerial
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Federal Register / Vol. 79, No. 249 / Tuesday, December 30, 2014 / Notices
determine that the Preliminary
Determination contained errors with
respect to our calculation of GITI
Fujian’s subsidy rate. Correction of
these errors results in a determination
that changes GITI Fujian’s subsidy rate
by at least five absolute percentage
points and more than 25 percent of the
original (incorrect) rate. The Department
considers these ministerial errors to be
significant, warranting an amendment to
our Preliminary Determination with
respect to GITI Fujian.
Amendment of the Scope of the
Investigation To Suspend Certain
Marking Requirements
mstockstill on DSK4VPTVN1PROD with NOTICES
The scope of the investigation issued
in the Preliminary Determination
contained several exclusions. We are
amending the preliminary requirements
to qualify for the exclusion for specialty
tires in order to address comments made
by interested parties regarding the
exclusion of specialty tires from the
scope of the investigation. Specifically,
CTP submitted comments in response to
the Preliminary Determination arguing
that implementing the scope exclusion
requirements for trailer tires effective
immediately would impose substantial
burdens on exporters currently
producing trailer tires in adherence with
industry practices.8 Petitioner in this
investigation submitted rebuttal
comments arguing that the scope
exclusion requirements are necessary to
prevent circumvention of cash deposit
requirements by exporters of passenger
tires.9 After considering the parties’
comments, the Department has
preliminarily determined that imposing
certain marking requirements in the
specialty tire exclusion (exclusion ‘‘(6)’’)
in the scope of the Preliminary
Determination is not warranted because
imposition of these requirements could
result in the payment of cash deposits
on merchandise that Petitioner may not
have intended to be included in the
scope of the investigation. Accordingly,
we have determined to suspend the
requirements for load index and speed
rating markings (exclusion (6)(d) and
Errors in the Preliminary Determination of the
Countervailing Duty Investigation of Certain
Passenger Vehicle and Light Truck Tires from the
People’s Republic of China,’’ dated concurrently
with this notice, for the analysis performed
(Ministerial Error Memorandum). This
memorandum 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 https://access.trade.gov, and is
available to all parties in the Department’s Central
Records Unit in Room 7046 of the Department of
Commerce building.
8 See CTP Scope Comments.
9 See Petitioner Rebuttal to CTP Comments.
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21:42 Dec 29, 2014
Jkt 235001
(6)(e)).10 We are retaining the other
sidewall markings for the exclusion of
specialty tires, namely the ‘‘DOT’’
designation, the prefix ‘‘ST,’’ and the
disclaimer ‘‘For Trailer Service Only’’ or
‘‘For Trailer Use Only’’. The record
indicates that these markings are
generally included on tire sidewalls as
part of current industry practice.11 We
find that retaining these requirements is
administrable and provides sufficient
protection from possible evasion during
this investigation, without placing an
undue burden on acknowledged trailer
tire producers (i.e., producers of nonsubject merchandise) such as CTP. We
note that it is the Department’s current
intent to retain the marking
requirements for exclusion 6(d) and (e)
in its final determinations in the CVD
and antidumping duty investigations.
However, interested parties will have
the opportunity to address the necessity
of these requirements or any
amendments thereto, including the
threshold speed requirement and
associated markings, in case and
rebuttal briefs for the Department’s
consideration before the final
determinations in the CVD and
antidumping duty investigations. For a
full description of the amended scope of
this investigation, see ‘‘Scope of
Investigation’’ at the Appendix of this
notice.
Suspension of Liquidation
In accordance with section
703(d)(1)(A)(i) of the Act, we calculated
an amended estimated countervailable
subsidy rate for GITI Fujian.12 In the
10 See ‘‘Scope of Investigation’’ at the Appendix
of this Notice (‘‘(d) the load index molded on the
tire’s sidewall meets or exceeds those load indexes
listed in the Tire and Rim Association Year Book
for the relevant ST tire size, and (e) the tire’s speed
rating is molded on the sidewall, indicating the
rated speed in MPH or a letter rating as listed by
TRA, and the rated speed does not exceed 81 MPH
or an ‘‘M’’ rating;’’).
11 See, e.g., Letter from the China Manufacturer’s
Alliance LLC, ‘‘CMA’s Scope Comments Certain
Passenger Vehicle and Light Truck Tires from
China,’’ August 11, 2014, at 6; Letter from
Recreation Vehicle Industry Association, ‘‘Certain
Passenger Vehicle and Light Truck Tires From the
People’s Republic of China: Scope Comments,’’
August 8, 2014; Letter from CTP, ‘‘Certain Passenger
Vehicle and Light Truck Tires from the People’s
Republic of China—Comments on Scope,’’ August
11, 2014. Additionally, we agree with Petitioner
that based on evidence provided by CTP, CTP’s
trailer tires not marked with ‘‘ST’’ would not be
included in the scope because they do not meet the
numerical size designations listed in the passenger
car section or light truck section of the Tire and Rim
Association Year Book, see Petitioner Rebuttal to
CTP Comments at 3.
12 The countervailable rate for GITI Fujian applies
also to its cross-owned affiliated companies GITI
Tire (China) Investment Company Ltd., GITI Radial
Tire (Anhui) Company Ltd., GITI Tire (Hualin)
Company Ltd., GITI Steel Cord (Hubei) Company
Ltd., and Anhui Prime Cord Fabrics Company Ltd.
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Frm 00019
Fmt 4703
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78399
Preliminary Determination, we
calculated an all-others rate using a
weight average of the two responding
firms’ rates (i.e., GITI Fujian and Cooper
Kunshan Tire Co., Ltd). Therefore, we
are also amending the all-others rate to
incorporate GITI Fujian’s amended rate
in the weight average of the responding
firms’ rate, using publicly-ranged data.
The overall amended preliminary
estimated countervailable subsidy rates
are summarized in the table below.
Exporter/producer
GITI Tire (Fujian) Co., Ltd.
and certain cross-owned
companies .........................
All Others ..............................
Subsidy rate
(percent)
11.74
12.03
We will instruct U.S. Customs and
Border Protection (CBP) to require a
cash deposit equal to the estimated
amended countervailing duty rates
reflected in this notice for GITI Fujian
and all-other exporters or producers.
This amended countervailing duty rate
applies to GITI Fujian for all entries of
passenger tires from the PRC that are
entered, or withdrawn from warehouse,
for consumption on or after the date of
the publication of the Preliminary
Determination. We are not changing our
Preliminary Determination regarding
critical circumstances. Therefore, we
will direct CBP to apply the all-others
amended preliminary countervailing
duty rate to any unliquidated entries
entered, or withdrawn from warehouse
for consumption for all-other exporters
or producers not individually examined,
on or after the date which is 90 days
prior to the date of publication of the
Preliminary Determination, in
accordance with section 703(e)(2)(A) of
the Act.
International Trade Commission
Notification
In accordance with section 703(f) of
the Act, we will notify the International
Trade Commission (ITC) of our
determination. In addition, we are
making available to the ITC all nonprivileged and non-proprietary
information relating to this
investigation. We will allow the ITC
access to all privileged and business
proprietary information in our files,
provided the ITC confirms that it will
not disclose such information, either
publicly or under an administrative
protective order, without the written
consent of the Assistant Secretary for
Enforcement and Compliance.
This determination is issued and
published pursuant to sections 703(f)
and 777(i) of the Act and 19 CFR
351.224(e).
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78400
Federal Register / Vol. 79, No. 249 / Tuesday, December 30, 2014 / Notices
Dated: December 19, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and
Compliance.
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Appendix—Scope of Investigation
The scope of this investigation is passenger
vehicle and light truck tires. Passenger
vehicle and light truck tires are new
pneumatic tires, of rubber, with a passenger
vehicle or light truck size designation. Tires
covered by this investigation may be tubetype, tubeless, radial, or non-radial, and they
may be intended for sale to original
equipment manufacturers or the replacement
market.
Subject tires have, at the time of
importation, the symbol ‘‘DOT’’ on the
sidewall, certifying that the tire conforms to
applicable motor vehicle safety standards.
Subject tires may also have the following
prefixes or suffix in their tire size
designation, which also appears on the
sidewall of the tire:
Prefix designations:
P—Identifies a tire intended primarily for
service on passenger cars
LT—Identifies a tire intended primarily for
service on light trucks
Suffix letter designations:
LT—Identifies light truck tires for service on
trucks, buses, trailers, and multipurpose
passenger vehicles used in nominal
highway service
All tires with a ‘‘P’’ or ‘‘LT’’ prefix, and all
tires with an ‘‘LT’’ suffix in their sidewall
markings are covered by this investigation
regardless of their intended use.
In addition, all tires that lack a ‘‘P’’ or ‘‘LT’’
prefix or suffix in their sidewall markings, as
well as all tires that include any other prefix
or suffix in their sidewall markings, are
included in the scope, regardless of their
intended use, as long as the tire is of a size
that is among the numerical size designations
listed in the passenger car section or light
truck section of the Tire and Rim Association
Year Book, as updated annually, unless the
tire falls within one of the specific exclusions
set out below.
Passenger vehicle and light truck tires,
whether or not attached to wheels or rims,
are included in the scope. However, if a
subject tire is imported attached to a wheel
or rim, only the tire is covered by the scope.
Specifically excluded from the scope of
this investigation are the following types of
tires:
(1) racing car tires; such tires do not bear
the symbol ‘‘DOT’’ on the sidewall and may
be marked with ‘‘ZR’’ in size designation;
(2) new pneumatic tires, of rubber, of a size
that is not listed in the passenger car section
or light truck section of the Tire and Rim
Association Year Book;
(3) pneumatic tires, of rubber, that are not
new, including recycled and retreaded tires;
(4) non-pneumatic tires, such as solid
rubber tires;
(5) tires designed and marketed exclusively
as temporary use spare tires for passenger
vehicles which, in addition, exhibit each of
the following physical characteristics:
(a) the size designation and load index
combination molded on the tire’s sidewall
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21:42 Dec 29, 2014
Jkt 235001
are listed in Table PCT–1B (‘‘T’’ Type Spare
Tires for Temporary Use on Passenger
Vehicles) of the Tire and Rim Association
Year Book,
(b) the designation ‘‘T’’ is molded into the
tire’s sidewall as part of the size designation,
and,
(c) the tire’s speed rating is molded on the
sidewall, indicating the rated speed in MPH
or a letter rating as listed by Tire and Rim
Association Year Book, and the rated speed
is 81 MPH or a ‘‘M’’ rating;
(6) tires designed and marketed exclusively
for specialty tire (ST) use which, in addition,
exhibit each of the following physical
characteristics: *
(a) the size designation molded on the
tire’s sidewall is listed in the ST sections of
the Tire and Rim Association Year Book,
(b) the designation ‘‘ST’’ is molded into the
tire’s sidewall as part of the size designation,
(c) the tire incorporates a warning,
prominently molded on the sidewall, that the
tire is ‘‘For Trailer Service Only’’ or ‘‘For
Trailer Use Only’’,
(d) the load index molded on the tire’s
sidewall meets or exceeds those load indexes
listed in the Tire and Rim Association Year
Book for the relevant ST tire size, and
(e) the tire’s speed rating is molded on the
sidewall, indicating the rated speed in MPH
or a letter rating as listed by TRA, and the
rated speed does not exceed 81 MPH or an
‘‘M’’ rating;
(7) tires designed and marketed exclusively
for off-road use and which, in addition,
exhibit each of the following physical
characteristics:
(a) the size designation and load index
combination molded on the tire’s sidewall
are listed in the off-the-road, agricultural,
industrial or ATV section of the Tire and Rim
Association Year Book,
(b) in addition to any size designation
markings, the tire incorporates a warning,
prominently molded on the sidewall, that the
tire is ‘‘Not For Highway Service’’ or ‘‘Not for
Highway Use’’,
(c) the tire’s speed rating is molded on the
sidewall, indicating the rated speed in MPH
or a letter rating as listed by the Tire and Rim
Association Year Book, and the rated speed
does not exceed 55 MPH or a ‘‘G’’ rating, and
(d) the tire features a recognizable off-road
tread design.
The products covered by the investigation
are currently classified under the following
Harmonized Tariff Schedule of the United
States (HTSUS) subheadings: 4011.10.10.10,
4011.10.10.20, 4011.10.10.30, 4011.10.10.40,
4011.10.10.50, 4011.10.10.60, 4011.10.10.70,
4011.10.50.00, 4011.20.10.05, and
4011.20.50.10. Tires meeting the scope
description may also enter under the
following HTSUS subheadings:
4011.99.45.10, 4011.99.45.50, 4011.99.85.10,
4011.99.85.50, 8708.70.45.45, 8708.70.45.60,
8708.70.60.30, 8708.70.60.45, and
8708.70.60.60. While HTSUS subheadings
are provided for convenience and for
* We are currently suspending requirements (6)(d)
and (e); therefore, tires entered, or withdrawn from
warehouse for consumption that meet exclusion
requirements (6)(a)–(c) above are excluded from the
scope of this investigation.
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Fmt 4703
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customs purposes, the written description of
the subject merchandise is dispositive.
[FR Doc. 2014–30544 Filed 12–29–14; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
RIN 0648–XD691
Magnuson-Stevens Act Provisions;
Fisheries Off West Coast States;
Pacific Coast Groundfish Fishery;
Trawl Rationalization Program; 2015
Cost Recovery
National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Notice; 2015 cost recovery fee
percentages and mothership (MS)
pricing.
AGENCY:
This action provides
participants in the Pacific coast
groundfish trawl rationalization
program with the 2015 fee percentages
and MS pricing needed to calculate the
required payments for cost recovery fees
due in 2015.
For calendar year 2015, NMFS
announces the following fee percentages
by sector: 3.0 percent for the Shorebased
Individual Fishing Quota (IFQ) Program,
1.2 percent for the MS Coop Program,
0.0 percent for the Catcher Processor (C/
P) Coop Program.
For 2015, the MS pricing to be used
as a proxy by the C/P Coop Program is:
$0.13/lb for Pacific whiting.
DATES: Effective January 1, 2015.
FOR FURTHER INFORMATION CONTACT:
Christopher Biegel, Cost Recovery
Program Coordinator, (503) 231–6291,
fax (503) 872–2737, email
Christopher.Biegel@NOAA.gov.
SUPPLEMENTARY INFORMATION: The
Magnuson-Stevens Fishery
Conservation and Management Act
(MSA) requires NMFS to collect fees to
recover the costs directly related to the
management, data collection, and
enforcement of a limited access
privilege program (LAPP) (16 U.S.C.
1854(d)(2)), also called ‘‘cost recovery.’’
The Pacific coast groundfish trawl
rationalization program is a LAPP,
implemented in 2011, and consists of
three sectors: the Shorebased IFQ
Program, the MS Coop Program, and the
C/P Coop Program. In accordance with
the MSA, and based on a recommended
structure and methodology developed in
coordination with the Pacific Fishery
Management Council, NMFS collects
SUMMARY:
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Agencies
[Federal Register Volume 79, Number 249 (Tuesday, December 30, 2014)]
[Notices]
[Pages 78398-78400]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-30544]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-570-017]
Countervailing Duty Investigation of Certain Passenger Vehicle
and Light Truck Tires From the People's Republic of China: Amended
Affirmative Preliminary Determination
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The Department of Commerce (the Department) is amending the
Preliminary Determination of the countervailing duty (CVD)
investigation of passenger vehicle and light truck tires (passenger
tires) from the People's Republic of China (PRC) to correct significant
ministerial errors with respect to our Preliminary Determination.\1\ We
are also amending the scope of the investigation in response to
comments submitted following the publication of the Preliminary
Determination. The period of investigation is January 1, 2013, through
December 31, 2013.
---------------------------------------------------------------------------
\1\ See Countervailing Duty Investigation of Certain Passenger
Vehicle and Light Truck Tires From the People's Republic of China:
Preliminary Affirmative Determination, Preliminary Affirmative
Critical Circumstances Determination, in Part, and Alignment of
Final Determination With Final Antidumping Duty Determination, 79 FR
71093 (December 1, 2014) (Preliminary Determination).
---------------------------------------------------------------------------
DATES: Effective Date: December 30, 2014.
FOR FURTHER INFORMATION CONTACT: Emily Halle or Jason Rhoads, AD/CVD
Operations, Office VII, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 14th Street and
Constitution Avenue NW., Washington, DC 20230; telephone 202.482.0176,
202.482.0123, respectively.
SUPPLEMENTARY INFORMATION:
Background
The Department announced its Preliminary Determination on November
24, 2014, and disclosed to interested parties the calculations for the
Preliminary Determination on November 25, 2014. The Preliminary
Determination was published on December 1, 2014. GITI Tire (Fujian)
Co., Ltd. (GITI Fujian) submitted ministerial error allegations on
December 1, 2014, alleging that the Department made certain significant
errors in the Preliminary Determination. On December 2, 2014, CTP
Transportation Products, LLC and Carlisle (Meizhou) Rubber Products Co.
Ltd. (CTP) submitted comments regarding the preliminary scope.\2\
Petitioner \3\ submitted rebuttal comments to CTP's submission
regarding the preliminary scope on December 5, 2014.\4\ Parties
submitted additional comments on the preliminary scope through December
15, 2014.\5\ After reviewing the allegations, we determine that the
Preliminary Determination included significant ministerial errors with
respect to the calculation of certain sales denominators, and the
benefit calculation for one company under the ``Government Policy
Lending'' program. We are also modifying the scope of the investigation
by temporarily suspending certain marking requirements for exclusion of
specialty tires in response to comments raised by interested parties.
---------------------------------------------------------------------------
\2\ See Letter from CTP, ``Certain Passenger Vehicle and Light
Truck Tires from China: Request for Meeting,'' December 2, 2014 (CTP
Scope Comments).
\3\ Collectively, United Steel, Paper and Forestry, Rubber,
Manufacturing, Energy, Allied Industrial and Service Workers
International Union, and AFL-CIO, CLC.
\4\ See Letter from Petitioner, ``Certain Passenger Vehicle and
Light Truck Tires from the People's Republic of China--Scope of the
Investigations, Petitioner's Opposition to CTP's Exclusion
Request,'' December 5, 2014 (Petitioner Rebuttal to CTP Comments).
\5\ See Letter from CTP, ``Certain Passenger Vehicle and Light
Truck Tires from China: Unconstitutional Burdens on Speech Created
by Implementation of the Department's Preliminary Affirmative
Countervailing Duty Determination,'' December 9, 2014; Letter from
CTP, ``Certain Passenger Vehicle and Light Truck Tires from China:
Response to Petitioner's Opposition to CTP's Exclusion Request,''
December 9, 2014; Letter from Petitioner, ``Certain Passenger
Vehicle and Light Truck Tires from the People's Republic of China--
Scope of the Investigations, Petitioner's Reply to CTP's Response on
Scope and Comments on Unconstitutional Burden,'' December 11, 2014;
Letter from CTP, ``Certain Passenger Vehicle and Light Truck Tires
from China: Unconstitutional Burdens on Speech Created by
Implementation of the Department's Preliminary Affirmative
Countervailing Duty Determination,'' December 11, 2014; Letter from
Petitioner, ``Certain Passenger Vehicle and Light Truck Tires from
the People's Republic of China--Scope of the Investigations,
Petitioner's Second Reply to CTP's Comments on Unconstitutional
Burden,'' December 15, 2014.
---------------------------------------------------------------------------
Analysis of Significant Ministerial Error Allegations
A ministerial error is defined in 19 CFR 351.224(f) as ``an error
in addition, subtraction, or other arithmetic function, clerical error
resulting from inaccurate copying, duplication, or the like, and any
other similar type of unintentional error which the Secretary considers
ministerial.'' With respect to preliminary determinations in
investigations, 19 CFR 351.224(e) provides that the Department ``will
analyze any comments received and, if appropriate, correct any
significant ministerial error by amending the preliminary
determination. . .'' A significant ministerial error is defined as an
error, the correction of which, singly or in combination with other
errors, would result in: (1) A change of at least five absolute
percentage points in, but not less than 25 percent of, the
countervailable subsidy rate calculated in the original (erroneous)
preliminary determination; or (2) a difference between countervailable
subsidy rate of zero (or de minimis) and a countervailable subsidy rate
of greater than de minimis, or vice versa.\6\
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\6\ See 19 CFR 351.224(g).
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As explained further in the Ministerial Error Memorandum issued
concurrently with this Notice,\7\ we
[[Page 78399]]
determine that the Preliminary Determination contained errors with
respect to our calculation of GITI Fujian's subsidy rate. Correction of
these errors results in a determination that changes GITI Fujian's
subsidy rate by at least five absolute percentage points and more than
25 percent of the original (incorrect) rate. The Department considers
these ministerial errors to be significant, warranting an amendment to
our Preliminary Determination with respect to GITI Fujian.
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\7\ See Memorandum to Christian Marsh, Deputy Assistant
Secretary for Enforcement and Compliance, ``Allegation of
Significant Ministerial Errors in the Preliminary Determination of
the Countervailing Duty Investigation of Certain Passenger Vehicle
and Light Truck Tires from the People's Republic of China,'' dated
concurrently with this notice, for the analysis performed
(Ministerial Error Memorandum). This memorandum 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 https://access.trade.gov,
and is available to all parties in the Department's Central Records
Unit in Room 7046 of the Department of Commerce building.
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Amendment of the Scope of the Investigation To Suspend Certain Marking
Requirements
The scope of the investigation issued in the Preliminary
Determination contained several exclusions. We are amending the
preliminary requirements to qualify for the exclusion for specialty
tires in order to address comments made by interested parties regarding
the exclusion of specialty tires from the scope of the investigation.
Specifically, CTP submitted comments in response to the Preliminary
Determination arguing that implementing the scope exclusion
requirements for trailer tires effective immediately would impose
substantial burdens on exporters currently producing trailer tires in
adherence with industry practices.\8\ Petitioner in this investigation
submitted rebuttal comments arguing that the scope exclusion
requirements are necessary to prevent circumvention of cash deposit
requirements by exporters of passenger tires.\9\ After considering the
parties' comments, the Department has preliminarily determined that
imposing certain marking requirements in the specialty tire exclusion
(exclusion ``(6)'') in the scope of the Preliminary Determination is
not warranted because imposition of these requirements could result in
the payment of cash deposits on merchandise that Petitioner may not
have intended to be included in the scope of the investigation.
Accordingly, we have determined to suspend the requirements for load
index and speed rating markings (exclusion (6)(d) and (6)(e)).\10\ We
are retaining the other sidewall markings for the exclusion of
specialty tires, namely the ``DOT'' designation, the prefix ``ST,'' and
the disclaimer ``For Trailer Service Only'' or ``For Trailer Use
Only''. The record indicates that these markings are generally included
on tire sidewalls as part of current industry practice.\11\ We find
that retaining these requirements is administrable and provides
sufficient protection from possible evasion during this investigation,
without placing an undue burden on acknowledged trailer tire producers
(i.e., producers of non-subject merchandise) such as CTP. We note that
it is the Department's current intent to retain the marking
requirements for exclusion 6(d) and (e) in its final determinations in
the CVD and antidumping duty investigations. However, interested
parties will have the opportunity to address the necessity of these
requirements or any amendments thereto, including the threshold speed
requirement and associated markings, in case and rebuttal briefs for
the Department's consideration before the final determinations in the
CVD and antidumping duty investigations. For a full description of the
amended scope of this investigation, see ``Scope of Investigation'' at
the Appendix of this notice.
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\8\ See CTP Scope Comments.
\9\ See Petitioner Rebuttal to CTP Comments.
\10\ See ``Scope of Investigation'' at the Appendix of this
Notice (``(d) the load index molded on the tire's sidewall meets or
exceeds those load indexes listed in the Tire and Rim Association
Year Book for the relevant ST tire size, and (e) the tire's speed
rating is molded on the sidewall, indicating the rated speed in MPH
or a letter rating as listed by TRA, and the rated speed does not
exceed 81 MPH or an ``M'' rating;'').
\11\ See, e.g., Letter from the China Manufacturer's Alliance
LLC, ``CMA's Scope Comments Certain Passenger Vehicle and Light
Truck Tires from China,'' August 11, 2014, at 6; Letter from
Recreation Vehicle Industry Association, ``Certain Passenger Vehicle
and Light Truck Tires From the People's Republic of China: Scope
Comments,'' August 8, 2014; Letter from CTP, ``Certain Passenger
Vehicle and Light Truck Tires from the People's Republic of China--
Comments on Scope,'' August 11, 2014. Additionally, we agree with
Petitioner that based on evidence provided by CTP, CTP's trailer
tires not marked with ``ST'' would not be included in the scope
because they do not meet the numerical size designations listed in
the passenger car section or light truck section of the Tire and Rim
Association Year Book, see Petitioner Rebuttal to CTP Comments at 3.
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Suspension of Liquidation
In accordance with section 703(d)(1)(A)(i) of the Act, we
calculated an amended estimated countervailable subsidy rate for GITI
Fujian.\12\ In the Preliminary Determination, we calculated an all-
others rate using a weight average of the two responding firms' rates
(i.e., GITI Fujian and Cooper Kunshan Tire Co., Ltd). Therefore, we are
also amending the all-others rate to incorporate GITI Fujian's amended
rate in the weight average of the responding firms' rate, using
publicly-ranged data. The overall amended preliminary estimated
countervailable subsidy rates are summarized in the table below.
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\12\ The countervailable rate for GITI Fujian applies also to
its cross-owned affiliated companies GITI Tire (China) Investment
Company Ltd., GITI Radial Tire (Anhui) Company Ltd., GITI Tire
(Hualin) Company Ltd., GITI Steel Cord (Hubei) Company Ltd., and
Anhui Prime Cord Fabrics Company Ltd.
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Subsidy rate
Exporter/producer (percent)
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GITI Tire (Fujian) Co., Ltd. and certain cross-owned 11.74
companies..............................................
All Others.............................................. 12.03
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We will instruct U.S. Customs and Border Protection (CBP) to
require a cash deposit equal to the estimated amended countervailing
duty rates reflected in this notice for GITI Fujian and all-other
exporters or producers. This amended countervailing duty rate applies
to GITI Fujian for all entries of passenger tires from the PRC that are
entered, or withdrawn from warehouse, for consumption on or after the
date of the publication of the Preliminary Determination. We are not
changing our Preliminary Determination regarding critical
circumstances. Therefore, we will direct CBP to apply the all-others
amended preliminary countervailing duty rate to any unliquidated
entries entered, or withdrawn from warehouse for consumption for all-
other exporters or producers not individually examined, on or after the
date which is 90 days prior to the date of publication of the
Preliminary Determination, in accordance with section 703(e)(2)(A) of
the Act.
International Trade Commission Notification
In accordance with section 703(f) of the Act, we will notify the
International Trade Commission (ITC) of our determination. In addition,
we are making available to the ITC all non-privileged and non-
proprietary information relating to this investigation. We will allow
the ITC access to all privileged and business proprietary information
in our files, provided the ITC confirms that it will not disclose such
information, either publicly or under an administrative protective
order, without the written consent of the Assistant Secretary for
Enforcement and Compliance.
This determination is issued and published pursuant to sections
703(f) and 777(i) of the Act and 19 CFR 351.224(e).
[[Page 78400]]
Dated: December 19, 2014.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.
Appendix--Scope of Investigation
The scope of this investigation is passenger vehicle and light
truck tires. Passenger vehicle and light truck tires are new
pneumatic tires, of rubber, with a passenger vehicle or light truck
size designation. Tires covered by this investigation may be tube-
type, tubeless, radial, or non-radial, and they may be intended for
sale to original equipment manufacturers or the replacement market.
Subject tires have, at the time of importation, the symbol
``DOT'' on the sidewall, certifying that the tire conforms to
applicable motor vehicle safety standards. Subject tires may also
have the following prefixes or suffix in their tire size
designation, which also appears on the sidewall of the tire:
Prefix designations:
P--Identifies a tire intended primarily for service on passenger
cars
LT--Identifies a tire intended primarily for service on light trucks
Suffix letter designations:
LT--Identifies light truck tires for service on trucks, buses,
trailers, and multipurpose passenger vehicles used in nominal
highway service
All tires with a ``P'' or ``LT'' prefix, and all tires with an
``LT'' suffix in their sidewall markings are covered by this
investigation regardless of their intended use.
In addition, all tires that lack a ``P'' or ``LT'' prefix or
suffix in their sidewall markings, as well as all tires that include
any other prefix or suffix in their sidewall markings, are included
in the scope, regardless of their intended use, as long as the tire
is of a size that is among the numerical size designations listed in
the passenger car section or light truck section of the Tire and Rim
Association Year Book, as updated annually, unless the tire falls
within one of the specific exclusions set out below.
Passenger vehicle and light truck tires, whether or not attached
to wheels or rims, are included in the scope. However, if a subject
tire is imported attached to a wheel or rim, only the tire is
covered by the scope.
Specifically excluded from the scope of this investigation are
the following types of tires:
(1) racing car tires; such tires do not bear the symbol ``DOT''
on the sidewall and may be marked with ``ZR'' in size designation;
(2) new pneumatic tires, of rubber, of a size that is not listed
in the passenger car section or light truck section of the Tire and
Rim Association Year Book;
(3) pneumatic tires, of rubber, that are not new, including
recycled and retreaded tires;
(4) non-pneumatic tires, such as solid rubber tires;
(5) tires designed and marketed exclusively as temporary use
spare tires for passenger vehicles which, in addition, exhibit each
of the following physical characteristics:
(a) the size designation and load index combination molded on
the tire's sidewall are listed in Table PCT-1B (``T'' Type Spare
Tires for Temporary Use on Passenger Vehicles) of the Tire and Rim
Association Year Book,
(b) the designation ``T'' is molded into the tire's sidewall as
part of the size designation, and,
(c) the tire's speed rating is molded on the sidewall,
indicating the rated speed in MPH or a letter rating as listed by
Tire and Rim Association Year Book, and the rated speed is 81 MPH or
a ``M'' rating;
(6) tires designed and marketed exclusively for specialty tire
(ST) use which, in addition, exhibit each of the following physical
characteristics: *
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\*\ We are currently suspending requirements (6)(d) and (e);
therefore, tires entered, or withdrawn from warehouse for
consumption that meet exclusion requirements (6)(a)-(c) above are
excluded from the scope of this investigation.
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(a) the size designation molded on the tire's sidewall is listed
in the ST sections of the Tire and Rim Association Year Book,
(b) the designation ``ST'' is molded into the tire's sidewall as
part of the size designation,
(c) the tire incorporates a warning, prominently molded on the
sidewall, that the tire is ``For Trailer Service Only'' or ``For
Trailer Use Only'',
(d) the load index molded on the tire's sidewall meets or
exceeds those load indexes listed in the Tire and Rim Association
Year Book for the relevant ST tire size, and
(e) the tire's speed rating is molded on the sidewall,
indicating the rated speed in MPH or a letter rating as listed by
TRA, and the rated speed does not exceed 81 MPH or an ``M'' rating;
(7) tires designed and marketed exclusively for off-road use and
which, in addition, exhibit each of the following physical
characteristics:
(a) the size designation and load index combination molded on
the tire's sidewall are listed in the off-the-road, agricultural,
industrial or ATV section of the Tire and Rim Association Year Book,
(b) in addition to any size designation markings, the tire
incorporates a warning, prominently molded on the sidewall, that the
tire is ``Not For Highway Service'' or ``Not for Highway Use'',
(c) the tire's speed rating is molded on the sidewall,
indicating the rated speed in MPH or a letter rating as listed by
the Tire and Rim Association Year Book, and the rated speed does not
exceed 55 MPH or a ``G'' rating, and
(d) the tire features a recognizable off-road tread design.
The products covered by the investigation are currently
classified under the following Harmonized Tariff Schedule of the
United States (HTSUS) subheadings: 4011.10.10.10, 4011.10.10.20,
4011.10.10.30, 4011.10.10.40, 4011.10.10.50, 4011.10.10.60,
4011.10.10.70, 4011.10.50.00, 4011.20.10.05, and 4011.20.50.10.
Tires meeting the scope description may also enter under the
following HTSUS subheadings: 4011.99.45.10, 4011.99.45.50,
4011.99.85.10, 4011.99.85.50, 8708.70.45.45, 8708.70.45.60,
8708.70.60.30, 8708.70.60.45, and 8708.70.60.60. While HTSUS
subheadings are provided for convenience and for customs purposes,
the written description of the subject merchandise is dispositive.
[FR Doc. 2014-30544 Filed 12-29-14; 8:45 am]
BILLING CODE 3510-DS-P