Truck and Bus Tires From Thailand: Initiation of Less-Than-Fair-Value Investigation, 77960-77965 [2023-24994]
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Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Notices
Commerce initiated the circumvention
inquiry on the basis of the minor
alterations allegation, pursuant to
section 781(c) of the Act and 19 CFR
351.226(j).5 Commerce initiated the
inquiry on a country-wide basis.6 For a
complete description of events that
followed the initiation of this inquiry,
see the Preliminary Decision
Memorandum.7
Scope of the Order
The merchandise covered by the
Order is fresh garlic from China. The
subject garlic is currently classifiable
under subheadings: 0703.20.0005,
0703.20.0010, 0703.20.0015,
0703.20.0020, 0703.20.0000,
0703.20.0090, 0710.80.7060,
0710.80.97500, 0711.90.6000,
0711.90.6500, 2005.90.9500,
2005.90.9700, and 2005.99.9700 of the
Harmonized Tariff Schedule of the
United States (HTSUS). Although the
HTSUS subheadings are provided for
convenience and customs purposes, our
written description of the scope of the
Order is dispositive. For a complete
description of the scope of the Order,
see the Preliminary Decision
Memorandum.
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Merchandise Subject to the
Circumvention Inquiry
This circumvention inquiry covers
small and large garlic chunks produced
in China and exported to the United
States. A complete description of the
merchandise subject to the
circumvention inquiry is contained in
the Preliminary Decision Memorandum.
Methodology
Commerce is conducting this
circumvention inquiry pursuant to
section 781(c) of the Act and 19 CFR
351.226(j). 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
attached as an appendix 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 https://access.trade.gov. In addition, a
5 See
Initiation Notice.
6 Id.
7 See Memorandum, ‘‘Fresh Garlic from the
People’s Republic of China: Preliminary Affirmative
Determination of Circumvention for Small and
Large Garlic Chunks,’’ dated concurrently with, and
hereby adopted by, this notice (Preliminary
Decision Memorandum).
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complete version of the Preliminary
Decision Memorandum can be accessed
directly at https://access.trade.gov/
public/FRNoticesListLayout.aspx.
Preliminary Affirmative Determination
of Circumvention
As detailed in the Preliminary
Decision Memorandum, we
preliminarily determine that small and
large garlic chunks produced in China
and exported to the United States
constitute merchandise altered in form
or appearance in such minor respects
that they should be included within the
scope of the Order, pursuant to section
781(c) of the Act and 19 CFR 351.226(j).
We also preliminarily determine that
this affirmative circumvention finding
should be applied on a country-wide
basis.
Suspension of Liquidation
In accordance with 19 CFR
351.226(l)(2), we will direct U.S.
Customs and Border Protection (CBP) to
continue the suspension of liquidation
of previously suspended entries and to
suspend liquidation of all entries of
small and large garlic chunks produced
in and exported from China that are
entered, or withdrawn from warehouse,
for consumption on or after June 8,
2023, (i.e., the date of the publication of
the Initiation Notice).8 Pursuant to 19
CFR 351.226(l)(2), we will also instruct
CBP to require AD cash deposit rates in
effect for fresh garlic for each
unliquidated entry of small and large
garlic chunks produced in and exported
from China that have been entered, or
withdrawn from warehouse, for
consumption on or after June 8, 2023.9
These suspension of liquidation
instructions and cash deposit
requirements will remain in effect until
further notice.
Public Comment
Pursuant to 19 CFR 351.226(f)(4),
interested parties may submit case briefs
or other written comments within 14
days of the date of publication of this
notice; seven days thereafter, interested
parties may submit rebuttal comments.
In accordance with 19 CFR
351.226(f)(4), no new factual
information will be accepted in the
comments or rebuttal comments.
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 within 30 days after the
8 See
9 See
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Initiation Notice.
Order.
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date of publication of this notice.
Requests should contain: (1) the party’s
name, address, and telephone number;
(2) the number of participants; (3)
whether any participant is a foreign
national; and (4) a list of the issues to
be discussed. If a request for a hearing
is made, parties will be notified of the
date and time for the hearing at a later
date. Parties should confirm by
telephone the date, time, and location of
the hearing two days before the
scheduled date of the hearing.
All submissions must be filed
electronically and received successfully
in their entirety via ACCESS by 5:00
p.m. Eastern Time on the date that they
are due. Note that Commerce has
amended certain of its requirements
pertaining to the service of documents
in 19 CFR 351.303(f).10
Notification to Interested Parties
This determination is issued and
published in accordance with sections
section 781(c) of the Act and 19 CFR
351.226(g)(1).
Dated: November 6, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement
and Compliance.
Appendix—List of Topics Discussed in
the Preliminary Decision Memorandum
I. Summary
II. Background
III. Scope of the Order
IV. Merchandise Subject to the
Circumvention Inquiry
V. Statutory and Regulatory Framework:
Minor Alterations
VI. Circumvention Analysis
VII. Preliminary Affirmative Determination of
Circumvention
VIII. Country-Wide Determination
IX. Recommendation
[FR Doc. 2023–24993 Filed 11–13–23; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
[A–549–848]
Truck and Bus Tires From Thailand:
Initiation of Less-Than-Fair-Value
Investigation
Enforcement and Compliance,
International Trade Administration,
Department of Commerce.
DATES: Applicable November 6, 2023.
FOR FURTHER INFORMATION CONTACT:
Katherine Johnson or Faris Montgomery;
AGENCY:
10 See Administrative Protective Order, Service,
and Other Procedures in Antidumping and
Countervailing Duty Proceedings; Final Rule, 88 FR
67069 (September 29, 2023).
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Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Notices
AD/CVD Operations, Enforcement and
Compliance, International Trade
Administration, U.S. Department of
Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone:
(202) 482–4929 or (202) 482–1537,
respectively.
SUPPLEMENTARY INFORMATION:
The Petition
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On October 17, 2023, the U.S.
Department of Commerce (Commerce)
received an antidumping duty (AD)
petition concerning imports of truck and
bus tires from Thailand, filed in proper
form on behalf of the United Steel,
Paper and Forestry, Rubber,
Manufacturing, Energy, Allied
Industrial and Service Workers
International Union, AFL–CIO, CLC
(USW) (the petitioner), a certified union
which represents workers engaged in
the production of truck and bus tires in
the United States.1
On October 20 and 27, and November
1, 2023, Commerce requested
supplemental information pertaining to
certain aspects of the Petition.2 The
petitioner filed responses to these
requests on October 24, 30, 31, and
November 2, 2023.3
In accordance with section 732(b) of
the Tariff Act of 1930, as amended (the
Act), the petitioner alleges that imports
of truck and bus tires from Thailand are
being, or are likely to be, sold in the
United States at less than fair value
(LTFV) within the meaning of section
731 of the Act, and that imports of such
products are materially injuring, or
threatening material injury to, the truck
and bus tires industry in the United
States. Consistent with section 732(b)(1)
of the Act, the Petition is accompanied
by information reasonably available to
the petitioner supporting its allegations.
Commerce finds that the petitioner
filed the Petition on behalf of the
domestic industry, because the
1 See Petitioner’s Letter, ‘‘Petition for the
Imposition of Antidumping Duties on Imports of
Truck and Bus Tires from Thailand,’’ dated October
17, 2023 (the Petition).
2 See Commerce’s Letter, ‘‘Petition for the
Imposition of Antidumping Duties on Imports of
Truck and Bus Tires from Thailand: Supplemental
Questions,’’ dated October 20, 2023 (Supplemental
Questionnaire); see also Memoranda, ‘‘Phone Call
with Counsel to the Petitioner,’’ dated October 27,
2023, and ‘‘Phone Call with Counsel to the
Petitioner,’’ dated November 1, 2023.
3 See Petitioner’s Letters, ‘‘Petition Supplemental
Questions Response,’’ dated October 24, 2023 (First
Petition Supplement), ‘‘Second Petition
Supplemental Questions Response,’’ dated October
30, 2023 (Second Petition Supplement),
‘‘Submission of Exhibit Second Supp. II–7,’’ dated
October 31, 2023, ‘‘Submission of Exhibit Second
Supp. II–7,’’ dated October 31, 2023, and ‘‘Petition
Third Supplemental Questions Response,’’ dated
November 2, 2023 (Third Petition Supplement).
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petitioner is an interested party, as
defined in section 771(9)(D) of the Act.4
Commerce also finds that the petitioner
demonstrated sufficient industry
support for the initiation of the
requested LTFV investigation.5
Period of Investigation
Because the Petition was filed on
October 17, 2023, the period of
investigation (POI) for this investigation
is October 1, 2022, through September
30, 2023, pursuant to 19 CFR
351.204(b)(1).
Scope of the Investigation
The products covered by this
investigation are truck and bus tires
from Thailand. For a full description of
the scope of this investigation, see the
appendix to this notice.
Comments on the Scope of the
Investigation
On October 20 and November 1, 2023,
Commerce requested further
information and clarification from the
petitioner regarding the proposed scope
to ensure that the scope language in the
Petition is an accurate reflection of the
products for which the domestic
industry is seeking relief.6 On October
24 and November 2, 2023, the petitioner
revised the scope.7 The description of
the merchandise covered by this
investigation, as described in the
appendix to this notice, reflects these
clarifications.
As discussed in the Preamble to
Commerce’s regulations, we are setting
aside a period of time for interested
parties to raise issues regarding product
coverage (i.e., scope).8 Commerce will
consider all comments received from
interested parties and, if necessary, will
consult with interested parties prior to
the issuance of the preliminary
determination. If scope comments
include factual information,9 all such
factual information should be limited to
public information. To facilitate
preparation of its questionnaires,
Commerce requests that all interested
parties submit such comments by 5 p.m.
Eastern Time (ET) on November 27,
2023, which is the next business day
after 20 calendar days from the
4 See
Petition at Volume I at 2.
infra, section on ‘‘Determination of Industry
Support for the Petition.’’
6 See Supplemental Questionnaire; see also
Memorandum, dated November 1, 2023.
7 See First Petition Supplement at 3 and Exhibit
Supp-I–1; see also Third Petition Supplement at 2
and Exhibit 1.
8 See Antidumping Duties; Countervailing Duties,
Final Rule, 62 FR 27296, 27323 (May 19, 1997)
(Preamble).
9 See 19 CFR 351.102(b)(21) (defining ‘‘factual
information’’).
5 See
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signature date of this notice.10 Any
rebuttal comments, which may include
factual information, must be filed by 5
p.m. ET on December 7, 2023, which is
ten calendar days from the initial
comment deadline.
Commerce requests that any factual
information that parties consider
relevant to the scope of the investigation
be submitted during that period.
However, if a party subsequently finds
that additional factual information
pertaining to the scope of the
investigation may be relevant, the party
may contact Commerce and request
permission to submit the additional
information. All such submissions must
be filed on the record of this LTFV
investigation.
Filing Requirements
All submissions to Commerce must be
filed electronically using Enforcement
and Compliance’s Antidumping Duty
and Countervailing Duty Centralized
Electronic Service System (ACCESS),
unless an exception applies.11 An
electronically filed document must be
received successfully in its entirety by
the time and date it is due.
Comments on Product Characteristics
Commerce is providing interested
parties an opportunity to comment on
the appropriate physical characteristics
of truck and bus tires to be reported in
response to Commerce’s AD
questionnaires. This information will be
used to identify the key physical
characteristics of the subject
merchandise in order to report the
relevant costs of production accurately,
as well as to develop appropriate
product-comparison criteria.
Interested parties may provide any
information or comments that they feel
are relevant to the development of an
accurate list of physical characteristics.
Specifically, they may provide
comments as to which characteristics
are appropriate to use as: (1) general
10 The 20-day deadline falls on November 26,
2023, which is a Sunday. In accordance with 19
CFR 351.303(b)(1), Commerce will accept
comments filed by 5:00 p.m. ET on November 27,
2023. Id. (‘‘For both electronically filed and
manually filed documents, if the applicable due
date falls on a non-business day, the Secretary will
accept documents that are filed on the next
business day.’’)
11 See Antidumping and Countervailing Duty
Proceedings: Electronic Filing Procedures;
Administrative Protective Order Procedures, 76 FR
39263 (July 6, 2011); see also Enforcement and
Compliance; Change of Electronic Filing System
Name, 79 FR 69046 (November 20, 2014) for details
of Commerce’s electronic filing requirements,
effective August 5, 2011. Information on help using
ACCESS can be found at https://access.trade.gov/
help.aspx and a handbook can be found at https://
access.trade.gov/help/Handbook_on_Electronic_
Filing_Procedures.pdf.
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Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Notices
product characteristics; and (2) product
comparison criteria. We note that it is
not always appropriate to use all
product characteristics as product
comparison criteria. We base product
comparison criteria on meaningful
commercial differences among products.
In other words, although there may be
some physical product characteristics
utilized by manufacturers to describe
truck and bus tires, it may be that only
a select few product characteristics take
into account commercially meaningful
physical characteristics. In addition,
interested parties may comment on the
order in which the physical
characteristics should be used in
matching products. Generally,
Commerce attempts to list the most
important physical characteristics first
and the least important characteristics
last.
In order to consider the suggestions of
interested parties in developing and
issuing the AD questionnaires, all
product characteristics comments must
be filed by 5 p.m. ET on November 27,
2023, which is the next business day
after 20 calendar days from the
signature date of this notice.12 Any
rebuttal comments must be filed by 5
p.m. ET on December 7, 2023, which is
10 calendar days from the initial
comment deadline. All comments and
submissions to Commerce must be filed
electronically using ACCESS, as
explained above.
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Determination of Industry Support for
the Petition
Section 732(b)(1) of the Act requires
that a petition be filed on behalf of the
domestic industry. Section 732(c)(4)(A)
of the Act provides that a petition meets
this requirement if the domestic
producers or workers who support the
petition account for: (i) at least 25
percent of the total production of the
domestic like product; and (ii) more
than 50 percent of the production of the
domestic like product produced by that
portion of the industry expressing
support for, or opposition to, the
petition. Moreover, section 732(c)(4)(D)
of the Act provides that, if the petition
does not establish support of domestic
producers or workers accounting for
more than 50 percent of the total
production of the domestic like product,
Commerce shall: (i) poll the industry or
rely on other information in order to
determine if there is support for the
petition, as required by subparagraph
(A); or (ii) determine industry support
using a statistically valid sampling
method to poll the ‘‘industry.’’
12 See
19 CFR 351.303(b)(1).
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Section 771(4)(A) of the Act defines
the ‘‘industry’’ as the producers as a
whole of a domestic like product. Thus,
to determine whether a petition has the
requisite industry support, the statute
directs Commerce to look to producers
and workers who produce the domestic
like product. The International Trade
Commission (ITC), which is responsible
for determining whether ‘‘the domestic
industry’’ has been injured, must also
determine what constitutes a domestic
like product in order to define the
industry. While both Commerce and the
ITC must apply the same statutory
definition regarding the domestic like
product,13 they do so for different
purposes and pursuant to a separate and
distinct authority. In addition,
Commerce’s determination is subject to
limitations of time and information.
Although this may result in different
definitions of the like product, such
differences do not render the decision of
either agency contrary to law.14
Section 771(10) of the Act defines the
domestic like product as ‘‘a product
which is like, or in the absence of like,
most similar in characteristics and uses
with, the article subject to an
investigation under this title.’’ Thus, the
reference point from which the
domestic like product analysis begins is
‘‘the article subject to an investigation’’
(i.e., the class or kind of merchandise to
be investigated, which normally will be
the scope as defined in the petition).
With regard to the domestic like
product, the petitioner does not offer a
definition of the domestic like product
distinct from the scope of the
investigation.15 Based on our analysis of
the information submitted on the
record, we have determined that truck
and bus tires, as defined in the scope,
constitute a single domestic like
product, and we have analyzed industry
support in terms of that domestic like
product.16
In determining whether the petitioner
has standing under section 732(c)(4)(A)
of the Act, we considered the industry
13 See
section 771(10) of the Act.
USEC, Inc. v. United States, 132 F. Supp.
2d 1, 8 (CIT 2001) (citing Algoma Steel Corp. v.
United States, 688 F. Supp. 639, 644 (CIT 1988),
aff’d 865 F.2d 240 (Fed. Cir. 1989)).
15 See Petition at Volume I (pages 2–5 and
Exhibits I–1 and I–3); see also First Petition
Supplement at 3–6 and Exhibit Supp-I–3.
16 For a discussion of the domestic like product
analysis as applied to this case and information
regarding industry support, see Checklist,
‘‘Antidumping Duty Investigation Initiation
Checklist: Truck and Bus Tires from Thailand,’’ (AD
Initiation Checklist) at Attachment II, Analysis of
Industry Support for the Antidumping Duty
Petition Covering Truck and Bus Tires from
Thailand (Attachment II). This checklist is dated
concurrently with this notice and on file
electronically via ACCESS.
14 See
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support data contained in the Petition
with reference to the domestic like
product as defined in the ‘‘Scope of the
Investigation,’’ in the appendix to this
notice. To establish industry support,
the petitioner estimated the 2022
production for each U.S. producer of
truck and bus tires, by plant.17 The
petitioner based its estimates of 2022
truck and bus tire production on daily
plant-specific production capacity data
published in Modern Tire Dealer.18 The
petitioner then multiplied the daily
production capacity data by 360 (to
estimate annual capacity).19 To
calculate a capacity utilization rate for
the U.S. truck and bus tires industry in
2022, the petitioner compared the 2022
U.S. production of truck and bus tires
data sourced from the U.S. Tire
Manufacturers Association (as reported
in the February 27, 2023, edition of Tire
Business) to the estimated total 2022
U.S. capacity to produce truck and bus
tires.20 To calculate plant-specific total
2022 production of the domestic like
product, the petitioner applied the
estimated capacity utilization rate to the
total annualized capacity of each plant
represented by the USW as well as each
non-petitioning plant.21 To calculate
industry support, the petitioner divided
the estimated 2022 production of the
domestic like product for those plants
represented by the USW by the
estimated production of the domestic
like product in 2022 for the entire U.S.
truck and bus tires industry.22 We relied
on data provided by the petitioner for
purposes of measuring industry
support.23
On October 30, 2023, we received
comments on industry support from
American Omni Trading Company, LLC
(Omni), a U.S. importer of truck and bus
tires from Thailand.24 On November 1,
17 See Petition at Volume I (pages 6–8 and Exhibit
I–3); see also First Petition Supplement at Exhibit
Supp-I–8.
18 See Petition at Volume I (pages 6–8 and Exhibit
I–3); see also First Petition Supplement at 6–7 and
Exhibit Supp-I–8.
19 See Petition at Volume I (pages 7–8 and Exhibit
I–3); see also First Petition Supplement at 7 and
Exhibit Supp-I–8.
20 See First Petition Supplement at 7–8 and
Exhibits Supp-I–7 and Supp-I–8.
21 See Petition at Volume I (pages 6–8 and Exhibit
I–3); see also First Petition Supplement at 7–8 and
Exhibit Supp-I–8.
22 See Petition at Volume I (page 8); see also First
Petition Supplement at 6–7 and Exhibit Supp-I–8.
23 See Petition at Volume I (pages 5–8 and Exhibit
I–3); see also First Petition Supplement at 6–8 and
Exhibits Supp-I–7 and Supp-I–8. For further
discussion, see AD Initiation Checklist at
Attachment II.
24 See Omni’s Letter, ‘‘Comments on Industry
Support,’’ dated October 30, 2023.
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2023, the petitioner provided rebuttal
comments.25
Our review of the data provided in the
Petition, the First Petition Supplement,
Petitioner’s Response, and other
information readily available to
Commerce indicates that the petitioner
has established industry support for the
Petition. First, the Petition established
support from domestic producers (or
workers) accounting for more than 50
percent of the total production of the
domestic like product, and, as such,
Commerce is not required to take further
action in order to evaluate industry
support (e.g., polling).26 Second, the
domestic producers (or workers) have
met the statutory criteria for industry
support under section 732(c)(4)(A)(i) of
the Act because the domestic producers
(or workers) who support the Petition
account for at least 25 percent of the
total production of the domestic like
product.27 Finally, the domestic
producers (or workers) have met the
statutory criteria for industry support
under section 732(c)(4)(A)(ii) of the Act
because the domestic producers (or
workers) who support the Petition
account for more than 50 percent of the
production of the domestic like product
produced by that portion of the industry
expressing support for, or opposition to,
the Petition.28 Accordingly, Commerce
determines that the Petition was filed on
behalf of the domestic industry within
the meaning of section 732(b)(1) of the
Act.29
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Allegations and Evidence of Material
Injury and Causation
The petitioner alleges that the U.S.
industry producing the domestic like
product is being materially injured, or is
threatened with material injury, by
reason of the imports of the subject
merchandise sold at LTFV. In addition,
the petitioner alleges that subject
imports exceed the negligibility
threshold provided for under section
771(24)(A) of the Act.30
The petitioner contends that the
domestic industry’s injured condition is
illustrated by a significant volume of
subject imports; reduced market share;
underselling and price depression and/
or suppression; decline in capacity
utilization and U.S. shipments; and
adverse impact on financial
25 See Petitioner’s Letter, ‘‘Rebuttal to Industry
Support Comments,’’ dated November 1, 2023
(Petitioner’s Response).
26 See AD Initiation Checklist at Attachment II;
see also section 732(c)(4)(D) of the Act.
27 See AD Initiation Checklist at Attachment II.
28 Id.
29 Id.
30 See Petition at Volume I (page 15 and Exhibit
I–4).
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performance.31 We assessed the
allegations and supporting evidence
regarding material injury, threat of
material injury, causation, as well as
negligibility, and we have determined
that these allegations are properly
supported by adequate evidence, and
meet the statutory requirements for
initiation.32
Allegations of Sales at LTFV
The following is a description of the
allegations of sales at LTFV upon which
Commerce based its decision to initiate
a LTFV investigation of truck and bus
tires from Thailand. The sources of data
for the deductions and adjustments
relating to U.S. price and normal value
(NV) are discussed in greater detail in
the AD Initiation Checklist.
U.S. Price
The petitioner based the export price
(EP) on the average unit value (AUV)
derived from official import statistics for
imports of truck and bus tires from
Thailand into the United States during
the POI. The petitioner made certain
adjustments to U.S. price for movement
expenses, to calculate a net ex-factory
U.S. price.33
Normal Value 34
The petitioner based NV on home
market prices obtained through market
research for truck and bus tires
produced in and sold, or offered for
sale, in Thailand during the POI. The
petitioner provided information
indicating that the prices for truck and
bus tires sold or offered for sale in
Thailand were below the COP;
therefore, the petitioner calculated NV
based on CV.35 For further discussion of
CV, see the section ‘‘Normal Value
Based on Constructed Value,’’ below.
Constructed Value
As noted above, the petitioner
provided information indicating that the
prices for truck and bus tires sold or
offered for sale in Thailand were below
COP. Therefore, the petitioner based NV
31 Id. at 15–25 and Exhibits I–3, I–4, and I–10
through I–12; see also First Petition Supplement at
8 and Exhibits Supp–I–9 and Supp–I–10.
32 See AD Initiation Checklist at Attachment III,
Analysis of Allegations and Evidence of Material
Injury and Causation for the Antidumping Duty
Petition Covering Truck and Bus Tires from
Thailand (Attachment III).
33 See AD Initiation Checklist.
34 In accordance with section 773(b)(2) of the Act,
for this investigation, Commerce will request
information necessary to calculate the constructed
value (CV) and cost of production (COP) to
determine whether there are reasonable grounds to
believe or suspect that sales of the foreign like
product have been made at prices that represent
less than the COP of the product.
35 See AD Initiation Checklist.
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77963
on CV. Pursuant to section 773(e) of the
Act, the petitioner calculated CV as the
sum of the cost of manufacturing
(COM), selling, general, and
administrative (SG&A) expenses,
financial expenses, and profit.36
As the petitioner is a union
representing workers in the domestic
industry producing truck and bus tires
and is not a domestic producer, the
petitioner contends it does not have
access to the confidential information
on actual production costs experienced
by either the domestic or the foreign
producers.37 Therefore, in calculating
the COM, the petitioner relied on
publicly available information regarding
the direct materials used to manufacture
truck and bus tires, derived from a
number of published studies.38 Using
this information, the petitioner
calculated the average percentage of
total tire weight represented by direct
materials for truck and bus tires and
valued these inputs using publicly
available information applicable to
Thailand.39 In calculating labor, energy,
SG&A, financial expenses, and profit
ratios, the petitioner relied on the
financial statements of producers of
identical merchandise in Thailand.40
Fair Value Comparisons
Based on the data provided by the
petitioner, there is reason to believe that
imports of truck and bus tires from
Thailand are being, or are likely to be,
sold in the United States at LTFV. Based
on a comparison of EP to NV, in
accordance with sections 772 and 773 of
the Act, the estimated dumping margin
for truck and bus tires from Thailand is
48.39 percent.41
Initiation of LTFV Investigation
Based upon the examination of the
Petition and supplemental responses,
we find that they meet the requirements
of section 732 of the Act. Therefore, we
are initiating a LTFV investigation to
determine whether imports of truck and
bus tires from Thailand are being, or are
likely to be, sold in the United States at
LTFV. In accordance with section
733(b)(1)(A) of the Act and 19 CFR
351.205(b)(1), unless postponed, we will
make our preliminary determination no
later than 140 days after the date of this
initiation.
36 Id.
37 See Petition at Volume II (page II–5); see also
AD Initiation Checklist.
38 See AD Initiation Checklist.
39 Id.
40 Id.
41 Id.
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Respondent Selection
In the Petition, the petitioner named
16 companies in Thailand as producers/
exporters of truck and bus tires.42
Following standard practice in AD
investigations involving market
economy countries, in the event
Commerce determines that the number
of exporters or producers in any
individual case is large such that
Commerce cannot individually examine
each company based upon its resources,
where appropriate, Commerce intends
to select mandatory respondents in that
case based on U.S. Customs and Border
Protection (CBP) data for U.S. imports
under the appropriate Harmonized
Tariff Schedule of the United States
numbers listed in the ‘‘Scope of the
Investigation,’’ in the appendix.
On November 1, 2023, Commerce
released CBP data on imports of truck
and bus tires under Administrative
Protective Order (APO) to all parties
with access to information protected by
APO and indicated that interested
parties wishing to comment on CBP data
must do so within three business days
of the publication date of the notice of
initiation of this investigation.43
Commerce will not accept rebuttal
comments regarding the CBP data or
respondent selection.
Interested parties must submit
applications for disclosure under APO
in accordance with 19 CFR 351.305(b).
Instructions for filing such applications
may be found on Commerce’s website at
https://enforcement.trade.gov/apo.
Comments must be filed
electronically using ACCESS. An
electronically-filed document must be
received successfully in its entirety via
ACCESS by 5:00 p.m. ET on the
specified deadline.
Distribution of Copies of the Petition
In accordance with section
732(b)(3)(A) of the Act and 19 CFR
351.202(f), a copy of the public version
of the Petition has been provided to the
government of Thailand via ACCESS.
To the extent practicable, we will
attempt to provide a copy of the public
version of the Petition to each exporter
named in the Petition, as provided
under 19 CFR 351.203(c)(2).
khammond on DSKJM1Z7X2PROD with NOTICES
ITC Notification
Commerce will notify the ITC of its
initiation, as required by section 732(d)
of the Act.
Preliminary Determination by the ITC
The ITC will preliminarily determine,
within 45 days after the date on which
the Petition was filed, whether there is
a reasonable indication that subject
imports are materially injuring or
threatening material injury to a U.S.
industry.44 A negative ITC
determination will result in the
investigation being terminated.45
Otherwise, this LTFV investigation will
proceed according to statutory and
regulatory time limits.
Submission of Factual Information
Factual information is defined in 19
CFR 351.102(b)(21) as: (i) evidence
submitted in response to questionnaires;
(ii) evidence submitted in support of
allegations; (iii) publicly available
information to value factors under 19
CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR
351.511(a)(2); (iv) evidence placed on
the record by Commerce; and (v)
evidence other than factual information
described in (i)–(iv). Section 351.301(b)
of Commerce’s regulations requires any
party, when submitting factual
information, to specify under which
subsection of 19 CFR 351.102(b)(21) the
information is being submitted 46 and, if
the information is submitted to rebut,
clarify, or correct factual information
already on the record, to provide an
explanation identifying the information
already on the record that the factual
information seeks to rebut, clarify, or
correct.47 Time limits for the
submission of factual information are
addressed in 19 CFR 351.301, which
provides specific time limits based on
the type of factual information being
submitted. Interested parties should
review the regulations prior to
submitting factual information in this
investigation.
Particular Market Situation Allegation
Section 773(e) of the Act addresses
the concept of particular market
situation (PMS) for purposes of CV,
stating that ‘‘if a particular market
situation exists such that the cost of
materials and fabrication or other
processing of any kind does not
accurately reflect the cost of production
in the ordinary course of trade, the
administering authority may use
another calculation methodology under
this subtitle or any other calculation
methodology.’’ When an interested
party submits a PMS allegation pursuant
to section 773(e) of the Act, Commerce
42 See
44 See
43 See
45 Id.
Petition at Volume I (Exhibit I–8).
Memorandum, ‘‘Release of U.S. Customs
and Border Protection Data,’’ dated November 1,
2023.
VerDate Sep<11>2014
16:48 Nov 13, 2023
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46 See
47 See
PO 00000
section 733(a) of the Act.
19 CFR 351.301(b).
19 CFR 351.301(b)(2).
Frm 00017
Fmt 4703
Sfmt 4703
will respond to such a submission
consistent with 19 CFR 351.301(c)(2)(v).
If Commerce finds that a PMS exists
under section 773(e) of the Act, then it
will modify its dumping calculations
appropriately.
Neither section 773(e) of the Act, nor
19 CFR 351.301(c)(2)(v), sets a deadline
for the submission of PMS allegations
and supporting factual information.
However, in order to administer section
773(e) of the Act, Commerce must
receive PMS allegations and supporting
factual information with enough time to
consider the submission. Thus, should
an interested party wish to submit a
PMS allegation and supporting new
factual information pursuant to section
773(e) of the Act, it must do so no later
than 20 days after submission of a
respondent’s initial response to section
D of the AD questionnaire.
Extensions of Time Limits
Parties may request an extension of
time limits before the expiration of a
time limit established under 19 CFR
351.301, or as otherwise specified by
Commerce. In general, an extension
request will be considered untimely if it
is filed after the expiration of the time
limit established under 19 CFR 351.301.
For submissions that are due from
multiple parties simultaneously, an
extension request will be considered
untimely if it is filed after 10 a.m. ET
on the due date. Under certain
circumstances, Commerce may elect to
specify a different time limit by which
extension requests will be considered
untimely for submissions which are due
from multiple parties simultaneously. In
such a case, Commerce will inform
parties in a letter or memorandum of the
deadline (including a specified time) by
which extension requests must be filed
to be considered timely. An extension
request must be made in a separate,
stand-alone submission. Commerce will
grant untimely filed requests for the
extension of time limits only in limited
cases where we determine, based on 19
CFR 351.302, that extraordinary
circumstances exist. Parties should
review Commerce’s regulations
concerning extensions prior to
submitting extension requests or factual
information in this investigation.48
Certification Requirements
Any party submitting factual
information in an AD or countervailing
duty (CVD) proceeding must certify to
the accuracy and completeness of that
48 See 19 CFR 351.302; see also, e.g., Extension
of Time Limits; Final Rule, 78 FR 57790 (September
20, 2013), available at https://www.gpo.gov/fdsys/
pkg/FR-2013-09-20/html/2013-22853.htm.
E:\FR\FM\14NON1.SGM
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Federal Register / Vol. 88, No. 218 / Tuesday, November 14, 2023 / Notices
information.49 Parties must use the
certification formats provided in 19 CFR
351.303(g).50 Commerce intends to
reject factual submissions if the
submitting party does not comply with
the applicable certification
requirements.
Notification to Interested Parties
Interested parties must submit
applications for disclosure under APO
in accordance with 19 CFR 351.305.
Parties wishing to participate in this
investigation should ensure that they
meet the requirements of 19 CFR
351.103(d) (e.g., by filing the required
letter of appearance). Note that
Commerce has modified its regulations
to make permanent certain changes to
its service procedures that were adopted
on a temporary basis due to COVID–19,
as well as to make additional
clarifications and corrections to its AD/
CVD regulations.51
This notice is issued and published
pursuant to sections 732(c)(2) and 777(i)
of the Act, and 19 CFR 351.203(c).
Dated: November 6, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement
and Compliance.
Appendix—Scope of the Investigation
The scope of the investigation covers truck
and bus tires. Truck and bus tires are new
pneumatic tires, of rubber, with a truck or
bus size designation. Truck and bus tires
covered by the scope may be tube-type,
tubeless, radial, or non-radial (also known as
bias construction or bias-ply).
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 one of the
following suffixes in their tire size
designation, which also appear on the
sidewall of the tire:
TR—Identifies tires for service on trucks or
buses to differentiate them from similarly
sized passenger car and light truck tires; and
HC—Identifies a 17.5 inch rim diameter
code for use on low platform trailers.
All tires with a ‘‘TR’’ or ‘‘HC’’ suffix in
their size designations are covered by the
scope regardless of their intended use.
49 See
section 782(b) of the Act.
Certification of Factual Information to
Import Administration During Antidumping and
Countervailing Duty Proceedings, 78 FR 42678 (July
17, 2013) (Final Rule). Answers to frequently asked
questions regarding the Final Rule are available at
https://enforcement.trade.gov/tlei/notices/factual_
info_final_rule_FAQ_07172013.pdf.
51 Effective October 30, 2023, these changes will
apply to all AD/CVD proceedings that are ongoing
on the effective date and all AD/CVD proceedings
initiated on or after the effective date. See
Administrative Protective Order, Service, and Other
Procedures in Antidumping and Countervailing
Duty Proceedings, 88 FR 67069 (September 29,
2023).
khammond on DSKJM1Z7X2PROD with NOTICES
50 See
VerDate Sep<11>2014
16:48 Nov 13, 2023
Jkt 262001
In addition, all tires that lack one of the
above suffix markings are included in the
scope, 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 fits trucks or busses.
Sizes that fit trucks and busses include, but
are not limited to, the numerical size
designations listed in the ‘‘Truck-Bus’’
section of the Tire and Rim Association Year
Book, as updated annually. The scope
includes all tires that are of a size that fits
trucks or busses, unless the tire falls within
one of the specific exclusions set out below.
Truck and bus tires, whether or not
mounted on wheels or rims, are included in
the scope. However, if a subject tire is
imported mounted on a wheel or rim, only
the tire is covered by the scope. Subject
merchandise includes truck and bus tires
produced in the subject country whether
mounted on wheels or rims in the subject
country or in a third country. Truck and bus
tires are covered whether or not they are
accompanied by other parts, e.g., a wheel,
rim, axle parts, bolts, nuts, etc. Truck and bus
tires that enter attached to a vehicle are not
covered by the scope.
Specifically excluded from the scope are
the following types of tires: (1) pneumatic
tires, of rubber, that are not new, including
recycled and retreaded tires; (2) nonpneumatic tires, such as solid rubber tires;
and (3) tires that exhibit each of the following
physical characteristics: (a) the designation
‘‘MH’’ is molded into the tire’s sidewall as
part of the size designation; (b) the tire
incorporates a warning, prominently molded
on the sidewall, that the tire is for ‘‘Mobile
Home Use Only;’’ and (c) the tire is of bias
construction (also known as non-radial
construction) as evidenced by the fact that
the construction code included in the size
designation molded into the tire’s sidewall is
not the letter ‘‘R.’’
The subject merchandise is currently
classifiable under Harmonized Tariff
Schedule of the United States (HTSUS)
subheadings: 4011.20.1015 and
4011.20.5020. Tires meeting the scope
description may also enter under the
following HTSUS subheadings:
4011.90.1010, 4011.90.1050, 4011.90.2010,
4011.90.2050, 4011.90.8010, 4011.90.8050,
8708.70.4530, 8708.70.4546, 8708.70.4548,
8708.70.4560, 8708.70.6030, 8708.70.6045,
8708.70.6060, and 8716.90.5059.
While HTSUS subheadings are provided
for convenience and for customs purposes,
the written description of the subject
merchandise is dispositive.
[FR Doc. 2023–24994 Filed 11–13–23; 8:45 am]
BILLING CODE 3510–DS–P
DEPARTMENT OF COMMERCE
International Trade Administration
Meeting of the President’s Export
Council
International Trade
Administration, U.S. Department of
Commerce.
AGENCY:
PO 00000
Frm 00018
Fmt 4703
Sfmt 4703
ACTION:
77965
Notice of an open meeting.
The President’s Export
Council (Council) will hold a meeting to
deliberate on recommendations related
to promoting the expansion of U.S.
exports. Meeting topics will include
strengthening U.S. leadership in clean
technologies and climate solutions,
promoting U.S. agricultural trade, and
enhancing U.S. manufacturing
competitiveness. The final agenda will
be posted at least one week in advance
of the meeting on the President’s Export
Council website at https://
www.trade.gov/presidents-exportcouncil.
SUMMARY:
DATES:
November 29, 2023 at 9:30 a.m.
ET.
The President’s Export
Council meeting will be broadcast via
live webcast on the internet. Please visit
the Council’s website at https://
www.trade.gov/presidents-exportcouncil for the link to the live webcast
on the day of the meeting.
ADDRESSES:
FOR FURTHER INFORMATION CONTACT:
Tricia Van Orden, Designated Federal
Officer, President’s Export Council,
Room 3424, 1401 Constitution Avenue
NW, Washington, DC 20230, telephone:
202–482–5876, email: tricia.vanorden@
trade.gov.
Press inquiries should be directed to
the International Trade Administration’s
Office of Public Affairs, telephone: 202–
482–3809.
SUPPLEMENTARY INFORMATION:
Background: The President’s Export
Council was first established by
Executive Order on December 20, 1973
to advise the President on matters
relating to U.S. export trade and to
report to the President on its activities
and recommendations for expanding
U.S. exports. The President’s Export
Council was renewed most recently by
Executive Order 14109 of September 29,
2023, for the two-year period ending
September 30, 2025. This Committee is
governed in accordance with the
provisions of the Federal Advisory
Committee Act (FACA), as amended, 5
U.S.C. 1001 et seq.
Public Submissions: The public is
invited to submit written statements to
the President’s Export Council.
Statements must be received by 5 p.m.
ET on November 27, 2023 by the
following methods:
a. Electronic Submissions
Submit statements electronically to
Tricia Van Orden, Designated Federal
Officer, President’s Export Council via
email: tricia.vanorden@trade.gov.
E:\FR\FM\14NON1.SGM
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Agencies
[Federal Register Volume 88, Number 218 (Tuesday, November 14, 2023)]
[Notices]
[Pages 77960-77965]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-24994]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[A-549-848]
Truck and Bus Tires From Thailand: Initiation of Less-Than-Fair-
Value Investigation
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Applicable November 6, 2023.
FOR FURTHER INFORMATION CONTACT: Katherine Johnson or Faris Montgomery;
[[Page 77961]]
AD/CVD Operations, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-4929 or (202) 482-1537,
respectively.
SUPPLEMENTARY INFORMATION:
The Petition
On October 17, 2023, the U.S. Department of Commerce (Commerce)
received an antidumping duty (AD) petition concerning imports of truck
and bus tires from Thailand, filed in proper form on behalf of the
United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied
Industrial and Service Workers International Union, AFL-CIO, CLC (USW)
(the petitioner), a certified union which represents workers engaged in
the production of truck and bus tires in the United States.\1\
---------------------------------------------------------------------------
\1\ See Petitioner's Letter, ``Petition for the Imposition of
Antidumping Duties on Imports of Truck and Bus Tires from
Thailand,'' dated October 17, 2023 (the Petition).
---------------------------------------------------------------------------
On October 20 and 27, and November 1, 2023, Commerce requested
supplemental information pertaining to certain aspects of the
Petition.\2\ The petitioner filed responses to these requests on
October 24, 30, 31, and November 2, 2023.\3\
---------------------------------------------------------------------------
\2\ See Commerce's Letter, ``Petition for the Imposition of
Antidumping Duties on Imports of Truck and Bus Tires from Thailand:
Supplemental Questions,'' dated October 20, 2023 (Supplemental
Questionnaire); see also Memoranda, ``Phone Call with Counsel to the
Petitioner,'' dated October 27, 2023, and ``Phone Call with Counsel
to the Petitioner,'' dated November 1, 2023.
\3\ See Petitioner's Letters, ``Petition Supplemental Questions
Response,'' dated October 24, 2023 (First Petition Supplement),
``Second Petition Supplemental Questions Response,'' dated October
30, 2023 (Second Petition Supplement), ``Submission of Exhibit
Second Supp. II-7,'' dated October 31, 2023, ``Submission of Exhibit
Second Supp. II-7,'' dated October 31, 2023, and ``Petition Third
Supplemental Questions Response,'' dated November 2, 2023 (Third
Petition Supplement).
---------------------------------------------------------------------------
In accordance with section 732(b) of the Tariff Act of 1930, as
amended (the Act), the petitioner alleges that imports of truck and bus
tires from Thailand are being, or are likely to be, sold in the United
States at less than fair value (LTFV) within the meaning of section 731
of the Act, and that imports of such products are materially injuring,
or threatening material injury to, the truck and bus tires industry in
the United States. Consistent with section 732(b)(1) of the Act, the
Petition is accompanied by information reasonably available to the
petitioner supporting its allegations.
Commerce finds that the petitioner filed the Petition on behalf of
the domestic industry, because the petitioner is an interested party,
as defined in section 771(9)(D) of the Act.\4\ Commerce also finds that
the petitioner demonstrated sufficient industry support for the
initiation of the requested LTFV investigation.\5\
---------------------------------------------------------------------------
\4\ See Petition at Volume I at 2.
\5\ See infra, section on ``Determination of Industry Support
for the Petition.''
---------------------------------------------------------------------------
Period of Investigation
Because the Petition was filed on October 17, 2023, the period of
investigation (POI) for this investigation is October 1, 2022, through
September 30, 2023, pursuant to 19 CFR 351.204(b)(1).
Scope of the Investigation
The products covered by this investigation are truck and bus tires
from Thailand. For a full description of the scope of this
investigation, see the appendix to this notice.
Comments on the Scope of the Investigation
On October 20 and November 1, 2023, Commerce requested further
information and clarification from the petitioner regarding the
proposed scope to ensure that the scope language in the Petition is an
accurate reflection of the products for which the domestic industry is
seeking relief.\6\ On October 24 and November 2, 2023, the petitioner
revised the scope.\7\ The description of the merchandise covered by
this investigation, as described in the appendix to this notice,
reflects these clarifications.
---------------------------------------------------------------------------
\6\ See Supplemental Questionnaire; see also Memorandum, dated
November 1, 2023.
\7\ See First Petition Supplement at 3 and Exhibit Supp-I-1; see
also Third Petition Supplement at 2 and Exhibit 1.
---------------------------------------------------------------------------
As discussed in the Preamble to Commerce's regulations, we are
setting aside a period of time for interested parties to raise issues
regarding product coverage (i.e., scope).\8\ Commerce will consider all
comments received from interested parties and, if necessary, will
consult with interested parties prior to the issuance of the
preliminary determination. If scope comments include factual
information,\9\ all such factual information should be limited to
public information. To facilitate preparation of its questionnaires,
Commerce requests that all interested parties submit such comments by 5
p.m. Eastern Time (ET) on November 27, 2023, which is the next business
day after 20 calendar days from the signature date of this notice.\10\
Any rebuttal comments, which may include factual information, must be
filed by 5 p.m. ET on December 7, 2023, which is ten calendar days from
the initial comment deadline.
---------------------------------------------------------------------------
\8\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble).
\9\ See 19 CFR 351.102(b)(21) (defining ``factual
information'').
\10\ The 20-day deadline falls on November 26, 2023, which is a
Sunday. In accordance with 19 CFR 351.303(b)(1), Commerce will
accept comments filed by 5:00 p.m. ET on November 27, 2023. Id.
(``For both electronically filed and manually filed documents, if
the applicable due date falls on a non-business day, the Secretary
will accept documents that are filed on the next business day.'')
---------------------------------------------------------------------------
Commerce requests that any factual information that parties
consider relevant to the scope of the investigation be submitted during
that period. However, if a party subsequently finds that additional
factual information pertaining to the scope of the investigation may be
relevant, the party may contact Commerce and request permission to
submit the additional information. All such submissions must be filed
on the record of this LTFV investigation.
Filing Requirements
All submissions to Commerce must be filed electronically using
Enforcement and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS), unless an exception
applies.\11\ An electronically filed document must be received
successfully in its entirety by the time and date it is due.
---------------------------------------------------------------------------
\11\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and
Compliance; Change of Electronic Filing System Name, 79 FR 69046
(November 20, 2014) for details of Commerce's electronic filing
requirements, effective August 5, 2011. Information on help using
ACCESS can be found at https://access.trade.gov/help.aspx and a
handbook can be found at https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf.
---------------------------------------------------------------------------
Comments on Product Characteristics
Commerce is providing interested parties an opportunity to comment
on the appropriate physical characteristics of truck and bus tires to
be reported in response to Commerce's AD questionnaires. This
information will be used to identify the key physical characteristics
of the subject merchandise in order to report the relevant costs of
production accurately, as well as to develop appropriate product-
comparison criteria.
Interested parties may provide any information or comments that
they feel are relevant to the development of an accurate list of
physical characteristics. Specifically, they may provide comments as to
which characteristics are appropriate to use as: (1) general
[[Page 77962]]
product characteristics; and (2) product comparison criteria. We note
that it is not always appropriate to use all product characteristics as
product comparison criteria. We base product comparison criteria on
meaningful commercial differences among products. In other words,
although there may be some physical product characteristics utilized by
manufacturers to describe truck and bus tires, it may be that only a
select few product characteristics take into account commercially
meaningful physical characteristics. In addition, interested parties
may comment on the order in which the physical characteristics should
be used in matching products. Generally, Commerce attempts to list the
most important physical characteristics first and the least important
characteristics last.
In order to consider the suggestions of interested parties in
developing and issuing the AD questionnaires, all product
characteristics comments must be filed by 5 p.m. ET on November 27,
2023, which is the next business day after 20 calendar days from the
signature date of this notice.\12\ Any rebuttal comments must be filed
by 5 p.m. ET on December 7, 2023, which is 10 calendar days from the
initial comment deadline. All comments and submissions to Commerce must
be filed electronically using ACCESS, as explained above.
---------------------------------------------------------------------------
\12\ See 19 CFR 351.303(b)(1).
---------------------------------------------------------------------------
Determination of Industry Support for the Petition
Section 732(b)(1) of the Act requires that a petition be filed on
behalf of the domestic industry. Section 732(c)(4)(A) of the Act
provides that a petition meets this requirement if the domestic
producers or workers who support the petition account for: (i) at least
25 percent of the total production of the domestic like product; and
(ii) more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the petition. Moreover, section 732(c)(4)(D) of
the Act provides that, if the petition does not establish support of
domestic producers or workers accounting for more than 50 percent of
the total production of the domestic like product, Commerce shall: (i)
poll the industry or rely on other information in order to determine if
there is support for the petition, as required by subparagraph (A); or
(ii) determine industry support using a statistically valid sampling
method to poll the ``industry.''
Section 771(4)(A) of the Act defines the ``industry'' as the
producers as a whole of a domestic like product. Thus, to determine
whether a petition has the requisite industry support, the statute
directs Commerce to look to producers and workers who produce the
domestic like product. The International Trade Commission (ITC), which
is responsible for determining whether ``the domestic industry'' has
been injured, must also determine what constitutes a domestic like
product in order to define the industry. While both Commerce and the
ITC must apply the same statutory definition regarding the domestic
like product,\13\ they do so for different purposes and pursuant to a
separate and distinct authority. In addition, Commerce's determination
is subject to limitations of time and information. Although this may
result in different definitions of the like product, such differences
do not render the decision of either agency contrary to law.\14\
---------------------------------------------------------------------------
\13\ See section 771(10) of the Act.
\14\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT
2001) (citing Algoma Steel Corp. v. United States, 688 F. Supp. 639,
644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
---------------------------------------------------------------------------
Section 771(10) of the Act defines the domestic like product as ``a
product which is like, or in the absence of like, most similar in
characteristics and uses with, the article subject to an investigation
under this title.'' Thus, the reference point from which the domestic
like product analysis begins is ``the article subject to an
investigation'' (i.e., the class or kind of merchandise to be
investigated, which normally will be the scope as defined in the
petition).
With regard to the domestic like product, the petitioner does not
offer a definition of the domestic like product distinct from the scope
of the investigation.\15\ Based on our analysis of the information
submitted on the record, we have determined that truck and bus tires,
as defined in the scope, constitute a single domestic like product, and
we have analyzed industry support in terms of that domestic like
product.\16\
---------------------------------------------------------------------------
\15\ See Petition at Volume I (pages 2-5 and Exhibits I-1 and I-
3); see also First Petition Supplement at 3-6 and Exhibit Supp-I-3.
\16\ For a discussion of the domestic like product analysis as
applied to this case and information regarding industry support, see
Checklist, ``Antidumping Duty Investigation Initiation Checklist:
Truck and Bus Tires from Thailand,'' (AD Initiation Checklist) at
Attachment II, Analysis of Industry Support for the Antidumping Duty
Petition Covering Truck and Bus Tires from Thailand (Attachment II).
This checklist is dated concurrently with this notice and on file
electronically via ACCESS.
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In determining whether the petitioner has standing under section
732(c)(4)(A) of the Act, we considered the industry support data
contained in the Petition with reference to the domestic like product
as defined in the ``Scope of the Investigation,'' in the appendix to
this notice. To establish industry support, the petitioner estimated
the 2022 production for each U.S. producer of truck and bus tires, by
plant.\17\ The petitioner based its estimates of 2022 truck and bus
tire production on daily plant-specific production capacity data
published in Modern Tire Dealer.\18\ The petitioner then multiplied the
daily production capacity data by 360 (to estimate annual
capacity).\19\ To calculate a capacity utilization rate for the U.S.
truck and bus tires industry in 2022, the petitioner compared the 2022
U.S. production of truck and bus tires data sourced from the U.S. Tire
Manufacturers Association (as reported in the February 27, 2023,
edition of Tire Business) to the estimated total 2022 U.S. capacity to
produce truck and bus tires.\20\ To calculate plant-specific total 2022
production of the domestic like product, the petitioner applied the
estimated capacity utilization rate to the total annualized capacity of
each plant represented by the USW as well as each non-petitioning
plant.\21\ To calculate industry support, the petitioner divided the
estimated 2022 production of the domestic like product for those plants
represented by the USW by the estimated production of the domestic like
product in 2022 for the entire U.S. truck and bus tires industry.\22\
We relied on data provided by the petitioner for purposes of measuring
industry support.\23\
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\17\ See Petition at Volume I (pages 6-8 and Exhibit I-3); see
also First Petition Supplement at Exhibit Supp-I-8.
\18\ See Petition at Volume I (pages 6-8 and Exhibit I-3); see
also First Petition Supplement at 6-7 and Exhibit Supp-I-8.
\19\ See Petition at Volume I (pages 7-8 and Exhibit I-3); see
also First Petition Supplement at 7 and Exhibit Supp-I-8.
\20\ See First Petition Supplement at 7-8 and Exhibits Supp-I-7
and Supp-I-8.
\21\ See Petition at Volume I (pages 6-8 and Exhibit I-3); see
also First Petition Supplement at 7-8 and Exhibit Supp-I-8.
\22\ See Petition at Volume I (page 8); see also First Petition
Supplement at 6-7 and Exhibit Supp-I-8.
\23\ See Petition at Volume I (pages 5-8 and Exhibit I-3); see
also First Petition Supplement at 6-8 and Exhibits Supp-I-7 and
Supp-I-8. For further discussion, see AD Initiation Checklist at
Attachment II.
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On October 30, 2023, we received comments on industry support from
American Omni Trading Company, LLC (Omni), a U.S. importer of truck and
bus tires from Thailand.\24\ On November 1,
[[Page 77963]]
2023, the petitioner provided rebuttal comments.\25\
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\24\ See Omni's Letter, ``Comments on Industry Support,'' dated
October 30, 2023.
\25\ See Petitioner's Letter, ``Rebuttal to Industry Support
Comments,'' dated November 1, 2023 (Petitioner's Response).
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Our review of the data provided in the Petition, the First Petition
Supplement, Petitioner's Response, and other information readily
available to Commerce indicates that the petitioner has established
industry support for the Petition. First, the Petition established
support from domestic producers (or workers) accounting for more than
50 percent of the total production of the domestic like product, and,
as such, Commerce is not required to take further action in order to
evaluate industry support (e.g., polling).\26\ Second, the domestic
producers (or workers) have met the statutory criteria for industry
support under section 732(c)(4)(A)(i) of the Act because the domestic
producers (or workers) who support the Petition account for at least 25
percent of the total production of the domestic like product.\27\
Finally, the domestic producers (or workers) have met the statutory
criteria for industry support under section 732(c)(4)(A)(ii) of the Act
because the domestic producers (or workers) who support the Petition
account for more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the Petition.\28\ Accordingly, Commerce
determines that the Petition was filed on behalf of the domestic
industry within the meaning of section 732(b)(1) of the Act.\29\
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\26\ See AD Initiation Checklist at Attachment II; see also
section 732(c)(4)(D) of the Act.
\27\ See AD Initiation Checklist at Attachment II.
\28\ Id.
\29\ Id.
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Allegations and Evidence of Material Injury and Causation
The petitioner alleges that the U.S. industry producing the
domestic like product is being materially injured, or is threatened
with material injury, by reason of the imports of the subject
merchandise sold at LTFV. In addition, the petitioner alleges that
subject imports exceed the negligibility threshold provided for under
section 771(24)(A) of the Act.\30\
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\30\ See Petition at Volume I (page 15 and Exhibit I-4).
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The petitioner contends that the domestic industry's injured
condition is illustrated by a significant volume of subject imports;
reduced market share; underselling and price depression and/or
suppression; decline in capacity utilization and U.S. shipments; and
adverse impact on financial performance.\31\ We assessed the
allegations and supporting evidence regarding material injury, threat
of material injury, causation, as well as negligibility, and we have
determined that these allegations are properly supported by adequate
evidence, and meet the statutory requirements for initiation.\32\
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\31\ Id. at 15-25 and Exhibits I-3, I-4, and I-10 through I-12;
see also First Petition Supplement at 8 and Exhibits Supp-I-9 and
Supp-I-10.
\32\ See AD Initiation Checklist at Attachment III, Analysis of
Allegations and Evidence of Material Injury and Causation for the
Antidumping Duty Petition Covering Truck and Bus Tires from Thailand
(Attachment III).
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Allegations of Sales at LTFV
The following is a description of the allegations of sales at LTFV
upon which Commerce based its decision to initiate a LTFV investigation
of truck and bus tires from Thailand. The sources of data for the
deductions and adjustments relating to U.S. price and normal value (NV)
are discussed in greater detail in the AD Initiation Checklist.
U.S. Price
The petitioner based the export price (EP) on the average unit
value (AUV) derived from official import statistics for imports of
truck and bus tires from Thailand into the United States during the
POI. The petitioner made certain adjustments to U.S. price for movement
expenses, to calculate a net ex-factory U.S. price.\33\
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\33\ See AD Initiation Checklist.
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Normal Value 34
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\34\ In accordance with section 773(b)(2) of the Act, for this
investigation, Commerce will request information necessary to
calculate the constructed value (CV) and cost of production (COP) to
determine whether there are reasonable grounds to believe or suspect
that sales of the foreign like product have been made at prices that
represent less than the COP of the product.
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The petitioner based NV on home market prices obtained through
market research for truck and bus tires produced in and sold, or
offered for sale, in Thailand during the POI. The petitioner provided
information indicating that the prices for truck and bus tires sold or
offered for sale in Thailand were below the COP; therefore, the
petitioner calculated NV based on CV.\35\ For further discussion of CV,
see the section ``Normal Value Based on Constructed Value,'' below.
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\35\ See AD Initiation Checklist.
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Constructed Value
As noted above, the petitioner provided information indicating that
the prices for truck and bus tires sold or offered for sale in Thailand
were below COP. Therefore, the petitioner based NV on CV. Pursuant to
section 773(e) of the Act, the petitioner calculated CV as the sum of
the cost of manufacturing (COM), selling, general, and administrative
(SG&A) expenses, financial expenses, and profit.\36\
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\36\ Id.
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As the petitioner is a union representing workers in the domestic
industry producing truck and bus tires and is not a domestic producer,
the petitioner contends it does not have access to the confidential
information on actual production costs experienced by either the
domestic or the foreign producers.\37\ Therefore, in calculating the
COM, the petitioner relied on publicly available information regarding
the direct materials used to manufacture truck and bus tires, derived
from a number of published studies.\38\ Using this information, the
petitioner calculated the average percentage of total tire weight
represented by direct materials for truck and bus tires and valued
these inputs using publicly available information applicable to
Thailand.\39\ In calculating labor, energy, SG&A, financial expenses,
and profit ratios, the petitioner relied on the financial statements of
producers of identical merchandise in Thailand.\40\
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\37\ See Petition at Volume II (page II-5); see also AD
Initiation Checklist.
\38\ See AD Initiation Checklist.
\39\ Id.
\40\ Id.
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Fair Value Comparisons
Based on the data provided by the petitioner, there is reason to
believe that imports of truck and bus tires from Thailand are being, or
are likely to be, sold in the United States at LTFV. Based on a
comparison of EP to NV, in accordance with sections 772 and 773 of the
Act, the estimated dumping margin for truck and bus tires from Thailand
is 48.39 percent.\41\
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\41\ Id.
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Initiation of LTFV Investigation
Based upon the examination of the Petition and supplemental
responses, we find that they meet the requirements of section 732 of
the Act. Therefore, we are initiating a LTFV investigation to determine
whether imports of truck and bus tires from Thailand are being, or are
likely to be, sold in the United States at LTFV. In accordance with
section 733(b)(1)(A) of the Act and 19 CFR 351.205(b)(1), unless
postponed, we will make our preliminary determination no later than 140
days after the date of this initiation.
[[Page 77964]]
Respondent Selection
In the Petition, the petitioner named 16 companies in Thailand as
producers/exporters of truck and bus tires.\42\ Following standard
practice in AD investigations involving market economy countries, in
the event Commerce determines that the number of exporters or producers
in any individual case is large such that Commerce cannot individually
examine each company based upon its resources, where appropriate,
Commerce intends to select mandatory respondents in that case based on
U.S. Customs and Border Protection (CBP) data for U.S. imports under
the appropriate Harmonized Tariff Schedule of the United States numbers
listed in the ``Scope of the Investigation,'' in the appendix.
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\42\ See Petition at Volume I (Exhibit I-8).
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On November 1, 2023, Commerce released CBP data on imports of truck
and bus tires under Administrative Protective Order (APO) to all
parties with access to information protected by APO and indicated that
interested parties wishing to comment on CBP data must do so within
three business days of the publication date of the notice of initiation
of this investigation.\43\ Commerce will not accept rebuttal comments
regarding the CBP data or respondent selection.
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\43\ See Memorandum, ``Release of U.S. Customs and Border
Protection Data,'' dated November 1, 2023.
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Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305(b). Instructions for filing such
applications may be found on Commerce's website at https://enforcement.trade.gov/apo.
Comments must be filed electronically using ACCESS. An
electronically-filed document must be received successfully in its
entirety via ACCESS by 5:00 p.m. ET on the specified deadline.
Distribution of Copies of the Petition
In accordance with section 732(b)(3)(A) of the Act and 19 CFR
351.202(f), a copy of the public version of the Petition has been
provided to the government of Thailand via ACCESS. To the extent
practicable, we will attempt to provide a copy of the public version of
the Petition to each exporter named in the Petition, as provided under
19 CFR 351.203(c)(2).
ITC Notification
Commerce will notify the ITC of its initiation, as required by
section 732(d) of the Act.
Preliminary Determination by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the Petition was filed, whether there is a reasonable
indication that subject imports are materially injuring or threatening
material injury to a U.S. industry.\44\ A negative ITC determination
will result in the investigation being terminated.\45\ Otherwise, this
LTFV investigation will proceed according to statutory and regulatory
time limits.
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\44\ See section 733(a) of the Act.
\45\ Id.
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Submission of Factual Information
Factual information is defined in 19 CFR 351.102(b)(21) as: (i)
evidence submitted in response to questionnaires; (ii) evidence
submitted in support of allegations; (iii) publicly available
information to value factors under 19 CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence
placed on the record by Commerce; and (v) evidence other than factual
information described in (i)-(iv). Section 351.301(b) of Commerce's
regulations requires any party, when submitting factual information, to
specify under which subsection of 19 CFR 351.102(b)(21) the information
is being submitted \46\ and, if the information is submitted to rebut,
clarify, or correct factual information already on the record, to
provide an explanation identifying the information already on the
record that the factual information seeks to rebut, clarify, or
correct.\47\ Time limits for the submission of factual information are
addressed in 19 CFR 351.301, which provides specific time limits based
on the type of factual information being submitted. Interested parties
should review the regulations prior to submitting factual information
in this investigation.
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\46\ See 19 CFR 351.301(b).
\47\ See 19 CFR 351.301(b)(2).
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Particular Market Situation Allegation
Section 773(e) of the Act addresses the concept of particular
market situation (PMS) for purposes of CV, stating that ``if a
particular market situation exists such that the cost of materials and
fabrication or other processing of any kind does not accurately reflect
the cost of production in the ordinary course of trade, the
administering authority may use another calculation methodology under
this subtitle or any other calculation methodology.'' When an
interested party submits a PMS allegation pursuant to section 773(e) of
the Act, Commerce will respond to such a submission consistent with 19
CFR 351.301(c)(2)(v). If Commerce finds that a PMS exists under section
773(e) of the Act, then it will modify its dumping calculations
appropriately.
Neither section 773(e) of the Act, nor 19 CFR 351.301(c)(2)(v),
sets a deadline for the submission of PMS allegations and supporting
factual information. However, in order to administer section 773(e) of
the Act, Commerce must receive PMS allegations and supporting factual
information with enough time to consider the submission. Thus, should
an interested party wish to submit a PMS allegation and supporting new
factual information pursuant to section 773(e) of the Act, it must do
so no later than 20 days after submission of a respondent's initial
response to section D of the AD questionnaire.
Extensions of Time Limits
Parties may request an extension of time limits before the
expiration of a time limit established under 19 CFR 351.301, or as
otherwise specified by Commerce. In general, an extension request will
be considered untimely if it is filed after the expiration of the time
limit established under 19 CFR 351.301. For submissions that are due
from multiple parties simultaneously, an extension request will be
considered untimely if it is filed after 10 a.m. ET on the due date.
Under certain circumstances, Commerce may elect to specify a different
time limit by which extension requests will be considered untimely for
submissions which are due from multiple parties simultaneously. In such
a case, Commerce will inform parties in a letter or memorandum of the
deadline (including a specified time) by which extension requests must
be filed to be considered timely. An extension request must be made in
a separate, stand-alone submission. Commerce will grant untimely filed
requests for the extension of time limits only in limited cases where
we determine, based on 19 CFR 351.302, that extraordinary circumstances
exist. Parties should review Commerce's regulations concerning
extensions prior to submitting extension requests or factual
information in this investigation.\48\
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\48\ See 19 CFR 351.302; see also, e.g., Extension of Time
Limits; Final Rule, 78 FR 57790 (September 20, 2013), available at
https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm.
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Certification Requirements
Any party submitting factual information in an AD or countervailing
duty (CVD) proceeding must certify to the accuracy and completeness of
that
[[Page 77965]]
information.\49\ Parties must use the certification formats provided in
19 CFR 351.303(g).\50\ Commerce intends to reject factual submissions
if the submitting party does not comply with the applicable
certification requirements.
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\49\ See section 782(b) of the Act.
\50\ See Certification of Factual Information to Import
Administration During Antidumping and Countervailing Duty
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Answers to
frequently asked questions regarding the Final Rule are available at
https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf.
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Notification to Interested Parties
Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305. Parties wishing to participate
in this investigation should ensure that they meet the requirements of
19 CFR 351.103(d) (e.g., by filing the required letter of appearance).
Note that Commerce has modified its regulations to make permanent
certain changes to its service procedures that were adopted on a
temporary basis due to COVID-19, as well as to make additional
clarifications and corrections to its AD/CVD regulations.\51\
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\51\ Effective October 30, 2023, these changes will apply to all
AD/CVD proceedings that are ongoing on the effective date and all
AD/CVD proceedings initiated on or after the effective date. See
Administrative Protective Order, Service, and Other Procedures in
Antidumping and Countervailing Duty Proceedings, 88 FR 67069
(September 29, 2023).
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This notice is issued and published pursuant to sections 732(c)(2)
and 777(i) of the Act, and 19 CFR 351.203(c).
Dated: November 6, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.
Appendix--Scope of the Investigation
The scope of the investigation covers truck and bus tires. Truck
and bus tires are new pneumatic tires, of rubber, with a truck or
bus size designation. Truck and bus tires covered by the scope may
be tube-type, tubeless, radial, or non-radial (also known as bias
construction or bias-ply).
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 one of the following suffixes in their tire size designation,
which also appear on the sidewall of the tire:
TR--Identifies tires for service on trucks or buses to
differentiate them from similarly sized passenger car and light
truck tires; and
HC--Identifies a 17.5 inch rim diameter code for use on low
platform trailers.
All tires with a ``TR'' or ``HC'' suffix in their size
designations are covered by the scope regardless of their intended
use.
In addition, all tires that lack one of the above suffix
markings are included in the scope, 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 fits trucks or busses. Sizes that fit
trucks and busses include, but are not limited to, the numerical
size designations listed in the ``Truck-Bus'' section of the Tire
and Rim Association Year Book, as updated annually. The scope
includes all tires that are of a size that fits trucks or busses,
unless the tire falls within one of the specific exclusions set out
below.
Truck and bus tires, whether or not mounted on wheels or rims,
are included in the scope. However, if a subject tire is imported
mounted on a wheel or rim, only the tire is covered by the scope.
Subject merchandise includes truck and bus tires produced in the
subject country whether mounted on wheels or rims in the subject
country or in a third country. Truck and bus tires are covered
whether or not they are accompanied by other parts, e.g., a wheel,
rim, axle parts, bolts, nuts, etc. Truck and bus tires that enter
attached to a vehicle are not covered by the scope.
Specifically excluded from the scope are the following types of
tires: (1) pneumatic tires, of rubber, that are not new, including
recycled and retreaded tires; (2) non-pneumatic tires, such as solid
rubber tires; and (3) tires that exhibit each of the following
physical characteristics: (a) the designation ``MH'' is molded into
the tire's sidewall as part of the size designation; (b) the tire
incorporates a warning, prominently molded on the sidewall, that the
tire is for ``Mobile Home Use Only;'' and (c) the tire is of bias
construction (also known as non-radial construction) as evidenced by
the fact that the construction code included in the size designation
molded into the tire's sidewall is not the letter ``R.''
The subject merchandise is currently classifiable under
Harmonized Tariff Schedule of the United States (HTSUS) subheadings:
4011.20.1015 and 4011.20.5020. Tires meeting the scope description
may also enter under the following HTSUS subheadings: 4011.90.1010,
4011.90.1050, 4011.90.2010, 4011.90.2050, 4011.90.8010,
4011.90.8050, 8708.70.4530, 8708.70.4546, 8708.70.4548,
8708.70.4560, 8708.70.6030, 8708.70.6045, 8708.70.6060, and
8716.90.5059.
While HTSUS subheadings are provided for convenience and for
customs purposes, the written description of the subject merchandise
is dispositive.
[FR Doc. 2023-24994 Filed 11-13-23; 8:45 am]
BILLING CODE 3510-DS-P