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China OTR Tires: Higher AD Rates, Amended CV Rates, CV Exclusions Possible

The International Trade Administration has published two "Timken"1 notices stating that recent Court of International Trade rulings are not in harmony with the ITA's amended final AD and final CV duty determinations on certain new pneumatic off-the-road (OTR) tires from China (A-570-912 and C-570-913).

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AD - CIT Ruling Upholds Increased AD Rates for All Firms

In the AD duty case, the CIT ruling sustains the ITA’s remand redetermination of the final determination regarding OTR tires (1) produced by Hebei Starbright Co., Ltd. and exported by Hebei Starbright Co., Ltd./GPX International Tire Corporation, Ltd.; (2) produced and exported by Tianjin United Tire & Rubber International Co., Ltd. (TUTRIC); and (3) produced and exported by the producer/exporter combinations that received a separate rate.

As a result of the ITA’s remand redetermination, the estimated AD duty rate calculated for OTR tires produced by: (1) Starbright and exported by Starbright/GPX changed from 29.93% to 31.79%; (2) TUTRIC changed from 8.44% to 10.08%, and (3) the separate rate companies changed from 12.91% to 13.92%.

In the event the CIT’s decision in the AD duty case is not appealed or is affirmed on appeal, the ITA will publish an amended final AD duty determination revising the estimated AD duty rates for Starbright/GPX, TUTRIC, and the separate rate companies and will issue revised AD duty cash deposit instructions to U.S. Customs and Border Protection.

CV - CIT Ruling Upholds Exclusion of 2 Firms, Other Amended CV Rates

In the CV duty case, the CIT ruling sustains the ITA’s second remand redetermination of the final determination regarding subject merchandise (1) produced and exported by Starbright; (2) produced and exported by TUTRIC; and (3) produced and exported by Guizhou Tire Co., Ltd. (GTC).

As a result of the ITA’s second remand redetermination, the ITA excluded Starbright and TUTRIC from the CV duty order; and the estimated CV duty rate calculated for GTC changed from 2.45% to 3.35%, and for all-others changed from to 5.62% to 3.35%.

In the event the CIT’s decision in the CV duty case is not appealed or is affirmed on appeal, the ITA will publish an amended final CV duty determination excluding OTR tires produced and exported by Starbright or TUTRIC from the CV duty order and will issue revised CV duty cash deposit instructions to CBP.

1Under the CAFC decision in Timken Co. v. U.S., the ITA must publish notice of a court decision that is not "in harmony" with an ITA determination, and must suspend liquidation of entries pending a "conclusive" court decision.

(See ITT’s Online Archives or 09/05/08 news, 08090535, for BP summary of the AD duty order.

See ITT’s Online Archives or 09/05/08 news, 08090540, for BP summary of the CV duty order.)

Lilit Astvatsatrian (AD)(202) 482-6412
Andrew Huston (CV)(202) 482-4261

(FR Pub 10/12/10, ITA Case No. A-570-912 and C-570-913)

The AD Timken notice is available here.

The CV Timken notice is available here.