US investigation into Chinese tyre imports to continue

Yesterday the United States International Trade Commission (USITC) determined there is a reasonable indication that imports of certain passenger car and light commercial vehicle tyres from China – tyres alleged to be subsidised and offered for sale in the US at less than fair value – materially injure or threaten to materially injure the country’s domestic industry. USITC chairman Meredith M. Broadbent, vice-chairman Dean A. Pinkert, and commissioners Irving A. Williamson, David S. Johanson, F. Scott Kieff, and Rhonda K. Schmidtlein voted in favour of continuing the investigation into these products.

As a result, the US Department of Commerce will continue to conduct its investigations on imports of these products from China, with its preliminary countervailing duty determinations due on or about 27 August 2014 and its antidumping duty determinations due on or about 10 November 2014.

The commission’s public report, titled Certain Passenger Vehicle and Light Truck Tires from China (Investigation Nos. 701-TA-522 and 731-TA-1258 (Preliminary), USITC Publication 4482, August 2014), will be available after 26 August 2014 and will set out both the commission’s views and the information gained during the investigation.

The investigation covers new pneumatic passenger vehicle and light truck (PVLT) tyres with 13 to 24-inch rim diameters. Retreaded tyres are not included in the investigation.

China’s Ministry of Commerce considers the investigation to contravene WTO regulations and says it violates US law.