U.S. Commerce Department Announces Preliminary Dumping Duties on Tires From South Korea, Taiwan, Thailand, and Vietnam

By SEMA Washington, D.C., Staff

The U.S. Department of Commerce (DOC) issued a preliminary decision that passenger and light truck tires imported from South Korea, Taiwan, Thailand, and Vietnam are being sold in the U.S. at less than fair value (“dumping”). The dumping margins were calculated at 14.24 to 38.07 percent for South Korea, 52.42 to 98.44 percent for Taiwan, 13.25 to 22.21 percent for Thailand, and 0 to 22.30 percent for Vietnam. The DOC has instructed U.S. Customs and Border Protection to collect cash deposits from importers of tires based on the preliminary rates.

The United Steelworkers Union petitioned the DOC to investigate alleged dumping and subsidies for the tires.  The DOC has already issued a preliminary ruling that Vietnamese tire producers have received unfair subsidies associated with the country’s “undervalued currency.” The DOC calculated countervailing duty rates ranging from 6.23% to 10.08%.

The DOC is expected to issue final anti-dumping and countervailing duty decisions by May 13, 2021. The U.S. International Trade Commission (ITC) has already made an initial determination that U.S. industry is likely being harmed by the alleged dumping and subsidies. For duties to take effect, the ITC must confirm that there is harm or threatened harm to U.S. industry once the DOC has issued its final dumping and subsidy calculations. The ITC is scheduled to issue its final determination by June 28, 2021.

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Questions? Contact Stuart Gosswein at