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###### Department of Commerce

###### International Trade Administration

          - [A-570-016, C-570-017]

# AGENCY:

Enforcement and Compliance, International Trade Administration, Department of Commerce.

# SUMMARY:

As a result of the determinations by the Department of Commerce (Commerce) and the International Trade Commission (ITC) that revocation of the antidumping duty (AD) and countervailing duty (CVD) orders on certain passenger vehicle and light truck tires (passenger tires) from the People's Republic of China (China) would likely lead to continuation or recurrence of dumping or countervailable subsidies, and material injury to an industry in the United States, Commerce is publishing a notice of continuation of these AD and CVD orders.

# DATES:

Applicable February 19, 2021.

# FOR FURTHER INFORMATION CONTACT:

                        Jacqueline Arrowsmith, AD/CVD Operations, Office VII, Enforcement and Compliance, International Trade                               ( print page 10248)                            Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-5255.                    

# SUPPLEMENTARY INFORMATION:

## Background

                    On August 10, 2015, Commerce published the amended final affirmative determinations in the AD and CVD investigations of passenger tires from China as well as the AD and CVD orders for passenger tires in the                     **Federal Register**                    .[1]                                          On July 1, 2020, the ITC instituted,[2]                                          and Commerce initiated,[3]                                          the five-year (sunset) reviews of the AD and CVD orders on passenger tires from China, pursuant to section 751(c) of the Tariff Act of 1930, as amended (the Act). As a result of its reviews, Commerce determined that revocation of the                     *Orders*                     on passenger tires from China would be likely to lead to continuation or recurrence of dumping and countervailable subsidies and, therefore, notified the ITC of the magnitude of the margins and net subsidy rates likely to prevail should the                     *Orders*                     be revoked.[4]                                          On February 11, 2021, the ITC published its determinations, pursuant to sections 751(c) and 752(a) of the Act, that revocation of the                     *Orders*                     would likely lead to continuation or recurrence of material injury to an industry in the United States within a reasonably foreseeable time.[5] 

## Scope of the Orders

                    The scope of the                     *Orders*                     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 these                     *Orders*                     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 Yearbook,*                     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 the                     *Orders*                     are the following types of tires: Racing car tires; such tires do not bear the symbol “DOT” on the sidewall and may be marked with “ZR” in size designation;                

                    (1) 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 Yearbook;*

(2) pneumatic tires, of rubber, that are not new, including recycled and retreaded tires;

(3) 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 Yearbook,*

(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 Yearbook,*                     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 conditions:

                    (a) The size designation molded on the tire's sidewall is listed in the ST sections of the                     *Tire and Rim Association Yearbook,*

(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 Yearbook*                     for the relevant ST tire size, and                

(e) either

                    (i) 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 Yearbook,*                     and the rated speed does not exceed 81 MPH or an “M” rating; or                

(ii) the tire's speed rating molded on the sidewall is 87 MPH or an “N” rating, and in either case the tire's maximum pressure and maximum load limit are molded on the sidewall and either

                    (1) Both exceed the maximum pressure and maximum load limit for any tire of the same size designation in either the passenger car or light truck section of the                     *Tire and Rim Association Yearbook;*                     or                

                    (2) if the maximum cold inflation pressure molded on the tire is less than any cold inflation pressure listed for that size designation in either the passenger car or light truck section of the                     *Tire and Rim Association Yearbook,*                     the maximum load limit molded on the tire is higher than the maximum load limit listed at that cold inflation pressure for that size designation in either the passenger car or light truck section of the                     *Tire and Rim Association Yearbook;*

(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                           ( print page 10249)                        sidewall are listed in the off-the-road, agricultural, industrial or ATV section of the                     *Tire and Rim Association Yearbook,*

(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 Yearbook,*                     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                     *Orders*                     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.                

## Continuation of the Orders

                    As a result of the determinations by Commerce and the ITC that revocation of these                     *Orders*                     would likely lead to a continuation or a recurrence of dumping and net countervailable subsidies and of material injury to an industry in the United States, pursuant to section 751(d)(2) of the Act and 19 CFR 351.218(a), Commerce hereby orders the continuation of these                     *Orders.*                     U.S. Customs and Border Protection will continue to collect AD and CVD cash deposits at the rates in effect at the time of entry for all imports of subject merchandise.                

                    The effective date of the continuation of these                     *Orders*                     will be the date of publication in the                     **Federal Register**                     of this notice of continuation. Pursuant to section 751(c)(2) of the Act and 19 CFR 351.218(c)(2), Commerce intends to initiate the next five-year review of these                     *Orders*                     not later than 30 days prior to the fifth anniversary of the effective date of continuation.                

## Administrative Protective Order

This notice also serves as the only reminder to parties subject to administrative protective order (APO) of their responsibility concerning the return/destruction or conversion to judicial protective order of proprietary information disclosed under APO in accordance with 19 CFR 351.305(a)(3). Failure to comply is a violation of the APO which may be subject to sanctions.

## Notification to Interested Parties

These five-year (sunset) reviews and this notice are in accordance with sections 751(c) of the Act and published in accordance with section 777(i) of the Act, and 19 CFR 351.218(f)(4).

Dated: February 12, 2021.

Christian Marsh,

Acting Assistant Secretary for Enforcement and Compliance.

# Footnotes

1.                                                     *See Certain Passenger Vehicle and Light Truck Tires from the People's Republic of China: Amended Final Affirmative Antidumping Duty Determination and Antidumping Duty Order; and Amended Final Affirmative Countervailing Duty Determination and Countervailing Duty Order,*80 FR 47902 (August 10, 2015) (                        *Orders*).                    
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2.                                                     *See Passenger Vehicle and Light Truck Tires from China; Institution of Five-Year Reviews,*85 FR 39581 (July 1, 2020).                    
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3.                                                     *See Initiation of Five-Year (Sunset) Reviews,*85 FR 39526 (July 1, 2020).                    
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4.                                                     *See Certain Passenger Vehicle and Light Truck Tires from People's Republic of China: Final Results of the First Expedited Sunset Review of the Antidumping Duty Order,*85 FR 70128 (November 4, 2020);                         *see also Certain Passenger Vehicle and Light Truck Tires from the People's Republic of China: Final Results of the Expedited First Sunset Review of the Countervailing Duty Order,*85 FR 71313 (November 9, 2020).                    
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5.                                                     *See Passenger Vehicle and Light Truck Tires from China (Inv. No 701-TA-522 and 731-TA-1258 (Review)),*86 FR 9084 (February 11, 2021);                         *see also Passenger Vehicle and Light Truck Tires from China (Inv. Nos. 701-TA-522 and 731-TA-1258 (Review).*
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[FR Doc. 2021-03397 Filed 2-18-21; 8:45 am]

BILLING CODE 3510-DS-P