[Federal Register Volume 81, Number 161 (Friday, August 19, 2016)]
[Notices]
[Pages 55431-55434]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-19867]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-533-869]


Certain New Pneumatic Off-the-Road Tires From India: Negative 
Preliminary Determination of Sales at Less Than Fair Value and 
Postponement of Final Determination

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

SUMMARY: The Department of Commerce (``Department'') preliminarily 
determines that certain new pneumatic off-the-road tires (``OTR 
tires'') from India are not being, or are not likely to be, sold in the 
United States at less than fair value (``LTFV''). The period of 
investigation (``POI'') is January 1, 2015, through December 31, 2015. 
The estimated weighted-average dumping margins of sales at LTFV are 
shown in the ``Preliminary Determination'' section of this notice. 
Interested parties are invited to comment on this preliminary 
determination.

DATES: Effective August 19, 2016.

FOR FURTHER INFORMATION CONTACT: Lilit Astvatsatrian or Trisha Tran, 
AD/CVD Operations, Office IV, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-
6412, or (202) 482-4852, respectively.

SUPPLEMENTARY INFORMATION:

Background

    The Department published the notice of initiation of this 
investigation on February 10, 2016.\1\ For a complete description of 
the events that followed the initiation of this investigation, see the 
memorandum that is dated concurrently with this determination and 
hereby adopted by this notice.\2\ A list of topics included in the 
Preliminary Decision Memorandum is included as Appendix II to this 
notice. The Preliminary Decision Memorandum is a public document and is 
on file electronically via Enforcement and

[[Page 55432]]

Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (``ACCESS''). ACCESS is available to registered users at 
https://access.trade.gov, and to all parties in the Central Records 
Unit, room B8024 of the main Department of Commerce building. In 
addition, a complete version of the Preliminary Decision Memorandum can 
be found at http://enforcement.trade.gov/frn/. The signed Preliminary 
Decision Memorandum and the electronic version of the Preliminary 
Decision Memorandum are identical in content.
---------------------------------------------------------------------------

    \1\ See Certain New Pneumatic Off-the-Road Tires from India and 
the People's Republic of China: Initiation of Less-Than-Fair-Value 
Investigations, 81 FR 7073 (February 10, 2016) (``Initiation 
Notice'').
    \2\ See Memorandum from Christian Marsh, Deputy Assistant 
Secretary for Antidumping and Countervailing Duty Operations, to 
Paul Piquado, Assistant Secretary for Enforcement and Compliance, 
``Decision Memorandum for the Preliminary Determination in the Less-
Than-Fair-Value Investigation of Certain New Pneumatic Off-the-Road 
Tires from India,'' dated concurrently with this notice 
(``Preliminary Decision Memorandum'').
---------------------------------------------------------------------------

    On June 6, 2016, the Department published a notice of postponement 
for the preliminary determination in this investigation in accordance 
with section 733(c)(1)(B) of the Tariff Act of 1930, as amended (``the 
Act''), and 19 CFR 351.205(f)(1).\3\ As a result of the 50-day 
postponement, the revised deadline for the preliminary determination in 
this investigation is now August 11, 2016.\4\
---------------------------------------------------------------------------

    \3\ See Certain New Pneumatic Off-the-Road Tires from India: 
Postponement of Preliminary Determination of Antidumping Duty 
Investigation, 81 FR 36263 (June 6, 2016).
    \4\ Id., 81 FR at 36264.
---------------------------------------------------------------------------

Scope of the Investigation

    The product covered by this investigation is OTR tires. For a full 
description of the scope of this investigation, see the ``Scope of the 
Investigation,'' in Appendix I.

Scope Comments

    In accordance with the preamble to the Department's regulations,\5\ 
the Initiation Notice set aside a period of time for parties to raise 
issues regarding product coverage (i.e., ``scope'').\6\ Certain 
interested parties commented on the scope of the investigation as it 
appeared in the Initiation Notice. For a summary of the product 
coverage comments and rebuttal responses submitted to the record for 
this preliminary determination, and accompanying discussion and 
analysis of all comments timely received, see the Preliminary Decision 
Memorandum.
---------------------------------------------------------------------------

    \5\ See Antidumping Duties; Countervailing Duties, 62 FR 27296, 
27323 (May 19, 1997).
    \6\ See Initiation Notice, 81 FR at 7074.
---------------------------------------------------------------------------

Methodology

    The Department is conducting this investigation in accordance with 
section 731 of the Act. Export prices or constructed export prices have 
been calculated in accordance with section 772(a) of the Act. Normal 
value (``NV'') is calculated in accordance with section 773 of the Act. 
For a full description of the methodology underlying our preliminary 
conclusions, see the Preliminary Decision Memorandum.

Preliminary Determination

    For this preliminary determination, we have calculated a zero 
dumping margin for each individually investigated producer/exporter of 
the subject merchandise. Consistent with section 733(b)(3) of the Act, 
we are disregarding these rates and preliminarily determine that the 
individually reviewed mandatory respondents have not made sales of 
subject merchandise at LTFV.

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                  Exporter/Manufacturer                   dumping margin
                                                             (percent)
------------------------------------------------------------------------
ATC Tires Private Ltd...................................            0.00
Balkrishna Industries Limited...........................            0.00
------------------------------------------------------------------------

    Consistent with section 733(d)(1)(A) of the Act, the Department has 
not calculated a weighted-average dumping margin for all other 
producers or exporters because it has not made an affirmative 
preliminary determination of sales at LTFV.

Suspension of Liquidation

    Because the Department has not made an affirmative preliminary 
determination of sales at LTFV, we are not directing U.S. Customs and 
Border Protection to suspend liquidation of any entries of OTR tires 
from India.

Disclosure and Public Comment

    We will disclose the calculations performed to interested parties 
in this proceeding within five days of the date of announcement, in 
accordance with 19 CFR 351.224(b). Interested parties are invited to 
comment on this preliminary determination. Case briefs or other written 
comments may be submitted to the Assistant Secretary for Enforcement 
and Compliance no later than seven days after the date on which the 
final verification report is issued in this proceeding, and rebuttal 
briefs, limited to issues raised in case briefs, may be submitted no 
later than five days after the deadline date for case briefs.\7\ 
Pursuant to 19 CFR 351.309(c)(2) and (d)(2), parties who submit case 
briefs or rebuttal briefs in this proceeding are encouraged to submit 
with each argument: (1) A statement of the issue; (2) a brief summary 
of the argument; and (3) a table of authorities.
---------------------------------------------------------------------------

    \7\ See 19 CFR 351.309.
---------------------------------------------------------------------------

    Pursuant to 19 CFR 351.310(c), interested parties who wish to 
request a hearing must submit a written request to the Assistant 
Secretary for Enforcement and Compliance, U.S. Department of Commerce. 
All documents must be filed electronically using ACCESS. An 
electronically-filed request must be received successfully in its 
entirety by ACCESS by 5:00 p.m. Eastern Time, within 30 days after the 
date of publication of this notice.\8\ Requests should contain the 
party's name, address, and telephone number, the number of 
participants, and a list of the issues to be discussed. If a request 
for a hearing is made, the Department intends to hold the hearing at 
the U.S. Department of Commerce, 14th Street and Constitution Avenue 
NW., Washington, DC 20230, at a time and date to be determined. Parties 
should confirm by telephone the date, time, and location of the hearing 
two days before the scheduled date.
---------------------------------------------------------------------------

    \8\ See 19 CFR 351.310(c).
---------------------------------------------------------------------------

Verification

    As provided in section 782(i) of the Act, we intend to verify 
information relied upon in making our final determination.

Postponement of Final Determination

    Section 735(a)(2)(B) of the Act provides that a final determination 
may be postponed until not later than 135 days after the date of the 
publication of the preliminary determination if, in the event of a 
negative preliminary determination, a request for such postponement is 
made by Petitioners. On July 28, 2016, Petitioner requested that the 
Department postpone the final determination.\9\
---------------------------------------------------------------------------

    \9\ See Letter to the Secretary of Commerce from Petitioners 
``Petitioners' Comment on the Extension of the Final Determination'' 
(July 28, 2016).
---------------------------------------------------------------------------

    In accordance with section 735(a)(2)(B) of the Act, because our 
preliminary determination is negative, we are postponing the final 
determination. Accordingly, we will make our final determination by no 
later than 135 days after the date of publication of this preliminary 
determination, pursuant to section 735(a)(2) of the Act.

International Trade Commission (``ITC'') Notification

    In accordance with section 733(f) of the Act, we are notifying the 
ITC of our negative preliminary determination of sales at LTFV. If our 
final determination is affirmative, the ITC will determine before the 
later of 120 days after the date of this preliminary determination, or 
45 days after our final determination whether these imports are 
materially injuring, or threaten material injury to, the U.S. industry.

[[Page 55433]]

    This determination is issued and published in accordance with 
sections 733(f) and 777(i)(1) of the Act and 19 CFR 351.205(c).

    Dated: August 11, 2016.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix I--Scope of the Investigation

    The scope of the investigation is certain new pneumatic off-the-
road tires (OTR tires). OTR tires are tires with an off road tire 
size designation. The tires included in the scope may be either 
tube-type \10\ or tubeless, radial, or non-radial, regardless of 
whether for original equipment manufacturers or the replacement 
market.
---------------------------------------------------------------------------

    \10\ While tube-type tires are subject to the scope of these 
proceedings, tubes and flaps are not subject merchandise and 
therefore are not covered by the scope of these proceedings, 
regardless of the manner in which they are sold (e.g., sold with or 
separately from subject merchandise).
---------------------------------------------------------------------------

    Subject tires may have the following prefix or suffix 
designation, which appears on the sidewall of the tire:
    Prefix designations:
    DH--Identifies a tire intended for agricultural and logging 
service which must be mounted on a DH drop center rim.
    VA--Identifies a tire intended for agricultural and logging 
service which must be mounted on a VA multipiece rim.
    IF--Identifies an agricultural tire to operate at 20 percent 
higher rated load than standard metric tires at the same inflation 
pressure.
    VF--Identifies an agricultural tire to operate at 40 percent 
higher rated load than standard metric tires at the same inflation 
pressure.
    Suffix designations:
    ML--Mining and logging tires used in intermittent highway 
service.
    DT--Tires primarily designed for sand and paver service.
    NHS--Not for Highway Service.
    TG--Tractor Grader, off-the-road tire for use on rims having 
bead seats with nominal +0.188'' diameter (not for highway service).
    K--Compactor tire for use on 5[deg] drop center or semi-drop 
center rims having bead seats with nominal minus 0.032 diameter.
    IND--Drive wheel tractor tire used in industrial service.
    SL--Service limited to agricultural usage.
    FI--Implement tire for agricultural towed highway service.
    CFO--Cyclic Field Operation.
    SS--Differentiates tires for off-highway vehicles such as mini 
and skid-steer loaders from other tires which use similar size 
designations such as 7.00-15TR and 7.00-15NHS, but may use different 
rim bead seat configurations.
    All tires marked with any of the prefixes or suffixes listed 
above in their sidewall markings are covered by the scope regardless 
of their intended use.
    In addition, all tires that lack any of the prefixes or suffixes 
listed above 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 
following sections of the Tire and Rim Association Year Book, as 
updated annually, unless the tire falls within one of the specific 
exclusions set forth below. The sections of the Tire and Rim 
Association Year Book listing numerical size designations of covered 
OTR tires include:
    The table of mining and logging tires included in the section on 
Truck-Bus tires;
    The entire section on Off-the-Road tires;
    The entire section on Agricultural tires; and
    The following tables in the section on Industrial/ATV/Special 
Trailer tires:
     Industrial, Mining, Counterbalanced Lift Truck (Smooth 
Floors Only);
     Industrial and Mining (Other than Smooth Floors);
     Construction Equipment;
     Off-the-Road and Counterbalanced Lift Truck (Smooth 
Floors Only);
     Aerial Lift and Mobile Crane; and
     Utility Vehicle and Lawn and Garden Tractor.
    OTR 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 OTR tires produced in the subject 
countries whether mounted on wheels or rims in a subject country or 
in a third country. OTR tires are covered whether or not they are 
accompanied by other parts, e.g., a wheel, rim, axle parts, bolts, 
nuts, etc. OTR tires that enter attached to a vehicle are not 
covered by the scope.
    In addition, specifically excluded from the scope are passenger 
vehicle and light truck tires, racing tires, mobile home tires, 
motorcycle tires, all-terrain vehicle tires, bicycle tires, on-road 
or on-highway trailer tires, and truck and bus tires. Such tires 
generally have in common that the symbol ``DOT'' must appear on the 
sidewall, certifying that the tire conforms to applicable motor 
vehicle safety standards. Such excluded tires may also have the 
following prefixes and suffixes included as part of the size 
designation on their sidewalls:
    Prefix letter designations:
    AT--Identifies a tire intended for service on All-Terrain 
Vehicles;
    P--Identifies a tire intended primarily for service on passenger 
cars;
    LT--Identifies a tire intended primarily for service on light 
trucks;
    T--Identifies a tire intended for one-position ``temporary use'' 
as a spare only; and
    ST--Identifies a special tire for trailers in highway service.
    Suffix letter designations:
    TR--Identifies a tire for service on trucks, buses, and other 
vehicles with rims having specified rim diameter of nominal plus 
0.156'' or plus 0.250'';
    MH--Identifies tires for Mobile Homes;
    HC--Identifies a heavy duty tire designated for use on ``HC'' 
15'' tapered rims used on trucks, buses, and other vehicles. This 
suffix is intended to differentiate among tires for light trucks, 
and other vehicles or other services, which use a similar 
designation.
    Example: 8R17.5 LT, 8R17.5 HC;
    LT--Identifies light truck tires for service on trucks, buses, 
trailers, and multipurpose passenger vehicles used in nominal 
highway service;
    ST--Special tires for trailers in highway service; and
    M/C--Identifies tires and rims for motorcycles.
    The following types of tires are also excluded from the scope: 
Pneumatic tires that are not new, including recycled or retreaded 
tires and used tires; non-pneumatic tires, including solid rubber 
tires; aircraft tires; and turf, lawn and garden, and golf tires. 
Also excluded from the scope are mining and construction tires that 
have a rim diameter equal to or exceeding 39 inches. Such tires may 
be distinguished from other tires of similar size by the number of 
plies that the construction and mining tires contain (minimum of 16) 
and the weight of such tires (minimum 1500 pounds).
    The subject merchandise is currently classifiable under 
Harmonized Tariff Schedule of the United States (HTSUS) subheadings: 
4011.20.1025, 4011.20.1035, 4011.20.5030, 4011.20.5050, 
4011.61.0000, 4011.62.0000, 4011.63.0000, 4011.69.0090, 
4011.92.0000, 4011.93.4000, 4011.93.8000, 4011.94.4000, 
4011.94.8000, 8431.49.9038, 8431.49.9090, 8709.90.0020, and 
8716.90.1020. Tires meeting the scope description may also enter 
under the following HTSUS subheadings: 4011.99.4590, 4011.99.8590, 
8424.90.9080, 8431.20.0000, 8431.39.0010, 8431.49.1090, 
8431.49.9030, 8432.90.0005, 8432.90.0015, 8432.90.0030, 
8432.90.0080, 8433.90.5010, 8503.00.9560, 8708.70.0500, 
8708.70.2500, 8708.70.4530, 8716.90.5035 and 8716.90.5055. While 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the subject merchandise is dispositive.

Appendix II--List of Topics Discussed in the Preliminary Decision 
Memorandum

I. Summary
II. Background
III. Period of Investigation
IV. Postponement of Final Determination
V. Scope of the Investigation
VI. Scope Comments
VII. Discussion of Methodology
    A. Determination of the Comparison Method
    B. Results of the Differential Pricing Analysis
VIII. Date of Sale
IX. Product Comparisons
X. Export Price and Constructed Export Price
XI. Normal Value
    A. Home Market Viability
    B. Affiliated Party Transactions and Arm's-Length Test
    C. Level of Trade
    D. Cost of Production Analysis
    1. Calculation of COP
    2. Test of Home Market Sale Prices
    3. Results of the COP Test
    E. Calculation of NV Based on Comparison-Market Prices
XII. Currency Conversion
XIII. U.S. ITC Notification
XIV. Disclosure and Public Comment

[[Page 55434]]

XV. Verification
XVI. Conclusion

[FR Doc. 2016-19867 Filed 8-18-16; 8:45 am]
BILLING CODE 3510-DS-P