[Federal Register Volume 84, Number 81 (Friday, April 26, 2019)]
[Notices]
[Pages 17781-17784]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-08454]



[[Page 17781]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-016]


Certain Passenger Vehicle and Light Truck Tires From the People's 
Republic of China: Final Results of Antidumping Duty Administrative 
Review and Final Determination of No Shipments; 2016-2017

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

SUMMARY: The Department of Commerce (Commerce) determines that 
manufacturers/exporters of certain passenger vehicle and light truck 
tires (passenger tires) from the People's Republic of China (China), 
sold subject merchandise in the United States at prices below normal 
value (NV) during the period of review (POR) August 1, 2016, through 
July 31, 2017.

DATES: Applicable April 26, 2019

FOR FURTHER INFORMATION CONTACT: Toni Page, AD/CVD Operations, Office 
VII, Enforcement and Compliance, International Trade Administration, 
U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, 
DC 20230; telephone: (202) 482-1398.

SUPPLEMENTARY INFORMATION: 

Background

    Commerce published the Preliminary Results of this administrative 
review on September 11, 2018.\1\ We invited interested parties to 
comment on the Preliminary Results. Subsequent to the Preliminary 
Results, several separate rate entities sought to withdraw their 
requests for administrative review.\2\ Between November 6 and 8, 2018, 
the petitioner (United Steel, Paper and Forestry, Rubber, 
Manufacturing, Energy, Allied Industrial and Service Workers 
International Union, AFL-CIO, CLC (the USW)); Zhaoqing Junhong Co., Ltd 
(Junhong) (mandatory respondent); and various separate rate entities 
submitted case briefs.\3\ On November 15, 2018, certain separate rate 
respondents submitted rebuttal briefs.\4\
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    \1\ See Certain Passenger Vehicle and Light Truck Tires from the 
People's Republic of China: Preliminary Results of Antidumping Duty 
Administrative Review, Preliminary Determination of No Shipments, 
and Rescission, in Part; 2016-2017, 83 FR 45893 (September 11, 2018) 
and accompanying Preliminary Decision Memorandum (PDM) (Preliminary 
Results).
    \2\ See Winrun's Letter, ``Withdrawal of Request for AD 
Administrative Review and Request for Rescission Passenger Vehicle 
and Light Truck Tires from China,'' dated October 2, 2018 (Winrun 
Withdrawal Request); see also (1) Qingdao Sentury Tyre Co.; (2) 
Shandong Linglong Tyre Co.; (3) Hongkong Tiancheng Investment & 
Trading Co., Limited; (4) Shandong New Continent Tire Co., Ltd.; (5) 
YC Rubber Co. (North America) LLC; and (6) Sutong Tire Resources, 
Inc.'s Letter, ``GDLSK Respondents' Request to Extend Time to File 
Withdrawal of Review Requests and Request for Rescission of Review 
in the 2nd Administrative Review of the Antidumping Duty Order on 
Certain Passenger Vehicle and Light Truck Tires from the People's 
Republic of China (POR 2: 8/1/16-7/31/17),'' dated October 25, 2018 
(Sentury et al. Withdrawal Requests); Shandong Hengyu's Letter, 
``Certain Passenger Vehicle and Light Truck Tires from the People's 
Republic of China--Withdrawal of Request for Administrative Review 
and Request for Rescission,'' dated November 6, 2018 (Shandong 
Hengyu Withdrawal Request); Qingdao Odyking Tyre Co., Ltd., Shandong 
Shuangwang Rubber Co., Ltd., and Shouguang Firemax Tyre Co., Ltd.'s 
Letter, ``Certain Passenger Vehicle and Light Truck Tires from the 
People's Republic of China--Withdrawal of Request for Administrative 
Review and Request for Rescission,'' dated November 6, 2018 (Odyking 
et al. Withdrawal Requests); and American Pacific Industries, Inc.'s 
Letter, ``Passenger Vehicle and Light Truck Tires from People's 
Republic of China Re: Withdrawal of Request for Administrative 
Review,'' dated November 9, 2018 (API Withdrawal Request).
    \3\ See Petitioner's Case Brief, ``Case Brief Submitted on 
Behalf of the United Steel, Paper and Forestry, Rubber, 
Manufacturing, Energy, Allied Industrial and Service Workers 
International Union, AFL-CIO, CLC,'' dated November 8, 2018 
(Petitioner's Case Brief); see also Junhong's Case Brief, ``Certain 
Passenger Vehicle and Light Truck Tires from the People's Republic 
of China: Case Brief of Zhaoqing Junhong Co., Ltd.,'' dated November 
8, 2018 (Junhong's Case Brief); Crown International Corporation, 
``Passenger Vehicle and Light Truck Tires from the People's Republic 
of China, 2nd Administrative Review; Comments of Crown International 
Corporation on the Preliminary Results,'' dated November 8, 2018 
(Crown's Comments); Hankook Tire China Co., Ltd., ``Passenger 
Vehicle and Light Truck Tires from China, Case No. A-570-016: Letter 
in Lieu of Case Brief,'' dated November 8, 2018 (Hankook's 
Comments); Hongkong Tiancheng Investment & Trading Co., Limited, 
``HK Tiancheng Case Brief in the 2nd Administrative Review of the 
Antidumping Duty Order on Certain Passenger Vehicle and Light Truck 
Tires from the People's Republic of China (POR 2: 8/1/16-7/31/17),'' 
dated November 8, 2018 (HK Tiancheng's Case Brief); Shandong Hengyu 
Science & Technology Co., Ltd., ``Certain Passenger Vehicle and 
Light Truck Tires from the People's Republic of China -Case Brief,'' 
dated November 6, 2018 (Shandong Hengyu's Case Brief); Shandong 
Anchi Tyres Co., Ltd., Shandong Longyue Rubber Co., Ltd., Shandong 
Province Sanli Tire Manufactured Co., Ltd., and Mayrun Tyre (Hong 
Kong) Limited Comments, ``Passenger Vehicle and Light Truck Tires 
from China Comments in Lieu of Case Brief,'' dated November 8, 2018 
(Shandong Anchi et al.'s Comments); Shandong Wanda Boto Tyre Co. 
Ltd. (Boto) and ITG Voma Corporation (ITG Voma) Case Brief, 
``Passenger Vehicle and Light Truck Tires from the People's Republic 
of China: Case Brief of Shandong Wanda Boto Tyre Co. Ltd. and ITG 
Voma Corporation,'' dated November 8, 2018 (Boto's & ITG Voma's Case 
Brief); Qingdao Sentury Tyre Co., Shandong Linglong Tyre Co., 
Hongkong Tiancheng Investment & Trading Co., Limited, Shandong New 
Continent Tire Co., Ltd., YC Rubber Co. (North America) LLC, and 
Sutong Tire Resources, Inc., ``GDLSK Clients' Case Brief in the 2nd 
Administrative Review of the Antidumping Duty Order on Certain 
Passenger Vehicle and Light Truck Tires from the People's Republic 
of China (POR 2: 8/1/16-7/31/17),'' dated November 8, 2018 (Sentury 
et al.'s Case Brief); and Winrun Tyre Co., Ltd., ``Winrun's Case 
Brief: Passenger Vehicle and Light Truck Tires from China,'' dated 
November 8, 2018 (Winrun's Case Brief).
    \4\ See Winrun's Letter, ``Letter In Lieu Of Rebuttal Brief 
Passenger Vehicle and Light Truck Tires from China,'' dated November 
15, 2018 (Winrun's Rebuttal Comments); see also Shandong Anchi et 
al.'s Letter, ``Passenger Vehicle and Light Truck Tires from China-
Rebuttal Letter in Lieu of Brief,'' dated November 15, 2018 
(Shandong Anchi et al.'s Rebuttal Comments); and Sentury et al.'s 
Rebuttal Brief, ``GDLSK Clients' Rebuttal Brief in the 2nd 
Administrative Review of the Antidumping Duty Order on Certain 
Passenger Vehicle and Light Truck Tires from the People's Republic 
of China (POR 2: 8/1/16-7/31/17),'' dated November 15, 2018 (Sentury 
et al.'s Rebuttal Brief).
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    Commerce exercised its discretion to toll all deadlines affected by 
the partial federal government closure from December 22, 2018, through 
the resumption of operations on January 29, 2019.\5\ This extended the 
deadline for the final results to February 19, 2019. On January 31, 
2019, Commerce fully extended the deadline for the final results until 
April 19, 2019.\6\
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    \5\ See Memorandum to the Record from Gary Taverman, Deputy 
Assistant Secretary for Antidumping and Countervailing Duty 
Operations, performing the non-exclusive functions and duties of the 
Assistant Secretary for Enforcement and Compliance, ``Deadlines 
Affected by the Partial Shutdown of the Federal Government,'' dated 
January 28, 2019. All deadlines in this segment of the proceeding 
have been extended by 40 days.
    \6\ See Memorandum, ``2016-2017 Antidumping Duty Administrative 
Review of Certain Passenger Vehicle and Light Truck Tires from the 
People's Republic of China: Extension of Deadline for Final Results 
of Antidumping Duty Administrative Review,'' dated January 31, 2019.
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Scope of the Order

    The scope of the order 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.\7\ 
Merchandise covered by this order is classifiable under 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, 4011.20.50.10, 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 of the Harmonized 
Tariff Schedule of the United States (HTSUS). Although the HTSUS 
subheadings are provided for convenience and customs purposes, our 
written description of the scope of the order is dispositive.
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    \7\ For a complete description of the scope of the order, see 
``Certain Passenger Vehicle and Light Truck Tires from the People's 
Republic of China: Issues and Decision Memorandum for the Final 
Results of the 2016-2017 Antidumping Duty Administrative Review,'' 
(April 19, 2019) (Issues and Decision Memorandum) at ``Scope of the 
Order.''

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[[Page 17782]]

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs are addressed in 
the accompanying Issues and Decision Memorandum, which is hereby 
adopted by this notice.\8\ The issues are identified in Appendix I to 
this notice. The Issues and Decision Memorandum is a public document 
and is on file electronically via Enforcement and Compliance's 
Antidumping and Countervailing Duty Centralized Electronic Service 
System (ACCESS). ACCESS is available to registered users at http://access.trade.gov and in the Central Records Unit, room B8024 of the 
main Department of Commerce building. In addition, a complete version 
of the Issues and Decision Memorandum can be accessed directly on the 
internet at http://trade.gov/enforcement/frn/index.html. The signed 
Issues and Decision Memorandum and electronic versions of the Issues 
and Decision Memorandum are identical in content.
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    \8\ See Issues and Decision Memorandum at ``Discussion of the 
Issues.''
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Final Determination of No Shipments

    In the Preliminary Results, Commerce preliminarily determined that 
Federal Tire (Jiangxi), Ltd. and Highpoint Trading, Ltd. each had no 
shipments during the POR.\9\ As we have not received any information to 
contradict our preliminary finding, we determine that these entities 
did not have any shipments of subject merchandise during the POR. We 
will issue appropriate instructions that are consistent with our 
``automatic assessment'' clarification, for these final results.\10\
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    \9\ See Preliminary Results 83 FR 45893, 45894.
    \10\ See Non-Market Economy Antidumping Proceedings: Assessment 
of Antidumping Duties, 76 FR 65694, 65694-95 (October 24, 2011) 
(Assessment Notice); see also ``Assessment Rates'' section of this 
notice.
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Changes Since the Preliminary Results

    Based on our analysis of the comments received and the record, we 
made certain changes to the Preliminary Results. Specifically, we have 
made adjustments to the calculation of the antidumping margin for 
Junhong; \11\ and granted a separate rate to certain additional 
companies.\12\
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    \11\ See Issues and Decision Memorandum at comments 5 and 6; and 
Memorandum, ``Administrative Review of Certain Passenger Vehicle and 
Light Truck Tires from the People's Republic of China: Final 
Analysis Memorandum for Zhaoqing Junhong Co., Ltd.,'' dated 
concurrently with the instant memorandum (Junhong Final Calculation 
Memorandum).
    \12\ See Issues and Decision Memorandum at comment 7, see also 
Memorandum, ``Antidumping Duty Administrative Review of Certain 
Passenger Vehicle and Light Truck Tires from the People's Republic 
of China: Final Separate Rate Status,'' dated concurrently with the 
instant memorandum (Final Separate Rate Memorandum).
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Separate Rates

    In the Preliminary Results, we found that evidence provided by 
mandatory respondent, Zhaoqing Junhong Co., Ltd. (Junhong), as well as 
by other companies, supported finding an absence of both de jure and de 
facto government control, and, therefore, we preliminarily granted a 
separate rate to each of these companies.\13\ We received no 
information since the issuance of the Preliminary Results that provides 
a basis for reconsidering these determinations with respect to the 
separate rate status of these exporters. Therefore, for the final 
results, we continue to find that these entities are eligible for 
separate rates.
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    \13\ See Preliminary Results 83 FR 45893, 45895.
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    In addition, Commerce listed BC Tyre Group Limited/Best Choice 
International Trade Co., Limited, Crown International Corporation, 
Hankook Tire China Co., Ltd., and Hong Kong Tiancheng Investment & 
Trading Co., Limited as not qualifying for separate rate status in the 
Preliminary Results.\14\ As discussed in more detail in the 
accompanying Issues and Decision Memorandum and/or the Final Separate 
Rate Memorandum, we find that these entities are eligible for separate 
rates and Appendix II below has been revised for these final results.
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    \14\ Id. at 45897.
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    Further, Commerce continues to find that certain entities failed to 
demonstrate an absence of de jure and/or de facto government control, 
and, thus, are not eligible for separate rates. A list of entities that 
are not entitled to separate rate status for this administrative review 
are included in Appendix 2 of this notice.

Adjustments for Export Subsidies and Double-Remedies

    Pursuant to section 772(c)(1)(C) of the Tariff Act of 1930, as 
amended (the Act), Commerce has adjusted Junhong's U.S. price for 
export subsidies. In addition, pursuant to sections 777A(f)(1)(A)-(C) 
of the Act, Commerce has adjusted Junhong's U.S. price for domestic 
subsidies passed through for these final results. Since Junhong's 
antidumping duty rate is assigned to the non-examined exporters which 
qualify for a separate rate, the export subsidy and double-remedy 
adjustments are also reflected in their rates.

Final Results of Review

    Commerce finds that the following weighted-average dumping margins 
exist for the POR:

------------------------------------------------------------------------
                                                             Weighted-
                                                              average
                        Exporter                          dumping margin
                                                             (percent)
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Zhaoqing Junhong Co., Ltd...............................           64.57
BC Tyre Group Limited/Best Choice International Trade              64.57
 Co., Limited...........................................
Crown International Corporation.........................           64.57
Hankook Tire China Co., Ltd.............................           64.57
Hong Kong Tiancheng Investment & Trading Co., Limited...           64.57
Jiangsu Hankook Tire Co., Ltd...........................           64.57
Kenda Rubber (China) Co., Ltd...........................           64.57
Mayrun Tyre (Hong Kong) Limited.........................           64.57
Qingdao Odyking Tyre Co., Ltd...........................           64.57
Qingdao Sentury Tire Co., Ltd./Sentury Tire USA Inc./              64.57
 Sentury (Hong Kong) Trading Co., Limited...............
Shandong Anchi Tyres Co., Ltd...........................           64.57
Shandong Hengyu Science & Technology Co., Ltd...........           64.57
Shandong Linglong Tyre Co., Ltd.........................           64.57
Shandong Longyue Rubber Co., Ltd........................           64.57
Shandong New Continent Tire Co., Ltd....................           64.57
Shandong Province Sanli Tire Manufactured Co., Ltd......           64.57

[[Page 17783]]

 
Shandong Shuangwang Rubber Co., Ltd.....................           64.57
Shandong Wanda Boto Tyre Co., Ltd.......................           64.57
Shandong Yongsheng Rubber Group Co., Ltd................           64.57
Shouguang Firemax Tyre Co., Ltd.........................           64.57
Winrun Tyre Co., Ltd....................................           64.57
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Assessment Rates

    Pursuant to section 751(a)(2)(A) of the Act and 19 CFR 351.212(b), 
Commerce has determined, and U.S. Customs and Border Protection (CBP) 
shall assess, antidumping duties on all appropriate entries of subject 
merchandise in accordance with the final results of this review. 
Commerce intends to issue appropriate assessment instructions directly 
to CBP 15 days after publication of the final results of this 
administrative review. For each individually examined respondent in 
this review whose weighted-average dumping margin in the final results 
of review is not zero or de minimis (i.e., less than 0.5 percent), 
Commerce intends to calculate importer-specific assessment rates, in 
accordance with 19 CFR 351.212(b)(1).\15\ Where the respondent reported 
reliable entered values, Commerce intends to calculate importer-
specific ad valorem assessment rates by aggregating the amount of 
dumping calculated for all U.S. sales to the importer, and dividing 
this amount by the total entered value of the sales to the 
importer.\16\ Where the importer did not report entered values, 
Commerce intends to calculate an importer-specific assessment rate by 
dividing the amount of dumping for reviewed sales to the importer by 
the total sales quantity associated with those transactions. Where an 
importer-specific ad valorem assessment rate is not zero or de minimis, 
Commerce will instruct CBP to collect the appropriate duties at the 
time of liquidation. Where either the respondent's weighted average 
dumping margin is zero or de minimis, or an importer-specific ad 
valorem assessment rate is zero or de minimis, Commerce will instruct 
CBP to liquidate appropriate entries without regard to antidumping 
duties.\17\ We intend to instruct CBP to liquidate entries containing 
subject merchandise exported by the China-wide entity at the China-wide 
rate.
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    \15\ See Antidumping Proceedings: Calculation of the Weighted 
Average Dumping Margin and Assessment Rate in Certain Antidumping 
Proceedings: Final Modification, 77 FR 8101 (February 14, 2012) 
(Final Modification).
    \16\ See 19 CFR 351.212(b)(1).
    \17\ See Final Modification, 77 FR 8101, 8103.
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    Pursuant to Commerce practice, for entries that were not reported 
in the U.S. sales database submitted by an exporter individually 
examined during this review, Commerce will instruct CBP to liquidate 
such entries at the rate for the China-wide entity.\18\ Additionally, 
if Commerce determines that an exporter under review had no shipments 
of the subject merchandise, any suspended entries that entered under 
that exporter's CBP case number will be liquidated at the rate for the 
China-wide entity.
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    \18\ See Non-Market Economy Antidumping Proceedings: Assessment 
of Antidumping Duties, 76 FR 65694 (October 24, 2011), for a full 
discussion of this practice.
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    In accordance with section 751(a)(2)(C) of the Act, the final 
results of this review shall be the basis for the assessment of 
antidumping duties on POR entries, and for future deposits of estimated 
antidumping duties, where applicable.

Cash Deposit Requirements

    Commerce will instruct CBP to require a cash deposit for 
antidumping duties equal to the weighted-average amount by which NV 
exceeds U.S. price. The following cash deposit requirements will be 
effective upon publication of the final results of this administrative 
review for shipments of the subject merchandise from China entered, or 
withdrawn from warehouse, for consumption on or after the publication 
date of this notice, as provided by section 751(a)(2)(C) of the Act: 
(1) For the exporters listed above, the cash deposit rate will be equal 
to the weighted-average dumping margin established in the final results 
of this review; (2) for previously investigated or reviewed China and 
non- China exporters not listed above that have separate rates, the 
cash deposit rate will continue to be the exporter-specific rate 
published for the most recently completed segment of this proceeding; 
(3) for all China exporters of subject merchandise which have not been 
found to be entitled to a separate rate, the cash deposit rate will be 
the rate for the China-wide entity (i.e., 76.46 percent) \19\ and (4) 
for all non-China exporters of subject merchandise that have not 
received their own rate, the cash deposit rate will be the rate 
applicable to the China exporter that supplied that non- China 
exporter. These deposit requirements, when imposed, shall remain in 
effect until further notice.
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    \19\ 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, 47904 at note 19 (August 10, 
2015).
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Notification to Importers

    This notice also serves as a reminder to importers of their 
responsibility under 19 CFR 351.402(f)(2) to file a certificate 
regarding the reimbursement of antidumping duties and/or countervailing 
duties prior to liquidation of the relevant entries during this POR. 
Failure to comply with this requirement could result in Commerce's 
presumption that reimbursement of antidumping duties and/or 
countervailing duties has occurred, and the subsequent assessment of 
double antidumping duties and/or an increase in the amount of 
antidumping duties by the amount of the countervailing duties.

Notifications to Interested Parties

    This notice serves as the only reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of return or destruction of APO materials, or conversion 
to judicial protective order, is hereby requested. Failure to comply 
with the regulations and the terms of an APO is a sanctionable 
violation.
    We are issuing and publishing these results in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act.


[[Page 17784]]


    Dated: April 19, 2019.
Jeffrey I. Kessler,
Assistant Secretary for Enforcement and Compliance.

Appendix 1

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Changes Since the Preliminary Results
V. Discussion of the Issues:
    Comment 1: Whether Commerce should allow certain separate rate 
respondents to withdraw from this administrative review after the 
90-day deadline.
    Comment 2: Whether Commerce should base the margin assigned to 
separate rate respondents solely on Junhong's margin.
    Comment 3: Whether Commerce should have selected a third 
mandatory respondent.
    Comment 4: Whether Commerce should exclude certain information 
from countries that maintain generally available export subsidies.
    Comment 5: Whether Commerce should offset Junhong's AD margin 
for the Export Buyer's Credit program.
    Comment 6: Whether Commerce properly valued Junhong's energy 
inputs.
    Comment 7: Whether to grant Crown, Hankook, and HK Tiancheng a 
separate rate for the Final Results.
VI. Recommendation

Appendix 2

List of Companies Not Receiving Separate Rate Status

1. Cheng Shin Tire & Rubber (China) Co., Ltd.
2. Hebei Tianrui Rubber Co., Ltd.
3. Hong Kong Tri-Ace Tire Co., Limited
4. Hwa Fong Rubber (Hong Kong) Ltd.
5. Hwa Fong Rubber (Suzhou) Ltd.
6. Qingdao Fullrun Tyre Corp. Ltd.
7. Qingdao Fullrun Tyre Tech Corp. Ltd.
8. Qingdao Nexen Tire Corporation
9. Qingdao Qianzhen Tyre Co., Ltd.
10. Qingdao Qihang Tyre Co., Ltd.
11. Qingdao Qizhou Rubber Co., Ltd.
12. Shandong Haohua Tire Co., Ltd.
13. Shandong Haolong Rubber Tire Co., Ltd.
14. Shandong Haolong Rubber Co., Ltd.
15. Shandong Province Sanli Tire
16. Shifeng Juxing Tire Co., Ltd.
17. Southeast Mariner International Co., Ltd.
18. Toyo Tire (Zhangjiagang) Co., Ltd.

[FR Doc. 2019-08454 Filed 4-25-19; 8:45 am]
BILLING CODE 3510-DS-P