[Federal Register Volume 86, Number 244 (Thursday, December 23, 2021)]
[Notices]
[Pages 72921-72923]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-27846]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-570-041]


Truck and Bus Tires From the People's Republic of China: Final 
Results of Countervailing Duty Administrative Review; 2019

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: The Department of Commerce (Commerce) determines that certain 
producers and/or exporters of truck and bus tires from the People's 
Republic of China (China), received countervailable subsidies during 
the period of review (POR), February 15, 2019, through December 31, 
2019.

DATES: Effective December 23, 2021.

FOR FURTHER INFORMATION CONTACT: Theodore Pearson or Dusten Hom, AD/CVD 
Operations, Office I, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-2631 and (202) 482-5075, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    Commerce published the Preliminary Results on June 25, 2021, and 
invited comments from interested parties.\1\ On October 1, 2021, 
Commerce extended the deadline for the final results of this 
administrative review until December 17, 2021.\2\ For a complete 
description of the events that occurred since the Preliminary Results, 
see the Issues and Decision Memorandum.\3\
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    \1\ See Truck and Bus Tires from the People's Republic of China: 
Preliminary Results of Countervailing Duty Administrative Review, 
and Rescission of Review, in Part; 2019, 86 FR 33644 (June 25, 2021) 
(Preliminary Results), and accompanying Preliminary Decision 
Memorandum (Preliminary Decision Memorandum).
    \2\ See Memorandum, ``Truck and Bus Tires from the People's 
Republic of China: Extension of Deadline for Final Results of 
Countervailing Duty Administrative Review; 2019,'' dated October 1, 
2021.
    \3\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Results of the Countervailing Duty Administrative Review of 
Truck and Bus Tires from the People's Republic of China; 2019,'' 
dated concurrently with, and hereby adopted by, this notice (Issues 
and Decision Memorandum).
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Scope of the Order

    The products covered by the order are truck and bus tires from 
China. For a complete description of the scope of this order, see the 
Issues and Decision Memorandum.

Analysis of Comments Received

    All issues raised by the interested parties in their case and 
rebuttal briefs are addressed in the Issues and Decision Memorandum. A 
list of these issues is provided 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 CVD 
Centralized Electronic Service System (ACCESS). ACCESS is available to 
registered users at https://access.trade.gov. In addition, a complete 
version of the Issues and Decision Memorandum can be accessed directly 
at https://access.trade.gov/public/FRNoticesListLayout.aspx.

Changes Since the Preliminary Results

    Based on the comments received from interested parties, we revised 
the calculation of the net countervailable subsidy rates for all 
respondents. For a discussion of these issues, see the Issues and 
Decision Memorandum.

Methodology

    Commerce conducted this review in accordance with section 
751(a)(1)(A) of the Tariff Act of 1930, as amended (the Act). For each 
of the subsidy programs found to be countervailable, we determine that 
there is a subsidy, i.e., a government-provided financial contribution 
that gives rise to a benefit to the recipient, and that the subsidy is 
specific.\4\ The Issues and Decision Memorandum contains a full 
description of the methodology underlying Commerce's conclusions, 
including any determination that relied upon the use of facts otherwise 
available, including, adverse facts available, pursuant to sections 
776(a) and (b) of the Act.
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    \4\ See sections 771(5)(B) and (D) of the Act regarding 
financial contribution; section 771(5)(E) of the Act regarding 
benefit; and section 771(5A) of the Act regarding specificity.
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Rate for Non-Selected Companies Under Review

    There are 41 companies for which a review was requested and not 
rescinded, and which were not selected as mandatory respondents or 
found to be cross-owned with a mandatory respondent. For these 
companies, because the rates calculated for the mandatory respondents, 
Qingdao Ge Rui Da Rubber Co., Ltd. (GRT) and Prinx Chengshan (Shandong) 
Tire Co., Ltd. (PCT), were above de minimis and not based entirely on 
facts available, we are applying to the non-selected companies the 
average of the net subsidy rates calculated for GRT and PCT, which we 
calculated using the publicly ranged sales data submitted by GRT and 
PCT. This methodology to establish the all-others subsidy rate is 
consistent with our practice and section 705(c)(5)(A) of the Act, which 
governs the calculation of the all-others rate in investigations. For 
further information on the calculation of the non-selected respondent 
rate, refer to the section in the Issues and Decision Memorandum 
entitled ``Non-Selected Companies Under Review.'' For a list of non-
selected companies, see Appendix II.

Final Results of Review

    We determine the following net countervailable subsidy rates for 
the POR February 15, 2019, through December 31, 2019:

------------------------------------------------------------------------
                                                                Subsidy
                                                                 rate
                      Producer/exporter                        (percent
                                                                  ad
                                                               valorem)
------------------------------------------------------------------------
Prinx Chengshan (Shandong) Tire Co., Ltd.\5\................       17.47
Qingdao Ge Rui Da Rubber Co., Ltd.\6\.......................       14.77
------------------------------------------------------------------------
   Review-Specific Average Rate Applicable to the Following Companies
------------------------------------------------------------------------
Other Respondents \7\.......................................       15.67
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[[Page 72922]]

Disclosure

    We intend to disclose to interested parties the calculations and 
analysis performed for these final results of this review within five 
days of the date of publication of this notice, in accordance with 19 
CFR 351.224(b).
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    \5\ Cross-owned affiliates are Chengshan Group Co., Ltd.; 
Shanghai Chengzhan Information and Technology Center; Prinx 
Chengshan (Qingdao) Industrial Research & Design Co., Ltd.; and 
Shandong Prinx Chengshan Tire Technology Research Co., Ltd.
    \6\ Cross-owned affiliates are Cooper Tire (China) Investment 
Co. Ltd.; Cooper (Kunshan) Tire Co., Ltd.; and Qingdao Yiyuan 
Investment Co., Ltd.
    \7\ See Appendix II.
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Assessment

    In accordance with section 751(a)(2)(C) of the Act and 19 CFR 
351.212(b)(2), Commerce shall determine, and CBP shall assess, 
countervailing duties on all appropriate entries covered by this 
review. Commerce intends to issue assessment instructions to CBP no 
earlier than 35 days after the date of this publication of the final 
results of this review in the Federal Register. If a timely summons is 
filed at the U.S. Court of International Trade, the assessment 
instructions will direct CBP not to liquidate relevant entries until 
the time for parties to file a request for a statutory injunction has 
expired (i.e., within 90 days of publication).

Cash Deposit Requirements

    In accordance with section 751(a)(1) of the Act, Commerce also 
intends to instruct CBP to collect cash deposits of estimated 
countervailing duties in the amounts shown above for the above-listed 
companies with regard to shipments of subject merchandise entered, or 
withdrawn from warehouse, for consumption on or after the date of 
publication of these final results of review. For all non-reviewed 
firms, CBP will continue to collect cash deposits of estimated 
countervailing duties at the most recent company-specific or all-others 
rate applicable to the company, as appropriate. These cash deposit 
requirements, when imposed, shall remain in effect until further 
notice.

Administrative Protective Order

    This notice serves as a final reminder to parties subject to 
administrative protective order (APO) of their responsibility 
concerning the destruction 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 sanctionable violation.

Notification to Interested Parties

    These final results are issued and published in accordance with 
sections 751(a)(1) and 777(i) of the Act and 19 CFR 351.221(b)(5).

    Dated: December 17, 2021.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, Performing the 
Non-Exclusive Functions and Duties of the Assistant Secretary for 
Enforcement and Compliance.

Appendix I--List of Topics Discussed in the Issues and Decision 
Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Non-Selected Companies Under Review
V. Subsidies Valuation
VI. Interest Rate Benchmark, Discount Rates, Input, Electricity, and 
Land Benchmarks
VII. Use of Facts Otherwise Available and Application of Adverse 
Inferences
VIII. Analysis of Programs
IX. Analysis of Comments
    Comment 1: Whether Commerce Should Continue to Find the Export 
Buyer's Credit Program Countervailable
    Comment 2: Whether Certain ``Other Subsidies'' Programs Are 
Countervailable
    Comment 3: Whether the Provision of Electricity for Less Than 
Adequate Remuneration (LTAR) Is Specific
    Comment 4: Whether the Provision of Inputs for LTAR is 
Countervailable
    Comment 5: Whether Commerce Should Make Certain Modifications to 
the Benchmark for the Provision of Electricity for LTAR
    Comment 6: Whether Commerce Should Remove Ocean Freight from the 
Benchmark for the Provision of Nylon Cord for LTAR
    Comment 7: Whether Commerce Should Correct Certain Errors with 
the Benchmark for Synthetic Rubber and Butadiene for LTAR Whether 
Commerce Should Make Certain Modifications to the Benchmark for the 
Provision of Electricity for LTAR
    Comment 8: Whether Commerce Should Determine the Synthetic 
Rubber Benchmark on a Grade-Specific Basis
    Comment 9: Whether Commerce Should Use Producer Price Index 
(PPI) to Calculate its Land Benchmark
    Comment 10: Whether Commerce Correctly Applied AFA to the 
Provision of Land-Use Rights for LTAR and PCT's Land-Use Rights 
Purchases
    Comment 11: Whether Commerce Should Correct an Issue with 
Negative Value Input Shipments
    Comment 12: Whether Commerce Should Correct the Sales 
Denominator for PCT and CSG for Years Prior to 2014
    Comment 13: Whether Commerce Should Make Corrections to Certain 
Other Subsidy Programs for PCT
    Comment 14: Whether Commerce Should Find GRT to be 
Uncreditworthy from 2017-2019
    Comment 15: Whether Commerce Should Rely on Adverse Facts 
Available (AFA) for the ``Authority'' Finding With Respect to 
Qingdao Yiyuan's Land Contracts
    Comment 16: Whether Commerce Should Use the Net Benefit of GRT's 
Boiler Treatment Program to determine the Countervailable Subsidy
    Comment 17: Whether Commerce Should Modify its Calculation of 
CKT's Provision of Synthetic Rubber Benefit for LTAR
    Comment 18: Whether Commerce Should Correct its Government 
Policy Lending Calculation
    Comment 19: Whether Commerce Should Correct GRT's Electricity 
for LTAR Calculation
X. Recommendation

Appendix II--List of Companies Not Individually Examined

    1. Aeolus Tyre Co., Ltd.
    2. Chaoyang Long March Tyre Co., Ltd.
    3. Doublestar International Trading (Hongkong) Co., Limited
    4. Giti Radial Tire (Anhui) Company
    5. Giti Tire (Fujian) Company Ltd.
    6. Giti Tire Global Trading Pte Ltd.
    7. Guangrao Kaichi Trading Co., Ltd.
    8. Guizhou Tyre Co., Ltd.
    9. Guizhou Tyre Import and Export Co., Ltd.
    10. Hefei Wanli Tire Co., Ltd.
    11. Hongtyre Group Co.
    12. Jiangsu General Science Technology Co., Ltd.
    13. Koryo International Industrial Limited
    14. Maxon Int'l Co., Limited
    15. Megalith Industrial Group Co., Limited
    16. Qingdao Awesome International Trade Co., Ltd
    17. Qingdao Doublestar Overseas Trading Co., Ltd.
    18. Qingdao Doublestar Tire Industrial Co., Ltd.
    19. Qingdao Fullrun Tyre Corp. Ltd
    20. Qingdao Jinhaoyang International Co., Ltd.
    21. Qingdao Keter International Co., Limited
    22. Qingdao Lakesea Tyre Co., Ltd
    23. Qingdao Powerich Tyre Co., Ltd.
    24. Qingdao Shinego Tire Tech Co., Limited (also known as 
Qingdao Shinego Tyre Tech Co., Ltd.)
    25. Qingdao Sunfulcess Tyre Co., Ltd.
    26. Shandong Habilead Rubber Co., Ltd.
    27. Shandong Haohua Tire Co., Ltd.
    28. Shandong Huasheng Rubber Co., Ltd
    29. Shandong Hugerubber Co., Ltd.
    30. Shandong Kaixuan Rubber Co., Ltd
    31. Shandong Province Sanli Tire Manufactured Co., Ltd
    32. Shandong Qilun Rubber Co., Ltd.
    33. Shandong Transtone Tyre Co., Ltd
    34. Shandong Wanda Boto Tyre Co., Ltd.
    35. Shandong Yongsheng Rubber Group Co., Ltd.
    36. Shanghai Huayi Group Corporation Limited
    37. Shengtai Tyre Co., Ltd.

[[Page 72923]]

    38. Sichuan Kalevei Technology Co., Ltd.
    39. Tongli Tyre Co., Ltd.
    40. Triangle Tyre Co., Ltd.
    41. Weifang Shunfuchang Rubber and Plastic Products Co., Ltd.

[FR Doc. 2021-27846 Filed 12-22-21; 8:45 am]
BILLING CODE 3510-DS-P