U.S. sets duties for Chinese car and light truck tires image

The Chinese trade ministry stated on Thursday that the United States decision regarding the anti-dumping duties of as high as 88% on Chinese tires is “flawed”.

With the Department of Commerce deciding that the tires imported from China are being sold too cheaply in the United States, the U.S.s is set to put more duties on Chinese imports. Commerce set anti-dumping duties of up to 87,99% on car and light truck tires. After a complaint from the U.S. trade unions, Commerce had already set anti-subsidy duties of almost 81%.

These duties will affect products from 65 companies which have dumping margins of 27.72% including famous names such as Shandong Yongsheng Rubber Group Co., Cooper Kunshan Tire Co, a subsidiary of Cooper Tire & Rubber Co, and Giti Tire Co – a subsidiary of Giti Tire. In 2013 the imports of passenger cars and light trucks from China were worth around $2.1 billion.

Commerce is advising U.S. Customs and Border Protection to ask for cash deposits from Chinese tire exporters based on these rates.

A final ruling in the antidumping case from the Commerce Department is due this June. The International Trade Commission (ITC) is expected to make a final decision whether the dumped tires caused material injury to the U.S. tire industry in July 2015. The antidumping duties become official if both Commerce and the ITS make final pro determinations in the case.

However, Commerce settled preliminary countervailing duties for most producers at 15.29%, reducing it to a rate of 12.03%.

By Gabriela Florea
Source: Autonews