China’s government expressed “strong opposition” to the U.S. Commerce Department’s latest decision to consider further punitive additional duties on China-produced consumer tires exported to the U.S.
On July 18, the People’s Republic of China Ministry of Commerce said in an online statement that the U.S. investigation was undertaken “despite serious flaws in the application for the investigation and opposition from the U.S. tire industry and related sectors.”
The MOC statement added that, “The U.S. side still instigated the probe despite the opposition of relevant industry organizations, contravening World Trade Organization rules and U.S. domestic law. China expresses its strong opposition.”
The MOC also noted its opinion that the last tariff, instituted in 2009 at the insistence of the USW, caused “serious harm” to U.S.-China trade relations, and “The facts prove that special protection measures by the U.S. have brought no tangible benefits to U.S. tire producers.”
On July 15, the U.S. Commerce Department ruled that the USW had legal standing to pursue additional duties on imported China-produced consumer tires.
The next step, according to the union, is a review and vote by the U.S. International Trade Commission (ITC), which is slated to make a preliminary injury determination on or about Aug. 1. Should the ITC favor the union’s position and rule that imported China-produced consumer tires “materially injure” the U.S. tire industry, the Commerce Department could issue a preliminary countervailing duty ruling sometime in September, and make a preliminary decision on the union’s antidumping petition in December.
On June 3, the USW filed with the Commerce Department petitions seeking additional antidumping and countervailing duties on China-produced consumer tires exported to the U.S.
