WASHINGTON — The U.S. Department of Commerce has lowered antidumping duties on consumer tires from Thailand — in place since June 2021 — after a review requested by two Thai tire producers.
In the review, Commerce determined that the two companies — Sentury Tire (Thailand) Co. Ltd. and Sumitomo Rubber (Thailand) Co. Ltd. — sold subject merchandise in the U.S. at prices below normal value during the period of review (January 2021 through June 2022), but at rates lower than previously determined.
The new rates are:
- Sentury Tire (Thailand) Co. Ltd. — 1.24% (down from 17.08%);
- Sumitomo Rubber (Thailand) Co. Ltd. — 6.16% (down from 14.62%);
- LLIT (Thailand) Co. Ltd. — 4.52% (down from 21.09%);
The all others rate — affecting Deestone Corp.; General Rubber (Thailand) Co. Ltd.' Maxxis International (Thailand) Co. Ltd.; Otani Radial Co. Ltd.; Prinx Chengshan Tire (Thailand) Co. Ltd.; Sanpo (Thailand) Co. Ltd.; and Zhongce Rubber (Thailand) Co. Ltd. — was dropped to 4.52% from 17.08%.
The elevated import duties on Thailand tires were part of an ITC investigation that also looked at imports from South Korea, Taiwan and Vietnam. That investigation was carried out in response to a petition from the United Steelworkers in May 2020 and covered a period from April 2019 through March 2020.
The duties imposed in June 2021 have had only marginal effect on the ability or willingness of Thai-based companies to export passenger and/or light truck tires to the U.S.
Imports of passenger tires from Thailand slid 7.3% in 2021 to 33.3 million units before throttling back 8.6% in 2022 to 30.4 million units. The situation was similar in light truck tires: down 6.1% in 2021 to 7.34 million units before falling 10.5% in 2022 to 6.57 million units.
Through the first nine months of 2023, passenger tire imports from Thailand were up 3.3% over 2022, but light truck tire imports were off 24.2%.
Thailand remains the No. 1 source of imported tires in all three major categories.
This revision of duties comes just eight weeks after the ITC authorized a full investigation into allegations that certain manufacturers based in Thailand are selling truck/bus tires in the U.S. at less than fair valuation.
A preliminary determination by the Commerce Department on duties is not expected before late March 2024. Thailand is by far the No. 1 source of imported truck/bus tires, accounting for over 40% of total imports the past few years.
