Certain Steel Wheels 12 to 16.5 Inches in Diameter From the People's Republic of China: Notice of Covered Merchandise Referral

James Maeder
Department of Commerce
19 February 2021

[Federal Register Volume 86, Number 32 (Friday, February 19, 2021)]
[Notices]
[Pages 10245-10247]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-03398]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-570-090, C-570-091]


Certain Steel Wheels 12 to 16.5 Inches in Diameter From the 
People's Republic of China: Notice of Covered Merchandise Referral

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

SUMMARY: Pursuant to the Enforce and Protect Act of 2015 (EAPA), the 
Department of Commerce (Commerce) received a covered merchandise 
referral from U.S. Customs and Border Protection (CBP) in connection 
with a CBP EAPA investigation concerning the antidumping duty (AD) and

[[Page 10246]]

countervailing duty (CVD) orders on certain steel wheels 12 to 16.5 
inches in diameter (certain steel wheels) from the People's Republic of 
China (China). In accordance with EAPA, Commerce intends to determine 
whether the merchandise subject to the referral is covered by the scope 
of the orders and promptly transmit its determination to CBP. Commerce 
is providing notice of the referral and inviting participation from 
interested parties.

DATES: Applicable February 19, 2021.

FOR FURTHER INFORMATION CONTACT: Brendan Quinn or Charles Doss, AD/CVD 
Operations Office III, Enforcement & Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-5848 or (202) 482-4474, 
respectively.

SUPPLEMENTARY INFORMATION:

Background

    On February 24, 2016, the Trade Facilitation and Trade Enforcement 
Act of 2015 was signed into law, which contains Title IV-Prevention of 
Evasion of Antidumping and Countervailing Duty Orders, commonly 
referred to as the Enforce and Protect Act of 2015 or EAPA.\1\ 
Effective August 22, 2016, section 421 of EAPA added section 517 to the 
Tariff Act of 1930, as amended (the Act), which establishes a formal 
process for CBP to investigate allegations of the evasion of AD and CVD 
orders. Section 517(b)(4)(A) of the Act provides a procedure whereby 
if, during the course of an EAPA investigation, CBP is unable to 
determine whether the merchandise at issue is covered merchandise 
within the meaning of section 517(a)(3) of the Act, it shall refer the 
matter to Commerce to make such a determination. Section 517(a)(3) of 
the Act defines covered merchandise as merchandise that is subject to 
an AD order issued under section 736 of the Act or a CVD order issued 
under section 706 of the Act. Section 517(b)(4)(B) of the Act states 
that Commerce, after receiving a covered merchandise referral from CBP, 
shall determine whether the merchandise is covered merchandise and 
promptly transmit its determination to CBP. The Act does not establish 
a deadline within which Commerce must issue its determination.
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    \1\ Title IV--Prevention of Evasion of Antidumping and 
Countervailing Duty Orders, Public Law 114-125, 130 Stat. 122, 155 
(February 24, 2016).
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    On December 17, 2020, Commerce received a covered merchandise 
referral from CBP regarding CBP EAPA Investigation No. 7459,\2\ which 
concerns the AD and CVD orders on certain steel wheels from China.\3\ 
Specifically, CBP has requested that Commerce issue a determination as 
to whether certain types of steel trailer wheels produced in Thailand 
from inputs sourced from China (i.e., either the rim or disc component 
is sourced from China and the corresponding rim or disc component is 
produced in Thailand, which may or may not involve using inputs sourced 
from China), as identified in a scope ruling request previously 
submitted to Commerce by Asia Wheel Co., Ltd.,\4\ and currently under 
consideration in ongoing segments of the AD and CVD proceedings, are 
subject to the Orders.
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    \2\ See CBP's Letter, ``Scope Referral Request for Merchandise 
under EAPA Cons. Investigation 7459, Imported by Lionshead Specialty 
Tire and Wheel LLC; Tex Trail LLC; and Trailstar LLC., and 
concerning the Investigation of Evasion of the Antidumping and 
Countervailing Duty Orders (A-570-090 and C-570-091) on Steel 
Trailer Wheels from the People's Republic of China,'' dated December 
17, 2020. Commerce intends to make available this document and any 
supporting documents on Enforcement and Compliance's Antidumping 
Duty and Countervailing Duty Centralized Electronic Service System 
(ACCESS) within five days of publication of this notice.
    \3\ See Certain Steel Trailer Wheels 12 to 16.5 Inches from the 
People's Republic of China: Antidumping Duty and Countervailing Duty 
Orders, 84 FR 45952 (September 3, 2019) (Orders).
    \4\ See Asia Wheel Co., Ltd.'s Letters, ``Certain Steel Wheels 
(12 to 16.5 Inches in Diameter) from the People's Republic of China: 
Request for Scope Ruling for Asia Wheel's Steel Trailer Wheels,'' 
dated November 10, 2020.
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Notification to Interested Parties

    Commerce is hereby notifying interested parties that it has 
received the covered merchandise referral referenced above. As the 
covered merchandise referral requests a determination on merchandise 
identified in a request for a scope ruling previously submitted to 
Commerce and currently under consideration, we will address the covered 
merchandise referral and Asia Wheel Co., Ltd.'s scope ruling request in 
the ongoing scope segments of the AD and CVD proceedings. Based on our 
determinations in the ongoing scope segments of the AD and CVD 
proceedings, we intend to notify CBP as to whether the merchandise 
subject to the referral is covered merchandise within the meaning of 
section 517(a)(3) of the Act.
    Commerce intends to provide interested parties with the opportunity 
to participate in these segments of the proceedings, including through 
the submission of comments, and, if appropriate, new factual 
information and verification. Specifically, Commerce will notify 
parties on the segment-specific service list for these segments of the 
proceedings of a schedule for comments. In addition, Commerce may 
request factual information from any person to assist in making its 
determination and may verify submissions of factual information, if 
Commerce determines that such verification is appropriate. The current 
deadline for Commerce to issue final scope rulings under 19 CFR 
351.225(d) or initiate scope inquiries under 19 CFR 351.225(e) in the 
ongoing scope segments of the AD and CVD proceedings is March 22, 2021.
    Parties are also hereby notified that this is the only notice that 
Commerce intends to publish in the Federal Register concerning this 
covered merchandise referral. Interested parties that wish to 
participate in these segments of the proceedings, and receive notice of 
the final determinations, must submit their letters of appearance as 
discussed below. Further, any party desiring access to business 
proprietary information in these segments of the proceedings must file 
an application for access to business proprietary information under 
administrative protective order (APO), as discussed below.
    Finally, we note that covered merchandise referrals constitute a 
new type of segment of a proceeding at Commerce and, therefore, 
Commerce intends to develop its practice and procedures in this area as 
it gains more experience.

Scope of the Orders

    The products covered by the Orders are certain on-the-road steel 
wheels, discs, and rims for tubeless tires with a nominal wheel 
diameter of 12 inches to 16.5 inches, regardless of width. Certain on-
the-road steel wheels with a nominal wheel diameter of 12 inches to 
16.5 inches within the scope are generally for road and highway 
trailers and other towable equipment, including, inter alia, utility 
trailers, cargo trailers, horse trailers, boat trailers, recreational 
trailers, and towable mobile homes. The standard widths of certain on-
the-road steel wheels are 4 inches, 4.5 inches, 5 inches, 5.5 inches, 6 
inches, and 6.5 inches, but all certain on-the-road steel wheels, 
regardless of width, are covered by the scope.
    The scope includes rims and discs for certain on-the-road steel 
wheels, whether imported as an assembly, unassembled, or separately. 
The scope includes certain on-the-road steel wheels regardless of steel 
composition, whether cladded or not cladded, whether finished or not 
finished, and

[[Page 10247]]

whether coated or uncoated. The scope also includes certain on-the-road 
steel wheels with discs in either a ``hub-piloted'' or ``stud-piloted'' 
mounting configuration, though the stud-piloted configuration is most 
common in the size range covered.
    All on-the-road wheels sold in the United States must meet Standard 
110 or 120 of the National Highway Traffic Safety Administration's 
(NHTSA) Federal Motor Vehicle Safety Standards, which requires a rim 
marking, such as the ``DOT'' symbol, indicating compliance with 
applicable motor vehicle standards. See 49 CFR 571.110 and 571.120. The 
scope includes certain on-the-road steel wheels imported with or 
without NHTSA's required markings.
    Certain on-the-road steel wheels imported as an assembly with a 
tire mounted on the wheel and/or with a valve stem or rims imported as 
an assembly with a tire mounted on the rim and/or with a valve stem are 
included in the scope of these orders. However, if the steel wheels or 
rims are imported as an assembly with a tire mounted on the wheel or 
rim and/or with a valve stem attached, the tire and/or valve stem is 
not covered by the scope.
    The scope includes rims, discs, and wheels that have been further 
processed in a third country, including, but not limited to, the 
painting of wheels from China and the welding and painting of rims and 
discs from China to form a steel wheel, or any other processing that 
would not otherwise remove the merchandise from the scope of the Orders 
if performed in China.
    Excluded from this scope are the following:
    (1) Steel wheels for use with tube-type tires; such tires use multi 
piece rims, which are two-piece and three-piece assemblies and require 
the use of an inner tube;
    (2) aluminum wheels;
    (3) certain on-the-road steel wheels that are coated entirely in 
chrome. This exclusion is limited to chrome wheels coated entirely in 
chrome and produced through a chromium electroplating process, and does 
not extend to wheels that have been finished with other processes, 
including, but not limited to, Physical Vapor Deposition (PVD);
    (4) steel wheels that do not meet Standard 110 or 120 of the 
NHTSA's requirements other than the rim marking requirements found in 
49 CFR 571.110S4.4.2 and 571.120S5.2;
    (5) steel wheels that meet the following specifications: Steel 
wheels with a nominal wheel diameter ranging from 15 inches to 16.5 
inches, with a rim width of 8 inches or greater, and a wheel 
backspacing ranging from 3.75 inches to 5.5 inches; and
    (6) steel wheels with wire spokes.
    Certain on-the-road steel wheels subject to these Orders are 
properly classifiable under the following category of the Harmonized 
Tariff Schedule of the United States (HTSUS): 8716.90.5035 which covers 
the exact product covered by the scope whether entered as an assembled 
wheel or in components. Certain on-the-road steel wheels entered with a 
tire mounted on them may be entered under HTSUS 8716.90.5059 (Trailers 
and semi-trailers; other vehicles, not mechanically propelled, parts, 
wheels, other, wheels with other tires) (a category that will be 
broader than what is covered by the scope). While the HTSUS subheadings 
are provided for convenience and customs purposes, the written 
description of the subject merchandise is dispositive.

Filing Requirements

    All submissions to Commerce must be filed electronically using 
ACCESS.\5\ An electronically filed document must be received 
successfully in its entirety by the time and date it is due. Note that 
Commerce has temporarily modified certain of its requirements for 
serving documents containing business proprietary information.\6\
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    \5\ See Antidumping and Countervailing Duty Proceedings: 
Electronic Filing Procedures; Administrative Protective Order 
Procedures, 76 FR 39263 (July 6, 2011), as amended in Enforcement 
and Compliance; Change of Electronic Filing System Name, 79 FR 69046 
(November 20, 2014) for details of Commerce's electronic filing 
requirements, effective August 5, 2011. Information on help using 
ACCESS can be found at https://access.trade.gov/help.aspx and a 
handbook can be found at https://access.trade.gov/help/Handbook%20on%20Electronic%20Filing%20Procedures.pdf.
    \6\ See Temporary Rule Modifying AD/CVD Service Requirements Due 
to COVID-19, 85 FR 17006 (March 26, 2020); see also Temporary Rule 
Modifying AD/CVD Service Requirements Due to COVID19; Extension of 
Effective Period, 85 FR 41363 (July 10, 2020).
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Letters of Appearance and Administrative Protective Order

    Interested parties that wish to participate in the AD and CVD 
segments of these proceedings and be added to the public service list 
for AD and CVD segments of these proceedings must file a letter of 
appearance in accordance with 19 CFR 351.103(d)(1), with one exception: 
The parties publicly identified by CBP in the covered merchandise 
referral (referenced above) are not required to submit a letter of 
appearance, and will be added to the public service list for these 
segments of the proceedings by Commerce.
    Commerce placed an APO on the existing AD and CVD records on 
November 24, 2020,\7\ and established the APO service lists for use in 
these segments. Commerce intends to place the covered merchandise 
referral letter on the records of these proceedings in ACCESS within 
five days of publication of this notice.
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    \7\ See the Administrative Protective Orders, dated November 24, 
2020.
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    Interested parties must submit applications for disclosure under 
the APO in accordance with the procedures outlined in Commerce's 
regulations at 19 CFR 351.305. Those procedures apply to these segments 
of the proceeding, with one exception: APO applicants representing the 
parties that have been identified by CBP as an importer in the covered 
merchandise referral (referenced above) are exempt from the additional 
filing requirements for importers pursuant to 19 CFR 351.305(d).

James Maeder,
Deputy Assistant Secretary for Antidumping and Countervailing Duty 
Operations.
[FR Doc. 2021-03398 Filed 2-18-21; 8:45 am]
BILLING CODE 3510-DS-P