US probes alleged dumping of tyres by India, Sri Lanka

The United States International Trade Commission (USITC) has launched anti-dumping investigations into certain category of tyres imported from India and Sri Lanka that, it says, could have a damaging effect on local industry.

''The United States International Trade Commission (USITC) today determined that there is a reasonable indication that a US industry is materially injured by reason of imports of certain new pneumatic off-the-road tires from India that are allegedly sold in the United States at less than fair value and subsidized by the governments of India and Sri Lanka,'' the agency said.

The commission further determined that imports of these products from China are negligible and decided against any investigation into its imports from that country.

USITC said all its six commissioners voted in the affirmative with respect to India and Sri Lanka and determined that imports under these investigations from China are negligible.

The US Department of Commerce will continue to conduct its investigations on imports of these products from India and Sri Lanka, and is expected to determine preliminary countervailing duty on or about 4 April 2016, and decide on preliminary antidumping duty on or about 16 June 2016.

As a result of the Commission's finding of negligibility, the investigations on imports of these products from China will be terminated.

The products under investigation include new pneumatic off-the-road (OTR) tyres that are typically heavy-duty tyres of various types and sizes designed for use principally on vehicles and implements in the agricultural, mining and construction, and other industrial sectors. OTR tyres may be either tube-type or tubeless, radial, or non-radial in construction, and produced for sale in the original equipment and replacement markets, whether or not mounted to wheels or rims; however, only the tyre is covered by the investigative scope, the agency stated.

The agency's report will be available after 28 March 2016, after which it can be accessed on the USITC website.

While Chinese tyres have faced a similar probe in the past, this is for the first time that anti-dumping investigations have been launched into tyres coming to the US from India.