Shandong Yongsheng withdraws from the US tire double-reverse investigation

It was learned that the US anti-subsidy and anti-dumping mandatory responding enterprise selected by the United States on August 14 and August 27 this year - Shandong Yongsheng Rubber Group Co., Ltd. officially withdrew from the appeal on October 7 and was selected during the same period. The respondent seats of the Jiatong Tire related companies are still retained. On October 8, the United States announced that it would add two Chinese companies to enforce the lawsuit. Among them, Qingdao Racing Wheel tires were selected as anti-dumping mandatory responding enterprises, and another Shandong tire company Cooper Chengshan needed to start countervailing. According to the latest announcement of the “double-reverse” taxation date announced by the United States, Cooper Chengshan’s response time is only one month left.
“The specific reasons for Yongsheng’s withdrawal from the investigation have not been announced, but I believe that the investigation data involved in the US’s “double opposition” is too detailed, complicated, and difficult to respond to.” China Rubber Industry Association Xu Wenying, vice president and secretary general, said.
It is understood that the US "double-reverse" investigation of Chinese passenger cars and light truck tire enterprises began on June 3 this year and was officially opened on July 15. On August 14, the US Department of Commerce selected Shandong Yongsheng Rubber Group Co., Ltd. and Fujian Jiatong Tire Co., Ltd. as the counter-subsidy mandatory responding enterprises. On August 27, it also determined Yongsheng Rubber and Jiatong Tire (including affiliated enterprises). As an anti-dumping mandatory responding company.
On October 7, Yongsheng Tire also withdrew from the countervailing and anti-dumping investigations. Only one day later, the racing tires and Cooper Chengshan tires were selected to join the responding team.
On October 9, the US Department of Commerce’s International Trade Bureau postponed the anti-dumping investigation of Chinese tires, and the initial deadline for the new decision was January 20, 2015.
It is understood that since the "double anti-" news has come out, tire orders from the United States are decreasing, of which Shandong Yongsheng, the largest exporter to the United States, has begun to cut production, and some tire traders have given up the US market. At the same time, in order to circumvent the US “double-reverse” investigation against Chinese tire manufacturers, companies such as racing tires have already transferred some of their production capacity to Vietnam and other places.
"It is expected that rubber prices will fluctuate violently at the two time points of anti-subsidy and anti-dumping taxation, and the entire industrial chain will be reshuffled." Xu Wenying said.