The U.S. Department of Commerce (DOC) has completed its share of the investigation of truck and bus tires imported from Thailand, and the final rates are much higher than what the agency announced in its preliminary findings in May.
In the final phase of the investigation, the DOC says tires are being dumped in the U.S. at rates that range between 12.33% and 48.39%.
Throughout the investigation the DOC has studied the metrics of two exporters/producers specifically — Bridgestone Corp. and Prinx Chengshan Tire (Thailand) Co. Ltd. Both tiremakers served as mandatory respondents in the case. That means their data is then used to influence a final dumping rate for other entities shipping tires out of the region, which in this case is Thailand.
The DOC says Bridgestone’s dumping rate is 48.39%, while the rate for Prinx Chengshan is 12.33%.
All other entities will be charged a 12.33% rate.
During the preliminary phase, the DOC levied a 2.35% tariff on Bridgestone’s tires from Thailand, and assessed no tariff against products from Prinx Chengshan.
Industry chatter since the preliminary rates were revealed indicated that the low numbers likely wouldn’t change product flow in the market too much. But a swing to double digits for all entities could change that.
More than 6.6 million medium truck tires were shipped to the U.S. from Thailand in 2023, and the region continues its march as the industry leader — even though the number of imports last year dropped from 10 million tires the year prior. Despite the drop in volume, Thailand shipped more truck tires to the U.S. than the next three top producers — Japan, Vietnam and Canada — combined. (Import numbers are from the MTD Facts Issue.)
What happens next in the tariff case
This tariff investigation is nearing the finish line, but isn’t quite done yet. The DOC’s counterpart, the International Trade Commission (ITC), is still working on its share of the investigation. The ITC’s final decision is due Nov. 25.
During an ITC final hearing on Oct. 15, the lawyer and union representatives from the United Steelworkers (USW) made a final plea for commissioners to vote in favor of imposing tariffs. The USW filed the initial petition seeking tariffs on medium truck tires from Thailand in October 2023.
