Tire "Double Anti-Country" companies look to countries to take countermeasures
China's tire industry has a pivotal position in the world. At present, China is in a critical period of transition from a large tire country to a strong nation. For this reason, from 2007 "dual" for off-road tires, in 2009 for passenger cars and light truck tires "safeguard" to the current passenger car and light truck tires for "dual", United States The intention of the Chinese tire industry to press harder and block all directions has been clearly revealed.
On June 3, 2014, the American Iron and Steel Workers Federation launched an anti-dumping and countervailing investigation on the tires of American-made passenger cars and light trucks. On January 21, 2015, the US Department of Commerce announced the preliminary results of anti-dumping. The preliminary tax rate was as high as 30.46% to 100.02%. Except for a few enterprises, most tire companies in China were ruled up to a tax rate of 100.02%. This is tantamount to Closed the door to the U.S. market.
China is a big country in the rubber industry in the world and also the world’s largest tire producer and exporter. The annual export volume of automobile tires (excluding non-road tires) exceeds 5 million tons and the export value is 14.5 billion US dollars. Among them, the United States is the largest market for tire exports in China, accounting for 30% of total exports.
Affected by the "double reverse" case of US tires, in the past six months, the inventory of tire companies in China has surged. The operating rate has dropped steeply from 90% before the case to about 55%. The tires and upstream and downstream companies are facing tremendous pressure in their production and operations. There are more than 200 tire enterprises involved in this case, and the amount involved in the case amounted to 3.37 billion US dollars. The bankruptcy of companies involved recently may further trigger a chain reaction. The employment of 350,000 tire industry workers in China is worrying. In addition, as the tire industry is a leader in the rubber industry, its operating conditions also directly affect many supporting industries in the upstream and downstream industries. It is conservatively estimated that the livelihoods of more than one million industrial workers in the upper and lower reaches will be affected. This serious situation must arouse the country’s attention.
Tire "Double Anti-Country" companies look to countries to take countermeasures
As a matter of fact, the preliminary anti-dumping lawsuit of US tires violated the relevant provisions of the WTO's Anti-Dumping Agreement. The United States and other Western countries have used China as a "non-market economy country" as an excuse to carry out "respective taxation test" and "respective test respectively" on China. If the country does not respond to the United States in a timely manner, the United States will probably crack down on the Chinese tire industry in other industries, and it will produce extremely bad demonstration effects worldwide. U.S. unfair treatment of China's state-owned enterprises will also have a domino effect.
At the same time, it is extremely unfair to file and investigate the "double reverse" in the United States. The applicant for this case was the American Iron and Steel Workers’ Union. No US domestic tire company joined the complaint against China’s tire “double reverse†case, indicating that US tire companies do not believe that they suffered damage or damage from imported Chinese tires; this time “ "Double anti-" was initiated in the history of the highest profits of the US tire industry (profit from 2011 to 2013 was $ 3.88 billion), indicating that China's export of tires did not affect the profits of U.S. producers. US imports show that the number of tyres imported from other countries is much higher than that imported from China. In 2013 alone, the number of tires imported from other countries was 2.3 times that of China. This shows that American tire manufacturers have not been affected by Chinese tires exported to the United States.
In response to the current situation, it is recommended that the Ministry of Commerce of the People's Republic of China should communicate effectively with the US Department of Commerce before the final decision is made by the US International Trade Commission on July 10, 2015, and strive for a final result with better results. The government’s attitude and consultation efforts have played an important role in the final outcome of this “double reverse†case. Our government can even take the necessary strong countermeasures against the United States, forcing it to eventually change its preliminary findings.
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