WASHINGTON, D.C. – Following the International Trade Commission’s (ITC) final determination that China injured the U.S. tire industry by unfairly subsidizing tire prices, U.S. Sen. Sherrod Brown (D-OH) issued the following statement:
“Today’s decision shows our steelworkers – like those at Cooper Tire in Findlay – that the U.S. government will take action when other countries don’t play by the rules,” said Brown. “When countries like China subsidize their tires to gain an unfair advantage over the U.S., American workers pay the price. But when we have a level playing field, our workers can compete against anyone.”
Brown testified at the ITC in June in support of the United Steelworkers (USW), including 1,000 members of USW Local 207L who work at Cooper Tire in Findlay. In June 2014, Brown urged the Department of Commerce to take up the case after the USW filed its petition asking that antidumping (AD) and countervailing duties (CVD) be levied against passenger vehicle and light truck (PVLT) tires from China. A month later, the Department of Commerce agreed to investigate the case, and the ITC determined that there was a reasonable indication that imports of passenger vehicle and light truck tires from China posed a threat of injury to the U.S.
Following efforts by Brown, the Administration imposed tariffs on Chinese PVLT between 2009 and 2011. This action was in response to a surge in Chinese PVLT imports to the U.S. market. But these tariffs expired in September 2012, and U.S. jobs were again at risk. While Chinese tire imports now account for 18 percent of the U.S. market – more than double their share in 2011 – the domestic industry’s share dropped to 40 percent.
Brown’s Leveling the Playing Field Act, which was signed into law last month, will restore strength to antidumping (AD) and countervailing duty (CVD) statutes that allow businesses and workers in the United States to petition the Commerce Department and the International Trade Commission (ITC) when foreign producers sell goods in the U.S. below market price or receive illegal subsidies.