WASHINGTON, D.C. – U.S. Sen. Sherrod Brown (D-OH) today testified before the International Trade Commission (ITC) in support of the United Steelworkers (USW). The ITC will determine whether or not China has unfairly subsidized its tires to give them an unfair advantage in the U.S. market.
“American workers can compete with anyone in the world – but when countries like China subsidize tires to gain an unfair advantage, it stacks the deck against American workers,” said Brown. “Workers in Ohio and across the country continue to feel the negative effects of unfair trade. I’m hopeful the International Trade Commission will find today’s testimony compelling, and issue a positive determination that will show our workers that their government is committed to cracking down on unfair trade.”
In June, 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. In July, 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. The Commerce Department made its preliminary determinations in November and January, and must issue the final determination by this Friday. The ITC must issue its final determination in July.
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 are 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 introduced the Leveling the Playing Field Act in March – legislation that would 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. The bill passed in the Senate as part of the U.S. Customs and Border Protection reauthorization.