Background: The Antidumping and Countervailing Duty Orders on Steel Wheels
In 2019, the U.S. Department of Commerce imposed antidumping and countervailing duty orders on steel wheels imported from the People's Republic of China. These steel wheels, specifically those with diameters ranging from 12 inches to 16.5 inches, are used primarily for road trailers and other towable equipment like cargo trailers, boat trailers, and recreational trailers. The orders were intended to address concerns that Chinese manufacturers were selling these wheels at unfairly low prices in the U.S. market (a practice known as dumping) and benefiting from subsidies provided by the Chinese government (known as countervailable subsidies), both of which could harm U.S. manufacturers.
On August 1, 2024, the International Trade Commission initiated the first sunset reviews of these orders, in accordance with the Tariff Act of 1930. The review process was designed to assess whether revoking the duties would likely lead to the recurrence of dumping, countervailable subsidies, or material injury to the U.S. industry.
The Continuation of the Orders: Ensuring Fair Competition
Following the sunset reviews, both the U.S. Department of Commerce and the ITC concluded that revoking these orders would result in the continuation or recurrence of dumping and countervailable subsidies. This would, in turn, cause material injury to U.S. manufacturers. As a result, the antidumping and countervailing duty orders will remain in place, continuing to protect U.S. industry from unfair trade practices that could undermine domestic manufacturing.
What’s Covered by the Orders?
The scope of these orders includes certain steel wheels, discs, and rims with a nominal wheel diameter of 12 inches to 16.5 inches, designed for use in various types of trailers and towable equipment. These products are typically manufactured for use with tubeless tires, although they are covered by the orders whether or not they are finished, coated, or assembled.
These steel wheels are primarily used for trailers, including utility trailers, cargo trailers, horse trailers, and recreational trailers. The orders cover wheels of different widths (e.g., 4 inches, 5 inches, 6 inches) and configurations (such as hub-piloted or stud-piloted mounting types), as well as those that are unassembled or imported as parts. Additionally, steel wheels that are further processed in a third country, including painting or welding, still fall under the scope of the orders if they originate from China.
Key Exclusions from the Orders
The orders do not apply to:
• Steel wheels for tube-type tires, which use multi-piece rims that require an inner tube.
• Aluminum wheels.
• Chrome-coated steel wheels produced via a chromium electroplating process.
• **Steel wheels that do not meet U.S. National Highway Traffic Safety Administration standards.
• Certain steel wheels with larger specifications, including those with a rim width of 8 inches or more.
The Orders in Action: Ongoing Duty Collection
With the continuation of these orders, U.S. Customs and Border Protection will continue to collect antidumping and countervailing duty cash deposits on Chinese steel wheel imports at the rates in effect at the time of entry. These duties ensure that U.S. manufacturers face fair competition in the market, free from the adverse effects of dumped or subsidized imports.
Looking Ahead: Future Reviews
The next five-year reviews of these orders are scheduled to begin 30 days before the fifth anniversary of the ITC’s most recent determination, ensuring that the protective measures remain relevant and effective in preventing unfair trade practices in the future.
Key Takeaways:
• The U.S. Department of Commerce and the International Trade Commission have confirmed the continuation of antidumping and countervailing duty orders on steel wheels from China, effective March 13, 2025.
• The orders cover certain steel wheels with diameters ranging from 12 inches to 16.5 inches, primarily used for trailers and towable equipment.
• Sunset reviews were conducted to assess whether revoking these orders would harm U.S. manufacturers, leading to the conclusion that their continuation is necessary to prevent unfair trade.
• The orders ensure that U.S. manufacturers are protected from dumping and countervailable subsidies that could harm the U.S. steel industry.
• Exclusions from the orders include aluminum wheels, chrome-coated steel wheels, and steel wheels for tube-type tires.
• U.S. Customs will continue to collect duties at the rates in effect at the time of entry for all imports of the subject merchandise from China.
• The next five-year review of these orders is scheduled to begin 30 days prior to the fifth anniversary of the ITC’s determination.
This notice was published by the International Trade Administration on March 26, 2025, in the Federal Register. For further information, contact Kate Fracke, AD/CVD Operations, U.S. Department of Commerce at (202) 482-3299.
