Commerce Keeps Countervailing Duty Order on Vietnamese Passenger, Light Truck Tires
An expedited five-year sunset review found that lifting the 2021 order would likely let Vietnamese subsidies resume, so duties of up to 7.89% stay in place.
The U.S. Department of Commerce's International Trade Administration said in a notice scheduled for publication in the Federal Register on Oct. 5, 2026, that it has completed the first sunset review of the countervailing duty order on passenger vehicle and light truck (PVLT) tires from Vietnam and determined the order should remain in force.
Commerce said revoking the order would likely lead to "continuation or recurrence of countervailable subsidies" for Vietnamese tire producers, according to the notice, filed under case number C-552-829.
The underlying order, which imposes countervailing duties — tariffs meant to offset foreign government subsidies — on PVLT tires from Vietnam, was first published July 19, 2021, Commerce said. Under federal law, Commerce must review such orders every five years to decide whether they are still needed.
Commerce published notice of this first sunset review on June 1, 2026, according to the filing. The United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial Workers union, known as USW, notified Commerce on June 10, 2026, that it intended to participate as an interested party representing the domestic tire industry, and filed a substantive response on July 1, 2026, the notice said.
Neither the government of Vietnam nor any Vietnamese tire producer named in the order filed a response, according to Commerce. Because respondents did not participate, Commerce notified the U.S. International Trade Commission on July 27, 2026, that no adequate response had been received, and proceeded with an expedited 120-day review rather than a full review, the notice said.
In the final results, Commerce set the net countervailable subsidy rates it said would likely apply if the order were revoked: 7.89% for Kumho Tire (Vietnam) Co., Ltd., 6.23% for Sailun (Vietnam) Co., Ltd., and 6.46% for all other Vietnamese producers and exporters, according to the notice. The determination was signed Sept. 29, 2026, by Scot Fullerton, Acting Deputy Assistant Secretary for Antidumping and Countervailing Duty Operations.
The notice addresses only the countervailing duty order; it does not describe any separate antidumping duty action on the same tires.
What it means
For motor carriers, fleet buyers and importers, the existing countervailing duties on passenger vehicle and light truck tires from Vietnam stay in effect rather than expiring, keeping import costs on those tires elevated relative to a scenario in which the order was revoked. Carriers that source replacement tires or tires for new equipment from Vietnamese suppliers should expect no near-term relief from these duties. The rates apply specifically to the named producers, Kumho Tire (Vietnam) and Sailun (Vietnam), plus an all-others rate for any other Vietnamese exporter.
What's next
The order's continuation takes effect on the date of publication in the Federal Register, which Commerce scheduled for Oct. 5, 2026. Under the five-year sunset review cycle described in the notice, the next review of this order would not be expected until roughly five years after this determination. Commerce's Issues and Decision Memorandum, referenced in the notice, is available to registered users through the agency's Antidumping and Countervailing Duty Centralized Electronic Service System for parties seeking the full analysis behind the subsidy-rate findings.
Sources
Notice (public inspection): Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Passenger Vehicle and Light Truck Tires from the Socialist Republic of Vietnam — Federal Register public inspection (International Trade Administration), 2026-10-05