Walk-Behind Lawn Mowers: New AD/CVD Investigations Deadlines & Scope
The Commerce Department issued notices in the Federal Register on its recently initiated antidumping duty investigations on walk-behind lawn mowers from China and Vietnam (A-570-129, A-552-830), and its countervailing duty investigation on the same product from China (C-570-130). The CV duty investigation covers entries Jan. 1, 2019, through Dec. 31, 2019. The AD duty investigations cover entries Oct. 1, 2019, through March 31, 2020.
The International Trade Commission will conduct a concurrent investigation to determine whether imports of dumped and illegally subsidized walk-behind lawn mowers are injuring U.S. industry. If the ITC finds no injury in its preliminary injury determination, due July 10, the investigations will immediately end. If Commerce finds dumping or illegal subsidization in the preliminary determinations of these investigations, currently due in August for CV duties and November for AD duties, it will set AD and/or CV duty cash deposit requirements for imports of merchandise subject to the investigation. If both Commerce and the ITC reach affirmative final determinations, Commerce will issue orders making duties permanent and beginning a process of annual administrative reviews to set final assessments of AD/CV duties on importers and potentially change AD/CV duty cash deposit rates.
If duties are imposed, Chinese and Vietnamese producers and exporters who do not demonstrate independence from government control and request eligibility for a “separate rate” will be assigned the antidumping duty “China-wide rate” or “Vietnam-wide rate,” respectively, which can reach more than 200 percent for some products. Separate rate applications from Chinese and Vietnamese producers and exporters will be available (here), and are due on or about July 22.
AD/CVD Respondent Selection
Commerce said it will pick respondents to its CV investigation on China based on CBP import data. For its AD duty investigations on China and Vietnam, Commerce will send quantity and value questionnaires to each potential respondent, and will base respondent selection on the responses it receives. Chinese and Vietnamese exporters that don't get a quantity and value questionnaire can still submit one. Quantity and value questionnaires will be posted on the Commerce website. Responses are due July 1.
Scope of the AD/CVD Investigations
The merchandise covered by these investigations consists of certain rotary walk-behind lawn mowers, which are grass-cutting machines that are powered by internal combustion engines. The scope of these investigations covers certain walk-behind lawn mowers, whether self-propelled or non-self-propelled, whether finished or unfinished, whether assembled or unassembled, and whether containing any additional features that provide for functions in addition to mowing.
Walk-behind lawn mowers within the scope of these investigations are only those powered by an internal combustion engine with a power rating of less than 3.7 kilowatts. These internal combustion engines are typically spark ignition, single or multiple cylinder, air cooled, internal combustion engines with vertical power take off shafts with a maximum displacement of 196cc. Walk-behind lawn mowers covered by this scope typically must be certified and comply with the Consumer Products Safety Commission Safety Standard For Walk-Behind Power Lawn Mowers under the 16 CFR part 1205. However, lawn mowers that meet the physical descriptions above, but are not certified under 16 CFR part 1205 remain subject to the scope of these proceedings.
The internal combustion engines of the lawn mowers covered by this scope typically must comply with and be certified under Environmental Protection Agency air pollution controls title 40, chapter I, subchapter U, part 1054 of the Code of Federal Regulations standards for small non-road spark-ignition engines and equipment. However, lawn mowers that meet the physical descriptions above but that do not have engines certified under 40 CFR part 1054 or other parts of subchapter U remain subject to the scope of these proceedings.
For purposes of these investigations, an unfinished and/or unassembled lawn mower means at a minimum, a sub-assembly comprised of an engine and a cutting deck shell attached to one another. A cutting deck shell is the portion of the lawn mower -- typically of aluminum or steel -- that houses and protects a user from a rotating blade. Importation of the subassembly whether or not accompanied by, or attached to, additional components such as a handle, blade(s), grass catching bag, or wheel(s) constitute an unfinished lawn mower for purposes of these investigations. The inclusion in a third country of any components other than the mower sub-assembly does not remove the lawn mower from the scope. A lawn mower is within the scope of these investigations regardless of the origin of its engine.
The lawn mowers subject to these investigations are typically at subheading: 8433.11.0050. Lawn mowers subject to these investigations may also enter under Harmonized Tariff Schedule of the United States (HTSUS) subheadings 8407.90.1010 and 8433.90.1090. The HTSUS subheadings are provided for convenience and customs purposes only, and the written description of the merchandise under investigation is dispositive.
Comments on the scope of these investigations are due by July 6.
Investigations Timetable
Event | CV Duty | AD Duty |
---|---|---|
Petitions filed | 05/26/20 | 05/26/20 |
DOC initiation date | 06/15/20 | 06/15/20 |
ITC prelim determinations* | 07/10/20 | 07/10/20 |
DOC prelim determinations† | 08/19/20 | 11/02/20 |
DOC final determinations† | 11/02/20 | 01/19/21 |
ITC final determinations‡ | 12/17/20 | 03/05/21 |
Issuance of orders+ | 12/24/21 | 03/12/21 |
*If the ITC makes a negative determination of injury, the investigations are terminated.
†These deadlines may be extended under the governing statute.
‡This will take place only in the event of Commerce Department final affirmative determinations.
+This will take place only in the event of Commerce and ITC final affirmative determinations.
The Commerce Department fact sheet on the initiation of these investigations is here. See 2005270029 for a summary of the petition requesting these investigations.
(Federal Register 06/22/20)