Commerce Department Continues Subsidy Protection for US Chassis Industry


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Washington, D.C., July 29, 2026 – The U.S. Department of Commerce has announced its decision regarding certain chassis and their subassemblies from China. The decision is part of the expedited first sunset review of a countervailing duty order.

Background:

On April 1, 2026, the Department of Commerce started the first sunset review of the countervailing duty order issued on May 10, 2021. The order concerns the import of certain chassis and their subassemblies from the People’s Republic of China.

Process:

The review was prompted by the coalition of American Chassis Manufacturers. This group includes the Cheetah Chassis Corporation, Stoughton Trailer LLC, Pratt Intermodal Chassis, and Pratt Industries. These parties expressed their intent to continue the order because they believe it helps protect U.S. businesses.

Lack of Response:

Although the American manufacturers made their case, the Chinese government and other interested parties from China did not respond. Their lack of response was noted by the Department of Commerce.

Expedited Review:

Given the absence of response from China, the Department of Commerce proceeded with an expedited review, taking only 120 days to reach a decision.

Results:

The review results confirmed that revocation of the order could lead to continued or renewed subsidies on Chinese chassis. The Department of Commerce determined a subsidy rate of 44.32% for Chinese companies involved.

Implications for U.S. Chassis Manufacturers:

This decision means that countervailing duties will continue, ensuring that Chinese manufacturers do not have an unfair advantage due to subsidies. These duties serve as a protective measure for U.S. businesses.

Administrative Measures:

Parties to this review are reminded that they must return or destroy proprietary information shared under the administrative protective order. This is in accordance with U.S. regulations and compliance requirements.

Conclusion:

The continuation of the countervailing duty order shows the Department of Commerce’s commitment to maintaining fair competition for U.S. manufacturers. This ensures a level playing field for domestic producers of chassis and their subassemblies. The decision reflects the Department’s dedication to enforcing trade laws effectively.

Contact Information:

For further details, stakeholders can contact Mary Kolberg at the Department of Commerce, using the telephone number provided in the official release.


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