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From The ‘It’s About Time Category’ & A Victory For The American Worker: The U.S. International Trade Commission Slaps Duties On Washing Machines Made In China

Published Monday, January 16, 2017

(WASHINGTON, D.C.) - U.S. regulators have upheld hefty tariffs on Samsung and LG brand residential washing machines that are manufactured in China, saying these products were sold below cost, harming American appliance makers and the Workers they employ, including the Whirlpool Corporation.

Earlier this month, the U.S. International Trade Commission voted unanimously to impose final duties on the products of up to 52.5% following a Commerce Department probe last year.

The decision locks the duties in place for five years, but Samsung Electronics Company Limited and LG Electronics Incorporated have largely shifted production for the U.S. market away from China to Thailand and Vietnam.

The ruling is the latest in a long-running tariff battle between Whirlpool and its South Korean archrivals.  

In 2012, a previous probe by the U.S. Commerce Department found that Samsung and LG washers made in South Korea and Mexico were sold below production costs in the United States or benefited from unfair subsidies

The South Korean companies subsequently shifted production for the U.S. market to China.

In testimony before the Trade Commission, lawyers for LG and Samsung said that the companies were now producing washers for the U.S. market in Thailand and Vietnam.

In the case of Samsung, that production began in June 2016, about a month before the U.S. Commerce Department issued preliminary anti-dumping duties against Chinese-made LG and Samsung washers.

 “This is a ‘gratifying win’ for American manufacturing, particularly our more than three-thousand Employees at our factory in Clyde, Ohio, who make clothes washers for American consumers,” Whirlpool Chairman and CEO Jeff Fettig said.

The Commerce Department probe last year stemmed from a petition by the Whirlpool Corporation over imports of washers manufactured by LG and Samsung in China.

In 2015, imports of such washers from China were valued at an estimated $1.1 billion.

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