UPDATE: U.S. Department of Commerce Anti-dumping Ruling Supports U.S. Manufacturers
Today, a key anti-dumping decision by the U.S. Department of Commerce (DOC) provides strong support for U.S. manufacturers, ruling that foreign competitors are dumping products into the U.S. market. The DOC's affirmative preliminary determination in the anti-dumping investigation of large residential washers from South Korea and Mexico is in response to a petition filed by Whirlpool Corporation (NYSE: WHR) in December 2011 to protect its 22,000 U.S. employees, the communities in which they work and U.S. consumers.
"The Commerce Department's preliminary finding shows that dumping is occurring, which supports the legal action we took on behalf of our employees and the U.S. appliance industry," said Whirlpool Corporation spokesperson Kristine Vernier. "Whirlpool is committed to building products in the regions where they are sold and investing in our U.S. manufacturing presence. Our investments will continue as long as we can compete on a level playing field, with all of our foreign competitors playing by the established rules."
As a result of today's ruling, foreign competitors, including Samsung and LG, will be required to pay cash deposits on washers imported to the U.S. starting in August 2012 at the rates found in the preliminary determination. The DOC announced cash deposit rates for Korean producers LG, Samsung, and Daewoo of 12.15 percent, 9.62 percent, and 79.11 percent, respectively. Cash deposit rates for Mexican producers Electrolux and Samsung are 33.30 percent and 72.41 percent, respectively.
The DOC also announced a 72.41 percent cash deposit rate for Whirlpool Corporation's Mexican operations; however, the company has discontinued shipping washers from Mexico for sale in the U.S. Therefore, Whirlpool will not pay cash deposits related to this ruling. As part of the company's strategic commitment to invest in U.S. manufacturing to supply the U.S. market, Whirlpool Corporation has made significant investments at its Clyde, Ohio, plant where it manufactures large residential washers. As a result of these investments, by 2013 nearly 100 percent of the washers Whirlpool sells in the U.S. will be manufactured in the U.S.
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