Whirlpool made it and with it the other American companies that produce household appliances in America; after a series of lawsuits launched in 2011 against Samsung and LG, accused of selling front-loading washing machines on the American market at significantly lower prices than the market, as they are manufactured in Asian countries where labor costs are extremely low, on Friday 6 October, it obtained the definitive ruling from the body in charge of the investigation, the USTC, the USInternational Trade Commission. The Commission once again acknowledged Whirlpool's case. It's true: it is once again - it is declared - dumping concerning growing and high quantities of equipment which have literally "destroyed" market prices. In November, the measures intended to compensate all or part of the damages created by this form of unfair competition will be announced, which - let us remind you - is not the first time that it has occurred to the detriment of non-Asian competitors.
It appears that price increases and/or quota reductions for the import and sale of Samsung and LG washing machines or other sanctions will be imposed. "This decision was very important for us - commented the president Jeff Fettig - but not only for us, also for all American producers and for American workers". How have the Koreans reacted over the five years that have seen various rulings by the Commission on the existence or otherwise of dumping? Since the prices had really been judged to be far below the average due to the "rock bottom" costs of Chinese labor, the Koreans had transferred the production of front-loading washing machines first to Vietnam then to Thailand and so on. And each time the lawsuit was restarted, the costs and prices were calculated and each time the dumping was judged to be real. It was objected by Korean companies that their machines were innovative, that this had determined the avalanche of orders and sales and that this is the market…
And both LG and Samsung have rushed to build appliance factories in Tennessee and South Carolina, in an attempt - comments journalist Alan Wolf of Twice - to make the Commission's ruling superfluous. Evidently the Commission's experts did not share the defensive thesis, as indeed happened in Europe in the 90s when the European Commission imposed substantial increases in sales prices. And subsequently the two chaebol quickly learned the lesson - in Europe - thanks also to the non-Korean management who gradually entered the European structures - previously impenetrable - and now their appliances often have above-average prices and remarkable innovative contents. What didn't happen in America. An unsolved problem remains on the table: XNUMX% of those who go to China, Thailand, Vietnam do so not to sell their products on those markets (as they claim), but to sell at bargain prices, bargain prices and often quality products unworthy.
An unfair competition that weak Europe has not succeeded or has not wanted to oppose. But miracles sometimes happen. After Brexit, England, which has always strongly boycotted any legitimate protection of European industry and workers, can no longer do so. And here Europe finally decides to ask the giants of the web to pay taxes on the immense profits made in Europe thanks to the practically free use of the infrastructural networks paid for by European citizens. Is this or is it not dumping, i.e. unfair competition?
From the blog Paula's house
