Appliance giant Whirlpool Corp., which builds washing machines at its plant in Clyde, Ohio, lauded a U.S. International Trade Commission decision to impose “global safeguard” restrictions on imported washing machines to stop its South Korean rivals Samsung and LG from flooding the American market with cheap machines.
The commission voted unanimously “that a surge of large residential washer imports from Samsung and LG have seriously injured American manufacturers and workers,” the company said in a statement it released Thursday.
The decision is important to Whirlpool’s factory in Clyde. It is the world’s largest washing machine plant, which makes 20,000 washers a day and employs about 3,000 people.
In testimony to the trade body last month, Jeff M. Fettig, Whirlpool chairman, accused Samsung Electronics Co. Ltd. and LG Electronics Inc. of pursuing a strategy of moving operations around the world to avoid paying U.S. duties.
Samsung and LG were found to have “dumped” washing machines made in Korea and Mexico factories in 2013 and then moved production to Chinese factories, which the International Trade Commission in January found had “dumped” $1.1 billion worth of machines, hurting Whirlpool and other U.S. producers of residential washing machines.
"The ITC vote is an important win for American manufacturers and American workers," Mr. Fettig said. "For the third time since 2013, the ITC has found that Samsung and LG engaged in unlawful conduct by violating U.S. trade laws. This vote sets the stage for the administration to put in place an effective remedy to create a level playing field for American workers and manufacturers.”
Representatives from LG did not return telephone calls and emails seeking comment.
Samsung released its own statement: “We are disappointed with the International Trade Commission’s decision to find injury. Restrictions on imports of Samsung washing machines will negatively affect American consumers by limiting choices, raising prices, and offering less innovative washing machines.
“We believe that safeguard remedies should not discriminate in favor of one group of U.S.-based workers over another and should not negatively impact a fair appliance marketplace for consumers.”
Whirlpool, based in Benton Harbor, Mich., asked the commission to make the decision to stop what it calls unfair dumping of cheaper washers.
Contact Ignazio Messina at: imessina@theblade.com, 419-724-6171, or on Twitter @IgnazioMessina.
First Published October 5, 2017, 8:31 p.m.