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Appliance makers bemoan trade protectionism

Update Date：2016-1-15 10:39:58 Source：BeiJing Tannet Views：1138

China's washer industry is the "one of the predominant global contributors to the world market but is confronting trade protectionism", he said. "It does not solve the difficulties facing the industry and does nothing to promote healthy development of the home appliances market."

Whirlpool had filed its petition with both the US International Trade Commission and the Commerce Department. Whirlpool makes both top-loading and front-loading washers, and some components for large residential washers, like cabinets, tubs, baskets and drums.

With the advent of advanced technologies that Asian companies use, consumers the world over have been steadily upgrading to higher-end household electrical appliances. Such a trend is inevitable in the washing machine industry too where high-end, large capacity washers have been acknowledged as products for the future, experts said.

But, any anti-dumping duties now on Chinese companies could not only bar access to the US market but jeopardize their growth prospects, they said.

Xu said any anti-dumping duties by the US could encourage other countries to follow suit, sparking a wave of protectionism. From China's perspective, worse things could entail, like Samsung relocating its washing machine factory from Suzhou and LG shifting its Nanjing plant to other countries.

Such a course of events would have implications for the local economy and employment. Samsung and LG currently employ 20,000 workers at the two factories.

To address the situation, the heads of the China Chamber of Commerce for Import and Export of Machinery and Electronic Products, and the Trade Remedy and Investigation Bureau at the Ministry of Commerce, met earlier this month.

Zhou Nan, deputy secretary-general of the household electrical appliances branch of the CCCME, said the domestic industry should proactively mount a pre-emptive collective defense in the US. It should coordinate its resources and gather information from the government departments, associations, manufacturers and retailers to prove that made-in-China washing machines do not harm the US washer industry.

"Such a defense could help end the ongoing anti-dumping investigation as well as other related probes. Even if the US International Trade Commission rules in favour of anti-dumping duties, Chinese companies can appeal against the ruling lawfully to protect their interest," said Zhou.

In 2012, the US slapped duties on Samsung and LG washers made in South Korea and Mexico after Whirlpool accused that their products were much cheaper in the US or benefited from unfair levels of government support.

The article transsshipment from China Daily

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