Fisher and Paykel Appliances said it would appeal an Australian Customs Service decision about washing machines being exported from Korea at below-market prices.
Customs found the goods exported from Korea by Daewoo Electronics and Samsung Electronics Korea were at dumped prices – substantially below normal market value.
It recommended action be taken against the goods these companies exported.
However it cleared LG Electronics of the practice and it said would damage Australian industry if allowed to continue.
Fisher and Paykel said it was disappointed with the decision and would immediately lodge an appeal with the Trade Review Officer.
“The finding that the major exporter, LG, was not dumping is … due to Australian Customs having a different view on the interpretation of the Customs Act and Customs’ own dumping manual,” managing director John Bongard said.
“We argued that LG used two-tier pricing to avoid a finding of dumping, a practice which is prohibited in the Customs dumping manual.”
Two tier pricing is a term used to describe the arrangements whereby an exporter pays different prices for similar inputs depending on whether they are incorporated into production for the domestic market or export, Bongard said.
“We understand that LG buys a major sub assembly from a third party at apparently significantly different prices depending on whether the sub assembly is used in a Korean domestic washing machine or a washing machine exported to Australia,” he said.
From NZOOM