Unions, Manufacturer
Win China Trade Dispute
July/August 2004 IBEW Journal
One year after the IBEW, IUE-CWA
and a small domestic TV manufacturer went up against China
in a dispute over unfair trade, the U.S. International Trade
Commission (ITC) has ruled in the unions favor. The ITC held
that U.S. workers and manufacturers were hurt by the import
of TVs that are "dumped"sold below the cost of
productionon the domestic market.
The
action supports a prior finding by the U.S. Department of
Commerce in favor of anti-dumping duties of up to 78 percent
on more than $276 million worth of 21-inch screen and larger
color televisions from China. The ITCs approval was needed
before the duties could be imposed. The vote jump-starts the
collection of anti-dumping duties averaging 23 percent on
the TV imports. (See "IBEW
Continues Fight for U. S. Television Makers," IBEW Journal,
June 2004, pgs 16-17).
Edwin D. Hill, IBEW International President,
expressed his approval of the decision. "For once, we
have scored a victory for the working people who have lost
so much to unfair trade throughout the world," he said.
"The imposition of these duties is the fair and right
thing to do for the U.S. industry and its workers."
Wal-Mart intends to appeal the ITC ruling.
A Chinese producer, Konka, plans to appeal the decision to
the U.S. International Trade Court.
TCL, Chinas second largest TV manufacturer,
currently merging with Thomson Inc., arrogantly responded
to the Commerce ruling in a statement to the Standard, a Chinese
business newspaper. The company said that it would not be
affected by the TV ruling because it can simply shift production
to countries such as Vietnam to circumvent the duties.
China Daily featured an opinion article
criticizing Chinese TV makers for the unfavorable decision
by the ITC. The writers said that TV makers should have worked
harder to win a better outcome and should have "foreseen
the result, given the current climate in the United States."
The article advises producers to compete in high-end products
[big screen TVs] to "walk out of the anti-dumping shadow"
and to build joint ventures abroad, particularly in Mexico
"whose products are immune from U.S. anti-dumping charges."
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