WASHINGTON D.C. – The U.S. International Trade Commission (ITC) will proceed with an investigation into the pricing strategies of Japanese engine manufacturers, the ITC said in a statement this morning.
"The U.S. International Trade Commission has made an affirmative determination in its preliminary phase antidumping investigation concerning Outboard Engines from Japan," a bulletin posted to the ITC Web site said.
The trade panel voted 6-0 that there was a reasonable indication that imports from Japan were harming the U.S. outboard engine industry, Reuters reported today.
The investigation began in January, when Mercury Marine submitted a petition alleging that foreign engine builders were selling product in the U.S. market at less than the price they charged in their own home market or below fully distributed costs, also known as "dumping." Mercury has also alleged that the dumping has caused material injury to the domestic producers of the product into the U.S. market.
Yamaha not surprised
The Yamaha Marine Group quickly issued a response to the decision today, saying, in part, "Because the threshold for this determination is very low, Yamaha was not surprised. Indeed, it is very unusual for the ITC not to continue an investigation at this stage."
Phil Dyskow, Yamaha Marine Group president commented further.
"This early decision simply reflects the low threshold imposed on the ITC for continuing the case, not the realities of the marketplace," Dyskow said. "Mercury’s problems were created by Mercury, not by Yamaha or other Japanese producers. Its attempt to get the U.S. Government to protect it from competition will do nothing to address these problems. We believe that the full investigation, as disruptive as it may be for the entire marine industry, will not support Mercury’s allegations."
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