Washing Machines from Korea: Provisional Measures Summary
[ Last Updated 26 January 2006 ]
Type of Investigation:
Dumping
Description of Goods:
Household fully automatic washing machines with a dry linen capacity not exceeding 10kg, the capacity determined by standard AS/NZS2040.
Country of Origin:
Korea
Investigation "Milestones":
| Date of Initiation: | 12 December 2000 |
| Effective date of imposition of Provisional Measures:* | 4 April 2001 |
| Latest date for release of Essential Facts and Conclusions:** | 11 May 2001 |
| Latest date for final determination by the Minister of Commerce: | 10 June 2001 |
* Provisional measures: (1) If, at any time after 60 days from the date on which an investigation has been initiated by the Secretary under section 10 of this Act (not being an investigation that has been terminated under section 11 of this Act), —
(a) The Minister has reasonable cause to believe, in relation to the importation or intended importation of goods into New Zealand that—
(i) The goods are being dumped or subsidised; and
(ii) By reason thereof material injury to an industry has been or is being caused or is threatened or the establishment of an industry has been or is being materially retarded; and
(b) The Minister is satisfied that action under this section is necessary to prevent material injury being caused during the period of investigation, —
the Minister may, by notice, give a provisional direction that payment of duty in respect of the goods shall be secured in accordance with Part IX of the Customs Act 1966, except that the rate or amount of duty to be secured shall not exceed the difference between the export price of the goods and their normal value, or the amount of the subsidy, as the case may be.
** Notice to parties to investigation—(1) Subject to subsection (2) of this section, within 150 days after the initiation of an investigation under section 10 of this Act, the Secretary shall give to the parties to the investigation referred to in section 9(b) of this Act written advice of the essential facts and conclusions that will likely form the basis for any final determination to be made under section 13 of this Act.
Summary of Provisional Findings:
Background
A dumping investigation into household fully automatic washing machines from Korea was initiated on 12 December 2000. Following a request by the NZ industry the Minister of Commerce has imposed provisional measures effective from 4 April 2001
The provisional measures have been imposed by the Minister to prevent material injury to the New Zealand industry during the remaining period of the investigation. The provisional measures will cease to have effect when the Minister makes his final determination, which must be made no later than 10 June 2001. If final anti-dumping duties are imposed separate instructions will be issued.
Dumping
The investigation to date has found that household fully automatic washing machines imported into New Zealand from Korea have been dumped at provisional weighted average dumping margins of between 42 and 105 percent (expressed as a percentage of the provisional export price)
Material Injury
The investigation to date has found that as a result of the dumping of the subject goods, material injury has been caused to the New Zealand industry in the form of:
- increased import volumes
- price undercutting
- price suppression and price depression
- a decline in sales volume and revenue
- a decline in market share, and
- a consequent decline in profits
Provisional Measures
The purpose of provisional measures is to prevent injury during the remaining period of investigation.
Details of the provisional measures imposed by the Minister are contained within the NZCS Instructions which are available on this site.
Further details of the investigation to this point and of the ministry's consideration of the necessity for provisional measures to prevent injury during the remainder of the investigation are contained in the Provisional Measures Report, which is also available from this site
Investigation Process:
The investigation will now continue, leading up to the release of essential facts and conclusions no later than 11 May 2001
Interested parties will have the opportunity to comment on the the essential facts and conclusions prior to the finalisation of a report and recommendations to the Minister of Commerce regarding the final disposition of this case
The Minister is required to make a final determination no later than 10 June 2001
Further Information:
Any queries or requests for further information should be directed to the review team at the Trade Remedies Group on telephone +64-4-470-2273 (Robin Hill) or +64-4-470-2274 (Sanjay Bhawan) or facsimile +64-4-499 8508. Enquiries by e-mail should be directed to robin.hill@med.govt.nz, or sanjay.bhawan@med.govt.nz.
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