DOC Levels 22.52% Duty on Japanese Engines

Friday, August 06, 2004
The U.S. Department of Commerce (DOC) has issued a preliminary determination of "dumping" by Japanese outboard engine manufacturers, and has ordered a 22.52 percent import bond be posted for each Japanese engine brought into the United States, according to a press release being distributed by Mercury Marine. The DOC's ruling follows an investigation launched earlier this year after U.S.-based Mercury Marine filed a petition with the DOC and the U.S. International Trade Commission (ITC).

"We are pleased the Commerce Department's investigation has confirmed Mercury's contention that Japanese outboard engine makers have been violating U.S. anti-dumping laws by engaging in unfair pricing practices during the past several years. We believe these actions have significantly harmed the domestic outboard engine industry," said Patrick C. Mackey, president of Mercury Marine.

"This was not an action undertaken lightly," Mackey continued. "Even though engines Mercury imports from Japan will be subject to the duty, we believed it was our responsibility - to our shareholders, our employees and the U.S. marine engine industry - to follow this course. What we seek is a level playing field upon which all outboard engine manufacturers sell at 'fair value,' competing solely on the basis of their products' features, appeal, price and value. As other industries have seen, by deliberately undercutting pricing to create an artificial advantage in the marketplace, these Japanese companies did not follow U.S. law. Our hope is that these findings will ensure that everyone competes on an equal footing in the marketplace going forward."

During the ITC's preliminary investigation, Mercury Marine presented evidence that Japanese underselling had resulted in rapidly increasing market share by those companies, and that American companies had been materially harmed. Additional evidence illustrated that Japanese underselling had suppressed domestic prices, and that price undercutting by Japanese engine companies had been especially aggressive with large boat builders and boat dealers, who account for a significant portion of engine sales.

The DOC's order will take effect upon its filing and publication in the Federal Register, which is expected to take place in about a week. The DOC will make a final determination on the duties imposed in the coming months. After that, the ITC will announce its final findings regarding the extent to which illegal pricing practices by Japanese companies have harmed Mercury and other companies that manufacture outboard engines in the U.S.

Maritime Reporter July 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Contracts

GE Gas Turbines to Power US Navy’s New Destroyers

The U.S. Navy’s new DDG 121 and DDG 122 Arleigh Burke-class destroyers will be powered by eight LM2500 marine gas turbines supplied by GE Marine, who also received

Tanker Retrofitted with Dual Fuel Engine

Caterpillar Marine informs it has begin a dual fuel engine retrofit conversion onboard the 472-foot Fure West tanker, owned by Furetank Rederi A/B. The MaK M 43

Diana Charters Containership to Maersk

Container shipping company Diana Containerships Inc. announced that, through a separate wholly-owned subsidiary, it entered into a time charter contract with Maersk

Legal

Harper Government Invests in Naufrage Harbor

The Honorable Gail Shea, Minister of Fisheries and Oceans, announced today an investment to improve safety and working conditions for fishermen at Naufrage Harbor, Prince Edward Island.

Ondimar Firms Order Suezmax Quartet at Navantia

Navantia and Maritime Transport Ondimar LDA (shipping company Ibaizabal Group) today ratified the contracts signed in late June and the financial structure for

Contship Italia Signs Iran MoU

Contship Italia Spa, also on behalf of Eurogate GmbH & Co. KGaA, KG, recently signed a strategic Memorandum of Understanding (M.O.U.) with Sina Port & Marine Company (SPMCO),

 
 
Maritime Careers / Shipboard Positions Maritime Standards Naval Architecture Navigation Pod Propulsion Port Authority Salvage Ship Electronics Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1842 sec (5 req/sec)