LG Calls Trump’s Washing Machine Tariff “Unjustified”
Following the news that US President Trump will impose a 50% tariff on overseas imported washing machines, LG Electronics USA has expressed its disappointment, labelling the “misguided” decision “unjustified”.
In a statement to Appliance Retailer LG Electronics USA affirms President Trump’s new laws will allow certain companies to thrive, despite their lack of marketplace competitiveness:
“We are very disappointed in this misguided decision, which far exceeds what the expert agency (the US International Trade Commission) recommended”
“This is a textbook case about how certain companies can game the process to use trade laws to try to accomplish what they can’t accomplish in the marketplace”
“Safeguard cases are not about unfair trade. In fact, in this case, there is no unfair trade. This case is not even about domestic versus foreign competition”.
LG’s American division claims the ruling will threaten local American jobs, and harm American based retailers:
“LG is building its US washer manufacturing facility in Clarksville, Tennessee, the most advanced factory in the world. The result of this case hinders the ramp-up of the new plant and threatens many new US jobs. And the result also harms iconic American retailers that depend upon the sale of LG washers”.
Many market commentators agree President Tump’s new trade laws will provide a significant price disadvantage for overseas brands – citing an impact on brands such as Samsung, LG, Whirlpool and Electrolux.
LG Electronics USA affirms consumers should be able to make buying decisions on product performance, with being influenced by “unjustified” trade penalties:
“Consumers should be the ones to decide what washers they want to buy based upon their own preferences, not because of unjustified trade penalties imposed on products by the U.S. government”
“Millions of Americans love their LG washers because of their innovative features, efficiency, styling and connectivity. LG washers are rated highest for reliability, and JD Power and the American Customer Satisfaction Index rank them highest in customer satisfaction”.
“From the beginning, LG opposed the use of the safeguard procedure, and we remain steadfast in our belief that penalties are not justified. LG will explore its options to try to mitigate the effect of this trade decision on American consumers, retailers and the people of Tennessee”.