By a 5-0 vote, the International Trade Commission decided Aug. 21 to impose anti-dumping import duties on large newspaper presses from Mitsubishi Heavy Industries Ltd., TKS (U.S.A.) Inc., MAN Roland Inc. and KBA-Motter Corp. In a written decision, the commission ruled that the U.S. press-manufacturing industry has been damaged or threatened by imports sold in this country at less than fair market value.
Legal action was started last year by Goss Graphic Systems (then known as Rockwell Graphics Systems) of Westmont, Ill., the only U.S. maker of such presses. Rockwell filed the suit after The Washington Post announced in May 1995 that it was buying eight new presses from Mitsubishi as part of a $250 million upgrade plan.
The U.S. Department of Commerce will now issue a final order imposing anti-dumping duties ranging from 31 to 63 percent. Both presses and press parts are subject to the ruling, regardless of whether or not they are manufactured in the United States.
NAA testified against the Rockwell petition and filed a post-hearing statement urging the ITC not to impose duties. In its statement, NAA expressed concern that the proposed duties would discourage continued innovation by overseas suppliers and restrict the range of products and services essential to the economic well-being of the domestic newspaper industry.
At the hearing and in its statement, NAA said that competition among press manufacturers for improved press design is essential to the welfare of the newspaper industry, because advertisers and readers are demanding more from newspapers: full-color capacity, improved color resolution and a level of tailored content that exceeds the capability of most installed presses.
NAA President and CEO John Sturm issued the following statement: "The U.S. newspaper industry relies on continued innovation and technical improvements in the printing-press market. By imposing the anti-dumping duties, the ITC has artificially tilted the level of competition in favor of the domestic printing-press industry. This could restrict the availability of presses and have a detrimental effect on the quality of future presses marketed to the U.S. newspaper industry.
"Heightened environmental and safety concerns, and the need to reduce the high cost of newsprint, only reinforce the need to maintain a competitive balance in the U.S. market for international press manufacturers. The ITC's decision is highly likely to distort that balance."
The foreign press manufacturers will have until approximately mid-October to appeal the ITC ruling to the Court of International Trade. NAA Director of Legal Affairs René P. Milam told the September meeting of NAA's Technology and Telecommunications Committee that an appeal is likely, since two of the ITC commissioners expressed strong reservations about the decision. An appeal would probably take one-to-two years to resolve, Milam said.
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