Ruling a major blow to Mercury
KENNESAW, Ga. 2/2/2005 - The International Trade Commission sided with Yamaha and voted Feb. 2, 2005, to reject Brunswick Corporation's dumping claims. The ITC found that there was no basis for Brunswick's claims of injury filed on Jan. 8, 2004, alleging that outboard motors and powerheads from outboard motors from Japan were being dumped into the United States.
Dumping occurs when a foreign company sells a product in the U.S. market at less than the price it charges in its own home market or below fully distributed costs and the dumping causes material injury to the domestic producers of the same product.
The ruling brought a yearlong debate to an end, leaving Yamaha feeling vindicated.
"Yamaha has consistently stated that from the day that Brunswick filed its complaint that there wasn't any dumping," stated Phil Dyskow, President of the Marine Group of Yamaha Motor Corporation, U.S.A. "We appreciate the fact the ITC investigated the facts, listened to our arguments and voted in favor of our position."
Brunswick filed the case last January and a public war of words followed, invoking Genmar Holdings Chairman Irwin Jacobs to join the battle against Brunswick. The Department of Commerce then ruled late last year that Japanese builders, indeed, were guilty of dumping, and it was up to the ITC to determine whether the dumping had caused any damage to domestic builders.
Despite Mercury's claims that the dumping allegations were made to help the industry, insiders say that the ultimate outcome will benefit the industry.
"Net-net, this did not go well for Brunswick," says an industry insider who wished to remain anonymous. "Plus, they pissed off a lot of people in the interim. Did the entire industry just win? It seems like even Mercury's customers and dealers may have won. If you take out Brunswick's personal stake in this, did anyone lose? Are there any negative repercussions?"
"The industry was the winner and the consumers are the winners here," says Jacobs, who voiced, numerous times, and testified to, his opposition to Mercury's allegations. "No question about it. I'm very happy. It really makes you believe in the American system."
"We are grateful to everyone in the marine industry who helped convince the ITC that Yamaha did not violate any dumping laws," said Dyskow, "whether they did so in person or in writing. Their support made all the difference and we extend a special thanks to Irwin Jacobs of Genmar, Bob Deputy of Godfrey, Kris Carroll of Grady-White, Joan Maxwell of Regulator and Scott Deal of Maverick who all took the time from their busy schedules to come to Washington, D.C. on Dec. 16, 2004 to testify on Yamaha's behalf."
"Now we can go back to business as usual," added Dyskow, "and put all of our attention to providing our customers with the best marine experience possible. As always, Yamaha is committed to making sure that our customers receive the best possible motors from us at a price that they can afford."