After Trump was elected in 2016, there was a strong tone to protect the domestic manufacturing industry. At that time,

LG and Samsung Electronics’ washing machines were taking over the US market

 

 

Whirlpool protested to the US government to impose a 50% tariff on Samsung LG washing machines for 3 years. At that time,

the Korean government and Korean companies protested, but the US ITC International Trade Commission instructed that the 50%

tariff was a bit much and instead agreed to a quota system of 1.2 million units per year.

 

 

When the safeguard emergency import restriction measure was announced on February 7,

2018, exports immediately decreased by 45% compared to the same period last year. At that time, Samsung and LG held out by operating their US factories,

and the Korean government also started a WTO lawsuit. At that time, Samsung had 1,000 people, LG 600 people,

Whirlpool 200 people, and 1,800 jobs were created, and the US is said to have seen an annual economic effect of 100 billion won.

 

 

But then, a year later, the price of washing machines was falling every year in the US market,

but due to the tariffs, import prices went up, and the production costs of US manufacturers also went up, so the cost passed on to consumers was more than $2 trillion,

which is equivalent to $815,000 per job. Not only did the prices of Samsung and LG washing machines go up,

but the prices of washing machines produced by companies in the US also went up, so the prices of dryers, which are not subject to tariffs, also went up.

Consumers started buying less washing machines, but Whirlpool held back so much and couldn’t beat Samsung and LG.

Manufacturing jobs were created in the US, but in the end, only consumers were harmed by the increased prices…

It seems like the same thing will happen again this time…. How should we prepare for it? !!??