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  • U.S. ITC Says Japan’s Supercomputer Makers Dumped Products
  • March 10, 1999 (TOKYO) — The U.S. International Trade Commission (ITC) handed down a verdict that Japanese supercomputer manufacturers are likely to hurt the U.S. industry by dumping their supercomputers.
    The ITC verdict effectively ends the entry of Japanese supercomputers into the U.S. market for sale to government agencies.

    The decision follows the U.S. Supreme Court’s rejection, on Feb. 22, of NEC Corp.’s request that the court order the U.S. Commerce Department to halt its investigation into the Japanese manufacturer’s alleged dumping of its SX-4 series supercomputers.

    An SX-4 was sold to the University Corporation for Atmospheric Research (UCAR) by NEC’s U.S. subsidiary, HNSX Supercomputers Inc.

    In August 1997, the Commerce Department decided to impose antidumping duties of 454 percent, resulting in the NSF’s cancellation of its purchase of SX-4 supercomputers.

    In a separate anti-dumping dispute, the U.S. ITC ruled in 1997 that NEC was hurting U.S. industry by dumping its supercomputers. NEC filed a suit against the ITC, seeking a new investigation of its alleged dumping.

    In December, the Court of International Trade ordered the commission to reinvestigate the case. And on March 2, the ITC handed down the “dumping” decision in response to the court’s order.

    With this decision, it has become apparent that any future sales by Japanese makers of their supercomputers to U.S. government agencies will be determined as dumping. NEC said that it regretted that the ITC handed down the dumping decision.

    At the request of the United States, the Japanese government began accepting bids from U.S. supercomputer manufacturers, including Cray Research Inc. (now owned by Silicon Graphics Inc.), when it procures supercomputers.

    On the other hand, the U.S. government has closed the door to Japanese supercomputers after NEC’s claims were rejected by the courts and the ITC.

    Related story: U.S. Court Rejects NEC’s Appeal on Supercomputer Duties

    (BizTech News Dept.)



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