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Technology Stocks : Micron Only Forum
MU 258.46-2.0%3:59 PM EST

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To: Chris McConnel who wrote (31603)4/1/1998 5:20:00 PM
From: DJBEINO  Read Replies (2) of 53903
 
ITC Renders Final Ruling In SRAM Anti-Dumping Case
(4:15 p.m. EST, 4/1/98)
By Jack Robertson

Two U.S. fabless SRAM producers, Alliance Semiconductor Co. and Integrated Silicon Solution Inc. (ISSI), were included with Taiwan chip makers hit Wednesday with dumping duties as a result of a negative decision by the U.S. International Trade Commission (ITC).

In a final ruling, the ITC decided Wednesday in Washington, D.C., that the SRAM shipments from Taiwan had injured U.S. SRAM manufacturers, Micron Technology Inc., Boise, Idaho, Cypress Semiconductor Corp., San Jose, and Integrated Device Technology Inc. (IDT), Santa Clara, Calif. Both Alliance and ISSI use Taiwan foundries.

In the same case, however, the ITC also ruled that LG Semicon Co. and Hyundai Electronics Co., both of South Korea, didn't injure the U.S. industry with their negligible SRAM shipments to this country. Consequently, neither chip maker will be forced to pay dumping duties assessed by the Commerce Department. Samsung Electronics Co., the largest SRAM exporter to the U.S. by far, earlier was dropped from the case.

Beginning Wednesday, Alliance Semiconductor must pay a 50.58% penalty duty on the SRAMs that it brings back into the U.S. and ISSI will pay a 7.59% penalty on its SRAMs coming to the country. Taiwan's Winbond Electronics Co. must pay a penalty of 102.88% and United Microelectronics Corp., also of Taiwan, will pay a 93.87% penalty. Three other Taiwan firms -- TI-Acer, Advanced Microelectronics and Best Integrated Technology -- face 113.85% penalty SRAM duties, although each of the firms have claimed they don't make the devices.

The ITC decision absolving the Koreans was a unanimous 3-0 vote, but the commissioners split 1-to-1 with one abstention on the vote concerning Taiwan. The ITC said Taiwan firms and the two fabless U.S. SRAM producers shipped $132 million in SRAMs to this country in 1997. South Korea, paced overwhelmingly by Samsung, shipped $590 million in SRAMs to the U.S. in 1997.

Alliance, ISSI and the Fabless Semiconductor Association previously had warned that dumping duties against the U.S. firms using Taiwan foundries could severely impact the fast-growing fabless sector of the chip industry. In the hours after the ITC decision, none of the U.S. firms had formulated a response to the decision. Companies that are subject to final dumping penalties may appeal the decision to the U.S. Court of International Trade in New York City.

techweb.cmp.com
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