US ITC recommends taxing Samsung and LG washing machine products to protect the

The United States International Trade Commission (ITC) on Tuesday proposed to impose heavy taxes on South Korea's Samsung Electronics (005930.KS) and LG Electronics (066570.KS) in case the cheap washing machines from both companies flooded the U.S. market. The move will protect the US home appliance giant Whirlpool (WHR.N).

ITC said a progressive tax rate should be applied to imported large domestic washing machines that exceed the critical level of 1.2 million annually over the next three years, with a progressive tax rate of 50% in the first year and 40% in the third year.

The internal opinions of the committee are not the same whether or not it should be taxed for imported washing machines of less than 1.2 million sets in any one year.

Whirlpool shares rose by the news boost, eventually closing up 2.2%.

U.S. President Trump is expected to make a decision on the proposal early next year.