Whirlpool tells U.S. authorities that its rivals could be evading tariffs

The appliance maker Whirlpool is stirring up a new trade dispute, telling the Trump administration that its overseas competitors could be evading hefty tariff bills by undervaluing their imports.

- John Keilman

Its claims are based on federal data generated from import paperwork. Whirlpool said the data shows that the declared customs value of numerous appliances started to plummet in June. A smaller declared value would mean a lower tariff payment.

A Wall Street Journal review of the data shows that garbage disposals from China dropped from an average of $21 over the first five months of the year to $9 in June, and then less than $8 in July. Gas ranges from Thailand more than halved to $175. Washing machines from South Korea sank from $838 to $73.

The retail prices of those appliances, which carry tariff rates ranging from 13% to 60%, haven't shown a corresponding drop, Whirlpool said.

President Trump has made tariffs a keystone of his economic policy, saying they will raise revenue, protect domestic manufacturing and induce foreign companies to build factories in the U.S.

To support that policy, the government has vowed to crack down on trade fraud. In late August, the Justice Department announced a task force that will focus on tariff evasion and smuggling. It has also taken action against U.S. companies that have allegedly run afoul of the rules.

Whirlpool said it has shared its concerns with U.S. Customs and Border Protection and others within the administration but hasn't filed a formal complaint.

"I would expect this administration to address any customs duty evasion quickly and decisively, and send a message to potential future cheaters," said Daniel Calhoun, who is a Whirlpool adviser at Rock Creek Trade. Calhoun was a Commerce Department official during the first Trump administration.