TECHNOLOGY : Ruling on Imported Computer Screens Seen as Interim Victory

A federal judge’s ruling on imported portable computer screens has been hailed as an interim victory for manufacturers of portable computers in the United States, including Toshiba America in Irvine.

The judge in Washington sided with computer makers, who had complained in an appeal that tariffs on high-quality color screens imposed by the Commerce Department in 1991 would drive up the retail prices of portable computers.

Toshiba America officials refused comment on the ruling.

U.S. makers of the screens had argued that foreigners were dumping the screens, or selling them below market prices in the United States to drive out competition.

The judge sent the ruling back to the International Trade Commission, saying the federal agency had misread the law when it imposed the tariffs. Meanwhile, the 62.7% duties will remain in place.

The manufacturers also complained that the tariffs would force manufacturing offshore since the duties applied only to screens that were shipped to the United States in parts.

In September, 1991, Toshiba America officials in Irvine said they were shifting some production of color portable computers back to Japan in response to the tariffs.

The company said the move didn’t eliminate any jobs in Irvine. But a sustained tariff would have heralded an eventual loss of jobs in Orange County as the company shipped more of the color screens from Japan.

Toshiba expects to sell color screens on more than half of the portable computers it sells in the coming year.

Analysts have said that Toshiba would probably create more jobs overseas than in Irvine if the tariff is upheld.