U.S. Finds Koreans Dumped Memory Chips

The Commerce Department made a preliminary ruling against two South Korean memory chip makers, saying they sold products below fair market value during the 12 months starting in May 1996. The ruling represents a victory for Micron Technology Inc. and Texas Instruments Inc., the two U.S. companies that make dynamic random-access memory chips, or DRAMs, whose prices have tumbled in the face of oversupply from Asia. The Commerce Department found that LG Semiconductor sold DRAMs at 7.61% below fair market value, and Hyundai Electronics Industries Co. sold the devices at 12.64% under. If Commerce’s International Trade Administration follows through with a final ruling, LG and Hyundai will have to pay retroactive tariffs on their sales to the U.S. for that period. A final ruling is expected in about three months. Micron has accused the Korean firms of dumping memory chips in the U.S. market. On the New York Stock Exchange, Micron shares rose $1.56 to close at $34.56, while Texas Instruments fell $2 to close at $53.