The quasi-judicial International Trade Commission (ITC) voted three-to-zero in support of a determination that the semiconductor imports from major manufacturer Hynix Semicondcutor were damaging to US industry.

One of the four ITC members was absent.

The ITC vote, taken in public but without any open discussions, was effectively the final stage in a lengthy process leading to duties of 44.71 percent on the imports from Hynix Semiconductor.

The Commerce Department had already found that the dynamic random access memory semiconductors (DRAMS) were unfairly subsidised because Hynix had been bailed out by South Korean banks.

On August 4, the ITC members will send a copy of their decision to the Commerce Department, which will then issue the official order for duties to be imposed.

The South Korean government filed a formal complaint last month with the World Trade Organization against the US findings.

Under WTO rules, South Korea and the United States will have two months to hold negotiations over the countervailing duty before the world body will intervene.

Hynix Semiconductor was rescued in December by a multi billion-dollar bailout arranged by its local creditor banks, which the United States and the European Union see as illegal government subsidies.

Its main lender, Korea Exchange Bank, and other creditors say the government played no role in the rescue package, which was aimed at recovering as much of their loans as possible from Hynix.

They say the bailout -- worth 3.25 trillion won (2.7 billion dollars) -- was made on a purely commercial basis and involved foreign banks, including Citibank.

South Korea faces a similar threat from Europe.

The European Commission has called for imposing 34.9 percent countervailing tariffs on Hynix chips, accusing the firm of receiving illegal subsidies from the South Korean government.

EU members were due to vote on the proposal by August 25.

SPACE.WIRE