Editor, the software here mungs correctly formated URL (which I bet you knew) so forkliftaction dot com/news/newsdisplay.aspx?nwid=6075 may get seen...
I don't know whether you saw the follow-up article (http://www.forkliftaction.com/news/newsdisplay.aspx?nwid=6075) , but Cat did back down and grey imports are still continuing.
You are right this is a shame. I grew up getting capitalism and the important of competition in keeping prices low etc. drilled into my head. This is just another example of how the system is systematically dead. We preach free-markets to the rest of the world and then our government passes laws like this to restrict the competition for one party's gain. This is a huge win for CAT I can't believe there hasn't been more reporting on it.
I read the article on the website and that is an absolute shame. This will set a precedent to be followed by all manufacturers to stop import of products into this country that were originally made for another country. Again, the judiciary is trying to control capitalism and dictate economics to a free market that should not need dictating.
Great points Batman:
The topic I think we need to discuss is since CAT has circumvented the system. What now? Is this just a start.. Are we going to see import bans on all types of machinery imported into the US?
I've been following this story and it seemed in late Sept.2008 CAT was losing ground with the case and was willing to let things go if the importers make sure to upgrade the safety features on the imports.
Then this judgement comes out of no-where.
I guess it pays to have a friend in the White House!
http://iedaorg.point2agent.com/ITC_UPDATE/page_2037485.html
This is a typical case where the judiciary needs to stay out of the battle and let the free market work. About 20 years ago "grey market" forklifts were the rage because they were cheap. New businesses popped up everywhere with the sole purpose of selling nothing but grey market equipment.
Guess what happened, the local dealers cried foul, complained about parts availability and all the same things Cat is touting. The judicial system stayed clear and the price of grey market equipment finally reached the price of locally built equipment. Same thing will happen with the Cat product. The so called grey market equipment will have its day but will finally be on the same level as the locally built equipment.
This is the free market and Economics 101. Let capitalism work and keep the government and judiciary out of it. A perfect example is what is happening now. We (US government) is artificially propping up markets and market prices that should have long since bottomed. Capitalism works and has for hundreds of years and will work in the Caterpillar case. Cat is just trying to circumvent the system which will not work in the long run.
Thank you, yes it was a great article. You may see the full article at this link :
HereTitled as
Dealers fight for 'free trade' in
Forkliftaction News on Thursday, 1 May 2008