One of the motives for foreign firms engaged in dumping may be:

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Dumping is viewed as a method by which firms unload excess production in foreign markets.For example,two South Korean manufacturers of semiconductors,LG Semicon and Hyundai Electronics,were accused of selling dynamic random access memory chips (DRAMs)in the U.S.market at below their costs of production.This action occurred in the middle of a worldwide glut of chip-making capacity.It was alleged that the firms were trying to unload their excess production in the United States.

One of the Motives for Foreign Firms Engaged in Dumping