Gree Photo: VCG

 
Chinese appliance manufacturer Gree replied on Sunday to recent reports of being handed an administrative fine by US authorities that the company was penalized $91.2 million for selling defective dehumidifiers in the US. Gree said the penalization will not affect the company’s operations or its 2021 financial report. 

Gree said in an announcement published on its official WeChat account that the company was suited by US Consumer Product Safety Commission (CPSC) and Department of Justice (DOJ) respectively in 2016 and 2017.

Gree received reports in 2012 about a batch of dehumidifiers produced from 2005 to 2012 and exported to US. Gree opted for civil reconciliation with CPSC in 2016 and was requested to pay a compensation of $15.45 million.

In 2017, Gree made an agreement with DOJ after several discussions and agreed to pay $75.75 million. The DOJ vowed to end the case in three years if Gree followed the agreement, according to the announcement. 

Gree said that the issues that related to the relevant agreements happened eight years ago and never happened after 2013. Now, all penalties have been paid which will not affect the company’s operation and its 2021 financial report. 

According to an article published on the DOJ website on Friday, Gree and two of its subsidiaries have agreed to resolve criminal charges for failing to notify the CPSC that millions of dehumidifiers they sold to US. 

Global Times