The U.S. Commerce Department dealt a blow to 100-year-old American manufacturer Whirlpool's push for duties on a flood of lower-priced refrigerators made by South Korean competitors.

In a preliminary ruling, the department said LG Electronics, Samsung Electronics and Daewoo Electronics had not received big enough government subsidies to warrant U.S. countervailing duties.

Whirlpool spokeswoman Kristine Vernier said the decision was not a surprise, "given the Korean producers' bold resistance to providing adequate responses to the Commerce Department's questionnaires."

"We appreciate that the Commerce Department is conducting a thorough investigation and we're confident it will require the Korean producers to provide complete and accurate responses as required under U.S. law," she added.

The Michigan-based manufacturer also has filed a separate "anti-dumping" case against the same products made by LG and Samsung in South Korea and Mexico.

A preliminary decision in that case is due by Oct. 27. Whirlpool has asked for anti-dumping duties of 34.16 to 61.82 percent on the refrigerators made in South Korea and 23.10 to 183.18 percent on the Mexican products.

The United States imported about $881 million of all types of refrigerators from South Korea in 2010, up sharply from $601 million in 2009. Imports from Mexico totaled more than $2.31 billion in 2010, up from $1.95 billion in 2009.

Whirlpool manufactures its bottom-mount refrigerator-freezers in Amana, Iowa. It employs 71,000 workers worldwide, including 23,000 in the United States.

The Commerce Department will issue its final determination in the anti-subsidy, or countervailing duty, case in January.

It said Tuesday it found preliminary subsidy rates of less than 1 percent for the three companies, which under U.S. law is not large enough to warrant duties.

A Samsung official said today's announcement "shows that Samsung's success in the home appliance market is built upon fair trade practices and the innovation of our products."

Meanwhile, the U.S. International Trade Commission voted 5-0 to approve an investigation into charges South Korean manufacturers are selling large power transformers in the United States at below fair market value.

The increased trade friction comes as the Obama administration is pressing to win congressional approval of a free trade agreement with South Korea that would phase out tariffs on most trade between the two countries. (Reuters)