QUESTION 4

Competition Law Boki Inc (Boki) is a US corporation that manufacturers steel products and which sources iron ore from miners in South America. Puro S.A. (Puro) is a Chilean company that also manufactures steel and it has also recently set up subsidiaries in South America. Puro pays South American iron ore miners prices that are 20% above world market prices. This has resulted in Boki finding it harder to obtain all the iron ore it requires. Puro has recently set up a small branch in California (a state of the US) and has begun making sales of steel products to US factories and, due to its lower costs of production, is selling steel for prices less than US suppliers. There is no evidence of dumping. Can the actions of Puro be challenged in a US Court?