LG WD 8050 intellowasher Front loader

NOTE: the powder buildup becomes corrosive and weakens the alloy/cast iron spider which leads to breakage.
The repairer/parts suppliers I spok to said this is a known/common issue, and preventable, if the manufacturer doesn't leave pockets in the arms where residue can collect.
Another easy way to try to prevent buildup is by the regular hot wash to try and disolve any collected residue.

The shocks/dampers turned out not to be the problem, it was the spider too like kelley75. Turns out the spider is cast iron/alloy, not stainless steel like the drum. This is subject to buildup due to powder residue getting lodged in the pockets in the arms of the spider. Those who aren't familiar, the spider is a three spoke mount that the back of the drum which it is mounted to and has a centre shaft that protrudes the back through the bearing to the rear pulley which the belt connects to and the motor.
Lessons learnt;
a) to minimise the powder residue run a hot wash at least once a month to break down any buildup (i never used too, thinking it not required and better energy efficiency for the environment) or consider liquid, but this may have other drawbacks.
b) it's easy to determine one of the arms on the spider is broken in hindsight without dismanteling it first. From the front of the washer with the door open, reach in with palm up grabbing the top lip of the inner drum, just inside the door rubber and lift forward with not much pressure (about same as opening a car door) and see if you can feel a little movement. Yes the whole outer drum is suspended and will move as much as the door rubber allows. Don't worry if it's not evident straight away, rotate the inner drum one quarter or third, and repeat lift forward motion. Do this 3-4 times, the arms of the spider are aligned with the plastic ridges inside the drum, if one arm is broken you will feel a slight (0.5-1cm) movement at one of the points, and if you continue to rotate and return to the same point where there's movement this is the arm that is broken.
c) A new spider is not expensive approx A$67.00, but the labour to replace it may make it a better investment to buy a new machine, unless you or someone you know is handy and can replace it for you at less cost. (labour quotes I got were $300-400 to diagnose and fix, plus call out if required to come onsite, or bring it into the workshop).
Currently a LG Intellowasher 7kg is about A$599 and in Brisbane you get a $200 rebate on this, so only A$399 to replace with a new unit.

My machine is spinning OK, but it has a terrible smell of rubber? oil? burning?

Last month I rang LG who said I should have been using Scalex (first I heard) to descale the build up, and they sent me a sample.

Well, it helped for a couple of washes, and I bought some more and used it at least 10 times now, but the smell is worse than ever - can't even wear the clothes. So it is time to ring them again.

Check your rubber door seal, is there any wear or bit coming off?
Ours just shredded and I originally thought it was the age of rubber or buildup on the inner lip of the door seal. However after replacing (A$31.70) it and doing the first run after it started to rub again leaving rubbings near the bottom of the seal where the previous one shredded!.
Looking further underneath I can see oil/liquid leaking from the two shocks/dampers (A$15.25 each) and visible hairline fractures in the plastic. These retain the drum casing in place and reduces the movement of the drum when rotating/spinning with a load. Excessive movement may cause the drum to rub or catch on the door seal producing the burning rubber smell and possibly destroying it.
I think they have failed due to age and deterioration of the plastic shocks/dampers and when I went to purchase new ones they weren't the same, and I was assured that they were the correct part, maybe the manufacturer has recognised the fault and changed the shock/damper design. I will fit them this weekend.