DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-63,897

IAC CANTON, INC.
A SUBSIDIARY OF INTERNATIONAL AUTOMOTIVE COMPONENTS GROUP
NORTH AMERICA, INC.
CANTON, OHIO

Notice of Negative Determination
on Reconsideration

On November 6, 2008, the Department issued an Affirmative
Determination Regarding Application for Reconsideration for the
workers and former workers of the subject firm. The notice was
published in the Federal Register on November 13, 2008 (73 FR
67207).
The initial investigation resulted in a negative
determination based on the finding that imports of rubber sheets,
dash insulators, and rubber floor mats did not contribute
importantly to worker separations at the subject firm and no
shift of production to a foreign source occurred.
The petitioner alleged that the subject firm has been moving
the dash insulator equipment to Canada and requested that an
investigation of a shift in production to Canada be undertaken.
The Department of Labor contacted a company official to
verify this information. The company official stated that no
production of rubber sheets, dash insulators, and rubber floor
mats and no equipment have been moved from the subject facility
to Canada. The company official also provided a statement that
the production was shifted from the subject facility to
Springfield, Tennessee.
The petitioner further alleges that production at the
subject firm has been negatively impacted by increase in sales of
imported vehicles. The petitioner concludes that because rubber
sheets, dash insulators, and rubber floor mats are used to
manufacture vehicles and sales and production of rubber sheets,
dash insulators, and rubber floor mats at the subject firm have
been negatively impacted by increasing presence of foreign
imports of vehicles on the market, workers of the subject firm
should be eligible for TAA.
In order to establish import impact, the Department must
consider imports that are like or directly competitive with those
produced at the subject firm. The Department conducted a survey
of the subject firm’s major declining customer regarding its
purchases of rubber sheets, dash insulators, and rubber floor
mats. The survey revealed that the declining customer did not
import rubber sheets, dash insulators, and rubber floor mats in
2006, 2007 and during January through July 2008.
Imports of vehicles cannot be considered like or directly
competitive with rubber sheets, dash insulators, and rubber floor
mats produced by IAC Canton, Inc., Canton, Ohio, and imports of
vehicles are not relevant in this investigation.
Whether the subject firm’s customers were import impacted is
relevant to a determination of whether subject firm workers are
eligible for TAA based on the subject firm being a secondary
upstream supplier of a trade certified primary firm. For
certification on the basis of the workers’ firm being a secondary
upstream supplier, the subject firm must produce component parts
of an article that was the basis for a TAA certification of
customer(s) during the relevant period.
The Department conducted a further investigation and
determined that none of the customers of the subject firm was
certified eligible for TAA during the relevant period.
Conclusion
After reconsideration, I affirm the original notice of
negative determination of eligibility to apply for worker
adjustment assistance for workers and former workers of IAC
Canton, Inc., a subsidiary of International Automotive Components
Group, North America, Inc., Canton, Ohio.
Signed at Washington, D.C., this 9th day of January 2009
/s/ Elliott S. Kushner

ELLIOTT S. KUSHNER
Certifying Officer, Division of
Trade Adjustment Assistance

4510-FN-P


DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-63,897

IAC CANTON, LLC
A SUBSIDIARY OF INTERNATIONAL AUTOMOTIVE COMPONENTS GROUP
NORTH AMERICA, INC.
CANTON, OHIO

Negative Determination Regarding Eligibility
To Apply for Worker Adjustment Assistance and
Alternative Trade Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974,
as amended (19 USC 2273), the Department of Labor herein presents
the results of an investigation regarding certification of
eligibility to apply for worker adjustment assistance. The group
eligibility requirements for directly-impacted (primary) workers
under Section 222(a) the Trade Act of 1974, as amended, can be
satisfied in either of two ways:
I. Section (a)(2)(A) all of the following must be satisfied:
A. a significant number or proportion of the workers in such
workers' firm, or an appropriate subdivision of the firm,
have become totally or partially separated, or are
threatened to become totally or partially separated;
B. the sales or production, or both, of such firm or
subdivision have decreased absolutely; and
C. increased imports of articles like or directly competitive
with articles produced by such firm or subdivision have
contributed importantly to such workers’ separation or
threat of separation and to the decline in sales or
production of such firm or subdivision; or

II. Section (a)(2)(B) both of the following must be satisfied:

A. a significant number or proportion of the workers in such
workers' firm, or an appropriate subdivision of the
firm, have become totally or partially separated, or are
threatened to become totally or partially separated;
B. there has been a shift in production by such workers’ firm
or subdivision to a foreign country of articles like or
directly competitive with articles which are produced by
such firm or subdivision; and
C. One of the following must be satisfied:
1. the country to which the workers’ firm has shifted
production of the articles is a party to a free trade
agreement with the United States;
2. the country to which the workers’ firm has shifted
production of the articles is a beneficiary country
under the Andean Trade Preference Act, African Growth
and Opportunity Act, or the Caribbean Basin Economic
Recovery Act; or
3. there has been or is likely to be an increase in
imports of articles that are like or directly
competitive with articles which are or were produced
by such firm or subdivision.

The investigation revealed that criteria (a)(2)(A)(I.C.) and
(a)(2)(B)(II.B.) were not met.
The investigation was initiated on August 19, 2008, in
response to a petition filed by a company official on behalf of
workers of IAC Canton, LLC, a subsidiary of International
Automotive Components Group North America, Inc., Canton, Ohio. The
workers at the subject firm produce rubber sheets, dash insulators,
and all rubber floor mats. The workers are separately identifiable
by articles produced.
The investigation revealed that the subject firm did not
import articles like or directly competitive with rubber sheets,
dash insulators, or all rubber floor mats nor did they shift
production of rubber sheets, dash insulators, or all rubber floor
mats to a foreign country during 2006, 2007, or January through
July 2008.
The Department of Labor surveyed the subject firm’s major
declining customers regarding their purchases of rubber sheets and
dash insulators in 2006, 2007, and January through July 2008. The
survey revealed no import purchases by the customers.
Furthermore, declines in employment of workers producing all
rubber floor mats are attributable to a loss in export sales during
the period under investigation.
In addition, in accordance with Section 246 the Trade Act of
1974 (26 USC 2813), as amended, the Department of Labor herein
presents the results of its investigation regarding certification
of eligibility to apply for alternative trade adjustment assistance
(ATAA) for older workers.
In order for the Department to issue a certification of
eligibility to apply for ATAA, the worker group must be certified
eligible to apply for trade adjustment assistance (TAA). Since the
workers are denied eligibility to apply for TAA, the workers cannot
be certified eligible for ATAA.
Conclusion
After careful review of the facts obtained in this
investigation, I determine that all workers of IAC Canton, LLC, a
subsidiary of International Automotive Components Group North
America, Inc., Canton, Ohio, are denied eligibility to apply for
adjustment assistance under Section 223 of the Trade Act of 1974,
and are also denied eligibility to apply for alternative trade
adjustment assistance under Section 246 of the Trade Act of 1974.
Signed in Washington, D.C., this 22nd day of September, 2008

/s/ Linda G. Poole
______________________________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance






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