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TAW-72743  /  Ormet Primary Aluminum Corporation (Hannibal, OH)

Petitioner Type: Unknown
Impact Date: 10/27/2008
Filed Date: 11/03/2009
Most Recent Update: 02/16/2010
Determination Date: 02/16/2010
Expiration Date: 10/21/2012

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-72,743

ORMET PRIMARY ALUMINUM CORPORATION
INCLUDING ON-SITE TEMPORARY WORKERS
HANNIBAL, OHIO

Notice of Revised Determination
on Reconsideration


By application dated March 11, 2010, a company official
requested administrative reconsideration of the Department's
negative determination regarding eligibility for workers and former
workers of Ormet Primary Aluminum Corporation, including on-site
temporary workers, Hannibal, Ohio (subject firm) to apply for Trade
Adjustment Assistance.
The initial investigation, initiated November 3, 2009,
resulted in a negative determination, issued on February 16, 2010,
that was based on the finding that imports did not contribute
importantly to worker separations at the subject firm and no shift
in production to a foreign country occurred. The notice of
negative determination was published in the Federal Register on
March 12, 2010 (75 FR 11925).
To support the request for reconsideration, the petitioner
supplied additional information regarding overall United States
production, consumption, and importation of primary and secondary
aluminum to supplement that which was gathered during the initial
investigation.
During the reconsideration investigation, the Department of
Labor examined the petitioner’s allegations and obtained current
aggregate data on aluminum production and imports through 2009
which was not available during the original investigation period.
An analysis of that data shows that the ratio of U.S. imports
to U.S. shipments of aluminum (primary and secondary) increased
significantly from 2008 to 2009, reaching a level well over 100
percent in 2009. This increased reliance on aggregate imports of
aluminum contributed importantly to the layoffs at the subject
facility.
Conclusion
After careful review of the additional facts obtained on
reconsideration, I determine that workers of Ormet Primary Aluminum
Corporation, including on-site temporary workers, Hannibal, Ohio,
who were engaged in employment related to the production of primary
aluminum, meet the worker group certification criteria under
Section 222(a) of the Act, 19 U.S.C. § 2272(a). In accordance with
Section 223 of the Act, 19 U.S.C. § 2273, I make the following
certification:


"All workers of Ormet Primary Aluminum Corporation, including
on-site temporary workers, Hannibal, Ohio, who became totally
or partially separated from employment on or after October 27,
2008, through two years from the date of this certification,
and all workers in the group threatened with total or partial
separation from employment on date of certification through
two years from the date of certification, are eligible to
apply for adjustment assistance under Chapter 2 of Title II of
the Trade Act of 1974, as amended.”

Signed in Washington, D.C., this 21st day of October, 2010



/s/ Elliott S. Kushner
______________________________
ELLIOTT S. KUSHNER
Certifying Officer, Office of
Trade Adjustment Assistance

4510-FN-P


DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-72,743

ORMET PRIMARY ALUMINUM CORPORATION
HANNIBAL, OHIO

Negative Determination Regarding Eligibility
To Apply for Worker Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974, as
amended (“Act”), 19 U.S.C. § 2273, the Department of Labor herein
presents the results of an investigation regarding certification of
eligibility to apply for worker adjustment assistance.
Workers of a firm may be eligible for worker adjustment
assistance if they satisfy the criteria of subsection (a), (c) or
(f) of Section 222 of the Act, 19 U.S.C. § 2272(a), (c), (f). For
the Department of Labor to issue a certification for workers under
Section 222(a) of the Act, 19 U.S.C. § 2272(a), the following three
criteria must be met:
I. The first criterion (set forth in Section 222(a)(1) of the
Act, 19 U.S.C. § 2282(a)(1)) requires that a significant
number or proportion of the workers in the workers’ firm must
have become totally or partially separated or be threatened
with total or partial separation.

II. The second criterion (set forth in Section 222(a)(2) of the
Act, 19 U.S.C. § 2272(a)(2)) may be satisfied in one of two
ways:
(A) Increased Imports Path:
(i) sales or production, or both, at the workers’ firm must
have decreased absolutely, AND
(ii) (I) imports of articles or services like or directly
competitive with articles or services produced or
supplied by the workers’ firm have increased, OR
(II)(aa) imports of articles like or directly
competitive with articles into which the component
part produced by the workers’ firm was directly
incorporated have increased; OR
(II)(bb) imports of articles like or directly
competitive with articles which are produced
directly using the services supplied by the
workers’ firm have increased; OR
(III) imports of articles directly incorporating
component parts not produced in the U.S. that are
like or directly competitive with the article into
which the component part produced by the workers’
firm was directly incorporated have increased.

(B) Shift in Production or Supply Path:
(i)(I) there has been a shift by the workers’ firm to a
foreign country in the production of articles or supply
of services like or directly competitive with those
produced/supplied by the workers’ firm; OR
(i)(II) there has been an acquisition from a foreign country
by the workers’ firm of articles/services that are like
or directly competitive with those produced/supplied by
the workers’ firm.

III. The third criterion requires that the increase in imports or
shift/acquisition must have contributed importantly to the
workers’ separation or threat of separation. See Sections
222(a)(2)(A)(iii) and 222(a)(2)(B)(ii) of the Act, 19 U.S.C.
§§ 2272(a)(2)(A)(iii), 2272(a)(2)(B)(ii).

Section 222(d) of the Act, 19 U.S.C. § 2272(d), defines the
terms “Supplier” and “Downstream Producer.” For the Department to
issue a secondary worker certification under Section 222(c) of the
Act, 19 U.S.C. § 2272(c), to workers of a Supplier or a Downstream
Producer, the following criteria must be met:
(1) a significant number or proportion of the workers in the
workers’ firm or an appropriate subdivision of the firm
have become totally or partially separated, or are
threatened to become totally or partially separated;

(2) the workers’ firm is a Supplier or Downstream Producer to
a firm that employed a group of workers who received a
certification of eligibility under Section 222(a) of the
Act, 19 U.S.C. § 2272(a), and such supply or production
is related to the article or service that was the basis
for such certification; and

(3) either
(A) the workers’ firm is a supplier and the component parts
it supplied to the firm described in paragraph (2)
accounted for at least 20 percent of the production or
sales of the workers’ firm; or
(B) a loss of business by the workers’ firm with the firm
described in paragraph (2) contributed importantly to the
workers’ separation or threat of separation.

Workers of a firm may also be considered eligible if they
are publicly identified by name by the International Trade
Commission as a member of a domestic industry in an investigation
resulting in a category of determination that is listed in
Section 222(f) of the Act, 19 U.S.C. § 2272(f).
The group eligibility requirements for workers of a firm under
Section 222(f) of the Act, 19 U.S.C. § 2272(f), can be satisfied if
the following criteria are met:
(1) the workers’ firm is publicly identified by name by the
International Trade Commission as a member of a domestic
industry in an investigation resulting in--
(A) an affirmative determination of serious injury or
threat thereof under section 202(b)(1);
(B) an affirmative determination of market disruption
or threat thereof under section 421(b)(1); or
(C) an affirmative final determination of material
injury or threat thereof under section 705(b)(1)(A)
or 735(b)(1)(A) of the Tariff Act of 1930 (19
U.S.C. 1671d(b)(1)(A) and 1673d(b)(1)(A));
(2) the petition is filed during the 1-year period beginning
on the date on which--
(A) a summary of the report submitted to the President
by the International Trade Commission under section
202(f)(1) with respect to the affirmative
determination described in paragraph (1)(A) is
published in the Federal Register under section
202(f)(3); or
(B) notice of an affirmative determination described in
subparagraph (1) is published in the Federal
Register; and
(3) the workers have become totally or partially
separated from the workers’ firm within--
(A) the 1-year period described in paragraph (2); or
(B) notwithstanding section 223(b)(1), the 1-year
period preceding the 1-year period described in
paragraph (2).

The investigation was initiated in response to a petition
filed on November 3, 2009 by a company official on behalf of
workers of Ormet Primary Aluminum Corporation, Hannibal, Ohio.
The workers produce primary aluminum.
The petitioner alleges that the global prices of primary
aluminum products have fallen dramatically while costs and raw
material constraints have increased. The result has been a shift
in world capacity to areas of lower cost and better access to raw
materials.
The investigation included obtaining data from a company
official and surveying the subject firm’s largest customer.
With respect to Section 222(a) of the Act, the investigation
revealed that Criterion II has not been met.
The subject firm did not increase its reliance on imports
nor did it shift production to a foreign location during the
relevant period.
The Department of Labor surveyed the subject firm’s largest
domestic customer regarding its imports of aluminum product. This
customer significantly decreased its reliance on imports over the
relevant period.
With respect to Section 222(c) of the Act, the investigation
revealed that Criterion (2) has not been met because the workers
did not produce an article or supply a service that was used by a
firm with TAA-certified workers in the production of an article
or supply of a service that was the basis for TAA-certification.
Finally, the group eligibility requirements under Section
222(f) of the Act, 19 U.S.C. § 2272(f), have not been satisfied
because the workers’ firm has not been identified in an affirmative
finding of injury by the ITC.


Conclusion
After careful review of the facts obtained in the
investigation, I determine that workers of Ormet Primary Aluminum
Corporation, Hannibal, Ohio are denied eligibility to apply for
adjustment assistance under Section 223 of the Act, 19 U.S.C. §
2273.
Signed in Washington, D.C., this 16th day of February, 2010


/s/Richard Church
______________________________
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance





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