Denied
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TAW-85517  /  M&D Industries, Inc. (Clarendon, PA)

Petitioner Type: Company
Impact Date:
Filed Date: 09/04/2014
Most Recent Update: 11/21/2015
Determination Date: 10/08/2014
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,517

M&D INDUSTRIES, INC.
CLARENDON, PENNSYLVANIA

Notice of Negative Determination
After Statutory Reconsideration

As required by the Trade Adjustment Assistance Reauthorization
Act of 2015 (TAARA 2015), which was enacted as Title IV of the
Trade Preferences Extension Act of 2015, Public Law No. 114-27,
section 405(a)(1)(A), the investigation into this petition was
reopened for a reconsideration investigation to apply the
requirements for worker group eligibility under chapter 2 of title
II of the Trade Act of 1974, as amended by the TAARA 2015, to the
facts of this petition (statutory reconsideration).
M&D Industries, Inc., Clarendon, Pennsylvania (subject firm)
is engaged in activities related to the production of steel waste
water treatment equipment.
The initial investigation, initiated on September 4, 2014,
resulted in a negative determination, issued on October 8, 2014,
that was based on the findings that the subject firm did not import
from a foreign country articles like or directive competitive with
steel waste water treatment equipment produced by the workers of
the subject firm nor did the firm shift production of articles like
or directly competitive with steel waste water treatment equipment
to a foreign country.
Based on information reviewed during the reconsideration
investigation, the Department of Labor determines that the
requirements for certification have not been met.
With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed that the firm did not increase imports of
articles like or directly competitive with the steel waste water
treatment equipment produced by the workers of the subject firm.
The investigation also revealed that the subject firm’s customers
did not increase imports of articles like or directly competitive
with the steel waste water treatment equipment produced by the
workers of the subject firm. Specifically, the lost bids at issue
were awarded to firms that produce steel waste water treatment
equipment in the United States.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the firm did not shift production of
steel waste water treatment equipment, or a like or directly
competitive article, to a foreign country or acquire steel waste
water treatment equipment, or a like or directly competitive
article, from a foreign country.
With respect to Section 222(b)(2) of the Act, the
investigation revealed that M&D Industries, Inc. is not a
Supplier 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 does not act as a Downstream Producer to a
firm (or subdivision, whichever is applicable) 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).
Finally, the group eligibility requirements under Section
222(e) of the Act, have not been satisfied because Criterion (1)
has not been met since the workers’ firm has not been publicly
identified by name by the International Trade Commission as a
member of a domestic industry in an investigation resulting in an
affirmative finding of serious injury, market disruption, or
material injury, or threat thereof.
Conclusion
After careful review, I determine that the requirements of
Section 222 of the Act, 19 U.S.C. § 2272, have not been met and,
therefore, deny the petition for group eligibility of M&D
Industries, Inc., Clarendon, Pennsylvania, to apply for adjustment
assistance, in accordance with Section 223 of the Act, 19 U.S.C. §
2273.
Signed in Washington, D.C. this 21st day of November, 2015

/s/ Del Min Amy Chen
______________________________
DEL MIN AMY CHEN
Certifying Officer, Office of
Trade Adjustment Assistance





DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-85,517

M&D INDUSTRIES, INC.
CLARENDON, PENNSYLVANIA

Negative Determinations 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 ("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) and
(b) of Section 222 of the Act, 19 U.S.C. § 2272(a) and (b). 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:
(1) The first criterion (set forth in Section 222(a)(1) of the
Act, 19 U.S.C. § 2272(a)(1)) requires that 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
(2) 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) imports of articles like or directly competitive with
articles produced by such firm or subdivision have
increased; and
(iii) the increase described in clause (ii) contributed
importantly to such workers' separation or threat of
separation and to the decline in the sales or
production of such firm or subdivision.

(B) Shift in Production Path:
(i) 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
(ii)(I) 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;
(II)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
(III)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.

For the Department to issue a secondary worker
certification under Section 222(b) of the Act, 19 U.S.C. §
2272(b), 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 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.

Section 222(c) of the Act, 19 U.S.C. § 2272(c), defines the
terms "Supplier" and "Downstream Producer."
The investigation was initiated in response to a petition
filed on September 4, 2014 by a company official on behalf of
workers of M&D Industries, Inc., Clarendon, Pennsylvania
(subject firm). The workers' firm is engaged in activities
related to the production of steel waste water treatment
equipment.
The petition alleges that the subject firm lost bids to
firms producing the article in Mexico.
During the course of the investigation, the Department
obtained information from the subject firm and its customers.
With respect to Section 222(a)(2)(B) of the Act, the
investigation revealed that the subject firm did not shift
production of steel waste water treatment equipment, or like or
directly competitive articles, to a foreign country.
With respect to Section 222(a)(2)(A)(ii) of the Act, the
investigation revealed that, during the period of sales and/or
production decline at the subject firm, neither the subject
firm nor its major declining customers increased imports of
articles like or directly competitive with the steel waste
water treatment equipment produced by the subject firm.
Specifically, the bids lost at issue were awarded to firms
that produce steel waste water treatment equipment in the
United States.
With respect to Section 222(b)(2) of the Act, the
investigation revealed that the subject firm is not a Supplier
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).
With respect to Section 222(b)(2) of the Act, the
investigation revealed that subject firm that does not act as
a Downstream Producer to a firm (or subdivision, whichever is
applicable) 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), based on an increase in imports from, or a
shift in production to, Canada or Mexico.
In order for the Department to issue a certification of
eligibility to apply for alternative trade adjustment assistance
(ATAA), the worker group must be certified eligible to apply for
trade adjustment assistance. 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 the
investigation, I determine that all workers of M&D Industries,
Inc., Clarendon, Pennsylvania, are denied eligibility to apply
for adjustment assistance under Section 223 of the Trade Act of
1974, as amended, and are also denied eligibility to apply for
alternative trade adjustment assistance under Section 246 of the
Trade Act of 1974, amended.
Signed in Washington, D.C. this 8th day of October, 2014


/s/Del Min Amy Chen
______________________________
DEL MIN AMY CHEN
Certifying Officer, Office of
Trade Adjustment Assistance