[Federal Register Volume 60, Number 138 (Wednesday, July 19, 1995)]
[Notices]
[Pages 37080-37081]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-17736]
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DEPARTMENT OF LABOR
Employment and Training Administration
[TA-W-29,504]
ALSCO Amerimark Building Products, Gnadenhutten, Ohio; Negative
Determination on Remand
On April 7, 1995 the United States Court of International Trade
(USCIT) granted the Secretary's motion for a voluntary remand in United
Steelworkers of America, AFL-CIO-CLC, Local 4612 v. Secretary of Labor
No. 94-11-00698.
The workers filing under petition TA-W-29,504 were initially denied
eligibility to apply for trade adjustment assitance (``TAA'') on June
20, 1994, 59 FR 33786 (1994) and denied on application for
reconsideration on September 16, 1994, 59 FR 49259 (1994).
The investigation findings showed that the plant melted scrap
aluminum cans and rolled the aluminum into coils which were then
painted. The smelter and rolling mill closed in December 1993.
The United Steelworkers of America (``USWA'') and its Local 4612
claim that imports of Russian aluminum ingots and coil affected the
pricing of aluminum coil.
In its notice of negative determination regarding the USWA, Local
4612 application for reconsideration, the Department found that the
articles produced by workers at Alsco Amerimark Building Products
(``Amerimark'') are coated or painted aluminum coil, not aluminum
ingots or aluminum coil. Accordingly, the Department investigated
whether imports of coated aluminum coil contributed importantly to the
worker separations and Amerimark's decline in sales.
The Department's denial was based on the fact that the
``contributed importantly'' test of the Worker Group Eligibility
Requirements of the Trade Act was not met. The ``contributed
importantly'' test is generally demonstrated through a survey of the
workers' firm's customers. The Department surveyed Amerimark's major
customers for their purchases of painted aluminum coil for the years
1992, 1993, and the January-May time period of 1993 and 1994. None of
the respondents reported decreasing their purchases from the subject
firm while increasing their purchases of imports in the relevant
period.
Other findings showed that Amerimark did not purchase ingots
(foreign or domestic) for use in its production process for coated
aluminum coil but purchased scrap aluminum cans.
On remand, the Department broadened its investigation to determine
whether imports of aluminum coil met the ``contributed importantly''
test.
The new findings show that Amerimark's Gnadenhutten, Ohio aluminum
smelting and rolling mill operation supplied the source of coils
[[Page 37081]]
for the final phase of production, coating or painting, until the
closure of the smelter and rolling mill in December 1993.
Other findings show that once the smelting operations ceased,
Amerimark produced the painted coils from domestically sourced aluminum
sheet.\1\ The Department conducted a survey of Amerimark's major
suppliers to determine if the aluminum sheet sold to Amerimark in the
last three years was produced domestically or obtained from outside
sources. The respondents reported that they produced all aluminum sheet
sold to Amerimark themselves, and did not purchase any of this aluminum
sheet from other domestic sources.
\1\ In accordance with industry practice, the term ``aluminum
sheet'' is used interchangeably with ``aluminum coil'' here.
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The value of U.S. imports of aluminum plate, sheet and strip
increased from 1992 to 1993, and in the first five months of 1994
compared to the first five months of 1993. Statistical data on U.S.
imports as a whole, however, would not determine whether the Amerimark
workers lost their jobs as a result of increased imports. Instead, this
determination is made by surveying Amerimark's major customers to see
whether they reduced their purchases of Amerimark products while
increasing their imports of aluminum sheet during the period in
question.
Customer survey findings show that the Amerimark customers that
purchased painted aluminum coils from Amerimark, purchased aluminum
sheet from other domestic sources. One customer indicated purchases of
aluminum sheet from doemstic sources and from brokers for foreign
firms. However, this same customer increased its purchases of painted
aluminum coil from Amerimark in 1993 compared to 1992, and in the first
five months of 1994 compared to the first five months of 1993. Business
Confidential Administrative Record at 105. Consequently, increased
imports could not have contributed importantly to the workers'
separations and Amerimark's deline in sales because Amerimark's major
customers either did not import articles like or directly competitive
with Amerimark's products, or increased their purchases of Amerimark's
products while importing foreign goods.
Conclusion
After review of the new investigative findings, I conclude that the
determination was correct. Accordingly, the Amerimark workers' petition
for trade adjustment assistance is denied.
Signed at Washington, DC, this 7th day of July 1995.
Victor J. Trunzo,
Program Director, Policy and Reemployment Services, Office of Trade
Adjustment Assistance.
[FR Doc. 95-17736 Filed 7-18-95; 8:45 am]
BILLING CODE 4510-30-M