CHICAGO Aleris International Inc. plans to close its Hammond, Ind., facility effective July 31 and transfer production to its operation in Elyria, Ohio, a company spokesman said.
The move comes after a comprehensive review and as the Cleveland-based company looks to streamline operations, better serve customers and better position the Elyria facility for growth, the company spokesman told AMM
We expect to preserve all the Hammond volume as we transfer production to Elyria from Hammond and anticipate no disruption to customers, the spokesman said.
Both facilities make specialty products used in the steelmaking process, the spokesman said. He declined to provide specific capacity figures for either plant.
The Hammond facility houses aluminum shredding, sizing and briquetting operations used to make products important for removing excess oxygen and impurities in the steelmaking process, according to the Aleris website. The Elyria facility sports shredding and sizing operations as well and makes products such as slag conditioners and deoxidizers. Both facilities serve steel mills and service centers in the United States and Canada, it said.
The closure in Hammond will see 20 people lose their jobs while 10 to 15 jobs are expected to be added in Elyria, the spokesman said. Employees were informed of the changes July 8, he said.
While this is difficult news for the employees impacted at Hammond, the relocation of this (Hammond) production (to Elyria) enables us to take advantage of additional capacity at Elyria to serve customers more efficiently, the spokesman said.
The Hammond closure comes after Aleris in May announced plans to shut its specification alloy facility in Saginaw, Mich., by the end of 2013. That closure came as a result of a change in demand from a nearby customer, the company said at the time.
The Saginaw facility was known to have supplied General Motors Co. previously (amm.com, May 30