Nippon Steel’s US Steel Takeover Plan Gains Support from Steelmaking Communities

Japan’s Nippon Steel is making strides in its bid to acquire US Steel, with local support in the US steel mill regions, according to Nippon Steel’s President, Tadashi Imai, in a statement to reporters. The decision on the US$15 billion deal now rests with US President Joe Biden, who has a 15-day window to make a call.

Both Biden and former President Donald Trump have expressed reservations about the acquisition. However, Imai emphasized that Nippon Steel is addressing national security concerns and making headway in gaining understanding and approval.

Imai highlighted the significant backing for the acquisition in the communities where the steel mills are located and expressed hope that President Biden will recognize the economic benefits of the deal for the US.

In a show of support, two dozen US municipality officials from areas with US Steel mills penned a letter to Biden, urging him to approve the takeover deal. The letter emphasized the economic security of steelworkers and others linked to US Steel and called for the deal’s endorsement.

However, the United Steelworkers union voiced concerns about Nippon Steel’s intentions and urged Biden to ensure that US Steel remains domestically owned and operated. Despite this, Nippon Steel has pledged to uphold job security and invest in key US facilities to secure support for the acquisition.

Overall, Nippon Steel’s efforts to address concerns and gain approval for the acquisition are making progress, with local support and advocacy for the deal’s benefits to the US economy. Let’s wait and see how President Biden’s decision plays out in the coming days.