US President-elect Donald Trump is reinforcing his campaign promise to block the acquistion of US Steel by Japan’s Nippon Steel, Kallanish reports.
“I am totally against the once great and powerful US Steel being bought by a foreign company, in this case Nippon Steel of Japan,” Trump proclaims in a message on social media platform Truth Social.
On Monday, Trump reiterated his objections to the deal and offered insight into how he imagines US Steel will thrive in an alternative scenario.
“Through a series of Tax Incentives and Tariffs, we will make U.S. Steel Strong and Great Again, and it will happen FAST!” wrote Trump.
The United Steelworkers (USW) labour union applauds Trump’s position.
“The USW welcomes President Trump’s continued opposition to Nippon Steel’s acquisition of US Steel, a deal with serious long-term implications for US economic and national security. Our union thanks him for his continuing commitment to American manufacturing and agrees with him that with proper attention, US Steel will flourish well into the future as a domestically owned and operated company,” the USW says in a statement after the latest Trump social media post.
The president-elect adds: “As President, I will block this deal from happening. Buyer Beware!!!”
David Burritt, chief executive of US Steel, has said the 123-year-old company would move out of its move out of its Pittsburgh, Pennsylvania, headquarters if the acquisition is not allowed to proceed. The USW later called that statement a “bullying” tactic, which caught the attention of legislators who accused Burritt of being financially motivated if the deal succeeds.
Currently, the Committee on Foreign Investment in the US (CFIUS) is auditing the deal to assess potential national security risks to the US. The CFIUS initially had penned a letter to USS/Nippon noting its concerns that the acquisition would jeopardise America’s best interests. US President Joe Biden agreed to allow Nippon to refile essential paperwork and postpone the decision to allow CFIUS more time for consideration. The committee is expected to reach its decision this month and Biden would then be able to exert action for or against the deal.
Japanese Prime Minister Shigeru Ishiba sent Biden a letter requesting that the US government approve the transaction. Biden has been vehemently opposed to the deal, vowing to oppose it.
Kristen DiLandro USA
