Proposed U.S. Steel Buyer Vows Not to Import into the U.S.

SEATTLE (Scrap Monster):  Japanese steelmaker Nippon Steel has vowed to not import its steel into the U.S. as part of an effort to wrap up its proposed takeover of U.S. Steel.

Pledges to the United Steelworkers Union

Nippon Steel Executive Vice President Takahiro Mori wrote in a letter to the United Steelworkers union that the company would not ship steel produced in its overseas mills into the U.S. market, Reuters reports.

The pledge adds to the company’s earlier overtures to U.S. Steel employees, including promises to protect jobs and make investments in its facilities.

$15B Takeover Draws Opposition

Nippon Steel announced the agreement to acquire U.S. Steel for nearly $15 billion late last year.

Officials from both companies highlighted the potential benefits of the transaction for U.S. Steel’s operations, but the takeover of what was once one of the household names in American manufacturing nonetheless drew opposition on both sides of the political aisle. The Biden administration voiced its opposition to the deal, and President-Elect Donald Trump vowed to block it.

Racing to Wrap Up the Deal

The Nippon letter, Reuters noted, comes as the company races to close the deal before the next administration takes office early next year.

The Committee on Foreign Investment in the United States, which is reviewing the proposed acquisition, has pushed a decision off until the end of next month.

 Courtesy: www.thomasnet.com