US President Biden expresses concerns about Nippon Steel’s acquisition of US Steel, a major US steel manufacturer. A person familiar with the matter told Reuters on the 13th. Photographed on March 11th. (2024 Reuters/Kevin Lamarque)
[１３日 ロイター] – US President Biden expresses concerns about Nippon Steel (5401.T), opens new tab’s acquisition of major US steel maker US Steel (XN), opens new tab. A person familiar with the matter revealed this on the 13th.
U.S. Steel’s stock price plunged 13% to close on expectations that political pressure to oppose the takeover would increase.
There is also the possibility that this issue will cast a shadow on the Japan-US summit meeting scheduled for April 10th in the US.
Former Republican President Trump, who is expected to face Biden again in the US presidential election in November, has vowed to block the takeover if he wins. The White House said in December that the deal merited “serious scrutiny.”See more
The White House declined to comment on Wednesday, but a person familiar with the matter said Biden would issue a statement regarding the deal before Prime Minister Fumio Kishida visits Washington.
According to the Financial Times (FT), U.S. government officials and lawyers drafted the statement, and the White House privately informed the Japanese government of Biden’s decision.
Nippon Steel and U.S. Steel issued a joint comment saying they welcome scrutiny of the acquisition by the Biden administration, stating, “An objective and comprehensive investigation will demonstrate that this acquisition will strengthen U.S. jobs, competition, and economic and national security. should be shown.”
It also said it was in “active and committed discussions” with the United Steelworkers (USW).
Matthew Goodman of the Council on Foreign Relations, a U.S. think tank, called the claim that the acquisition poses a risk to U.S. national security “questionable,” calling into question the investment from Japan, a trusted security partner. pointed out that this could seriously damage the relationship between the two countries.
This is a presidential election year, and both Biden and Trump have appealed to steelworkers and labor unions for their support, so the analysis surrounding the takeover is “largely influenced by political factors.”
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