The head of the United Steelworkers union, David McCall, has expressed concerns that a potential takeover by Japan’s Nippon Steel could spell long-term decline for U.S. Steel. The union chief said he was unconvinced of the company’s ability to ensure its lasting success under new ownership.
McCall cited the possibility of Nippon Steel importing steel into the US from international mills as one of his top concerns. He fears that this move would erode a company with a rich history, including helping build the Empire State Building and providing materials for allied forces in World War II.
Nippon Steel has previously denied these allegations, but McCall says he has not received assurances that the company is committed to protecting US jobs and investing in local facilities. The union leader also criticized the Japanese suitors for allegedly bullying US Steel CEO David Burritt into closing the deal, with some of his members reportedly “scared by the threats.”
The takeover bid faces a national security review by the CFIUS government panel, which is due later this month. President Joe Biden has indicated he will wait on the outcome before deciding whether to block the deal.
Source: https://www.reuters.com/markets/deals/japanese-takeover-could-spell-long-term-decline-us-steel-union-chief-says-2024-12-10