Nippon Steel Opposes Harris' US Steel Sale, Saying "Benefit to the US"

Nippon Steel has rebutted Vice President Kamala Harris, the Democratic presidential candidate in the United States, who mentioned opposition to the sale of the domestic steel company US Steel, stating that "Nippon Steel's acquisition of US Steel will benefit the United States."

[Image source=Yonhap News]

According to Kyodo News on the 3rd, Nippon Steel announced its position after Vice President Harris expressed opposition to the sale, saying, "The acquisition of US Steel will revitalize the American Rust Belt more than any other option," and "We are confident it will benefit American workers and national security."

Earlier, on the 2nd (local time), Vice President Harris campaigned jointly with President Joe Biden in Pittsburgh, Pennsylvania, part of the Rust Belt, stating, "US Steel should remain a company owned and operated by Americans."

Pittsburgh, known as the "steel city," is home to the headquarters of US Steel, a symbol of American steel manufacturing. Nippon Steel announced in December last year its plan to purchase US Steel for $14.9 billion (approximately 19.95 trillion KRW) and secured approval at the shareholders' meeting, but has since faced opposition from U.S. politicians and labor groups. Former President Donald Trump, the Republican presidential candidate, also clearly opposed Nippon Steel's acquisition of US Steel in January this year, stating he would "immediately block" the deal.

In response, Nippon Steel and US Steel jointly issued a statement in April saying, "US Steel will remain 'Made in America,' with everything from raw material mining to product manufacturing taking place in the United States," and "The acquisition will bring benefits to the entire United States." Additionally, at the end of last month, they announced an additional investment of $1.3 billion (approximately 1.74 trillion KRW) in two steel mills owned by US Steel. Major media outlets interpreted this as an effort by Nippon Steel to appease labor unions opposing the sale of US Steel. Nippon Steel aims to complete the acquisition of US Steel within this year.