industry
Biden blocks sale of US steel company to Japanese
US President Joe Biden was uncomfortable with the takeover of a US steel producer by a foreign rival. Shortly before he leaves office, he stops the deal.
Shortly before leaving office, US President Joe Biden stopped a planned takeover of the American steel company US Steel by its Japanese rival Nippon Steel. The Democrat justified his decision in a written statement, citing, among other things, national security concerns if one of America’s largest steel companies fell under foreign control.
It is his responsibility as president to ensure that America has a strong, domestically managed steel industry, Biden wrote. “US Steel will remain a proud American company,” he emphasized.
The Japanese steel company and its US competitor made the purchase plan public in December 2023 – and stated the total valuation, including the debts assumed, at 14.9 billion dollars (currently around 14.5 billion euros).
Union representatives in the United States had vehemently protested against the takeover. They feared for American jobs – and, as an important group of voters in the US election campaign, put pressure on Biden, who at the time was still hoping for a second term in office.
Biden has already expressed major concerns in the past, but waited until shortly before the end to make his decision. He will leave office on January 20th and hand over to Republican Donald Trump.
Trump, for his part, had announced that he would block the deal – approved by shareholders and both company boards – as soon as he was in office.
dpa
Source: Stern
