Nippon Steel and U.S. Steel Merger

[Axtremus]

https://www.nytimes.com/2024/09/06/business/nippon-steel-us-steel-japan.html

https://www.businessinsider.com/us-steel-biden-harris-trump-oppose-sale-nippon-2024-9

U.S. Steel puts itself up for sale.
Nippon Steel offers to buy it.
(But the press calls it a merger anyway.)
The United Steelworkers union in Pennsylvania say they don't like the offer.
Biden says he wants to block the sale/merger.
Harris and Trump both say they oppose the sale/merger too.

What say you?

[Jolly]

I see problems from a strategic standpoint.

[Copper]

Whatever Ms. Harris says is fine by me.

[Axtremus]

@Jolly said in Nippon Steel and U.S. Steel Merger:

I see problems from a strategic standpoint.

What problems you have in mind? Care to elaborate?

[Mik]

Does he really have to? After 20 years of this?

[Axtremus]

@Mik said in Nippon Steel and U.S. Steel Merger:

Does he really have to? After 20 years of this?

He responded after 20 years of whatever "this" is, I figure he might have something new to say, so giving him the benefit of the doubt and invited him to elaborate.

[jon-nyc]

Shitty policy. The jobs would stay here under the purchase anyway.

[Tom-K]

The Japanese should buy Boeing. Maybe they'd get something to fly correctly.

[Axtremus]

https://www.nytimes.com/2025/06/18/business/us-steel-nippon-acquisition.html

Nippon Steel Completes Its Acquisition of U.S. Steel
The deal gives the White House extraordinary control over U.S. Steel as part of a pact to alleviate national security concerns.

[jon-nyc]

I was surprised no one brought up Trump's pseudo-nationalization of it earlier. Imagine what a president Warren (type) might do with such power over them.

[LuFins Dad]

@jon-nyc said in Nippon Steel and U.S. Steel Merger:

I was surprised no one brought up Trump's pseudo-nationalization of it earlier. Imagine what a president Warren (type) might do with such power over them.

1. Let’s not pretend that Trump and Warren are leagues apart when it comes to economic issues. Trump’s closer to Bernie than he is DeSantis.

2. My understanding is that the golden share only allows them to ensure that the promised investments into the US Steel factories actually occur, and that production and other elements aren’t offshored. Still problematic, but not that problematic..

[jon-nyc]

From Cato’s Scott Linsicome:

This perpetual golden share prevents any of the following from occurring without the consent of the president of the United States or his designee:

Relocate U.S. Steel’s headquarters from Pittsburgh, Pennsylvania.
Redomicile outside the United States
Change the name of the company from U.S. Steel
Reduce, waive, or delay the $14 billion of near-term investments into U.S. Steel
Transfer production or jobs outside the United States
Close or idle plants before certain timeframes other than normal course temporary idling for safety, upgrades, etc.
Other protections regarding employee salaries, anti-dumping pricing, raw materials and sourcing outside the U.S., acquisitions, and more.
The AP adds that the golden share also gives the president “the authority to name one of the corporate board’s independent three directors and veto power over the other two choices.” Presumably other terms will emerge soon, but—regardless—these details are sufficient to turn my views on the U.S. Steel deal from vigorous support to aghast opposition.