President Donald Trump has vowed to block the pending sale of iconic American manufacturer U.S. Steel to a Japanese company.
Nippon Steel is hoping to buy U.S. Steel and take it out of American ownership.
President Joe Biden’s administration has so far failed to stop the sale.
However, Trump said he would use tax and tariff incentives to rescue U.S. Steel and keep it in American hands, blindsiding Biden officials.
In a post on Truth Social, Trump wrote:
“I am totally against the once great and powerful U.S. Steel being bought by a foreign company, in this case, Nippon Steel of Japan.
“Through a series of Tax Incentives and Tariffs, we will make U.S. Steel Strong and Great Again, and it will happen FAST!
“As President, I will block this deal from happening,” he continued. “Buyer Beware!!!”
The $14.9 billion acquisition is under scrutiny by the Committee on Foreign Investments in the United States (CFUIS).
The CFUIS determines whether foreign investments pose a risk to national security.
Biden referred the deal to the panel.
The agreement is supported by Nippon Steel, Japan’s largest steelmaker, and shareholders of U.S. Steel.
The deal would have Japan’s largest steelmaker agree to keep U.S. Steel’s headquarters in Pittsburgh and preserve collective bargaining agreements.
Despite these commitments, the agreement has faced opposition from President Biden and the United Steelworkers.
The union praised Trump for promising to stop the acquisition.
“It’s clear that President Trump understands the vital role a strong domestic steel industry plays in our national security, as well as the importance of the jobs and communities the industry supports,” the union said.
With his vow to keep U.S. Steel under American ownership, Trump is doubling down on his protectionist agenda of keeping American manufacturing jobs and supply chains in America.
The president-elect has threatened to enact sweeping tariffs on imports to protect American workers.
He is also adding pressure on America’s neighbors to cooperate on border security.
While President Biden came out against Nippon Steel’s $14.9 billion acquisition, the company has ignored his wishes.
Nippon Steel is reportedly eager to finish the deal before Trump is sworn in on January 20.
In response to Trump, Nippon Steel said it is “determined to protect and grow US Steel in a manner that reinforces American industry, domestic supply chain resiliency and US national security.”
“We will invest no less than $2.7 billion into its unionized facilities, introduce our world-class technological innovation, and secure union jobs so that American steelworkers at U.S. Steel can manufacture the most advanced steel products for American customers,” the Japanese firm said in a statement.
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