Sale of US Steel kicks up a political storm, but Pittsburgh isn’t Steeltown USA anymore
What company is buying U.S. Steel?
Nippon Steel Corporation, Japan's largest steelmaker, is buying U.S. Steel in an all-cash transaction valued at approximately $14.1 billion. The deal represents a 40% premium on U.S. Steel's closing stock price on December 15, 2023.
Why is the sale of U.S. Steel controversial?
The sale of U.S. Steel to Japanese rival Nippon Steel is controversial due to opposition from the United Steelworkers union, politicians on both sides of the aisle, and national security concerns. The deal requires approval from both the Justice Department and the Committee on Foreign Investment in the United States, which evaluates national security risks. Opponents argue the deal could lead to significant layoffs and potential closure of U.S. Steel plants, while supporters say it could revitalize the American steel industry.