[Kyodo News, Washington] It was learned on the 4th that U.S. President Biden is preparing to formally block Nippon Steel’s acquisition of U.S. Steel, a major steelmaker. The Washington Post and other US newspapers reported this. Both Democratic and Republican presidential candidates have expressed negative views of the acquisition, and U.S. Steel CEO David Britt responded by saying, “I want them to recognize the inevitable consequences of a failed transaction.” The United Steelworkers (USW) also opposes the P acquisition. It appears the aim is to coordinate efforts to block the takeover before the presidential election in November in order to win union votes. For Nippon Steel and US Steel, the realization of their large-scale acquisition plans is now in jeopardy. “The president has been consistent,” Kirby said at a press conference on the 4th. “We believe American steel companies should be American owned.” He declined to comment on the contents of the reports. On the 4th, US Steel emphasized that if the acquisition does not go through, it would “put thousands of union jobs at risk and deny the U.S. steel industry an opportunity to better compete globally,” which would be a blow to its operations. Kyodo News, September 5, 2024, 5:19 a.m.
>>1 Americans want unprofitable companies to go under, and don’t think about what happens after they block Trump’s takeover. Why did Biden jump on board here? Labor unions are one of his bases of support.
Since this was not a regulatory refusal, Nippon Steel does not have to pay a penalty. But it seems like USS management is saying that if that happens they will close the factory and spread the virus to the headquarters lol.
>>3 The wording “failed by regulators” is vague If it turns out that the deal will not go through, they can just say “no, we’ve given up on the acquisition after all.”
>>11 If we don’t fire the high-paid but useless old men and give the jobs and resources to the younger generation, things will get even worse Are you dissatisfied?
Well then, why don’t you just throw money at US Steel and help them out? We’re not doing this to be hostile and take over. We’re only doing it because they asked us to buy it.
It has “us” in it so it looks like it’s run by a government company, but it’s just one company If it didn’t have “us” in it, I’m sure you’d be able to buy it without a problem.
Nippon Steel should just show its intention to buy and leave it alone until it goes bankrupt. Now American heavy industry is satisfied with the dumped crude steel from China and Korea.
>>30 If the acquisition goes through, the factory, which is nearly half a century outdated, will be modernized, and restructuring will definitely occur, but the union opposed the modernization, so there is a high probability that the people targeted for restructuring will overlap with those with union titles.
US Steel is about to go bankrupt → US Steel’s second largest steelmaker declares acquisition → US Steel rejects → Nippon Steel, help us! → Nippon Steel plans to acquire Nippon Steel at a high price → Contract signed for Nippon Steel to pay 80 billion yen if acquisition fails → United Steelworkers, which has no connection to US Steel employees who want to keep their jobs, expresses opposition → US President and next presidential candidate join the fight against acquisition → US Steel’s second largest steelmaker declares “If Nippon Steel fails to acquire, we will buy it for less than the original proposal” → US Steel declares resistance by closing steelworks if acquisition of Nippon Steel fails → US President declares block to Nippon Steel acquisition What is this… Isn’t Nippon Steel being scammed by the US…?
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