Japanese company vows U.S. Steel would be American-run as election-year takeover faces mounting opposition

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US STEEL DRN,United States,Business

The pledge by Nippon Steel, Japan’s largest steelmaker, comes after Vice President Kamala Harris said the U.S. company “should remain American-owned.”

The United States Steel Corp. Edgar Thomson Works steel mill in Braddock, Pennsylvania, US, on Tuesday, Dec. 19, 2023.said Wednesday that U.S. citizens would make up the majority of the board of directors, as the $15 billion proposal faces mounting political opposition ahead of the U.S. election in November.

"It is vital for our nation to maintain strong American steel companies," Harris said to applause in Pittsburgh, where U.S. Steel is based. "And I couldn't agree more with President Biden, U.S. Steel should remain American-owned and American-operated." In a statement on Monday, U.S. Steel said it remained "committed to the transaction with Nippon Steel, which is the best deal for our employees, shareholders, communities and customers."

It said U.S. citizens would make up an internal officer-level "trade committee" that will make recommendations to the U.S. Steel board on trade matters and document the decision-making process, and that decisions on trade matters would require approval by a majority of the independent American directors "to ensure that such decisions are made without interference by Nippon Steel.

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