Steel Mills
USW still worried, even with Biden’s support in USS-Nippon deal
Written by Laura Miller
February 5, 2024
While it may have the support of President Biden, the United Steelworkers (USW) union remains concerned about the proposed sale of U.S. Steel to Nippon Steel Corp. (NSC).
On Fri., Feb. 2, the USW reported that it had been in communication with the White House regarding the potential sale.
“We received personal assurances that President Joe Biden has our backs,” the union wrote in a letter to its members. “He’s long demonstrated his commitment to American workers and our union, and we’re grateful for his close attention to this situation.”
The White House did not respond to SMU’s request for additional information.
USW meeting with U.S. Steel
The USW and U.S. Steel met on Friday to discuss the union’s grievances regarding contract violations as the steelmaker’s board seeks to sell the entire company to Japan’s NSC.
In the Feb. 2 letter to members, the union said the Pittsburgh-based steelmaker “showed little interest in solving problems, and indicated it will deny the grievances.”
One of the union’s issues with the proposed deal is that NSC’s Houston-based holding company, Nippon Steel North America (NSNA), will assume responsibility for the steelmaker’s labor contracts with the union.
However, the union says this is a violation of the successorship clause in its basic labor agreement that is meant to protect it from having contracts pushed down to subsidiary companies.
“While there was no resolution reached during the meeting, U.S. Steel will continue to participate in the process, maintaining that we not only complied with all requirements under the basic labor agreements, but also that the proposed acquisition by Nippon Steel is the best path forward for all employees,” USS said in statement after the meeting.
“Our USW-represented employees are an integral part of our operations today and in the future, and we look forward to continuing to work together collaboratively,” USS added.
At the time of this story’s publication, NSC had not responded to SMU’s request for comment.
Laura Miller
Read more from Laura MillerLatest in Steel Mills
Mexico’s TYASA breaks ground on SBQ rolling mill
Mexican steelmaker Talleres y Aceros (TYASA) broke ground this month on the construction of a new special bar quality (SBQ) rolling mill in the state of Veracruz.
Goncalves sees more US trade actions ahead, says Nippon deal for USS has ‘zero chance’
Cleveland-Cliffs’ Lourenco Goncalves thinks trade measures announced by the US government on Tuesday against China were just the opening salvo in a series of trade actions. Case in point: The Biden administration targeted China’s “unfair” trade policies with additional tariffs on an array of Chinese-made goods - including steel, aluminum, and EVs.
Nucor holds weekly HRC price steady after last week’s cut
Nucor chose to hold its consumer spot price (CSP) for hot-rolled (HR) coil steady this week after stunning the market last week with a significant price decline. The steelmaker said in a letter to customers on Monday morning that its $760-per-short-ton (st) CSP base price for HR coil is effective immediately. The price is unchanged from the CSP announced on May 6 but down $65/st from $825/st April 29.
Nucor’s Jellison set to retire, Spicer tapped for EVP role
Nucor said EVP Douglas J. Jellison plans to retire on June 8 after more than 33 years with the company. Randy J. Spicer will be promoted to EVP effective May 12.
Republican Senators demand Biden block USS sale to Nippon
Three vocal Republican senators are demanding that President Joe Biden block the sale of U.S. Steel to Japan’s Nippon Steel.