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Pennsylvania Gov. Shapiro hits out at USS/Nippon deal

July 30, 2024

Pennsylvania Governor Josh Shapiro has come out against Nippon Steel’s proposed buy of U.S. Steel because it doesn’t have union support, according to media reports.

“Speaking from a state perspective as governor, if the US steelworkers (USW) aren’t happy with this deal, which they are not, I’m not happy with this deal,” Shapiro said Tuesday, according to an article in Reuters.

He made the remarks at an Internal Revenue Service event attended by Treasury Secretary Janet Yellen, Reuters said.

Shapiro, a Democrat, is considered to be among the top contenders to be Vice President Kamala Harris’ running mate in the upcoming presidential election.

Recall that the USW has come out publicly against the proposed acquisition of U.S. Steel by Japan’s Nippon Steel. The deal, first announced in December and valued at more than $14 billion, still needs to clear several regulatory hurdles.

“We remain committed to the transaction with Nippon Steel, which is the best deal for our employees, shareholders, communities, and customers,” U.S. Steel said in a statement to SMU on Tuesday.

When asked for comment, a spokesperson for Nippon said in a statement to SMU on Tuesday evening that “Nippon Steel has deep respect for U.S. Steel’s Pennsylvania roots.”

He continued that “our merger will not only protect but grow its presence in the Commonwealth (of Pennsylvania.). Our long-term success depends on keeping existing jobs, creating new jobs, and making major investments.”

The spokesperson concluded: “We have provided significant commitments to the USW above and beyond what exists in their current agreement and are confident that we can reach a mutually beneficial resolution. We look forward to a partnership that ensures U.S. Steel’s American workers are providing the highest quality American-made products to American customers for generations to come.”

The USW did not respond to a request for comment by the time of publication.

Ethan Bernard

Ethan Bernard is managing editor for Steel Market Update. He previously worked for American Metal Market as a copy editor in the New York office for two years, starting in 2008. Later, he copy edited AMM’s monthly magazine on a freelance basis from 2015 until 2017. With experience in financial copywriting and textbook publishing, he holds a BA in Comparative Literature from UC Berkeley, and an MFA. in Creative Writing from New York University. He can be reached at ethan@steelmarketupdate.com or 724-759-7871.