Steel Mills
Biden decision on USS/Nippon deal due by Jan. 7: Report
Written by Ethan Bernard
January 2, 2025
The Biden administration faces a Tuesday, Jan. 7, deadline for a decision on the Nippon Steel/U.S. Steel deal, according to a Dec. 31 article in The Washington Post.
Meanwhile, the Japanese steelmaker sent a document to the White House on Monday saying it will give the government veto power over any cut in U.S. Steel’s “production capacity,” the article said.
This offer comes as the Committee on Foreign Investment in the United States (CFIUS) recently delivered a split decision on whether the deal poses a national security threat. That gives President Biden the final decision on the fate of the transaction.
The $14.9-billion deal was first proposed over a year ago in December 2023. Since that time, it has faced growing opposition from politicians, including both Biden and President-elect Trump.
Also, from the deal’s first announcement, it has been vociferously opposed by the United Steelworkers (USW) union.
USW jeers
The union released a letter on Thursday responding to the reported Nippon offer to the White House.
“According to the press, Nippon says it will allow capacity to be monitored,” the letter said.
However, the USW said the Japanese steelmaker “fails to commit to maintaining production for the long term or actually strengthening domestic capacity in integrated facilities.”
The letter continued that protecting capacity “only means mothballing our equipment, allowing it to rust away to the point that it is no longer feasible to re-start.”
It concluded that this attempt is nothing but a “’Hail Mary’ pass destined to fall to the ground.”
The letter was signed by USW International President David McCall and District 7 Director and Chairman of the USW negotiating committee Mike Millsap.
A request for comment from Nippon was not returned by time of publication.
Ethan Bernard
Read more from Ethan BernardLatest in Steel Mills
Cliffs unveils new hydrogen-powered stainless line in Ohio
CEO Lourenco Goncalves, flanked by state leaders and union reps, touted the project as proof that US manufacturing is not only alive, but also advancing.
Cliffs idles Steelton, Riverdale, and Conshohocken operations
Cliffs has idled facilities in Riverdale, Ill., and Conshohocken and Steelton, Pa.
Radius loss narrows, volumes climb in ‘healthy’ West Coast market
Stronger steel demand in the Western US, rising scrap flows, and improved rolling mill utilization drove sequential gains for Portland, Ore.-based Radius Recycling.
AISI: Raw steel production backs off multi-year high
US raw steel output edged lower last week after hitting a multi-year high in mid-June, according to the American Iron and Steel Institute (AISI).
Private equity firm Atlas Holdings to acquire Evraz North America
Atlas Holdings said it has signed a definitive agreement to acquire Evraz North America (Evraz NA). The Greenwich, Conn.-based private equity firm said it expects the deal for the Chicago-based steelmaker to close in the second quarter of 2025 subject to various closing condition.