Kaptur and Deluzio, With Labor Caucus Co-Chairs Norcross, Pocan, Dingell, Horsford, Lead Letter To President Biden Calling To Block Nippon Steel Acquisition of US SteelPress[...]

Washington, DC - Today, Vice Chairs of the Congressional Labor Caucus Congresswoman Marcy Kaptur (OH-09), and Congressman Chris Deluzio (PA-17) together with the Co-Chairs of the Labor Caucus Congressman Donald Norcross (NJ-01), Congressman Mark Pocan (WI-02), Congresswoman Debbie Dingell (MI-12), and Congressman Steven Horsford (NV-04) led a letter to President Biden calling for him to block the sale of American owned US Steel to a foreign buyer, Japanese owned Nippon Steel. This follows a previous letterin January 2024 led by Congresswoman Kaptur and Congressional Labor Caucus Co-Chairs Representatives Mark Pocan, Donald Norcross, Steven Horsford, and Debbie Dingell along with Representatives Chris Deluzio, Emilia Sykes, Nikki Budzinski, and 45 other bipartisan Members of Congress urging the Biden Administration to ensure a comprehensive regulatory review of Nippon Steel's acquisition of US Steel.

Other signers include Representatives: Brendan Boyle (PA-02), Shontel Brown (OH-11), Nikki Budzinski (IL-13), Andre Carson (IN-02), Greg Casar (TX-37), Mark DeSaulnier (CA-10), John Garamendi (CA-08), Val Hoyle (OR-04), Jonathan Jackson (IL-01), Hank Johnson (GA-06), Timothy Kennedy (NY-26), Ro Khanna (CA-17), Dan Kildee (MI-08), Greg Landsman (OH-01), Stephen Lynch (MA-08), Frank Mrvan (IN-01), Eleanor Holmes Norton (DC-00), Katie Porter (CA-47), Andrea Salinas (OR-06), Hillary Scholten (MI-03), Eric Sorensen (IL-17), Haley Stevens (MI-11), and Emilia Sykes (OH-13).

"American steel manufacturing has been a cornerstone of our nation's industrial might for decades. Our ability to manage our production and domestic supply of steel is paramount to American national security and the stability of our economy. The proposed acquisition continues to raise serious concerns about how it might threaten the viability of US steel manufacturing," said the Members.

"Given the thorough reviews of Nippon Steel's past trade practices that have unfairly endangered US steel manufacturing and steel worker jobs, as well as the known national security implications of its proposed acquisition of US Steel, we call for your strong repudiation of the merger on or before the December 22, 2024 end of CFIUS's third 90-day review period. The decision is critical to the stability of our industrial base and economic security as well as the guaranteeing of our steel supplies which are essential to our defense production," continued the Members.

A full copy of the letter can be found by clicking here, or reading below:

Dear President Biden:

We are writing with regards to the Administration's review of the announced acquisition of US Steel by Nippon Steel. American steel manufacturing has been a cornerstone of our nation's industrial might for decades. Our ability to manage our production and domestic supply of steel is paramount to American national security and the stability of our economy. The proposed acquisition continues to raise serious concerns about how it might threaten the viability of US steel manufacturing.

We welcome your statements since the announcement of the deal expressing your shared concern about the takeover and your inclination to prevent the deal from moving forward. As many of us signed the January 3, 2024 letter calling on your administration to "use all available tools to ensure comprehensive regulatory review of this deal and implications for US workers and our industrial base", we were pleased to see the Committee on Foreign Investment in the United States's (CFIUS) deliberative investigation into the matter. The reported preliminary findings of CFIUS's investigations affirm our shared concerns regarding the deal's national security implications and the danger it poses to our domestic steel supplies, which remain so critical to our manufacturing and defense industries.

Despite Nippon Steel's press releases and verbal reassurances in response to CFIUS's review that it will invest billions of dollars in US steel manufacturing while guaranteeing no related jobs will be transferred outside of the US, they have failed to put forth any enforceable commitments in writing to hold them to their word. In addition, recent findings by the Department of Commerce raise questions about the company's commitments to the US steel industry. On November 13, 2024, the International Trade Administration preliminarily determined that Nippon Steel dumped hot-rolled steel products on the US market by a margin of 29.03 percent during the period between October 1, 2022 and September 30, 2023. The substantial increase in the dumping margin from the previous level of 1.39 percent is a worrisome trend that strongly suggests the company, while publicly promising to protect US steel workers, continues to embrace anti-competitive trade practices which will harm those same workers.

Given the thorough reviews of Nippon Steel's past trade practices that have unfairly endangered US steel manufacturing and steel worker jobs, as well as the known national security implications of its proposed acquisition of US Steel, we call for your strong repudiation of the merger on or before the December 22, 2024 end of CFIUS's third 90-day review period. The decision is critical to the stability of our industrial base and economic security as well as the guaranteeing of our steel supplies which are essential to our defense production. Thank you for your historic and continued support for American manufacturing and steel workers.

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