Politicians hate it, but the Nippon-US Steel deal is good for America

Source: The Hill
by James K Glassman

“U.S. Steel put itself up for sale last year not because it wanted to be owned by a Japanese company but because its management needed an infusion of capital and expertise to thrive in a difficult industry, and there weren’t other alternatives. An American company, Cleveland-Cliffs, offered $7 billion for U.S. Steel. Nippon, the world’s fourth-largest steelmaker, bid $14.9 billion …. Cleveland-Cliffs, which ranks 22nd globally (U.S. Steel is 24th) has its own problems. Its stock is down 40 percent this year, revenues and earnings have fallen and the company is burdened with debt and is cutting investment. It is unlikely to make another serious bid. Politicians who oppose the deal think they’re capitalizing on a new wave of protectionist sentiment. Maybe so, but if they have their way, they will simply usher U.S. Steel to its doom.” (10/17/24)

https://thehill.com/opinion/finance/4936431-politicians-hate-it-but-the-nippon-u-s-steel-deal-is-good-for-america/