BIDEN PROMISES TO BLOCK SALE OF U.S. STEEL TO JAPANESE COMPANY
PITTSBURGH — President Joe Biden promised cheering, unionized steelworkers on Wednesday that his administration would block the acquisition of U.S. Steel by a Japanese company, and he called for a tripling of tariffs on Chinese steel, seeking to use trade policy to win over working-class votes in the battleground state of Pennsylvania.
The Democratic president’s pitch comes as Donald Trump, his likely Republican opponent, tries to chart a path back to the White House with tough-on-China rhetoric and steep tariff proposals of his own.
During a visit to the Pittsburgh headquarters of United Steelworkers, Biden said U.S. Steel “has been an iconic American company for more than a century and it should remain totally American.”
Administration officials are reviewing the proposed acquisition of U.S. Steel by Japan’s Nippon Steel, and Biden said last month he would oppose the deal, saying it was “vital for it to remain an American steel company that is domestically owned and operated.”
But in front of a union audience, he went much further in pledging to block the sale.
“American-owned, American-operated by American union steelworkers — the best in the world — and that’s going to happen, I promise you,” he said.
In another step that his administration argues can protect domestic steelworkers, Biden also announced that he will push for higher tariffs on Chinese steel and aluminum, aiming to insulate American producers from a flood of cheap imports.
Biden’s push on steel reflects the intersection of international trade policy with his reelection effort, although the White House insisted they were more about shielding American manufacturing from unfair trade practices overseas than firing up a union audience.
The current tariff rate is 7.5% for both steel and aluminum but could climb to 25% under Biden’s proposal.