Kamala Harris, the Democratic presidential candidate, announced during a visit to Pennsylvania on Monday that US Steel should remain owned and managed by Americans. This statement adds another setback to the takeover bid by the Japanese conglomerate Nippon Steel. Harris' position reflects the stance of President Joe Biden, who is also against the deal. With Harris now nominated as the Democratic candidate for the presidency, her statements gain additional significance.
In Pittsburgh, where Harris celebrates Labor Day and campaigns for union votes in two key industrial states, she emphasized her support for American steelworkers. "The Vice President will stress that US Steel should remain American-owned and operated by Americans," said a representative of her campaign.
The planned acquisition of US Steel by Nippon Steel worth 15 billion dollars is under significant political pressure. Economic protectionism is on the rise in the USA, leading to bipartisan resistance against foreign takeovers. Former President and Republican candidate Donald Trump has also promised to block the takeover by Nippon Steel.
US Steel emphasized that it was sticking to the deal. "The partnership with Nippon Steel, a long-time investor in the United States from our close ally Japan, will strengthen the American steel industry, American jobs and supply chains, and increase the competitiveness of the US steel industry against China," the company said in a statement.
Nippon Steel has hired former U.S. Secretary of State Mike Pompeo to promote the deal and promised to increase investments in U.S. Steel facilities if the acquisition is completed. However, Harris's statement will complicate these efforts.
Harris has the support of most major US labor unions, which represent a significant constituency within the Democratic Party and mobilize voters in key states. Both the United Steel Workers and the United Auto Workers have backed Harris since she entered the race.
Despite the support of the union leaders, Harris still needs to win over the rank-and-file union members, who, in recent years, have increasingly shifted towards the Republican Party. An exception is the Teamsters Union, which has not yet endorsed any presidential candidates.
According to polls, Harris leads nationwide by 3.7 percentage points ahead of Trump, with just over two months remaining until Election Day.
