Nippon Steel pledges to move US HQ to US Steel’s Pittsburgh

Published Tue, Mar 19, 2024 · 10:55 AM

NIPPON Steel would move its United States headquarters to Pittsburgh where its acquisition target US Steel is based if the deal goes through, an executive said, adding to the pledges from the Japanese steelmaker to secure the transaction.

Nippon Steel’s proposed US$15-billion takeover of US Steel has drawn sharp criticism in the US where President Joe Biden said last week the asset should remain domestically owned while his opponent in the November presidential vote, Donald Trump, promised to block the deal if he is re-elected.

The Japanese company, the world’s fourth biggest steelmaker, has been in talks with the United Steelworkers (USW), a labour union key for Biden and Trump in the upcoming November elections and which so far was opposing the deal.

“Not only are we keeping the Pittsburgh headquarters – which other bidders would not be able to do – but we are planning to move Nippon Steel’s existing US headquarters from Houston to Pittsburgh,” executive vice-president Tahahiro Mori, Nippon Steel’s key negotiator on the deal, was quoted as saying.

In comments released in a US Steel document to the US Securities and Exchange Commission overnight, Mori said his company remained engaged with the USW and has offered a number of specific commitments on job security, investments and others.

Nippon Steel would honour all agreements currently in place between the US Steel and the USW, will not cut jobs, close facilities or move more production overseas, Mori reiterated. REUTERS