On Wednesday, workers at Pittsburgh-based U.S. Steel hosted a rally at U.S. Steel Tower in support of the proposed transaction with Nippon Steel.
Employees with the steel plant said the transaction will protect jobs and invest billions into the company’s union operations. Workers called on Pennsylvania’s elected officials to recognize the merits of the transaction for them, for their communities and for American steelmaking.
“Today’s rally is about displaying support for the transaction with Nippon Steel. We want elected leaders and other key decision makers to recognize the benefits of the deal as well as the unavoidable consequences if the deal fails,” David B. Burritt, president and CEO of U. S. Steel, said.
Officials said without the Nippon Steel transaction, U.S. Steel will pivot away from its blast furnace facilities, putting thousands of union jobs at risk, and depriving the American steel industry of the ability to compete on a global stage. Some even suggested that without the Nippon Steel transaction, there is a possibility U.S. Steel would not retain its headquarters in Pittsburgh, eliminating jobs and tax revenue, which would leave a $3.6 billion economic hole in the area.
In December of 2023, Nippon Steel said it would acquire U.S. Steel, and that the combined companies would create the “best steelmaker with world-leading capabilities.” U.S. Steel stockholders approved the transaction in April, with more than 98 percent voting in favor of the transaction. The two companies received all regulatory approvals outside of the United States in May. Since then, Nippon Steel has announced plans to invest more than $2.7 billion in USW-represented facilities at Mon Valley Works in Pennsylvania and Gary Works in Indiana to support manufacturing in those communities. The investments are subject to the closing of the transaction and necessary regulatory approvals.