U.S. Steel Deal "Doomed," Says Union

The United Steelworkers (USW) union has declared that it will not be pressured into accepting Nippon Steel Corp.’s acquisition of United States Steel Corp., calling the $14.1 billion deal “doomed” and vowing to fight any foreign takeover of the company, James Attwood and Josh Wingrove reported for Bloomberg News.

US Steel, headquartered in Pittsburgh, warned that plants could face closure if the sale does not proceed, prompting some workers to express support for new ownership. I Photo: United Steelworkers

In a memo addressed to “interested parties,” including the White House, USW President Dave McCall criticized US Steel executives for attempting to divide union members and retirees to push through the sale.

The memo comes as President Joe Biden has signaled he might block the deal. "Union members and retirees remain steadfast in our opposition," McCall wrote.

The two companies released communications with the USW earlier this week, claiming that union leaders had rebuffed efforts to negotiate.

US Steel, headquartered in Pittsburgh, warned that plants could face closure if the sale does not proceed, prompting some workers to express support for new ownership. "We negotiated a deal with a partner who will invest $2.7 billion in USW-represented facilities, ensuring their operation for decades to come," US Steel said in a statement.