This week in Bidenomics: Stranded steelworkers

Published On Jan 4, 2025, 10:00 AM

President Biden has blocked Nippon Steel's $14.9 billion bid to purchase US Steel, citing concerns over national security and the importance of maintaining American ownership in vital industries. This decision has unfavorable implications for US Steel, which is struggling financially and might have to close plants, laying off workers if it remains independent. Biden's move aims to secure union support ahead of the elections but leaves US Steel in a precarious position without a clear path forward or viable options for improvement.

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Biden's decision to block Nippon Steel's acquisition places US Steel in a fragile position as it faces mounting losses and potential layoffs. This may lead investors to weigh the stock's long-term viability against its current struggles.

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(Bloomberg) -- (Bloomberg) — For months, United States Steel Corp. argued that selling out to Japanese-owned Nippon Steel Corp. was the only way to survive. President Joe Biden thought different, concluding that even a takeover by a company based in close ally Japan wasn’t enough to allay national-security concerns.Most Read from BloombergIs This Weird Dome the Future of Watching Sports?NYPD Seeking Gunmen After 10 People Wounded Outside Queens VenueDetroit’s Michigan Central Is the Building Rev