Employees of United States Steel Corporation (NYSE: X) (“U. S. Steel”) today will host a rally at the U. S. Steel Tower in Pittsburgh in support of the Nippon Steel transaction. Employees will call on elected officials in Pennsylvania and across the nation to recognize the significant merits of the transaction for U. S. Steel employees, communities, customers, and 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,” said President and Chief Executive Officer of U. S. Steel, David B. Burritt.
Without the Nippon Steel transaction, U. S. Steel will largely pivot away from its blast furnace facilities, putting thousands of good-paying union jobs at risk, negatively impacting numerous communities across the locations where its facilities exist, and depriving the American steel industry of an opportunity to better compete on the global stage. In addition to moving away from integrated steelmaking, the lack of a deal with Nippon Steel raises serious questions about U. S. Steel remaining headquartered in Pittsburgh. The departure of U. S. Steel, a company that has been making steel in the Mon Valley since 1901, would deprive the Pittsburgh area of jobs, tax revenue, and community-based contributions. A 2023 economic impact study shows that U. S. Steel’s operations in PA generated $3.6 billion in total economic impact, supported and sustained 11,417 jobs through its operations and purchases from the local supply chain, and generated $138.2 million in state and local taxes as a result of operations and capital spending.
On December 18, 2023, Nippon Steel announced that it would acquire U. S. Steel and that together, the companies would create “the best steelmaker with world-leading capabilities.”
U. S. Steel stockholders approved the transaction on April 12, 2024. More than 98% of the shares that were voted at the Special Meeting voted in favor of the transaction.
On May 30, 2024, Nippon Steel and U. S. Steel announced that they had received all regulatory approvals outside of the United States related to the proposed transaction.
On August 28, 2024, Nippon Steel announced plans to invest over $2.7 billion in USW-represented facilities at Mon Valley Works in Pennsylvania and Gary Works in Indiana in support of the future of manufacturing for those communities. Those investments are subject to the closing of the transaction with U. S. Steel and receipt of necessary regulatory approvals. A stand-alone U. S. Steel would not make the same financial commitments.
About U. S. Steel
Founded in 1901, United States Steel Corporation is a leading steel producer. With an unwavering focus on safety, the Company’s customer-centric Best for All® strategy is advancing a more secure, sustainable future for U. S. Steel and its stakeholders. With a renewed emphasis on innovation, U. S. Steel serves the automotive, construction, appliance, energy, containers, and packaging industries with high value-added steel products such as U. S. Steel’s proprietary XG3® advanced high-strength steel. The Company also maintains competitively advantaged iron ore production and has an annual raw steelmaking capability of 22.4 million net tons. U. S. Steel is headquartered in Pittsburgh, Pennsylvania, with world-class operations across the United States and in Central Europe. For more information, please visit www.ussteel.com.
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