Blocking Nippon Steel from acquiring U.S. Steel reveals "America First" approach

Cartoon by Ma Hongliang.

In early January, former U.S. President Joe Biden announced a block to Japan's Nippon Steel's acquisition of U.S. Steel. The two steelmakers requested a postponement of the acquisition from the Committee on Foreign Investment in the United States (CFIUS) and were granted an extension until June 18, 2025.

In December 2023, Nippon Steel announced a plan to buy U.S. Steel for $14.9 billion. To push the acquisition forward, Nippon Steel made multiple concessions. In April 2024, an extraordinary shareholders meeting held by U.S. Steel approved Nippon Steel's acquisition plan. However, the acquisition came to a halt following Biden's announcement.

Under the guise of "national security," the U.S. has politicized the acquisition, using its ally as a pawn. This starkly exposes the "America First" approach of the U.S.