Nippon Steel Defends $14.9B Bid for U.S. Steel Amid National Security Concerns

Nippon Steel has mounted a defense of its $14.9 billion bid for U.S. Steel, refuting national security concerns raised by the Committee on Foreign Investment in the United States. The company argues that its acquisition would benefit the U.S. steel industry, and dismisses suggestions of shifting production to India.

Nippon Steel is making a strong case for its $14.9 billion bid for U.S. Steel, refuting national security concerns from the Committee on Foreign Investment in the United States (CFIUS). The Japanese steel giant argues that the acquisition would bolster the U.S. steel industry and contends the opposition is politically motivated.

CFIUS describes Japan as a critical ally but suggests the acquisition could pose risks. In response, Nippon Steel and U.S. Steel claim that the committee doesn't fully consider the strong U.S.-Japan alliance and a mutual understanding on steel market safety.

CFIUS has also cited concerns about Nippon Steel potentially moving U.S. production to India. The companies counter that their U.S. market investments are unaffected by their expansion in India. Additionally, they rebuff allegations that Nippon Steel fails to seek trade relief, pointing to their active engagement in trade measures in Japan.

(With inputs from agencies.)