Nippon Steel Corp. said Friday it is committed to its $14.1 billion plan to acquire United States Steel Corp. after U.S. President Joe Biden voiced opposition to the buyout plan.
"Our transaction delivers clear benefits to U.S. Steel, union workers, the broader American steel industry, and American national security," Nippon Steel said in a statement. "We are determined to see this through and complete the transaction."
Japan's largest steelmaker also announced there will be no layoffs and plant closures until September 2026 under certain conditions and pledged to make additional investments worth $1.4 billion after the completion of the deal.
The company also said the deal will strengthen American supply chains and economic defenses against China.
The statement was released after Biden said Thursday that the iconic U.S. firm should be domestically owned, with votes from steelworkers in swing states seen as increasingly important for Biden as the November U.S. presidential election nears.
"It is important that we maintain strong American steel companies powered by American steel workers. I told our steel workers I have their backs, and I meant it," Biden said in a statement Thursday.
Biden's expected rival in November, former President Donald Trump, has also said he would "block" Nippon Steel's plan, announced in December. United Steelworkers, a major labor union, is opposed to the deal, which would create the world's third-largest steelmaker by volume.
In Friday's statement, Nippon Steel reiterated its commitment to the U.S. economy, saying it has imported metallurgical coal from the United States for over 70 years and employs about 4,000 American employees.
"No other U.S. steel company on its own can meet this challenge while also meeting antitrust requirements," it said. "Nippon Steel is the right partner to ensure that U.S. Steel is successful for generations to come as an iconic American company.
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