U.S. Steel and Nippon Steel Sue Biden Administration Over Blocked Merger
U.S. Steel and Nippon Steel have filed lawsuits against the Biden administration, alleging political bias in the decision that blocked their merger.
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U.S. Steel and Nippon Steel filed lawsuits against the Biden administration after their $15 billion merger was blocked, claiming the decision was politically motivated and prejudiced. They assert their right to a fair review was violated, and argue that the merger would strengthen U.S. national security. Additionally, they accuse rival Cleveland-Cliffs and the United Steelworkers union president of engaging in anticompetitive practices to thwart the deal. Biden defended the block, citing concerns over national security and the need for a domestically controlled steel industry.
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From the Left
Nippon Steel and US Steel have filed a federal lawsuit claiming President Biden prejudiced the merger review process and violated their right to a fair review.
The Biden administration's block of the merger is characterized as a politically motivated decision made without a rational legal basis, influenced by labor union preferences ahead of the election.
Biden's decision contradicts the interests of economic revitalization, as the proposed acquisition would have invested in U.S. steel operations and potentially improved national security against Chinese domination.
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From the Right
U.S. Steel and Nippon Steel argue that blocking their merger undermines U.S. national security and the revitalization of American steel manufacturing.
The lawsuits filed by the companies claim that Biden's action and the review process violated their due process rights, asserting that the merger would protect U.S. supply chains from China.
They accuse rival Cleveland-Cliffs and labor union leaders of anticompetitive actions, claiming that such external pressures contributed to the government's decision against the merger.
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