Three Republican senators oppose Nippon-US Steel deal over national security. According to Reuters


© Reuters. Senate candidate JD Vance campaigns in Boardman, Ohio, U.S., February 16, 2022. REUTERS/Gaelen Morse/File Photo


(Reuters) – Three U.S. senators urged Treasury Secretary Janet Yellen to block Japan’s Nippon Steel’s $14.9 billion acquisition of U.S. Steel, citing national security concerns.

Nippon on Monday struck a deal to buy US Steel for $14.9 billion in cash, beating rivals such as Cleveland-Cliffs (NYSE: ), ArcelorMittal (NYSE: ) and Nucor (NYSE: ).

“Despite the absence of any security considerations on the part of US Steel, domestic steel production is vital to America’s national security,” said a letter Tuesday from Republican Sens. JD (NASDAQ: ) Vance, Josh Hawley and Marco Rubio.

Yellen also chairs the Committee on Foreign Investment in the United States (CFIUS), a panel that examines deals for potential national security risks. CFIUS is expected to review the transaction.

At least three Democratic senators, Sherrod Brown, John Fetterman and Joe Manchin, also expressed opposition to the deal.

The trade union United Steelworkers, which represents thousands of employees of the famous steel producer, also opposed the transaction.