After Joe Biden announced his government intended to block Nippon Steel’s acquisition of US Steel, another name decided to throw its hat in the ring. During a press conference in western Pennsylvania on Monday, Lourenco Goncalves, the CEO of American steel manufacturer Cleveland-Cliffs, said that his company was planning to bid again for US Steel after making a rejected offer in 2023. He described it as an “all-American solution” to save the famous US steelmaker. Rather than leaving it at that, though, he also decided to go on an explosive tirade against Japan.
Cleveland-Cliffs CEO Claims Japan ‘Did Not Learn Anything Since 1945’
“Japan is evil. Japan taught China a lot of things,” he said. “Japan taught China how to dump, how to have overcapacity, how to overproduce.” Goncalves, who was born in Brazil, also criticized Japanese Prime Minister Shigeru Ishiba for expressing his concern regarding Biden’s decision. He added, “Japan beware. You did not learn anything since 1945. You did not learn how good we are, how gracious we are, how magnanimous we are, how forgiving we are.” The press conference, which was ostensibly held to mark the five-year anniversary of Cleveland-Cliffs acquisition of AK Steel, ran for around 90 minutes.
According to media outlet CNBC, Cleveland-Cliffs is planning to team up with local rival Nucor for the deal. The aim is to acquire US Steel, before selling its electric-furnace subsidiary to Nucor say sources familiar with the matter.
US Steel ‘Committed’ to Nippon Steel Merger
Despite Goncalves’ comments, US Steel said in a statement it remained “committed to completing” its merger with Nippon Steel. “Only Nippon Steel’s partnership will deliver $55 per share to our shareholders and guarantee the significant capital investments and technology sharing needed to ensure a strong US Steel for generations to come and protect jobs,” it said.
The Japanese government, meanwhile, decided to dodge questions on the matter. “We are aware of the news reports, but the government would like to refrain from commenting on every single statement made by the management of single companies,” said Chief Cabinet Secretary Yoshimasa Hayashi.
