Treasury Secretary Yellen discusses sale of U.S. Steel to Japanese company
PITTSBURGH (KDKA) -- The proposed acquisition of U.S. Steel by a Japanese steelmaker puts the treasury secretary in the middle of a controversial deal.
Local elected officials have called on Treasury Secretary Janet Yellen to stop the transaction. In an exclusive interview, KDKA-TV political editor Jon Delano pressed Yellen on what she was going to do.
Many people in Pittsburgh were shocked in December when the iconic U.S. Steel corporation accepted a $14.9 billion deal to be acquired by Nippon Steel, Japan's largest steelmaker.
That brought immediate howls from the United Steelworkers Union and a bipartisan group of elected officials, including Sens. Casey and Fetterman and Congressman Deluzio, who called on Yellen to block the transaction.
"I head a body called CFIUS. It stands for the Committee on Foreign Investment in the United States, and we are charged with examining foreign direct investments in the United States to see if they have negative implications for national security," Yellen said.
Yellen chairs CFIUS, an interagency government body that should determine whether or not Nippon's purchase of U.S. Steel threatens America's ability to make steel and, hence, our national security.
Delano asked her how the investigation is going with respect to Nippon Steel.
"I regret that I cannot comment on any specific case. I can't even comment on whether or not we're looking at a particular matter," Yellen said.
Yellen says she cannot even confirm that she and CFIUS are even looking at this deal, but added, "We take national security very seriously, and our job is to protect it, and we will do that."
Delano: "What would happen, what could happen should you examine this deal and find national security issues?"
Yellen: "Well sometimes a deal is simply banned outright, and sometimes when the national security issues can be addressed, sometimes an arrangement can be put in place."
Yellen gave no indication of what CFIUS was doing or considering at this moment, so KDKA-TV tried a different question.
Delano: "Do you think that it's critical to American security to have a domestic steel industry that is healthy and strong in the United States?"
Yellen: "Well President Biden and I believe that a strong manufacturing sector is critical for America's economy and to create good jobs."
MORE: Biden believes sale of U.S. Steel to Japanese company deserves 'serious scrutiny,' White House says
This is likely to become a political issue in the states key to this presidential election like Pennsylvania. Former President Donald Trump has already pledged to stop the deal, while President Joe Biden recently told the United Steelworkers he has their back without indicating publicly whether he, too, will block the transaction.
Yellen was in Pittsburgh Tuesday, using a visit to a local hospital as a backdrop for her message on reducing health care costs.
Touring West Penn Hospital in Bloomfield, Secretary Yellen visited the hospital's new skin cancer center, but in a panel discussion following, she praised the administration's Inflation Reduction Act.
"Bringing down health care and prescription drug costs is a top priority for the Biden administration. It's something I've been focused on as treasury secretary," Yellen said.