By The Financial District
Apr 21 min
A group representing major automakers urged the White House to oppose any attempt by steelmaker Cleveland-Cliffs to acquire rival US Steel, citing concerns over potential anti-competitive pricing for vehicles, according to David Shepardson's report for Reuters.
A consolidation of the two companies would also place between 65% and 90% of steel used in vehicles under the control of a single company, Alliance for Automotive Innovation CEO John Bozzella pointed out. I Photo: Business Wire
"Alliance for Automotive Innovation CEO John Bozzella said in a letter, which was first reported by Reuters, that a consolidation of the two companies would also place between 65% and 90% of steel used in vehicles under the control of a single company."
President Joe Biden emphasized earlier this month that U.S. Steel, set to be acquired by Japan's Nippon Steel for $14.9 billion, must remain domestically owned.
Cleveland-Cliffs has indicated it would consider another bid for US Steel should the deal with Nippon Steel fall through.
The group representing automakers, which includes General Motors, Toyota Motor Corp, Volkswagen, Hyundai, and others, stressed that an arrangement resulting in a concentration of domestic steel production in a single company should not be entertained.