Ada Recinos at ada.recinos@sierraclub.org
WASHINGTON, DC – Today, the Biden Administration rejected the proposed acquisition of the U.S. Steel Corporation by Nippon Steel Corporation, determining it posed a national security risk to the United States.
Sierra Club Executive Director Ben Jealous stated: “President Biden continues to build on his lasting legacy prioritizing frontline communities and the environment. Rejecting Nippon’s plans to lock in decades of coal reliance in steelmaking addresses climate and health harms from an industry that has been a legacy polluter, and in doing so, makes room for our manufacturers to modernize the iron and steelmaking process. Exacerbating harm to our clean air and water, our health, and our collective future is a clear human security risk to our nation. The Sierra Club applauds President Biden for recognizing that and taking decisive action to protect Americans.”
The plans laid out by Nippon Steel for Gary Works and Mon Valley Works would have locked in outdated and pollution-intensive coal-based steelmaking in the United States until 2050. In a letter sent on December 9, Nippon Steel Vice Chairman Takahiro Mori promised to extend the life of coal-consuming blast furnaces at Gary Works with a $300 million investment and make similar investment to all six currently operating blast furnaces by 2030.
Nippon Steel’s proposed plans focused on sustaining the status quo, which has not been favorable for US Steel. Moreover, Nippon Steel’s plans did nothing to address the immense burdens borne by the communities around the mills as a consequence of coal-based iron and steelmaking in the form of diminished health and premature deaths. Recent estimates based on EPA data suggest that coal-based iron and steelmaking pollution is responsible for health-related costs of between $6.9 and $13.2 billion annually.
About the Sierra Club
The Sierra Club is America’s largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.