Kristen RidleyThe proposed $14 billion sale of U.S. Steel to Nippon Steel has sparked debate in Braddock, Pennsylvania, where the historic Edgar Thomson Works has operated continuously since 1875. While national politicians oppose the deal, some local leaders view it as vital for the town’s survival.
Lou Ransom Jr., Braddock’s borough manager, supports the sale, expressing concern that blocking it could threaten the town’s economic stability. “Having an American name at the helm doesn’t automatically guarantee it will benefit local economies and boroughs,” Ransom noted.
The once-thriving steel town has experienced a dramatic decline, with its population dropping from approximately 20,000 residents to about 1,900 today. U.S. Steel, the town’s largest landowner and primary source of property tax revenue, now employs only 650 workers at Edgar Thomson Works, down from its peak when the company employed 340,000 people across its operations.
Nippon Steel has pledged to invest approximately $1.4 billion in four Mon Valley facilities, including three near Pittsburgh. The company states the investment “will bolster the American steel industry, create jobs, and enhance supply chains”.
Local councilwoman Chardae Jones emphasized the disconnect between state and federal opposition to the sale and local perspectives. “Have you been on the ground in my community?” Jones questioned, noting that Braddock relies heavily on tax revenue from the Edgar Thomson Works.
The United Steelworkers union has opposed the sale, arguing that Nippon Steel lacks sufficient commitment to current and retired workers[1]. Both President Biden and Vice President Harris have expressed opposition to the deal, citing national security concerns.
Citations:
[1] https://www.npr.org/2024/10/23/g-s1-29243/us-steel-sale-braddock-pennsylvania
[2] https://insideclimatenews.org/news/29092024/us-steel-sale-climate-public-health-politics/
[3] https://www.ussteel.com/about-us/locations
[4] https://www.wesa.fm/economy-business/2024-09-12/u-s-steel-1-billion-threat-to-leave-blocked-deal
[5] https://m.usw.org/news/media-center/articles/2024/planned-u-s-steel-sale-meets-anger-skepticism-usw-vows-to-fight-to-make-sure-company-lives-up-to-obligations
[6] https://www.voanews.com/a/steelworkers-lose-arbitration-case-against-us-steel-in-bid-to-derail-sale-to-nippon/7799526.html
[7] https://www.reddit.com/r/pittsburgh/comments/1gac6y3/npr_us_steels_decline_nearly_killed_this_town/
[8] https://news.gm.com/home.detail.html/Pages/news/us/en/2024/sep/0918-nacs.html
Kristen Ridley