Blocking U.S. Steel Is an Unforced Error

The Biden administration is poised to reject Japanese-owned Nippon Steel acquisition of U.S. Steel according to reports in the Washington Post and elsewhere, a decision that appears driven purely by political considerations rather than national security interests. Taking this neo-protectionist stance will bar much-needed capital and innovation in America’s steel industry and alienate a crucial ally in the process. Swing states such as Pennsylvania, where the United Steelworkers are based, may ultimately determine who wins the White House.