Concerns Raised Over Potential Political Interference in Nippon Steel Acquisition Review
Japan's largest business organization, Keidanren (Japan Business Federation), has expressed concerns to U.S. Treasury Secretary Janet Yellen about potential "political interference" influencing the U.S. government panel reviewing Nippon Steel Corp.'s acquisition of U.S. Steel.
Yellen chairs the Committee on Foreign Investment in the United States (CFIUS), which assesses the national security implications of foreign investments in the country. Keidanren, along with other business groups, sent a letter to Yellen on September 11th expressing their apprehension.
"We fear that the CFIUS process is being used to further political agendas that are outside the committee's purview and putting the U.S. economy and workers at risk," the letter stated.
The letter emphasized the importance of CFIUS remaining focused solely on safeguarding U.S. national security while upholding economic openness. Media reports have indicated that CFIUS is likely to recommend that President Joe Biden block the acquisition due to national security concerns.
The letter was co-signed by the Global Business Alliance, primarily composed of foreign companies operating in the United States, the U.S. Chamber of Commerce, and other organizations. Notably, twenty-one Japanese companies are members of the Global Business Alliance.
The letter further stressed that CFIUS should not be utilized as a tool for political maneuvering or disguised industrial policy under the guise of national security. It urged Yellen to ensure that political interference does not undermine America's investment climate.