US steels itself to be more protectionist

If there is anyone out there who is still doubtful about which country poses the biggest threat to economic globalization by chipping away at the free market, the proposed merger between Japan's Nippon Steel and US Steel should serve to settle the issue.

Nippon Steel announced in December that it planned to buy the Pittsburgh-based steel producer for $14.1 billion in a deal that many in the business community believe would benefit union workers and the US steel industry. Moreover, Nippon Steel, the world's fourth-largest steelmaker, has even tried to gild the lily for Washington by describing it as a useful means to counter the leading role that China plays in steelmaking globally.

"Nippon Steel will advance American priorities by driving greater quality and competitiveness for customers in the critical industries that rely on American steel while strengthening American supply chains and economic defenses against China," it said in a statement. Akira Amari, a senior Japanese ruling party lawmaker, called the proposed deal "a symbol of Japan-US cooperation as allies... to confront China's rising technological capability".