The Biden Administration’s Role in Protecting Domestic Industries
The Biden administration’s decision to block Nippon Steel’s acquisition of US Steel has sparked significant debate, with opinions ranging from cautious support to strong opposition. One key figure in explaining the rationale behind this decision is Todd N. Tucker, Director of Industrial Policy and Trade at the Roosevelt Institute. Writing in The Nation, Tucker emphasized that the future of US steel production could have national security implications, noting that losing domestic steel sources might pose a risk in times of crisis, even if it seems less critical today.
The takeover’s potential impact extends beyond economic concerns, as it raises the question of how the United States should manufacture its steel in the future. Should the country rely on foreign companies or bolster its own steel production capabilities? This dilemma is compounded by labor and environmental concerns, as these issues are also seen as intertwined with national security. Tucker points out that U.S. laws, such as the Defense Production Act, allow policymakers to consider the long-term health of the economy, the workforce, and energy security when making decisions about critical manufacturing sectors.
Economic and Security Implications of Foreign Ownership
Tucker’s analysis also delves into the economic and security considerations that influenced the administration’s decision. The debate centers on whether American taxpayers would be better off supporting a domestic firm over a foreign one, especially as subsidies may be necessary to address challenges such as Chinese competition and climate change. The central question is whether it’s more beneficial to trust corporate executives with lucrative severance packages or to prioritize unions that have a vested interest in ensuring the survival and health of the steel industry in the United States.
At the heart of the issue is the long-term viability of the steel industry in the U.S., as national security considerations weigh heavily on maintaining a self-sufficient and competitive domestic production capacity. This is particularly important as industries like steel play a foundational role in supporting defense needs and economic stability.
The Four Freedoms and Their Relevance Today
While the US Steel decision dominated headlines, it’s also important to reflect on the enduring legacy of Franklin D. Roosevelt’s vision of economic and social freedoms. In January 1941, FDR delivered his famous “Four Freedoms” speech, which outlined essential human freedoms: freedom of speech, freedom of belief, freedom from want, and freedom from fear. These freedoms have since become a defining framework for human rights and prosperity, both in the U.S. and worldwide.
FDR’s vision evolved in his 1944 State of the Union address, where he introduced a "Second Bill of Rights" that focused on economic rights, including the rights to adequate food, housing, health care, education, and the means to earn a living. These ideas would later influence global human rights discussions, with Eleanor Roosevelt championing the Universal Declaration of Human Rights at the United Nations.
Today, the Roosevelt Institute continues to honor FDR’s legacy through the Four Freedoms Awards, which recognize individuals and organizations committed to advancing the cause of these essential freedoms. FDR’s call for economic rights, freedom from want, in particular, remains a vital aspiration as the world grapples with new challenges, from climate change to economic inequality.
A New Era of Economic Rights
As we move into 2025, the principles laid out by Roosevelt more than 80 years ago continue to resonate. The pursuit of human dignity, social justice, and economic security remains as crucial as ever. Whether through policy decisions like the US Steel takeover block or the ongoing global fight for human rights, Roosevelt’s vision serves as a guiding light for efforts aimed at ensuring prosperity and freedom for all.
In the coming years, it’s likely that both the U.S. and the international community will need to address the balance between protecting domestic industries, securing labor rights, and confronting global challenges such as climate change and inequality. Just as Roosevelt envisioned a world where all people could live free from fear and want, today’s leaders must strive to create policies that honor these rights in a rapidly changing global landscape.
