In a new blog post, Cato Institute trade expert Scott Lincicomeargues that the Biden administration’s approval of the U.S. Steel–Nippon merger—paired with a new “golden share” for the federal government—amounts to a quiet nationalization.

The order gives the president sweeping veto power over key corporate decisions, including relocating facilities, altering supply chains, or reducing U.S. jobs.

“By the U.S. government’s own standards, this is what nationalization looks like,” Lincicome writes. “It invites political interference and risks turning a private company into a state-controlled one.”

Cato scholars note the national security justification is thin—the U.S. military uses just 3% of domestic steel output.

Scott Lincicome is available for interviews, please feel free to reach us as esalamon@​cato.​org