Treasury Secretary Yellen visits Pittsburgh, won't tip hand about review of pending U.S. Steel sale

U.S. Treasury Secretary Janet Yellen on Tuesday became the latest Biden administration official to visit Pittsburgh, where she toured a hospital and touted the president’s efforts to expand health care access and lower prescription drug costs.

Hosted by U.S. Rep. Summer Lee, D-Swissvale, Yellen toured West Penn Hospital, held a roundtable event at the Bloomfield facility, and then spoke in front of a crowd of more than 100 nurses, workers and other hospital staff.

Later, Yellen addressed media questions about the pending $14.9 billion sale of U.S. Steel to Japan’s Nippon Steel Corp.

Pennsylvania lawmakers in Congress — including U.S. Sens. Bob Casey and John Fetterman and Rep. Chris Deluzio of Aspinwall — have called on Yellen, as chairwoman of the Committee on Foreign Investment, to block the acquisition, citing national security concerns.

Japanese steel giant Nippon Steel Corp. announced a $14.9 billion acquisition of U.S. Steel in December with plans to retain U.S. Steel’s headquarters in Pittsburgh.

Yellen said she is not at liberty to speak about the sale.

She said the committee’s mandate is to review transactions involving foreign investment and to ensure those don’t compromise national security.

“That is a charge the committee always takes and will take very seriously,” Yellen said, adding that the Biden administration is heavily focused on the nation’s manufacturing sector and maintaining its strength.

During her speech to hospital workers, the Treasury secretary lauded the administration’s record in expanding health care access, which she said has had a positive effect on the overall economy and has saved families money.

She said that since President Joe Biden took office in 2021, more than 8 million people have gained health care coverage who didn’t previously have it.

“The work we’ve done and have ahead on health care is crucial, and it’s motivated by the same values that motivate much of our economic agenda,” Yellen said. “By making health care more accessible and affordable, we’re helping middle-class Americans live healthier, more financially secure lives.”

Yellen said more than 21 million Americans signed up for health care coverage through the Affordable Care Act, known as Obamacare, during the last enrollment period, an all-time record for the 14-year-old law.

She cited new rules pushed by the administration and passed by Congress capping insulin out-of-pocket costs at $35, leading to large savings for seniors and families and lowering federal spending.

Yellen added that increased access and limiting prescription costs for some doesn’t mean that many Americans aren’t struggling with high health care bills. She said household health care spending has increased in Pennsylvania since the 1990s, and that nearly half of all U.S. adults say it is difficult to afford health care.

“The president and I believe it is unacceptable that some people have to choose between their needs, like their health and putting food on the table,” she said.

Lee praised a provision in the Inflation Reduction Act that caps some medical costs and said that it “enables the federal government to hold drugmakers accountable.”

Lee said Congress should work to extend caps on prescription drugs to more Americans.

Yellen’s visit adds to the Biden administration’s frequent trips to Pittsburgh. Transportation Secretary Pete Buttigieg visited the city last month to announce $142 million in infrastructure spending, and first lady Jill Biden has toured the region multiple times last year to discuss workforce development strategies and successes.

Biden has struggled with low approval ratings during his presidency, and the most recent Pennsylvania poll shows him in a virtual dead heat in a likely matchup against former President Donald Trump in November’s presidential election.

Yellen had lunch at Pamela’s in the Strip District, a frequent local stop for visiting politicians and officials, and was scheduled to meet with leaders of the Allegheny Conference on Community Development in Downtown Pittsburgh to discuss economic growth strategies.

In a preview of her meeting with business leaders, Yellen touted the Biden administration’s efforts to avoid a recession despite many economic forecasters believing one was imminent coming out of the pandemic.

“Over the past three years, the Biden administration has driven the strongest economic comeback of our lifetimes,” Yellen said. “The recession that many had predicted … that hasn’t happened.”

She said inflation cooled more quickly than it has in other large countries. Yellen said inflation is down by two-thirds since its peak, and prices for gas, eggs and air travel have declined.

Yellen added that household median wealth grew by 37% from 2019-2022, the largest three-year increase on record, and that inflation-adjusted wages also have increased for many.

Despite the economy growing, Yellen noted the Biden administration recognizes that middle-class families are still facing large bills. She said it is a high priority for the administration to address the costs of some goods.

Pittsburgh, like the rest of the country, is experiencing a decades-low unemployment rate. But unlike many parts of the U.S., Pittsburgh’s economic rebound from the pandemic has been anemic.

Yellen told reporters following her speech that investment in infrastructure, semiconductor manufacturing and clean energy will lead to the creation of more jobs in Pittsburgh.

She also praised Biden’s focus on workforce training in increasing jobs numbers in Pittsburgh.

The Biden administration designated Pittsburgh a workforce development hub last year.