In our “if you see something, say something” watchdog role, we have been reading the fine print of the Nippon-U.S. Steel deal.

We have always been strong advocates of the Nippon Steel acquisition. It makes sense for the U.S. economy, American steel workers, and the U.S. Steel shareholders.

But in some ways, it looks like the U.S. government did the acquiring here. Or at least Uncle Sam is now a part owner.

The deal requires Nippon Steel to give the U.S. government a “golden share” in the company, and entitles the American president to have a de facto veto power over some of Nippon’s American operations.

Those broad presidential veto powers include:

• • • Any decision to relocate U.S. Steel’s headquarters from Pittsburgh, Pennsylvania.
    • Reducing or delaying the $14 billion of investments into U.S. Steel
    • Transfer jobs outside the United States
    • Closing or idling plants for economic reasons.

Deal supporters say the arrangement simply reflects powers a president already has under the Defense Production Act. Perhaps. But it’s a dangerous precedent for the politicians to tell private companies how to operate. We don’t want statist capitalism. And best of luck to Nippon management in somehow making a profit under these conditions.