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3mo ago

Trump Announces 'Partnership' Between US Steel and Nippon Steel, Leaving Key Deal Terms Unclear

The agreement promises $14 billion in investments and 70,000 US jobs, but questions about ownership structure and union approval remain unresolved.

A photo shows a logo hanging at Nippon Steel Corporation's headquarters in Chiyoda Ward, Tokyo on May 24, 2025. Regarding Nippon Steel's plan to acquire the American steel giant U.S. Steel, U.S. President Trump expressed his intention to approve the "planned partnership" between the two companies on his social media account on the 23rd. He emphasized that jobs would be created and huge economic benefits would be generated, and Western media reported that he had "approved the acquisition." ( The Yomiuri Shimbun via AP Images )
Die Hallen eines Stahlwerkes, im Vordergrund Gleise mit Güterwaggons

Overview

  • President Trump has approved a 'partnership' between US Steel and Nippon Steel, though it is unclear if this involves a full acquisition or minority investment.
  • The deal includes commitments to keep US Steel's headquarters in Pittsburgh and create 70,000 jobs with up to $14 billion in US investments.
  • The United Steelworkers union opposes the agreement, citing concerns over unfair competition and threats to American steel jobs.
  • US Steel's stock surged over 21% following the announcement, reflecting market optimism despite ongoing uncertainty about the deal's specifics.
  • This development follows a months-long review by CFIUS, ordered by Trump in April, after the Biden administration previously blocked Nippon's acquisition bid.