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President Donald Trump announced a partnership between U.S. Steel and Japanese steelmaker Nippon that he says will keep the headquarters in Pittsburgh and draw $14 billion in investment toward the US economy.
“This will be a planned partnership between United States Steel and Nippon Steel, which will create at least 70,000 jobs, and add $14 Billion Dollars to the U.S. Economy. The bulk of that Investment will occur in the next 14 months,” Trump posted on TruthSocial Friday.
Trump will visit the steel plant next Friday for a “BIG rally,” he said.
But Trump’s post included few details about what’s included in the deal, such as whether this is truly a partnership instead of an acquisition and how much control would remain with U.S. Steel.
Former president Joe Biden blocked the $14.3 billion acquisition during his last week in office. The deal has been controversial since it was first announced in December 2023, with both sides of the political aisle opposing foreign control of a once-key component of US industrial might that has fallen on hard times.
Trump found rare convergence with Biden when also began his term opposed to an outright deal. “I don’t want US Steel being owned by a foreign country. All they can have is an investment,” Trump said.
But in March, the Trump administration signaled it may allow the deal to go through after it filed a motion to extend two deadlines in a lawsuit U.S. Steel and Nippon Steel filed against the Committee on Foreign Investment in the United States, which scrutinizes foreign investments for national security risks.
CFIUS launched a review into the acquisition in April, and submitted a recommendation to Trump on whether any of the measures proposed by the companies would mitigate national security risks on Wednesday, Reuters reported. Nippon raised its investment pledge in US Steel’s operations to $14 billion, which would include a new $4 billion steel mill in the US, if its bid was greenlit, according to Reuters.
US Steel was once a symbol of American industrial might, when it was the most valuable company in the world and the first to be worth $1 billion, soon after its creation in 1901. It was also crucial to the US economy and the cars, appliances, bridges and skyscrapers that tangibly indicated that strength.
But it has suffered through decades of decline since its post-World War II height. It is no longer even the largest US steelmaker, and a relatively minor employer, with 14,000 US employees — 11,000 of whom are members of the United Steel Workers union. But it is still not a company that politicians who enjoy talking about American greatness have wanted to see fall into foreign hands — particularly in the politically significant state of Pennsylvania.