Trump Announces US Steel and Nippon Steel ‘Partnership’ with $14 Billion Investment and Job Boost

President Donald Trump has announced what he calls a new partnership between U.S. Steel and Japanese steel giant Nippon Steel — a move he says will keep the company’s headquarters in Pittsburgh and inject $14 billion into the U.S. economy.

Posting on TruthSocial Friday, Trump highlighted the potential benefits:

“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 also said he will visit a steel plant next Friday for a “BIG rally” related to the deal.

What We Know — and What We Don’t

Details about the deal remain scarce. It’s unclear if this is a true partnership or more of an acquisition, and how much control U.S. Steel will retain. The deal comes after former President Joe Biden blocked a $14.3 billion acquisition in his final week in office, amid bipartisan concerns over foreign ownership of a cornerstone of U.S. industry.

Back in December 2023, when the acquisition was first proposed, both parties in Washington opposed foreign control of U.S. Steel — a symbol of American industrial strength for over a century.

Trump himself opposed outright foreign ownership during his first term, stating:

“I don’t want US Steel being owned by a foreign country. All they can have is an investment.”

However, the Trump administration took a softer stance this year, signaling possible approval after filing motions related to the ongoing legal battle between U.S. Steel, Nippon Steel, and the U.S. Committee on Foreign Investment (CFIUS). This committee reviews foreign deals that might affect national security.

Investment, Jobs, and National Security

Nippon Steel raised its investment offer to $14 billion, including plans for a new $4 billion steel mill in the U.S., should the deal gain approval. According to Reuters, CFIUS recently made a recommendation to Trump regarding whether the companies’ proposed safeguards could address national security concerns.

Once the world’s largest steelmaker, U.S. Steel has seen a steady decline since its post-World War II peak. Today, it employs around 14,000 Americans—11,000 of whom belong to the United Steelworkers union—and is no longer the country’s biggest steel producer.

Still, its ownership remains a sensitive issue, especially in Pennsylvania, a key political state where many see U.S. Steel as a symbol of American manufacturing might.

Reactions from Leadership and Labor

U.S. Steel praised Trump as “a bold leader and businessman,” emphasizing that the company will “remain American” and grow stronger through the partnership with Nippon Steel. The company highlighted the promise of massive investment, new technology, and thousands of jobs over the next four years.

Yet, the union response has been sharply critical. The United Steelworkers warned the deal could be disastrous for American steelworkers, national security, and the future of manufacturing. In a recent statement, the union urged Trump to block the sale once and for all, calling the deal a “corporate sellout.”

Pennsylvania’s political leaders are divided: Republican Senator Dave McCormick applauded the partnership, saying it keeps U.S. Steel under American control, while Democratic Senator John Fetterman called the original deal a “death sentence” for local steelworkers.

Governor Josh Shapiro praised the deal, noting his recent discussions with Trump and emphasizing his focus on preserving and growing jobs in Pennsylvania.

“My priority has been to keep and grow jobs here in Pennsylvania and get the largest investment we possibly could for our Commonwealth,” Shapiro said.

Market Reaction and Next Steps

Following the announcement, U.S. Steel’s stock surged 21% on Friday. The outcome of this deal still depends on regulatory approval and further negotiations, with many questions remaining about how the partnership will function in practice.

Source: CNN – President Trump says Nippon Steel and US Steel to enter into ‘partnership’