Trump touts ‘planned partnership’ between U.S. Steel and Nippon Steel, signaling potential approval of Japanese company’s buyout bid
president Donald Trump said on Friday that the United States will move its headquarters in Pittsburgh as part of what he called a “planned partnership” that it seems to indicate that he will agree to a Japan -based Nippon Steel offer to buy the American iconic US steel maker.
However, Trump’s statement left the matter mysterious whether he agreed to the Nippon Steel offer after he has repeatedly pledged to ban it. But it seems that investors are taking it as a sign that it will agree to it, and they will sharply pay the USEL shares.
Nebon Steel has been banned nearly $ 15 billion to buy the United States by former President Joe Biden on his way out of his post, and after Trump became president, he is undergoing another national security review by the Foreign Investment Committee in the United States.
“After a lot of consideration and negotiation, the United States will remain steel in America, and keep its headquarters in the great city of Pittsburgh,” Trump said in a statement.
He said that what Trump called a “planned partnership” will create at least 70,000 jobs and add 14 billion dollars to the American economy, although it was not clear what the conditions of the deal or who will possess American steel under the arrangement.
Josh Spers, head of Steel American analysis in Pennsylvania, told basic commodities that he sees this “partnership” a green lighting light. “
Companies did not comment immediately. US Steel shares jumped by 21 % on the news, and continued to rise in post -sales circulation.
Our headquarters at Steel has always been part of Nippon Steel’s attempt to buy it. To sweeten the deal, Nippon Steel made a $ 2.7 billion commitment to upgrading facilities in Pennsylvania and Indiana at the top of a previous commitment to spend $ 1.4 billion.
However, David Burit, CEO of US Steel last September, warned that the Nippon Steel ban means that the American steel “will greatly burn” and will arise “serious questions” about staying its headquarters in Pittsburgh.
The Board of Directors and shareholders in the United States approved the Nippon Steel offer last year. The United Nations Union opposed it. The union had no immediate comment on Friday.
In December of December, Trump said he was “against the great and strong American steel that is bought by a foreign company.”
Then in February, Trump suggested that Nippon Steel will not buy us from steel, as it planned, but it would instead invest in the United States.
Last month, Trump requested a new review of the national security to present the proposal Nippon steel offer.
This story was originally appeared on Fortune.com
2025-05-23 22:32:00
