US President Donald Trump has approved the partnership between US Steel and Nippon Steel. This marks the end of a long-running debate over foreign ownership of a key American company.
The agreement, first announced in December 2023, is worth US$14.9 billion (around NZ$24.8 billion). It faced delays when then-President Joe Biden blocked the deal during his final weeks in office, citing national security concerns.
President Trump initially opposed the acquisition. He called for US Steel to stay under American control. But in May, he backed a revised version, which he described as a partnership.
“US Steel will REMAIN in America, and keep its Headquarters in the Great City of Pittsburgh,” he posted on Truth Social.
US Steel and Nippon Steel released a joint statement. They said the President’s approval would allow major investment in American steelmaking. They expect the deal to protect and create over 100,000 jobs.
The companies also signed a national security agreement with the US Government. This agreement includes plans for US$11 billion (NZ$18.3 billion) in investment by 2028.
While the executive order did not include full details of the agreement, it gives the President authority to issue further orders if needed to protect national security.
The Committee on Foreign Investment in the United States reviewed the deal. This body looks at the security risks of foreign takeovers involving US firms.
