US President-elect Donald Trump reiterated his commitment to block Nippon Steel’s bid to acquire United States Steel Corp. according to bne IntelliNews.
In a statement released on his Truth Social platform on Monday, Trump reaffirmed his stance, pledging to prevent the purchase as soon as he returned to the White House next month.
I am totally against the once great and powerful US Steel being bought by a foreign company, in this case, Nippon Steel of Japan.
The statement came after Japan’s leading steelmaker said it intended to buy US Steel for more than $14bn by the end of the year, before Trump’s inauguration on 20 January 2025. Trump’s move matched his campaign promise to prevent key US companies from being taken over by foreign actors. He also vowed that his administration would utilise a combination of tax breaks and tariffs to improve US Steel’s competitiveness.
However, the proposed deal received significant support from US Steel shareholders, who saw the acquisition as a strategic move to enhance the company’s position globally. Meanwhile, influential groups such as the United Steelworkers union opposed the takeover. They argued that the deal could lead to job losses or weaken labour protection.
The timing is particularly sensitive given the importance of the steel sector in key states like Pennsylvania. US Steel, founded in 1901 and based in Pennsylvania, is currently ranked 24th in the world, according to the World Steel Association.
The US Committee on Foreign Investment (CFIUS), which is responsible for assessing national security risks in foreign acquisitions, is expected to complete its scrutiny of the proposed acquisition by the end of December.
