Trump Says He Will Block Nippon Steel’s Acquisition of U.S. Steel
New York TimesDec 01
Trump Vows to Block $15B Nippon-U.S. Steel Deal
Above: Bulldozers move coal near the U.S. Steel Corp. Clairton Coke Works facility in Clairton, Pennsylvania, US, on Sept. 9, 2024. Image copyright: Justin Merriman/Contributor/Bloomberg via Getty Images
The Facts
Pres.-elect Donald Trump has stated his opposition to Japan-based Nippon Steel's proposed $14.9B acquisition of U.S. Steel, originally announced in December 2023, which Pres. Joe Biden has also refused to back.
As part of the deal, Nippon Steel has committed to investing $2.7B in unionized facilities, maintaining U.S. Steel's Pittsburgh headquarters, and honoring existing collective bargaining agreements.
The Spin
Right Pro-Establishment Narrative
This deal will strengthen the US steel industry by countering cheap Chinese exports and preserving American jobs. At an eye-popping value of $15B, it will also ensure factory upgrades and safeguard employment in Indiana and Pennsylvania. By partnering with Japan, a trusted ally, the acquisition bolsters national security, enhances innovation, promotes decarbonization, and maintains U.S. Steel's iconic branding.
Right Establishment-Critical Narrative
If this deal goes forward, it will threaten American economic and national security. As a critical defense industry, U.S. Steel must remain domestically owned to prevent foreign influence of any kind on military supply chains. US laws empower the government to block such sales, ensuring strategic resources stay under US control. Keeping U.S. Steel American-owned protects jobs, strengthens the Rust Belt, and safeguards national interests.