Donald Trump is set to hold a rally in Pennsylvania Friday to celebrate a prospective deal with Japan-based Nippon Steel to invest in US Steel — a move he claims will keep the historic American steelmaker under the country’s control.
The rally comes after Trump, who had earlier pledged to block the acquisition of Pittsburgh-based US Steel by the Japanese company, reversed course last week and announced what he described as a “partial ownership” agreement.
The full structure and finalisation of the deal remain unclear. “It’s American-owned, American-run and remains in America,” said Pennsylvania Republican MP Dan Meuser on Fox News, although he acknowledged, “It’s still being structured.”
Trump had previously voiced strong opposition to foreign ownership of US Steel, a sentiment echoed by then-President Joe Biden. But in a turnaround, Trump now champions the proposed partnership, which he says his administration helped broker. He has maintained that the new arrangement would protect American control over the iconic steelmaker, which has long been a symbol of industrial strength and national security.
According to state and federal lawmakers briefed on the plan, the arrangement involves Nippon Steel acquiring US Steel and investing billions of dollars into its operations across Pennsylvania, Indiana, Alabama, Arkansas and Minnesota. An American-majority executive team and board would oversee the company, and the US government would hold veto power via a so-called “golden share”.
Details remain vague
Despite public enthusiasm from officials, neither US Steel nor Nippon Steel have confirmed the terms of a revised deal. The companies have not released new statements, and the White House also declined to provide further information on Thursday.
Nippon Steel issued a brief statement backing the idea of a “partnership”, without elaborating. US Steel has yet to communicate any details to investors.
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The United Steelworkers union, which has consistently opposed the acquisition, expressed scepticism over whether anything substantial has changed. “Nippon has maintained consistently that it would only invest in US Steel’s facilities if it owned the company outright,” the union said. “We’ve seen nothing in the reporting over the past few days suggesting that Nippon has walked back from this position.”
Political significance
For Trump, who has prioritised reviving American manufacturing in his second term, the fate of US Steel carries significant political weight. Once the world’s largest corporation, US Steel is a potent symbol, especially in battleground states such as Pennsylvania, where industrial jobs remain critical to the local economy.
The proposed “golden share” structure would give the US government final say over key decisions by allowing it to approve three board members. Supporters argue this mechanism would safeguard American strategic interests while allowing foreign investment.
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Still, with neither company disclosing official terms, the actual extent of American control remains uncertain.
(With inputs from AP)
