President-elect Donald Trump has reaffirmed his intention to block Japanese steelmaker Nippon Steel Corp.’s $14.9 billion bid to acquire U.S. Steel, promising to use tax incentives and tariffs to protect the iconic American company. Trump posted on Truth Social that he would prevent the deal, calling it a threat to U.S. Steel’s strength and national security.
President Joe Biden also opposes the transaction, aligning with the United Steelworkers (USW) union. The union argues the deal poses “serious long-term implications for U.S. economic and national security.” The Committee on Foreign Investment in the United States is reviewing the merger, with authority to recommend that the president block it.
Nippon Steel contends that the acquisition would strengthen U.S. Steel, pledging $1.4 billion in investments, no layoffs, and adherence to U.S. trade priorities. However, bipartisan opposition has emerged in Congress, with critics alleging political motives behind the resistance.
Despite shareholder approval, some U.S. Steel workers and local leaders, including West Mifflin Mayor Chris Kelly, support Nippon’s proposal, citing its financial stability and commitment to long-term investment. Nippon Steel has also promised not to import steel slabs that would compete with U.S. Steel’s production.
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