Nippon Steel Eyes Trump Administration To Revive $15B US Steel Deal Blocked By Biden: 'We'll Do Whatever It Takes'

Nippon Steel, Japan's largest steelmaker, is determined to revive its proposed $15 billion acquisition of U.S. Steel, despite President Joe Biden's recent decision to block the deal. The company is now focusing its efforts on convincing the incoming Trump administration to reverse Biden's decision, stating that it will do "whatever it takes" to make the deal happen.



The proposed acquisition, announced in December 2023, has been a contentious issue throughout the election year. Both Biden and Trump, during their respective campaigns, had vowed to block the deal, citing potential national security concerns. However, with Biden's decision to formally block the acquisition, Nippon Steel is now looking to the Trump administration for a reversal.

Nippon Steel has emphasized the significant economic benefits the deal would bring to the U.S., including job creation and economic stimulus. The companies have estimated that the deal could create up to $1 billion in economic impact. Additionally, Nippon Steel has stressed the importance of the deal in strengthening the U.S. steel industry and its ability to compete with China. The company has plans to invest in U.S. Steel's aging blast furnace plants in Pennsylvania and Indiana, which would boost the U.S. steel industry's competitiveness.

However, the Trump administration's stance on foreign investment, particularly in strategic industries like steel, is likely to have a significant impact on the deal's prospects. Trump has consistently advocated for protectionist policies, including tariffs and restrictions on foreign investment, to safeguard American jobs and industries. This stance is evident in his campaign promises and his actions as president, such as the imposition of tariffs on steel and aluminum imports.

Moreover, Trump has explicitly stated his opposition to the deal, both during his campaign and after becoming president. In December 2023, he wrote on Truth Social, "I am totally against the once great and powerful U.S. Steel being bought by a foreign company, in this case Nippon Steel of Japan... As President, I will block this deal from happening. Buyer Beware!!!" (Source: AP, 2025-01-15)

Despite these challenges, Nippon Steel remains optimistic about the deal's prospects. The company is prepared to work with the Trump administration to find a mutually agreeable solution, such as negotiating new terms or compromises that address the administration's concerns while still allowing the deal to proceed. Nippon Steel is determined to do "whatever it takes" to revive the deal and create a strong, competitive U.S. steel industry.

In conclusion, the proposed acquisition of U.S. Steel by Nippon Steel presents a mix of potential risks and benefits for the U.S. steel industry and national security. The key challenge is to weigh these factors and make a decision that balances the need for investment and job creation with the potential risks to national security and labor concerns. The Trump administration's stance on foreign investment, particularly its protectionist policies and explicit opposition to the deal, is likely to have a significant impact on the deal's prospects. However, the final outcome will depend on the specific actions taken by the Trump administration, including any negotiations or conditions they may impose.