President Donald Trump announced Friday that “U.S. Steel will REMAIN in America” and keep its headquarters in Pittsburgh through a new “partnership” with Japan’s Nippon Steel.
The deal, which the White House described as a major win for U.S. manufacturing, shifts away from a full foreign acquisition and instead brings fresh capital into domestic steel operations.
Trump said the agreement would create at least 70,000 jobs and inject $14 billion into the American economy over the next 14 months.
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The arrangement allows Nippon Steel to invest in U.S. Steel without taking full ownership.
The company will retain its American name, headquarters and leadership team, while using the funds to upgrade and expand factories, Politico reported. The partnership focuses on modernizing operations without handing over corporate control.
This new deal replaces Nippon’s earlier $14.9 billion bid to acquire U.S. Steel outright.
That proposed sale, first announced in December 2023, quickly drew heavy opposition from both parties and the United Steelworkers union, according to Reuters. The Trump administration formally blocked the acquisition in early 2025, citing national security concerns over foreign ownership of critical infrastructure.
Instead of abandoning the idea altogether, Trump directed his team to seek a compromise. The president publicly urged Japan to “invest, not purchase,” a stance he reiterated during a February appearance alongside Japan’s prime minister. A new review led by the Committee on Foreign Investment in the United States (CFIUS) cleared Friday’s revised agreement.
Trump’s announcement was welcomed Friday by Pennsylvania Gov. Josh Shapiro, who said he has worked closely with Nippon, U.S. Steel and the White House since the deal was first proposed.
“Since the day this proposed transaction was announced, Lieutenant Governor [Austin] Davis and I have worked with the leadership of Nippon and U.S. Steel, local labor and federal, state and local partners to press for the best deal to keep U.S. Steel headquartered in Pittsburgh, protect union jobs and secure the future of steelmaking in Western Pennsylvania,” Shapiro said in a statement.
“Throughout the entire process, I have maintained that my priority was to keep and grow jobs here in Pennsylvania and get the largest investment we possibly could for our Commonwealth — as I expressed to President Trump directly when we discussed this transaction in recent days.
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“Now that President Trump, who has sole decision-making authority in the CFIUS process, has expressed his support for the deal, we have the opportunity to deliver historic investments, ensure the future of American steelmaking continues to run through the Mon Valley while the headquarters of U.S. Steel remains in Pittsburgh and have our workers, right here in Pennsylvania, continue leading the world with their skill and innovation.”
Nippon Steel praised the administration’s decision, saying in a statement, “Nippon Steel applauds President Trump for his bold action to approve our partnership with U. S. Steel.”
“We share the Trump administration’s commitment to protecting American workers, the American steel industry and America’s national security,” the company said, calling the partnership “a game-changer for U.S. Steel and all of its stakeholders, including the American steel industry and the broader American manufacturing base.”
U.S. Steel echoed that message Friday, crediting Trump’s direct involvement in securing the deal.
“President Trump is a bold leader and businessman who knows how to get the best deal for America, American workers and American manufacturing,” the company said in a statement. “U.S. Steel will remain American, and we will grow bigger and stronger through a partnership with Nippon Steel that brings massive investment, new technologies and thousands of jobs over the next four years.
“U.S. Steel greatly appreciates President Trump’s leadership and personal attention to the futures of thousands of steelworkers and our iconic company.”
Nippon Steel has committed to large-scale improvements to plants located in Pennsylvania, Indiana, Minnesota and Arkansas, Reuters reported.
When Nippon Steel made its initial bid for U.S. Steel in late 2023, former President Joe Biden blocked the move.
Nippon, which already operates smaller ventures in the U.S., plans to bring advanced steelmaking technology into U.S. Steel’s factories. According to company officials quoted by Reuters, this includes environmentally cleaner methods and high-performance alloys that will make American plants more competitive globally.
U.S. Steel’s stock surged more than 20% after the president’s order for a fresh review, according to Reuters. The U.S. Chamber of Commerce praised the agreement, saying it strengthens domestic production and builds stronger economic ties with a key ally.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| X | UNITED STATES STEEL CORP. | 52.17 | +9.27 | +21.61% |
Not everyone is convinced. The United Steelworkers union, which had praised Trump for blocking the original acquisition, remains wary of foreign involvement. In a statement cited by USW.org, USW President David McCall said that while the partnership is better than a buyout, the union still wants stronger guarantees to protect U.S. jobs and production in the long term.
He plans to visit U.S. Steel’s Pittsburgh headquarters May 30 for a rally celebrating the agreement.
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“From Pennsylvania to Arkansas, and from Minnesota to Indiana, AMERICAN MADE is BACK,” Trump wrote on Truth Social.
The White House did not immediately respond to FOX Business’ request for comment.
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