Is Nippon Deal With U.S. Steel Nearing Finish Line?

After a year-and-a-half long journey with more twists and turns than a long-running soap opera, a $14 billion deal that would allow Japan’s Nippon Steel to acquire U.S. Steel Corporation may be nearing completion. But many details remain unclear.

On May 30, President Donald Trump spoke to U.S. steelworkers in Pittsburgh, praising the pending deal, which he called a “great partnership,” as a $14 billion investment that will create at least 70,000 jobs and ensure steel is made in America for decades to come. But he later told reporters he hadn’t yet seen or approved the final terms of the deal, which left some observers confused.

First announced in 2023, Nippon’s proposed offer for U.S. Steel at first aroused vocal opposition, including from President Joe Biden and candidate Donald Trump, on national security grounds. But after a review of the deal by the Committee on Foreign Investment in the United States, completed May 21, Trump swung around to support the move, with some changes.

To secure the deal, Nippon promised an additional $14 billion in U.S. investments, raising concerns in Japan’s financial press about its debt-to-equity ratio. Nippon also reportedly agreed to keep Americans in controlling positions.

If final approval is granted June 5, the deal will close on June 18. The Mexican government was expected to renew its own approval, originally granted in 2023 but since expired. Both Nippon and U.S. Steel have significant operations in Mexico, which grants it the right to approve to block the deal.

U.S. Steel has extensive barge-served facilities, including Mon Valley Works, which includes the Edgar Thomson Plant in Braddock, Penn., and the Clairton Plant in Clairton, Penn., both located on the Monongahela River; the Granite City Works in southern Illinois, with a barge dock on the Mississippi River; and Big River Steel in Osceola, Ark., situated directly on the Mississippi River.