Initially opposed by two Presidents, the United Steelworkers union, and a raft of rivals, Nippon Steel Co. finalized its deal to acquire 100% of Pittsburgh, Pennsylvania-based U.S. Steel Co. on Wednesday, June 18 for $14.9 billion. The final deal includes government-approved conditions that, among other things, grants the President of the United States strong oversight into business decisions made by the newly owned U.S. Steel.
In a joint statement, the companies claimed the partnership would create more than 100,000 jobs of “direct, indirect, and induced” jobs in Pennsylvania, Indiana, Arkansas, Minnesota, and Alabama, citing a study commissioned by U.S. Steel by the Parker Strategy Group. In productivity, the companies predict its annual crude steel production capacity will reach 86 million tons.
The deal requires Nippon to commit to a “National Security Agreement” with the U.S. government, with implications for how U.S. Steel will do business and staff its executive suite under ownership. The deal binds Nippon to invest $11 billion in U.S. Steel by 2028, leave its headquarters in Pittsburgh, and agree not to hinder U.S. Steel’s ability to produce enough steel for the U.S. or to trade its metal following U.S. laws. In terms of management, Nippon Steel has agreed the CEO and a majority of the U.S. Steel board will be U.S. citizen, and a “golden share” granted to the U.S. government that gives it an independent director on the board and novel access to more staffing and business decisions.
In statements, company leadership explicitly thanked President Trump for greenlighting the deal and its terms. Eiji Hashimoto, the CEO of Nippon Steel, credited the sale to “President Trump’s historic and visionary decision.” The CEO of U.S. Steel, Dave Burritt, called the sale a “momentous day” and thanked “President Trump’s bold leadership” for securing the deal, which he added would lead to “transformative investment, cutting-edge technology, and the creation of good-paying jobs across the United States.”
Takahiro Mori, Nippon Steel’s current Vice Chairman and who will serve as Chairman of the U.S. Steel Board, said he was “delighted that we have made this day a reality. We share President Trump’s commitment to protect the future of the American steel industry, American workers, and American national security.”
The United Steelworkers union, which will represent those workers, took a harder tone. The union had opposed the deal and, unconventially, attempted to use its “right of first refusal” to support Cleveland, Ohio-based company Cleveland Cliffs Inc. and reject all other comers. After a May 23 statement in which President Trump signaled approval for the conditions of the current deal, USW’s International President, David McCall, called Nippon Steel “a serial trade cheater” and the proposed deal “a disaster.”
In a June 18 statement, McCall characterized the decision as one “aggressively promoted” by management and vowed the union would keep a close eye on Nippon Steel.
“As the sale concludes, it seems likely that attention will dissipate. U.S. Steel’s PR machine will power down, and the majority of elected officials will turn their attention elsewhere,” said McCall. “However, our union will remain. We will continue watching, holding Nippon to its commitments.” He also called the “golden share” offered to President Trump “a startling degree of personal power over a corporation.”
That “golden share” isn’t really a share of the company, but essentially a package of consent decrees. It gives the government the right to appoint one independent director, and grant the President specifically consent rights for reducing committed capital investments; changing U.S. Steel’s name or headquarters; offshoring U.S. Steel, its production, or jobs; acquiring competitors in the United States; and “certain decisions on closure or idling of U.S. Steel’s existing U.S. manufacturing facilities, trade, labor, and sourcing outside of the United States.”
The finalization closes the chapter on U.S. Steel’s history that began almost two years ago. The historic company announced it was considering offers in August 2023 after rejecting a series of unsolicited bids from Cleveland-Cliffs. Shortly afterwards, and before any other companies could make an offer, Thomas Conway, then-International President of the USW, authored an open letter saying the USW would not support any non-Cliffs deal. In the letter, Conway noted that Cliffs, after acquiring AK Steel and ArcelorMittal USA in 2020, “rather significantly” increased its union workforce.
Esmark Corp. heeded the USW and backed off, and another would-be-buyer, Brazilian steelmaker CSN, said it wouldn’t make a bid, but in December, Nippon Steel won an auction with a bid of $14.1 billion, more than double Cliffs’ initial offer. The planned sale of the centenarian U.S. manufacturer with headquarters in a key battleground state roiled the political waves of the 2024 presidential campaign. As a candidate, Trump vocally opposed the sale in January 2025, and then-President Biden followed in March, with Vice President Harris reiterating his stance when she took over his campaign. With the sale on the rocks, Nippon announced more investments to sweeten the deal and argued the move was ideal for countering China.
It wasn’t enough. After the Committee on Foreign Investment in the United States deadlocked, President Biden blocked the sale in January 2025, prompting Cleveland-Cliffs to prepare a joint proposal with Nucor to snag it. Then, in April 2025, President Trump ordered the Committee on Foreign Investment in the United States to give the proposed deal a second look. This time, with the conditions included, the CFIUSA gave it a green light, and Trump gave his blessing to the U.S. Steel-Nippon Steel “partnership.”
