WEST MIFFLIN, Pennsylvania: US President Donald Trump on Friday lauded an “agreement” between Nippon Steel and US Steel at a political rally but stopped short of clarifying whether he planned to approve the companies’ diplomatically sensitive merger.
On a Pittsburgh, Pennsylvania-area stage decorated with signs celebrating “American steel”, Trump declared the American steel company would remain American, while extolling its new Japanese partner.
It is unclear whether he approves of a deal giving Nippon ownership, as sought by the firms, or whether he had formally given the merger the green light.
“We’re here today to celebrate a blockbuster agreement that will ensure this storied American company stays an American company,” Trump told more than 1,600 people, including workers.
“You’re going to stay an American company, you know that, right? But we’re going to have a great partner.”
The Japanese firm’s planned acquisition of US Steel, initially floated in 2023, divided the politically important state of Pennsylvania and its heavily unionised blue-collar workforce, and introduced tension into the normally friendly relations between Tokyo and Washington.
Proponents of the transaction had hoped Trump’s visit would end a tumultuous 18-month effort by Nippon Steel to buy the iconic American company, beset by opposition from union leadership and two national security reviews.
Trump said the company would be “controlled by the USA”, that no layoffs or outsourcing would occur, and that Nippon would invest billions of dollars to modernise US steel mills to increase production.
He also announced a plan, set to be implemented next week, to hike tariffs on imported steel from 25 per cent to 50 per cent.
https://www.channelnewsasia.com/business/trump-hails-nippon-steel-great-partner-us-rally-5160211
