Nippon Steel U.S. Steel Investment is of $14 billion in U.S. Steel’s operations, including up to $4 billion for a new steel plant, if the Trump administration approves its bid to acquire the American steelmaker, according to documents and sources familiar with the matter.
$11 Billion Infrastructure Boost Through 2028
Under the proposed plan, Nippon Steel would inject $11 billion into U.S. Steel’s infrastructure by 2028. This includes $1 billion set aside for a greenfield site—a brand-new production facility—expected to grow to $3 billion over time. This specific greenfield investment had not been reported earlier.
U.S. Steel’s stock price rose more than 3% following Reuters’ report on the investment plan.
Final Push to Secure Merger Approval
This new promise is significantly above Nippon’s prior investment pledge of $1.4 billion. Both President Joe Biden and former President Donald Trump have criticized the pact, and this is a last-ditch effort to get ratification.
A national security review of the merger is set to conclude on May 21. After that, Trump would have 15 days to make a final decision, though the timeline may change.
Will the Increased Nippon Steel U.S. Steel Investment Sway Trump?
It is unclear whether the larger investment offer will be enough to change Trump’s stance. However, sources say that the Trump administration did ask for more investment as part of the negotiation.
Nick Klein, an attorney at DLA Piper, believes the deal has a stronger chance now.
“Expanding steel production in the U.S. is crucial to national security. The Trump administration likely understands that and may approve the deal,” Klein said.
Even so, Nippon Steel’s offer shows how far it’s willing to go to secure the acquisition, especially with $565 million in breakup fees and 25% U.S. steel tariffs still in place.
No Comments from Officials
U.S. Steel declined to comment on the matter. Nippon Steel, the White House, and the U.S. Treasury Department—leading the national security review—have also not responded to media inquiries.
Political Resistance to Foreign Ownership
Nippon Steel made its $14.9 billion bid in December 2023, hoping to tap into rising U.S. steel demand fueled by the bipartisan infrastructure bill.
However, political resistance emerged early. Both Trump and Biden have insisted that U.S. Steel should remain American-owned, especially as they vie for voter support in Pennsylvania, the company’s home state.
To sweeten the deal, Nippon Steel U.S. Steel Investment earlier raised its investment promise from $1.4 billion to $2.7 billion and said it would keep U.S. Steel’s headquarters in Pennsylvania.
National Security Block and Legal Pushback
Biden blocked the merger in January 2025, citing national security concerns. That decision triggered lawsuits from both companies, which claimed the review process was unfair. The Biden administration has denied these allegations.
The companies are now pursuing approval from the Trump administration, which launched a new 45-day national security review last month.
Trump’s Mixed Signals and Lawmaker Support
Trump’s comments on the matter have been unclear, ranging from support for Japanese investment to suggesting Nippon Steel could take a minority stake instead. This uncertainty has left investors unsure about the deal’s fate.
Some Republican lawmakers credit Trump for bringing the deal back into consideration. Kim Ward, a Pennsylvania state senator, said:
“President Trump gave this deal a second chance and made it great again.”
Nippon Steel Makes Direct Push in Washington
Takahiro Mori, Vice Chairman of Nippon Steel, was in Washington last week for meetings with U.S. officials to push for the deal’s approval, according to earlier reports from Reuters.
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