U.S. Steel announced on Monday that it has received all necessary regulatory approvals for its acquisition by Japan’s Nippon Steel North America, clearing the way for the $14 billion deal to close soon.
The company confirmed the development in a June 16 filing with the Securities and Exchange Commission, stating the transaction is expected to be finalized promptly, subject to customary closing conditions.
Once completed, U.S. Steel will become a wholly owned subsidiary of Nippon Steel North America.
Pennsylvania Senate President Pro Tempore Kim Ward (R-39) hailed the deal as a major win for the region’s economy in a Monday interview with KDKA News Radio.
“So we keep the jobs, we add jobs — all of the people that transport the goods, People’s Gas supplies the electric, and all those people that it employs – is just unbelievable,” she said. “This deal is going to revolutionize the steelmaking industry and we are going to be the hub of it here in Pittsburgh and it is just so great.”
Despite earlier claims he would oppose the merger, Trump signed an executive order Friday that allows the transaction to move forward, contingent on a “national security agreement” crafted by federal officials.
The agreement requires that Nippon Steel invest about $11 billion by 2028, according to a joint statement issued June 13 by the two companies, and it grants the U.S. government a “golden share” in U.S. Steel.
U.S. Commerce Secretary Howard Lutnick in a post on X on Saturday, called the golden share a major safeguard, and said it ensures the U.S. can block:
- Relocation of the headquarters from Pittsburgh
- Corporate redomiciling outside the U.S.
- Any name change of U.S. Steel
- Delays or reductions in the $14-billion investment
- Offshoring of production or jobs
- Plant closures outside routine temporary shutdowns.
Lutnick said that the agreement also includes other protections regarding employee salaries, anti-dumping pricing, raw materials, and sourcing outside the U.S., acquisitions, and more, according to the secretary’s post.
The merger — which the administration refers to as a “partnership” — will “revitalize this strategic and iconic U.S. company and expand steel production in the United States,” Lutnick posted on X.
In their joint statement, U.S. Steel and Nippon Steel said the deal “will unleash unprecedented investments in steelmaking in the United States, protecting and creating more than 100,000 jobs.”
“We thank President Trump and his administration for their bold leadership and strong support for our historic partnership,” the companies said. “This partnership will bring a massive investment that will support our communities and families for generations to come. We look forward to putting our commitments into action to make American steelmaking and manufacturing great again.”
The national security agreement also includes provisions related to trade, governance, and an initial investment in a greenfield project to be completed after 2028, according to the steelmakers.
“With those approvals, all necessary regulatory approvals for the partnership have now been received, and the partnership is expected to be finalized promptly,” the companies said.