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Photo = Yonhap news |
[Alpha Biz= Kim Jisun] Former U.S. President Donald Trump signed an executive order on June 13 (local time) effectively permitting the acquisition of U.S. Steel by Japan's Nippon Steel, according to reports from major international media including the Associated Press.
The executive order revises a prior decision made during the Biden administration, which had blocked the deal due to national security concerns raised by labor unions and political leaders. The new order states that if certain conditions—such as the signing of a national security agreement—are met, the acquisition poses no significant threat to U.S. national security.
Nippon Steel has pledged to acquire U.S. Steel for $15 billion and invest an additional $11 billion in the United States following regulatory approval.
In a joint statement, Nippon Steel and U.S. Steel said, “We are grateful for President Trump’s bold leadership and his administration’s strong support for our historic partnership.”
Nippon Steel initially proposed the $15 billion acquisition in December 2023, but the Biden administration blocked the deal, citing opposition from steel labor unions. After taking office, President Trump ordered a re-evaluation of the decision.
According to Japanese media outlets including the Nikkei, Nippon Steel has signed a national security agreement with the U.S. government to satisfy regulatory requirements and move forward with the deal.
AlphaBIZ Kim Jisun(stockmk2020@alphabiz.co.kr)
