COMMENTARY / Japan

Nippon Steel deal signals a win for the U.S. economy and Japan alliance

Acquisition of U.S. Steel by the Japanese steelmaker clears the final hurdle with Trump’s OK

U.S. President Donald Trump’s reversal on the Nippon Steel deal creates a "win-win-win-win" situation benefiting both companies, the U.S. economy, and the Japan-U.S. alliance, but the golden share raises concerns about increased government control. | AFP-JIJI

By Brad Glosserman
Contributing writer

Jun 17, 2025

U.S. President Donald Trump reversed course last week and approved Nippon Steel’s purchase of U.S. Steel. Surprised? Not me. Honest.

I’d long expected Trump to OK the deal, touting his unique skills as a negotiator to deliver a win-win-win-win agreement. (That’s a win for each company and each country.) His drive to pull that off likely intensified after the then-president of the United States, Joe Biden, announced his opposition to the purchase last year. I am surprised that it took as long as it did for Trump to reverse course — although he has been in office for less than six months, even though it feels much longer.

Nippon Steel announced its plan to purchase U.S. Steel, the iconic steelmaker, in December 2023. While U.S. Steel shareholders overwhelmingly approved the $14.9 billion takeover, Biden blocked it after a review by the Committee on Foreign Investment in the United States, a multiagency group that examines such deals to ensure that they don’t compromise national security.