steel

June 17 (UPI) — British Steel announced Tuesday that it has landed a new contract with the Network Rail railway company worth more than a half-billion dollars.

In a press release, British Steel’s Commercial Director for Rail Craig Harvey said, “The contract is a ringing endorsement of UK workers and British industry, underpinning the vital role we play in ensuring millions of passengers and freight operators enjoy safe, enjoyable, and timely journeys on Britain’s railways.”

The deal made between the two companies is a five-year arrangement valued at approximately $677 million that will have the steel company create about 7.7 to 8.8 tons of rail every year. Additionally, the contact can be extended for another three years.

British Steel is the only manufacturer of rail in the United Kingdom.

Transport Secretary Heidi Alexander posted to X Tuesday that she had met with representatives of British Steel to finalize the contract, and that “this deal truly transforms the outlook for British Steel and its dedicated workforce in Scunthorpe.”

The English town of Scunthorpe is a British Steel site that has reportedly supplied Network Rail with track for more than 20 years, and in the last decade alone they have manufactured over 1.1 million tons of rail for Network Rail.

The factory there had been scheduled to close its blast furnaces earlier this year but was saved when the government used emergency powers to keep it open for now.

“After taking urgent action to step in and save these historic blast furnaces from closure, we’ve now helped secure their long-term future by backing British Steel with meaningful government contracts, protecting thousands of skilled manufacturing jobs in the process,” said Alexander.

U.K. Business Secretary Jonathan Reynolds said Tuesday in the release that “This is great news for British Steel and a vote of confidence in the U.K.’s expertise in steelmaking, which will support thousands of skilled jobs for years to come.”

June 14 (UPI) — President Donald Trump issued an executive order on Friday officially giving the green light to Nippon Steel Corporation’s multi-billion-dollar purchase of U.S. Steel Corporation.

Trump’s executive order rescinds a directive issued by former President Joe Biden that blocked the Tokyo-based steel producer’s $14.9 billion purchase on national security grounds.

The president had been signaling he would approve such a move, stating in May that the two steel giants would form a “planned partnership.”

Trump previously ordered a review of the transaction by the Committee on Foreign Investment in the United States.

“Based on the recommendation of and my review of the materials provided by CFIUS, including re-review of the prior assessment of risk, I additionally find that the threatened impairment to the national security of the United States arising as a result of the Proposed Transaction can be adequately mitigated if the conditions set forth in section 3 of this order are met,” Trump wrote in the executive order.

“President Trump has approved the Companies’ historic partnership that will unleash unprecedented investments in steelmaking in the United States, protecting and creating more than 100,000 jobs,” Pennsylvania-based U.S. Steel said in a release jointly issued with Nippon Steel.

“We thank President Trump and his Administration for their bold leadership and strong support for our historic partnership. 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.”

Trump’s executive order requires both companies to enter into a National Security Agreement, which stipulates $11 billion in new investments must be made in the United States by 2028. That includes an already-underway project not scheduled for completion until after 2028.

The United States government will also be issued a golden share as part of the NSA, giving it unique voting rights.

“President Trump promised to protect American Steel and American Jobs — and he has delivered on that promise,” White House spokesperson Kush Desai told CNN in a statement.

“Today’s executive order ensures US Steel will remain in the great Commonwealth of Pennsylvania, and be safeguarded as a critical element of America’s national and economic security.”

Confirmation of the deal comes just over a week after 50% tariffs took effect on metals imported into the United States from nearly all countries.

The tariffs were enacted a day after Trump signed an executive order doubling the duties on almost all imported aluminum and steel.

The leaders of Canada and Mexico have criticised the latest hike in steel and aluminium tariffs under United States President Donald Trump, who increased import taxes on the metal from 25 to 50 percent.

The international condemnation came just hours after the latest tariff increase went into effect early on Wednesday.

Speaking to reporters on Wednesday, Canadian Prime Minister Mark Carney said the tariff increases were “unjustified”.

“They’re illegal. They’re bad for American workers, bad for American industry and, of course, for Canadian industry,” he said.

Mexican President Claudia Sheinbaum, meanwhile, pledged to pursue countermeasures if the Trump administration refuses to grant tariff relief. She warned that the tariffs would have a “huge impact” on Mexico’s steel and aluminium industries.

“This isn’t about an eye for an eye, but rather about protecting our industry and our jobs,” she added, without specifying what steps her government might take.

Canada calls for action

Wednesday’s tariff hike had been unveiled last Friday, when Trump held a rally with steelworkers outside Pittsburgh, Pennsylvania.

That region of the US is a part of the Rust Belt, an area that has been heavily affected by the decline in US manufacturing. Trump pledged to use tariffs and other measures to bring jobs and investments back to the area.

Previously, in March, Trump set tariffs on steel and aluminium at 25 percent. But he threatened to lift that rate to 50 percent specifically for Canadian imports of the metals, a plan he later appeared to walk back.

Those threats, however, roiled relations between the US and its northern neighbour in particular. Canada is the top supplier of steel to the US, followed by Brazil and then Mexico. South Korea and China also top the list.

Canada is also responsible for about 40 percent of aluminium imports to the US, followed by the UAE, Russia and Mexico. Carney’s government has pledged to pursue retaliatory measures so long as Trump’s tariffs remain in place.

On Wednesday, one of Canada’s largest labour unions, Unifor, called on Carney to take immediate action against the latest tariff hike, including by limiting the country’s exports of critical metals to the US.

“Unifor is urging the federal government to act without delay to defend Canada’s manufacturing sector and counter the escalating trade assault,” the union said in a statement.

Premier Doug Ford — who leads the top manufacturing province in Canada, Ontario — also called for Canada to respond in kind and “slap another 25 percent” on US steel imports.

“It’s tariff for tariff, dollar for dollar. We need to tariff the steel coming into Canada an additional 25 percent, totalling 50 percent,” Ford told reporters. “Everything’s on the table right now.”

Navigating global trade pacts

Both Canada and Mexico have been hard hit by Trump’s aggressive tariffs, which include a blanket 25-percent tax on all imports not subject to the US-Mexico-Canada free trade agreement (USMCA), as well as a separate 25-percent levy on automobile imports.

The three countries have highly integrated economies, with products like automobiles being built using supplies and factories from multiple locations.

The USMCA pact was agreed upon during Trump’s first term, from 2017 to 2021. But he has since signalled he hopes to renegotiate the free-trade deal to get more favourable terms for the US.

But the doubling of the US steel and aluminium tariffs is expected to have a global impact, well beyond North America.

The European Union is also bracing for the increase. The bloc’s trade commissioner, Maros Sefcovic, met US Trade Representative Jamieson Greer on the sidelines of a meeting for the Organisation for Economic Cooperation and Development (OECD) on Wednesday.

“We’re advancing in the right direction at pace – and staying in close contact to maintain the momentum,” Sefcovic wrote on X afterwards.

UK Trade Secretary Jonathan Reynolds also met with Greer, and he said steel and aluminium tariffs would remain at 25 percent for his country. The two countries have been in the process of forging a post-Brexit bilateral trade agreement, announcing a “breakthrough” last month.

“We’re pleased that as a result of our agreement with the US, UK steel will not be subject to these additional tariffs,” a British government spokesperson said.

‘Extremely hard to make a deal’

Trump’s latest tariff hike comes days after a federal court ruled that his so-called reciprocal tariffs — which imposed customised taxes on nearly all US trading partners — were illegal.

Trump had imposed those tariffs in April, only to pause them for 90 days. The court’s ruling was quickly paused while legal proceedings continued, and Trump’s tariffs have been allowed to remain in place for now.

One of the hardest hit countries has been China, which saw US tariffs against its exports skyrocket to 145 percent earlier this year.

The Trump administration, however, has since sought to reach a deal with China to end the trade war between the world’s two largest economies.

The White House said on Monday that Trump would speak to Chinese President Xi Jinping this week, raising hopes the duo could soothe tensions and speed up negotiations.

But on Wednesday, Trump appeared to dampen hopes for a quick deal.

“I like President XI of China, always have, and always will, but he is VERY TOUGH, AND EXTREMELY HARD TO MAKE A DEAL WITH!!!” he posted on his Truth Social platform.

When asked about the remarks during a regular news briefing, Chinese Foreign Ministry spokesperson Lin Jian said Beijing’s “principles and stance on developing Sino-US relations are consistent”.

Mexico says tariffs make ‘no sense’ as Canada seeks negotiations to remove the levies ongoing.

In a move that has reignited trade tensions with key allies, United States President Donald Trump has doubled tariffs on steel and aluminium imports.

The new rates, which came into effect early on Wednesday, raise duties from 25 percent to 50 percent. Trump says the measure is designed to bolster the struggling US metals sector.

“We started at 25 and then, after studying the data more, realised that it was a big help, but more help is needed. And so that is why the 50 [percent tariff] is starting tomorrow,” said White House economic adviser Kevin Hassett during a steel industry event in Washington on Tuesday.

The executive order applies to all trading partners except the United Kingdom, which has reached a provisional trade deal with Washington during a 90-day pause on broader tariffs.

British exports will continue to face a 25 percent rate until at least July 9.

Allies seek exemptions

The hike is expected to weigh heavily on Canada and Mexico, two of the US’s closest economic allies and among the largest suppliers of steel. Census Bureau data shows Canada alone exports more aluminium to the US than the rest of the top 10 countries combined. Almost half of the US aluminium consumption is imported.

Canada’s Prime Minister Mark Carney’s office confirmed that “intensive and live negotiations” were ongoing to remove the tariffs.

Mexico’s Economy Minister Marcelo Ebrard slammed the decision as irrational, noting the imbalance in steel trade between the two nations.

“It makes no sense for the United States to levy a tariff on a product in which you have a surplus,” he said, adding that Mexico would seek an exemption.

The European Union criticised the decision, saying it “strongly regrets” the move and warned it could take retaliatory action, accusing Washington of undermining attempts at a negotiated settlement.

OECD chief economist Alvaro Pereira told the AFP news agency that the tariffs have already dampened global trade, investment and consumption, and that the US will bear the brunt of the fallout.

While several of Trump’s tariff measures face legal scrutiny, they remain in force during the appeals process.

Published on
03/06/2025 – 15:44 GMT+2

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Major European steel giants saw their share prices falter on Tuesday afternoon, as investors continue to weigh the impact of US President Donald Trump’s plan to double steel and aluminium tariffs from 25% to 50%, with the latter set to take effect from 4 June. 

The announcement has escalated trade tensions and drawn significant criticism from worldwide trade partners. Trump, meanwhile, claims the move will make the US steel industry even stronger. 

He said in a post on his social media platform Truth Social: “Our steel and aluminum industries are coming back like never before. This will be yet another BIG jolt of great news for our wonderful steel and aluminum workers. MAKE AMERICA GREAT AGAIN!”

German steel company Thyssenkrupp’s share price declined 0.5% on Tuesday afternoon on the Frankfurt Stock Exchange. Salzgitter AG’s share price also declined on the exchange, by 0.4%.

Following the trend, ArcelorMittal SA’s stock dipped 1.1% on the Euronext Amsterdam exchange on Tuesday afternoon, while Austrian steel company Voestalpine AG’s share price declined 0.8% on the Vienna Stock Exchange. 

On the other side of the Atlantic, however, major US steel companies such as Cleveland-Cliffs, Nucor, and Steel Dynamics saw their share prices surge on Monday. 

Cleveland-Cliffs’ share price closed 23.2% higher, whereas Nucor’s share price jumped 10.1%. Steel Dynamics’ share price also closed higher, up 10.3% on Monday. 

US businesses risk significant harm due to tariffs

The unpredictability of recent US tariffs continues to pose considerable risks to US businesses, despite Trump’s reassurances that tariffs will benefit the economy. This is mainly because several US companies with international operations could be forced to scramble to find alternative foreign suppliers and customers.

It is also remains unclear how long steel and aluminium tariffs could stay at the 50% level proposed, as Trump continues to negotiate other tariffs with various countries. 

Felix Tintelnot, professor of economics at Duke University, told TIME: “We’re talking about expansion of capacity of heavy industry that comes with significant upfront investments, and no business leader should take heavy upfront investments if they don’t believe that the same policy [will be] there two, three, or four years from now.

“Regardless of whether you’re in favour [of] or against these tariffs, you don’t want the President to just set tax rates arbitrarily, sort of by Executive Order all the time,” he added.

Tintelnot also highlighted that increasing the price of aluminium, which is a very common input material in several sectors such as automotive and construction, would, in turn, hurt those industries, even if there may be some advantages to the domestic US steel and aluminium sectors.

United States President Donald Trump has announced his administration is raising tariffs on steel imports from 25 percent to 50 percent.

Speaking to steelworkers and supporters at a rally outside Pittsburgh, Pennsylvania, Trump framed his latest tariff increase as a boon to the domestic manufacturing industry.

“We’re going to bring it from 25 percent to 50 percent, the tariffs on steel into the United States of America, which will even further secure the steel industry in the United States,” Trump told the crowd. “Nobody’s going to get around that.”

How that tariff increase would affect the free-trade deal with Canada and Mexico – or a separate trade deal struck earlier this month with the United Kingdom – remains unclear.

Also left ambiguous was the nature of a deal struck between Nippon Steel, the largest steel producer in Japan, and the domestic company US Steel. Still, Trump played up the partnership between the two companies as a “blockbuster agreement”.

“ There’s never been a $14bn investment in the history of the steel industry in the United States of America,” Trump said of the deal.

A tariff hike on steel

Friday’s rally was a return to the site of many election-season campaign events for Trump and his team.

In 2024, Trump hinged his pitch for re-election on an appeal to working-class voters, including those in the Rust Belt region, a manufacturing hub that has declined in the face of the shifting industry trends and greater overseas competition.

Key swing states like Pennsylvania and Michigan are located in the region, and they leaned Republican on election day, helping to propel Trump to a second term as president.

Trump, in turn, has framed his “America First” agenda as a policy platform designed to bolster the domestic manufacturing industry. Tariffs and other protectionist policies have played a prominent part in that agenda.

In March, for instance, Trump announced an initial slate of 25-percent tariffs on steel and aluminium, causing major trading partners like Canada to respond with retaliatory measures.

The following month, he also imposed a blanket 10-percent tariff on nearly all trade partners as well as higher country-specific import taxes. Those were quickly paused amid economic shockwaves and widespread criticism, while the 10-percent tariff remained in place.

Trump has argued that the tariffs are a vital negotiating tool to encourage greater investment in the US economy.

But economists have warned that attempting a “hard reset” of the global economy – through dramatic tax hikes like tariffs – will likely blow back on US consumers, raising prices.

Rachel Ziemba, a senior fellow at the Center for a New American Security, said the latest tariff hike on steel also signals that negotiating trade deals with Trump may result in “limited benefits”, given the sudden shifts in his policies.

Further, Friday’s announcement signals that Trump is likely to continue doubling down on tariffs, she said.

“The challenge is that hiking the steel tariffs may be good for steel workers, but it is bad for manufacturing and the energy sector, among others. So overall, it is not great for the US economy and adds uncertainty to the macro outlook,” Ziemba explained.

Trump’s tariff policies have also faced legal challenges in the US, where businesses, interest groups and states have all filed lawsuits to stop the tax hikes on imports.

On Thursday, for instance, a federal court briefly ruled that Trump had illegally exercised emergency powers to impose his sweeping slate of international tariffs, only for an appeals court to temporarily pause that ruling a few hours later.

A deal with Nippon Steel

Before the tariff hike was announced, Friday’s rally in Pittsburgh was expected to focus on Nippon Steel’s proposed acquisition of US Steel, the second largest steel producer in the country.

“We’re here today to celebrate a blockbuster agreement that will ensure this storied American company stays an American company,” Trump said at the outset of his speech.

But the merger between Nippon Steel and US Steel had been controversial, and it was largely opposed by labour unions.

Upon returning to the White House in January, Trump initially said he would block the acquisition, mirroring a similar position taken by his predecessor, former US President Joe Biden.

However, he has since pivoted his stance and backed the deal. Last week, he announced an agreement that he said would grant Nippon only “partial ownership” over US Steel.

Speaking on Friday, Trump said the new deal would include Nippon making a “$14bn commitment to the future” of US Steel, although he did not provide details about how the ownership agreement would play out.

“Oh, you’re gonna be happy,” Trump told the crowd of steelworkers. “There’s a lot of money coming your way.”

The Republican leader also waxed poetic about the history of steel in the US, describing it as the backbone of the country’s economy.

“The city of Pittsburgh used to produce more steel than most entire countries could produce, and it wasn’t even close,” he said, adding: “If you don’t have steel, you don’t have a country.”

For its part, US Steel has not publicly communicated any details of a revamped deal to investors. Nippon, meanwhile, issued a statement approving the proposed “partnership”, but it also has not disclosed terms of the arrangement.

The acquisition has split union workers, although the national United Steelworkers Union has been one of its leading opponents.

In a statement prior to the rally, the union questioned whether the new arrangement makes “any meaningful change” from the initial proposal.

“Nippon has maintained consistently that it would only invest in US Steel’s facilities if it owned the company outright,” the union said in a statement, which noted firmer details had not yet been released.

“We’ve seen nothing in the reporting over the past few days suggesting that Nippon has walked back from this position.”

The rally on Friday comes as Trump has sought to reassure his base of voters following a tumultuous start to his second term.

Critics point out that steel prices have risen in the US by roughly 16 percent since Trump took office, and his Republican Party faces potentially punishing congressional elections in 2026.

May 30 (UPI) — President Donald on Friday announced a 50% tariff on steel made outside the United States as he touted a partnership between Japan’s Nippon Steel Corporation and the United States Steel Corporation during a rally near Pittsburgh.

Calling it the “heart of U.S. Steel,” Trump spoke at the company’s headquarters in Allegany County. The indoor rally began around 5:30 p.m. and ended one hour later.

On Feb. 11, Trump restored a 25% tariff on steel and increased the aluminum tariff from 10% to 25%.

Argentina, Australia, Brazil, Canada, Japan, Mexico, South Korea, the European Union, Ukraine and Britain had received exemptions, “which prevented the tariffs from being effective,” according to the order.

He touted the efforts of Treasury Secretary Scott Bessett and Commerce Secretary Howard Lutnick, who were on hand.

One week ago, Trump announced a “planned partnership between the two steel giants, promising the U.S. Steel headquarters would remain on American soil rather than shift to Japan.

Trump said the deal includes “vital protections to ensure that all steelworkers will keep their jobs and all facilities in the United States will remain open and thriving.”

Writing on Truth Social, Trump said the new tariffs will take effect June 4.

Also, he said U.S. Steel would also keep all of its blast furnace facilities at full capacity for at least the next decade and vowed that there would be “no layoffs and no outsourcing whatsoever.”

Trump, who opposed the acquisition during the 2024 campaign, is now touting the $14 billion investment that the president said would create at least 70,000 jobs.

“You’re going to be very happy,” Trump said Friday. “There’s a lot of money coming your way.”

Every U.S. steelworker would be receiving a $5,000 bonus, he said.

At one time, U.S. Steel dominated production worldwide, but over the years it has “melted away just like butter melts away” as China mainly poured what he said was “garbage steel” into the country.

“If you don’t have steel, you don’t have a country,” Trump said in citing national security.

U.S. Steel, which was founded in 1901, has about 22,000 employees with revenue of $15.6 billion in 2024. Nippon, which traces its roots to Japan Iron & Steel Co. in 1934, has about 113,640 workers with revenue of $43 billion in 2019.

This week, CNBC reported Tokyo-based Nippon Steel will pay $55 per share to acquire U.S. Steel, citing sources familiar with the deal.

Pittsburgh-based U.S. Steel shares rose $0.59 or 1.11% to $53.82 at the close of the U.S. Stock Exchange on Friday afternoon.

The two steel companies were working on a deal before Trump took office on Jan. 20.

Days before leaving office in January, former President Joe Biden blocked Nippon Steel’s proposed $14.1 billion acquisition of U.S. Steel.

Biden cited national security concerns when rejecting the deal involving the second-largest American steel producer and Japan’s largest.

Both firms later filed separate federal lawsuits in the District of Columbia and in Pennsylvania to move the deal ahead, citing “unlawful political influences.”

In April, Trump issued an executive order directing a review of the acquisition by the Committee on Foreign Investment in the United States, a branch of the U.S. Department of the Treasury. U.S. Steel stock surged at the time, climbing more than 10% in a single day.

The president has said the deal will have a major positive economic effect.

The deal “will create at least 70,000 jobs, and add $14 Billion Dollars to the U.S. Economy. The bulk of that Investment will occur in the next 14 months,” Trump said on Truth Social last week.

He also teased Friday’s rally at U.S. Steel’s Irvin Works factory.

“President Trump is a bold leader and businessman who knows how to get the best deal for America, American workers and American manufacturing,” Trump said in a statement to The Hill on Friday.

“U.S. Steel greatly appreciates President Trump’s leadership and personal attention to the futures of thousands of steelworkers and our iconic company.”

Trump touted other companies increasing production in the United States.

During his speech, sometimes ad-libbed, he ventured into other areas, noting undocumented immigrants coming into the nation in “open borders.” He also bragged about winning all the battleground states during the 2024 election, including Pennsylvania.

He blasted Biden and called Democrats “lunatics.”

He voiced his support for the U.S. budget bill, which is moving through Congress, including extension of the 2017 tax cuts, no taxes on tips or overtime, deductions on loan interest for U.S.-made cars and permanent extension of the $2,000 per child credit. He didn’t mention Medicaid cuts and other program reductions.

Former Steelers running back Rocky Bleier presented Trump with a Steelers 47 jersey as two current players also were called up to speak: quarterback Mason Rudolph and safety Miles Killbrew.

The rally was about 35 miles south of Butler, where he survived an assassination attempt on July 13, two days before the National Republican Convention in Milwaukee, Wis.

Investors interpreted Trump’s comments to mean Nippon Steel had received his approval for its takeover of US Steel.

United States President Donald Trump has expressed support for Nippon Steel’s $14.9bn bid for US Steel, saying their “planned partnership” would create jobs and help the US economy.

Shares of US Steel soared 21 percent on Friday after Trump’s comments as investors interpreted the president’s post on Truth Social to mean Nippon Steel had received his approval for its long-planned takeover, the last major hurdle for the deal.

“This will be a planned partnership between United States Steel and Nippon Steel, which will create at least 70,000 jobs, and add $14 Billion Dollars to the US Economy,” Trump said in a post on Truth Social on Friday.

This week, the Reuters news agency reported that Nippon Steel has said if the merger is approved, it would invest $14bn into US Steel’s operations, including up to $4bn in a new steel mill.

Trump added that the bulk of that investment would occur in the next 14 months and said he would hold a rally at US Steel in Pittsburgh next Friday.

Nippon Steel said it applauded Trump’s decision to approve the “partnership”. The White House did not immediately reply to questions about the announcement.

US Steel share price kept rising after hours and reached $54, just shy of Nippon Steel’s $55-per-share offer price made in late 2023. While no details were released, investors expressed confidence that terms will be similar to those agreed in 2023. Investors said that eventually US Steel will no longer be publicly traded and they will receive a cash payout for their shares.

Politically controversial

The deal has been one of the most highly anticipated on Wall Street after it morphed into the political arena with fears that foreign ownership would mean job losses in Pennsylvania, where US Steel is based. It factored into last year’s election that saw Trump return to the White House.

Pennsylvania Senator Dave McCormick, who also called the deal a “partnership”, on Friday said it was a “huge victory for America and the US Steel Corporation”, that will protect more than 11,000 Pennsylvania jobs and support the creation of at least 14,000 more.

The last pieces of the deal came together surprisingly fast. The Committee on Foreign Investment in the US (CFIUS), which reviews deals for national security risks, told the White House this week that the security risks can be addressed, Reuters reported, moving the final decision to Trump’s desk.

Following an earlier CFIUS-led review, former President Joe Biden blocked the deal in January on national security grounds.

The companies sued, arguing they did not receive a fair review process. The Biden White House rejected that view.

The companies argued Biden opposed the deal when he was running for re-election to win support from the United Steelworkers union in the battleground state of Pennsylvania. The Biden administration had defended the review as essential to protecting security, infrastructure and supply chains.

Trump also initially opposed the deal, arguing the company must be owned and operated in the US.

The United Steelworkers were against the deal as recently as Thursday when they urged Trump to block the deal despite the $14bn investment pledge from Trump.

For investors, including prominent hedge funds, the news spells relief after more than a year of waiting for a resolution. “There were huge high-fives all around today,” one recent investor said, adding, “We understood Donald Trump’s psyche and we played it to our advantage here.”

Investors said Trump appears to have won ground after the pledge for new investments was increased.

“This deal ensures that steelmaking will live on in Pittsburgh for generations,” another investor said.

May 23 (UPI) — President Donald Trump announced Friday afternoon that U.S. Steel and Nippon Steel will form a “planned partnership,” keeping the American company’s headquarters in Pittsburgh rather than in Japan.

The Tokyo-based steelmaker’s $14.9 billion bid to acquire its U.S. rival was blocked on national security grounds before President Joe Biden left office on Jan. 3.

Politico described it as a purchase by Nippon Steel, and CNBC as a merger. U.S. Steel, which was founded in 1901, has about 22,000 employees with revenue of $15.6 billion in 2024. Nippon, which traces its roots to Japan Iron & Steel Co. in 1934, has about 113,640 workers with revenue of $43 billion in 2019.

“I am proud to announce that, after much consideration and negotiation, US Steel will REMAIN in America, and keep its Headquarters in the Great City of Pittsburgh,” Trump posted on Truth Social. “For many years, the name, ‘United States Steel’ was synonymous with Greatness, and now, it will be again.”

He said the partnership will create at least 70,000 jobs and add $14 billion to the U.S. economy, with the bulk of the investment in the next 14 months. He gave no details on the partnership.

“This is the largest Investment in the History of the Commonwealth of Pennsylvania,” he wrote.”My Tariff Policies will ensure that Steel will once again be, forever, MADE IN AMERICA. From Pennsylvania to Arkansas, and from Minnesota to Indiana, AMERICAN MADE is BACK.”

He said he is planning “a BIG Rally” at U.S. Steel in Pittsburgh on May 30.

Besides Pittsburgh, U.S. Steel has mills in Gary, Ind.; Ecorse, Mich.; and Granite City, Ill.

“CONGRATULATIONS TO ALL!” he ended the post.

U.S. Steel shares rose 21.9% to $52.01 at closing Friday on the New York Stock Exchange. Trump disclosed the news at 3:25 p.m., 35 minutes before closing.

In April, Trump ordered a new review of the proposed acquisition, directing the Committee on Foreign Investment in the United States to determine “whether further action in this matter may be appropriate.” CFIUS is made up of the departments of the Treasury and Justice and other critical agencies.

Cleveland-Cliffs Inc., which lost out to Nippon in its bid to purchase U.S. Steel, has since purchased a Canadian steel producer.

The deal was first announced in December 2023.

In rejecting the purchase, Biden said: “This acquisition would place one of America’s largest steel producers under foreign control and create risk for our national security and our critical supply chain

“It is my solemn responsibility as president to ensure that, now and long into the future, America has a strong domestically owned and operated steel industry that can continue to power our national sources of strength at home and abroad; and it is a fulfillment of that responsibility to block foreign ownership of this viral American company.”

On Feb. 11, Trump restored a 25% tariff on steel and increased the aluminum tariff from 10% to 25%.

Argentina, Australia, Brazil, Canada, Japan, Mexico, South Korea, the European Union, Ukraine and Britain had received exemptions, “which prevented the tariffs from being effective,” according to the order.

“Foreign nations have been flooding the United States market with cheap steel and aluminum, often subsidized by their governments,” Trump wrote.

“The United States does not want to be in a position where it would be unable to meet demand for national defense and critical infrastructure in a national emergency.”

On April 2, Trump announced reciprocal tariffs on the worst trading partner offenders, including 24% against Japan, but one week later paused them for 90 days.