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Nippon Steel Closes $14.1 Billion U.S. Steel Takeover, Grants U.S. Veto Power

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Published Jul 6, 2025, 10:06 PM

Nippon Steel Corp. has completed its acquisition of United States Steel Corp. for about $14.1 billion, ending an 18-month saga that saw two U.S. administrations take opposite positions on the transaction. U.S. Steel becomes a wholly owned subsidiary but will retain its name and Pittsburgh headquarters, and its shares have ceased trading on the New York Stock Exchange.

The closing follows a June 13 executive order by President Donald Trump that reversed a prior block imposed in January by then-President Joe Biden. As part of a National Security Agreement negotiated with the Treasury and Commerce departments, the Japanese producer issued a single "golden share" that allows the U.S. president—or a designated official—to appoint one independent director and veto decisions on plant closures, capital spending cuts and other strategic moves.

Nippon Steel also committed to invest roughly $11 billion in U.S. operations by 2028, more than ten times its original pledge. The agreement requires a majority-U.S. board and U.S. citizen key executives, and bars transferring production or jobs abroad without U.S. consent.

The tie-up lifts Nippon Steel’s combined output with U.S. Steel to almost 58 million tons a year, cementing its position as the world’s fourth-largest steelmaker and sharpening its challenge to Chinese rivals. Chairman Eiji Hashimoto said the purchase provides “adequate flexibility and profitability” and is central to the company’s goal of reaching 100 million tons of capacity within the decade.

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#Pittsburgh #New York Stock Exchange #Donald Trump #Joe Biden #National Security Agreement #Treasury and Commerce #Japanese #Nippon Steel #Chinese #Eiji Hashimoto

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Sources

reuters.com(14)asia.nikkei.com(12)jiji.com(11)mainichi.jp(11)

First Squawk

@FirstSquawk

NIPPON STEEL AIMS TO BOOST ANNUAL CRUDE STEEL OUTPUT BY OVER 60% TO REACH 100 MILLION TONNES WITHIN A DECADE, AS THE COMPANY PURSUES AMBITIOUS GLOBAL EXPANSION, INCLUDING PLANS FOR STEEL CAPACITY GROWTH IN THE U.S., INDIA, CHINA, AND SOUTHEAST ASIA . - NIKKEI

Nikkei Asia

@NikkeiAsia

Nippon Steel eyes return to world No. 1 through U.S. Steel purchase: CEO

日本経済新聞電子版（日経電子版）

@nikkei

[Nikkei Special Report] Nippon Steel Chairman Hashimoto “After 10 years, it will definitely restore power to number one in the world” Japan and the US contain China

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