Trump says US Steel will stay in Pittsburgh and enter a ‘planned partnership’ with Nippon

After more than a year of back-and-forth and political ping pong over the deal, US Steel and Nippon will enter a “planned partnership,” according to a social post by President Donald Trump. 

Trump today said he approved the $14.9 billion merger of Japanese-owned Nippon Steel Corporation and United States Steel Corporation. He asserted in a post on Truth Social that the deal would create 70,000 jobs (US Steel currently employs around 22,000 people, down from a two-decade peak near 50,000). He also claimed it would add $14 billion to the US economy. 

Pennsylvania’s junior senator, Dave McCormick, repeated the monetary amount while describing a different number of jobs.

“This $14 billion investment by Nippon Steel ensures this storied American company remains under US leadership, dramatically enhances US domestic steel production capacity, protects more than 11,000 Pennsylvania jobs, and supports the creation of at least 14,000 more,” Sen. McCormick posted on X.

Per the president, US Steel will keep its headquarters in Pittsburgh, where it’s been located for more than a century, and Trump said he will visit the city for a “big rally” next Friday, May 30. The company on Friday afternoon issued a statement praising the president for the decision. 

“US Steel will remain American, and we will grow bigger and stronger through a partnership with Nippon Steel that brings massive investment, new technologies and thousands of jobs over the next four years,” the company said, in part.

The Pittsburgh Technology Council reacted to the news by focusing on Nippon’s efforts in innovation, according to Brian Kennedy, senior vice president for operations and government affairs.

“More importantly, this leadership team has demonstrated profound commitment to the Pittsburgh region, with ambitious plans to revitalize steelmaking in America’s Steel City,” Kennedy told Technical.ly. “For the first time in many years, we can confidently say that the lights of our mills will burn bright once again.”

At the time of publication, the administration did not provide more specifics on the agreement or economic impacts. That raised questions for political leaders in the region like Rep. Chris Deluzio, who called for “ironclad” commitments to the steelworkers’ union, the Pittsburgh HQ and investment in western Pennsylvania at large.

“The devil will be in the details about President Trump’s announcement for the future of US Steel,” Deluzio said in a statement. “But I do know one thing: thank goodness guys like me didn’t fold and weakly say yes to Nippon’s initial offer.”

Nippon’s purchase, however, comes at a time of dwindling steel jobs over the past half-century, as federal investments like the New Economy Collaborative look for ways to build opportunities in robotics and automation in the region. 

“Our energy assets, skilled workforce, higher education and strategic location to markets,” Allegheny Conference CEO Stefani Pashman said, “are a tremendous value proposition for investment from companies like Nippon.”

The decision to move forward with the deal reverses former President Joe Biden’s move to block the merger in January, a few weeks before his term ended. It also marks a shift away from Trump’s campaign trail stance against the Nippon-US Steel purchase.

Previously, US Steel threatened to leave Pittsburgh, or at least downsize its presence, if the deal failed. Plus, United Steelworkers (USW), the trade union representing some workers at US Steel, continuously came out against the proposal.

On the current announcement, the union also awaits more details from the administration on the deal.

“We cannot speculate about the impact of today’s announcement without more information,” said USW International President David McCall. “Our concern remains that Nippon, a foreign corporation with a long and proven track record of violating our trade laws, will further erode domestic steelmaking capacity and jeopardize thousands of good, union jobs.”

For Pittsburgh, the legacy of steel looms large. US Steel, once the largest domestic company and a hallmark of American industrial might, is now worth roughly $11.75 billion of a stock surge post-announcement. In contrast, Nippon Steel is valued at over $21.66 billion and ranks as the world’s fourth-largest steelmaker.

The decline of US Steel mirrors a larger story of economic transformation. Once a cornerstone of industrial America, the company now symbolizes how automation and globalization reshaped Pittsburgh and similar cities. 

Still, elected officials, as both pro- and anti-deal legislators have previously said, are hoping for a path forward that continues to build up the region for the so-called new economy. 

Several Pennsylvania politicians issued statements on Friday afternoon.

“We have the opportunity to deliver historic investments,” Gov. Josh Shapiro said, “ensure the future of American steelmaking continues to run through the Mon Valley while the headquarters of US Steel remains in Pittsburgh and have our workers, right here in Pennsylvania, continue leading the world with their skill and innovation.”

“Vowed to jam that up almost a year and a half ago and we did,” posted Sen. John Fetterman. “The original deal was a death sentence for Mon Valley steel. Nippon coughed up an extra $14B. This is why we fight for the union way of life.”