Trump Hints At Rekindling Nippon Steel's $14 Billion Acquisition Of United Steel In Talks With Japanese PM Ishiba

During a Friday White House meeting with Japanese Prime Minister Shigeru Ishiba, President Donald Trump hinted that he may be weighing the possibility of allowing Japan's Nippon Steel NPSCY to proceed with its $14.1 billion acquisition of U.S. Steel X, despite his previous opposition to foreign ownership of the American steel giant, according CBS News.

While no final decision has been made, a reversal of his stance would mark a significant shift in policy. President Biden had previously blocked the deal days before leaving office, citing national security concerns.

Trump wrote on Truth Social in December that he too was "totally against the once great and powerful U.S. Steel being bought by a foreign company, in this case Nippon Steel of Japan."

Asked by CBS whether he had changed his mind about the sale, Trump hinted that he had news to share afterward. “I hear we’ll have some pretty good information on that.”

Nippon Steel meanwhile has been eager to court favor with Trump to finalize the takeover after Biden blocked it, which led to lawsuits filed by both companies.

During the meeting, Ishiba and Trump discussed trade, automotive tariffs and, of course, the controversial merger. The meeting comes as Trump renews his push to reduce the $68 billion U.S. trade deficit with Japan about which he also hinted at a cooperative approach.

"I think it will be very easy for Japan," Trump said at start of his Oval Office meeting. "We have a fantastic relationship. I don't think we'll have any problem. They want fairness also."

Ishiba, per reports, emphasized Japan's important economic contributions to the United States, noting that Japanese companies have led foreign direct investment in the U.S. over the last five years. "It is not only among politicians, but also among the general public as well as business leaders," Ishiba said. "There are many that were anxiously awaiting your comeback."

In terms of Nippon Steel, securing Trump's approval is crucial. In addition to the legal challenges, the company has intensified its public relations campaign, arguing that the deal aligns with Trump's economic priorities. Nippon contends that the acquisition would bolster U.S. manufacturing, create jobs and increase investment in American industries.

That said, the merger remains a contentious issue, as Trump needs to weigh his "America First" policy against the benefits of Japanese investment. With legal battles ongoing and political stakes high, Nippon Steel’s fate hinges on whether Trump ultimately decides to green light the deal.

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