Steel Mills

Trump still sour on Nippon's buy of USS; promises tariff, tax incentives
Written by Ethan Bernard
December 3, 2024
President-elect Donald Trump has maintained his opposition to Nippon Steel’s proposed $14.9-billion deal for Pittsburgh-based U.S. Steel.
“I am totally against the once great and powerful U.S. Steel being bought by a foreign company, in this case Nippon Steel of Japan,” Trump said in a post on Truth Social on Monday.
“Through a series of Tax Incentives and Tariffs, we will make U.S. Steel Strong and Great Again, and it will happen FAST! As President, I will block this deal from happening. Buyer Beware!!!” he added.
Though Inauguration Day is not until Jan. 20, Trump has already threatened Canada and Mexico with 25% tariffs on all imports to the US, and China with another 10% tariff in addition to existing trade measures.
USS responds
A spokesman for U.S. Steel said the company will not speculate on potential future policy decisions.
“Right now, our focus is on the future of U.S. Steel and completing our transaction with Nippon,” he said in a statement to SMU on Tuesday.
As previously reported, Nippon expects the US Committee on Foreign Investment’s (CFIUS) national security review to close by the end of December. This would still place it in the waning days of the Biden administration.
More specifically, the company anticipates CFIUS finishing the investigation by Dec. 23, according to a report in the New York Times on Tuesday. Biden will then have 15 days to render a decision.
The article also said that if the deal closes under Biden’s administration, it could be more difficult for Trump to block it later.
On Nov. 26, SMU cited a Reuters report that Japanese Prime Minister Shigeru Ishiba asked President Biden to OK the transaction.
Recall that Nippon has said it will consider suing the US government if the deal is blocked.
USW lauds decision
United Steelworkers (USW) International President David McCall supported Trump’s post.
“It’s clear that President Trump understands the vital role a strong domestic steel industry plays in our national security, as well as the importance of the jobs and communities the industry supports,” McCall said in a statement.
“Our union thanks him for his continuing commitment to American manufacturing and agrees with him that with proper attention, U.S. Steel will flourish well into the future as a domestically owned and operated company,” he continued.
McCall noted the transaction has been under review for more than 10 months. He said more time “won’t change the fact that it’s bad for USW members” where U.S. Steel operates.
Additional time would also not “alter the dire national and economic security risks the deal poses to our country.”
“It’s time for this deal to be rejected, so we can all focus on the future,” McCall concluded.

Ethan Bernard
Read more from Ethan BernardLatest in Steel Mills

Hyundai still on for Louisiana steel mill despite US raid at Georgia battery plant
Hyundai has reaffirmed its commitment to build a steel plant in Louisiana following a US government immigration raid at its battery facility in Georgia.

Hybar lowers output forecast, owning up to EAF startup delay
Hybar LLC’s rebar mill in Osceola, Ark., is now melting scrap and will soon be fulfilling orders, according to CEO David Stickler, despite a six-to-eight-week delay caused by commissioning the world’s first Aura electrical system.

Steel Dynamics guides to more metal, more money in Q3
Steel Dynamics Inc. is bullish heading into the close of the third quarter, with all three of its operating segments tracking higher.

AHMSA opens doors to potential buyers as $1.3B asset auction nears
AHMSA is opening its doors to potential buyers to tour its steel plant and mining operations in northern Mexico in preparation for the next stage of its bankruptcy process: the auction of its assets.

USW seeks clarity on USS plans for Granite City Works
The United Steelworkers union has asked U.S. Steel to elaborate on its Granite City Works plans following reports that the steelmaker is ending processing at the facility.