Trump clears Nippon merger with U.S. Steel, Claiming 70,000 Jobs and Economic Surge

preCharge News BUSINESS — Former President Donald Trump on Friday approved the long-delayed merger between U.S. Steel and Japan’s Nippon Steel, reviving a $14.9 billion deal that had previously been rejected under the Biden administration due to national security concerns.

In a post on Truth Social, Trump announced that the transaction will go forward, adding that it will “create at least 70,000 jobs” and inject $14 billion into the U.S. economy over the next 14 months. He emphasized that U.S. Steel’s headquarters will remain in Pittsburgh, where he also plans to hold a campaign rally on May 30.

Trump announces approval of Nippon-U.S. Steel merger on Truth Social.

Stock Soars as Trump Breaks from Biden’s Playbook

U.S. Steel surges 20% on merger revival

Markets quickly responded to the former president’s declaration. U.S. Steel shares jumped more than 20%, closing at $52.01 per share, their highest level since 2022. The rally reflects renewed investor confidence in the controversial merger, which could reshape the domestic steel industry.

The proposed deal had been shelved by President Joe Biden in January. Citing national security concerns, Biden blocked Nippon’s acquisition of U.S. Steel, warning that foreign control over critical materials could “jeopardize American supply chains and defense readiness.”

A Political Reversal with Global Implications

Trump’s economic nationalism — redefined?

Trump’s move signals a more pragmatic shift in his economic policy, favoring foreign direct investment over blanket protectionism. “This will be a planned partnership,” Trump emphasized, reframing the deal as a joint venture rather than a takeover.

Critics say the announcement opens new questions about foreign ownership of strategic industries. Supporters argue that the merger is a win for jobs and regional growth, particularly in the Rust Belt, where steel remains politically symbolic.

Timing, politics, and Pittsburgh

The May 30 rally in Pittsburgh comes at a critical time. Trump continues to lead Biden in several swing state polls and is leveraging high-profile economic wins to bolster his campaign’s momentum.

By delivering on what he framed as “economic renewal,” Trump is looking to reclaim working-class voters who felt left behind by globalization — and who powered his 2016 victory.

Behind the Deal: Timeline and Tensions

From blocked to back on track

The original offer from Nippon Steel to acquire U.S. Steel was made in late 2023. Biden’s administration halted the deal in early 2024, initiating a national security review under the Committee on Foreign Investment in the United States (CFIUS).

In April, Trump ordered a new review of the transaction, suggesting the earlier block was politically motivated. Friday’s approval marks the completion of that second review — though it may still face legal or legislative resistance.

Industrial policy or campaign promise?

While Trump touted the job creation figures and projected economic boost, independent analysts have yet to verify those numbers. Historically, mergers in heavy industry tend to produce efficiency gains, not always new employment. Still, with steel playing a symbolic and strategic role in America’s manufacturing identity, the announcement may be more about messaging than metrics

What’s Next for U.S. Steel and American Industry?

Reshaping supply chains and international trade

Should the deal proceed without further hurdles, it will mark one of the largest foreign acquisitions of a U.S. industrial firm in recent history. Nippon Steel, the world’s fourth-largest steelmaker, is expected to pour capital into American production lines while gaining secure access to U.S. markets.

The transaction also reflects a broader trend: global firms looking to de-risk China exposure by investing in the United States. If successful, the Nippon-U.S. Steel merger could serve as a model for other Asia-based firms navigating new geopolitical realities.

Congressional reaction still uncertain

Though Trump approved the deal, it remains unclear how lawmakers will respond. Bipartisan resistance to foreign acquisitions in key sectors has grown in recent years. Senator Sherrod Brown (D-Ohio) and Senator Josh Hawley (R-Mo.) have both voiced skepticism about the merger in the past.

Any congressional inquiry or proposed legislation could still stall the process, though Trump’s political influence — especially among industrial-state voters — gives the deal a unique shield.

Final Word — A Steel Deal Forged in Politics

With an election year in full swing, Trump’s decision is both economically and politically calculated. It breaks with Biden-era caution while appealing to voters who crave tangible economic action. But it also revives complex questions about who should control the backbone of American industry — and at what cost.

Whether this merger becomes a case study in economic revitalization or political overreach remains to be seen. For now, it’s a bullish bet on steel — and on Trump’s ability to remake U.S. industrial policy in his own image.