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Nippon’s Takeover of US Steel Redraws Global Lines

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Japanese giant Nippon Steel was reported to have sealed a $14.9bn deal to acquire US Steel, agreeing to major political and regulatory conditions to ease American fears.

Observers said the company would pay $55 per share, take on US Steel’s debt, and invest $11bn in US operations by 2028.

The US government was said to have received a “golden share,” giving it power to block key decisions like moving production overseas or shutting plants.

Nippon reportedly pledged to keep US Steel’s headquarters in Pittsburgh and appoint US citizens to top roles.

The deal, first proposed in 2023, faced strong resistance from both Donald Trump and Democrats over foreign control of a key American industry.

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Analysts noted that Trump changed his stance after Nippon made significant concessions, prompting the current president to approve the takeover via executive order.

Union leaders reportedly remained wary. US steelworkers’ president David McCall was quoted saying the agreement handed the president an “astonishing level” of control, adding that unions would ensure Nippon kept its promises.

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