Us Steel now completely owned by Nippon Steel from Japan

Us Steel now completely owned by Nippon Steel from Japan

Nippon Steel has completed the purchase of 100 % of the US Steel, the legendary steel manufacturer, which was once the most valuable company in the world and was the basis of American industrial strength.

President Trump and his conditions

The purchase is done despite President Donald Trump's repeated statements that he would only agree with the deal if it is an “investment” and not a complete acquisition of the company. Even if Nippon takes over the entire US Steel, the President has the opportunity to block decisions about decommissioning from works, production reductions or staff loss.

resistance and approval

The deal had previously been blocked by President Joe Biden in his last weeks of office for reasons of national security, and Trump had also rejected him during his election campaign. However, after Trump stepped into office, he said that Nippon had improved the offer and promised additional investments of a total of $ 14 billion in the company's facilities, although only $ 11 billion are included in the agreement that Nippon and US Steel signed with the US government and which applies until 2028.

Trump supports the deal

Last month Trump announced that he would agree to the deal as long as the American companies retained the name "Us Steel" and the local main center would remain in Pittsburgh. As President, he also received a veto law to stop personnel loss or outsourcing. However, he continued to emphasize that it was only a "partnership" or "investment" by Nippon Steel, not a complete purchase.

"It is an investment and it will be partial participation (from Nippon)," said Trump last month, days after he announced to agree to the deal. "It is checked by the United States, otherwise I would not complete the deal."

reactions of steel workers

At a rally in a US Steel plant outside of Pittsburgh, just one week after his consent to the deal, Trump said to cheering steel workers that the deal would be beneficial for her. "They kept asking me and I always rejected it, never, never, never," he said. "The deal was getting better for the workers. I will pay attention to it. It will be great."

future of jobs

Trump also stated that the blast furnaces in the United States will be operated with full performance for at least another decade and that there would be “no layoffs and no outsourcing”. Despite these announcements, some local union representatives praised the deal, while the United Steelworkers Union was still against it. In a statement on Sunday, the credibility of the promises and protective measures that the deal offers was questioned, even if Trump and future presidents have a veto law about certain decisions.

The story of US Steel

us Steel was once a Symbol of industrial dominance. Rel = "NOFOLLOW" TARGET = "_ blank" htfs://www.cnn.com/2023/18/investing/us-steel-nippon-steel-deal/index.html "> The most valuable company in the world and the first to achieve a value of 1 billion dollar shortly after it was founded in 1901. Also played a crucial role in the US economy in the largest of the 20th century by giving it the steel that was needed to build cars, devices, bridges and skyscrapers, as well as weapons that helped win the Second World War.

However, the company has been struggling with a decade of decline since its flowering after the Second World War. Today it is no longer the largest steel manufacturer in the United States and only has 14,000 employees - of whom 11,000 members of the United Steelworkers Union are.

This story was updated with additional information and context.