The acquisition of U.S. Steel by Nippon Steel became final after the Trump administration approved the deal through a national security agreement while the Japanese steelmaker paid $55 for each U.S. Steel share.
The acquisition of U.S. Steel by Nippon Steel became official after the companies completed their $55-per-share purchase in December 2023. The companies established a unique “golden share” provision to address CFIUS concerns which granted the U.S. government exceptional control over specific corporate choices.
The golden share enables the government to block any decisions regarding plant closures and job transfers and the relocation of U.S. Steel’s headquarters from Pittsburgh. The administration holds the authority to select an independent board member and must approve all major strategic business decisions.
Chairman Eiji Hashimoto expressed gratitude to President Trump for his support of the deal while announcing that the merger would start a new era for U.S. Steel’s historic legacy.
The agreement received praise for its transformative impact on both companies yet legal experts fear that excessive government control will deter future foreign investments.
The United Steelworkers union strongly opposed the merger and will actively monitor Nippon’s compliance while expressing doubts about the extensive presidential authority in the agreement.
