Trump Supports Nippon Steel's Minority Stake Bid Amid Controversy

U.S. President Donald Trump expressed openness to Nippon Steel acquiring a minority stake in U.S. Steel amidst political and security-related blockages. While Nippon Steel considers debt investments, a contentious merger proposal is hindered by political opposition from both Trump and the Biden administration. Legal actions are underway to challenge the merger block.

U.S. President Donald Trump has expressed his willingness to allow Nippon Steel to take a minority stake in U.S. Steel, despite the rejection of a more extensive merger. The Japanese company's focus is currently on potential investments in U.S. Steel's debt.

The transaction, estimated at $14.9 billion, initially faced political resistance from both Trump and former President Joe Biden, driven by domestic political considerations and union opposition. Nippon had promised substantial investments and to maintain U.S. Steel's Pittsburgh headquarters.

The Biden administration blocked the proposed merger citing national security concerns. Nippon and its legal team have contested the block, arguing political bias. As tensions rise, Nippon Steel is reportedly reconsidering its strategy, hinting at an alternative proposal.

(With inputs from agencies.)