"No Change in Policy to Make US Steel a Wholly Owned Subsidiary...
Various Proposals Made to the US"
Nippon Steel has announced that it aims to complete the procedures related to its planned acquisition of the American steel company US Steel by June 5.
According to Kyodo News and NHK, on May 9, Nippon Steel Vice President Mori Takahiro stated at a press conference that President Donald Trump must make a decision on the US Steel acquisition by June 5, adding, "We are doing our utmost to bring it to a conclusion by then."
Nippon Steel President Imai Tadashi emphasized, "Since we have made an investment, it is essential that we receive a return. Therefore, making US Steel a wholly owned subsidiary remains the starting point of our negotiations." He added, "However, we are making various proposals in negotiations with the US government and President Trump."
During the previous administration of former President Joe Biden, Nippon Steel's acquisition was blocked by the Committee on Foreign Investment in the United States (CFIUS). However, President Trump ordered a review of this decision on April 7, and as a result, CFIUS is expected to conduct a re-examination until May 21. After that, President Trump will make the final decision by June 5.
Some media outlets have interpreted this move as leaving room to overturn former President Biden's decision. However, President Trump has repeatedly stated his opposition to Nippon Steel's acquisition of US Steel, saying, "It is difficult to accept a foreign purchase of the US Steel brand." After a summit with Japanese Prime Minister Ishiba Shigeru in February, President Trump also announced that, instead of an acquisition, Nippon Steel would make a large-scale investment in the United States.
Nevertheless, Nippon Steel maintains its policy of acquiring all shares of US Steel to make it a wholly owned subsidiary, and its strategy is to secure approval for the acquisition through negotiations with the US government.
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