US Steel Stock: Nippon Steel Considers Bold Changes in Buyout Strategy, Says Government Official (2025)

A Japanese government official has hinted that Nippon Steel might be rethinking its strategy for buying out U.S. Steel. While the company itself hasn’t confirmed anything, Chief Cabinet Secretary Yoshimasa Hayashi suggested a “bold” change could be in the works, potentially altering the whole deal.

Meanwhile, former U.S. President Donald Trump jumped into the conversation, declaring that no foreign company will be permitted to own a controlling share of U.S. Steel. This statement, made on Air Force One on Sunday, was paired with the announcement of a planned 25% tariff on all steel and aluminum imports. These new tariffs, coming on top of what’s already in place, are set to be officially announced on Monday.

Market Reaction and Political Implications

After these latest developments, shares of Nippon Steel dropped by 1.5% by Monday midday, and Japan’s Nikkei index dipped a bit, by 0.1%. The talks about U.S. Steel have been a point of disagreement for over a year now, with Trump speaking out against the deal several times. But it seemed like he softened his position a bit during his meeting with Japanese Prime Minister Shigeru Ishiba in the Oval Office last Friday.

We still don’t know the specifics of the suggested changes, but Trump said he plans to get together with Nippon Steel’s top brass this week. He also said he wants to help guide and settle the negotiations.

Legal and Structural Questions Surrounding the Deal

Even though there’s been talk of a change in approach, Nippon Steel’s Vice Chairman, Takahiro Mori, reaffirmed last Thursday that the company isn’t planning to change how the acquisition is set up. Meanwhile, Prime Minister Ishiba talked about the legal concerns regarding the distinction between an acquisition and an investment upon his return from the U.S.
Ishiba noted, “What matters most is if Americans keep thinking of U.S. Steel as a company that’s truly American.”
Nippon Steel hasn’t said anything about either Ishiba’s statement or the chance of meeting with Trump.

A Plan to Grow Across the Globe

Nippon Steel’s effort to buy U.S. Steel is a big part of its plan to expand around the world. But last month, then-President Joe Biden stopped the deal because of worries about national security. Because of this, Nippon Steel and U.S. Steel have gone to court several times to fight Biden’s decision.

Government speaker Hayashi stressed that Nippon Steel isn’t just looking at this like a normal purchase. Instead, he hinted that the firm is putting together a bold plan that’s quite different from anything they’ve tried before.
Hayashi commented, “This step has the potential to be a real win-win for both Japan and the United States. It’s going to mean significant financial commitments and the creation of top-notch steel goods that cater to both our own needs and those of the wider world market.”

Is it an Investment or a Takeover? The Story’s Still Developing

On Friday, Trump hinted that Nippon Steel’s massive $14.9 billion offer for U.S. Steel might actually be more of an investment than a complete buyout. Although two sources close to the situation stated that Nippon Steel hasn’t pulled its offer, it seems like the specifics of the deal are still very much up in the air.
As talks keep going, everyone’s waiting to see how this major deal plays out. The political, financial, and legal angles are all going to have a big say in what happens next with U.S. Steel and Nippon Steel’s plans to grow.

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