Trump announces steel alliance: 70,000 jobs for Pittsburgh!

Trump announces steel alliance: 70,000 jobs for Pittsburgh!

On May 24, 2025, President Donald Trump announced a significant “proposed partnership” between U.S. Steel and Nippon Steel. This initiative is described as the largest investment in Pennsylvania's history and could have a significant impact on the U.S. economy. The partnership is expected to create at least 70,000 jobs and contribute $14 billion to the country's economic output. U.S. Steel has a long history and was founded in 1901; the company employs approximately 22,000 people and had sales of $15.6 billion in 2024.

Trump spoke on Truth Social and asserted that U.S. Steel will “stay in America” and keep its headquarters in Pittsburgh. This comes despite previous takeover attempts in which Nippon Steel made a $14.9 billion offer that was blocked on national security grounds. The shares of U.S. Steel rose over 21 percent in US trading as a result, trading at $52.01 on Friday.

Background and objections

The new partnership comes after a review of the takeover offer by Cfius, the agency that reviews foreign investments in the United States. This review was ordered by Trump on February 11, 2023, after President Joe Biden blocked an earlier takeover in January 2021, citing national security risks. Trump also tried to get Nippon Steel to invest in the U.S. Steel to invest without taking control of the company. The steel workers' union raised concerns and accused Nippon Steel of unfair competition because the company operated with steel that was too cheap.

Trump announced that the majority of the investments should take place within the next 14 months. In an upcoming rally at U.S. Steel in Pittsburgh on May 30, Trump is expected to provide more details about the partnership. In addition to the Pittsburgh plants, U.S. Steel locations in Gary, Indiana; Ecorse, Michigan; and Granite City, Illinois, which could expand the reach of the partnership.

Market reactions and strategic considerations

The strategic importance of the partnership is underscored by the fact that Nippon Steel, a company with approximately 113,640 employees and sales of $43 billion in 2019, has increased its investment commitments in the United States. It could even reach its target of $14 billion with a new plant. Trump had previously imposed tariffs on steel and aluminum to protect the US market. This highlights the complexity of the global steel industry and the geopolitical challenges associated with foreign investment.

The announcement of this partnership could not only stabilize the steel sector in the USA, but also have a significant impact on international trade relations. Trump is thinking strategically and plans to continue to build support for this initiative in the coming weeks.