A century ago, the creation of U.S. Steel kickstarted a period of prosperity and manufacturing in Pennsylvania. In recent decades, that prosperity dimmed in some communities. Luckily, a new investment deal brokered by the Trump administration with Nippon Steel promises to revitalize U.S. Steel and the American steel industry at large.
Founded in 1901, U.S. Steel became the largest American business and the world’s first one-billion-dollar company. From its founding, the company began making steel in Pennsylvania’s Mon Valley. The company became so ubiquitous in American culture that many people simply referred to it as “The Corporation.” U.S. Steel was used to build American skyscrapers, bridges, stadiums and infrastructure still used today.
At the height of its success, U.S. Steel employed 340,000 Americans. Thousands of workers relied on the company for a steady paycheck to provide a home and feed their families, including Pennsylvanians from Pittsburgh and the Mon Valley.
Today, global trends have hurt U.S. Steel. Once the world’s largest steel producer, the company now ranks 24th globally. Trade practices and disinvestment have hurt the former industrial giant, with U.S. Steel now employing only 22,000 people.
However, U.S. Steel’s struggle is not irreversible. A new landmark partnership with Nippon Steel would provide the boost U.S. Steel needs to return to its former glory and become an American manufacturing powerhouse. Nippon has pledged to invest billions in U.S. Steel and supply advanced technologies to the company’s facilities. It is pledging not to lay off American workers, and its investments may create opportunities for new jobs here in Pennsylvania. With this deal, U.S. Steel will go from 24th in the world to being part of the world’s third-largest steel company.
Nippon already has a proven record of investing in American companies, including here in the Keystone State. In 2011, a Nippon firm partnered with the Pennsylvania company Standard Steel and invested $220 million. By 2022, the company turned a record profit. Nippon is one of many friendly Japanese companies that have worked with the United States to invest dollars and technology into American industries to help them better compete against our Chinese rivals. Put simply, Japan is a foreign partner we can trust.
Strengthening American partnerships is more important than ever to protect our national security and check China’s influence. We are in an age where China attempts to manipulate foreign markets and trading practices to hurt American companies. To counter those practices, we must give American companies the resources they need to compete.
With his new tariffs on steel, President Donald Trump has already provided American steel companies with well-needed relief and time to strengthen domestic industry. More work is needed. This U.S. Steel-Nippon partnership aligns with President Trump’s policies and would help an iconic American steel company become a dominant global player again. It is the only deal on the table that would allow the United States to compete with China’s steel industry.
We are at a crossroads for American manufacturing and steel production. Will we allow an iconic American company to struggle or will we welcome historic investment that brings back America’s industrial strength?
President Trump can right yet another wrong by President Joe Biden and restore American steel to greatness in the process. In doing so, he will once again demonstrate his commitment to the American working class and strengthen American industrial power for decades to come.
