• Trump announces partnership to keep US Steel operations in the US.
• Deal to create at least 70,000 jobs and boost the US economy by $14 billion.
• US Steel shares surged over 20% following the announcement.
• Questions remain about the specifics of the deal and job security.
• Concerns voiced by unions regarding foreign involvement in US Steel operations.

US President Donald Trump has revealed a new partnership between United States Steel Corp and Japan's Nippon Steel, a move that has shocked markets and suggested that the iconic American firm will maintain its operations in the US. During his announcement on his Truth Social platform, Trump stated, "I am proud to announce that, after much consideration and negotiation, US Steel will REMAIN in America, and keep its Headquarters in the Great City of Pittsburgh," contributing to a surge in US Steel shares by as much as 26% in late trading on the day of the announcement, according to Bangkok Post and India Times.

The anticipated partnership is claimed to contribute significantly to the US economy, expected to create at least 70,000 jobs and inject $14 billion over the coming year and a half. However, it remains unclear whether the agreement fully endorses Nippon Steel's prior $14.1 billion bid for US Steel, which raises questions about the future structure of the deal. Investors reacted positively, pushing US Steel shares to $52.01, but uncertainty remains as shares are still below the $55 projected by Nippon Steel, according to Reuters and Channel News Asia.

Despite the optimistic projections, the announcement also drew criticism from the United Steelworkers union, which has expressed concerns about Nippon Steel's track record and how this partnership may impact domestic steel production and union jobs. Union leaders have emphasized the need for more information to gauge the true implications of this foreign partnership on US Steel's workforce and production capabilities. "We cannot speculate about the impact of today’s announcement without more information," USW president David McCall said, emphasizing a need for clarity moving forward, according to Bangkok Post and India Times.

Meanwhile, Nippon Steel's exploratory approach into the American market is crucial for the company's long-term growth, particularly given the saturation of the domestic market in Japan. Analysts noted that access to the U.S. market could provide significant benefits, despite rising concerns regarding the financial implications of the deal's cost structure. The merger could potentially position the newly formed entity as the world's third-largest steel producer, following only Baowu Steel Group and ArcelorMittal, reinforcing the importance of this development on a global scale, according to Reuters and Channel News Asia.