Nippon Steel said Thursday that it will invest some $300 million in two United States Steel plants as part of the Japanese company¡¯s $11 billion commitment to the U.S. steelmaker.
This represents Nippon Steel¡¯s first detailed investment plan for U.S. Steel made public since the Japanese firm¡¯s takeover of the U.S. company in June.
Nippon Steel said it will invest about $200 million to improve a hot strip at U.S. Steel¡¯s Gary Works in Indiana. The Japanese company will also spend about $100 million to build a new slag recycler at the U.S. firm¡¯s Edgar Thomson Plant in Pennsylvania.
The Japanese steelmaker plans to announce a mid- and long-term turnaround plan for U.S. Steel later this year.
¡°There has been progress in our plans to transfer our advanced technologies to U.S. Steel,¡± Tadashi Imai, Nippon Steel president and chief operating officer, told reporters.
Recent news reports said that the administration of U.S. President Donald Trump has exercised his ¡°golden share¡± power to block a decision to suspend production at U.S. Steel¡¯s Granite City Works plant in Illinois.
Imai said that the move appears to be part of Trump¡¯s efforts to protect U.S. manufacturing and jobs.
¡°We can protect U.S. production and employment¡± by enhancing the competitiveness of U.S. Steel, Imai said.
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