On Friday, President Trump informed Pennsylvania steelworkers that he is increasing the tariff on imported steel to 50%. He stated this significant rise is to protect their industry, but it is expected to cause higher prices for steel, which is used in things like houses and cars.

Later, on his Truth Social platform, he also stated that aluminum tariffs would be increased to 50%. He added that both tariff increases would become effective on Wednesday.

Speaking at U.S. Steel's Mon Valley Works–Irvin Plant near Pittsburgh, Trump mentioned an upcoming deal. This agreement, whose details are not yet public, involves Japan's Nippon Steel making a significant investment in the well-known American steel company.

Upon his return to Washington, Trump informed reporters that the final approval of the agreement remained pending his decision.

I need to approve the final agreement with Nippon, but we haven't seen that final agreement yet. However, they have shown a very strong commitment and are making a large investment, he said.

Although Trump first promised to stop the Japanese steelmaker from buying U.S. Steel, which is based in Pittsburgh, he later changed his mind and announced an agreement last week for Nippon to have "partial ownership."

It's still not clear if the agreement, which his administration helped arrange, is complete or how the ownership will be set up. Nippon Steel has always said it wants to fully buy and control U.S. Steel as a completely owned part of its company. This is true even though they offered more money to invest in U.S. Steel factories and promised not to fire workers or close plants while trying to get the government's approval for the purchase.

Opening an event at a U.S. Steel warehouse, Trump praised an important agreement, stating it would ensure the respected company remains American-owned. He then asked for confirmation, saying, "You will stay an American company, won't you?"

Regarding tariffs, Trump stated that doubling taxes on imported steel would "further strengthen the U.S. steel industry," but such a significant increase might lead to higher prices.

According to the government's Producer Price Index, steel prices have increased by 16% since President Trump took office in mid-January.

By March 2025, steel in the United States cost $984 per metric ton, which was much higher than the prices in Europe ($690) and China ($392), according to the U.S. Commerce Department. Last year, the U.S. produced about three times more steel than it imported. The main countries from which the U.S. imported steel were Canada, Brazil, Mexico, and South Korea.

Analysts think that the tariffs from Trump's first term strengthened the domestic steel industry, and Nippon Steel aimed to benefit from this when they offered to buy U.S. Steel.

The United Steelworkers union continued to harbor reservations.

David McCall, who is the president of the union, said that their main worry is how the merger of U.S. Steel with a foreign company will affect national security, their members, and the places where they live and work.

Trump emphasized that the agreement would keep America in charge of the well-known company, which is considered both a political symbol and an important part of the country's supply chain, affecting industries like car manufacturing and national security.

Since returning to the White House, Trump, who is keen to make deals and announce new investments in the U.S., is also trying to please the voters who elected him, especially blue-collar workers, as he promised to protect American manufacturing.

Neither U.S. Steel nor Nippon Steel has publicly shared the details of a new agreement with investors, even though Nippon Steel released a statement supporting the planned "partnership."

State and federal lawmakers who know about the situation describe an agreement where Nippon will buy U.S. Steel and put billions of dollars into U.S. Steel's factories in Pennsylvania, Indiana, Alabama, Arkansas, and Minnesota. The company would be run by a leadership team and board mostly made up of Americans, and the U.S. government would have the power to stop decisions through a "golden share."

Unionized steelworkers stated that opinions were initially divided concerning Nippon Steel's acquisition. However, their views changed over time as they became increasingly certain that U.S. Steel would eventually close its plants in the Pittsburgh area.

Clifford Hammonds, who works as a line feeder at the factory where Trump gave his speech, mentioned that at the very least, the agreement would help improve the old factory and increase how much it produces.

Hammonds explained that investing money back into the factory is intended to help rebuild it, as the facility is old and in disrepair, leading to lower production than it should be. He stressed the importance of financial investment to repair the current machinery and improve output.

This issue is very important for Trump, regardless of the exact conditions. Last year, he repeatedly stated he would stop the deal and prevent foreign companies from owning U.S. Steel, and former President Biden said the same.

During his campaign, Trump promised to focus on bringing back American manufacturing in his second term. The future of U.S. Steel, which used to be the world's biggest company, could now cause political problems for the Republican Party in the midterm elections, especially in Pennsylvania and other important industrial states.

Trump stated on Sunday that he would not approve the deal unless U.S. Steel stayed under American ownership, adding that its headquarters needed to remain in Pittsburgh.

The president concluded his address on Friday with an expression of gratitude to the steelworkers.

With the help of committed individuals like you, we will make our own metal, generate our own energy, safeguard our future, build up our nation, and determine our own path," he said. "Pennsylvania steel will once again be a crucial part of America, more than it has ever been.

Recently, Trump and other U.S. officials have been promoting Nippon Steel's new promise to invest an additional $14 billion, on top of its $14.9 billion offer. This includes building a new electric arc furnace steel mill somewhere in the U.S.

On Friday, he was joined on stage by several U.S. Steel workers, including Jason Zugai, who is the vice president of the local United Steelworkers union at the Irvin finishing plant. This local union went against the international union by supporting Nippon Steel's offer to buy U.S. Steel.

Zugai, whose father had lost his job in a steel mill years before, strongly encouraged local officials and members of Congress to support the deal. He believed that U.S. Steel would eventually close its Pittsburgh-area factories if they didn't.

In his speech, Zugai told Trump, "I was confident you wouldn't let us down," and described Nippon Steel's planned $14 billion investment in U.S. steel production as something that would "change lives."