TOKYO - Nippon Steel announced Saturday that it had entered an agreement with the US government to address security concerns surrounding its planned acquisition of US Steel, clearing the way for the long-contested deal to proceed.

US President Donald Trump issued a revised executive order on June 13 (US Eastern Time), allowing the deal to go forward if the buyer agrees to terms set by the US government through a national security framework.

The agreement reportedly includes provisions that Nippon Steel will issue a "golden share" to the US government, granting veto power over major management decisions to ensure American oversight.

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Nippon Steel also unveiled an investment plan totaling approximately $11 billion through 2028 to upgrade aging production facilities and build new steel plants in the United States.

"All conditions to make US Steel a wholly owned subsidiary have been met," Nippon Steel stated.

Nippon Steel's bid, initially announced in December 2023, encountered resistance from the outset. In January, just before leaving office, former US President Joe Biden blocked the acquisition, citing national security concerns.