Investing.com-- Shares of Nippon Steel Corp (TYO:5401) fell on Monday after U.S. President Donald Trump claimed that the company had dropped its plan to buy U.S. Steel, and that the Japanese firm could not have a majority stake in the U.S. steelmaker.
Trump also announced 25% tariffs on all U.S. steel imports, pressuring global steel stocks. Nippon Steel shares fell as much as 2%, compared to mild declines in the benchmark Nikkei 225.
Trump said on Sunday that Nippon Steel could not take a majority stake in U.S. Steel, just days after claiming that the company had dropped its $15 billion bid for the U.S. steelmaker.
Trump had last week said that the Japanese steelmaker was considering investing in U.S. Steel, with his comments coming just after a meeting with Japanese Prime Minister Shigeru Ishiba.
Media reports last week said Ishiba had presented a revised plan to Trump for Nippon Steel’s bid. The deal was blocked by former President Joe Biden on concerns that U.S. steel supply would be compromised.
The deal had also faced opposition from several U.S. lawmakers and union groups, on the grounds that it would result in job losses in the U.S.
Nippon Steel and U.S. Steel had sued Biden over the rejection.
Additionally, Trump on Sunday said he will impose 25% tariffs on all U.S. steel and aluminum imports, rattling global steel producers.
Nippon Steel is the world’s fourth-largest steel producer.