Nippon Steel is set to take over US Steel for US$14.9 billion, creating the world's second largest steel company. The value of the acquisition is $55 per share, which led to a significant 26.1% increase in US Steel shares on Monday's announcement.

Founded in 1901 by industrial magnates Andrew Carnegie and JP Morgan, US Steel was one of the world's largest companies at its height, thriving on American expansion and industrial progress. As in the wider US steel industry, however, its leadership has gradually waned over the years due to increasing competition from more affordable foreign sources. It currently employs more than 22,000 people worldwide, including more than 14,000 in the United States.

According to the World Steel Association, Nippon Steel, which currently has a capacity of 20 million tonnes of steel a year, is the world's second largest steel producer by capacity, after China Baowu Steel Group. Nippon Steel's acquisition is equivalent to approximately 7.3 times U.S. Steel's 12-month EBITDA, slightly above the industry median of seven times, according to LSEG data.

However, some US lawmakers have spoken out against the sale, stressing the importance of domestic ownership in steel production to US national security and military needs.