“Through increased financial investment and the contribution of our advanced technologies to U. S. Steel, Nippon Steel will advance American priorities by driving greater quality and competitiveness for customers in the critical industries that rely on American steel while strengthening American supply chains and economic defenses against China,” the company said in a statement.

“No other U.S. steel company on its own can meet this challenge while also meeting antitrust requirements,” it added. 

However, that’s not to say the deal won’t face potential antitrust issues of its own. 

Politico on Monday reported that the U.S. Department of Justice (DOJ) is taking a preliminary look at the deal on concerns about Nippon Steel’s Calvert, Ala., mill, a joint-venture facility it owns with ArcelorMittal. 

“That plant competes directly with U. S. Steel, particularly for automotive customers. DOJ attorneys have reached out to industry participants in recent weeks, asking questions about how the joint venture would compete with a combined Nippon Steel and U. S. Steel,” Politico reported, citing anonymous sources. 

The sources told Politico that a formal, in-depth antitrust review has yet to be launched, and the department might ultimately decide against doing so. They also said the Nippon deal is not expected to hinge on antitrust concerns, but a lengthy investigation would add uncertainty.