Japanese Companies in the US — 2026-10-25
Nippon Steel has approved a $3 billion investment to upgrade US Steel’s aging Mon Valley works in Pennsylvania, marking the largest single project in its $11 billion US expansion plan. Concurrently, the Trump administration is finalizing a landmark deal where Japan invests up to $21 billion into new GlobalFoundries chip factories in New York, with the US government taking a direct equity stake.
Japanese Companies in the US — 2026-10-25
Top developments
Nippon Steel: $3 Billion Hot-Strip Mill Upgrade
Nippon Steel will invest approximately $3 billion to replace the 90-year-old hot rolling mill at US Steel’s Mon Valley Works in Pennsylvania. This project, announced on October 23, is expected to be the largest component of Nippon Steel’s broader $11 billion commitment to modernize US Steel by 2028. The new facility is scheduled for commissioning in the second half of 2029, addressing critical aging infrastructure issues.
GlobalFoundries: Japan-US Chip Factory Partnership
Japan is set to invest up to $21 billion in two new semiconductor manufacturing facilities in Malta, New York, to be operated by GlobalFoundries. This deal, part of a broader US-Japan economic security initiative, involves the US government taking a 4% equity stake in the venture. The agreement highlights a shift toward "friend-shoring" critical chip production, with Japanese capital funding the construction while GlobalFoundries manages operations.
SoftBank: Ousted Toyota as Japan’s Most Valuable Company
SoftBank Group has surpassed Toyota Motor Corp to become Japan’s most valuable company, driven by Masayoshi Son’s aggressive AI investments. The surge is fueled by retail investor optimism regarding potential windfall gains from upcoming listings of portfolio companies, including OpenAI and SB Energy. This shift reflects the market’s growing valuation of AI infrastructure over traditional manufacturing assets.
Deals, expansion & investment
- Chip Factory Investment: The Japan-US chip deal involves a $21 billion injection into GlobalFoundries' New York operations, with the US government securing a 4% stake in the venture as part of the "Technology Prosperity Deal."
- Steel Infrastructure: US Steel’s Mon Valley upgrade represents a critical step in Nippon Steel’s post-acquisition integration, aiming to boost profitability and output efficiency in the US market.
Regulation & market context
The Trump administration’s approach to these deals emphasizes direct government involvement, such as taking equity stakes in foreign-funded projects, which is a novel strategy for US industrial policy. Additionally, the US has proposed curbs on investment in Chinese biotech firms, signaling a broader trend of restricting capital flows to strategic competitors while encouraging allied investment in domestic manufacturing.
On the radar
- Audi’s US Expansion: While not a Japanese company, Audi’s recently announced $4.2 billion investment in a Georgia factory sets a competitive benchmark for foreign automakers in the US, potentially influencing future Japanese auto plant strategies.
- M&A Activity: Foreign M&A into Japan increased by 30% in the first half of 2026, driven by the weak yen making Japanese assets more attractive to US funds like Apollo Global Management.
By the numbers
- $3 billion: Investment by Nippon Steel in US Steel’s Mon Valley hot-strip mill.
- $21 billion: Maximum Japanese investment in GlobalFoundries’ new New York chip factories.
- 4%: Equity stake taken by the US government in the GlobalFoundries venture.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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