March 27 (Reuters) - Nippon Steel ( NISTF ) and U.S. Steel are in active talks

about a deal that would preserve their $14 billion merger and secure billions more in

investments from the Japanese steelmaker into Rust Belt facilities, Semafor reported on

Thursday.

In recent meetings with White House officials, Nippon has offered to increase the $2.7

billion it had previously offered to upgrade U.S. Steel factories to as much as $7 billion, the

report said, citing people familiar with the matter.

Nippon Steel ( NISTF ) and U.S. Steel did not immediately respond to Reuters' requests for a comment.

Nippon Steel ( NISTF ) President Tadashi Imai on Monday told reporters that Japan's biggest steelmaker

and U.S. Steel will continue negotiations with the U.S. government to reach an agreement on the

terms of the equity purchase and future investment plans.

In February, U.S. President Donald Trump, alongside Japanese Prime Minister Shigeru Ishiba

at the Oval Office, said that Nippon Steel's ( NISTF ) $14.9 billion bid for U.S. Steel would take the

form of an investment instead of a purchase.

Trump also said in mid-February that he would not mind if Nippon Steel ( NISTF ) took a minority stake

in U.S. Steel.

Nippon Steel ( NISTF ), the world's fourth-biggest steelmaker, made a $14.9 billion bid for U.S. Steel

in December 2023, ultimately promising billions of dollars in investment to revamp its aging

infrastructure and pledging to keep its headquarters in Pittsburgh, Pennsylvania.