U.S. Steel shares are jumping in premarket trading Friday on a report that Nippon Steel is offering to spend as much as $7 billion to upgrade the American company’s aging Rust Belt facilities in a bid to obtain the Trump administration's approval of their $14 billion merger.

Nippon Steel Corp. shares slumped Friday on a report that the company is considering investing as much as $7 billion to upgrade United States Steel Corp. facilities if it wins approval for its proposed $14.

Nippon Steel 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,