Trump Announces $100 Billion Investment in the U.S. from Japan’s SoftBank

President-elect Donald Trump made a significant announcement alongside SoftBank Group CEO Masayoshi Son, revealing the Japanese company’s plan to invest $100 billion in various U.S. projects over the next four years.

This announcement took place on Monday at Trump’s Mar-a-Lago resort, with Son present, as well as Howard Lutnick, the head of investment bank Cantor Fitzgerald, who is also Trump’s nominated commerce secretary.

Trump expressed that the investment decision is based on Son's optimistic outlook for the United States, stating, "He’s doing this because he feels very optimistic about our country." The president-elect noted that since his election, numerous individuals have shown interest in bringing substantial investments into the nation.

According to Trump, SoftBank's move represents "a monumental demonstration of confidence in America’s future." He emphasized the importance of this investment in showcasing the potential of the U.S. economy.

During the announcement, Son expressed his enthusiasm by saying he wanted to "celebrate the great victory of President Trump" and hopes to "bring the world into peace again," reflecting a desire for collaboration and growth.

Additionally, Trump highlighted that this new $100 billion investment pledge is double the amount Son committed in 2016 when Trump first became president. In a lighter moment, Trump jokingly suggested to Son at the microphone, "Would you make it $200 billion?"

While previous announcements involving international companies have sometimes fallen short, Monday's declaration is seen as a positive step for Trump. He has been actively promoting his policies and engaging with foreign leaders to secure investments since the election.

Previously, companies like Foxconn Technology Group had received Trump’s praise for their investment plans, only for those commitments to be reduced later, particularly following the impacts of the COVID-19 pandemic.

SoftBank, founded by Son in 1981, diversifies its investments across various sectors. The company is known for holding stakes in notable companies, including Alibaba, Yahoo, and Nvidia. Earlier this year, it also partnered with Saudi Arabia to build a robot factory.

After Trump's previous victory in 2016, he had met with Son, who agreed to invest $50 billion and create 50,000 jobs in the U.S. This investment was celebrated by Trump, who indicated it would not have happened without his election.

However, some investments made by SoftBank have not been successful. The company's stake in WeWork, which recently sought bankruptcy protection, highlights the risks involved in such ventures. Additionally, SoftBank has also been part of investments in other companies that have faced challenges.

As part of Trump's broader agenda, this announcement comes shortly after he pledged to expedite federal permits for major projects exceeding $1 billion in value.

(AP)

Trump, SoftBank, Investment