WASHINGTON (Reuters) – U.S. President Joe Biden is expected to announce a decision as soon as Friday on whether he will approve U.S. Steel’s acquisition of Nippon Steel, CBS News reported late on Thursday, familiar with the process. Referring to people.
The Committee on Foreign Investment in the United States (CFIUS) recently referred the decision on whether to approve or block the deal to Biden, who will leave office on January 20.
The White House did not immediately respond to a request for comment late Thursday. Japan’s Nippon Steel declined to comment.
U.S. Steel said in a statement that the company hopes “Biden will do the right thing and follow the law by approving a transaction that clearly enhances U.S. national and economic security.”
In 2023, Nippon secured a deal to buy U.S. Steel at a hefty premium, but the merger has since faced opposition from the powerful United Steelworkers union as well as politicians.
If Biden takes no action, it will result in automatic approval of the merger.
A source familiar with the matter said earlier this week that Nippon Steel is mulling any potential cuts in U.S. steel production capacity as part of an effort to secure Biden’s approval to acquire the U.S. steelmaker. It was proposed to give veto power to
Biden has said he wants US Steel to be domestically owned and operated, while President-elect Donald Trump has vowed to block the deal after taking office in January.
