Biden Blocks Nippon Steel's $14.9B Acquisition of U.S. Steel

President Joe Biden has blocked Nippon Steel's $14.9 billion acquisition of U.S. Steel, prioritizing domestic ownership despite potential impacts on U.S.-Japan relations. The merger faced opposition from the United Steelworkers union and political figures, despite efforts for conciliatory measures by Nippon Steel.

In a significant move, President Joe Biden has taken a stand against Nippon Steel’s $14.9 billion acquisition of U.S. Steel. This decision, influenced by national security concerns, has ended a contentious and lengthy proposed merger after its referral by the Committee on Foreign Investment in the United States (CFIUS).

Despite advice from some senior officials urging approval to maintain U.S.-Japan relations, Biden made the call to block the merger, as first reported by the Washington Post. This has been a controversial topic given the recent opposition from powerful entities like the United Steelworkers union.

Various conciliatory efforts by Nippon Steel, including promises to move their headquarters to Pittsburgh and granting veto power over production cuts, were not enough to sway the decision. The blocking of this deal remains a critical topic both economically and politically.

(With inputs from agencies.)