President Biden plans to formally block Nippon Steel's proposed takeover of U.S. Steel on national security grounds once the $15 billion deal is returned later this month. Bloomberg News reported Tuesday, citing people familiar with the matter.
Asked about Biden's plans for the deal, which is being considered by the National Security Council, White House press secretary Karine Jean-Pierre declined to comment.
Bloomberg added that the Committee on Foreign Investment in the United States (CFIUS), which is reviewing the deal, must refer a decision on the merger to Biden by Dec. 22 or 23.
Biden said in March that it was “critically important” that U.S. Steel remain American-owned. President-elect Donald Trump said last week that he would block the deal when he takes office next month.
Despite opposition from the United Steelworkers Union and others, Nippon Steel insisted that if the merger was successful, it would not transfer U.S. Steel's production capacity or jobs outside the United States.
Made in Japan also said it would not interfere with any decisions by U.S. Steel on trade matters, including decisions to seek trade actions under U.S. law for unfair trade practices.
