President Biden Plans To Block Nippon Steel Takeover of US Steel, Report Says | Global News Avenue

U.S. President Joe Biden reportedly plans to formally block the $14 billion sale of U.S. Steel (X) made a request to Japan’s Nippon Steel Corporation on the grounds of national security.

according to Bloombergonce Biden will reject the bid Committee on Foreign Investment in the United States (CFIUS) The panel has until December 22 or December 23 to send its decision to the president.

“Any recommendation to the president would indicate that at least one member of the group believed the transaction posed a risk,” the report said.

Investment Encyclopedia Biden’s plans have not been independently confirmed.

Nippon Steel made a bid for U.S. Steel last year

Japanese company has agreed to acquire U.S. Steel last yearbut faced resistance from the Biden administration, which extended diplomatic security review period. President-elect Donald Trump posted on his Truth Social platform last week that he will prevent deal, reaffirming his previous opposition to takeovers.

U.S. Steel said in a statement: “Nippon Steel is committed to maintaining U.S. Steel’s status as an American company headquartered in Pennsylvania and contributing billions of dollars of investment to our steel mills and communities to ensure that Pennsylvania The future of steel manufacturing in the state and Indiana.” Investment Encyclopedia. “No other party can do this.”

United States Steel Corporation Chief Executive Officer (CEO) David Burritt said Nippon Steel would commit $3 billion if the deal goes through, and the company would Factories must be closed and moved its headquarters out of Pittsburgh.

Nippon Steel did not immediately respond Request to comment.

U.S. Steel shares edged higher in premarket trading Wednesday, but have fallen nearly 30% this year.