US President Joe Biden has decided to block the $14.1 billion acquisition of United States Steel Corp. by Japan's Nippon Steel, according to reports emerging Friday.
The move comes as Biden nears the end of his term, with the decision expected to be announced shortly.
Both Biden and President-elect Donald Trump had voiced opposition to the deal, which was initially proposed in December 2023.
The Committee on Foreign Investment in the United States, which assesses whether foreign transactions pose national security risks, reportedly could not reach a resolution, leaving the final decision in Biden’s hands.
Nippon Steel had previously indicated it would consider legal action if the deal were blocked, potentially incurring a $565 million penalty.
The Japanese steelmaker had made several concessions to gain US approval, including promises to maintain US Steel's operations as a domestic entity and to avoid reducing production capacity for the next decade.
US Steel, a historic American company founded in 1901, has faced increasing competition from global rivals, prompting the deal.
Follow the latest news on Google News
