Official announcements from Nippon Steel, U.S. Steel, or CFIUS

Biden Delays Enforcement of Order Blocking Nippon Steel's $14.9B U.S. Steel Bid Until June 18

Jan 12, 2025, 05:15 AM

The Biden administration has delayed the enforcement of an executive order requiring Nippon Steel to abandon its $14.9 billion bid for U.S. Steel. Initially set to be completed within 30 days, the deadline has now been extended to June 18, 2025, by the Committee on Foreign Investment in the United States (CFIUS). The extension allows courts to review legal challenges brought by Nippon Steel and U.S. Steel against the order, which was issued on January 3, 2025, citing national security concerns. Both companies have expressed their intention to proceed with the acquisition, arguing that it would benefit the U.S. steel industry and stakeholders. The legal dispute highlights tensions between the U.S. and Japan, though both governments have emphasized the importance of maintaining strong bilateral relations. The case also underscores broader concerns about foreign investments in critical industries and their implications for national security.