Official announcement from the White House or a press release from the Biden administration

Nippon Steel Proposes $14.9 Billion U.S. Steel Acquisition with Veto Power, Awaiting Biden's Decision by Jan 7 Amid Trump's Opposition

Dec 31, 2024, 07:27 PM

Nippon Steel has proposed a new agreement to the Biden administration in an effort to secure approval for its $14.9 billion acquisition of U.S. Steel. The Japanese company has offered the U.S. government veto power over any reduction in U.S. Steel's production capacity for a period of 10 years, aiming to address concerns about potential declines in domestic steel output and national security risks. Additionally, Nippon Steel has pledged a $1 billion investment to improve U.S. Steel, specifically targeting the Gary Works facility. President Joe Biden faces a decision deadline of January 7, 2025, on whether to approve the deal, which has been met with opposition from both Biden and former President Donald Trump. The proposal comes after the Committee on Foreign Investment in the United States (CFIUS) failed to reach a consensus on the national security implications of the acquisition, leaving the final decision to Biden. The acquisition has garnered support from 20 mayors, including those from the Mon Valley and Gary, Indiana.