President Biden blocked the sale of U.S. Steel to Japan’s Nippon Steel.
Drew Angerer/Getty Images
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Drew Angerer/Getty Images
President Biden is blocking Nippon Steel’s $14.9 billion takeover of U.S. Steel, citing national security concerns.
In a statement, Biden said a deal would have imperiled U.S. supply chains.
“Today’s action reflects my unflinching commitment to utilize all authorities available to me as President to defend U.S. national security, including by ensuring that American companies continue to play a central role in sectors that are critical for our national security,” Biden said in a statement.
The move wasn’t unexpected despite efforts by the Japanese government to persuade the Biden administration to approve the sale. Before the November election, Biden took the unusual step to weigh in on the deal. He sided with union workers and said the Pittsburgh-based company should remain in the hands of the United States. President-elect Trump had also said he would block the sale.
Business groups including the U.S. Chamber of Commerce have warned Biden’s intervention could discourage foreign investment. U.S. Steel itself has said stopping the sale would put thousands of union jobs at risk.