US Steel and Nippon Steel have received a six-month reprieve on their $14.9 billion deal after the Biden administration delayed enforcement of its order blocking the acquisition. The companies have welcomed the extension, citing a desire to revive the deal that was initially blocked on national security grounds.
The delay will give the courts time to review a legal challenge filed by the steelmakers against President Biden’s decision. The parties had previously been given 30 days to unwind their transaction. Japanese Foreign Minister Takeshi Iwaya has expressed disappointment at the administration’s move, stating that it may damage the Japan-US alliance.
The proposed deal was met with opposition from the US Steelworkers union and has sparked a contentious debate over national security concerns. The Treasury Department had initially cleared the acquisition but later reversed its decision on national security grounds.
A reprieve for Nippon Steel until June 18 has given the parties time to revive the deal, which would secure the future of the American steel industry.
Source: https://www.cnbc.com/2025/01/12/biden-admin-delays-enforcement-of-order-blocking-nippon-steel-us-steel-deal-companies-say.html