US and Japanese steel firms Nippon Steel and the Trump administration have asked a US appeals court to extend an eight-day pause in their litigation over the proposed $14.9 billion deal. The pause was first granted on April 7 after President Donald Trump ordered a national security review of the tie-up.
The companies believe they are close to reaching a resolution, which would resolve claims made by both parties. This news is welcome for investors who have been following the deal’s complex path since its announcement in December 2023.
Last year, former Presidents Joe Biden and Trump expressed concerns about the deal, with Biden blocking it on national security grounds. The companies filed lawsuits against the Biden administration, claiming the review was biased.
However, under the Trump administration, a new 45-day national security review was initiated. Trump’s public comments created confusion about the nature of the deal, including his suggestion that Nippon Steel could take a minority stake in US Steel.
The request for an eight-day pause suggests the companies are nearing a deal, which would bring clarity to investors and resolve outstanding claims. A decision by the appeals court is expected, with most likely approval given the context.
Source: https://www.reuters.com/sustainability/nippon-steel-us-seek-8-day-pause-litigation-resolve-deal-concerns-2025-06-05