The Committee on Foreign Investment in the United States (CFIUS) has informed the White House that it has been unable to come to a consensus regarding the national security implications of Nippon Steel’s proposed acquisition of U.S. Steel, as reported by the Washington Post on Monday. Sources familiar with the matter disclosed that the high-level government review board issued its final assessment of the transaction late on Monday.
Nippon Steel had disclosed plans for a $15 billion acquisition of U.S. Steel in December. However, both President Joe Biden and then-President-elect Donald Trump have voiced their opposition to the deal.
CFIUS highlighted on Monday that the potential acquisition by Nippon Steel could lead to reduced domestic steel production, which poses a perceived national security threat, according to the Washington Post. The U.S. Treasury Department, overseeing CFIUS, and the White House refrained from immediate comments, while Nippon Steel opted not to provide a statement.
The fate of the transaction now rests with President Biden, who has a 15-day window to make a decision, the report detailed.
