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Photo = Yonhap news |
[Alpha Biz= Kim Jisun] U.S. President Donald Trump on Monday (local time) ordered a review of former President Joe Biden’s decision to block Nippon Steel’s acquisition of U.S. Steel.
In a presidential memorandum issued that day, President Trump instructed a national security-related panel to reexamine the matter and submit a report within 45 days. Bloomberg interpreted this as Trump potentially leaving room to reverse Biden’s earlier decision that blocked the deal.
Back in December 2023, Nippon Steel reached an agreement to acquire and merge with U.S. Steel and requested approval from the U.S. government. However, then-President Biden rejected the acquisition, citing risks to national security and the critical supply chain.
Following the rejection, Nippon Steel and U.S. Steel filed a lawsuit with the U.S. Federal Court of Appeals against the Committee on Foreign Investment in the United States (CFIUS), challenging the order and requesting a reconsideration of the review.
During last year’s presidential campaign, President Trump had also expressed opposition to the acquisition. However, after a summit with Japanese Prime Minister Shigeru Ishiba on February 7, Trump stated during a press conference that instead of acquiring U.S. Steel, Nippon Steel would make large-scale investments in the United States.
AlphaBIZ Kim Jisun(stockmk2020@alphabiz.co.kr)
