President Joe Biden on Friday blocked the $14 billion sale of U.S. Steel to Japan’s Nippon Steel, citing “critical” national security concerns and the importance of preserving “resilient supply chains.”
Biden, who had consistently voiced opposition to the deal, stated that the sale “would place one of America’s largest steel producers under foreign control, posing risks to our national security and critical supply chains.”
“As President, it is my solemn duty to ensure that America maintains a strong, domestically owned and operated steel industry capable of supporting our national strength both at home and abroad,” Biden said in a statement. “Blocking foreign ownership of this vital American company fulfills that responsibility.”
He added, “U.S. Steel will remain a proud American company – owned and operated by American union steelworkers, who are the best in the world.”
The decision followed the Committee on Foreign Investment in the United States (CFIUS) failing in mid-December to reach a consensus on whether the sale posed a national security risk, leaving Biden with 15 days to decide. President-elect Donald Trump has also voiced opposition to the sale.
Neither U.S. Steel nor the United Steelworkers labor union immediately commented on Biden’s decision.
