Nippon Steel Extends Closing Date for U.S. Steel Acquisition Amid Government Scrutiny

Nippon Steel has announced an extension to the closing period for its acquisition of U.S. Steel, a transaction valued at nearly $15 billion. Initially expected to close in late 2024, the estimated closing date for the deal has been pushed back to the first quarter of 2025. This extension comes as a U.S. government committee struggles to find consensus on the deal, ultimately deferring the decision to President Joe Biden. Biden, along with his successor Donald Trump, has shown opposition to the acquisition, a stance backed by the United Steelworkers union. The union is concerned about protecting American jobs and maintaining domestic ownership and operations. Despite these challenges, Nippon Steel remains confident that the acquisition will benefit U.S. Steel and the American steel industry. Nippon Steel has publicized its commitment to addressing national security concerns and fortifying American job security in its submissions to the Committee on Foreign Investment in the U.S. (CFIUS). The antitrust review by the U.S. Department of Justice is also in progress. Whether or not the transaction will secure approval remains uncertain, as both the union and political opposition call for stringent oversight to maintain domestic stability in America’s steel production.