Biden Close to Blocking Nippon Steel Deal to Buy U.S. Steel
Biden administration has concerns about the deal and its impact on national security
The deal is valued at $2.3 billion and would give Nippon Steel control of U.S. Steel's operations in the United States
The Biden administration is close to blocking a deal that would see Japanese steelmaker Nippon Steel buy U.S. Steel for $2.3 billion, according to sources familiar with the matter. The administration has concerns about the deal and its impact on national security.
Nippon Steel is one of the world's largest steelmakers, and U.S. Steel is one of the largest steelmakers in the United States. The deal would give Nippon Steel control of U.S. Steel's operations in the United States, including its iron ore mines, steel mills, and finishing facilities.
The Biden administration is concerned that the deal could give China too much control over the U.S. steel industry. China is the world's largest consumer of steel, and it is also the largest producer of steel. The administration is worried that if Nippon Steel gains control of U.S. Steel, it could give China access to sensitive information about the U.S. steel industry, including its production capacity, its customers, and its technology.
The administration is also concerned that the deal could lead to job losses in the United States. U.S. Steel is one of the largest employers in the U.S. steel industry, and the administration is worried that if Nippon Steel takes over, it could lead to layoffs.
The administration is still reviewing the deal, and it is possible that it could still approve it. However, the sources said that the administration is leaning towards blocking the deal.
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