Nippon Steel Offers U.S. Government Veto Power to Secure $14.9 Billion U.S. Steel Acquisition

The proposal seeks to address national security concerns and union opposition as President Biden faces a January 7 decision deadline.

Nippon Steel has proposed granting the U.S. government veto power over any reduction in U.S. Steel's production capacity to gain approval for its $14.9 billion acquisition of the American steelmaker.
The Committee on Foreign Investment in the United States (CFIUS) warned the deal could threaten national security by potentially reducing domestic steel output.
President Joe Biden, who must decide on the deal by January 7, has expressed opposition, aligning with United Steelworkers Union leadership, which raised concerns about job security and union operations.
Nippon Steel pledged a 10-year commitment to maintain production capacity at six mills, a two-year guarantee for an idle Illinois mill, and no layoffs or closures of unionized facilities until September 2026.
While union leadership opposes the deal, some rank-and-file workers at aging mills support it due to promises of modernization and investment.