Nippon Steel said on Thursday it has extended the closing period for its $15 billion purchase of U.S. Steel, expressing confidence that the acquisition will protect and grow the American company.
The estimated closing date was revised to March 2025 from the third or fourth quarter of 2024 previously.
On Monday, a U.S. foreign investment committee referred the decision whether to approve or block the deal to U.S. President Joe Biden, who has 15 days to decide.
Biden and his incoming successor, Donald Trump, have both expressed opposition to the purchase.
"Nippon Steel hopes that the President will use this time to conduct a fair and fact-based evaluation of the acquisition. We remain confident that the acquisition will protect and grow U.S. Steel," Nippon Steel said on Thursday.
It added that the review process of the antitrust division of the U.S. Department of Justice was also underway, without specifying when it may end.
© Thompson Reuters
16 Comments
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Yubaru
Biden "expressed" opposition, Trump screamed like a banshee against it.
Alan Harrison
Nippon Steel extends closing date for U.S. Steel acquisition to March.
Why? It's not going to happen.
sakurasuki
When, March? Inauguration will be next month, good luck!
TokyoLiving
Last lifesaver advice for the decadent US steel industries..
garymalmgren
"Nippon Steel hopes that the President will use this time to conduct a fair and fact-based evaluation of the acquisition.
Good luck with that one. This acquisition is a loaded political gun and both the present and future Presidents know that.
Blacklabel
I was wondering how Biden’s no and Trump’s no would be described as totally different and one no as good and one no as bad. lol
garymalmgren
You are right there Blacklabel.
The decision will be twisted by the opposition no matter what is the outcome.
No regard for "a fair and fact-based evaluation of the acquisition."
Falco1
Nippon Steal might be a giant but it’s mentality is typical of a Japanese old fashioned company.
I truly hope that the US government will put a block on this operation.
OssanAmerica
Anyone, Biden or Trump who objects to this merger needs to state their opinion on how, in the absence of this deal, US Steel is supposed to continue to exist in the face of Chinese steel market domination. (Of course Trump would cite "Tariffs" as his magic solution, but tariffs will not help US steel exports.)
As of 2023, China accounted for 54% of the world's crude steel production, maintaining its position as the largest steel producer globally. In 2024, China's steel exports are projected to reach an eight-year high, exceeding 100 million tonnes due to reduced domestic demand. This increased export volume is causing global price declines and may exacerbate trade tensions.
Rejecting this US Steel/Nippon Steel deal may very well be casting a death vote for an important national steel producer.
WoodyLee
Some time Stubbornness pays off, but I doubt it this time.
Peter Neil
nippon steel should give up. it isn’t time or energy.
Nguyen Dang
Nippon Steel should stop this acquisition as US economy is falling down
YankeeX
Only winner would be the investment bankers pushing this deal
Fighto!
Unless Trump and his advisors accept this offer, it will be RIP to US Steel, and unemployment - likely permanent - to American Steelworkers. No American company has been interested in buying it, and for good reason.
Chinese steelmakers are going to crush US Steel like an ant unless Japan takes it over. The equation is really that simple. I have a strong feeling logic will prevail, and Nippon Steel will succeed
John-San
USA steel need this deal if they didn't it would have been ditch a long time ago. This indicate that Trump realised that opposition to the sell was a vote getting but the art of the deal has now been applied and the sale of USA steel is a certainty.
Michael Hooper
Just wait for US Stella to go bust, then move in to bail them out for a song. America is so proud that it doesn't like to fail, but with Trump at the helm the whole country is liable to go down the tubes. Trump just isn't a good business man, bankrupted 6 times....even a casino!