Posted on 01/03/2025 4:04:32 AM PST by Cronos
President Biden has decided to block the $14 billion takeover of U.S. Steel by Nippon Steel of Japan in an announcement expected as soon as Friday based on grounds that the sale poses a threat to national security, according to people familiar with the matter.
The decision would be an extraordinary use of executive power, particularly for a president who is just weeks from leaving office. It is also a departure from America’s long-established culture of open investment, one that could have wide-ranging implications for the U.S. economy.
Mr. Biden’s move to stop the transaction could cause foreign investors to rethink the wisdom of acquiring American firms in sensitive industries that are based in politically important states. It could also roil relations with Japan, a close ally of the United States and one of America’s largest sources of foreign investment.
The president’s decision to block the deal came after a federal committee reviewing the transaction opted to not make a formal recommendation about whether the takeover should be allowed to proceed, according to letters sent to the companies and the White House last month.
...But that decision could face challenges in court. Nippon had indicated that it was prepared to take legal action if the deal was blocked.
Nippon sent a letter to CFIUS last month that accused the White House of “impermissible influence” in the process. Nippon said the concerns raised by CFIUS were “littered with factual inaccuracies and omissions, misleading and incomplete statements, conjecture and hypotheticals that have no basis in fact and are plainly illogical.”
(Excerpt) Read more at nytimes.com ...
Put strings in the deal..
” the concerns raised by CFIUS were “littered with factual inaccuracies and omissions, misleading and incomplete statements, conjecture and hypotheticals that have no basis in fact and are plainly illogical.”
Yep, the commies will do that. Even when they are not senile, they do this.
Not sure how the president gets to do things like this in a “free” country. He must be establishing precedent for the next commie/fascist we “elect”.
only 17 days left....time to get busy I guess
“My Uncle Ambrose was eaten by cabbinals fightin’ those shhirfhhjnghgrhmn …the Japs. So nowayin HELL amah gonna let ‘em by steel from us.” —Go Brandon
he wants it for china
But he will not do anything substantial to China as he accepted tens of millions of dollars from them.
Preempting Trump
It’s my understanding that Nippon would move in and modernize and revitalize U.S. Steel. It sounds like a great thing to me. Maybe union members don’t want to be more efficient and productive.
Or more simply, it’s just another example of, “If Biden is for it, it must be bad for America and I’m against it.”
Trump is bigger than U.S. Steel.
I guess Nippon Steel did not offer the big guy enough for the deal to go through.
Mr. Biden’s move to stop the transaction could cause foreign investors to rethink the wisdom of acquiring American firms in sensitive industries that are based in politically important states. It could also roil relations with Japan, a close ally of the United States and one of America’s largest sources of foreign investment.
Nippon sent a letter to CFIUS last month that accused the White House of “impermissible influence” in the process. Nippon said the concerns raised by CFIUS were “littered with factual inaccuracies and omissions, misleading and incomplete statements, conjecture and hypotheticals that have no basis in fact and are plainly illogical.”
My first thought was that the the NY Times is putting a surprisingly negative spin on this. Then I remembered that they don't care about Biden anymore.
I wonder how they will spin it if Trump reverses Biden. The above points will suddenly disappear.
My suspicions are that Joe’s got some Chii-nah entity waiting in the wings to buy it out instead* ... he’s that crooked, even if he is in his dotage.
*(plus — 10% for “the Big Guy”)
Took the bribe it’s all he deals in?.
One can make a lot of money with 50 years in D.C..
Only has to say one thing where’s the money.
Ditto that. I don't give a damn if the CEO of the company lives in Pittsburgh or Tokyo. As long as the plants and employees are in the US I'm OK.
And think of this. 50 years ago, US Steel was the largest company in the world. Today I don't even think they are a Fortune 500 company. Their 3 plants in the Mon Valley are old and tired, and if not modernized soon, the entire company will go belly up. Nissan has promised to modernize them. We should accept the offer.
HE WANTS A BIGGER PAYOFF.
Just like the longshoremen...
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