Nippon Steel Postpones $14 Billion Acquisition Of U.S. Steel After Regulatory Scrutiny - LevittownNow.com

The decision comes as both companies face increasing requests for additional information from the U.S. Department of Justice.

The acquisition, initially set to close soon, is now under heightened scrutiny over concerns of national economic security and U.S. supply chain integrity.

The deal was announced in December and had since drawn bipartisan opposition from lawmakers.

"Nippon Steel will continue to fully cooperate with the examination of the relevant authorities," the company said in a statement.

U.S. Senators Bob Casey and John Fetterman, both Pennsylvania Democrats, have led the charge to block the transaction. They have expressed concerns that the deal could undermine America's infrastructure and clean energy investments by transferring ownership of a major industrial player to a foreign company.

Congressman Brian Fitzpatrick, a Republican, alongside a bipartisan group of 45 Congress members, urged for a comprehensive regulatory review by the federal government earlier this year.

The deal is currently under the scrutiny of the Committee on Foreign Investment in the U.S.

The White House has also called a need for rigorous review.

In March, President Joe Biden publicly opposed the acquisition, emphasizing the importance of keeping U.S. Steel an American-owned entity, vital for national interests.

"U.S. Steel has been an iconic American steel company for more than a century, and it is vital for it to remain an American steel company that is domestically owned and operated," Biden's remarked.

Former President Donald Trump, who is vying for a return to the presidency, has promised to block the deal if reelected.

Despite the political pushback, U.S. Steel shareholders voted last month in favor of the acquisition.

The United Steelworkers Union has criticized the deal as reflecting a "greedy, shortsighted attitude."

Nippon Steel, a global steel behemoth with operations already established in the U.S., employs over 100,000 people worldwide.

U.S. Steel continues to operate a facility in Falls Township. The site focused on finishing cold-rolled steel products for various industries and is reported to employ about 100 people locally.

The company's historical footprint in Bucks County has been significantly reduced from the days when its Fairless Works complex employed over 5,000 workers.

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