Nippon Steel has proposed granting the U.S. government veto power over any production cuts at U.S. Steel as part of its bid to acquire the American steelmaker. This move aims to gain President Biden’s approval for the deal, which the Committee on Foreign Investment in the United States has referred to him. Biden must decide by January 7, 2024, or the merger will be automatically approved. Nippon Steel also pledged a 10-year commitment to maintain production capacity at U.S. Steel’s domestic mills, contingent on Treasury-led reviews. Following this news, U.S. Steel’s shares surged 9.5%.
