Biden blocks U.S.-Japan steel deal

President Biden blocks $14.9 billion U.S. Steel sale to Japan's Nippon Steel to protect domestic industry and national security.

U.S. President Joe Biden on Friday announced he has blocked the controversial $14.9 billion sale of U.S. Steel to Japan's Nippon Steel, citing a strategic need to protect domestic industry.

"This acquisition would place one of America's largest steel producers under foreign control and create risk for our national security and our critical supply chains," Biden said in a statement.

"That is why I am taking action to block this deal."

Mr. Biden's decision, less than three weeks before he leaves office, follows extended political wrangling over competing domestic political, economic and trade demands.

The Democrat, who made rebuilding of the U.S. manufacturing base a major goal of his administration, had criticised the deal for months, while holding off from a decision that could risk damaging relations with Tokyo.

There was rare bipartisan agreement on the issue, with Republican President-elect Donald Trump and the incoming Vice-President, J.D. Vance, also campaigning against the sale.

Nippon Steel touted the takeover as a lifeline for a U.S. company that is long past its heyday.