Trump, Will He Allow Transactions with Nippon Steel and US Steel?

U.S. Department of Justice Requests Postponement of Hearing Date
in Nippon Steel and US Steel Lawsuit

Signals have emerged that suggest U.S. President Donald Trump may approve Nippon Steel's investment deal with US Steel.

Reuters Yonhap News

According to CNN and other foreign media on the 17th (local time), the U.S. Department of Justice last week requested a postponement of the hearing date for the lawsuit filed by Nippon Steel and US Steel against the Committee on Foreign Investment in the United States (CFIUS), which operates under the U.S. Department of the Treasury.

The Department of Justice requested a 21-day extension of the hearing deadline and asked to delay the oral argument schedule from the original April 24 to May 12, explaining that "by postponing the hearing date, the government can complete ongoing discussions with the companies regarding Nippon Steel's acquisition deal of US Steel and potentially eliminate the need for the court's judgment in the main lawsuit."

Industry insiders interpret this as President Trump allowing the US Steel acquisition deal by Nippon Steel, which was previously blocked by former President Biden, to proceed in some form.

Previously, in December 2023, Nippon Steel agreed to acquire US Steel and requested approval from the U.S. government. However, former President Biden rejected the deal, stating it posed risks to national security and critical supply chains. In response, Nippon Steel and US Steel filed a lawsuit with the U.S. Federal Court of Appeals against CFIUS, which reviewed the acquisition plan, seeking to invalidate the rejection order and request a re-examination.

The companies argued that former President Biden was biased and that their right to a fair review was violated. It was suggested that Biden, who was seeking re-election at the time, made this decision to gain support from the United Steelworkers (USW) union in Pennsylvania, where US Steel's headquarters is located.

On the other hand, President Trump stated last month that it would be acceptable for Nippon Steel to invest in a minority stake in US Steel. In response, Yoshimasa Hayashi, Japan's Chief Cabinet Secretary, said, "We are not viewing this as a simple purchase but are considering a bold investment proposal that would create a win-win situation for both the U.S. and Japan, which is completely different from previous approaches."

This content was produced with the assistance of AI translation services.