Biden’s Latest Move Could Send Nippon’s $14.1B Steel Deal Straight to the Scrap Yard

After pardoning his son Hunter (and probably crushing a pint of Ben & Jerry’s between meetings), President Joe Biden is back in action. This time, he’s playing defense for America’s steel industry… like a dad guarding the grill at a family barbecue. Reports are swirling that Biden plans to torpedo the $14.1 billion sale of United States Steel Corp. to Japan’s Nippon Steel Corp. Why? Because letting one of America’s most iconic steelmakers end up in foreign hands is apparently a no-go (especially when that bridge is probably made with US Steel).

This deal has been stuck in bureaucratic purgatory for over a year, with the Committee on Foreign Investment in the United States (CFIUS) now reviewing it like a nosy HOA board. By December 22 or 23, they’ll pass it off to Biden, who has 15 days to deliver the final verdict. But come on… this is less of a cliffhanger and more of a Hallmark movie rerun. Biden’s been against this from day one and hasn’t exactly been subtle about it. “I haven’t changed my mind,” he declared in September (though let’s hope he remembered where he parked his opinion).

But of course, Nippon Steel isn’t going down without a fight… or cash. The Japanese company recently promised a $5,000 bonus to nearly every US Steel employee if the deal goes through. That’s $100 million in payouts. Union leaders, however, aren’t impressed, calling it “simple bribery” and sticking to their guns. “This deal could do lasting damage to our domestic steel industry and our national security,” said United Steelworkers International President David McCall.

The union’s concerns aren’t just hot air. They’ve raised questions about Nippon’s potential motives, suggesting the company could “eliminate a U.S. competitor” or “subvert our trade system from within.” Nippon, for its part, has tried to reassure everyone it won’t cut jobs or production in the U.S. But skepticism is high… after all, actions speak louder than press releases.

US Steel isn’t thrilled about being stuck in the middle of this political tug-of-war. The company has warned it might move its headquarters out of Pennsylvania or shutter some operations if the merger falls apart. Shares of US Steel took a beating, plummeting 21.8% after reports of Biden’s likely intervention. If Biden blocks the sale, brace yourself for a courtroom showdown. Both Nippon and US Steel are ready to lawyer up, with Nippon expressing “confidence in the justice and fairness of America’s legal system” (aka: see you in court). The stakes couldn’t be higher… not just for these companies but for the entire steel industry, which is already navigating high interest rates, global competition, and shifting demand.

Nippon Steel’s stock is up 3% today, practically moonwalking across the trading floor, as if to say, “Block our bid? Cute. We’re still thriving.” And over at United States Steel Corp., the stock is down 9%. Maybe Nippon's investors are hyped about the $100 million they dangled in front of US Steel workers to sweeten the deal, or maybe they’re just trying to put on a brave face (spoiler: they’re definitely sweating).

P.S. While Nippon and US Steel slug it out like two drunk uncles at a holiday get together (you know, the ones who really shouldn’t talk politics), why not focus on stacking your own wins? At Stocks.News, we’re not here to debate trade policies or bribes disguised as bonuses… we’re here to help you crush 100%+ opportunities on the regular (and we’ve been doing it weekly for six months straight, no CFIUS review required). Our next alert is dropping any moment. Click here to join the 2,000+ Stocks.News Premium Members who are winning more than DJ Khaled.

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