US Steel Tumbles Nearly 10% In Overnight Trading On Robinhood As Biden Reportedly Plans To Block $14.9B Nippon Steel Merger
US Steel Tumbles Nearly 10% In Overnight Trading On Robinhood As Biden Reportedly Plans To Block $14.9B Nippon Steel Merger
In a strategic move to gain approval, Nippon Steel has proposed granting the U.S. government direct veto power over any changes in production at U.S. Steel's facilities. The Japanese company has also committed to maintaining production levels at its mills in six states for a decade, contingent on approval from the Committee on Foreign Investment in the United States (CFIUS).Shares of $United States Steel (X.US)$ plunged 9.82% in overnight trading on Robinhood on Friday, following a modest 1.38% gain during the last after-hours session.
股份 $美國鋼鐵 (X.US)$ 在Robinhood的隔夜交易中，股票下跌了9.82%，而在上一個盤後交易中小幅上漲了1.38%。
What Happened: This decline comes as President Joe Biden is poised to block the proposed acquisition by Nippon Steel (OTC:NPSCY), potentially as soon as Friday, Reuters reported, citing a source familiar with the matter.
發生了什麼：路透社報道，消息人士透露，拜登總統準備封鎖日本鋼鐵（場外交易:NPSCY）提出的收購，由於可能在週五之前採取行動。
Despite Biden's previous opposition to foreign ownership of the American steel giant, the decision remains pending.
儘管拜登之前反對外國對美國鋼鐵巨頭的所有權，但該決定仍在等待中。
In a strategic move to gain approval, Nippon Steel has proposed granting the U.S. government direct veto power over any changes in production at U.S. Steel's facilities. The Japanese company has also committed to maintaining production levels at its mills in six states for a decade, contingent on approval from the Committee on Foreign Investment in the United States (CFIUS).
爲了獲得批准，日本鋼鐵提議授予美國政府對美國鋼鐵公司設施生產變化的直接否決權。這家公司還承諾在六個州的工廠保持十年的生產水平，前提是獲得美國外國投資委員會（CFIUS）的批准。
The deal has received backing from key CFIUS members, including the Justice, Treasury, and State Departments. However, U.S. Trade Representative Katherine Tai has raised concerns about labor issues. CBS News reports that U.S. Steel may pursue legal action if President Biden blocks the acquisition, potentially targeting both the administration and competitor Cleveland-Cliffs Inc.
該交易得到了包括司法部、財政部和國務院在內的CFIUS關鍵成員的支持。然而，美國貿易代表凱瑟琳·泰對勞工問題表示擔憂。CBS新聞報道，如果拜登總統阻止收購，美國鋼鐵可能會採取法律行動，可能針對政府和競爭對手克利夫蘭克里夫公司。
The White House has yet to respond to Benzinga's queries.
白宮尚未回應Benzinga的詢問。
Why It Matters: The proposed acquisition by Nippon Steel has stirred significant debate within the U.S. government. CFIUS had previously warned that a takeover by the Japan-based company could lead to reduced domestic steel output, posing risks to national security.
重要性：日本鋼鐵提出的收購引發了美國政府內部的重大爭論。CFIUS此前警告稱，這家總部位於日本的公司的收購可能導致國內鋼鐵產量降低，給國家安全帶來風險。
President Biden's decision is complicated by opposition from United Steelworkers Union President David McCall, who criticized the bid as detrimental to workers and questioned Nippon Steel's commitment to unionized operations. Despite internal debates within the White House, Biden's stance diverges from that of some advisers who support the acquisition.
拜登總統的決定因美國鋼鐵工人聯合會主席大衛·麥考爾的反對而變得複雜，他批評該買盤對工人有害，並質疑日本鋼鐵對工會運營的承諾。儘管白宮內部存在爭論，拜登的立場與一些支持收購的顧問不同。
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
免責聲明：此內容部分由Benzinga Neuro生成，並由Benzinga編輯審核和發佈。
Photo by Dennis Diatel on Shutterstock
照片由Shutterstock的Dennis Diatel製作
