According to the Futubull financial news app, the Committee on Foreign Investment in the United States (CFIUS) is reviewing the transaction in which Nippon Steel Corporation is acquiring United States Steel Corporation (X.US) for $14.9 billion and must decide whether to recommend blocking the transaction to the White House by September 23. This is the second 90-day review conducted by CFIUS since Nippon Steel announced the acquisition in February 2021. If officials decide to extend the review period, this politically sensitive decision may be postponed until after the November 5 election.

This transaction has drawn high-profile opposition from political figures including current US President Joe Biden, Vice President Kamala Harris of the Democratic Party, and former President Donald Trump. They are generally opposed to foreign ownership of United States Steel Corporation because the steel produced by the company is an important commodity for the construction of ships, trains, and infrastructure.

White House advisor Saloni Sharma stated that President Biden's position is that United States Steel Corporation must continue to be a company owned and operated by the United States. The headquarters of United States Steel Corporation is located in Pennsylvania, a key swing state in the presidential election, and the United Steelworkers union supports Harris and opposes this transaction.

As the deadline of September 23 approaches, the political factors and uncertainties surrounding the transaction have become the focus. In a letter on August 31, the committee stated that the transaction could harm the security of US steel supply. However, the two companies rebutted in a 100-page letter, stating that the agreement would increase US steel production and requested an extension to resolve the issue.

CFIUS and Nippon Steel declined to comment, and United States Steel Corporation did not respond to requests for comment. According to senior government officials, a decision is not expected to be made in the next few days. Furthermore, there are reports that the decision may be postponed until after the election.

Both companies hope that recent support for the transaction will reverse the situation, including a letter from business groups such as the Chamber of Commerce expressing concern about the political pressure on the transaction.

The strict review by CFIUS typically takes 90 days, but companies often withdraw their applications and resubmit them to have more time to address the committee's concerns, which will reset the 90-day review deadline. Nippon Steel and United States Steel submitted the review application in March, and CFIUS allowed them to resubmit the application in June, starting the second 90-day review period, with a deadline of September 23.

Earlier, executives from Nippon Steel met with the CEO of United States Steel (X.US) and senior U.S. officials on Wednesday to save the $14.9 billion acquisition plan.

In response, the United Steelworkers Union submitted a memorandum to 'stakeholders,' including the White House, stating that they will not succumb to coercion and will make a final effort to secure workers for Nippon Steel's acquisition of United States Steel (X.US). The union also stated that this nearly $15 billion acquisition is a 'doomed trade' and pledged to oppose any foreign ownership of the company. Union President Dave McCall stated in the memorandum that union members and retirees continue to vehemently oppose this trade.