Japan’s Nippon Steel has proposed to the `U.S. government a Veto Power over any potential cuts to U.S. Steel’s production capacity to secure President Joe Biden’s approval for acquiring the American steelmaker, a Source reported on Tuesday.
After the Committee on Foreign Investment in the United States (CFIUS) referred Biden the decision to approve or block the deal, he was informed that if no action is taken, it would result in the merger’s automatic approval.
Reuters reported that a White House spokesperson said on Tuesday., “We received the CFIUS evaluation and the President will review it.”
Earlier, reports stated that Nippon’s Steel proposal pledged a 10-year commitment not to cut production capacity at U.S Steel’s domestic mills unless approved by a review panel with the Treasury.