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US President Joe Biden has blocked a $15 billion deal by Japan’s Nippon Steel to buy US Steel, putting a dent in Washington’s relationship with its closest Asia-Pacific ally.
Biden, who has long opposed the acquisition, issued an order on Friday forcing Nippon Steel and US Steel to “completely and permanently abandon the proposed transaction” within 30 days.
His move comes just 17 days before he hands the presidency to Donald Trump, who also opposes the deal.
In the order, Biden said there was “credible evidence” that through the acquisition, Nippon Steel “may take actions that threaten to harm the national security of the United States.”
The announcement comes after the interagency Committee on Foreign Investment in the US failed to reach consensus by a Dec. 23 deadline on whether the acquisition posed a national security threat.
Shares of US Steel fell almost 8 percent in premarket trading on Friday.
This is a developing story
