Nippon Steel Corporation hopes to complete its proposed acquisition of US Steel Corporation by the end of the year, before the new US administration under President-elect Donald Trump takes office in January. The US Committee on Foreign Investment is scheduled to complete its review of the proposed takeover for its potential impact on national security by late December. Current President Joe Biden opposes the deal, while Donald Trump earlier this year vowed to block the deal if elected.

Japan’s largest steelmaker made an initial offer for Pittsburgh-based US Steel almost a year ago and has since improved its offer after the proposed takeover faced political resistance and opposition from the company’s powerful labor union.

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In October Nippon Steel offered to sell its 50% stake in its Alabama-based steel-making joint venture with ArcelorMittal for a nominal fee to reduce potential conflicts of interest. Prior to this, Nippon Steel had increased its offer from US$14.1bn to US$14.9bn and committed to investing an additional US$2.7bn in the company to upgrade its facilities and improve its competitiveness.

Nippon Steel’s Vice Chairman and Executive Vice President, Takahiro Mori, told reporters last week: “We are now in a position to make measured discussions. Make no mistake, we can close this deal within the year,” adding that the takeover review was going “smoothly” and that the committee was making “steady progress.”

Nippon Steel hopes that, even if the deal is blocked by the Biden administration, there is still a possibility that it will be approved by the new Trump administration. Mori pointed out that “the previous Trump administration said it aimed to attract foreign investment and create new jobs. This acquisition is very much in line with such a policy.”

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