US Steel and Japan’s Nippon Steel sued the United States government on Monday in a last-ditch attempt to revive their attempted merger after President Biden blocked it last week on the basis that the transaction posed a threat to national security, Report informs via The New York Times.
The lawsuit, filed in a federal court in Washington, accused Biden and other senior administration officials of corrupting the review process for political gain and of harming steel workers and the American steel industry by blocking the deal under false national security pretenses.
Biden moved to block the merger after a government panel charged with reviewing foreign investments failed to reach a decision about whether the deal should proceed. In a statement on Friday, Biden said that he was acting to ensure that the US maintains a strong domestically owned and operated steel industry. The president had previously vowed to ensure that U.S. Steel remained American-owned.
The companies are asking for the Committee on Foreign Investment in the United States to conduct a new review of the deal.