Joe Biden, the U.S. president, has decided to reject Nippon Steel’s bid for $14.9 billion to take over U.S. Steel. The Washington Post reported on Friday, citing two unnamed administrative officials who did not have permission to speak about the matter.

The Washington Post reports that the White House will announce Biden’s choice as early as Friday.

U.S. Steel reported that the Committee on Foreign Investment in the United States was unable to reach a consensus on the decision to proceed with the deal.

Biden was given 15 days after receiving the CFIUS report to either approve or reject the deal. Nippon Steel extended the deadline for the transaction to the first quarter of 2025, from the third quarter or fourth quarter of 2024.

The CFIUS was worried that Nippon Steel would reduce the production capacity of U.S. Steel following the acquisition. This could pose a threat to the national safety of the United States.

The Washington Post quoted the CFIUS in its assessment as saying that “potentially reduced output by U.S. Steel may lead to shortages of supplies and delays which could impact industries vital to national security.”

Nippon Steel offered to ease this concern by offering the U.S. Government the right to veto any cuts to the steel production of the company.

Nippon Steel made a number of concessions in the past regarding the transaction. For example, it offered to keep U.S. Steel’s headquarters in Pittsburgh, Pennsylvania, and fill the board of directors with U.S. citizens.

Shareholders of U.S. Steel voted to approve the deal in April.

David B. Burritt, U.S. Steel’s President and CEO, said: “The overwhelming support of our stockholders shows that they understand the compelling reasons for our deal with NSC.”

These factors, however, were not enough for Biden to change his mind. He has been publicly opposing the deal since its inception. Biden issued an official statement in March saying “It is essential for [U.S. Steel] to remain a domestically owned steel company.”

Donald Trump, the U.S. president-elect, has also expressed his opposition to Nippon Steel’s proposed acquisition.

Trump wrote on December 2 on his Truth Social social media platform: “I am against the purchase of U.S. Steel, a once powerful and great company in America by a foreign firm. In this case Nippon Steel of Japan.”

Nippon Steel, a Japanese company listed on the New York Stock Exchange, was up by 1.2% as of 1 am Eastern Time.