The US Foreign Investment Commission split the deal between Nippon and US Steel, the FT reports

(Reuters) – The U.S. Treasury Department has informed Japan’s Nippon Steel that a panel reviewing its proposed $14.9 billion acquisition of U.S. Steel has not yet reached agreement on how to resolve safety concerns, the Financial Times reported on Sunday.

The Treasury, which runs the Committee on Foreign Investment in the U.S. (CFIUS), wrote to both companies on Saturday saying the nine agencies on the panel were struggling to reach consensus before a deadline to submit a recommendation to President Joe Biden, the report said. he added, citing several sources familiar with the talks.

CFIUS, the powerful commission tasked with reviewing foreign investments in US firms for national security risks, has until Dec. 22 to make a decision on whether to approve, block or extend the review deadline for the deal, Reuters reported.

US Steel and CFIUS did not immediately respond to Reuters requests for comment on the Financial Times report, while Nippon Steel declined to comment.

The acquisition has faced opposition in the US since it was announced last year, with both Biden and his would-be successor, Donald Trump, publicly indicating their intentions to block the purchase.

CFIUS told the two companies in September that the deal would create national security risks because it could harm the supply of steel needed for critical transportation, construction and agricultural projects, according to the letter seen by Reuters.