Biden blocks Nippon Steel's $15 billion acquisition of U.S. Steel, according to a report.

According to The Washington Post, on Friday, two unnamed administrative officials, who were not authorized to speak about the matter, reported that U.S. President Joe Biden has decided to block a $14.9 billion takeover bid of .

According to The Washington Post, it is anticipated that the White House will reveal Biden's decision by Friday.

On December 23, the Committee on Foreign Investment in the United States was unable to reach a consensus, and the decision to let the deal proceed was referred to Biden.

After receiving the CFIUS evaluation, Biden had 15 days to decide whether to approve or reject the deal. Due to this, Nippon Steel extended the deadline of the transaction from the third or fourth quarter of 2024 to the first quarter of 2025.

The acquisition of U.S. Steel by Nippon Steel could potentially reduce the production capacity of the United States, posing a threat to national security.

The CFIUS warned that a potential reduction in output by U.S. Steel could result in supply shortages and delays that could impact industries vital to national security, according to a report by The Washington Post.

On Tuesday, Nippon Steel provided the U.S. government with the option to block any cuts to its steel production in an effort to alleviate concerns.

Previously, Nippon Steel made several concessions regarding the transaction, including keeping U.S. Steel's headquarters in Pittsburgh, Pennsylvania, and appointing U.S. citizens to the board of directors of U.S. Steel.

U.S. Steel shareholders voted in April to back the deal.

U.S. Steel President and CEO David B. Burritt stated that the strong backing from our shareholders is a clear indication that they understand the sound reasoning behind our deal with NSC.

Biden's opposition to the deal was not swayed by those factors, as he has long publicly opposed it. In March, he released an official statement stating that it is crucial for U.S. Steel to remain an American steel company that is domestically owned and operated.

Donald Trump, the newly elected President of the United States, has also expressed opposition to Nippon Steel's proposed acquisition.

Trump expressed opposition to the acquisition of U.S. Steel by Nippon Steel of Japan on his Truth Social platform on Dec. 2.

Nippon Steel shares, listed in Japan, were up 1.2% at 1 a.m. Eastern Time.

— CNBC's Lee Ying Shan contributed to this report.