Cleveland-Cliffs Narrows Losses as Steel Prices Surge

The producer’s financial health improved significantly compared to the same period last year, when losses reached $229 million. An uptick in the average net selling price per ton—rising to $1,124 from $1,015—drove steelmaking revenue to $5.05 billion. Chief Executive Lourenco Goncalves pointed to suppressed import levels and extended lead times as primary catalysts for this momentum, asserting that the second half of the year could mark the firm’s strongest performance since 2021.

Looking ahead, the company maintains its guidance of 16.5 million to 17 million net tons in annual shipments, supported by a planned $700 million in capital expenditures. This outlook aligns with broader industry trends; competitor Steel Dynamics recently reported accelerated export rates, even as U.S. tariffs continue to limit foreign-made steel penetration. Goncalves emphasized that the current environment underscores the necessity of a robust domestic supply base to insulate the market from international instability.