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Cleveland-Cliffs signs USD 400 million steel supply contract with the U.S. Department of Defense

U.S. steel producer Cleveland-Cliffs Steel Corp. has been awarded a USD 400 million steel supply contract by the Defense Logistics Agency (DLA), an agency of the U.S. Department of Defense.

Cleveland-Cliffs signs USD 400 million steel supply contract with the U.S. Department of Defense

According to the Defense Logistics Agency (DLA), the company will supply grain-oriented electrical steel under the contract. This specialized steel, widely used in electrical equipment and transformers, is considered a critical material for the defense industry.

Five-year contract

The indefinite-delivery, indefinite-quantity (IDIQ) contract has a five-year term, with completion scheduled for September 8, 2030. The agreement does not include any option periods for extension.

Headquartered in West Chester, Ohio, Cleveland-Cliffs was awarded the contract through a sole-source procurement. The procurement was conducted under Title 10 U.S. Code 3204(a)(3)(A) and Federal Acquisition Regulation (FAR) 6.302-1.

Steel to be used by the U.S. Armed Forces

The grain-oriented electrical steel supplied under the contract will be used by the U.S. Army, Marine Corps, Navy, Air Force, and Space Force. Funding for the project will come from transaction funds allocated for fiscal years 2025–2029.

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