Cleveland-Cliffs reveals strategic partner

Cleveland-Cliffs Inc. has announced that POSCO, South Korea’s largest steelmaker and the world’s third largest steelmaker outside of China, is its strategic partner under the memorandum of understanding (MoU) that it first referenced in its third-quarter earnings report. A formal announcement on the definitive agreement is expected in the fourth quarter of 2025 or the first quarter of 2026, with closing expected in 2026.

The Ohio-based company says the MoU was executed Sept. 17, adding that with the recent completion of the new U.S.-South Korea trade agreement, cooperation between the two nations’ industrial sectors will be reinforced by the POSCO-Cliffs partnership.

The partnership is designed to allow POSCO to support and grow its established U.S. customer base while ensuring that its products meet U.S. trade and origin requirements. Cliffs says the collaboration, which aligns with U.S. policy goals to strengthen domestic industry and attract foreign investment, represents a model of how allies can deepen industrial cooperation under fair and transparent trade principles.

Cleveland-Cliffs expects the ultimate outcome of this MoU to be highly accretive to shareholders.

“Our partnership with POSCO represents a meeting of two industrial champions at a pivotal time for global manufacturing,” says Celso Goncalves, Cleveland-Cliffs executive vice president and chief financial officer. “We have long admired POSCO from afar and look forward to partnering with them as we take the next major transformative step for Cleveland-Cliffs. We are aligned in our vision for a stronger, self-reliant and mutually beneficial industrial base across both nations. We look forward to welcoming POSCO to the Cleveland-Cliffs family and leveraging the combined resources and strengths of both companies.”

Jutae Lee, president of POSCO Holdings, says, “We are delighted to enter into this important partnership with Cleveland-Cliffs, the premier steel company in America. This collaboration represents a meaningful step for POSCO to make a major investment in the United States and leverage all of Cliffs’ current capabilities. We look forward to supplying our current customers American-made steel through this partnership and maintaining the trusted relationships we have established in the United States.”