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Cleveland-Cliffs Targets 4.3 Million Tons: Can Volume And Pricing Align?

Cleveland-Cliffs reported a second quarter 2026 adjusted EBITDA of $286 million, marking its strongest quarter in two years, alongside a return to positive free cash flow after two years of negative results. Despite a sequential decline in shipments largely due to maintenance outages and contract timing, the company expects shipments to surpass 4.3 million tons in the third quarter, supported by a strong order book and extended backlogs. Pricing improvements contributed significantly to the quarter’s results, with average selling prices increasing by $76 per ton, driven by favorable hot-rolled coil (HRC) and cold-rolled coil price trajectories. The company anticipates a further price increase of approximately $55 per ton in Q3. Cost pressures in Q2 were temporarily elevated due to inventory lag effects and maintenance outages but are expected to decrease by about $10 per ton in the third quarter.