Al Root

Shares of Cleveland-Cliffs fell early Monday after the steel maker delivered a better-than-expected quarter. President Donald Trump's trade enforcement is helping.

Monday morning, Cliffs reported first-quarter adjusted earnings before interest, taxes, depreciation, and amortization, or Ebitda, of $95 million, "inclusive of an $80 million one--time energy cost impact driven by extreme cold weather."

Wall Street was looking for Ebitda of $92 million, according to FactSet, so things turned out a little better than expected. A year ago, Cliffs reported an Ebitda loss of $174 million.

Shipments were roughly flat year over year at 4.1 million tons. Prices improved, though. Cliffs' average selling price was $1,048 per ton, up from $980 a year ago.

Looking ahead, the company maintained full-year guidance. Shipments are expected to be 16.5 million to 17.0 million tons. Capital spending should be about $700 million.

Cliffs stock was down 1% at $9.84 in premarket trading, while S&P 500 and Dow Jones Industrial Average futures were off 0.4% and 0.5%, respectively.

Coming into Monday trading, Cliffs' stock was down 25% this year, but up 36% over the past 12 months. Shares, while volatile, have gained with benchmark steel prices, which were below $700 per ton before Trump implemented tariffs on imported steel and aluminum in early 2025.

Hot-rolled coil prices are currently about $1,100 per ton.

"Trade enforcement in the United States is working exactly as intended, with steel imports at their lowest levels since the global financial crisis," said CEO Lourenco Goncalves in a news release. "Recent actions related to derivative products have brought needed clarity to the market, supporting manufacturing in the United States and creating new jobs for American workers."

In April, the Trump administration modified the steel and aluminum tariffs. Before the change, companies were paying a tariff on the value of steel and aluminum. Now, products made substantially of steel, aluminum, and copper will pay a flat fee of 25% on their full value.

It's another step to ensure goods are made here and that anyone making a product out of steel and aluminum in the U.S., paying higher prices for the metals, isn't disadvantaged versus someone making the same product overseas with cheaper metals.

Write to Al Root at allen.root@dowjones.com

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April 20, 2026 08:11 ET (12:11 GMT)

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