HIBBING, Minn. – Monday morning, Cleveland-Cliffs Inc. announced plans to acquire operations of ArcelorMittal USA. Cleveland-Cliffs operates Northshore Mining and United Taconite in northern Minnesota, while ArcelorMittal is the managing owner of the Minorca Mine in Virginia and Hibbing Taconite, a facility partially owned by Cleveland-Cliffs.
“I offer my congratulations to Cliffs for a transaction that will not only strengthen the domestic steel industry as a whole, but will extend the functioning life of HibTac,” said Rep. Julie Sandstede (DFL – Hibbing). “While I’m still learning about the details, this sounds like a ‘win-win,’ with both companies being strengthened. More importantly, I feel this move will preserve jobs on the Iron Range at a time when every single one of them is desperately needed, and could go a long way toward reaching our shared goals to bolster American made products and manufacturing. This is exciting news, and I offer my best to all parties involved to make this transaction a success for our region and help us rebound from the severe economic hardship we’re experiencing.”
After the deal is completed, Cleveland-Cliffs – based in Ohio – will be the largest flat-rolled steel producer in North America, with combined shipments of approximately 17 million net tons in 2019. The company will also be the largest iron ore pellet producer in North America, with 28 million long tons of annual capacity.
The merger has been approved by the board of directors for each company, and is expected to close in the fourth quarter of 2020.