Trade Policy - The European Union will impose restrictions on steel imports [1] Industry Challenges - Local steel producers are facing difficulties due to overcapacity and trade barriers [1]

Core Viewpoint - Cleveland-Cliffs is currently experiencing financial losses due to a downturn in the steel industry, which presents a potential buying opportunity for investors willing to take on risk [1][5][12] Group 1: Company Performance - Cleveland-Cliffs shares have decreased approximately 60% from their 2022 highs, reflecting the cyclical nature of the steel industry [1][2] - In Q2 2025, Cleveland-Cliffs reported an adjusted loss of $0.50 per share, an improvement from the adjusted loss of $0.92 in Q1 2025 [5] - The company is implementing cost-cutting measures and has idled steel mills to navigate the current weak market conditions [5] Group 2: Industry Dynamics - The steel industry is highly cyclical, with demand for steel products typically increasing during economic booms and decreasing during recessions [3][4] - Steel companies' income statements are closely tied to economic activity, making their stock prices volatile [4] - The cyclical nature of the industry suggests that buying opportunities may arise when the market is down, as prices are likely to recover [4][11] Group 3: Comparison with Competitors - Cleveland-Cliffs utilizes blast furnace technology, which is more volatile and requires high operational capacity, making it less flexible compared to competitors like Nucor, which uses electric arc mini-mills [8][9] - Nucor has reported earnings of $2.60 per share in Q2 2025 and has maintained a consistent dividend increase for over 50 years, making it a more stable option for conservative investors [9][10] - While Cleveland-Cliffs may offer higher potential upside during recoveries, Nucor is likely to be a safer investment during downturns due to its operational flexibility [12]

Core Insights - The U.S. is initiating investigations into unfair practices by several countries regarding the screening of American films, which may lead to a 100% tariff on Hollywood movies [2][3][5] - The U.S. Trade Representative highlighted the need for tariffs on various sectors to control trade deficits and reshore manufacturing for economic and national security reasons [10][18] - The average tariff on China is currently around 55%, with a 30% reduction in the trade deficit reported this year [18][26] Tariff Details - New tariffs include 100% on pharmaceuticals, 50% on kitchen cabinets, 25% on heavy trucks, and 30% on upholstered furniture [7][10] - The U.S. has two tariff programs: reciprocal tariffs based on trade surpluses and sectoral tariffs aimed at specific industries [8][10] - The U.S. is generating approximately $300 billion in tariff revenues annually, with minimal evidence of price increases for goods due to these tariffs [20][21] International Relations - Ongoing discussions with China focus on securing government approval for commercial deals, particularly regarding TikTok [16][19] - The U.S. is engaging with Southeast Asian countries to finalize formal trade deals, with a presidential visit to Asia planned for the end of October [22][23] - The U.S. Trade Representative emphasized the importance of maintaining stable trade relations with China while avoiding economic coercion [18][19]

Company Overview - ArcelorMittal is one of the world's leading integrated steel and mining companies, operating in 60 countries with primary steelmaking operations in 15 countries [9] - It is the largest steel producer in Europe and among the largest in the Americas, with a growing presence in Asia through its joint venture AM/NS India [9] - In 2024, ArcelorMittal generated revenues of $62.4 billion, produced 57.9 million metric tonnes of crude steel, and 42.4 million tonnes of iron ore [9] - The company's purpose is to produce smarter steels that are cleaner, stronger, reusable, and made using innovative processes that use less energy and emit significantly less carbon [9] Financial Activity - ArcelorMittal announced the issuance of €650,000,000 3.250 per cent notes due 30 September 2030 [1] - The proceeds from this issuance will be used for general corporate purposes and refinancing of existing indebtedness [1]

Group 1 - The Industrial Development Corporation (IDC) of South Africa is considering a bid of R8.5 billion ($491 million) to acquire ArcelorMittal's operations in the country, which could conclude nearly two years of negotiations [1][5] - The IDC aims to attract global steel companies to South Africa by seeking strategic investors to operate the plants, with ongoing discussions for investments or joint ventures [2] - ArcelorMittal South Africa (Amsa) announced plans to close two key steel mills, Newcastle and Vereeniging, which are vital for the automotive and mining sectors [2] Group 2 - The facilities involved in the bid employ approximately 3,500 workers, with an additional 100,000 jobs linked to affiliated suppliers and customers [3] - The bid will be primarily funded by the IDC and will include repaying a loan from ArcelorMittal to its South African unit, along with a cash component [3] - Amsa operates a flat-steel plant in Vanderbijlpark and has idle facilities in Pretoria and Saldanha, as well as a closed iron-ore mine, with closures attributed to high power costs and government policies favoring competitors [4] Group 3 - No final decisions have been made regarding the acquisition, but sources indicate that ArcelorMittal is likely to accept an offer of this magnitude [5]

Core Viewpoint - Nippon Steel has acquired a 30% stake in Canada's Kami iron ore project to secure high-grade ore supplies for direct reduced iron production [1][2][3] Group 1: Investment Details - Nippon Steel paid C$42 million ($30.2 million) for its stake, with a total project consideration of C$150 million [1] - The remaining C$108 million will be contingent on a further investment decision following a feasibility study [1][2] - The joint venture, named Kami Iron Mine Partnership, will conduct a feasibility study for the project located in Newfoundland and Labrador [2] Group 2: Strategic Importance - The iron ore from the Kami project is characterized as a high-grade, scarce resource suitable for producing direct reduced iron [2] - Direct reduced iron is essential for producing high-grade steel using large electric arc furnaces, which Nippon Steel plans to build to lower carbon emissions [3] - Nippon Steel has been actively expanding its investments in coking coal and iron ore mines to ensure a stable supply of critical raw materials [3]

As reported by Bloomberg, Raghavan directly approached Citi chief executive Jane Fraser in 2023, when she was struggling to find a leader for investment banking. He pitched himself as the one who could revive the division. Within days, he was on a flight to New York and sealed the deal.Since his arrival, Citi has gained ground in investment banking. The bank has advised on marquee transactions such as Johnson & Johnson’s $14.6 billion acquisition of Intra-Cellular Therapies and Nippon Steel’s $15 billion t ...

Core Points - The United Steelworkers union (USW) welcomes a $400 million federal loan and an additional $100 million from the Ontario government to support Algoma Steel, emphasizing the need for transparency and public commitments to protect jobs and community interests [1][2] - The USW highlights the absence of specific investment commitments for product diversification, which is crucial for meeting Canadian steel demand in infrastructure and other sectors [2][3] - The union calls for a comprehensive industrial strategy to ensure Canada can meet its own steel needs and avoid vulnerabilities from foreign trade policies [3] Summary by Sections Government Support - The federal government is providing a $400 million loan through the Large Enterprise Tariff Loan facility, with an additional $100 million from the Ontario government to Algoma Steel [1] - The USW stresses the importance of transparent terms for this public funding to protect jobs and community interests [2] Job Security and Product Diversification - The USW expresses concern over potential layoffs as Algoma transitions to an Electric Arc Furnace (EAF) and emphasizes the need for training and reskilling funding [3] - The union criticizes the lack of specified investment commitments for product diversification, which is essential for the long-term viability of steel production in Sault Ste. Marie [2][3] Industrial Strategy - The USW advocates for a comprehensive industrial strategy that includes Buy Canadian procurement, diversification investments, strict import controls, and worker transition supports [3] - The union has been vocal about the need for decisive government action since the imposition of 50% tariffs on Canadian steel by the U.S. [3]

Group 1 - The Nuclear Company has formed a strategic partnership with steel producer Nucor to enhance the U.S. nuclear supply chain and support domestic manufacturing [4] - The agreement will focus on evaluating steel materials and manufacturing processes that meet compliance standards [4]

Core Viewpoint - Tata Steel has entered into a non-binding agreement with the Netherlands government to shift towards low-carbon emission steel production at its IJmuiden facility [1] Company Summary - Tata Steel is focusing on transitioning to low-carbon steel production, indicating a strategic move towards sustainability in its operations [1] Industry Summary - The steel industry is increasingly prioritizing low-carbon production methods, reflecting a broader trend towards environmental responsibility and compliance with regulatory frameworks [1]