JA - DR GOES_Redacted.pdf

This document is a Justification for Other than Full and Open Competition (J&A) for the Defense Logistics Agency (DLA) Strategic Materials. The document seeks to procure Domain Refined Grain Oriented Electrical Steel (DR-GOES) from Cleveland-Cliffs Inc. over a five-year period for storage in the National Defense Stockpile. The procurement is a sole-source, fixed-price Indefinite Delivery/Indefinite Quantity (IDIQ) contract valued at an unspecified amount, with the first delivery order expected within two years of award.

The justification emphasizes that Cleveland-Cliffs Inc. is currently the only domestic producer of DR-GOES, which is an iron-silicon alloy used in the core of electrical transformers. The acquisition is supported by several executive orders and statutory authorities related to maintaining domestic industrial capabilities and national security. DLA Strategic Materials conducted extensive market research from October 2020 to February 2025, including interviews with material users, the sole domestic producer, and U.S. Government Program Offices, which confirmed that Cleveland-Cliffs Inc. is the only company capable of producing this material domestically that meets Department of Defense and Department of Energy specifications.