Metallus has secured a US Defense Logistics Agency (DLA) contract allowing the agency to order up to $995 million of steel for critical defence applications over five years, American Recycler reported. The specialty metals and components supplier also received an initial delivery order worth approximately $125 million on 29 September 2026, giving it a first order under the wider supply agreement.
The award is a single-supplier, firm-fixed-price Indefinite Delivery/Indefinite Quantity (IDIQ) contract. Under that structure, the DLA can purchase material by issuing individual delivery orders during the five-year ordering period. American Recycler noted that the $995 million figure is the maximum value the agency may order, rather than a commitment to spend that amount. Metallus has up to 24 months to complete each delivery order issued under the agreement.
Metallus chief executive Mike Williams described the contract and the first order as further progress in the company’s transformation. In comments reported by American Recycler, he linked its momentum in the defence market to its ability to manufacture specialty steels meeting demanding standards for performance, quality and traceability. Williams said the steel supporting the DLA and US military readiness would be produced wholly in the United States, and presented the five-year agreement as a basis for further collaboration with the agency.
Williams also said demand for domestically sourced specialty steel was increasing across all of Metallus’ end markets. Against that backdrop, the company intends to keep investing in its operations and capabilities to support the quality, reliability and capacity required by customers. The report did not specify an investment value or identify individual expansion projects. The disclosed initial order is therefore distinct from both the broader contract ceiling and the company’s stated plans for continued operational investment.