UK parliament recalled to discuss takeover of Chinese-owned British Steel
The rare emergency session is a bid to save the country’s last steel-producing factory amid Trump’s metal tariffs
The UK government has called an emergency weekend session of parliament to pass legislation aimed at saving the country’s last factory that makes steel from raw materials, a move that has been widely called for since US President Donald Trump imposed tariffs on imported steel.
Prime Minister Keir Starmer’s office on Friday said in a statement that lawmakers were being asked to return on Saturday from their Easter break to debate legislation that would effectively see British Steel and its plant in the north of England town of Scunthorpe taken back into public ownership, in the near-term at least.
“The bill provides the government with the power to direct steel companies in England, which we will use to protect the Scunthorpe site,” it said. “It enables the UK government to preserve capability and ensure public safety.”
Though the term “nationalisation” was not used, it is clear that Starmer’s centre-left government will take over the day-to-day running of British Steel from Jingye Group, the company’s Chinese owner since 2020.
Jingye has said the Scunthorpe plant is financially unsustainable due to “challenging market conditions”, tariffs and increased environmental costs.
Trump’s decision last month to slap a 25 per cent tariff on all imported steel and aluminium has weighed on the prospects of British Steel. Though Starmer voiced disappointment at the tariffs imposed, he has not retaliated and is seeking to negotiate the tariffs away.