UK Enacts Emergency Law to Keep British Steel Running Amid Jingye Negotiation Breakdown

April 15, 2025
UK Enacts Emergency Law to Keep British Steel Running Amid Jingye Negotiation Breakdown
  • These measures are crucial for protecting the UK's steelmaking capacity and safeguarding the 3,500 jobs at risk at the Scunthorpe facility.

  • The Steel Industry (Special Measures) Bill empowers the Government to mandate steel companies in England to continue operations, imposing penalties for non-compliance.

  • Business Secretary Jonathan Reynolds criticized Jingye for failing to negotiate in good faith, particularly after they ceased raw material purchases essential for the Scunthorpe plant.

  • Chancellor Rachel Reeves expressed a desire for a long-term relationship with China during her visit in January 2025, emphasizing ongoing diplomatic engagement between the UK and China.

  • While these developments unfolded, Trade Minister Douglas Alexander was in China for discussions, and Admiral Sir Tony Radakin, head of the Armed Forces, also visited Beijing recently.

  • Emergency legislation was passed on April 12, 2025, enabling the UK Government to instruct British Steel to maintain operations after negotiations with its owner, Jingye, broke down.

  • This legislative action comes just a month after the UK Government intervened in the crisis at British Steel, which is owned by the Chinese firm Jingye.

Summary based on 1 source


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