China-owned British Steel warns of 2,700 job losses from blast furnace closures

• Steelmaker Pritish Steel said it could close the son -in -law after June with a possible loss of 2,700 jobs. American definitions and environmental costs are already threatened.
• For years, British Steel warned that the SCUNTHORPE steel industry, northeastern England, is losses, and it is holding talks with the government for several months about securing financing to switch to a more green type of steel production. But the two sides failed to reach a deal.
• The British government has allocated 2.5 billion pounds in favor of the steel industry, and it is scheduled to publish a strategy on its plans for the sector in the spring of 2025.

China, owned in China, said that it can close its son -in -law as soon as the possible loss reaches up to 2,700 jobs, as American definitions and environmental costs threaten to damage its already troubled operations.

Pritish Steel, owned by the Jingye Group in China, has warned for years that the SCUNHORPE steel industry, northeastern England, warned the making of losses, and it is holding talks with the government for several months about securing financing to switch to a more green type of steel production.

But the two sides failed to reach a deal, and British Steel said on Thursday that it had taken the “difficult decision” to start consulting about the closure of melting ovens and other relevant operations.

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The threatened closures are the culmination of decades of decline in the steel industry in Britain, which has struggled to compete with low -cost imports given the high energy costs of local production.

“The melting ovens and steel operations are no longer financially sustainable due to the very difficult market conditions, the imposition of definitions, and the high environmental costs related to the production of high carbon steel,” Britain of steel said in a statement on Thursday.

President Donald Trump imposed a 25 % global tariff on all steel imports on March 12, as he treated another strike for the British, which said its operations were losing $ 90,5240 per day.

General view of a part of the British Steel’s Lackeenby Factory in Redcar, Britain, on November 7, 2023. (Reuters / Phil Nobel / Reuters)

The value of steel exports in Britain to the United States is more than 400 million pounds per year, according to Body UK Steel, or about 5 % of steel exports in the UK.

British Steel said it started consultations with the unions, and the proposed closures may affect 2000 and 2700 jobs – according to the consultations – with the first closure date in June. The site employs 3500 in total.

British Steel said it will continue to work with the government to explore work options. Britain’s business minister, Jonathan Reynolds, said that the couple was in “ongoing negotiations” and was focusing on obtaining the appropriate deal for taxpayers.

“I need guarantees on jobs if I put public money,” he told the event on Thursday.

Steel was first manufactured in Scunthorpe in 1890, and if the closures continued, Britain, which was in the nineteenth century the largest steel producer in the world, no longer has any son -in -law.

Instead, the country turns into the lower -density electric arc furnaces, which is made new steel from recycled steel.

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This switch is expensive. It invests 500 million pounds in Tata Steel in Port Talbot, Wales, to build a new electric oven because of its opening in late 2027 or early 2028. The fooming oven closure operations led to about 2,800 business losses.

Sky News stated that the British offer that was rejected was a 500 million pounds of government investment.

The government has allocated 2.5 billion pounds in favor of the steel industry, and it is scheduled to publish a strategy on its plans for the sector in the Spring of 2025.