Rescue for Scunhorpe: British government ensures the last blast furnace!

Rescue for Scunhorpe: British government ensures the last blast furnace!

Scunthorpe, Vereinigtes Königreich - In the UK, an emergency law was passed to preserve the last remaining primary steelworks in the country in Scunhorpe from closure. This could mean a decisive turning point for the stricken steel industry of the United Kingdom, which has been fighting enormous challenges for years. The Jingye Group, a Chinese company, is the current owner of this steel mill, which runs the last two blast furnaces for steel production in the country.

The pressure on the government grows because the work suffers from financial burdens and records losses of around 800,000 euros daily. The new legislation enables state raw material deliveries and gives the British government the right to take control of the work to prevent production of production by the owners. During the Easter break, both chambers of parliament voted for the draft law to defuse the situation by also ordering the continuation of the stoves. Economic Minister Jonathan Reynolds emphasized that the government would not stand by while the blast furnaces are being shut down.

effects on jobs

The steel mill in Scunhorpe offers about 2,700 jobs, which underlines the importance of the product for the local economy. According to calculations, up to 3,500 jobs are even affected if you take into account the entire steel production in the country. The British steel industry has been suffering from a decline for years, which has been tightened by new US tariffs to steel imports.

The British government is currently negotiating with the Chinese owners about the possibility of continuation and modernizing the work, with an offer of 600 million euros on the table. However, the owners demand twice, which makes the conversations complicated. Prime Minister Keir Strander has emphasized that he will act in national interest in securing British jobs, while considering considerations of the company's possible nationalization. Despite these huge challenges, there are currently no other interested parties who want to invest in the work.

the view of the future

British steel production could be in a dangerous situation in the near future. Richard Tice, the deputy party leader of Reform UK, warns of a dramatic decline and describes the closures as "naive stupidity". Traditional steel production in Port Talbot has been discontinued in the past time, which led to massive layoffs. Tata Steel plans to resume steel production with an electric light arch stove by 2027, but this strategy is considered risky by many.

tice points out that Great Britain could be the only G20 country without its own steel production if the current situation is not urgently tackled. He calls for protective measures and a long -term strategy to increase production capacities by 2025.

The coming weeks and months will be crucial to determine the future of the British steel industry and to protect the jobs in Scunhorpe and beyond. In view of the global competition and the financial challenges, sustainable solutions must be found to get the industry back on course.

Overall, the current situation of steel production in Great Britain shows complex challenges, with political and economic implications that go far beyond Scunhorpe. The fate of this work will not only affect the jobs on site, but also the entire structure of the British industry.

For more information please visit Tagesschau href = "https://www.nordkurier.de/wirtschaft/brites-notfallsgesetze-wahrt-stahlwerk-vor-schliessung-3494918"> Nordkurier , and Investment Week .