Displaying items by tag: Scunthorpe

A critical shipment of raw materials has arrived in the UK to keep British Steel’s blast furnaces in Scunthorpe operational. Following the breakdown of talks with Chinese owner Jingye, the UK government intervened, securing coking coal and iron ore from the US and Australia to prevent furnace shutdowns and potential irreparable damage. This action has brought  'huge relief' to workers and offered renewed hope for the plant’s future. British Steel is the UK’s last producer of virgin steel - vital for national infrastructure, defence, and the economy. Nearly three thousand jobs were at stake, and the government passed emergency legislation to secure operations while working on future ownership plans. Concerns mounted when Jingye ceased raw material orders and began selling existing supplies. Government ministers and union leaders stress the strategic importance of maintaining domestic steel production. Meanwhile, tensions with Beijing have escalated, with warnings that foreign ownership of essential industries must be carefully scrutinised. As the furnaces stay lit, questions remain about long-term stability and national control over vital infrastructure.

The Government has offered to buy the critical raw materials - particularly coking coal - needed to keep British Steel’s blast furnaces running in Scunthorpe. Without this urgent purchase, steel production could halt within weeks and may not be restartable. The offer is directed to Chinese owner Jingye, which has deemed the plant financially unsustainable. Talks continue between British Steel and government officials, with ministers preferring a commercial solution but not ruling out nationalisation. One of the two furnaces, 'Bess,' is scheduled for temporary shutdown on 14 April to conserve remaining materials. The Government hopes to buy time for further negotiations, though frustrations with Jingye’s perceived withdrawal have grown. A new long-term partner may be sought. Unions warn of an 'extreme emergency' and are calling for nationalisation to protect 2,700 jobs and preserve UK steelmaking. A final decision must be made within days to secure new coal and iron ore supplies.