March 30, 2016 – Indian steel giant Tata Steel is expected to sell its British plants, a union spokesman said last night, a move that could put thousands of jobs at risk in a further blow to Britain’s crisis-hit steel industry.
Union representatives had travelled to Mumbai to try to convince Tata to invest in Britain, where the steel industry is in deep crisis, with businesses blaming high energy costs and cheaper Chinese imports.
“We understand that they’re going to announce that they’ll divest from their UK plants but we’re still waiting for official confirmation on that,” Community union spokesman Matt Ball said.
Tata Steel did not immediately respond to a request for comment. Tata had previously announced a series of job cuts at its Port Talbot site in Wales, where it employs 4,000 people, with another 3,000 employed as contractors and temporary workers.
Welsh politician Leanne Wood said the prospect was deeply concerning. “If reports from Mumbai are true, it’s devastating,” Wood wrote on Twitter. “All must work together now to save our steel industry.”
Unions have accused China of killing off British industry by “dumping” steel on the market at prices that cannot be competed with.
Opposition Labour leader Jeremy Corbyn urged the Conservative government of David Cameron to act. “The government must intervene immediately to protect UK jobs and British manufacturing,” Corbyn said.
Unions criticised the government for failing to do enough and not sending a minister to India to lobby for the plants to be kept open. “This is a very dark day for the proud communities and a proud industry which is now on the verge of extinction in this country,” said Len McCluskey, general secretary of Unite.