Protecting Britain’s Steel Industry Debate

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Department: Department for International Trade

Protecting Britain’s Steel Industry

Jamie Wallis Excerpts
Monday 21st June 2021

(2 years, 10 months ago)

Commons Chamber
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Jamie Wallis Portrait Dr Jamie Wallis (Bridgend) (Con) [V]
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This debate is very important to my constituents. It is also a pleasure to follow the hon. Member for Neath (Christina Rees), as both her constituency and mine border Aberavon, where the Port Talbot steelworks are located. There is a huge amount of employment in Bridgend dependent on those steelworks, either directly or indirectly.

I agree with those who say that the Government should do all they can to support the steel industry. It is also true that the industry has faced a multitude of challenges that predate covid. In fact, some are more historical than that. I encourage Opposition Members to look at what happened to the industry between 1997 and 2010, when the production of steel in this country halved and we went from approximately 70,000 people working in the industry in 1997 to just over 30,000 in 2010, a fall of 56%.

The Opposition are correct that overseas steel has had a negative impact on the British steel industry and that our British industries should not be undermined by unfair competition from overseas, especially by the dumping of steel often reported to have come from China, but their proposals to simply reject the TRA’s recommendations would result in all the current safeguards being revoked. It would breach World Trade Organisation rules and open the UK up to legal retaliation from other members. Not only is that counterintuitive, but it is quite the opposite of championing our British industries and reviving the UK steel industry.

There is a need to revolutionise the steel industry in the UK towards the economy of the future. Decarbonisation is clearly key to that. Through the clean steel fund, provided by the UK Government, the industry will adapt to the challenges of decarbonisation while continuing to manufacture world-renowned steel. However, adapting to the future green economy brings with it new challenges as well. For example, electric arc furnaces reduce carbon emissions, but there is a huge concern locally in my constituency about the impact on local jobs of moving to that technology. Although we must work to forge a greener industry, we must also continue to support the steelworkers.

The ways to support the British steel industry are multifarious and there is clearly no one solution to restoring the industry to its former glory, but I strongly feel that one important way of building back better is to champion our industries, especially British steel, when it comes to procurement. The £640 billion levelling-up infrastructure campaign will require millions of tonnes of top-quality steel. We simply must procure that right here in the UK, so that investment in British infrastructure also means investment in British jobs.