The UK government completed the nationalization of British Steel on July 16, seizing control of the country’s last primary steelmaking facility from Chinese owner Jingye Group. Beijing is not happy about it.
China’s Ministry of Commerce has publicly condemned the move as a “forced takeover,” urging Britain to protect the rights of Chinese investors and warning that the action undermines confidence for Chinese firms operating in the UK.
What actually happened at British Steel
Jingye Group, a Chinese steelmaker, acquired British Steel back in 2020 and proceeded to pour over £1.2 billion (roughly $1.6 billion) into the operation. The Scunthorpe-based facility employs approximately 2,700 workers and represents the UK’s last remaining primary steelmaking plant.
British Steel was hemorrhaging about £700,000 per day in operational losses.
