BCSA calls for UK government support for steel
The British Constructional Steelwork Association (BCSA) is calling for the UK government to take action to support the domestic steel industry which is facing “imminent threat”, Kallanish learns.
In a letter to business secretary Peter Kyle, BCSA chief executive Jonathan Clemens says the future of domestic steelmaking, steel manufacturing and construction in the UK is under threat, as well as the sectors exporting potential. Clemens expresses serious concern that the “government has not yet taken full control of British Steel,” highlighting it as a key supplier to the steel manufacturing sector.
“This continued delay and uncertainty will have disastrous consequences for our entire industry,” the letter notes.
It adds that current UK procurement specifications and government policies are in many cases excluding UK steelmaking and manufacturing. UK steelmakers have previously highlighted this barrier to entry.
“We cannot lower our carbon footprint without having electric arc furnaces, nor can we improve virgin steelmaking without new, modern blast furnaces. Both are needed,” the assocation contends.
“We face heavily subsidised competition from overseas companies with much lower energy costs, cheaper labour and working conditions that significantly lower their costs. As a result, specifiers are encouraged to use steel imports and even offshore manufacturing to meet carbon targets and lower cost,” it continues.
The letter warns that without urgent action this could spell the end for UK steelmaking and manufacturing.
The BCSA represents 150 businesses employing 30,000 people in the steel manufacturing and construction industry.
