17th Jul 2026 04:42
(Alliance News) - China said on Friday that it "firmly opposes" the UK government's decision to take British Steel Ltd into full public ownership, with Beijing urging the country to abide by "international rules".
Chinese firm Jingye Group, which bought British Steel in 2020, lost control of it last year when the UK government intervened at the struggling firm.
Britain's last factory that can make steel from scratch had faced imminent closure after Jingye said the plant in Scunthorpe, northern England, was no longer financially viable.
The announcement prompted the government to step in and take control of it in April 2025 and in May this year, it said it would introduce legislation to nationalise it.
China's Commerce Ministry expressed its "strong dissatisfaction" with the UK government in a statement, after the legislation came into effect on Wednesday.
It accused Westminster of "forcibly" taking over British Steel "under the pretext of national security".
"China urges the British government to abide by relevant international rules... [and] treat Chinese-invested enterprises in the UK fairly and equally," the statement added.
Jingye demanded compensation from the UK government in June for losses from investments made before London took over operating the plant.
Nationalisation brings British Steel back into government ownership for the first time since 1988.
London had seen the possible closure of the Scunthorpe site as a threat to the UK's long-term economic security, given the decline of the country's once-robust steel industry.
source: AFP
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