The UK government has nationalised British Steel, bringing the company under public ownership this week. The government stated that the move was necessary to safeguard “a vital national capability.” The nationalisation comes 15 months after the UK government previously intervened to prevent the closure of the company’s steelworks in Scunthorpe, which would have resulted in the loss of approximately 4,000 jobs.
China’s government has responded with criticism of the decision. China’s Ministry of Commerce stated it is “strongly dissatisfied” with the nationalisation, claiming the move has dealt a “severe blow to Chinese companies’ confidence in investing in the UK.” This marks an official protest from Beijing regarding the UK’s handling of the British Steel situation and its implications for Chinese investment in the country.
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