China hits out at British Steel nationalisation
China has expressed strong opposition to the UK government's decision to nationalize British Steel, which was previously owned by the Chinese Jingye Group. Beijing claims the move infringes on legitimate investment rights and threatens to strain diplomatic relations as a new UK administration takes office.
Why it matters
The dispute highlights the friction between national security interests and foreign investment protections in the global steel industry.
Image source, Getty Images By Peter Hoskins Business reporter Published 10 minutes ago China has hit out at the nationalisation of British Steel, saying it "firmly opposes and is strongly dissatisfied with the British government's decision".
On Thursday, the UK government said that taking the loss-making firm into public hands would protect jobs and safeguard a "vital national capability".
The UK took control of British Steel's operations in Scunthorpe last year, though it was still owned by China's Jingye Group, limiting the government's ability to steer its future.
China's commerce ministry said on Friday that the moves "seriously infringed upon Jingye's legitimate rights and interests and severely undermined the confidence of Chinese companies investing in the UK".
It also called on Britain to "faithfully fulfil" its obligations under the China–UK Bilateral Investment Treaty.
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