Cameron set to challenge China over Scottish steel

DAVID Cameron has pledged to raise the plight of Scottish steel workers with Chinese president Xi Jinping during a state visit.

Hundreds of jobs at Tata Steel’s works at Clydebridge, in Cambuslang, and Dalzell in Motherwell, both Lanarkshire, are among 1,200 at risk UK-wide from cheap Chinese imports.

An announcement expected to be made today by Tata could all but kill off the onceproud Scottish steel industry.

Shadow Scottish Secretary Ian Murray challenged the Prime Minister to speak up for the sector during the four-day visit, which Mr Cameron hopes will boost UK and Chinese trade.

Critics have accused the Scottish Government of failing to do enough to safeguard Tata’s l ong- term future north of the Border, when contracts were being awarded for the new Forth crossing.

However, it is not just Tata that is suffering from the growing crisis.

Administrators were called into UK firm Caparo Steel Products yesterday, where 1,800 jobs could potentially go, while the steelworks at Redcar on Teesside has already been mothballed with the loss of 2,200 jobs.

Chinese ‘dumping’ of cheap steel is seen as central to the problem.

Mr Murray said: ‘We need to do everything we can to protect the jobs at Clydebridge and Dalzell.

‘Some Chinese steel mills are selling at a loss in Europe in order to keep their own industry afloat. In the first six months of this year, steel exports from China have increased by 28 per cent.

‘ Other countries have taken action to protect their steel industry from dumping, and the UK Government needs to do the same.’

Tata lost out on a contract to provide steel plate for the new Forth crossing, although union sources said it was impossible to say whether or not securing a deal might have saved the company.

However, one said that the Scottish Government could have done more. He added: ‘They could have weighted the contract differently, more towards community benefit. Germany and the Dutch spend big money and it benefits their companies.’

Tory MSP Alex Johnstone said: ‘When Tata was not awarded Forth Bridge contracts concerns were raised Scottish plants were losing out to China. But with the Scottish Government ingratiating themselves with the Chinese, nothing could be done to change minds.

‘It now seems hundreds of Scottish jobs have been sacrificed on the altar of an international investment strategy which has failed to deliver for Scotland.’ Transport Scotland stressed Tata could not have secured the whole contract as it is not a fabricator and ‘only played an indirect role in tendering for the supply of steel’.

A Scottish Government spokesman said: ‘Subcontracts for fabricated steelworks were awarded by Forth Crossing Bridge Constructors and this was commercial, not public, procurement. Tata later secured sub-contracts to provide steel.

‘We are exploring all options to find a viable future for its sites.’