Will British metallurgists hold up against China?

Hundreds of steel workers marched through the streets of Motherwell in an attempt to keep their jobs in the steel industry in Scotland.

China's factories are producing steel at record levels, flooding the international market, and steel prices are falling. The influence is being felt in the UK, this time in Wales, where Tata Steel will cut 1,050 jobs.

The British steel industry is in trouble. Over the past six months, every sixth worker has already been fired. The government is pursuing an active policy. Summits were convened at the request of the working groups, securing EU approval for discounts on electricity bills for companies. But the government is not cutting taxes - notably business tariffs - and companies are complaining that Britain is timid with China. Tata Steel and others blame China for selling steel on a massive scale and want the flow of imports to be limited. The companies assume that France, Italy, Germany and Spain have shown a willingness to defend their industries, while Britain has not.

The European Commission is investigating allegations of dumping and is under pressure from business secretary, Sajid Javid, to move towards a conclusion. British steelmakers see this as a hesitation. "Javid is driving his chariot through Brussels," said Gareth Stays, UK Steel's chief executive. This indicates that Stace is simply playing for time. Perhaps the government's thinking is not aimed at supporting an industry that is struggling, but to resolve the issue in a competitive market. If so, then this is a controversial position, according to Gareth Stays.