Jingye Steel Seeks Full Compensation After UK Government Takes Over British Steel
Jingye Steel's Response to British Steel Takeover
Background of the Takeover
July 13 (Reuters) - China's privately owned steelmaker Jingye Steel said on Monday it would seek "prompt, adequate and effective" compensation from the British government over its investment in British Steel, after the government took control of the company.
• Britain assumed operational control of British Steel from Jingye Steel in April 2025 on what it said were national security grounds. Under plans announced by Prime Minister Keir Starmer in May, the government could fully nationalise the business.
Jingye Steel's Compensation Demands
Public Statements and Timeline
• Jingye Steel issued its first public statement on the matter last month, seeking compensation from Britain, 14 months after the government seized control of its UK subsidiary.
Company's Official Statement
• "Regrettably, the UK Government has yet to provide any substantive response to Jingye on this matter," the company said in a statement on its WeChat account.
• "These extreme, escalating measures — from forced takeover to full expropriation — fully underscore the profound value of British Steel," it added.
Jingye's Investments and Future Actions
Investments Made by Jingye
• Jingye completed its buyout of British Steel in 2020 and has since made substantial investments in "equipment upgrades, safeguarding jobs, and green transition", Jingye said.
Plans for Recovery
• "We are resolved to pursue full recovery of these investments, without compromise," it said.
Reporting Credits
(Reporting by Amy Lv and Lewis Jackson. Editing by Mark Potter)
