160330JavidNOTonSteel

Sajjid Javid was on a jolly to Australia when Tata announced it was going to sell its UK steelworks. That’s how much the UK business minister cares about UK business.

The Conservative show of dashing home to look after the British steel industry is just smoke and mirrors. Savid Javid was fully aware it was being collapsed by subsidised and dumped Chinese imports, but argued that this cheap Chinese steel was beneficial to the UK economy more generally. Arguing against higher EU tariffs on Chinese steel dumping, Javid stated to MPs only six weeks ago

“The responsibility of government is to look at the overall impact on British industry and jobs,” the Business Secretary said.

“If duties get disproportionate it would have an impact in Britain and elsewhere on consumers of steel. Those businesses tell us it will cost jobs and exports if duties got out of control…

“To go further might in the short term look the right way to go to protect industry but you have to remember in Britain there are also companies that consume steel as part of the production process.”

This is pure Thatcherism. On Javid’s instruction, last year the British diplomatic mission to the EU (UKREP Brussels) was lobbying the EU commission against higher punitive tariffs on Chinese steel than the 13% the UK supported – even though the Commission found that dumped Chinese steel had an effective state subsidy of up to 72%. I have this from a British diplomatic source.

So the apparent flurry of activity now is a blind. This is a situation the government was quite happy to see develop. Of course, the effects are in Wales, Scotland and Northern England. There are no steel mills in Tory constituencies.

Source: Sajid Javid Deliberately Collapsed British Steel – Craig Murray

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