Jingye Group demands compensation from the U.K. government following the nationalization of British Steel.
Jingye Group has demanded that the U.K. government provide full compensation for investment losses following the recent nationalization of British Steel. The Chinese steel manufacturer accused the government of "trampling on international investment rules" and described the takeover as "outright robbery." The U.K. government took operational control of the company last year to prevent the closure of blast furnaces at the Scunthorpe plant, which is the nation's last site for producing "virgin steel" from raw materials. The Department for Business and Trade announced the move to protect national security, ensure a domestic supply of steel for the defense industry, and save thousands of jobs. Jingye Group noted that while it invested significantly in the company, the government offered "almost zero compensation" initially. An independent evaluation will be conducted to determine the final payout. The Chinese Foreign Ministry urged the U.K. to respect market principles and contract spirits, noting that the outcome will influence how Chinese investors perceive the British investment environment.