Thousands of Jobs at Risk as India’s Tata Steel Seeks British Exit

India’s Tata Steel wants to sell Britain’s biggest steelmaker, putting thousands of jobs at risk and forcing the government to seek a solution ahead of an EU referendum dominated by concerns about the economy.

After a lengthy board meeting in Mumbai, Tata Steel said it would end its almost decade-long venture in Britain – birthplace of the modern steel industry – and leave the country entirely.

Hit by falling prices, high costs and cheap Chinese competition, Tata said its financial performance in Britain had worsened sharply in recent months and it would exit as soon as it could.

The move could have an impact on Britain’s closely fought June 23 vote over whether to stay in the European Union. Britain’s anti-EU media have blamed Brussels for preventing London from taking greater steps to protect the industry, although supporters of membership say EU policy is not responsible for the industry’s plight.

Reuters

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Craig Erlam

Craig Erlam

Senior Market Analyst, UK & EMEA at OANDA
Based in London, Craig Erlam joined OANDA in 2015 as a market analyst. With many years of experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while producing macroeconomic commentary. His views have been published in the Financial Times, Reuters, The Telegraph and the International Business Times, and he also appears as a regular guest commentator on the BBC, Bloomberg TV, FOX Business and SKY News. Craig holds a full membership to the Society of Technical Analysts and is recognised as a Certified Financial Technician by the International Federation of Technical Analysts.
Craig Erlam
Craig Erlam

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