UK Nationalizes British Steel, China Expresses Strong Discontent

Beijing. China has expressed strong dissatisfaction with the UK government's decision to nationalize the British steel company British Steel. The UK government announced on Thursday that it would bring the loss-making company under government ownership. It was stated that this move would protect jobs and secure the country's strategic industrial capacity.

Although the UK government took control of the operations of British Steel in Scunthorpe last year, the company's ownership remained with the Chinese Jingye Group. With the new decision, the company will go into full public ownership. In a statement released on Friday, China's Ministry of Commerce said that the UK's move has severely damaged the legitimate rights and interests of the Jingye Group and weakened the confidence of Chinese companies investing in the UK.

The ministry also urged the UK to honestly fulfill its obligations under the China-UK bilateral investment agreement. The statement accused the UK of forcibly taking control of the company, ignoring the contribution made by the Jingye Group to the British economy and society in the name of national security.

China has stated that it will closely monitor the developments and provide necessary assistance to protect the rights of its companies. However, it has not clarified what steps will be taken for that. It is analyzed that this decision may create further tension in the relations between the UK and China. This issue has emerged as a significant challenge for economic and diplomatic relations between the two countries even before the new Prime Minister Andy Burnham took office.