In yesterday’s budget speech, the Treasury outlined plans for R865.4bn in public-sector infrastructure spending over the next three fiscal years. The largest portion of R291.6bn will be invested in the steel-intensive transport and logistics sector.
MPs today urge George Osborne to stand up to the Chinese over steel dumping as he visits Beijing.
The Chancellor is in the capital ahead of a meeting of G20 finance ministers in Shanghai.
And Westminster's all-party parliamentary group (APPG) on steel wants the top Tory to use the visit to back Britain's struggling industry, which has seen 5,000 job losses in recent months.
China has been accused of flooding the world metal market with cheap steel , pricing out UK producers.
APPG secretary Anna Turley, the Labour MP whose Redcar constituency was hit by the closure of the SSI plant in October , said: “Last year George Osborne and the Tories embarrassed Britain by kowtowing to the Chinese in the middle of our steel crisis, as thousands of steelworkers were losing their jobs.
“He has a chance now to actually stand up for British manufacturing and put pressure on China to stop deliberately dumping their steel glut into the global market.
“President Obama is taking action. It’s time for our Chancellor to find some backbone and stand up for Britain.”
The APPG has written to Mr Osborne pleading with him to tackle the Chinese over the crisis gripping UK steelworks this week.
Their letter has been passed to the Mirror, which is campaigning to Save our Steel .
It tells Mr Osborne: “We ask you during your visit to put pressure on China to curb their overcapacity, reduce state support and stop dumping under-priced and loss making steel onto the global market.
“Without this happening the future for steel in the UK and the rest of Europe remains bleak.”
The letter raises the MPs' “serious concerns with underpriced, unfairly traded and state supported imports from China”.
It adds: “The impact from China cannot be underestimated and is a glimpse into the future, for not only steel, but for other strategically important sectors, including those further long the supply chain.”
Critics accuse China of dumping cheap steel on the market to force competitors out.
Once rivals have gone bust and vanished, China can then lift the price again, they believe.
The APPG points to $11billion losses suffered by China's biggest 101 steel firms in the first 10 months of 2015 .
But it says: “Despite these significant operating losses now being incurred by the largely state owned Chinese steel, there is no indication of a reduction in export levels.
Source: Mirror