Home » British Steel’s New Turkish Deal Is Great — Now What About the Bigger Plan?

British Steel’s New Turkish Deal Is Great — Now What About the Bigger Plan?

by admin477351

British Steel has every reason to be proud of its new deal to supply rail for Turkey’s Ankara–İzmir high-speed railway. The eight-figure contract with ERG International Group is a significant commercial achievement that demonstrates the plant’s world-class capability and international reputation. But industry figures are already asking the next question: great — now what about the bigger plan?

The deal covers 36,000 tonnes of rail for the 599km line connecting Ankara and İzmir, reducing travel times and carbon emissions in one of Turkey’s most important transport corridors. UK Export Finance supported the agreement, which has created 23 new jobs and restarted round-the-clock production at Scunthorpe for the first time in over ten years.

UK Steel’s director general praised the contract but was explicit about its limitations as a standalone solution. “Contracts alone cannot address the structural pressures facing the sector,” he said, calling for government action on energy costs and import safeguards. The Turkish deal is essential but not sufficient — and the industry body wants to know what comes next.

The urgency of that question is underscored by the financial situation. British Steel is losing £1.2 million a day, with total government costs now at £359 million. It has no permanent owner. The plant was nearly closed a year ago, and while the government’s emergency intervention has kept it running, it has not yet produced a clear long-term plan.

The Turkish deal is great news. But it deserves to be the beginning of a bigger story, not a standalone headline. British Steel needs a comprehensive strategy — for ownership, investment, energy, and trade — that matches the ambition of the contracts it is winning. That is the question the industry is now asking, and the government must answer.

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