Tata Steel Halting Production at U.K. Strip Mill; 250 Jobs To Be Lost
08/26/2015 - Tata Steel's U.K. strip steel division is idling parts of a Welsh mill, blaming a surge of unfairly traded imports.
According to reports, Tata Steel's decision to shutter its Llanwern works will affect 250 people, mostly contract employees and temporary hires. Tata employees are to be offered assignments at other facilities, according to The Telegraph newspaper.
Llanwern makes hot rolled, cold rolled and metallic coated strip, primarily for the automotive, construction, and domestic goods and packaging markets, according to Reuters.
Stuart Wilkie, director of Tata Steel Strip Products UK, said in a statement that "surging, and often unfairly traded, imports have combined with a strong pound to create a very challenging business environment."
"The changes we have told employees about will reduce our costs and enable us to focus on generating more value from our products, which will improve our competitiveness," he said.
While most of the mill is to be idled, parts will remain in production, including its auto-focused galvanizing lines, according to The Telegraph.
This is the third time in six years that Tata has idled operations at Llanwern, according to the BBC.
Llanwern makes hot rolled, cold rolled and metallic coated strip, primarily for the automotive, construction, and domestic goods and packaging markets, according to Reuters.
Stuart Wilkie, director of Tata Steel Strip Products UK, said in a statement that "surging, and often unfairly traded, imports have combined with a strong pound to create a very challenging business environment."
"The changes we have told employees about will reduce our costs and enable us to focus on generating more value from our products, which will improve our competitiveness," he said.
While most of the mill is to be idled, parts will remain in production, including its auto-focused galvanizing lines, according to The Telegraph.
This is the third time in six years that Tata has idled operations at Llanwern, according to the BBC.
