The UK steel industry is bracing itself for a crisis , as a result of events from closed plants , thousands of lost jobs , sharp drop in global prices , and now the explosion at the Celsa steelworks in South Wales , killing 40 , which has caused the company to suspend operations . Many blame the crunch on an increase in Chinese imports , a strong pound and environmental taxes , as we previously highlighted . The crisis will hit Britain 's three regional steelmaking hubs , Scunthorpe , South Wales and Teeside , along with some publicly listed companies and hundreds of smaller enterprises , says KPMG 's Mark Firmin . A senior member of our Welsh team is at the site now to offer immediate assistance and to seek further clarity on what has happened.” These include Hargreaves Coal , which provides coal to the Redcar steelworks ; British Ports , which exports steel by SSI UK ; and steel group , Vesuvius , with 60 % of its sales being iron and steel customers . Analysts believe the manufacturers who will survive the crisis are those that have diversified their product lines .
The UK steel industry is bracing itself for a crisis , as a result of events from closed plants , thousands of lost jobs , sharp drop in global prices , and now the explosion at the Celsa steelworks in South Wales , killing 40 , which has caused the company to suspend operations . Many blame the crunch on an increase in Chinese imports , a strong pound and environmental taxes , as we previously highlighted . The crisis will hit Britain 's three regional steelmaking hubs , Scunthorpe , South Wales and Teeside , along with some publicly listed companies and hundreds of smaller enterprises , says KPMG 's Mark Firmin . These include Hargreaves Coal , which provides coal to the Redcar steelworks ; British Ports , which exports steel by SSI UK ; and steel group , Vesuvius , with 60 % of its sales being iron and steel customers . Analysts believe the manufacturers who will survive the crisis are those that have diversified their product lines .