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 .
The UK steel industry is bracing itself for a crisis, as a chain 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 two steelworkers 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 Services, which provides coal to the Redcar steelworks; PD Ports, which exports steel by SSI UK; and engineering 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 range.