Half of steelworks could close due to coronavirus

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Coronavirus crisis could put half of all steelworks in Britain and Europe out of production

By Daily Mail City & Finance Reporter

Published: | Updated:

The coronavirus crisis could put half of all steelworks in Britain and Europe out of production, trade body Eurofer has warned. 

Orders have plunged as customers such as car makers have temporarily paused work. Eurofer said up to 50 per cent of steelmaking capacity could be under threat ‘unless normal business conditions are restored very soon’. 

Fired up: Eurofer said up to 50 per cent of steelmaking capacity could be under threat ‘unless normal business conditions are restored very soon’

In the UK, industry representatives have warned the crisis could become ‘terminal’ very quickly. 

UK Steel has said the Government needs to ‘throw the net wider’ to make more funding available as the sector is rapidly running out of cash. 

Britain’s biggest steelmaker Tata Steel could need a £500m bailout to see it through the coronovirus pandemic, according to reports. 

This figure is ten times what is available through the existing Coronavirus Business Interruption Loan Scheme, which is capped at £50m.

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