The UK government brought British Steel into public ownership on July 16, 2026, drawing a formal protest from Beijing over the move's effect on Chinese investment.
China's Ministry of Commerce said it was "strongly dissatisfied" with the decision. The ministry warned that Chinese companies' willingness to invest in the UK had suffered a serious setback as a result.
The Guardian reported that the UK government framed the nationalisation as a measure to protect future steel production, describing British Steel as a vital national capability. The Scunthorpe steelworks, which employs around 4,000 workers, was the central concern. Scunthorpe is in the United Kingdom.
The government had intervened in British Steel's operations roughly 15 months earlier, in approximately April 2025, to prevent the Scunthorpe site from closing, according to The Guardian. The July 16 nationalisation completed that process by placing the company under full public ownership.