An Indian-origin tycoon has made British steel history by resuming production at his 40-year-old mothballed plant here even as the UK steel industry is facing severe hardships due to a global slump.
Sanjeev Gupta, managing director of international steel and metals group liberty House, hailed the resumption of production at the liberty Steel Newport rolling mill on the banks of the river Usk in Newport as the start of a new era. “It is the result of a lot of hard work and a strong belief in the potential of the plant here and the skills of the workforce. Steel production is right at the heart of the manufacturing eco-system,” Gupta said.
“By investing in making steel products we are helping to sustain a whole network of customers and suppliers across the South Wales and UK economy,” Gupta said on Friday.
UK-based Gupta founded liberty as a metals trading company from his student flat at Cambridge University in 1992. The firm acquired the Newport facility in 2013 and retained the 150 staff over the intervening period in order to be ready to restart when market conditions allowed.
The start of production at liberty Steel Newport this week comes at a time of severe hardships for the UK steel industry, which has been grappling with a global slump in the value of steel.
“We intend to buck the recent trend in the UK steel industry, which has culminated in the tragic loss of jobs at both the TATA llanwern site here in Newport and the closure of SSI Redcar [north-east England],” Gupta said.
“The UK has the richest history in steel production in the world and production is viable here, what is needed is a lean productive operation which is also agile and flexible, and one that is able to adapt quickly to changes in the market. We intend to continue creating jobs and investing in the skills of local people here in South Wales,” he added.