According to Jingye, when the company acquired financially troubled British Steel in 2020, it made substantial investments to modernize the facilities, ensure the regular payment of employee wages, fulfill tax obligations in full, and protect jobs. The company stated that these investments helped support tens of thousands of jobs, both directly and indirectly.
The statement also noted that British Steel was expected to receive support for its green transition under the UK government’s policies aimed at achieving net-zero emissions in the steel sector by 2035. However, Jingye claimed that the anticipated support was not delivered to the extent originally promised.
Jingye further argued that under the Steel Industry (Special Measures) Act, which came into force in April 2025, the UK government effectively took control of the company, eliminating the investor’s management, control, and revenue rights. According to the company, this move accelerated the nationalization of British Steel and imposed a significant financial burden on public finances.
Referring to data from the UK’s National Audit Office (NAO), Jingye stated that the cost of the government intervention had reached £377 million by January 2026 and was expected to exceed £600 million by mid-year.
In light of these developments, Jingye announced that it had initiated formal consultations with the UK government under the Bilateral Investment Treaty (BIT) framework. The company said it is seeking compensation for its investment losses, requesting that they be assessed on the basis of objective facts and compensated in a “prompt, adequate, and effective” manner.
The statement also emphasized that the company reserves all of its legal rights under both international law and domestic legislation and may pursue additional legal action against the responsible parties if necessary.
Finally, Jingye called on the UK government to uphold the rule of law, respect the international investment framework, and adhere to the principles of fair trade. The company urged that the matter be resolved in a transparent, fair, and mutually agreed manner.
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