British trade association UK Steel has expressed concern over reports that British oil and gas multinational BP has awarded a contract for approximately 7,000 tonnes of steel for the Net Zero Teesside carbon capture, utilization and storage (CCUS) project to a Chinese supplier, despite the project enjoying significant support from taxpayers and consumers.
Net Zero Teesside is one of its flagships UK clean energy developments designed to support jobs, investment and long-term industrial potential in the Teesside region. According to UK Steel, the reported procurement decision calls into question whether government-backed projects provide maximum value to the UK economy and domestic supply chains.
Call for alignment with industrial policy
Gareth Stace, chief executive of UK Steel, described BP's reported decision to source steel from China rather than nearby UK manufacturers as "deeply disappointing", adding that such an outcome should not happen in a major project supported by public funds.
UK Steel stressed that the UK government has repeatedly emphasized the importance of supporting domestic industry, strengthening national supply chains and recognizing steel as a strategic asset. In this context, the association argued that projects receiving government support, including through CFDs financed by taxpayers and consumers, should reflect these policy commitments in their
