Tata Steel to axe 200 jobs on Europe downturn

January 26, 2012 | 13:20

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Indian steelmaker Tata Steel said Wednesday that it plans to cut a total of 200 jobs at four sites across Britain and the Netherlands owing to weak demand for steel tubes in Europe.

At the same time, union bosses said that 400 jobs were at risk at Saudi-owned Thamesteel in Britain.

Tata said it would cut 110 jobs at its site in Corby, central England, and a further 90 posts across three sites in the Netherlands.

"Our announcement today follows a detailed review of all our European tubes activities," said Remco Blaauw, managing director of Tata Steel's European Tube business.

"In response to the prolonged downturn in all European markets for tubes, and in the context of intense competition, the measures announced today are designed to bring these sites into a sustainable financial position."

Elsewhere, the future of Thamesteel's plant in Kent, southeast England, was at risk after the company fell into administration -- meaning that it was calling upon independent financial help to try and remain operational.

"Once the administrators are appointed, we are willing to work with them to deepen and widen the search for an investor and we want to work with anybody who wants to give Thamesteel a future," said Community union leader Michael Leahy.

Thamesteel is owned by the Saudi Arabian group Al-Tuwairqi Holding.

AFP

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