Steel’s collapse is the crisis of the capitalist system itself

Tata's threat to end steel making comes as a huge shock for communities throughout the UK, but for the global conglomerate the decision to terminate its loss-making operations in Britain was surely a no-brainer.

And despite loud protestations from the Cameron government neither should it have been a surprise. According to the OECD club of rich capitalist countries, in a policy paper published early in 2015, “excess capacity is one of the main challenges facing the global steel sector today”.  

Whilst severe for the tens of thousands of families directly threatened, the shocks in Port Talbot, Rotherham, Corby, Scunthorpe and Shotton are early warnings of something much more widespread. The gap between rising capacity – mostly in the Asia-Pacific region including China, Japan, India, South Korea, where costs are low – and falling demand worldwide has been widening since the 2007 crash.

See more

Views: 40

Add a Comment

You need to be a member of NatCAN to add comments!

Join NatCAN

Other ways to keep in touch:

© 2018   Created by Freire Institute.   Powered by

Badges  |  Report an Issue  |  Terms of Service