Teesside didn't give up on steel making a comeback
A new chapter is poised to dawn for Teesside’s steel industry with the proposed deal between SSI and Corus. Karen McLauchlan finds out more about the much-needed takeover and what the future now holds from those at the heart of the matter.
FRIDAY May 8, 2009, is a date etched on the memory of Teesside’s steel industry - the day mothballing was announced for Teesside Cast Products at Redcar.
Fast forward to August 27, 2010.
It’s now hoped this will prove to be another key date for Teesside steel - for all the right reasons.
Last week ended with news that Thailand’s biggest steel producer, Sahaviriya Steel Industries (SSI), was planning to take over TCP.
Its signing a memorandum of understanding with Corus now paves the way for a £320m deal and the restarting of steelmaking at the site by early next year.
While not yet a “done deal”, both company bosses and unions are confident that the acquisition will be completed soon.
For Geoff Waterfield, chairman of the multi-union works committee, celebration and optimism have replaced the “terrible dark times” mothballing brought to Teesside.
“It’s great to be able to enjoy the good news - which is quite overwhelming, it’s quite difficult to put in to words how people are feeling into words.”
When mothballing was announced, the Evening Gazette re-launched its Save Our Steel campaign. Thousands also took to the streets of Redcar, Birmingham, Blackpool, Durham and North Yorkshire to show their pride and passion for the Teesside site.
“I never stopped believing we would start making steel on Teesside again,” added Mr Waterfield.
“I walk through Redcar and see the Save Our Steel posters in people’s windows.
“People didn’t give up and I’m proud of that.”
In January, family-owned Marcegaglia, based in Italy, announced plans to become the majority stakeholder in TCP, along with South Korea-based Dongkuk.
But on May 8, 2009, Corus announced mothballing the blast furnace after confirming members of the consortium that signed the 10-year deal with TCP in 2004 - including Marcegaglia and Dongkuk - had walked out on the agreement.
