UK Trade Union Calls for Investment in Plate Steel Mill for Offshore Wind Production
Community trade union advocates for modernization of Dalzell steelworks to capitalize on offshore wind market demands.
Trade union leaders are urging investment in the Dalzell steelworks in Motherwell, Scotland, the UK's only plate steel mill, to enhance its capabilities and position it as a leading global producer of steel plates essential for offshore wind turbines.
A report by the Community trade union emphasizes that 90% of the metal required for offshore wind technology is steel plate, highlighting the urgent need for upgrades and investment at the Dalzell site to meet growing market demand.
As the offshore wind sector is projected to require between 21 million and 25 million tonnes of steel by 2050, the report underscores the potential for the Dalzell mill to contribute significantly to this sector.
Union representatives argue that modernizing the facility would not only enable the production of necessary materials for offshore wind turbines but also support the UK's broader industrial strategy as the government prepares to announce its steel strategy in spring 2025.
The steel industry currently provides over 33,000 jobs across the UK and contributes £2.3 billion to the economy and £3.4 billion to the country’s trade balance.
Roy Rickhuss, general secretary of Community, acknowledged the challenges faced by the Dalzell plant in recent years but pointed to its strategic importance and the need for substantial investment to revitalize the sector.
In addition to calls for investment, the union advocates for governmental policies that would mandate or incentivize the use of UK-made steel in critical sectors including energy, defense, and infrastructure.
It also seeks to address the high electricity costs for UK steelmakers to create a more competitive environment compared to counterparts in France and Germany.
Community's report comes amidst a backdrop of substantial government commitments to the steel sector, including a pledge of £2.5 billion towards facilitating the industry's transition to a greener economy while preserving manufacturing capabilities.
A spokesperson for the UK Department for Business and Trade reaffirmed the government's dedication to rebuilding the UK steel industry and exploring options for a sustainable path that maintains workforce integrity and industry viability.
The Scottish Government has previously intervened to secure the future of Dalzell and Clydebridge steelworks, preserving jobs and production capabilities within Scotland.
Regular engagement with plant owners and governmental partners continues to prioritize workforce interests in the region.
This call for investment is paralleled by broader discussions within the UK regarding defense investments, where over 100 Labour MPs and peers recently urged financial institutions to revise their environmental, social, and governance (ESG) investment strategies to support the defense sector amidst increased pressures related to global conflict dynamics.
The two narratives reflect ongoing discussions about the role of UK industries in both local and international contexts as demand for infrastructure and defense capabilities evolves.
The latest report on the Dalzell steelworks crisis really drives home everything that’s been missing from UK shipbuilding and procurement discussions. The Fleet Solid Support ships are intended to sustain Royal Navy operations at sea, yet the domestic steel supplier set to provide crucial plate is facing a cash crunch and an uncertain future. This is not just a supply chain blip — it reflects how short-term, risk-averse policy is hollowing out strategic capability at home. If we end up importing the very plate needed for sovereign naval logistics vessels, then we have already outsourced a critical part of national resilience.
Relying on overseas builders or imported materials because a UK mill cannot secure financing shows that our procurement approach is fundamentally misaligned with our industrial needs. Serious maritime nations understand that a sovereign industrial base, from steel through ship construction, is part of national security, not incidental. Yet here procurement is treated as a neutral, global commodity exercise: whoever wins the tender wins the work, and domestic capability is not even an evaluation criterion.
Political responses about “competitive markets,” subsidy exposure, or compliance with subsidy control rules only underline the point. France, Italy, Korea, Japan, Norway and the United States do not let strategic sectors like steel and shipbuilding float around in an abstract global marketplace. They protect and invest in them because they know gaps in capability have real costs later — lost skills, hollowed supply chains, weakened sovereign options and higher dependencies. Meanwhile, the workforce that could restart Dalzell, support offshore wind, and feed naval and merchant builds sits idle because there is no industrial strategy linking procurement to capability.
This isn’t about nostalgia for old industries. It’s about recognising that capability and competitiveness are not mutually exclusive. If procurement and subsidy policy were designed to sustain domestic steel and shipbuilding, we could achieve both. Without that, we keep importing strategic capability and then act surprised when domestic capacity collapses.
There is also a persistent myth that the UK can’t build ships anymore or that subsidies are illegal. Yet we are building Type 26, Type 31, specialist research ships and offshore vessels now. The UK does the hard end of shipbuilding just fine when given continuity. The problem is not competence — it’s continuity and confidence. As for subsidies, the Subsidy Control Act allows support for strategic sectors, regional development, innovation, and national security. Section 47 is explicit. Meanwhile foreign yards benefit from state support across steel, credit, tax and export finance. Pretending the UK is playing in a neutral market while everyone else runs mercantilism is self-defeating.
Foreign yards win because their governments treat them as strategic tools. The UK and Scotland keep pretending it’s a neutral market and then seem surprised when domestic capability declines. If the UK and Scottish Governments want future autonomy, resilience and industrial capability, they should treat shipbuilding the way serious maritime nations do: as sovereign infrastructure.
Relying on overseas builders or imported materials because a UK mill cannot secure financing shows that our procurement approach is fundamentally misaligned with our industrial needs. Serious maritime nations understand that a sovereign industrial base, from steel through ship construction, is part of national security, not incidental. Yet here procurement is treated as a neutral, global commodity exercise: whoever wins the tender wins the work, and domestic capability is not even an evaluation criterion.
Political responses about “competitive markets,” subsidy exposure, or compliance with subsidy control rules only underline the point. France, Italy, Korea, Japan, Norway and the United States do not let strategic sectors like steel and shipbuilding float around in an abstract global marketplace. They protect and invest in them because they know gaps in capability have real costs later — lost skills, hollowed supply chains, weakened sovereign options and higher dependencies. Meanwhile, the workforce that could restart Dalzell, support offshore wind, and feed naval and merchant builds sits idle because there is no industrial strategy linking procurement to capability.
This isn’t about nostalgia for old industries. It’s about recognising that capability and competitiveness are not mutually exclusive. If procurement and subsidy policy were designed to sustain domestic steel and shipbuilding, we could achieve both. Without that, we keep importing strategic capability and then act surprised when domestic capacity collapses.
There is also a persistent myth that the UK can’t build ships anymore or that subsidies are illegal. Yet we are building Type 26, Type 31, specialist research ships and offshore vessels now. The UK does the hard end of shipbuilding just fine when given continuity. The problem is not competence — it’s continuity and confidence. As for subsidies, the Subsidy Control Act allows support for strategic sectors, regional development, innovation, and national security. Section 47 is explicit. Meanwhile foreign yards benefit from state support across steel, credit, tax and export finance. Pretending the UK is playing in a neutral market while everyone else runs mercantilism is self-defeating.
Foreign yards win because their governments treat them as strategic tools. The UK and Scotland keep pretending it’s a neutral market and then seem surprised when domestic capability declines. If the UK and Scottish Governments want future autonomy, resilience and industrial capability, they should treat shipbuilding the way serious maritime nations do: as sovereign infrastructure.