STEEL PRICES

Early day motion 1679, tabled 16 September 2004 by Alan Meale (Labour). Signed by 25 members.

That this House is aware that UK Materials Handling Industry Manufacturers and its suppliers are currently facing increasing problems caused primarily by both steel shortages and rapidly rising prices which have seen steel costs rise in real terms, this year alone, by as much as 70 per cent.; notes that EU steel stocks are already very low, falling and that current production levels are not matching demand, indicating that if global markets remain strong, further shortages are inevitable; accepts that in part this is caused by huge demands upon steel production for China, as it rapidly industrialises, together with strong economic growth in the United States of America, Russia and the enlarged EU; contests however the view that the current situation can simply be left to a market forces solution, with supply and demand prevailing, as such a narrow approach will lead to further serious consequences for British manufacturing; and calls upon Her Majesty's Government as a priority immediately to tackle the issue of soaring steel prices, whilst in the longer term to work with the United Kingdom's and other mainland European steel manufacturing industries to increase their output.

Signatures by party: Labour 17, Liberal Democrat 3, DUP 2, Plaid Cymru 2, UUP 1.