The Ministry of Commerce said on Thursday that China would take effective measures to safeguard the legitimate rights and interests of Chinese companies following reports concerning the United Kingdom government's potential nationalization of British Steel.

The response follows media reports that the British government plans to nationalize British Steel, which is currently owned by China's Jingye Group, through new legislation. A ministry spokesperson said the British side must fully consider the substantial investment made by the Chinese company in British Steel and its significant contributions to the British economy and society, regardless of what actions the UK government may take.

British Steel’s UK assets were acquired by Hebei province-based Jingye Group in 2020, securing over 3,200 jobs across the UK, according to a British government news release from March 2020.

The spokesperson said the UK government should respect the wishes of the company and adhere to market principles, rather than abusing administrative coercive measures.

The commerce official urged the UK side to think carefully and make prudent decisions in order to effectively protect the lawful rights and interests of Chinese businesses and preserve the hard-won positive atmosphere of China-UK economic and trade relations.

China hopes the British side will actively engage with the Chinese company to seek a fair, justified and mutually acceptable solution, while adhering to the principles of fairness, impartiality and non-discrimination, the spokesperson added.