All articles tagged with #nationalisation
China's Jingye Group is demanding compensation and threatening international arbitration over the UK's nationalisation of British Steel, accusing the government of extortion and promising to seek redress for taxpayers' losses; London says the commercial value is nil but will run a compensation scheme with an independent valuer, while the Scunthorpe plant's future and thousands of jobs hang in the balance.
Britain’s government moved to nationalise British Steel to safeguard domestic capacity and thousands of jobs at the Scunthorpe plant, a move Jingye Group (China) says tramples international investment rules and demands full compensation for losses. Beijing warned of appropriate measures to defend Chinese investors as the dispute tests China–UK ties and highlights the costs already incurred operating British Steel, with the plant facing questions over its future under a decarbonised, domestically supplied steel sector.
Labour leader Keir Starmer announced that Parliament will enable full public ownership of British Steel, subject to a public interest test, after the government seized Scunthorpe’s plant from Chinese owner Jingye and found a private sale unlikely. He framed the move as in the public interest to protect national security and critical infrastructure, while unions welcomed the decision. The government has shouldered substantial ongoing costs to keep Scunthorpe running, and a future independent valuation will determine any compensation to Jingye as a long‑term investment plan and strategy for British Steel are developed.
King Charles III delivered the government's legislative agenda at the State Opening of Parliament, highlighting plans to nationalise railways, tax private schools, and expedite house building. The government aims to modernize the asylum and immigration system, end no-fault evictions for renters, and establish Great British Energy to invest in renewables. Other key points include removing VAT exemptions for private school fees, creating a new Border Security Command, and introducing laws to improve public safety and health standards.
The head of Russia's federal crime agency, Alexander Bastrykin, has suggested that key sectors of the economy should be returned to state ownership to support Moscow's war in Ukraine. Bastrykin said that "economic security in a war" was necessary and proposed nationalising the main sectors of the economy. Russia conducted wide-ranging privatisations in the 1990s, but some of the state's most valuable assets ended up in the hands of oligarchs.
Iberdrola has sold $6bn of power assets in Mexico, hailing it as a "new nationalisation" as the country's state-owned utility CFE takes over the assets. The Spanish energy company is pivoting towards the US, where it plans to invest $14bn over the next four years.
Chad has nationalised Esso Exploration and Production Chad Inc., a former subsidiary of ExxonMobil, whose sale to Savannah Energy last year was contested by the government. The company holds concessions in productive fields, oil extraction rights, and a share in a pipeline transporting crude to neighbouring Cameroon for export. The dispute was taken to arbitration, which ruled in favour of Savannah Energy. The company intends to pursue all of its legal rights. Chad is heavily dependent on oil sales, which account for more than 11% of GDP.
Chad has nationalised all assets and rights owned by Exxon Mobil's subsidiary in the country, including hydrocarbon permits and exploration and production authorisations. This comes after Exxon Mobil divested from its operations in Chad and Cameroon in December 2022. Savannah Energy had purchased Exxon's assets in Chad, but the Chadian government contested the agreement, leading to a legal dispute. Savannah Energy plans to pursue all its legal rights to contest Chad's move to nationalise its upstream assets in the African country.