Part of the debate – in the Senedd at 4:25 pm on 6 February 2019.
I'd first of all like to thank David Rees for tabling this debate today, and it's a pleasure to take part. Steel is in the blood of my region. It was at the heart of the industrial revolution and transformed south Wales into the world’s powerhouse. Without the steelworks, large parts of South Wales West wouldn’t exist. Port Talbot grew out of this revolution to become one of Britain’s most significant steel producers. The steelworks' location gave it an advantage as production moved from utilising poorer quality British iron ore to higher quality source material from overseas.
The history of iron making in the Port Talbot area extends back to the thirteenth century, when the Lord of North Cornelly granted the monks of Margam Abbey the rights to extract iron and lead ores from his lands. Neighbouring landowner Philip de Cornelly also granted monks the rights to produce iron from the ores extracted from his lands. Iron production continued down the centuries until the advent of the industrial revolution, when a new dock was created to facilitate the import of ores and the export of finished products. The dock was named after its builder, Christopher Rice Mansel Talbot, and became known as Port Talbot. One hundred and eighty-odd years later, Port Talbot is still dependent upon steel production. Living in the shadow of the steelworks, the plant not only dominates the horizon but also the very psyche of our town. At one stage you either worked at the plant or knew someone who did. Nowadays, fewer people may work at the steelworks, but it is still responsible for the employment of many in the region due to the wider supply chain that has sprung up around Port Talbot.
The decline in steel production has been a major concern in recent years as the global market has become flooded with inferior steel from China and with the US embarking on a trade war at the behest of its protectionist President. It was therefore an enormous relief when the first roll of coiled steel came off the line following the refit of blast furnace 5 at Port Talbot.
Tata Steel’s £50 million investment underlines the firm’s commitment to the plant, the people who work there and the wider community. It is now up to the Welsh and UK Governments to work together to ensure the plant’s long-term future. Tata have shown their commitment, and Government must do the same. Steel is as vital to the UK’s infrastructure as it is to Port Talbot, and the Governments here in Cardiff and at the other end of the M4 must do all they can to ensure the UK remains a steel producer.
Post Brexit we must have a level playing field when it comes to tariffs. The EU must resist the urge to punish the UK for having the temerity to leave. Rationally speaking, tariffs harm both sides. I urge the UK Government to pursue fair, tariff-free trade agreements with the rest of the world, opening up new markets for our high-quality Welsh steel. We might not be able to compete with Chinese steel on price, but we can certainly beat them on quality. Tata have renewed their faith in Port Talbot, and it’s now up to the UK Government to level this playing field and ensure a cast-iron future for steel making in South Wales West.
We need cheaper energy, free access to international markets and a commitment to the use of Welsh steel in new infrastructure projects. The UK Government must step up to the bar and work with the Welsh Government to ensure our steelworks are protected. My neighbours and their families are dependent on employment at Port Talbot steelworks. Tata are doing their bit, and the workers also, and the workers work long, long hours to secure the future also. Now it is the turn of both Governments to work together, and post Brexit we must all work together and ensure Wales is not worse off by one single penny.