The Trostre Plant in Llanelli

Part of 4. Topical Questions – in the Senedd at 3:48 pm on 3 April 2019.

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Photo of David Rees David Rees Labour 3:48, 3 April 2019

Minister, I hope your last point is true, because, as you say, it becomes a separate commercial entity and they will look for the cheapest deal they can get, not necessarily the best deal they can get. Therefore, clearly, the implications for Port Talbot are serious and our concerns are for Port Talbot, but also for the workers in Trostre, because it's a package—it's a whole package across Wales—Tata in Shotton, Port Talbot, Llanwern and in Trostre. It works together as a package. We've raised this many times, and I've raised with you many times the concerns that a joint venture could have. In 2016, we came out of the woods, but we hadn't cleared ourselves from the global challenges yet, and this is another one.

I do worry about this, because it's not just Trostre being mentioned; Tata are also divesting themselves of Cogent—the Orb works in Newport. It seems that Tata are divesting themselves of resources more than ThyssenKrupp in this joint-venture approach. So, what discussions are you going to have with Tata? You mentioned Hans Fischer, but perhaps we need to go above Hans Fischer to see where we actually have Tata's future in this place. Because I'm deeply concerned that when Bimlendra Jha left his position, there was no UK representation, effectively, for Tata in the UK, and particularly in Wales; it's left then, perhaps, to Martin Brunnock to be the senior person here. So, we need to have a look at having discussions with Tata in India, perhaps, to discuss what their future plans are for the industry in Wales as a whole, because this comes as a package.

Also, have you had discussions at all with the Commission? Because this is down to the Commission rules and looking at this whole approach of the joint venture and the monopoly side of things. So, have you had any opportunity to speak to the Commission at all in relation to looking at this project?

I fully appreciate the investment that the Welsh Government has given to steel over the last few years. It's been very beneficial. It's actually been one of the reasons we still have a steel industry here in Wales. But it is important to keep that industry, and that we pressurise Tata to actually ensure that all its commitments to Welsh steel continue, and that if it is going to sell—I got from your answer to Helen Mary Jones that it is going to sell Trostre, it seems, or that's the impression I got from your answer—we need to ensure that contracts that are in place with Port Talbot stay in place with Port Talbot, so they don't go elsewhere, and so we keep the industry here in Wales.