According to a report on the Ministry of Foreign Affairs website on July 18th, a spokesperson for the Ministry of Foreign Affairs answered reporters' questions regarding the state-ownedization of Insteel.
Reportedly, the British government announced on the 16th that it had nationalized the British Steel Company under the ‘Steel Industry (Nationalization) Act’. This company was previously controlled by China’s Jingjie Group. A compensation mechanism will be established through subsidiary legislation, with independent evaluation of compensation matters carried out. British Prime Minister David Cameron stated that this decision ensures the future of the British steel industry and protects technical jobs. What is China's comment on this?
Answer: The Ministry of Commerce of China has responded. You can refer to their statement. I would like to emphasize that this matter has attracted great attention from the Chinese public. How the UK handles this issue will directly affect the views of Chinese investors regarding the investment environment in the UK, as well as the opinions of Chinese people regarding the credibility of the British government. There is an investment protection agreement between China and the UK, and the legitimate rights and interests of investors must be fully protected by law. China urges the UK to respect market principles and the spirit of contracts, and to find a solution that is acceptable to both parties, including how to compensate for losses. China supports enterprises in using legal means to protect their rights, and is closely following the progress of the incident. If necessary, we will take measures to protect these rights.
