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The UK Government has been accused of betraying steel workers after it emerged the UK opposes attempts to make Chinese steel more expensive in the UK.

MPs were told the European Commission wanted to increase the tariffs on Chinese imports to help the struggling steel industry.

But they were told the UK government opposed increasing the tariffs to the same rate as the United States.

As as result the EU has only increased the import duty to between 9.2% and 13% on Chinese goods.

Business Secretary Sajid Javid admitted he would not support the European Commission taking tougher action - even though it would have helped UK steel firms.

His admission comes just a week after he signed a letter with other EU ministers calling on the European Commission to "use every means available and take strong action" to stop Chinese steel dumping.

'Betrayal' is the word, says Kinnock

Aberavon Labour MP Stephen Kinnock said “betrayal” was “absolutely the right word” to describe the UK Government's position.

He attacked the Government, saying: “I think this is yet another example of the huge gap that exists between the Government’s rhetoric and the reality of what they’re actually doing on a day to day basis, failing to make the changes that need to be made...

“[The] British Government, as I understand it, with one or two other member states is leading the charge against the scrapping of the lesser duty rule... It’s putting the British steel industry on its knees.

“Yet again we have a huge gap between the rhetoric of saying we’re standing up for steel and then the reality of refusing to scrap the lesser duty rule which is a key element of what the UK steel industry is asking for, and this is supposed to be a pro-business Government.”

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Blasting the Government’s record on the crisis, he said: “[What] we have now is lots of rhetoric about tearing of hair and gnashing of teeth about how passionately they care about the future of the British steel industry but then behind the scenes they are not actually taking any of the actions that are required and indeed have become China’s chief cheerleader in Europe.”

Steel industry groups attacked Mr Javid.

UK Steel director Gareth Stace said: "Anti-dumping measures in the EU do not currently have the teeth to halt this tsunami of dumped steel."

"The EU must follow the example of the US, by lifting the lesser duty rule which would increase anti-dumping duty levels and actually make them effective."

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More than 6,000 steel jobs in the UK have gone in the last six months with firms blaming cheap Chinese imports as the main reason.

Of those jobs, 1,050 have gone in Wales .

Questioned about the decision yesterday, Mr Javid said imposing higher tariffs would harm other British manufacturers.

“A responsible government would look at the overall impact on British industry and British jobs.

“If the duties are applied that are disproportionate it could have an impact on consumers as well.

"If duties get out of control it could cost them jobs and cost them exports.

“To go further might in the short term look the right way to go to protect industry but you have to remember in Britain there are also companies that consume steel as part of the production process," he told the Business Select Committee.

Labour MP Anna Turley, whose Redcar constituency lost hundreds of jobs when the SSI plant closed last year, said it was a “betrayal” of British steel workers.

“Our Tory government won’t back those efforts to protect our market from being flooded by cheap Chinese steel.

“[Sajid Javid] has let the British steel makers down once again and is letting our proud manufacturing industry die before our eyes.”

In Wales, Tata has cut 750 jobs at the Port Talbot steelworks and 300 at steel mills in Trostre, Corby and Hartlepool.

Tata employs 4,000 people at Port Talbot and 6,000 in Wales.

The low duties set by the EU have been condemned by Welsh steelmakers.

Luis Sanz, managing director of Celsa Steel UK, which is based in Cardiff, said: “The Commission has rightly recognised that Chinese rebar imports to the EU, and particularly the UK and Ireland, have been dumped unfairly at excessively low margins.

“However, the provisional duty that will be imposed on Chinese rebar imports is significantly below what we would expect for such a flagrant disregard of fair trading practices. The Commission’s nervousness has prevented it from using its full armoury to tackle this growing crisis.

“The Commission must now focus on achieving higher and more appropriate levels for the final duties, as quickly as possible.

“In the meantime, we hope the construction sector will recognise their responsibility to support sustainable British steel in the supply chain, and avoid these unfairly traded products.”

Mr Cameron was quizzed about the Government’s action at Prime Minister’s Questions by Labour MP Nic Dakin.

Mr Dakin asked: “At today’s BIS select committee confirmed that the government won’t support the EU commission in raising tariffs on dumped steel from countries like China. Why won’t the government stand up for UK steel?”

The PM replied: “We have repeatedly stood up for UK steel, including supporting taking anti-dumping measures in the EU. But that’s not enough.

“We also need to get behind public procurement for steel and that’s what we’re doing. We need to get behind reducing energy bills for steel and that’s what we’re doing. We need to support communities like his own that have seen job losses and that’s what we’re doing.

“We recognise what a vital part of Britain’s industrial base the steel industry is and that’s why we’re backing it.”