Tata Steel Europe is likely to continue with the restructuring of its UK operations.Cyrus Mistry, chairman, Tata Steel Ltd reportedly said in the company’s annual report.
Mistry added that the Adverse currency movement and Chinese imports may force the company to undertake further asset right-sizing.
The company is expecting steel margins to remain under pressure in Europe in 2015.
“The UK business of Tata Steel Europe is the most impacted by the surge of Chinese imports as its domestic demand continues to be weak,” Mistry added in the annual report for 2014-15.
Mistry also reportedly said that the global economy continues to be fragile and uncertain especially with regard to the impact of the Chinese slowdown and the Eurozone crisis.
On 17 July, Tata Steel announced 720 job cuts at its Rotherham facility as part of its business restructuring strategy.