There are around 30,000 companies in the UK
metals sector employing 471,000 people in the UK (one out of every
eight jobs in UK manufacturing). There are metals companies
throughout the UK, although the greatest concentration is in
Yorkshire, Humberside and the West Midlands. The UK metals industry
is the country's fourth largest manufacturing exporter and it
exports almost 50 per cent of its production to around 200
countries.
Every year, the industry produces 14 million
tonnes of steel, 1.2 million tonnes of castings, 500,000 tonnes of
aluminium, and reclaims and processes 10 million tonnes of used or
end-of-life metals. It also supports a national network of
stockholding and distribution which handles 16 million tonnes of
ferrous and non-ferrous metals a year.
The UK Steel industry employs around 50,000
people directly. It also provides employment indirectly for
many more who supply goods and services to the steel sector.
Unite represents over 15,000 employees in the metals sector, mainly
skilled and maintenance workers.
Tata Steel is the largest employer, with
around 50,000 employees; 24,000 based in the UK. Sites
include those at Scunthorpe, Llanwern, Teeside, Shotton and Port
Talbot. Other employers in the sector include; Alcoa
manufacturing and Hydro Aluminum Extrusion.
Steel is a vital material in all industrial
economies. In the UK, the construction sector accounts for
29 per cent of steel consumption, automotive industries
a further 15 per cent, and metal goods another 8 per
cent. Engineering and other manufacturing industries
collectively account for 48 per cent of the steel
consumed in the UK.
Foundry industry overview
The foundry sector employs around 62,000
employees in 500 companies with sales of £2.9 billion.
Foundries tend to be small scale; 80 per cent are SME's
and almost half employ fewer than 50 people. The main regions
for foundry employees are the West Midlands, followed by Yorkshire
and Humberside and the East Midlands
Unite represents approximately 10,000
employees in the foundry sector. Main employers for Unite
include Doncasters, Precision Disc Castings and Balfour Beatty
Rail, in addition to those employed within the automotive
sector.
Companies are increasingly expected to design
and produce sub-assemblies aimed at particular markets, thus often
blurring sectoral boundaries e.g. between metal-forming and
automotive components. The cast metal sector's market is
hugely concentrated in the automotive industry, and about
50 per cent of total production goes to the car
industry.
The foundry industry has largely
mirrored developments in the industries it supplies and has faced a
number of serious challenges in recent years as a result.
Events in manufacturing, steel and the motor industries have all
impacted upon the sector.
There has been a long-term downward
trend in the number of foundries and in employment, as the sector
continues to experience mergers and acquisitions.
The needs and issues affecting the
foundry, forging and steel industry are largely
interdependent.
The foundry sector has itself become
exposed to fierce competition from around the world as traditional
markets have become more globalised. Competitive strength
from Eastern Europe, India, China and the Far East derives from
their low wage structure.
