British Steel and Turkey: A Partnership That Cuts Both Costs and Carbon

The deal between British Steel and ERG International Group to supply rail for Turkey’s new Ankara–İzmir high-speed railway is more than just a commercial transaction — it is a partnership rooted in shared goals around decarbonisation and modern infrastructure. The 599km electric railway will cut travel times and carbon emissions, and British-made steel will be at its heart.
At a time when countries around the world are racing to electrify their transport networks, the demand for high-quality rail is growing fast. British Steel, with its long history of producing rail for demanding applications, is well-positioned to serve that market — and the Turkish contract is evidence that it is already doing so.
The deal, described as an “eight-figure agreement,” has created 23 new jobs at Scunthorpe and restarted 24-hour production for the first time in over ten years. UK Export Finance provided financial backing, underscoring the government’s interest in seeing British Steel succeed internationally even as it manages the complex challenge of the plant’s ongoing losses.
UK Steel has praised the contract and called on the government to complement it with structural policy support — particularly on energy costs, which remain significantly higher in the UK than in many competitor countries. Without such support, even the best commercial wins can struggle to translate into genuine financial sustainability.
The plant continues to lose £1.2 million a day, with the government’s total outlay since the emergency takeover reaching £359 million. But in the context of a global shift toward greener transport, British Steel’s ability to supply electric railway projects positions it on the right side of history — if it can resolve its financial challenges in time to take full advantage.