The anticipated surge in demand may force British projects to depend on imported steel unless UK production is increased, which is improbable given the announcement earlier this year of closing Port Talbot furnaces, according to the research.
According to Newton, worldwide prices may soar if the UK enters the foreign market at a time when other nations are attempting to construct wind farms.
Newton partner Dan Parker stated: “The government’s pledge to generate 50GW of wind power by 2030 has set high goals for the UK’s offshore wind industry to meet.
Making sure that currently underway offshore wind projects in the UK are completed on schedule and under budget will be essential to achieving this goal.
This implies that they must be able to purchase the necessary raw materials at the anticipated cost.
“UK business and government must work together to guarantee a stable supply of steel that can satisfy the anticipated demand peaks as industry flexes to reach the 50GW objective in order to ensure we don’t get carried away.
“After the closure of the Port Talbot steelworks in January, this is no mean feat.”
