§ 18. Mr. Hardyasked the Secretary of State for Trade and Industry if he expects any further significant contraction of the United Kingdom steel industry during the next two years.
§ Mr. ButcherThe prospects for the United Kingdom steel industry depend on its providing competitive products which its customers want to buy, rather than on any predictions that the Government might make.
§ Mr. HardyI note the Minister's suggestion that European producers should offer precise commitments as to the future size and structure of their industries, but will he accept that a much tougher approach would be entirely justified and that we should make it very clear that there will be no further contraction of our steel industry or our special steel industry until our European partners have gone a great deal further than merely offering future commitments?
§ Mr. ButcherThat has been precisely my right hon. Friend's negotiating point. As I said earlier, my right hon. Friend put his agreement to the continuation of the interim arrangements on the quotas only in order that the Commission could get the firmest assurances from our EC competitors that they, too, would reduce capacity in the light of the competitive requirements of the European steel industry.