Meridian Steel enters liquidation process
Meridian Steel (MSL), a subsidiary of Duferco International Trading Holding (DITH), has begun the process of winding down its business as its operations are no longer sustainable, Kallanish reports.
The board of directors said in a statement that it "regrets" that a thorough analysis of the business has shown that the company's operations are no longer sustainable. As a result, the management board decided to begin the process of liquidation of the business.
It says the reduction in UK steel quotas and tariff increases are a "devastating setback" as most of the raw materials are imported.
"Moreover, the lack of protection for British steel producers will inevitably put pressure on their business," the document says.
The company continues to state that its financial situation has "been further worsened by steadily increasing overhead costs, and most importantly, utility costs, which continue to rise, affecting both ourselves and our customers."
"Despite significant investments and financial support from shareholders over the years, these factors have negatively affected MSL's performance, and without any prospects for improvement, it is simply impractical for the company to continue its operations," it says.
As of September 2025, the company reported a pre-tax loss of 718,000 pounds (958,630 USD), an increase from a loss of 212,000 pounds a year earlier, according to the latest Companies House reporting.
Sources tell Kallanish that the employees have been informed and the consultation process is currently underway. According to the company's website, it employs 101 people and operates two enterprises specializing in the production of strip products and processing 150,000 tons of steel per year.
DITH bought out the company, which became Meridian Steel in May 2019. Callanish has contacted DITH for comment.
Author: Carrie Bone
Kallanish.com