South East Wales

Steel tubes plant set to reopen in Tredegar

Caparo Tubes in Tredegar
Image caption Caparo Tubes in Tredegar opened nearly 40 years ago

A steel tubes factory in Blaenau Gwent is set to reopen next month - eight months after it went into administration.

Caparo Tubes in Tredegar closed in October with the loss of 17 jobs.

It was part of 452 jobs lost in the UK after administrators were called into Caparo Group.

New owners Liberty House - which is also bidding for Tata Steel UK's business - called the reopening "great news for the UK steel industry".

The factory, based on the Tafarnaubach industrial estate, will be supplied in future with hot rolled coil from Liberty Steel in nearby Newport rather than having to import it.

The factory was set up by Labour peer Lord Paul in 1977 as part of his Caparo group.

Making tubes for engineering projects like gas, mining and tunnelling, in its heyday it employed between 100 and 200 people.

The group's tube businesses were bought last November by Liberty House, which is now ready to restart production in Tredegar and hopes to increase the workforce to around 40.

Sanjeev Gupta, chairman of Liberty House, said: "Steel tube is a vital link in the supply chain and adds to the integration which is essential for the sector."

The company is contacting former workers from the plant and plans to expand its product range as well as hiring apprentices.

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