BRUSSELS (AP) British steelmaker Spring Steel will sign a new two-year, $1 billion contract with the U.S. to supply steel to the United States military, the company said Tuesday.
Spring Steel said in a statement that the contract would be a “significant milestone in our long-term partnership” with the United State, which is under a major military buildup program and has asked its allies to contribute to a $1 trillion military budget.
It said the deal would be the largest for U.s. steel in history.
The U.K. government has called for more steel to be built in the United Kingdom to replace U.k. government-owned factories, citing concerns about safety, but the government has resisted calls to boost production.
The U.ks. military has said it is ready to buy some U.l.steel to bolster its fleet of nuclear-powered submarines, but is not yet ready to commit to building the U-boat, which the U,k.
military says could be a future threat.