Britain's steel industry would face severe challenges if the country was not a member of the European Union, Prime Minister David Cameron said on Wednesday ahead of a June 23 referendum on whether to stay in the bloc.

"I don't think it would be a good future for steel," Cameron told MPs when asked whether EU membership had prevented Britain from protecting the industry, which has been hit by competition from cheap Chinese imports and high production costs.

He said a lot of British-made steel was sold within the EU's single market, and that if Britain was outside that market it may be subject to tariffs.

Source : uk.reuters.com