AIC is understood to have sent home or made redundant around 40 of the 60 or more staff in a major business shake-up.

The global steel giant launched itself into the UK steel market with ambitious plans to invest £10m in Rowecord’s Newport plant and open a design and engineering office in London to target major projects.

The firm had set its sights on achieving a £20m turnover in 2015 and picked up several jobs, including the Bristol City Football Stadium.

But a year on its is understood to be curbing its ambitions after failing to secure further major steelwork orders as expected.

AIC UK chief executive Michael Treacy, former Graham Wood structural boss, was unavailable for comment yesterday.

It is understood the firm is facing a cash squeeze and is now concentrating on chasing subcontract work to ease its problems.