Stephen Kinnock spoke to ITV Cymru Wales outside Tata Steel in Port Talbot
It follows earlier criticism from the Welsh Government.
ITV News Wales understands the UK Government is poised to announce a £500m subsidy, alongside a £700m investment from the Indian company, into the operations to help it move to greener forms of steelmaking.
The company would reportedly commit to building electric arc furnaces, which offer greener, less labour-intensive ways of producing steel than traditional blast furnaces.
Industry sources close to the negotiations told Sky that as many as 3,000 of the company’s staff based in the UK could lose their jobs.
Last year, Tata Steel warned its entire UK operations were under threat unless it received government funding to help it reduce its carbon emissions.
Speaking to ITV News Wales, Stephen Kinnock MP, said that "unfortunately Tata Steel and the [UK] Government have chosen to deliberately exclude the trade unions from the talks and the Welsh Government".
Mr Kinnock added he does not know "a huge amount" of detail but "we are hearing that there's going to be a very heavy narrow focus on electric arc furnaces".
He went onto say that if that is the case, it will be "very disappointing" because "there are many ways of getting to greener, cleaner steelmaking".
"If you put all of your eggs in the electric arc furnaces basket, you will destroying a lot of your order book and losing more jobs than you need to lose."
"These steelworks play an iconic part in our heritage, in our present and in our future"
Commenting on the workers and the importance of the steel works in Port Talbot, Mr Kinnock said: "There is the jobs, the workforce, and we've got to have a profitable steelworks.
"But it's also about so much more than that, these steelworks play an iconic part in our heritage, in our present and in our future, not just for Port Talbot but for the whole of Wales and the UK."
On Thursday, Economy Minister Vaughan Gething said he had met with the First Minister and Climate Change Minister following the media reports, but called on the UK's Business Secretary to engage in a "regular formal dialogue on this matter".
Mr Gething posted on X (formerly Twitter) sharing two letters he has written to Kemi Badenoch in the last few days.
ITV News Wales has contacted the UK Government for a response.
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