Philippine

Steel Industry

Group 1
BSME 1-3
Filipinolohiya at Pambansang
Kaunlaran
 DEFINITION
OF TERMS
steel (n.) is an alloy of
iron and carbon and other
elements because of its high
tensile strength and low cost,
it is a major component used
in buildings, infrastructure,
tools, ships, automobiles,
machines, weapons, and
appliances.

industry (n.) is the

production of goods or
related services within an
 The Philippines
Our country sits on vast reserves
of minerals, both metallic and
non-metallic. Aside from gold and
copper, the country is also rich
in iron ore reserves of almost 300
million metric tons.
To further promote investments in
the mining of metals, the
Philippine government allowed 100
percent foreign ownership of
large-scale mines (subject to
certain terms and conditions) in
the hope of attracting quality
operators and ensuring a steady
output of metals.
The Philippine
Steel Industry
The Philippine Steel Industry aims to contribute to
the country's sustainable development by
manufacturing world-class products for the industry
and society, and sees itself as a majority producer
of high-quality and safe steel products for domestic
users by 2030.

This is achieved when the industry is able to supply

70% of the tonnage of required apparent steel
consumption.
IMPORTANCE
Steel industry is a critical component in achieving
inclusive economic growth and sustainable
development of a nation. The industry provides
necessary inputs for the construction of
infrastructure, power generation and distribution,
transportation facilities and vehicles,
manufacturing machinery and equipment - all of which
are vital for a nation’s long-term growth.
The industry’s outputs are utilized by both
commercial and industrial enterprises, such as
electronics, appliance manufacturing, and
shipbuilding, among others.
Previous Status of the
PH Steel Industry
 BRIEF HISTORY
The iron and steel industry in the
Philippines started with the
establishment of the country’s first
nail‐making plant by the
government‐run National Development
Company.

Timeline
• 1949 – The plant sold to Marcelo
Steel Corporation.
• 1952 - PH Blooming Mills (Pasig)
began the rolling of bars
operations in the Country.
- Marcelo Steel
established first domestic scrap
(Metals Industry Research and Development Center, Department of Science and Technology,
1972; Ibid., 1980; Ibid., 2004)
 BRIEF HISTORY
• 1956 - Puyat Steel produced plain and
corrugated GI sheet in the Philippines
• 1957 - Pipe and tube making pioneered by
Republic Steel Tubes using German-made
electric resistance weld tube mills
• 1960 - Cold-rolling mill operations were
initiated by Southern Rolling Mills
• 1962 - ELISCO initiated tinplating
operations using Japanese manufactured
hot-dip tinning lines
• 1964 - Japanese-made induction welded tube
mills
• 1968 - International Pipe Industries
introduced spiral-welded pipes
(Metals Industry Research and Development Center, Department of Science and Technology,
1972; Ibid., 1980; Ibid., 2004)
 BRIEF HISTORY
• 1969 - US-built Ferrostan line
• 1999 - The only hot rolling mill in the PH
was closed

(Metals Industry Research and Development Center, Department of Science and Technology,
1972; Ibid., 1980; Ibid., 2004)
APPARENT STEEL CONSUMPTION IN SOUTHEAST ASIA MEMBER
COUNTRIES 1994 TO 2003
 APPARENT STEEL CONSUMPTION 2007 TO 2012

Particula 2007 2008 2009 2010 2011 2012

rs
Billets
1,744,265 1,554,497 1,941,799 2,219,998 2,311,252 2,543,855
Slabs
319,079 250,139 64,286 0 8,759 0
Long
Products 2,201,216 2,179,056 2,263,840 2,774,510 3,123,520 3,851,836
Flat
Products 2,101,690 2,032,120 1,646,936 1,748,877 2,517,381 3,180,740
Long and
Flats
Total
*In metric tons. | Sources:
4,302,906 BOC, DTI, 3,910,776
4,211,176 PISI, SEAISI, and
4,523,387 5,640,901 7,032,576
industry sources
 TRADE PERFORMANCE
2004 TO 2012

2004 2005 2006 2007 2008 2009 2010 2011 2012

Exports 92 162 346 220 151 74 105 44 0

Imports 2,867 2,721 3,077 3,433 3,018 2,830 3,148 3,922 4,684

*In metric tons. | Source: SEAISI (South East Asian Iron and Steel
Institute)
Current Status of the
PH Steel Industry
 Philippines’ Steel Export Market Share 2017

Source: IHS Meridt Global Trade Atlast