TOL Views

Infrastructure development is the backbone of industrialization.  The establishment of structures and facilities that drive economic activities is essential to the success of our thrusts towards national inclusive growth and development.  In constructing bridges, buildings, roads, and other infrastructures that steer industrialization, steel is always an essential raw material. The Philippines ranks 20th in the list of major importers of steel according to the World Steel Association.  In 2021, our country imported 7.2 million tons of steel from top steel producing countries such as China, India, Japan, and South Korea, among others.  Steel is such an essential component in ensuring that infrastructures are framed and designed to endure time, weather and stress, hence the importance of reviving the steel industry in the country to meet the increasing demands of urbanization and development. We recall in the 1960s to the 1970s, the Philippines was at par with Taiwan, South Korea and Japan in steel products development because we had a thriving steel industry back then.  The car industry in the country was then emerging with the development of various car models such as the Isuzu Harabas, Volkswagen Sakbayan, Toyota Tamaraw and the Mitsubishi Cimarron.  There were even locally made home appliances produced by Radiowealth and Zenith.  Where have all these brand names gone?  Answer is: They have all died and vanished along with the Philippine steel industry we never realized would be critically important in our shared pursuit of progress. The National Steel Corporation which used to be in Iligan City in the Province of  Lanao del Norte used to be the lifeblood that sustained the Philippine steel industry. When the corporation closed in 1999 despite several attempts to revive the steel industry in the country, infrastructure development suffered setbacks and delays as demand continued to rise but supply of steel was scarce. NSC’s demise was caused by smuggling, corruption, lack of government support, and wrong policy decisions on privatization. The country then had to resort to importing steel in order not to stall infrastructure development, with projects and programs already in the pipeline. Industrialization is inevitable and irreversible.  If we are to truly advance inclusive growth through infrastructure development, then we should seriously consider rebuilding and strengthening our steel industry.