SteelAsia Manufacturing Corp. plans to build five steel plants in the next four years to replace imports, create new businesses, generate local jobs, and boost economic growth in the country.

In a statement on Wednesday, July 24, SteelAsia Chairman and Chief Executive Officer Benjamin Yao said they plan to invest P82 billion in steel plants located in Batangas, Quezon, Davao City, and Tarlac.

The breakdown of the investment shows that the Lemery, Batangas plant will cost P18 billion, the Candelaria, Quezon plant P30 billion, and the Davao City plant P8 billion, with completion expected by 2026. 

The two plants in Concepcion, Tarlac, meanwhile, are projected to cost P26 billion and are set to be completed in 2027.

Yao said that the steel manufactured by these new facilities will be utilized in infrastructure and construction projects, as well as in different downstream industries that heavily rely on steel for manufacturing.

“We are building the mother industry for manufacturing. We are way behind our neighbors but we will catch up,” Yao said.

“And as we do so, our mills and steel products will create new manufacturing industries that will result in more jobs and higher skilled workers, and economic growth, among others”, he added.

The country imported wire rods, billets, sections, and sheet piles, spending over $3 billion on these products in 2022.

Yao said he disclosed these projects when President Marcos inaugurated SteelAsia’s P10-billion plant in Compostela, Cebu earlier this month. 

The President stressed the need to revitalize the local steel industry and pledged government support for the company’s expansion plans, saying: "over 70 percent of all infrastructure, housing, power, industrial, and other business developments in the country use SteelAsia rebar.”

SteelAsia has existing plants in Batangas, Bulacan, Davao, and Cebu, a deliberate geographic strategy of Yao to cut transport costs and sell to customers at the same price across the country.