SteelAsia tops 1 MMT of rebars on infra spree

In Photo: workers install steel bars at a construction site along Aurora Boulevard  in Quezon City. Strong demand from both public and private construction projects has sent the production soaring to 1 million metric tons of rebars at the largest steel maker, SteelAsia, in the first half.
In Photo: workers install steel bars at a construction site along Aurora Boulevard  in Quezon City. Strong demand from both public and private construction projects has sent the production soaring to 1 million metric tons of rebars at the largest steel maker, SteelAsia, in the first half.

SteelAsia Manufacturing Corp. recorded a total production of 1.023 MMT from its six operating plants for the first half of the year. This was almost 11 percent higher from its 925,503 metric-ton output during the same period last year.The firm’s Bulacan mill produced the highest volume of rebars at 271,329 MT, followed by Davao Works in Davao City at 257,032 MT and Calaca Works in Batangas at 255,147 MT. The Bulacan mill supplies rebars to infrastructure projects in Metro Manila and Northern Luzon.

“We are fortunate to be able to ride on the current infrastructure boom. With sustained economic growth, we believe that SteelAsia, along with the whole steel industry, will also continue to grow and serve more customers,” SteelAsia President and CEO Benjamin O. Yao said.

The steel company also has a second manufacturing facility in Meycauayan, Bulacan; Cebu Works in Carcar, Cebu; and a second Mindanao mill in Villanueva, Misamis Oriental. Yao added the construction of SteelAsia’s seventh plant, in Compostela, Cebu, is now underway.

He disclosed the firm is keen on breaking ground for two more mills this year—in Central and Southern Luzon.

“We are deliberately bringing our plants closer to our customers. That way, we can give our customers the best price and service with just-in-time delivery and at the same time, help create more jobs for our people in the countryside,” Yao explained.

SteelAsia is investing over P100 billion in the next five years to accelerate its capacity through more upstream facilities with the putting up of new integrated steelmaking plants using recycling technologies.

This will also include the expansion of its midstream and downstream products that will allow the country to produce basic steel-based materials, such as pipes, tools and machinery parts.

“These investments are focused on basic sectors to substitute imports and create linkages to support infrastructure development and downward industries,” Yao said. The country’s total steel imports last year reportedly amounted to $4 billion.

The SteelAsia chief added the firm’s move to invest in regions is part of efforts to spur growth and employment generation in the countryside. “Furthermore, as an archipelago, we are regionalizing to create logistic savings and bring down the cost of steel, and to spur regional economic activities and job creation,” he said.

Image Credits: Nonoy Lacza

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Elijah Felice Rosales

Elijah Felice Rosales is a reporter for the news outfit covering trade and investments. He graduated with a degree of Bachelor of Arts Major in Literature from the De La Salle University.
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