Duterte to Bring Back Steel Industry in the Philippines to Life

17 May Duterte to Bring Back Steel Industry in the Philippines to Life

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In a video outlining presumptive president Rodrigo Duterte’s economic programs as the Philippines’ leader, he said that industrialization is key to real economic growth quoting, “We should realize our dream of having our own steel industry.”

According to him, this country has to build factories and industries in order to generate more jobs for the people. A way to achieve this is to have a dynamic steel industry. Shifting to industrialization would enable the government to provide windows of opportunity to many job seekers and possibly could make them not to think about going abroad for better income.

“Steel is needed everywhere. It is the mother of all industries and the backbone of industrialization and will allow us to build all we need in our country like cars and weapons,” Duterte said.

Even the Department of Trade and Industry admitted that the Philippine iron adn steel industry is a critical component in alleviating economic growth and sustainable development, as what can be seen on their website. With the industry that can provide inputs necessary for infrastructure, power generation and distribution, manufacturing machinery and equipment, transporation ammenities and vehicles, all of which are integral for a country’s long-term growth. As said by the DTI, the steel industry’s yields are being utilized by both industrial and commercial enterprises, such are electronics, appliance manufacturing, shipbuilding and among others. However, in the Philippines, steel industry players had admitted that there’s no real steel industry to speak of today.

Recalling last year’s Southeast Asia Institute of Iron and Steel group conference held in Manila, chair Roberto Cola said in a speech that the Philippine steel industry continued to rely on imports. In crude steel terms, the country imports around 80% of its steel requirements. Affected by the 2008 financial crisis, the country’s steel industry caused many producers of flat steel products to collapse. Almost 300 million metric tons of iron ore reserves the Philippines is touted to have.

Meanwhile, Duterte said that in order to revitalize the steel industry, one way is to correct some of the country’s laws or to come up with a Code of Economics. Having the said code will ready the country to open its doors for business and investments, he added.

“We will give investors more than what the other countries are giving them, even better,” he said.