SteelAsia, the largest steel producer in the Philippines, has signed a strategic agreement with Italian metallurgical technology giant Danieli to build the country's first heavy steel section production facility in Candelaria, Quezon province. The PHP 30 billion (approximately USD 530 million) project is aimed at the domestic production of import-dependent steel sections.
Once operational in 2027, the new plant will be the first industrial facility in the Philippines to indigenously produce heavy steel beams, angles, channels, piles and narrow plates. While these products are currently completely imported, the new investment is planned to prevent imports of approximately USD 1.2 billion per year.
Cost and Time Advantage for the Construction Industry
SteelAsia states that with domestic production, the steel procurement period in construction projects will decrease from 3 months to 2 weeks. Serious time and foreign currency savings are expected, especially in infrastructure projects. The project is also expected to create 7,000 direct and indirect jobs.
Low Carbon Footprint with Green Technology
The plant, which will be equipped with Danieli's green steel technologies, is expected to become one of the greenest steelmaking plants in the world, avoiding 2 million tons of carbon emissions annually. The company sees this investment as part of the Philippines' vision for industrialization, green transformation and economic independence.
The project will be SteelAsia's sixth active steel plant in the country. With this step, the company aims to expand its product range and strengthen the foundations of the local steel industry.
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