China firms up $4.4-B iron, steel project as biggest investment in Philippines

MANILA, Philippines — The Philippine government on Friday signed a memorandum of understanding with Chinese companies for the joint implementation of the “Philippine Iron and Steel Project” in Misamis Oriental.

In a social media post on Friday, Trade Secretary Ramon Lopez said the two-phased project costs $4.4 billion, the biggest Chinese industrial investment in the Philippines to date.

The MOU was signed between HBIS Group Co. Ltd., Huili Investment Fund Management Co.,Ltd., Steel Asia Manufacturing Corporation and PHIVIDEC Industrial Authority.

The project is expected to generate over 20,000 additional job opportunities, Lopez added.

The Philippines sits on vast reserves of minerals, both metallic and non-metallic. Aside from gold and copper, the country is also rich in iron ore reserves. 

The Philippines is targeting to become a major producer of high-quality and safe steel products for domestic users by 2030. To further promote investments in the mining of metals, the Philippine government allowed 100 percent foreign ownership of large-scale mines but subject to certain terms and conditions. — Ian Nicolas Cigaral