[SMM Hot Topic] "Fivefold Trade Deficit! The Philippine Steel Industry Trapped in an 'Import Black Hole,' When Will Domestic Capacity Break Through?" — Detailed Analysis of ASEAN Steel Industry Development: The Philippines Chapter
[SMM Hot Topic: "Fivefold Trade Deficit! The Philippine Steel Industry Trapped in an 'Import Black Hole,' When Will Domestic Capacity Break Through?" — Detailed Analysis of the Philippine Chapter in ASEAN Steel Industry Development] According to the latest 2024 economic performance data of the ASEAN Six Major Economies, the Philippines ranks as the fourth-largest economy in ASEAN, with a real economic growth of 5.6% in 2024, an acceleration of 0.1 percentage points compared to the previous year. The GDP is approximately $462.3 billion. With a population of nearly 113 million, the per capita GDP is around $4,095. The Philippines relies on China for nearly 80% of its steel imports. A detailed analysis of its steel industry is as follows.
The fourth-largest economy among ASEAN countries — the emerging Philippines
According to the latest 2024 economic performance data of the ASEAN Six, the Philippines, as the fourth-largest economy in ASEAN, achieved a real economic growth of 5.6% in 2024, accelerating by 0.1 percentage points compared to the previous year, with a GDP of approximately $462.3 billion. With a population of nearly 113 million, the per capita GDP is around $4,095. The Philippines relies on China for nearly 80% of its steel imports. A detailed analysis of its steel industry is as follows.
SMM compiled data from the World Steel Association (WSA), showing that the Philippines' average annual crude steel production over the past eight years was around 1.5 million mt. In 2024, the crude steel production reached 1.9 million mt, an increase of 48,000 mt YoY, with a growth rate of 2.6%. In the WSA's annual rankings of major steel-producing countries, the Philippines consistently ranks low, often between 47-49.
Data Source: WSA, SMM
The Philippine steel market has abundant raw materials and large-scale demand, but its steel capacity is insufficient, lacking advanced equipment and technology, making it difficult to meet domestic development needs. The steelmaking industry is dominated by major companies such as SteelAsia (capacity 500,000 mt), Stronghold Steel (capacity 500,000 mt), and Treasure Steelworks (capacity 500,000 mt). These companies hold significant positions in the Philippine steel market, continuously enhancing their competitiveness by introducing advanced technologies and expanding capacity. However, according to WSA surveys, the capacity utilization rate of the Philippine steel industry remains low, primarily due to issues related to the reliability, efficiency, and cost of steel mill production.
Based on previous forecast data, the Philippines' steel capacity in 2022 was 4 million mt, but the actual production that year was only 1.6 million mt, indicating a capacity utilization rate of less than 40%, supporting this conclusion.
Data Source: SMM
According to the World Metal Guide, as of the end of 2024, Philippine steel manufacturers are continuously developing and advancing steel expansion projects, with many projects underway for several years expected to be completed by 2025. Among them, the Panhua Integrated Steel Plant project is divided into three phases, potentially increasing capacity to 10 million mt/year.
Notably, according to the president of the Philippine Iron and Steel Institute at the 2024 Kallanish Asia Steel Markets event in Ho Chi Minh City, Vietnam, the Philippines currently has only 2-3 electric arc furnaces, most of which are induction furnaces, and no blast furnaces.
Data Source: DTI, World Metal Guide, SMM
According to the Philippine Iron and Steel Institute's official website, the country's main steel products include:
Semi-finished products: steel billets;
Finished long products: rebar, angle steel, light sections, channels and sections, steel wire, steel purlins;
Finished flat products: hot-dip galvanized sheets, zinc-aluminum coated sheets, welded black iron pipes, welded galvanized pipes, pre-painted galvanized/zinc-aluminum coils and sheets, pre-painted galvanized iron.
Based on industry reports and publicly available data, SMM estimates the classification and approximate proportions of domestically produced steel products in the Philippines. Driven by domestic infrastructure construction and real estate demand, Philippine steel production is primarily focused on construction steel, with finished long products (rebar, wire rod, sections) accounting for the largest share at approximately 78%; followed by flat products (galvanized and coated coils), accounting for about 15%. However, high-end flat products such as automotive steel still rely on imports. Other products like special steel and steel billets account for about 7%.
Data Source: DTI, SMM
The Philippines' average annual steel consumption is 10 million mt, with the construction industry remaining the dominant sector
According to WSA statistics, the Philippines' apparent steel (finished steel) consumption in 2023 was 9.445 million mt, down 7.4% YoY. According to the president of the Philippine Iron and Steel Institute, steel demand in the Philippines continues to grow, driven by the government's ambitious plans to increase infrastructure spending. The share of the infrastructure sector in the country's GDP has significantly increased, from 3-4% five years ago to 5.5-6% in 2023. The Philippines' annual steel consumption is 10 million mt, with rebar accounting for about 55% and flat steel about 45%. The country heavily relies on imports to meet its steel demand.
Data Source: WSA, SMM
The construction industry remains the most important steel-consuming sector in the Philippines, accounting for nearly 80% of the country's total steel usage, followed by the metal products industry, which accounts for 15%. The Philippine government has been vigorously promoting the "Build Build Build" program, aligning seamlessly with China's Belt and Road Initiative. With stable and continuous private and government investment in infrastructure, the construction industry is developing rapidly, with consistently low costs, making it one of the fastest-growing construction markets among ASEAN member states.
Data Source: PSA, BOC, SMM
From the perspective of imports, the Philippines' average annual steel imports total 7.2 million mt, with China being its largest source
According to data from the Philippine Statistics Authority and Customs Bureau, in 2023, the Philippines' total steel imports were approximately 7.1024 million mt, with an import value of $4.6907 billion. In 2024, the import value reached $5.1976 billion, up 10.8% YoY, with the total steel imports roughly estimated at 7.3-7.5 million mt.
Data Source: PSA, BOC, SMM
As mentioned earlier, due to the lack of blast furnaces in Philippine steel mills and reliance on electric arc furnaces, the production process is relatively outdated. Therefore, the Philippines cannot independently produce products like HRC and relies heavily on imports for further processing into required products such as galvanized coils.
In recent years, the main imported steel products include rebar, billets, HRC, galvanized sheets, cold-rolled coils, and sections. According to Philippine Statistics Authority data, in the 2023 steel import breakdown, the largest source country was China (excluding Hong Kong and Macau), with a total import volume of 4.68 million mt (including 115,000 mt from Taiwan), far ahead and ranking first. The second-largest source was Indonesia, with a total import volume of 690,000 mt, followed by Japan, with 460,000 mt. Malaysia and Kazakhstan ranked fourth and fifth, with 260,000 mt and 210,000 mt, respectively.
Data Source: PSA, BOC, SMM
From the perspective of exports, the Philippines' annual steel exports are less than 70,000 mt, with North America as the main export market
According to data from the Philippine Statistics Authority and Customs Bureau, in 2023, the Philippines' total steel exports were 80,000 mt, with an export value of $142.7 million. In 2024, the export value reached $146.87 million, up 2.9% YoY, with the total steel exports roughly estimated at 87,000 mt.
Data Source: PSA, BOC, SMM
The Philippines' total annual steel exports are less than 70,000 mt, remaining at a low level. The main export products are also low-value-added items such as steel billets, rebar, and wire rod. Due to insufficient domestic steel capacity, the Philippines still needs to import large quantities of high-value-added steel (e.g., cold-rolled sheets, high-end pipes), making exports primarily basic products.
According to Philippine Statistics Authority data, in the 2023 steel export breakdown, the largest export destination was Canada, with a total export volume of 36,000 mt, ranking first. The second-largest destination was the US, with a total export volume of 27,000 mt, followed by Japan, with only 4,600 mt. Saudi Arabia and Vietnam ranked fourth and fifth, with 3,800 mt and 3,600 mt, respectively. China (excluding Macau) ranked sixth, with less than 3,000 mt, including 1,100 mt exported to Hong Kong and 370 mt to Taiwan.
Data Source: PSA, BOC, SMM
Summary: Domestic steel demand in the Philippines far exceeds supply, with high-value-added steel heavily reliant on imports in the medium and long term
The Philippines' current annual apparent steel demand is nearly 10 million mt, with an average annual crude steel production of only 1.5 million mt. The average annual steel imports total 7.2 million mt, while steel exports are only 70,000 mt, with domestic demand far exceeding supply.
Moreover, countries such as Vietnam, the EU, and the US are increasing anti-dumping measures against Chinese steel exports, while the Philippines has implemented almost no such measures in recent years. Due to the low level of domestic steel production technology, the country still relies heavily on importing semi-finished steel to meet its steel demand. Therefore, some steel-exporting countries can effectively avoid anti-dumping duties by transshipping through third countries, such as Malaysia, Sri Lanka, the Philippines, Singapore, Taiwan, Thailand, Hong Kong, Dubai, etc. Goods are re-shipped in bonded zones in these third countries, with new certificates of origin issued, and then exported to the destination port under the third country's name. This allows the destination country to clear customs using the third country's full set of documents (B/L, certificate of origin, commercial invoice, packing list, etc.), thereby avoiding related anti-dumping duties.
Currently, the Philippines' trade and economic development are highly dependent on its shipping industry, making it the world's fourth-largest shipping nation after China, South Korea, and Japan. Therefore, the Philippines is expected to become a popular destination for transshipment in the future.
At the same time, as a developing economy with a favorable demographic structure, the Philippines' steel demand is expected to continue growing. According to the "Philippine Construction Industry Roadmap (2020-2030)," the total output value of the Philippine construction industry was 2.5 trillion Philippine pesos in 2020 and is expected to reach 23 trillion Philippine pesos by 2030. Combined with national policies such as "Ambisyon Natin 2040" and the "Build Build Build" program, but considering the increasingly severe global trade protection measures in recent years, it is conservatively estimated that by 2035, the Philippines' apparent steel consumption may reach approximately 23-25.5 million mt.
데이터 출처 설명: 공개 정보를 제외한 모든 데이터는 SMM이 공개 정보, 시장 커뮤니케이션 및 SMM 내부 데이터베이스 모델을 기반으로 가공한 것입니다. 본 자료는 참고용이며 의사결정 권고를 구성하지 않습니다.
문의 사항이 있거나 자세한 정보를 원하시면 아래로 연락해 주시기 바랍니다: lemonzhao@smm.cn
리서치 보고서 열람 방법에 대한 자세한 내용은 아래로 문의하시기 바랍니다:service.en@smm.cn
관련 뉴스
![[2026년 6월 회원 기업 에너지 절약 및 배출 감소]](https://imgqn.smm.cn/usercenter/tgoYV20251217171715.jpg)
20분 전
[2026년 6월 회원 기업 에너지 절약 및 배출 감소]
더 보기
[2026년 6월 회원 기업 에너지 절약 및 배출 감소]
2026년 6월, 회원사들의 총 에너지 소비량은 전년 동기 대비 3.21% 감소했으며, 톤당 종합 에너지 소비량은 0.70% 감소, 톤당 비교 에너지 소비량은 1.32% 증가, 톤당 전력 소비량은 0.73% 증가했습니다.
회원사들의 총 전력 소비량은 전년 동기 대비 2.06% 감소했습니다. 총 자가 발전량은 0.18% 증가했으며, 자가 발전률은 64.26%로 전년 동기 대비 1.44%p 상승했습니다. 청정 에너지 발전량은 5.37% 증가했으며, 이 중 풍력 발전량은 30.76% 감소, 태양광 발전량은 8.57% 증가했습니다.
회원사들의 용수 사용량은 전년 동기 대비 3억 2,753만 5,300m³(4.28%) 증가했습니다. 세부적으로 취수량은 359만 7,800m³(2.90%) 증가했고, 순환수량은 3억 2,393만 7,500m³(4.31%) 증가했습니다. 물 재이용률은 98.40%로 전년 동기 대비 0.02%p 상승했으며, 톤당 취수량은 2.68m³/톤으로 4.86% 증가했습니다.
회원사들의 배출량은 전년 동기 대비 21.27% 증가했습니다. 폐수 중 화학적 산소 요구량(COD), 암모니아성 질소, 부유물질, 석유계 오염물질 배출량은 각각 8.03%, 12.53%, 0.04%, 7.19% 증가했으며, 휘발성 페놀과 총 시안화물 배출량은 각각 52.85%, 17.29% 감소했습니다. 대기 배출 총량은 7.09% 감소했으며, 이산화황, 입자상 물질, 질소산화물 배출량은 각각 21.70%, 3.65%, 9.24% 감소했습니다.
고형 폐기물 종합 이용률에서 제강 슬래그, 고로 슬래그, 철분 함유 더스트/슬러지의 이용률은 모두 98% 이상을 유지했습니다. 가연성 가스 이용 측면에서 고로 가스, 전로 가스, 코크스 오븐 가스의 이용률은 98% 이상을 유지했으며, 톤당 전로 가스 회수량은 전년 동기 대비 3.14% 증가했습니다.
20분 전
![[허난민파 냉간 압연 프로젝트, 두 가지 주요 단계 작업 성공 완료]](https://imgqn.smm.cn/usercenter/wSpkX20251217171718.png)
26분 전
[허난민파 냉간 압연 프로젝트, 두 가지 주요 단계 작업 성공 완료]
더 보기
[허난민파 냉간 압연 프로젝트, 두 가지 주요 단계 작업 성공 완료]
최근, EPC 계약사인 MCC 징청 엔지니어링 기술 유한회사가 수주한 허난 민파 냉간 압연 프로젝트가 연이어 주요 이정표를 넘어섰습니다. F3 압연기의 A급 사전 출하 검사와 63톤 중형 크레인의 최초 인양 작업을 성공적으로 완료하여, 두 가지 핵심 시공 과제를 무사히 마쳤습니다. 이로써 해당 프로젝트는 집중 장비 공급 및 종합 설치라는 결정적 단계에 공식 진입하게 되었으며, 후속 작업의 안정적 추진과 적기 건설 목표 달성을 위한 견고한 기반을 마련했습니다.
F3 압연기의 A급 사전 출하 검사는 장비 인도 전 최고 수준의 종합 검증 절차로, 냉간 압연 생산라인의 핵심 공정 정밀도에 직결됩니다. 프로젝트 팀은 도면 및 기술 협약에 엄격히 준거하여, 하우징 가공 정밀도, 윈도우 평행도, 수직도, 기하 공차 등 주요 지표에 대해 정밀 계측을 실시했습니다. 모든 파라미터가 설계 기준을 충족했습니다. 이번 검사를 통해 압연기의 원시 정밀도 기준을 성공적으로 수립함으로써, 후속 설치, 시운전, 완전 가동 및 제품 품질 안정화 제어에 신뢰할 수 있는 장비 보증을 제공하여, 원천에서 프로젝트 품질 기초를 공고히 했습니다.
26분 전
31분 전
클리블랜드-클리프스 주가, 강력한 2분기 실적과 긍정적 전망에 급등
더 보기
클리블랜드-클리프스 주가, 강력한 2분기 실적과 긍정적 전망에 급등
클리블랜드-클리프스 주가는 7월 23일 약 16% 상승 마감했다. 이 미국 철강업체가 2분기 실적을 발표하고 긍정적인 향후 전망을 내놓으면서, 경영진이 자동차용 철강 출하량이 2년 만에 최고치를 기록했으며 계속 증가하고 있다고 밝혔다. 회사는 2026년 3분기 조정 EBITDA를 약 5억 7,500만 달러로 전망했는데, 이는 3년 만에 가장 강력한 분기 실적이 될 것이며 4분기 수익성은 이를 넘어설 것으로 예상된다고 밝혔다. 북미 자동차 부문을 공급하는 최대 평판압연 철강 생산업체인 클리블랜드-클리프스는 견조한 국내 수요와 가격 강세를 동력으로 꼽았다. 경쟁사인 국내 생산업체 뉴코어와 스틸 다이내믹스도 같은 날 주가 상승을 기록했다. 한편, 클리블랜드-클리프스와 뉴코어는 미국 전기로 제강의 핵심 원자재인 수입 선철에 대한 관세를 두고 공개적으로 의견이 갈렸다. 이번 업데이트는 미국 철강업체들이 대부분의 수입 철강에 50%의 제232조 관세 장벽을 유지하는 가운데 나왔다.
31분 전
