Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

The Philippines Iron and Steel Institute (PISI) has initiated efforts against sales and production of substandard steel in the country. The drive to curb the use and the production of substandard rebar could result in an increase in billet imports in the coming days. The industry body has intensified actions and found substandard rebars being traded in Central Luzon, made by local producers Real Steel and Metrodragon Steel.  


The Bureau of Philippine Standards at the Metals Industry Research and Development Center highlighted variance in product quality against the standards set for rebar used in construction. Most unmarked products are either produced through obsolete induction furnaces in the Philippines or are imported from China. As manufacturers of sub-standard steel cannot be traced, many mills have banned these products.  


“Philippines’ drive to curb the use and production of substandard rebar could result in an increase in import of good quality billet in the coming days,” said traders.  


During the COVID-19 pandemic, the Philippines’ construction industry shrank further, and amid heavy competition, few steelmakers started producing substandard rebar. To protect local producers and end-users, PISI has toughened testing regulations. In June, Philippine Koktai Metal was also found selling undersized rebars.


In a statement, PISI President Ronald Magsajo said the institute is intensifying test-buy operations and working closely with the Department of Trade and Industry (DTI) to reduce the sale of substandard steel products and promote consumer safety.

Leave a Reply

Your email address will not be published.