Recently, the signing ceremony of the cooperation memorandum of the Philippine Iron and Steel Project of Hebei Iron and Steel Group was held in the Philippine Ministry of Trade and Industry. Philippine Trade and Industry Minister Lopez, Defense Minister Lorenzana, Director of Investment Rudolph, Commercial Counsellor Jinyuan of the Chinese Embassy in Philippines, Vice Governor of Hebei Province Li Qian, Chairman of Hegang Group Yu Yong, Chairman of Huili Fund Meng Xiaosu were present.
Counsellor Jin Yuan said that President Xi Jinping's successful state visit to the Philippines in November was an important milestone in the history of bilateral relations. The visit has yielded fruitful results, established a comprehensive strategic cooperative relationship between China and the Philippines, and pushed the friendly relations between China and the Philippines to a higher level. In particular, the heads of state of the two countries witnessed the signing of a memorandum of understanding to jointly promote the construction of the "one belt and one road", which has injected new momentum into bilateral relations. The River Steel Group's investment in Philippine iron and steel project is an important follow-up implementation of the "one belt, one way" cooperation between the two countries.
Vice governor Li Qian said that Hebei actively responded to the consensus reached by the two heads of state on strengthening the "one belt and one way" cooperation, and actively promoted Hebei enterprises to invest in Philippine cooperation. They will provide all support and strive to make the project a model of Sino Philippine "one belt and one road" productivity cooperation and become a symbol of friendship between the two countries.
Minister Lopez said that the project is the first comprehensive long-process iron and steel project in Philippines and the largest investment project by China to Philippines so far. It will help the Philippines realize the "iron and steel dream", greatly promote the comprehensive development of Philippine manufacturing industry, further improve Philippine export capacity and help reduce the Philippine trade deficit. The investment position of the project is in Mindanao, which is also an area where President Dutter actively promotes economic development and improves people's livelihood. It will make an important contribution to narrowing the regional development gap in the Philippines.
The Philippine Iron and Steel Project of Hegang is located in Feifeldek Industrial Park, Cagayan de Oro City, Philadelphia Island, with an area of 3 square kilometers. Hebei Iron and Steel Group and Philippine Asian Iron and Steel Company take the lead in forming an investment consortium to build an iron and steel conglomerate integrating port, sintering, coking, pelletizing, ironmaking, steelmaking, rolling and deep processing. The supporting production scale of iron and steel is about 8 million tons per year, with a total investment of about 4.4 billion US dollars and a construction period of 3-5 years.
According to Philippine Business Daily on the 15th, Philippine Trade and Industry Minister Lopez said that China's investment in iron and steel projects in the Philippines will generate more than 20,000 jobs.
The Philippines has a large number of metallic and non-metallic deposits. In addition to gold and copper, the Philippines is rich in iron ore. The Philippines aims to become a major producer of high-quality and safe steel products by 2030. In order to further promote investment in metal mining, the Philippine government allows foreign countries to own 100% ownership of large mines, subject to relevant provisions.