Japanese cement maker Taiheiyo Cement Corp. welcomed the Philippines’ imposition of provisional safeguard duties on cement imports, which have been undermining locally produced ones, saying it was a timely intervention, the Department of Trade and Industry (DTI) said on Thursday.
The DTI in a statement said Secretary Cristina Roque met with officials of Taiheiyo in Tokyo on May 19.
Taiheiyo is currently building a P3.72- billion Luzon distribution terminal in Calaca City, Batangas as it expands its operations in the Philippines. The company aims to increase its current output to 5 million tons and reach a 10 percent market share by 2030, the DTI statement said.
Scheduled to begin operations in early 2026, the facility is designed to supply up to 700,000 tons of cement annually to Luzon, the agency added.
The DTI said Taiheiyo officials expressed optimism that continued policy support will sustain a robust and competitive domestic cement sector.
The DTI said Taiheiyo will utilize the Calaca terminal to distribute blended cement. This is a more environmentally friendly alternative that uses industrial by-products like fly ash, slag, or pozzolana to reduce carbon emissions and promote circularity in construction.
The DTI said the company emphasized that the shift to blended cement is not only a response to rising market demand, but also as part of its broader carbon reduction roadmap.
Taiheiyo Cement Philippines Inc., the group’s local subsidiary based in Cebu, currently operates at a production capacity of 3 million tons annually. The company is also investing in sustainability initiatives and community support programs, including local scholarships and health services.
In a statement on Feb. 26, 2025, the DTI said it has issued an order imposing provisional safeguard duties at P400 per metric ton (MT) or P16.00 per 40 kilogram-bag in the form of cash bond for 200 days on imports of Ordinary Portland Cement.
This decision is based on findings of a preliminary safeguard measures investigation covering the period 2019 to June 2024, the submissions of interested parties, and pieces of evidence made available to the department, the DTI said in the statement.
It added that the jump in the volume of imported cement from 2019 to 2023 preceded the serious injury to the industry in 2023, when imports recorded their highest market share at 32 percent while the domestic industry shrank to its lowest level of sales. To compete, local manufacturers had to lower prices even with rising cost of production, DTI said.
The Cement Manufacturers Association of the Philippines, Inc. (CeMAP) also earlier welcomed the DTI’s move to protect the local cement industry.
CeMAP said 94 percent of imported cement come from Vietnam, with the rest from Japan (5 percent) and Indonesia (1 percent).