LGU inspects steel plant; gives plant passing grade

VILLANUEVA, Misamis Oriental (MindaNews/26 August 2026)— Alarmed by the series of raids and closures of Chinese-backed steel factories in Mindanao, the local government here deployed a full force of municipal inspectors to inspect the Keim Hing Steel Corporation facility  in Barangay San Martin on Wednesday, 26 August.

The team—composed of environmental inspectors, real estate assessors, and tax collectors—found the Keim Hing Steel Corporation manufacturing plant empty of its 400 local workers and 57 Chinese nationals.

Only the firm’s top management officials were present when the team arrived at the factory in Purok 9, Barangay San Martin. These officials then guided inspectors on a tour around the plant.

Keim Hing Steel Corporation Safety Officer Jopet Paguican shows reporters how they check for nuclear radiation using a Geiger Counter Nuclear Radiation Tester. He said radiation may be harmful if the tester registers 1 degree. MindaNews photo by FROILAN GALLARDO

Israel Permi, special assistant to Villanueva Mayor Julio Uy, said the mayor ordered the crackdown after learning that government regulators had raided and closed two other steel plants—Davao Mighty Steel Corporation in Davao City on 14 August 2026, and Philippine Sanjia Steel Corporation in the neighboring town of Tagoloan, Misamis Oriental, on 2 May 2026.

Permi said Keim Hing Steel Corporation passed municipal scrutiny and complied with all municipal regulations.

However, Permi said the team lacked representatives from the Philippine Nuclear Research Institute (PNRI), the Presidential Anti-Organized Crime Commission (PAOCC), the National Bureau of Investigation (NBI), and other national agencies capable of detecting radioactive materials at the Keim Hing facility.

Permi said the inspection team also did not have representatives from the Bureau of Immigration (BI), which could have verified the legal status and working visas of the Chinese nationals employed at the facility.

A Keim Hing human resources officer said some of the Chinese nationals still have pending work permit applications with the Bureau of Immigration (BI).

“All the Chinese nationals stayed inside the factory compound, where they resided in on-site dormitories. They rarely venture out, and if they do, it is only to buy basic necessities,” Keim Hing chief human resources officer Irish Emano told reporters.

Emano said the firm began hiring Chinese nationals because they were the only ones capable of operating and maintaining the machinery parts imported from China when the factory started operations in 2019.

Meanwhile, Keim Hing Safety Officer Jopet Paguican said the facility produces 250 tons of rebars and angle bars using an induction furnace that processes scrap metal mixed with manganese.

He said most of the raw materials are sourced domestically, unlike other steel factories that rely on imported scrap iron.

“We check the raw materials once they arrive here. We check for radiation and other defects,” Paguicon said.

“The facility of Keim Hing Steel Corporation is one of the three steel factories operating in Villanueva, a 1st class municipality in Misamis Oriental.

Permi said there are two other steel manufacturing factories—the Mindanao Villanueva Steel Mill which has stopped operating, and the San Martin Steel Corporation which has turned its facility into a scrapyard. (Froilan Gallardo / MindaNews)