PHILIPPINE SANJIA STEEL CORPORATION OFFICIAL STATEMENT
On May 15 and 16, 2026 authorities from the Presidential Anti-Organized Crime Commission (PAOCC) and other government agencies conducted operations at and subsequently secured Philippine Sanjia-Steel Corporation, purportedly in connection with two (2) search warrants involving the alleged handling and possible manufacture of hazardous materials. We emphasize that despite repeated verbal and written requests by the company’s lawyers before and during the operations, no search warrant was furnished to the company’s lawyers during the implementation of the raid.
Philippine Sanjia-Steel Corporation wishes to address the actions undertaken by the authorities in relation to our facility and operations, as well as the Press Briefing conducted by the PAOCC yesterday, 19 May 2026, and other press releases.
ON THE CONDUCT OF OPERATIONS
The operation resulted in the immediate stoppage of operations, stoppage of facilities, and barring of entry into the premises. Further, personnel from the government barged into multiple offices, broke doors, and directed employees to surrender company property. Again, we stress that our lawyers were not given copies of the purported search warrants at this time.
Based on the statements from our employees, they were detained and subjected to coercion and pressured to admit to the conduct of illegal activities. Their personal phones were also confiscated, leaving them with no access to their families and counsel. Our Filipino workers and employees were only released approximately thirteen (13) hours from the start of the detention.
On the other hand, our Chinese national employees and one (1) Filipino employee were not permitted to leave, and were further subjected to “profiling” including taking of photographs and fingerprints.
On 16 May 2026, the inquest proceedings were initiated via online conference but was suspended after the prosecutor learned that respondents had not yet been furnished copies of the joint complaint-affidavits reportedly filed with the Department of Justice. Inquest proceedings resumed around 7:00pm the same day.
On 17 May 2026, the Chinese nationals were reportedly transported from the facility to Lumbia Airbase for a flight to Villamor Airbase. All detained workers and employees are purportedly being held at the NBI facility in New Bilibid Prison. No formal charges have been filed as of the date of writing.
We raise the Constitutional and labor rights of all our workers, both Filipino and foreign.
ON ENVIRONMENTAL COMPLIANCE AND SAFETY
The PAOCC and other government agencies allege that we manufacture and nationwide distribute substandard and radiologically-contaminated steel.
Philippine Sanjia-Steel Corporation maintains that it possesses the necessary environmental permits and regulatory documentation required for its operations. We continue to cooperate fully with all competent authorities in relation to questions concerning environmental compliance and assert non-use of radioactive sources or feedstock, and we are prepared to present the appropriate records before the proper agencies and forums.
It is scientifically recognized that naturally occurring trace radioactive elements are present at very low background levels in many materials and throughout the environment and all living things, including humans, animals, soil, water, minerals, metals, and industrial raw materials. Any statement regarding “non-use of radioactive materials” refers to the absence of intentional use, handling, or incorporation of regulated radioactive substances in the manufacturing process.
We support all lawful inspections and scientific verification processes necessary to establish the facts objectively and transparently.
For full transparency on the nature of our business, at the center of our operations are the highly skilled Filipino workers and Chinese technical personnel on industrial development working together using high quality Japanese imported raw materials sourced under strict regulatory compliance and industry standards.
All finished products of Sanjia are to sold to Philippine market at competitive prices to Filipino consumers in line with President Marcos’ policy on Tatak Pinoy.
ON THE DOCUMENTATION OF FOREIGN NATIONAL WORKERS
The Department of Labor and Employment (DOLE) alleges that out of the sixty-nine (69) foreign nationals, only eighteen (18) alien permits were issued.
The company categorically rejects any assertion that its Chinese technical personnel are undocumented. It maintains that all such personnel are fully and properly documented, lawfully engaged, and deployed exclusively for legitimate operational and technical functions, particularly in relation to machine operations, supervision, and technology transfer.
These personnel form part of the company’s broader commitment to skills development and technical training alongside Filipino workers in accordance with applicable laws and regulations.
Our foremost concern at this time is the welfare of our workers and their families. Seventy Chinese individuals, all documented, and one Filipino worker, were detained during the operations conducted on May 15 and 16, and we have received troubling reports regarding the conditions they are currently facing.
We have likewise been informed that access between the detained workers and their legal counsel was repeatedly restricted, despite repeated verbal and written requests by the company’s lawyers who continuously sought access to the facility and to their clients throughout the implementation of the PAOCC operation.
Requests for copies of the search warrant were likewise repeatedly made by counsel but were allegedly denied or deferred at the time of the raid, despite persistent efforts to secure proper documentation and facilitate lawful representation. Nonetheless, we continue to pursue all remedies available under the law and remain committed to addressing these matters through proper legal channels.
We wish to emphasize that the workers involved are entitled to the full protection of their labor and constitutional rights under Philippine law. These individuals are hardworking Filipinos who now face uncertainty and the sudden loss of livelihood. We stand firmly with our laborers, workers and employees many of whom have dedicated themselves to supporting their families through honest work.
ON THE “TONY YANG” ISSUE
There are allegations that the steel manufacturing plant is owned by businessman Tony Yang.
We likewise wish to clarify circulating claims involving Mr. Tony Yang. Pursuant to the company’s Securities and Exchange Commission filings for 2025, Mr. Yang is not listed as a shareholder of the corporation. While Mr. Yang was previously a shareholder of the company, he had fully divested his shareholdings and for the last several years has no longer been affiliated or involved with the company in any way, whether as a shareholder, director, officer or beneficial owner.
We urge the public to allow verified corporate records and official documents to guide public discussion instead of speculation or misinformation.
FOREIGN INVESTMENT AND BUSINESS STABILITY
Sanjia remains committed to investing in the Philippines and contributing to local industry, employment, and infrastructure development. As a foreign investor operating within the bounds of Philippine law, we continue to believe that the Philippines is a fair and secure environment for legitimate business and industrial activity.
We hope that all matters will be resolved through due process, transparency, and respect for the rule of law, which are essential to maintaining investor confidence and economic stability.
Our company has long contributed to the construction and industrial sector by providing essential materials that serve as basic commodities for development and infrastructure. Our operations make use of advanced foreign technologies together with the dedication and expertise of our Filipino workforce. Given the limited number of operators in this industry, any prolonged disruption will inevitably be felt across sectors dependent on these materials.
Healthy competition within the steel industry plays a vital role in maintaining stable supply, fair pricing, and consistent access to quality construction materials for developers, contractors, manufacturers, and infrastructure projects nationwide. The continued participation of multiple responsible industry players helps promote market stability and protects against unnecessary supply constraints and pricing volatility that may ultimately affect consumers, businesses, and public infrastructure development.
Given the limited number of operators in this industry, any prolonged disruption affecting a major domestic supplier may inevitably be felt across sectors dependent on these materials, including through possible effects on supply availability, project timelines, and construction costs. It is for this reason that we believe fairness, transparency, and stability within the industry remain important not only for businesses and investors, but also for workers, consumers, and the broader Philippine economy as a whole.
At this time, no charges have been formally filed against the company or its officers, and we continue to await the appropriate processes and official information from the proper agencies.
From the very beginning, we have remained fully cooperative with all government authorities involved. We trust in the Philippine justice system, as we always have, and we recognize the clear intent of the government agencies to follow legal procedures and established rules in the conduct of their duties.
At this stage, we believe it is important that all parties allow the legal process to proceed fairly and objectively. We remain confident that we have the
appropriate legal defenses and will continue exhausting all lawful remedies available to us.
The Philippines is a country of laws, and it is precisely because of this that we continue to place our utmost faith in our judicial institutions despite the
difficulties presently being experienced. We remain committed to working constructively with authorities in order to fully clarify the facts and get to the
bottom of the matter.
Finally, we respectfully call on the concerned authorities to act with fairness and expediency so that the rights of all affected individuals are protected, the
truth may be established, and our workers may soon return to their livelihoods as we work towards the reopening of the facility.
