in reply to Problems installing XML::LibXML for Perl5.10 on Win32 platform

It looks to me like your libxml2 installation is broken. That would explain why MakeMaker and DynaLoader don't recognize it, and subsequently the installation fails.

I know next to nothing about dynamic objects on windows, so all I can try to suggest is reinstalling it from different sources.

I'd also recommend strongly to run make test before make install.