Anhui Conch plans US$2.9bn for expansion

Anhui Conch plans US$2.9bn for expansion
Published: 09 March 2009

Anhui Conch Cement Co. plans to spend at least CNY20bn (US$2.9bn) in five years, adding 10Mt of capacity each year, reports Bloomberg News.

The company will focus on building plants in China’s southwestern provinces and cities including Sichuan, Chongqing and Shaanxi, Guo Wensan, the general manager of the company, told reporters in Beijing where he’s attending the National People’s Congress. It had more than 130Mt of capacity last year.

China has announced that it plans to spend CNY4trn (US$585bn) to stimulate the economy, including funding for roads, bridges and railways.

“The spring (for the cement industry) is coming,” Guo said.

The company will focus on expansion rather than domestic acquisitions, Guo said. Still, the company is looking for overseas purchases amid the financial crisis that has made possible targets cheaper, he said, without elaborating.