Taiwan’s cement firms raise China investments
Taiwan’s leading producers of cement, including Taiwan Cement Corp, Asia Cement Corp and Chia Hsin Cement Corp, will increase investments in China driven by the sizable market potential there.
Taiwan Cement recently announced that its subsidiary–TCC International Holdings Corp – will set aside US$11.67m to acquire 65% of Gangan Cement, established by a Hong Kong firm, as well as increase capitalisation in other subsidiaries in China, including TCC (Jiangsu) Investment and TCC Jiangsu Jurong Works Co.
Gangan Cement is building a plant in Guizhou province that is slated for completion by the end of this year, which will have a capacity of 1Mta.
Taiwan Cement is building two cement kilns in Guizhou province, with the first to come online sometime in July this year and another in 2012. After acquiring 65% of Gangan Cement, Taiwan Cement will lead cement production in Guizhou province to meet the goal to produce 50Mt of cement in China.
Chia Hsin announced it will invest US$3.2m in Jiangsu Jiaguo Construction & Warehousing Co.
Furthermore, Asia Cement is speeding construction of Yadong Line No 5 and No 6 kilns in Jiangxi province, whose expansion to be completed in 2014 will result in annual capacity in China exceeding 30Mt.
Production expansion will see Asia Cement’s clinker capacity reach 20Mt, or maximum output of 23.85Mt, by 2014, with cement output to exceed 30Mt as well.
Published under Cement News
