Taiwan producers to gain from China`s public works

Taiwan producers to gain from China`s public works
06 March 2009

Taiwan’s leading cement producers, including Taiwan Cement Corporation and Asia Cement Corporation, are expecting to profit from the anticipated investment of RMB11trn (US$1.41trn) in infrastructure projects implemented by mainland China in the next two to three years.

Huang Chien-chiang, vice president of Taiwan Cement, estimates the construction of two new railroads, from Guangzhou to Guiyang and from Guangzhou to Nanning, will generate demand for 20Mt of cement, with the firm having won four tenders for the infrastructural projects.

Huang predicted the Southern China market will see demand for cement exceed supply this year, with the demand in the Guangdong province alone to grow 40% year-on-year due to the infrastructural works.
Asia Cement also believes the supply of cement in China will be stretched by the RMB11trn investments in the infrastructure construction.
Published under Cement News