Taiwan’s Asia Cement expands Chinese operations

Asia Cement Corporation has announced a budget of US$ 127.32 million to expand its production facilities in China. The Taiwan Economic Times reports that the company will expand capacity by 6 million t via mergers and self-built plants.

The company is budgeting 236 million renmindi to purchase 70% of Xinlinyun Cement Corp in Wuhan, Hubei province through its China subsidiary, Asia Cement China Holding Co. Once finalised by the end of June, the acquisition will help Asia Cement boost annual output by 2 million t.

Asia Cement’s parent will also increase investments by US$ 71.25 million to increasingly set up two cement kilns in its plant in Jiangxi province. Each of the proposed plants will be able to produce 2 million t. The company recently set aside HK$ 187 million to acquire 1.605% of China’s Sunnsy Group.

Last year, Asia Cement China, through its presence along the Yangtze River, registered 610 million renminbi in after tax earnings, up 49%. Despite a 44% year-on-year decline, the company was still the largest Taiwanese-invested cement producer in China. With an added 10 new production capacities by the end of this year, Asia Cement China will see annual production capacities reach 34 million t this year.

Read the article online at: https://www.worldcement.com/asia-pacific-rim/03062010/taiwan%E2%80%99s_asia_cement_expands_chinese_operations/