Asia Cement (China) Holdings Corporation, a subsidiary of Taiwan’s Asia Cement Corporation, is looking for merger and acquisition opportunities or strategic alliances in China in order to increase production capacity and improve its competitiveness in the domestic market. The company will focus on small and medium-sized cement producers in various regions of the country.
As part of the company’s expansion strategy, Asia Cement and Asia Cement (China) signed a tactical partnership agreement with Anhui Conch Cement Group and China Conch Venture Holdings Ltd in January 2014. The cement manufacturers agreed to work together to break into the markets in China, Taiwan and other countries, as well as modernise production lines in order to lower costs, increase efficiency and become more environmentally friendly.
Furthermore, Asia Cement (China) is preparing for an increase in demand for cement in the domestic market. A rise in investment in infrastructure, a growing property market and the continued urbanisation of rural areas is expected to boost cement demand in the country. In 2014, the production capacity of Asia Cement (China) is anticipated to increase from the original forecast of 32 million t to 40 million t, as 13 production lines are due to come online this year. Following this, production capacity is expected to reach 50 million t.
Edited from various sources by Rosalie Starling
Read the article online at: https://www.worldcement.com/asia-pacific-rim/17032014/asia_cement_corporation_seeks_to_expand_production_capacity_in_china_903/