The future of the cement industry in China looks very promising; the top 10 cement manufacturers in China helped the country claim the spot as the largest cement manufacturer in the world, producing close to 60% of the global supply. In the month of September 2017 alone, Chinese cement companies manufactured 221.4 million tons of this vital building material. They produced over 2.62 billion tons of cement from September 2016 to September 2017 — a 5.6% increase from the 2.48 billion tons produced in 2014.
Major economies are turning to the top 10 cement manufacturers in China for their product in order to supply an ever-expanding global construction industry. There are thousands of cement manufacturers in China, but because of the many acquisitions and mergers in 2014-15, China’s top 10 cement producers now own 52% of the market share. The top 20 cement suppliers in China and Taiwan account for 56.9% of the country’s cement production capacity, as well as own 33% of all cement plants. The remaining 43.1% of cement production capacity belongs to thousands of other smaller cement companies, many of which can only produce as low as 50,000 tons per year.
Anhui Conch is China’s largest cement producer at 219.3 million tons of cement capacity per year from its 34 plants. In 2014, the company’s revenue 99.5% YoY to $9.95 billion, with their net profit growing 16.9% to $9.49 billion; also helping the company’s subsidiaries reach record highs. The Foshan subsidiary saw sales exceed $10,000,000 per day for five consecutive days in September 2014, with sales then averaging out to $8,000,000 per day. In the near future, Anhui is expecting to expand its reach through further acquisitions and overseas projects.
CNBM or China National Building Materials holds the second spot and owns a number of successful companies that helps place it at #2. Their cement production capacity sits at 173.06 million tons per year in their 92 cement production plants, except they claimed a cement production capacity of 399 million tons per year in their 2014 financial report due to numerous successful subsidiaries.
In 2014, CNBM reported a 3.7% YoY increase in revenue to $19.7 billion, that’s a 4.3% increase in post-tax profit to $1.39 billion. There was a reported 2.1% increase in clinker and cement sale volumes to 291 million tons and a 6.2% increase in cement production to 251 million tons.
Some of CNBM’s subsidiaries include China United with a 100% stake and producing 101 million tons of cement per year; South Cement with an 80% stake and producing 148 million tons of cement per year; North Cement with a 70% stake and producing 33 million tons of cement per year; and Southwest Cement with a 70% stake and producing 117 million tons of cement per year. Other acquisitions between 2014 and 2015 include Conch Venture, Yatai Group and Shanshui Cement, with plans to expand to India in the coming years.
Taiwan Cement, originally a government-owned company turned private in 1954, has a production capacity of 63.72 million tons of cement per year at its 6 plants located in China and Taiwan. In China, there are 3 cement producing plants that equal 52.12 million tons per year. In 2014, they bought Sichuan Railway Group Cement, which adds 2 million tons to its production capacity per year.
Their net sales grew by 1.9% YoY to $3.89 billion in 2014 while their gross profits grew 9% to $817 million.
The CRC is part of China Resources Holdings and is China’s 4th largest cement producer. The company was incorporated in 2003 and has a small number of cement plants that contain a larger-than-average capacity rate. Their yearly capacity rate hit 63.12 million tons, but in their 2014 annual report, they noted 24 cement plants with a capacity of 78.3 million tons, the additional 10.9 million tons per year acquired through their equal interests and joint ventures.
Like other cement production companies, 2014 was a year for mergers and acquisitions where CRC was able to acquire Hainan Wuzhshan Dajiangnan Cement and complete two clinker lines, four grinding lines as well as starting two 300-ton-per-day refuse-derived fuel (RDF) plants in Guangxi and Guangdong.
In 2014 they reported their turnover grew by 11.3% YoY to $4.21billion with profits growing 26% to $425 million.
As the 5th largest cement producer in China and the 6th largest manufacturer of cement, Jidong Development Group has 9 cement plants with a yearly capacity of 36.07 million tons per year. They claim to own 49 production lines with a capacity of 90 million tons per year, although the only available data is for 2014, and of 36.07 million tons per year. In January 2015 the company announced finalized discussions regarding the takeover of Peruvian company, Cementos Interoceanicos, that holds the mining rights to 54km² of land in Peru.
Their latest reported revenue was $2.36 billion in 2012.
Tianrui Group has 11 cement producing plants in China with a yearly capacity of 33.08 million tons. In 2013, Tianrui’s revenue rose by 14% YoY to $1.40 billion, while the gross profit remained static at around $305 million. Cement sales volumes grew by 41.4% to 36.9 million tons in 2013 and the company reported a net profit of $86.6 million in 2014.
Jiangsu Jinfeng Cement Group has 1 cement plant with a capacity of 33.08 million tons per year. In 2013 they reported revenues of $2.49 billion, up 6.9% YoY. Gross profit hit $637 million, up 15.8% YoY while total sales were up 4.94% YoY to hit $1.87 billion.
Grow Your Business Network: Connect with the Top Cement Manufacturers in China
Shanshui has 15 cement plants with a capacity of 30.46 million tons per year. In their 2014 annual report, revenues topped $2.51 billion with a net profit of $539 million. Their high-grade cement sales grew 12.5% YoY to 39.9 million tons and their low grade cement sales fell 26.4% to 13.2 million tons. Their clinker sales also grew 6.5% in 2014 to 9.82 million tons.
In March 2015, Lafarge became a wholly-owned subsidy after SOCAM agreed to sell its entire 45% stake for $329 million. The joint venture company has 23 cement plants with a cement production capacity of 27.7 million tons per year. The company leans towards a ‘value-growth’ model that focuses on research, production and creating new partnerships.
Sichuan Esheng Cement is the last in BizVibe’s list of top 10 cement manufacturers in China and has 2 cement manufacturing plants with a capacity of 24.99 million tons per year.
An expansion is occurring in China’s cement industry, fueled by over-a-decade-long construction frenzy and property boom. The leading cement manufacturers in China are expanding so aggressively that they have enough production capacity to supply an entire continent. And with the global construction industry on the rise, China will continue to be a reliable source supplying the global construction output of $8.8 trillion (2016), which is expected to reach $10.1 trillion in 2021.
BizVibe connects buyers and suppliers from all over the world with the goal of helping B2B companies keep up with market demand. To help your cement or construction business stay at the peak of the industry, BizVibe provides unbeatable support when sourcing products and making deals with top Chinese cement manufacturers. Experts expect the state of the cement industry in China to remain promising for the foreseeable future, making now the perfect time to act.
Whether you’re conducting competitive research or looking for new and reliable suppliers, quality manufacturers or top wholesalers, BizVibe makes it easy to grow your little black book. No matter what your professional goals, BizVibe will help you reach them by introducing you to key industry players and decision-makers across the globe.
Let the clients come to you. Add your company and connect with Chinese cement manufacturers on the world’s leading B2B networking platform for product sourcing and supplier selection. In addition to the top companies in China’s cement industry, BizVibe is also home to more than 7 million companies overall.
Top Cement Manufacturers in China:
Comments are closed.