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News Taiheiyo Cement ends joint venture with Chinese peer

Taiheiyo Cement ends joint venture with Chinese peer

Written by Global Cement staff 10 September 2014
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Japan/China: Japan’s Taiheiyo Cement has dissolved a joint venture agreement with Xinjiang Tianye in Xinjiang, Chinese in response to Chinese government efforts to reduce excess capacity in the sector.

Taiheiyo Cement Investment, the company’s Chinese arm, signed the agreement with Xinjiang Tianye in December 2012. After receiving government approval, they set up a joint venture in April 2013, planning to produce 1.2Mt/yr of cement. However, in 2013 Beijing increased measures to curb investment in the cement industry to counter overcapacity. This cast doubt on whether the venture could build production facilities as planned. With the business environment for the region's cement industry worsening, Taiheiyo and Xinjiang Tianye opted to end the agreement.

Published in Global Cement News
Tagged under
  • GCW167
  • Taiheiyo
  • Japan
  • China
  • Xinjiang Tianye
  • Joint Venture

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