"Anti-Involution Forum on Cement in the Yangtze River Basin" Held Successfully

2024-09-10 10:03:17

The Yangtze River Economic Zone is one of the most dynamic economic regions in China. There are 168 enterprises and 608 production lines in ten provinces and cities in the Yangtze River Basin, with a total clinker production capacity of 720 million tons. If we can take the lead in realizing the high-quality and healthy development of the cement industry in the Yangtze River Basin, the cement industry in other regions can also embark on the road of sound development.

On September 9, the "Yangtze River Basin Cement Anti-Involution Forum" sponsored by OCC (Yangtze River Cement Enterprise Alliance) was successfully held in Wuhu Conch, and all the cement enterprises along the Yangtze River attended the meeting.

The Yangtze River Economic Zone is one of the most dynamic economic regions in China. There are 168 enterprises and 608 production lines in ten provinces and cities in the Yangtze River Basin, with a total clinker production capacity of 720 million tons. If we can take the lead in realizing the high-quality and healthy development of the cement industry in the Yangtze River Basin, the cement industry in other regions can also embark on the road of sound development.

Faced with the loss of the whole industry this year, OCC started from the most difficult place, gathered various forces and wisdom, aimed at forming a consensus in the Yangtze River Basin through transparent and pluralistic consultation and communication, uniting small and medium-sized enterprises, cooperating with leading enterprises such as China Building Materials, Conch and Huaxin, and jointly restoring the industry ecology.

At the meeting, the concept of "anti-involution anti-dumping compliance peak staggering production" was first put forward, advocating the prevention of involution through orderly industry ecology, and promoting the industry to respond by actively improving the supply-side structure in the case of serious overcapacity and downward demand. At the same time, Dr. Ma Weiping, Chairman of OCC, also shared the experience and lessons of "anti-involution and anti-dumping" in foreign cement and petroleum industries, and called on member enterprises to improve the industry ecology through "negotiation to reduce production and initiative to reduce production capacity". The "OCC Cement Industry Anti-involution Proposal" was passed at the

meeting site. The proposal emphasized: to rationally understand the market situation and jointly build the cornerstone for the healthy and orderly development of the industry; to adjust the balance between production and sales; and to resolutely implement the on-demand production mechanism.

The forum calls on cement enterprises to fully recognize their main responsibility for solving the current industry dilemma, put an end to vicious competition, truly stand in the position of the industry decision-making action, adhere to innovation-driven, adhere to long-term doctrine, and jointly maintain fair competition order. Zhu Shengli, Deputy Secretary of the Party Committee and General Manager

of Conch Group, praised the convening of the forum and hoped that OCC would continue to exert its strength to promote the stable development of the cement industry along the Yangtze River.

We firmly believe that by pooling everyone's strength, we can promote the stability and improvement of the cement market in the Yangtze River Basin and even the whole country!

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Adani is also a big man in the Indian cement industry and is the second largest cement producer in India. He entered the industry in 2022 with the acquisition of Holcim's cement business in India, which acquired about 70 million tons of cement per year for $10.5 billion. Adani plans to expand its annual cement production capacity to 140 million tons by 2028. Adani has previously invested $1.6 billion to acquire Sanchi Cement and Penna Cement, and is expected to acquire an additional 21 million tons of production capacity.